Resource Development Play

Northcote has an asset package primed for development through the participation in 56 new well locations and by fraccing 9 wells with 25,000 feet of unfrac’d horizontal wellbore.
Overview

Strategy

Northcote’s objective is to generate substantial value for shareholders through the acquisition and development of leases in proven US onshore formations whilst minimising risk and costs wherever possible. As a result, historic producing formations are targeted where new technologies and techniques such as horizontal drilling and fracture stimulation can be applied to dramatically improve recovery rates, as has occurred in the Bakken formation in North Dakota. By participating in development/ exploration wells with established operators including Eagle Energy and Chesapeake Energy, execution risk is also reduced. Additional projects that are undercapitalised and have the potential to enhance earnings, reserves and revenues will be targeted to augment the existing portfolio.

The management’s strategy is to build the Company’s net production and reserves by increasing its working interest and by reinvesting revenues generated by its producing assets and royalty interests into further development / exploration wells on its existing leases. The Company will also continue to acquire further acreage with exploitation potential and in the process build a leading US focused oil and gas company.