Origin Energy Limited · ASX:ORG
Origin Energy — Shareholder Meeting (October 2009)
73 slides from Origin Energy's shareholder meeting presentation, Oct 30, 2009
Slide 1: Annual General Meeting
Annual General Meeting 30 October 2009
Slide 2: Important Notice
Important Notice This presentation does not constitute investment advice, or an inducement or recommendation to acquire or dispose of any securities in Origin, in any jurisdiction (including the USA). This presentation is for information purposes only, is in a summary form, and does not purport to b
Slide 3: The Board
origin The Board Together we can make a difference.™
Slide 4: J Roland Williams CBE
The Board J Roland Williams CBE Independent p Non-Executive Director 4
Slide 5: Bruce G Beeren
The Board Bruce G Beeren Non-Executive Director 5
Slide 6: Trevor Bourne
The Board Trevor Bourne Independent p Non-Executive Director 6
Slide 7: Grant A King
The Board Grant A King Managing g g Director 7
Slide 8: Company Secretary
Company Secretary Andrew C Clarke Company p y Secretaryy & Group p General Counsel 8
Slide 9: Helen M Nugent AO
The Board Helen M Nugent AO Independent p Non-Executive Director 9
Slide 10: Gordon M Cairns
The Board Gordon M Cairns Independent p Non-Executive Director 10
Slide 11: Karen A Moses
The Board Karen A Moses Executive Director Finance and Strategy gy 11
Slide 12: John H Akehurst
The Board John H Akehurst Independent p Non-Executive Director 12
Slide 13: 13
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Slide 14: Chairman's Address
origin Chairman’s Address Together we can make a difference.™
Slide 15: Share price performance
Share price performance Origin Share Price Performance (Indexed to 100 from 1 November 2007) 200 sme SRP ASX 100 =m QRG 175 : 177 150 125 100 86 75 50 qT T T T T T T T Nov-Q7 Jan-08 Apr-08 Jul-08: Oct-08 Jan-09 Apr-0% Jul-d9 15 origin
Slide 16: Record underlying profit of $530 million
Record underlying profit of $530 million 16
Slide 17: Earnings per share – up 19 per cent
Earnings per share – up 19 per cent 17
Slide 18: Strong balance sheet provides opportunity for future investments
Strong balance sheet provides opportunity for future investments As at 30 September 2009 Undrawn Available Funding Committed Debt Capacity at 30 A$b Cash Facilities September 2009 5 4 (1.0) 3 4.4 2 3.4 1 0 18
Slide 19: Origin invested over $2 billion in gas production and electricity generation projects
Origin invested over $2 billion in gas production and electricity generation projects Kupe Darling Downs Power Station Mortlake turbine Cullerin Range Wind Farm 19
Slide 20: Chairman's Address
O origin Chairman’ s Address 20
Slide 21: Renewable Energy Target provides increased certainty for investors
Renewable Energy Target provides increased certainty for investors in renewable energy technologies Cullerin Range Wind Farm Solar Geodynamics G d Geodynamics i 21
Slide 22: Chairman's Address
O origin Chairman’ s Address 22
Slide 23: Dealing with an uncertain future requires good governance
Dealing with an uncertain future requires good governance 23
Slide 24: Chairman's Address
O origin Chairman’ s Address
Slide 25: Investing in communities - our future customers, investors, employees and neighbours
Investing in communities - our future customers, investors, employees p y and neighbours g Helping to educate 500,000 kids about using energy wisely 25
Slide 26: Investing in communities - our future customers, investors, employees and neighbours
Investing in communities - our future customers, investors, employees p y and neighbours g Building solid partnerships with landowners and communities 26
Slide 27: Chairman's Address
O origin Chairman’ s Address 27
Slide 28: Managing Director's Address
Managing Director’s Address 28
Slide 29: Contribution to underlying earnings
Contribution to underlying earnings • Origin’s O ’ EBITDAF ffor financial f l year 2009 was $1.2 billion • EBITDAF from Origin’s integrated business excluding Contact increased by $20 million t $850 million to illi • Contact’s contribution reduced 25% to $369 million * FY 2009 EBITDAF by Segment 29
Slide 30: APLNG continues to grow its CSG reserves
APLNG continues to grow its CSG reserves with significant reserves increases that demonstrate the size and quality of APLNG APLNG’ss CSG resource 3C 2C 3P 2P S Source: Origin O igi 30
Slide 31: In New Zealand - the Kupe Gas Project is nearing completion
In New Zealand - the Kupe Gas Project is nearing completion Kupe Gas Project onshore production facilities • Project construction essentially complete • Project handed over from construction team to operations team • Expecting to open the wells and bring raw gas ashore in December Quarter 2009 • Gro
Slide 32: Generation: power station capacity has more than doubled in 2009
Generation: power station capacity has more than doubled in 2009 Cullerin Range g Wind Farm,, NSW Uranquinty Power Station, NSW Quarantine Power Station, SA 32
Slide 33: Mt Stuart Power Station expansion due for completion late calendar 2009
Mt Stuart Power Station expansion due for completion late calendar 2009 Mt Stuart Power Station • Peaking power station being expanded from 288MW to 414MW • Townsville, Queensland • Currently kerosene-fired and capable of being g converted to natural gas g 33
Slide 34: Darling Downs Power Station will be the largest CCGT plant in Australia
Darling Downs Power Station - once commissioned - will be the largest CCGT plant in Australia • 630 MW Base Load plant • Largest CCGT plant in Australia • All gas turbines installed at site • Firing of first gas turbine expected in November 2009 • All three gas turbines synchronised to grid during D
Slide 35: Mortlake Power Station will add significant generation capacity in Victoria
Mortlake Power Station will add significant generation capacity in Victoria • 550 MW peaking ki plant l • Site currently being prepared and pipeline under construction • Turbines delivered ((as above)) • Expected to be completed in late 2010 • Designed for conversion to CCGT at a later stage if requ
Slide 36: Energy retailing is the largest segment in our business today
Energy retailing is the largest segment in our business today 36
Slide 37: Retail Transformation
Retail Transformation • Partnered with WIPRO to transition to an integrated SAP billing and customer management platform • Project expected to improve customer service and use of technology to engage with customers • Process improvement and business simplification activities have commenced • Deliver
Slide 38: Transmission constraints
Transmission Transmission constraints and unusual weather conditions adversely constraints impacted Contact in New Zealand • Two high voltage DC cables (Poles 1 and 2) connect the North and South So th Islands • Pole 1 was unexpectedly removed from service in November 2007 resulting in the Transmiss
Slide 39: Projects to restore flexibility back into Contact's portfolio are on track
Projects to restore flexibility back into Contact’s portfolio are on track for commercial operation p in mid-2010 Stratford peakers (200 MW) Ahuroa gas storage • Adds flexible generation capacity. Replaces • Adds flexibility to gas supply by storing gas New Plymouth with new technology fast- during
Slide 40: Renewables Energy Target will drive significant investment in wind power generation
The Renewables Energy Target will drive significant investment in wind power generation and will require a significant capacity of peaking ki generation ti tto bbe b built ilt tto supportt it its iintermittency… t itt Forecast Additional NEM Generation by • Wind is currently the most cost effective
Slide 41: Significant offshore exploration programme targeting substantial reserves increases
In the coming year Origin has committed to a significant offshore exploration programme targeting substantial reserves increases near domestic markets in AAustralia stralia and Ne New Zealand Northland Basin Origin, as Operator of permit PEP 38619, has secured the semi submersible rig “Kan Kan Tan I
Slide 42: APLNG is progressing well with the development of its CSG to LNG project
APLNG is progressing well with the development of its CSG to LNG project p j and has now selected a site at Gladstone for its downstream operations • APLNG has secured the Laird Point site on Curtis Island in the Port of Gladstone for its proposed CSG to LNG plant • 230 hectare site that is well pos
Slide 43: Managing Director's Address
Managing Director’s Address 43
Slide 44: Chairman's Address
origin Chairman’ s Address Together we can make a difference.™
Slide 45: Financial Statements
origin Financial Statements Together we can make a difference.™
Slide 46: Resolution 2: Adoption of Remuneration Report
Resolution 2: Adoption p of Remuneration Report 46
Slide 47: Resolution 2: Adoption of Remuneration Report Proxy votes received
Resolution 2: Adoption of Remuneration Report Proxy votes received: For 395,982,877 Against 19,302,311 Open 15,463,025 Abstain 2 744 625 2,744,625 47
Slide 48: 48
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Slide 49: Resolution 3: Election of Directors
Resolution 3: Election of Directors 49
Slide 50: Resolution 3: Trevor Bourne
Resolution 3 Trevor Bourne Independent p Non-Executive Director 50
Slide 51: Resolution 3: Election of Director – Trevor Bourne Proxy votes received
Resolution 3: Election of Director – Trevor Bourne Proxy votes received: For 413,842,376 Against 3,114,480 Open 15,522,675 Abstain 1 016 414 1,016,414 51
Slide 52: 52
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Slide 53: Resolution 3: Election of Directors
Resolution 3: Election of Directors 53
Slide 54: Resolution 3: Helen M Nugent AO
Resolution 3 Helen M Nugent AO Independent p Non-Executive Director 54
Slide 55: Resolution 3: Election of Director – Helen Nugent Proxy votes received
Resolution 3: Election of Director – Helen Nugent Proxy votes received: For 413,875,037 Against 3,119,166 Open 15,518,398 Abstain 983 344 983,344 55
Slide 56: 56
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Slide 57: Resolution 3: Election of Directors
Resolution 3: Election of Directors 57
Slide 58: Resolution 3: John H Akehurst
Resolution 3 John H Akehurst Independent p Non-Executive Director 58
Slide 59: Resolution 3: Election of Director – John Akehurst Proxy votes received
Resolution 3: Election of Director – John Akehurst Proxy votes received: For 414,733,289 Against 2,048,124 Open 15,633,659 Abstain 1 080 873 1,080,873 59
Slide 60: 60
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Slide 61: Resolution 3: Election of Directors
Resolution 3: Election of Directors 61
Slide 62: Resolution 3: Karen A Moses
Resolution 3 Karen A Moses Executive Director Finance and Strategy gy 62
Slide 63: Resolution 3: Election of Director – Karen Moses Proxy votes received
Resolution 3: Election of Director – Karen Moses Proxy votes received: For 412,203,967 Against 3,185,612 Open 16,942,573 Abstain 1 157 509 1,157,509 63
Slide 64: 64
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Slide 65: Resolutions 4 and 5: Grant of Options and Performance Share Rights
Resolutions 4 and 5: Grant of Options p and Performance Share Rights 65
Slide 66: Resolution 4: Grant of Options and Performance Share Rights to Grant A King
Resolution 4: Grant of Options p and Performance Share Rights to Grant A King – Managing Director 66
Slide 67: Resolution 4: Grant of Options and Performance Share Rights to Mr Grant A King
Resolution 4: Grant of Options and Performance Share Rights to Mr Grant A King – Managing Director To consider and, if thought fit, pass the following resolution as an ordinary resolution: “That to satisfy the Company’s decision to deliver Managing Director Mr Grant King with a long term incentive f
Slide 68: Resolution 4: Proxy votes received
Resolution 4: Grant of Options and Performance Share Rights to Mr Grant A King – Managing Director Proxy votes received: For 394,151,263 Against 20,849,007 Open 8,760,233 Abstain 2 620 894 2,620,894 68
Slide 69: 69
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Slide 70: Resolution 5: Grant of Options and Performance Share Rights to Ms Karen Moses
Resolution 5: Grant of Options p and Performance Share Rights to Ms Karen Moses – Executive Director 70
Slide 71: Resolution 5: Grant of Options and Performance Share Rights to Ms Karen Moses
Resolution 5: Grant of Options and Performance Share Rights to Ms Karen Moses – Executive Director To consider and, if thought fit, pass the following resolution as an ordinary resolution: “That to satisfy the Company’s decision to deliver Executive Director Ms Karen Moses with a long term incentive
Slide 72: Resolution 5: Proxy votes received
Resolution 5: Grant of Options and Performance Share Rights to Ms Karen Moses – Executive Director Proxy votes received: For 393,806,139 Against 21,145,140 Open 8,756,927 Abstain 2 617 090 2,617,090 72
Slide 73: Annual General Meeting
30 October 2009 Annual General Meeting