Elk Petroleum's business is to create shareholder value through the redevelopment of existing oil fields through the application of well-established and proven secondary or improved oil recovery (IOR) and tertiary or enhanced oil recovery (EOR) techniques to further extend commercial production from these existing oil accumulations.

Uniquely Positioned

In many respects, Elk is uniquely positioned not only as the only ASX-listed company focused on improved and enhanced oil recovery but as one of the few companies with this dedicated focus in North America. Elk has dedicated itself to delivering superior shareholder value by demonstrating the value of rejuvenating and redeveloping mature oil fields with proven improved and enhanced oil recovery processes and technologies.

Proven Processes and Technologies

These proven processes and technologies are not new and in many respects, were born out of a period when oil prices were low and companies had to find a better way to get more oil out of the fields they already had. Over the last forty years these processes and techniques have been widely applied in key production fairways in North America and have continued to be refined and improved. These companies have learned how to apply these techniques in the right combination to the appropriate types of oil fields. Ultimately demonstrating that the companies that are successful in improved and enhanced oil recovery are the ones that are focussed and committed to technical, commercial and financial excellence.

CO2 EOR Production Fairways - location, location, location

Since its inception, Elk's focus has been identifying, capturing and developing mature oil fields that are good candidates for improved and enhanced oil recovery in proven IOR/EOR production fairways. These activities to date have been in the Northern Rocky Mountain region. The Northern Rockies are home to large proven, developed multi-TCF CO2  gas field resources  and an extensive CO2 gas pipeline network - all developed solely for supplying CO2 for enhanced oil recovery to mature oil fields across the state. This is the Company's "backyard" and presents a great opportunity to build the business on an on-going basis. The foundations of the Northern Rockies EOR production fairway have provided Elk with the essential ingredients for delivering a successful IOR/EOR focussed oil and gas business.

Investment across the value chain

The Company sees that a key component to delivering shareholder value is to secure the Company's business by investing across the CO2 EOR value chain – to become an integrated CO2 EOR development and production company with a significant portfolio of high quality, low cost, low risk, long-life EOR production assets, CO2 resources and CO2 capture, processing and transportation infrastructure.

Continued Growth EOR

It is estimated that over the next five-years the enhanced oil recovery market is expected to grow by approximately 17% CAGR and that enhanced oil recovery utilizing gas injection is expected to grow at a CAGR of 21% with especially strong growth in the main North American EOR production fairway.The turbulence in current oil markets is providing any number of additional IOR and EOR field redevelopment opportunities emerging from debt-distressed, over-leveraged oil companies. The Company is aware of a significant number of candidate CO2 EOR project maturing oil fields that have or are coming onto the market due to the financial stress of the current owners.

Untapped EOR potential

Elk with its unique position as an ASX-listed and Australian headquartered company can bring its accumulated knowledge and experience to Australasia – a virtually untapped growth market for enhanced oil recovery. Vast oil accumulations have been discovered in Australia, Indonesia and Malaysia and in many instances oil production from these discoveries are maturing quickly. Having established our knowledge, experience and credentials as a focussed enhanced oil recovery development and production company, Elk has a unique opportunity to be an early mover in bringing these proven field redevelopment and production technologies and processes into these untapped markets.

Head Office

Australia Square
Level 40, Suite 4001
264 George Street
Sydney NSW 2000
Tel: +61 2 9093 5400

Registered Office

Level 5
126 Phillip Street
Sydney NSW 2000
Tel: +61 2 9299 9690
Fax: +61 2 9251 7455

USA – Denver Office

1700 Lincoln
Suite 2550
Denver, CO
80203 USA
Tel: +1 (303) 861-6255