www.blackmarlinener
Finding Hydrocarbons
in East Africa & the Western
Indian Ocean
Finding Petroleum Conference,
London, January 21-22, 2010
Chris Matchette-Downes
Part of the Black Marlin Energy group of
companies
PA Area
A
PA Area C
Block 1101
L1
8
L1
7
10A
0
1
07
08
0
6 0
2
1+ BBO
Lake Albert Oil Fields
6 BBO
Sudan Oil Fields
6 BBO
Yemen Oil Fields
24 BBOIP
Madagascar Heavy Oil Fields
6 BBO
Bombay High Oil Fields
4 TCF
Ethiopia Gas Fields
1 TCF
Tanzania Gas Fields
2 TCF
Mozambique Gas
Fields
EAX ‘s portfolio at the centre of an
underexplored oil & gas play
surrounded by oil and gas fields and
significant discoveries
PA Area B
Ref Lawver &
Scotese 1987
128,887 Km2
gross exploration acreage
11 blocks, 4 countries
Participated in 2 wells & one discovery
Active programme going forth
January 2010 Area in square kilometers Area in square acres
Country Blocks Equity Gross Net Gross Net
Seychelles A*, B* & C* 75% 14,946 11,249 3.7 million 2.8 million
Ethiopia 2, 6, 7 & 8 30% 47,582 14,209 > 11.8 million 3.5 million
Kenya 10A 20% 14,747 2950 3.6 million 0.7 million
Kenya 1* 50% 31,850 15,891 7.9 million 3.9 million
Kenya L17* & L18* 66% 4,844 3,250 1.2 million 0.8 million
Madagascar 1101 40% 14,900 5,960 3.7 million 1.5 million
Gross Area Net Area Gross Area Net Area
128,887 53,481 31.8 million 13.2 million
* Operated by Black Marlin
Regional Overview
Corporate Structure
Black Marlin Energy Holdings Limited ( )BVI
East African
Exploration
(Madagascar) Limited
( )BVI
Black Marlin DMCC
( I)DUBA
Black Marlin
Exploration Limited
UPS Tanzania
Limited ( )Tanzania
East African
Exploration (Kenya)
Limited ( )Kenya
East African
Exploration
(Ethiopia) Limited
East African
Exploration
(Seychelles) Limited
Black Marlin Energy Limited ( )BVI
East African
Exploration Limited
Upstream Petroleum
Services Limited
( )BVI
( )BVI
( )BVI
( )BVI
( )BVI
The business model has delivered
BMEL Incorporated 1st
Seismic Operation 1st
Exploration Well
drilled
1st
Consolidated Profit
1st Discovery
Operatorship
2005 2009200820072006
Kristina RTO
53,481 km2
net
Award of 1101 in Madagascar
Farm-in to Africa Oil (Ethiopia and 10A in Kenya)
Award of the Seychelles acreage
Award of L17/L18 in Kenya
Farm-in to Tanzania
Share value
Notional early
Mesozoic, restricted
marine source rock
setting over a vast
area, in part
underlain by older
pre-break up
sources
Why East Africa & the
Western Indian Ocean?
rine
East vs. West Africa: The differences
• Source rock, timing – Early vs. late
• Style - Passive margin vs. Spreading Ridge
• Complexity - 3 vs. 1 phase
• Data - Less vs. more wells
• Result - ‘Harder’ oil vs. ‘easier’ oil
Since AMINEX drilled Nyuni #1 in 2004, the first well for 14
years, there have been 7 further wells drilled in Tanzania, 5
of which were significant gas discoveries with further
evidence for liquid hydrocarbons, 1 dry well in Kenya, a well
predicated on the fabled Cretaceous source, 4 failures in
Mozambique largely associated with Cretaceous source
fixation and further gas/condensate discoveries associated
with Inhassoro. On Madagascar early work by MOG is paying
off with further mobile oil finds in the Tsimiroro area. To the
south Sunpec discovered light oil in 3113. Drilling has clearly
paid off in Uganda and Seychelles is yet to see an optimally
placed well.
Going forward we have the ExxonMobil Ambilobe; CNOOC
Block 9 Bogal #1,Kenya; Petronas’ Ethiopia; Ophir’s Tanzania,
Tullow’s Likondi #1, Ruvuma; Anadarko’s Rovuma,
Mozambique continued on/offshore programme and EAX’s
drilling programs to look forward too.
Ref GeoExpro
2007
Kutch, Cambay & Bombay regions are a primary
analogues for Seychelles - Conjugate margin
• The Bombay Geologic Province,
northwest coastal India, is a
complex of highly hydrocarbon
productive Mesozoic-Tertiary
basins, including the Kutch Basin
and the Bombay Platform
• Basins within the province
provide strong and direct
stratigraphic, palaeogeographic and
depositional-setting analogues for
the Seychelles
• The Kutch Basin was the Late
Cretaceous pre-rift counterpart to
the Seychelles and contains an
analogous Jurassic-Cretaceous
mixed clastic succession
• The Bombay Platform has a
comparable Tertiary developmental
Bombay Geological Province
After : C.J Wandrey, U.S. Geological Survey Bulletin 2208-F, 2004
There appears to be at least
two source rock families as
evidenced in the biomarker
assemblages extracted from
the tars. On the left the older
Liassic/Upper Triassic family
as seen in Coevity tars and
AMOCO well source rocks an
Upper Cretaceous / Tertiary
source shares some affinities
to the oils from Bombay High
accumulation (Ref O.I.L.S.
database).
Lower
Jurassic/Upper
Triassic Upper Cretaceous/Tertiary
Bombay High analogue
The two
Seychelles oil
families
Waxy Algal
Two very different sterane (M/z 217
distributions (nb scale differences)
1
2
NB high C29
, C35
doublet and
Gammacerane
1. Lower C29
norHopane and
significant, 2.
Oleanane
NE Seychelles / Area B is
undrilled
Gravity low trend
Potential deep failed rifts
filled with Karoo sediments /
Younger sediments as in NW India?
Seychelles Plateau ABC
15,000Km2
EAX Operator 75%
Avana 25%
PA commenced 28_11_08
Seychelles – EAX PA Areas
emerging lead inventory
200000 300000 400000
9500000
9600000
200000 300000 400000X/Y:
Meters
9500000
9600000
Galate Lead
Espadon nwar
Lead
Tazard Lead
PA Area B
PA Area A
PA Area A
NW Deep Water Basin
Sedimentary Sequences in
Deep Rifts
Bonit Lead
Terez Lead
Marto Lead
PA Area B
Central Plateau
Failed Rift Grabens
50km
Mahé
Island
Praslin
Island
200000
9500000
200000X/Y:
Meters
9500000
PA Area A
Southwestern
Plateau
Bekin Lead
Libin Lead
Lasker Lead
Zekler Lead
Dorad Lead
Banane Lead
Seychelles Primary Play
Undrilled Karoo StructuresSeagull Shoals No 1
(drilled off structure)
Owen Bank No. A1
(did not reach objective)Reith Bank No. 1
(breached & no fault seal)
Espadon nwar Lead – Top Karoo PlayT
WT
(Seco
nd
s)
5km
Top Karoo
AB
Seagull Shoals #1 (projected and downdip)
1.0
2.0
Bonit Lead
Constant Bank No. 1
Espadon nwar Lead
Galate Lead
Maro Lead
Owen Bank No. 1
Reith Bank No. 1
Seagull-Shoals No. 1
Tazard lead
Terez Lead
190000 200000
9330000
9340000
9350000
190000 200000X/Y:
Meters
9330000
9340000
9350000
Espadon
nwar Lead
EAX 2007 & 2009
seismic surveys
Espadon nwar Lead: Top Karoo
TWT Structure Map
P10 closure 1420msec TWT
P50 closure 1350msec TWT
10 Km
0.000
1.000
2.000
3.000
4.000
1.000
2.000
3.000
40000 50000 60000 70000 80000Offset:
Praslin Lead
0.000
1.000
2.000
3.000
4.000
EAX07-009-SEQ-018, 8202.87EAX07-105, 5275.99 EAX07-010, 6877.23A B
10kmMapped Horizon
TW
T (Seconds)
1.0
2.0
3.0
Tazard Lead – Faulted Plunging Regional High
Basement Footwall
Up-dip Seal??
000.2
005.1
000.2
25kmPA Area A
F
E
D
C
B
A
EAX07-009-S
EQ-008
EAX07-009-S
EQ-008
EAX07-011
EAX07-012
EA
X07-1
85
EA
X07-1
85
EAX07-009-S
EQ-018
EAX07-009-S
EQ-018
EA
X07-0
18
EAX07-105
EAX07-105
EA
X07-0
17
EAX07-010
EA
X07-0
19
EA
X07-0
16
EAX07-115
EAX07-115
EA
X07-1
75
EA
X07-1
75
400000
9600000
400000X/Y:
Meters
9600000
Tazard Lead, PA Area B
(3 way dip closure with up-dip basement
footwall seal)
B
Ref: Tullow Oil plc – Uganda Analyst Visit – October 2007
Kingfisher Discovery, Lake Albert Rift
(3 way dip closure with up-dip
basement footwall seal)
Basement Footwall
Up-dip Seal
Karoo
2km
TW
T (
Seconds)
AB
Block 1101 / Antsiranana
14,000 Km2
EAX 40%
To the west of the Antsiranana permit
ExxonMobil & operator Sterling are to
drill a deep well to test a vast structure
Northern Madagascar
1903 Coal bore hole had to be abandoned
as the drilling apparatus became clogged
with bitumen
Block 1101
14,000 sq km
1st
exploration period
extended to 30th
July 2010
Northern
Madagascar
A series of previously
unknown structures
revealed by new
seismic, seeps and
shows in basin break
up margin / hinge
line setting – data
acquired by UPSL’s
accelerated weight
drop crew in 2009
EW
50 km
Top J
? mid-K markerTop TJ1
Base
Miocene u/c
Base Quaternary
u/c
Top PT
Top
Cretaceous
= Lead
Kenya
Blocks L17 & L18
1,267 & 3,577 sq km
EAX, Operator 75%
SOMKEN 25%
770 line km of new 2D
interpreted
Completed seabed coring
programme
Currently acquiring 300 km of TZ
seismic with UPSL’s Faraday
Base
Pliocene u/c
Interior Kenya
10A
Only 31 wells drilled in
Kenya – 19 had shows
Block 1, Kenya – Korrof Lead
Mansa Guda
Permo-Triassic
5km
Play Elements
Trap : Roll-over anticline on fault hanging wall
Reservoir : Karoo (Triassic-Lower Jurassic) Mansa Guda
sandstones
Seal : Lower Jurassic anhydrites/shales
Source / : Lower Jurassic and Permo-Triassic shales
Maturity : Proven generation from basin centre, evidenced
by seeps at Tarbaj
Area : Minimum 5km², Maximum 185km2
Estimated Prospective Resource
Un-risked Most Likely STOIIP : 305MMBBLS
Recoverable : 61MMBBLS
CNOOC currently drilling Bogal
#1 in the Anza basin to SW
Prospectivity Ranking, Block 10A
From AO Brochure (Operator)
Nyuni Permit & Kiliwani
North discovery
EAX participated in 2 wells & farmed out its10% in 2009
Kiliwani North #1 flowed @40 million SCF dry gas day-1
EAX is targeting a major half graben system –
Regional Bouguer residual map, Ogden basin
EAX Blocks 2, 6, 7 & 8
1
2
3
0
TWT
1 Km
Stop Press: Jan 7th
BMEL’s UPSL completed the
acquisition of 350 km of shallow marine seismic for
RAK gas in the East Pande Block, Tanzania
Faraday 480-800 cu sleeve gun array
24 bit SERCEL Seal towed cable – 1st
of its kind in the
region (marinised land crew)
Very shallow tidal waters, considerable tidal range,
creeks, inlets and channels to the south west of the
Songo Song gas field
Lower cost than conventional transition zone (TZ)
operations
Faraday has moved to the north to survey EAX’s L17 &
L18 blocks
Upstream Petroleum Services Limited
1
2
3
0
UPSL January 2010 towed
streamer acquisition
Raw acquisition data, East
Pande, coastal Tanzania 1
2
3
0
TWT
1 Km
Other advances in exploration technology
include: Gradiometry (Falcon in Kenya &
ARKex in Gabon), Seepfinder in Seychelles,
GORES geochemical screening, petroleum
geochemistry
Anticipated Work Commitments (2010)
GEOCHEMISTRY SEISMIC SURVEYINGEXPLORATION
DRILLING
2010
QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4
Madagascar
Block
1101 40% 800m
Kenya
L17 &
L18*65% 300km
Block 1* 50% 600km 600km
Block 10A 20% 750km
Seychelles
A, B & C* 75% 200 cores 3,500km
Ethiopia
Blocks
2&6 30%
Blocks
7&830% 3,500m
* OPERATED BY BMEL
East Africa: The key finds – thus far
Somalia
Mandura Basin oil seeps/shows
Ethiopia
Hilala #3
Calub field
Kenya
Mandura Basin oil seeps and shows
Tarbaj Hill Oil seep
Pandangua #1: Oil shows
Ria Kalui #1: Tarry bitumens (Triassic Maji-ya-Chumvi
fish beds)
Cities Services wells offshore Kenya: Oil shows
Uganda “The Great Lakes”
Albertine graben Tullow/Heritage 1+ billion bbls
Turaco, Paraa, Kibuku, Kibiro oil seeps & Kaiso-Tonya
oil & gas seeps
Tanzania
Kiliwani North #1 40million SCF day-1
Makarawe: Tarry bitumens - Karroo age / Jurassic
Tundaua: Oil seep - Jurassic (not Campanian)
Pemba # 5: Oil shows – Jurassic (same as Pemba # 5)
Kiwangwa: Tarry bitumens – Jurassic?
Zanzibar #1: Gas shows
Mkuranga #1 Maurel et Prom 19.2 MSCFD –
thermogenic gas – 5tcf
Kimbiji East #1: Gas shows
Tancan: Gas shows
Mafia Island: Oil & gas shows
Songo Songo: ca. 1+ tcf, Condensate in wells #
1,3,7,9 & SS10
Okuza island: Oil shows - Jurassic
Nyuni Island & well: Oil & gas shows - Jurassic
Lipwapwatawre: Oil seep
Mikandani: Oil seep
Kisangire: Oil shows - Jurassic
Wingayongo: Oil seep – Jurassic
Wingayongo #1 & #2 - 30m & 40m of tar sand
Ruhoi River (5km from Wingayongo) - Oil seep
Lukuliro: Gas shows - tars, sands in wells
Mita Gamma: Oil shows
Mandawa: Oil shows
Mbuo: Oil shows
Pindiro #1: Wet gas
Lindi #1: Shallow gas blow out
Manzi Bay #1,2 & 3. Gas reservoir,
~1 tcf+, Msimbati-1x (67MB equivalent)
28MMscfday-1
Mtwara # 1 Wet gas blowout
Misimbati: Oil and gas seeps
Mozambique
Mocimboa # 1: Oil & gas shows
Ponta Unifundo and Pemba seeps
Inhaminga oil shows
Buzi gas shows
Pande & Termane, 1+ tcf Pipeline being
expanded Inhassoro 2,000bbl
condensate
Sunray wells: Oil shows
Seychelles
Reith Bank #1 oil shows & tar balls
Seagull shoals #1 & Owen Bank #1
shows
Madagascar
Ankaramy #1 Oil shows & coastal bitumens
Bemolanga Tar Sands 23B bbl in place
Tsimiroro 2.2B bbl in place
Manandaza #1 light oil discovery
Block 3112 light oil discovery
NW India
Bombay High 3 Bbbls, multiple tcf
Cambay basin 2.1 Bbbls, multiple tcf