BF Powerpoint Final 2015

AN ATTRACTIVE INVESTMENT OPPORTUNITY IN THE US OIL & NATURAL GAS MARKET

WHO WE ARE• Blackflame Energy Ltd are a

new Oil and Gas Company.

• We are a UK Company with Enterprise Investment Scheme Advance Assurance.

• We operate in the USA.

© All Rights Reserved Blackflame Energy Ltd.

WE LIVE IN A HYDROCARBON SOCIETY• 90% of all transport is fueled

by oil products

• 95% of all goods in shops are transported using oil

• All petrochemicals are produced from oil


...AND ARE DEPENDENT ON OIL AND GAS

•99% of all lubricants are produced from oil

•99% of food production involves oil or gas for fertilisers, agrochemicals, cultivation and transport


WORLDS TOP COMPANIES4 out of 5 of the world’s top 10 companies

(as ranked by revenue) are oil and gas.

1. Wall Mart $476.3bn

2. Royal Dutch Shell $459.6bn

3. Sinopec $ 457.2bn

4. China National Petroleum $432bn

5. ExxonMobil $407.7bn


WHAT WE DO•Buy underperforming or underdeveloped onshore oil and gas leases in producing oil fields.

•Rework the existing shallow wells to increase production using various stimulation methods. (This Secondary recovery can produce a further 10-20% of the Original Oil In Place (OOIP)).

•Drill new infill shallow wells. •Consolidate leases.


HOW WE OPERATE

•We buy underperforming oil and gas leases in producing oil fields in the Permian Basin, Texas.

•We create a development and management plan for the lease (many small leases are not operated for optimum production) this improves efficiency of current production.

•We introduce oil stimulation and secondary recovery practices, injection wells, drill infill wells.

•We consolidate leases and introduce tertiary recovery methods, surfactants, Co2.


WHERE WE OPERATE

• UK based management.

• US based operations.

• Active in South West Texas, in the Permian Basin, one of the largest oil and gas reserves in the world.


KEY FEATURES

KNOWLEDGEOur longstanding existing relationships in our chosen area help to secure the best leases and wells

EXPERIENCEOur team has combined eight decades of experience INNOVATIONUsing advanced technology and expertise to boost production and returns PROVEN TRACK RECORDHigh success rate in improving production and drilling successful wells


THE TEAM

• CEO – Certified Hedge Fund Professional with over 30 years experience including board level of a UK PLC.

• Technical Director – First Class honours degree in Petroleum Engineering from Imperial College, London with over 30 years experience in the oil and gas industry

• Chief Engineer – BSc in Petroleum Engineering and a career spanning 40 years in oil and gas drilling.


THE TEAM

• US Operations Manager – A seasoned industry professional and graduate of Texas A&M University with over 10 years experience managing oil and gas drilling.

• Marketing Director – MA in Marketing and a Chartered Marketer with over 20 years experience as a Financial Advisor and currently the Chairman of an Oil Services Company.


INVESTOR OPPORTUNITY

•Enterprise Investment Scheme (EIS) Advance Assurance Obtained.

•£1 invested to return £1.50, possible return of £2.50 after 5 years.

•Tax relief on investment and on sale of shares.

•Available for self invested pension arrangements.

• Investors with sufficient investment can chose a bespoke structure.

• Income generating or growth.


RISK MITIGATION

•30% Income Tax Relief on amount invested (EIS).

•Low production costs... Profitable below $50 per barrel.

•Oil purchase agreement with major purchasers.

•Monthly sales and receipts

•Producing Light sweet crude oil for premium prices (WTI – West Texas Intermediate Prices)

•Shallow Wells – Lower cost drilling and work overs.


US TAX BENEFITS

US Tax reliefs include

•Relief on Intangible Drilling Costs at approx 85% in the year incurred with the balance of Tangible Drilling Costs written down over time

•Relief on gains made on disposal of lease if reinvested in a further lease.


UK TAX BENEFITS

UK Tax relief under the Enterprise Investment Scheme (EIS) include

• Relief on amount Invested at income tax rates.

• Deferred Gains Tax on “rolled over” gains.

• Relief from tax on gains made on disposal.

• Shares potentially free of Inheritance Tax.


ENTERPRISE INVESTMENT SCHEME• Income Tax Relief – 30% on

capital invested

• No Income Tax on encashment

• Tax free Capital Gains

• Capital Gains can be rolled over into an EIS and deferred

• Inheritance Tax free after 2 years (if shares held at time of death)


EIS LOSS RELIEFIf the value of the share falls below the value of the net amount invested further tax relief may be available at the marginal rate

The effective loss suffered by an individual who pays income tax at 45% may be limited to 38.50p for each £1.00 invested.


CONTACTBlackflame Energy Ltd43 Berkeley SquareMayfairLondon W1J 5 FJ

Phone: 0207 118 1313 Mobile: 07921 556 300 or Skype: blackflame.energy Email: [email protected] www.blackflameenergy.com


FOR RISKWith any investment there is a degree of risk. Past performance is not a guide or indication of future performance. The value of investments can go down as well as up and you could lose part or all of the capital invested. Investment in the company should be considered for medium-long term. Investment is likely to be illiquid and may be difficult to realise. Investors should seek independent legal, financial and tax advice prior to investing. The content of this document has not been approved by a person authorised to carry on a regulated activity (“Authorised Person”) under the Financial Services and Markets Act 2000, as amended (“FSMA”). Reliance on the document for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of the money they have invested.


BF Powerpoint Final 2015

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