Green River Energy Corporation Corporate Overview Spring 2014
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Green River Energy Corporation Corporate Summary
■ Founded in 2007 — Based in Salt Lake City, Utah ■ P rivate Oil / Gas Production Company focused on the Uinta Basin — eastern Utah, Rocky Mountain Region, U.S.A. ■ Growth Oriented ■ O wns leases directly, and thru binding working interest in the Monument Butte Field (Newfield Exploration Company — operator: NYSE: NFX) ■ Operator Quinex Energy Corp, Bountiful, Utah ■ Chasel / Quinex Energy video (YouTube)
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Green River Energy Corporation Valuation (Oil only)
Altamont/Bluebell Horseshoe Bend
UTAH Central Basin
Acquisition Acreage
Monument Butte Natural Buttes
UINTA BASIN / GREATER MONUMENT BUTTE AREA NFX Leasehold
GREC participation
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Green River Energy Corporation Production Leases
■ Greater Monument Butte Unit (108,000 acres – Oil) P1 ■ Operated by Newfield Exploration Company (NYSE: NFX) ■ GREC = 0.158538% Working Interest ■ O perational production plan over a period of > 70 years with intensive water injection program ■ Plans over the coming years for 5,000 producing wells ■ A t present there are about 2,000 operating wells, some are oil producing and some water injectors ■ E very month 8 -10 wells being drilled, some water injectors, some oil producing ■ T he daily production is in the region of 16,000 Barrels per day. Substantial increase expected as soon as the capacity expansions of the refineries have taken place: see this report, this report and these articles: StreetInsider, O&GJ, RTT News, Deseret News. 4
Green River Energy Corporation Production Leases
■ Horseshoe Bend (390 acres) ► 90% working interest ► Royalties 22% ► Net Revenue Interest 78%
■ North Walker Hollow (1,375 acres) ► 100% of the rights ► Royalties 18-20% ► Net Revenue Interest 80-82%
■ Greater Monument Butte Unit (1800 acres) (Deep Gas) ► 48.71429% Working Interest ► Royalties 25% ► Net Revenue Interest 75%
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Green River Energy Corporation Reserve Report
Uinta Basin Reserve Summary Greater Monument Butte Unit Reservoir Interval Green River
Spacing 20
Number of Wells NA
Monument Butte Deep Gas Reservoir Interval Mesaverde
Spacing 80
Horseshoe Bend
Green River Energy
108,000 gross acres
Per Well Average Gross Probable Reserves BCF WI NRI MBO BCF MBO NA NA 810,000 623.1 0.15854% 0.11891% 810,000 623.1 Prospect Totals
Green River Energy
1,800 acres
Number of Wells 22
Per Well Average Gross Probable Reserves BCF MBO BCF MBO 10 6.7 220 147.4 220 147.4 Prospect Totals
WI 48.7%
Spacing
Number of Wells
Uinta Green River Mesaverde
40 40 80
9 9 4
Per Well Average MBO BCF — 134 10
1.3 0.1 6.7
Prospect Totals
North Walker Hollow
Gross Probable Reserves BCF MBO — 1,210 40
11.7 1.3 26.8
1,250
39.8
WI
NRI
90% 90% 90%
70.2% 70.2% 70.2%
Spacing
Number of Wells
Uinta Green River Mesaverde
40 40 80
34 34 17
Net Probable Reserves BCF MBO 107 71.8 107 71.8
Net Probable Reserves BCF MBO — 1,089 36
10.5 1.2 24.1
1,125
35.8
Green River Energy
1,375 acres
Reservoir Interval
NRI 36.5%
Green River Energy
390 acres
Reservoir Interval
Net Proven Reserves BCF MBO 1,284 1.0 1,284 1.0
Per Well Average MBO BCF — 150 10
1.3 0.2 6.7
Prospect Totals
Gross Probable Reserves BCF MBO — 5,100 170
44.2 6.8 113.9
5,270
164.9
WI
NRI
90% 90% 90%
70.2% 70.2% 70.2%
Net Probable Reserves BCF MBO — 4,590 153
39.8 6.1 102.5
4,743
148.4
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Green River Energy Corporation Reserve Summary
Totals for all Prospects
Gross Proven Reserves
MBO 810,000
BCF 623.1
Gross Probable Reserves
MBO
BCF
6,740
352.1
Net Proven Reserves
MBO 1,284
BCF 1.0
Net Probable Reserves
MBO 5,975
BCF 256.0
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Green River Energy Corporation
Asset Valuation – Example of N. Walker Hollow Lease NPV (Net Present Value) – North Walker Hollow 1,375 Acres – Oil 34 Wells – (40 Acre spacing)
Total Reserve (P2)
5.27 Million Barrels @ $ 90/Barrel Oil
Total Costs 40%
Amt. (000,000) $ 475 $ 190
Investment Cost - 34 Wells @ $ 2.5 M each, depending on depth
$ 85 Subtotal $ 200
Discount Rate 10 % Period 15 years
NPV
$ 47
Discount Rate 12% Period 15 years
NPV
$ 36
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Green River Energy Corporation Production Projections
Potential – Monument Butte (NFX Operator) ► Drill and Production Cost — US $2.5M ► Production peak at Yr4, life of well ~30 years ► 360 days of production / year ► Oil price at US$90 per bbl, ex refinery
Production Estimate per well (100% WI) YEAR
1
2
3
4
5
6
7
8
9
10
BBIs/Well/Day
40
40
40
40
30
20
15
10
10
10
972
648
486
324
324
324
580
380
290
190
190
190
Annual rev. US$ (,000) Net rev. (Pre-Tax)
1,296 1,296 1,296 1,296 700
700
700
700
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Green River Energy Corporation Valuation (Oil only)
David Keller, AAPG CPG, Reserve Report P1 Reserves – in production Oil: 1.3 M Barrel at US $30.00 / Barrel (Joint Venture NewField Exploration Company) P2 Reserves – not in production Oil: 6.0 M Barrel at US $8.00 / Barrel Horseshoe Bend (80%): 1.000 MBO North Walker Hollow: 5.270 MBO Natural Gas: 256 bcf -
TOTAL
$39,000,000
TOTAL
$48,000,000
TOTAL
$0
TOTAL
$87,000,000 10
