Aker Bp Asa · OSL:AKRBP

Aker Bp Asa — Det norske oljeselskap — Q1 2015 Earnings Presentation

22 slides from Aker Bp Asa's earnings presentation, May 6, 2015

  1. Slide 1: Q1 2015 Results

    Q1 Sa 6 MAY 2015 @ .) DET NORSKE OLJESELSKAP e KARL JOHNNY HERSVIK, CEO ALEXANDER KRANE, CFO

  2. Slide 2: Highlights

    DET NORSKE Highlights  Finance  Q1 EBITDA USD 256 million, EPS 0.01 (USD)  DETNOR02 loan agreement amended  USD 500 million RCF fully underwritten  Contemplating USD 300 million subordinated bond issue  Operations  Total production of 64.9 mboepd in Q1 2015  Production commenced on Bøyla in

  3. Slide 3: Financials

    Financials 2 Q1 2015 DETNORSKE

  4. Slide 4: Statement of income

    FINANCIALS Statement of income Income statement (USD mill) Q1 2015 Q1 2014 FY 2014 Revenues 324 26 464 Production costs 39 7 67 Other operating expenses 14 1 49 EBITDAX 271 18 365 Exploration expenses 15 20 158 EBITDA 256 -2 208 Depreciation 122 15 160 Impairment losses 53 27 346 Operating profit/lo

  5. Slide 5: Statement of financial position

    FINANCIALS Statement of financial position Assets Equity and Liabilities (USD mill) 31.03.15 31.03.14 (USD mill) 31.03.15 31.03.14 Goodwill 1 134 54 Equity 654 530 Other intangible assets 940 367 Other provisions for liabilities incl. P&A 498 145 (long) Property, plant and equipment 2 679 591 Deferr

  6. Slide 6: Amending current debt instruments

    FINANCIALS Amending current debt instruments  Net debt of USD 2 billion  Outstanding debt of USD 2.4 billion (bonds and bank debt) at the end of Q1 2015  Cash, cash equivalents and undrawn credit of about USD 1.0 billion at the end of Q1 2015  DETNOR02 (2013/2020) NOK 1.9 billion bond  Amended

  7. Slide 7: Further diversifying the capital structure

    FINANCIALS Further diversifying the capital structure Debt capital structure Overview 3.85  New USD 500 million RCF fully underwritten by bank consortium 0.50 RCF - undrawn  Four-year tenor and 1+1 extension option 2.95  Utilization fee of 1.5% and margin of 4%, stepping 0.90 RBL - undrawn up by

  8. Slide 8: Production

    f Production ie & Q1 2015 DETNORSKE

  9. Slide 9: Net production

    PRODUCTION Net production Net production (boepd)  Q1 production  Q1 2015 production of 64.9 mboepd  Production availability was 96.4%, above target  Realized oil price of USD 58/bbl  New wells and work-overs  Bøyla put on stream in January, and had an average production of 8,300 boepd (net) in

  10. Slide 10: Continuing to develop the Alvheim area

    PRODUCTION Continuing to develop the Alvheim area Alvheim area  Near-term wells on Alvheim  Kneler 1: Planned to commence production around year-end  BoaKamNorth: Planned to commence drilling in Q4 2015 and to come on stream mid 2016  Viper Kobra: Development project ongoing, will come on stream

  11. Slide 11: Development Projects

    Development Projects Q1 2015

  12. Slide 12: Development on track

    IVAR AASEN (~35%*) Development on track 2012 2013 2014 2015 2016 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 Concept selection FEED studies PDO approval Unitisation Agreement Construction of jacket Construction of topside Construction of LQ Maersk Interceptor to Norway Drilling of geo-pilots Jacket lifted into pl

  13. Slide 13: First geo-pilots in line with expectations

    IVAR AASEN (~35%*) First geo-pilots in line with expectations  Drilling of the geo-pilots in Ivar Aasen commenced in January  First geo-pilots were broadly in line with expectations  Provided valuable information for the placement of production wells  Drilling of pilot wells will be concluded by

  14. Slide 14: Jacket ready for installation

    IVAR AASEN (~35%*) Jacket ready for installation  Jacket completed in January 2015  On time and on cost with no major incidents  Jacket has arrived in Rotterdam  Will remain in Rotterdam until the installation on the Ivar Aasen field  The Thialf vessel will install the jacket  The Wei-Li vesse

  15. Slide 15: Topside construction about 60% completed

    IVAR AASEN (~35%*) Topside construction about 60% completed  Topside on schedule  Detailed engineering in its final stage  Key equipment packages arrived on site as planned  Start commissioning this autumn  Mechanical complete by year-end 2015  Sail-away during spring 2016 * 34.78% in PL 01B/2

  16. Slide 16: PDO submitted, contracts being awarded

    JOHAN SVERDRUP (11.89%, preliminary working interest) PDO submitted, contracts being awarded  PDO submitted in February 2015  Production start-up: Q4 2019  Volumes: 1.7-3.0bn boe (~80% from Phase 1)  Capex: NOK 117bn in Phase 1, NOK 170-220bn in total  First contracts have been awarded  Aker S

  17. Slide 17: Exploration

    Exploration Q1 2015

  18. Slide 18: 2015 drilling activity

    EXPLORATION & APPRAISAL 2015 drilling activity 2015 Drilling schedule 2015 wells in the North Sea License Prospect Share mmboe Rig Timing PL Krafla North & Transocean 25 % - Q4 14/Q1 15 272/035 Main Leader Maersk PL 001B Løvstakken 35% - Q1 15 Interceptor PL 627 Skirne East 20 % 50-171 Leiv Eiriksso

  19. Slide 19: Outlook

    Outlook ad Ql 2015 DETNORSKE

  20. Slide 20: Identified 2015 reductions exceed USD 100m

    COST EFFICIENCY PROGRAMME Identified 2015 reductions exceed USD 100m  Cost efficiency programme progressing well  Measures identified currently exceed USD 100 million  35 people offered redundancy packages or early retirement packages  Will continue to improve supply chain and optimize work proc

  21. Slide 21: Summary and outlook

    OUTLOOK Summary and outlook  Financial  Finalize the USD 300 million subordinated bond issue and the USD 500 million RCF  Continue to optimize the capital structure of the company going forward  Development projects  Ivar Aasen progressing according to plan  Johan Sverdrup PDO submitted, unit

  22. Slide 22: Det norske

    a DETNORSKE www.detnor.no

Det norske oljeselskap — Q1 2015 Earnings Presentation on 6ix