Transportadora De Gas Del Sur Sa Class B · BCBA:TGSU2

Transportadora De Gas Del Sur Sa Class B — TGS-NOPEC Geophysical Company — Q2 2020 Earnings Presentation

32 slides from Transportadora De Gas Del Sur Sa Class B's earnings presentation, Jul 23, 2020

Slide 1: Q2 2020 Earnings Release
Q2 2020 Earnings Release Kristian Johansen Fredrik Amundsen CEO CFO Oslo, 23 July 2020
Slide 2: Forward-looking statements
Forward-looking statements All statements in this presentation other than statements of historical fact, are forward-looking statements, which are subject to a number of risks, uncertainties, and assumptions that are difficult to predict and are based upon assumptions as to future events that may no
Slide 3: Highlights
Highlights Q2 2020 revenues down 55% y/y – hit by COVID-19 crisis Cash generating capabilities allows for dividend maintained at USD 0.125 per share Further cost efficiency measures implemented Challenging market conditions in the short-term Long-term drivers intact – growth in exploration required
Slide 4: Further cost efficiency measures implemented
Further cost efficiency measures implemented Additional workforce reduction through right-sizing exercises • Number of employees at year-end 2020 expected to be well below 500 compared to almost 700 at year-end 2019 • Reduction of management layers Salary reduction • Salary reduction of 3% for all e
Slide 5: Operational highlights
" ; _ a a Operational highlights 2
Slide 6: Q2 2020 Operational highlights
Q2 2020 Operational highlights Western Hemisphere Eastern Hemisphere Polarcus Adira Alaska land crew Shearwater OBN crew JV BGP Prospector JV Gyre JV BGP Pioneer JV Ivan Gubkin Polar Empress Amazon Warrior 3D operations 2D operations Land operations Seaseep operations ©TGS-NOPEC Geophysical Company
Slide 7: Key projects in 2020
Key projects in 2020 Malvinas 3D - Argentina Santos 3D - Brazil Campos 3D - Brazil • Covering approximately 17,800 km2 in the • Completed acquisition of 17,200 km2 of 3D • Completed acquisition of approximately prospective Malvinas Basin, Argentina data in the Santos Basin, Brazil 14,100 km2 in the
Slide 8: Key projects in 2020
Key projects in 2020 Engagement OBN - US GoM Atlantic Margin 20 3D - Norway Kuukpik 3D US Alaska • Commenced acquisition of second sparse • Ongoing acquisition of 5,600 km2 of high- • Completed acquisition of 632 km2 high node project in U.S GOM in northern resolution 3D data in the Atlantic Margin
Slide 9: Key R&D Achievements
Key R&D Achievements Dynamic Matching Fullwave Inversion SaltNet Well Performance • Dynamic Matching Fullwave Inversion uses • SaltNet is a software tool which allows • Well Intel is a unique collection of insights, seismic reflection and refraction interpreters to integrate machine learning forecas
Slide 10: Financials
Financials
Slide 11: IFRS
IFRS 15 • The accounting standard IFRS 15 regarding revenue recognition implemented from 1 January 2018 • Implications for TGS • Recognition of revenues related to multi-client projects postponed until projects are delivered to customers • No amortization until completion of the project • No impact
Slide 13: Q2 2020 Non-recurring Items
Q2 2020 Non-recurring Items • Amortization/Impairment: Completed a full review of the sales forecast considering COVID and oil demand outlook and recognized USD 29.8 million in impairment. • Salaries and Social Expense: Recognizing USD 6.8 million in severance cost during Q2 based on restructuring a
Slide 14: Operating Expenses, EBIT, MC investments
Operating Expenses, EBIT, MC investments TGS/SPU Consolidated (Q1 2018 – Q4 2019) 1. Personnel costs and other operating expenses excluding non-recurring items 2. Earnings before interest and taxes excluding non-recurring items ©2018 TGS-NOPEC Geophysical Company ASA. All rights reserved 14
Slide 18: Dividends
Dividends 0.125 0.125 0.375 • The Board has resolved to maintain the dividend of USD 0.125 per share in Q3 2020 • Ex date 30 July 2020 – payment date 13 August 2020 1. Quarterly dividends defined in USD from 2016. Annual dividends defined in NOK prior to 2016, converted to USD with the FX rate at ex
Slide 19: Outlook
Outlook
Slide 20: Challenging market in the near-term
Challenging market in the near-term 2020 capex revisions selected E&P companies • COVID-19 and sharp oil price drop have led to ConocoPhillips -11% Average 25%* deep cuts in 2020 E&P spending budgets Equinor -19% Aker BP -20% Chevron Shell -20% -20% • On average E&P companies has revised their Total
Slide 21: A more balanced oil market going forward
A more balanced oil market going forward World liquid fuels production and consumption World liquid fules implied stock build/(draw) 10.0 110 8.0 105 6.0 Change mbbl/day 100 4.0 Mbbl/day 2.0 95 0.0 90 -2.0 85 -4.0 80 -6.0 Production Consumption Source: EIA Short-Term Energy Outlook July 2020 • A gro
Slide 22: More oil and gas resources needed to meet future demand
More oil and gas resources needed to meet future demand Global supply and demand scenarios to 2040 Oil Gas 120 120 100 Additional supply gap to base case 100 scenario1 80 80 50-95m Additional supply gap to base Minimum supply gap to meet bbl/d in case scenario1 35-65m M bbl/d 60 M boe/d 60 2°C scena
Slide 23: Exploration to play an important role in closing the supply gap
Exploration to play an important role in closing the supply gap Point-forward costs of oil and gas supply by development status Gas exploration Pre-FID gas Gas under development Onstream gas incremental Proven developed gas Oil exploration Pre-FID oil Oil under development Onstream oil incremental P
Slide 24: 2020 Project schedule
2020 Project schedule South Halfway 3D Ravenclaw 3D Land Plains 3D Kuukpik 3D Engagement OBN Malvinas 3D Campos 3D Santos 3D 3D Norway AM 20 Senegal OUP-NORD-20 Senegal SN-UDO-19 Gambito 3D Argentina 111/113 & 102 2D/Seaseep Potiguar 2D Para Maranhao Nigeria Seaseep Jan Feb Mar Apr May Jun Jul Aug S
Slide 26: Summary
Summary Q2 2020 revenues down 55% y/y – hit by COVID-19 crisis Cash generating capabilities allows for dividend maintained at USD 0.125 per share Further cost efficiency measures implemented Challenging market conditions in the short-term Long-term drivers intact – growth in exploration required to
Slide 27: Appendix
Appendix
Slide 30: Reconciliation
Reconciliation Segment Reporting/IFRS Impact on Income Statement Q2 2020 Q2 2020 (All amounts in USD 1,000s) As reported Adjustments Segment Net revenues 66 156 29 691 95 848 Amortization and impairment of multi-client library 114 418 16 317 130 735 Total operating expenses 163 098 16 317 179 415 Ta
Slide 32: Thank you
Thank you

TGS-NOPEC Geophysical Company — Q2 2020 Earnings Presentation on 6ix

Transportadora De Gas Del Sur Sa Class B — TGS-NOPEC Geophysical Company — Q2 2020 Earnings Presentation

Slide 1: Q2 2020 Earnings Release

Slide 2: Forward-looking statements

Slide 3: Highlights

Slide 4: Further cost efficiency measures implemented

Slide 5: Operational highlights

Slide 6: Q2 2020 Operational highlights

Slide 7: Key projects in 2020

Slide 8: Key projects in 2020

Slide 9: Key R&D Achievements

Slide 10: Financials

Slide 11: IFRS

Slide 12: Net Revenues

Slide 13: Q2 2020 Non-recurring Items

Slide 14: Operating Expenses, EBIT, MC investments

Slide 15: Income Statement

Slide 16: Balance Sheet

Slide 17: Cash Flow Statement

Slide 18: Dividends

Slide 19: Outlook

Slide 20: Challenging market in the near-term

Slide 21: A more balanced oil market going forward

Slide 22: More oil and gas resources needed to meet future demand

Slide 23: Exploration to play an important role in closing the supply gap

Slide 24: 2020 Project schedule

Slide 25: Backlog

Slide 26: Summary

Slide 27: Appendix

Slide 28: Income Statement

Slide 29: Balance Sheet

Slide 30: Reconciliation

Slide 31: Multi-Client Library

Slide 32: Thank you