Vantage Drilling Company · OTC:VTGDF
Vantage Drilling — J.P. Morgan Global High Yield & Leveraged Finance Conference (February 2013)
19 slides from Vantage Drilling's conference presentation, Feb 25, 2013
Slide 1: Vantage Drilling Company
Exhibit 99.1 Vantage Drilling Company J.P. Morgan Global High Yield & Leveraged Finance Conference Miami, Florida February 25, 2013
Slide 2: Forward-Looking Statements
Forward-Looking Statements Some of the statements in this presentation constitute forward-looking statements. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not his
Slide 3: Corporate Overview
Corporate Overview Symbol: VTG (NYSE AMEX) Location: HQ – Houston; Operations – Singapore; Marketing – Dubai Market Cap: $485 million ($1.62 per share) Book Value: $569 million ($1.90 per share) Enterprise Value: $2.7 billion Employees: > 1,000 Contract Backlog: $3.1 billion Owned Fleet: 4 Ultra-Pre
Slide 4: Recent Developments
Recent Developments nd Awarded 2-year contract in West Africa for Tungsten Explorer commencing in the 2 quarter 2014, plus four 6-month options; approximately $468 million of backlog over the initial 2-year term. We are in discussion with several oil companies and anticipate booking up to one additi
Slide 5: Company Highlights
Company Highlights Premium high-specification drilling units, including four jackup rigs and three drillships Vantage’s modern rigs are capable of drilling to deeper depths and possess enhanced operational Premium Fleet efficiency and technical capabilities, resulting in higher utilization, dayrates
Slide 6: Company Highlights (Cont'd)
Company Highlights (Cont’d) Management team with extensive experience; average of 29 years in the drilling industry Experienced Includes international and domestic public company experience with industry-leading peers involving Management and numerous acquisitions and debt and equity financings. Ope
Slide 7: Premium Owned Fleet with a Proven Operational Track Record
Premium Owned Fleet with a Proven Operational Track Record Owned Assets Construction Management Projects Newbuild Ultra-Premium Marine Pacific Class 375 Jackups 4 Ultra-Premium Jackups Emerald Driller Sapphire Driller Topaz Driller Aquamarine Driller Mexican Operator • Hired by newly formed • Delive
Slide 8: Business Strategy
Business Strategy • Customer demand for new high-specification units supported by: Capitalize on Customer – Need for rigs well-suited for drilling through deep and complex formations and drilling horizontally Demand for High- – Enhanced efficiency providing faster drilling and moving times Specifica
Slide 9: Worldwide Operations
Worldwide Operations 1 Drillship Under Construction Korea Aquamarine Driller Houston Contract: Petronas Carigaili Titanium Explorer Malaysia Contract: Petrobras U.S. GOM Dubai Primus Topaz Driller Mobilizing Contract: Total Mexico Indonesia Contract: ONGC Sapphire Driller Platinum Explorer Contract:
Slide 10: Strong Customer Relationships
Strong Customer Relationships Key Customers 10
Slide 11: Ultra-Premium Jackup Fleet
Ultra-Premium Jackup Fleet Increased Operational Efficiency and Improved Quarterly Financial Performance Technical Capability: • Faster drilling times • Faster moving times • Increased volumes of consumable liquids and drilling fluids • Reduced boat runs and non-productive time • Improved pipe handl
Slide 12: Fleet Status – Average Drilling Revenue/Day
Fleet Status – Average Drilling Revenue/Day(1) (1) Average drilling revenue per day is based on the total estimated revenue divided by the minimum number of days committed in a contract. Unless otherwise noted, the total revenue includes any mobilization and demobilization fees and other contractual
Slide 13: Global Deepwater Market
Global Deepwater Market Ultra-Deepwater Rig Supply is Increasing Significantly Deepwater Exploration is a Young, Rapidly Growing Market Demand is Likely to Exceed Rig Supply Despite Newbuilds Source: ODS-Petrodata, DnB NOR 13
Slide 14: Market Overview - Global Oil Production vs. E&P Spending
Market Overview - Global Oil Production vs. E&P Spending 1997 -2012 2009-2012 CAGR Spending 9.9% 14.3% CAGR Production 1.2% 1.8% Source: EIA & Barclays Research 14
Slide 15: Financial Overview
Financial Overview Balance Sheet ($Millions) December 31, December 31, December 31, December 31, 2009 2010 2011 2012 Cash and cash equivalents $ 16.0 $ 120.4 $ 110.0 $ 502.7 Restricted cash 28.9 29.0 7.0 3.5 Trade receivables 17.5 50.2 100.9 119.5 Inventory 10.8 19.8 24.4 37.9 Prepaid expenses and o
Slide 16: Key Drivers Near Term
Key Drivers Near Term • Contract for the Tungsten Explorer for “gap” period • Refinance $1 billion debt • Improving dayrate contract fixtures on jackups • Maintain high productive time on Platinum Explorer 16
Slide 17: Financial Overview
Financial Overview Historical Financial Information ($ Millions) 17
Slide 18: Appendix: Reconciliation of Net Income (Loss) to Adjusted EBITDA
Appendix Reconciliation of Net Income (Loss) to Adjusted EBITDA ($Millions) Fiscal Quarter Ended, 3/31/2009 6/30/2009 9/30/2009 12/31/2009 3/31/2010 6/30/2010 9/30/2010 12/31/2010 Net income (loss) $ 2.4 $ 4.0 $ 6.8 $ (4.3) $ 6.0 $ (7.0) $ (33.6) $ (13.0) Interest expense, net 0.7 1.3 1.9 4.2 8.0 13
Slide 19: Debt Maturities
Debt Maturities $ millions 1,400.0 1,200.0 1,150.0 1,050.0 1,000.0 800.0 600.0 369.0 400.0 200.0 31.3 50.0 50.0 53.5 - 2013 2014 2015 2016 2017 2018 2019 19