Come see Falcon Oil & Gas talk farm-out success at Proactive events across Canada

Wed 1:45 pm by ProactiveInvestors

In early May, chief executive Philip O’Quigley brought on board Australian operator Origin, valued at $16bn, and South African gas-to-liquids specialist Sasol to help unlock the huge potential of the Beetaloo licences in Australia, estimated to contain 162 trillion cubic feet of gas and 21bn barrels of oil.

Investors, get ready for one impressive oil and gas story. At our next Proactive Investors forums in Vancouver, Calgary, Toronto and Montreal, Falcon Oil & Gas (CVE:FO), which earlier this month signed a A$200 million farm-out deal for its highly prospective Beetaloo acreage, is due to take the stage.

The Proactive Investors One2One forums promise to provide direct access to the bosses of some of the nation’s most dynamic growth companies. In six years, Proactive has organized more than 300 events and introduced investors to some of the stock market’s best-performing stock market listed companies.

Indeed, this time is no different. In early May, chief executive Philip O’Quigley brought on board Australian operator Origin, valued at $16bn, and South African gas-to-liquids specialistSasol to help unlock the huge potential of the Beetaloo licences in Australia, estimated to contain 162 trillion cubic feet of gas and 21bn barrels of oil.

With a headline value of A$200mln, including an upfront A$20mln cash payment, the pair are planning a nine-well program over five years, taking a 70% stake in the property. This compares with a previous five-well deal with Hess. O’Quigley has his own unique take on the new agreement brokered with Origin, which will be operator, and Sasol.

He told Proactive Investors: “This deal is five times better than the Hess deal. Why? The unconventional play is all about success from multi-fracked horizontal wells. What were Hess giving us? One horizontal, multi-fracked well. This program gives us five of them.”

Having two companies unlocking the hydrocarbon bounty of the Beetaloo is obviously more productive than just one. But for Falcon, it has another advantage – this is more of a three-way partnership than a big company swooping in, taking a controlling stake and calling the shots.

The five year plan should see three vertical wells drilled quickly, possibly by the end of the year. Taking the program beyond year three might lift that valuation to $1,000 an acre, while it could be worth as much as $4,000 an acre if the exploration program is a success.

Falcon is all about creating value through farm outs such as Beetaloo. The company also recently began drilling the Besa-D-1 exploration well in Hungary, the second of three wells in a program alongside Naftna Industrija Srbije (NIS), a unit of Gazprom.

Directors of Falcon will be presenting the company's story at events in Vancouver on June 9th, Calgary on June 10th, Toronto on June 12th and Montreal on June 13th. The company will make a 20 minute pitch followed by a 10 minute inquisition by a roomful of potential investors.

For more details on the events, and to register, please click here.

Once Falcon has presented, complimentary canapés and beverages are available for 90 minutes during a break-out session, where attendees can mingle with other guests, or ask more questions to the presenters.

We look forward to seeing you there!