Santos Limited · ASX:STO
Santos — APPEA Investor Briefing 2013
31 slides from Santos's conference presentation, May 28, 2013
Slide 1: APPEA Investor Briefing
For personal use only APPEA Investor Briefing 28 May 2013 1
Slide 2: Western Australia & Northern Territory Business Unit
For personal use only Western Australia & Northern Territory Business Unit 2
Slide 3: WA&NT – delivery today/growth for tomorrow
WA&NT – delivery today/growth for tomorrow For personal use only Highest ever production from Carnarvon Basin in 2012, driven by Reindeer and Domestic Spar Gas Winchester and Bianchi (Zola appraisal) drilling underway, success will offer multiple growth options Fletcher Finucane now in production, o
Slide 4: Fletcher Finucane - delivery today
Fletcher Finucane - delivery today For personal use only First oil 20 May 2013 ahead of schedule and on budget Oil currently flowing from three subsea wells at a gross production rate of 17km 45,000 bbl/day 14km Forecast average gross production rate of 15,000bbl/day in the first 12 months Gross pro
Slide 5: Fletcher Finucane – discovery to first oil
Fletcher Finucane – discovery to first oil in < 2 years For personal use only Well heads for Critical path Spud first Project development LLI ordered development Install initiation ordered well pipelines First oil 2011 2012 2013 7 Months 16 Months Finucane South discovered Final Investment Decision
Slide 6: Greater Mutineer Exeter Area – ongoing plans
Greater Mutineer Exeter Area – ongoing plans For personal use only FPSO Window for future tie-backs to further extend refurbishment in field life Singapore Drill Vanuatu prospect 3 well work-over campaign 2013 2014 2015 2018 Fletcher Finucane extends Mutineer Exeter production to at least 2018 Mutin
Slide 7: Northern Australia – future growth for Santos
Northern Australia – future growth for Santos For personal use only Timor Bayu Undan: Detailed design Joint Petroleum underway for Phase 3 offshore Development Barossa: Rig secured for drilling program Area appraisal campaign and concept studies underway Fisburne (459-P): Seismic acquired, and proce
Slide 8: Browse – Crown success unlocks material play
Browse – Crown success unlocks material play For personal use only Crown gas–condensate Prospect “D” Dufresne discovery (Santos 30%) Bassett West Under-construction pipeline - Contingent recoverable resource estimate range Astrolabe Grande 0.5 to 5 Tcf Bassett West-1 exploration WA-274P well (Santos
Slide 9: Bonaparte LNG – on track for FEED
Bonaparte LNG – on track for FEED For personal use only Santos (40%) and GDF SUEZ (60%, Operator) Development of Petrel, Tern and Frigate fields located 250km west of Darwin in the Timor Sea Floating LNG technology, producing between 2 to 3 mtpa - Steel double-hull floating facility, 400m long and 7
Slide 10: Caldita Barossa – concept studies underway
Caldita Barossa – concept studies underway For personal use only New partnership with SK E&S to progress Caldita Barossa appraisal and development - Santos (25%), ConocoPhillips (37.5%, operator) and SK E&S (37.5%) SK E&S to fund up to US$520 million in joint venture appraisal drilling, pre-FEED, FE
Slide 11: McArthur Basin Shale – major new play for Santos
McArthur Basin Shale – major new play for Santos For personal use only Interest in approximately 25,000 square kilometres Darwin LNG Farm-in with Tamboran earned an initial 50% operated interest in four permits, option to Ichthys LNG increase equity to 75% Darwin Gove Wickham Point Proven sub-basin
Slide 12: WA&NT – delivery today/growth for tomorrow
WA&NT – delivery today/growth for tomorrow For personal use only Highest ever production from Carnarvon Basin in 2012, driven by Reindeer and Domestic Spar Gas Winchester and Bianchi (Zola appraisal) drilling underway, success will offer multiple growth options Fletcher Finucane now in production, o
Slide 13: Questions
For personal use only 13 Questions
Slide 14: Eastern Australia Business Unit
For personal use only Eastern Australia Business Unit 14
Slide 15: Key Messages
Key Messages Commercialising world class unconventional resources across Central Australia For personal use only 2013-14 focus on building base gas capacity and to ensure ongoing Cooper Gas in reliability of existing facilities transition to meet 2015 growth Transitioning from a decade of decline to
Slide 16: EABU key themes
EABU key themes For personal use only 1. Cooper Gas in transition to meet 2015 growth 2. Santos is uniquely positioned for Cooper unconventional resource success 3. Santos’ Narrabri gas project is a significant part of the NSW energy solution 16
Slide 17: Cooper Gas: transitioning from decline to growth
Cooper Gas: transitioning from decline to growth For personal use only Cooper Gas well-head production capacity step-up of 30% by 2015, reversing a decade of decline Gross Cooper Basin well-head gas production capacity1 mmscf/d 550 +30% 500 450 decline reversal achieved 400 Actual Forecast Actual Fo
Slide 18: Three key Cooper Gas focus areas to meet 2015 growth
Three key Cooper Gas focus areas to meet 2015 growth For personal use only Focussing on increasing volume and reducing costs to deliver a higher margin business 1. Existing facilities reliability 2. Upstream development Reliability Well-head production capacity Maintenance strategies delivering Grow
Slide 19: Ensuring reliability of existing facilities
Ensuring reliability of existing facilities For personal use only Cooper Gas unscheduled downtime now below 10% and planned production costs under $10/boe by 2015 Maintenance strategies delivering record facilities utilisation - Unscheduled downtime from >15% to <10% Unscheduled downtime - Moomba lo
Slide 20: Transforming to lower cost upstream development
Transforming to lower cost upstream development For personal use only Increased program of multi-well drills and SIMOPS reduces the delivery time and cost of building production capacity to meet 2015 growth 180 Cooper Gas wells drilled from 2013 to 2015 4 Cooper Gas drilling rigs operational by 2014
Slide 21: Cowralli multi-well pad drilling and SIMOPS
Cowralli 16 multi-well pad drilling and SIMOPS For personal use only Cowralli multi-well drilling & SIMOPS Continuing the cost reduction Multi-well Pad 1 SIMOPS control location transformation journey with Cowralli Building on lessons from Big Lake and Tindilpie multi-well pads Cowralli on schedule
Slide 22: CIEP stage to meet growth contracts
CIEP stage 1 to meet growth contracts For personal use only Gross Stage 1 spend of ~$800M over 2013-17, flexible with upstream development pace Stage 1 In-field Stage 1 Moomba Gas Plant New satellite compression New Moomba CO2 train Additional compression at four key New (Train 8) 1000 Ktpa of CO2 s
Slide 23: EABU key themes
EABU key themes For personal use only 1. Cooper Gas in transition to meet 2015 growth 2. Santos is uniquely positioned for Cooper unconventional resource success 3. Santos’ Narrabri gas project is a significant part of the NSW energy solution 23
Slide 24: Encouraging progress in Cooper unconventional resources program
Encouraging progress in Cooper unconventional resources program provides new key insights For personal use only Short-term Program Milestones Date Key Insights Drill Gaschnitz-1 Feb 2013 Basin Centred Gas Drill Van der Waals-1 June 2013 Nappamerri Trough Basin Centred Gas play now proven Basin Centr
Slide 25: Ability to accelerate unconventional development
Ability to accelerate unconventional development For personal use only Subject to realising commercial flow rates from exploration and pilot wells, Santos positioned to quickly commence development of its unconventional plays BCG Exploration BCG Production Pilot BCG Accelerated Development 2013 2014
Slide 26: EABU key themes
EABU key themes For personal use only 1. Cooper Gas in transition to meet 2015 growth 2. Santos is uniquely positioned for Cooper unconventional resource success 3. Santos’ Narrabri gas project is a significant part of the NSW energy solution 26
Slide 27: Santos Narrabri development is part of NSW solution
Santos Narrabri development is part of NSW solution For personal use only Santos can deliver gas to NSW customers during 2016-2019 window… Targeting NSW Minimal Agriculture protected customers environmental impact Phase 1 footprint Phase 1 developing 400 wells over 20 yrs Outside of prime 1,400 PJ a
Slide 28: Key Messages
Key Messages Commercialising world class unconventional resources across Central Australia For personal use only 2013-14 focus on building base gas capacity and to ensure ongoing Cooper Gas in reliability of existing facilities transition to meet 2015 growth Transitioning from a decade of decline to
Slide 29: Questions
For personal use only 29 Questions
Slide 30: APPEA Investor Briefing
For personal use only APPEA Investor Briefing 28 May 2013 30
Slide 31: Contact information
Contact information Commercialising world class unconventional resources across Central Australia For personal use only Head office Adelaide Andrew Nairn Ground Floor, Santos Centre Group Executive Investor Relations 60 Flinders Street Level 10, Santos Centre Adelaide, South Australia 5000 Direct: +