Candax Energy Inc. (TSX: CAX)) is an international energy company with its head office in Toronto, Ontario, Canada and management offices in London, Dubai and Tunis. The Company holds a number of concessions in Tunisia through its subsidiary companies and is involved in the exploration and production of oil, gas and power generation in that country. Candax was formed with a strategy to develop an international upstream oil and gas project portfolio with a significant reserves base and growing production. Candax is initially focusing its growth activities on production and development projects in the Middle East and North Africa, where the group has strong relationships as well as extensive management experience.
Top Investment Highlights
Management team from the “University of Big Oil” with entrepreneurial experience and collectively have over 180 years of experience in International Oil & Gas
Large drilling program in Tunisia onshore and offshore (YE 2006 net reserves of 7 MMboe)
Ongoing 2007/2008 drilling program: 5 development wells; 1 appraisal well; and 1 exploration well
Portfolio of producing fields: El Bibane, Ezzaouia and Robbana (current net production approximately 500 bopd)
El Bibane development key to strong cash flow generation in 2008. Management assumptions of average production of 3,000 bopd and 6mmcf/d of sales gas should generate $60 million cash flow at assumed average Brent price of $70.
Chaal gas discovery in 2006 – contingent resource of up to 1 Tcf and appraisal well planned H2/2008
Combining a strong production base with an emphasis on exploitation and associated exploration upside potential, Candax is focused on building a world class, full-cycle, exploration and production company
Strategic partnerships enable Candax to seek significant deals as part of its transaction-driven growth strategy
Development and Exploration Asset Summary
– El Bibane (W.I.* 73.8%)
° Offshore 3 well development
° Estimated gross production entering 2008: 3,500 – 4,000 bopd plus 6 – 10 MMcf/d
– Deep Triassic (W.I.* 31.4%)
° Two world class structures below Ezzaouia and El Bibane fields targeting Triassic (TAGI) formation
° Exploration upside – both prospects have potential for multi-Tcf gas plus condensate
– Chaal Discovery (W.I.* 60%)
° Contingent resource of up to 1 Tcf
° Appraisal well planned late 2008
