BW Offshore Limited · OSL:BWO
BW Offshore — Q4 2013 Earnings Presentation
20 slides from BW Offshore's earnings presentation, Feb 12, 2014
Slide 1: BW Offshore Q4 2013 presentation
BW OFFSHORE Q4 2013 presentation CEO Carl K. Arnet CFO Knut R. Sæthre
Slide 2: Disclaimer
Disclaimer This Presentation has been produced by BW Offshore Limited ( “BW Offshore”) exclusively for information purposes. This presentation may not be redistributed, in whole or in part, to any other person. This document contains certain forward-looking statements relating to the business, finan
Slide 3: Highlights Q4 and full year 2013
Highlights Q4 and full year 2013 EBITDA ■ Stable operations with an uptime of 99.0% USD million ■ EBITDA of USD 107.3 million in Q4 and USD 140.0 Reported One-offs 447.4 million for full year 2013 120.0 ■ Contract extensions for FPSO Polvo and FPSO Abo 100.0 ■ Letter of Intent for acquiring 30% owne
Slide 4: Operations
OPERATIONS
Slide 5: Operational highlights
Operational highlights ■ HSSEQ performance Uptime − Lost time injuries (LTI*) frequency of 0.23 100% ■ Fleet uptime − 99.0% in Q4 2013 and for full year 2013 98% ■ Signed extension contract for FPSO Abo to Q2 2014 96% ■ Signed extension contract for FPSO Polvo to Q3 2015 ■ Commenced marketing of FPS
Slide 6: Fleet overview
Fleet overview U nit T yp e C o nt r act 2009 2 0 10 2 0 11 2 0 12 2 0 13 2 0 14 2 0 15 2 0 16 2 0 17 2 0 18 2 0 19 2020 2021 2022 2023 2024 2025 Sendje Berge FPSO Lease & Operate Addax/Sinopec, Nigeria: 2005-2014 Berge Helene FPSO Lease & Operate Petronas, M auritania: 2006-2015 (2021) Yùum K'ak'Ná
Slide 7: Polvo oil field
Polvo oil field ■ Signed a Letter of Intent to acquire 30% of the Polvo oil field in Brazil from HRT ■ BW Offshore’s FPSO Polvo has produced on the field since first oil in 2007 ■ Average production in 2013 of approx 12,000 bbls of oil per day ■ The field installations includes the Polvo A wellhead
Slide 8: Financials
FINANCIALS
Slide 9: Financials
Financials Net debt and equity ratio ■ EBITDA of USD 107.3 million in Q4 and USD USD million and percentage 447.4 million for full year 2013 Net debt (USD mill, LHS) Equity ratio (RHS) ■ Total equity of USD 1,124.1 million 2 000 40% 1 800 − Equity ratio 33.5% 1 600 35% 1 400 ■ Q4 2013 dividend of US
Slide 10: Income statement
Income statement USD million Q4 2013 Q3 2013 2013 2012 Operating revenues 266.7 238.4 982.4 909.4 Operating expenses -159.4 -123.0 -535.7 -661.1 Share of profit from associates 0.0 0.1 0.7 0.9 EBITDA 107.3 115.5 447.4 249.2 Depreciation -67.4 -66.5 -263.7 -224.2 Amortisations -0.5 -0.4 -2.0 -2.6 Gai
Slide 11: Statement of financial position
Statement of financial position USD million 31.12.2013 30.09.2013 31.12.2012 Total non-current assets 2,910.7 2,946.9 3,084.5 Total current assets 443.9 382.5 339.2 Total assets 3,354.6 3,329.4 3,423.7 Total equity 1,124.1 1,141.4 1,030.4 Total non-current liabilities 1,713.4 1,673.0 1,784.7 Total c
Slide 12: Financial strength
Financial strength ■ Gross debt of USD 1,749 million − Net debt of USD 1,614 million ■ Available liquidity of USD 400 million ■ Financial capacity to take on a new lease project − Fully financed by operational cashflow, existing liquidity and new bank loan Gross debt Instalments USD million Per 31.1
Slide 13: Orderbook
Orderbook ■ Orderbook of USD 6.9 billion as of 31 Total orderbook and clients December 2013 − Whereof USD 3.3 billion are firm contracts ■ Long term lease contracts with solid counterparties − Visible and sustainable revenue 28% 35% ■ Portfolio with solid EBITDA-margins USD − 2013 EBITDA margin of 4
Slide 14: Future
FUTURE
Slide 15: Maximising fleet value
Maximising fleet value ■ Operational improvements ■ Secured extensions − Sendje Berge − Abo − Polvo ■ Redeployment opportunities − Azurite 12 February 2014 15
Slide 16: Projects
Projects ■ Focused tender and FEED work ■ Evaluating several projects meeting BW Offshore’s financial targets ■ Catcher status − Awarded FEED study Q4 2012 − FEED study performed 1H 2013 − Technical and commercial clarifications − Expected final decision Q2 2014 ■ Kudu status − Engineering performed
Slide 17: Strengthening execution capabilities
Strengthening execution capabilities ■ Execution centres in Singapore and Oslo Onshore headcount − Personnel 580 − Competence 560 ■ Recruitment profile − Engineering 540 − Procurement − Planning 520 − Controlling 500 − Project management 480 ■ More BW Offshore DNA in new projects − Increasing inhous
Slide 18: Current priorities
Current priorities ■ Conclude project opportunities ■ Conclude extension contracts for Sendje Berge and Abo ■ Azurite redeployment ■ Execute life extension programs ■ Operational improvements in fleet ■ Recruitment and strengthening of project and technical staff in Singapore, Oslo and Rio 12 Februa
Slide 19: Q&A
Q&A
Slide 20: Further information and IR contact
Further information: www.bwoffshore.com IR contact: Kristian Flaten, Vice President IR and Corporate Finance kristian.flaten@bwoffshore.com 12 February 2014 20