SIGNIFICANT VALUE

Investment Case

The assets are a fantastic opportunity onshore Wyoming, United States. The value opportunity is incredible and could see transformation potential for the acquirer in the short to medium term.

There's great potential for resource growth and production increase through short term operational activities generating multiple catalysts for creating value across the entire asset base.

The high ROI potential is appealing in itself but there are also tax incentives and environmental benefits. The capture and use of carbon dioxide offers enormous potential to reduce environmental impacts.

This presents an ideal opportunity for both International Oil and Gas Companies or a US based business with domestic operations.

ExxonMobil's acquisition of Denbury valued at $4.9 billion demonstrates strong appetite for mergers and acquisitions. The shareholder group believe that Exxon were the JV party interested in COPL's assets and we believe they are still interested.

There has been other M&A activity nearby.

Chesapeake sold its Powder River Basin assets in Wyoming to Continental Resources, Inc for approximately $450 million in 2022.

Occidental Petroleum acquired Anadarko Petroleum for $55 billion in 2019. The group is Wyoming's largest private landowner and focuses primarily on developing the Powder River Basin. In late 2020, they sold some of their assets in the Powder River Basin for about $700 million to reduce their debt.

Valuation

Home

clear ROAD TO PROFITAbility

The Company found a billion barrels of oil, verified by Ryder Scott, in an inclining oil field where production is merely a factor of injectant being pumped, the new infrastructure is performing well, and increased production will inevitably lead to high profitability.

Case Study 1

Impact Exploration and Production LLC, drilled a horizontal targeting the Frontier Formation which was brought online in July 2023. Since that time it has achieved a peak daily average, monthly flow rate of 918 bopd.

This well is 12 miles NE of COPLs Barron Flats Shannon and Federal Deep Units (85% Working Interest).

Case Study 2

Continental Resources, drilled a horizontal targeting the Frontier Formation which was brought in September 2023. Since that time it has achieved a peak daily average, monthly flow rate of 761 bopd.

This well is 29 miles E of COPLs Barron Flats Shannon and Federal Deep Units (85% Working Interest).

highly valuable

2P NPV 10% was $492 million as at 2022. Total payable to creditors is $81 million. The Carbon Capture Opportunity alone is worth $BILLIONS

CARBON CAPTure OPPORTUNITY

Carbon Capture

Wyoming is one of the largest emerging hubs for CO2 pipeline infrastructure.

COPL's oil fields are approximately 20 miles from a major CO2 pipeline, which is wholly owned by Exxon Mobil.

Exxon Mobil own this pipeline by virtue of their takeover of Denbury in 2023 (see RNS below).

There's an opportunity to replace NGL with CO2 for EOR and utilise the new wells with carbon capture, valuable tax relief (Federal 45Q Tax Credit) is possible.

RNS: ExxonMobil completes acquisition of Denbury.

10 january 2022

Arthur Millholland

CEO Arthur Millholland said the following in an RNS dated, January 10, 2022:

"We are delighted that this discovery reflects the scale of previous discoveries made over my career and in particular, the North Sea. We estimate the Frontier element of the discovery to cover an area of approximately 51 square miles with the capacity of up to three horizontal wells per square mile each initially producing 1,000 - 3,000 barrels per day."

In an interview with Proactive Investors on January 10, 2022, CEO Arthur Millholland said that:

He 'nearly fell of his chair' with the discovery, comprising 1.5bn to 1.9bn barrels of oil in place, was identified spanning Converse and Natrona Counties, Wyoming – with the majority of the estimated 1.275bn to 1.64bn barrels present across the company’s leasehold in Converse and Natrona Counties, Wyoming.

SECURE THE ASSETS

Make an offer

The data room is open. Get your bid in.

Analyse

Research the publicly available information on the Company's assets, review all available documentation and assess the investment case before attending the data room.

Decide

Decide whether the investment case is strong and how much to offer for the assets. Also, study the sales process.

KSV Restructuring Inc. was appointed as monitor in the CCAA proceedings. Visit their dedicated COPL page by visiting the link below.

Sign

If you intend to proceed with an offer, you must enter into a non-disclosure agreement and submit a letter of intent to bid by April 17, 2024 (the “LOI Deadline”).

Complete

Following the LOI Deadline, you will be entitled to submit a bid. In order to constitute a “Qualified Bid,” each bid must comply with the terms of the SISP.

All bids must be received by May 2, 2024 (the “QualifiedBid Deadline”).

Complete the transaction.

KSV Advisory Inc

the top 10

Oil producers in the Powder River Basin in 2023

the top 10

Gas producers in the Powder River Basin in 2023

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