Oneok, Inc. · NYSE:OKE
Oneok — Q3 2020 Earnings Presentation
9 slides from Oneok's earnings presentation, Oct 27, 2020
Slide 1: Third Quarter 2020 Results
THIRD QUARTER 2020 R E S U LT S O C T. 2 7 , 2 0 2 0
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEM ENTS Statements contained in this presentation that include company expectations, outlooks or predictions should be considered forward-looking statements that are covered by the safe harbor protections provided under federal securities legislation and other applicable laws. It
Slide 3: Regional Volume Update
REGIONAL VOLUM E UPDATE NATURAL GAS LIQUIDS NATURAL GAS GATHERING AND PROCESSING ◆ Rocky Mountain: ◆ Rocky Mountain: NGL raw feed throughput volumes increased 33% compared with the second quarter 2020. Processed volumes increased 25% compared with the second quarter October 2020 NGL raw feed t
Slide 4: Business Segment Performance
BUSINESS SEGM ENT PERFORM ANCE Q3 2020 VS. Q2 2020 ADJUSTED EBITDA VARIANCES ◆ Natural gas liquids increased $79.5 million increase in exchange services due primarily to higher volumes across ONEOK’s operations. $36.4 million increase in optimization and marketing due primarily to wider product
Slide 5: Natural Gas Liquids Volume Recovery
NATURAL GAS LIQUIDS VOLUM E RECOVERY CURRENT ROCKIES VOLUMES EXCEEDING PRE-COVID AVERAGE VOLUMES Rockies Region NGL Raw Feed Throughput (bpd) Capacity Expandable to ~540,000 bpd(a) • Minimal capital needed to expand Elk 160,000 Creek Pipeline with pump stations to meet future customer needs. Current
Slide 6: Williston Basin
WILLISTON BA SIN INCREASING GAS-TO-OIL RATIOS (GOR) AND FLARING PRESENT OPPORTUNITIES North Dakota Natural Gas and Crude Oil Produced North Dakota Natural Gas Produced and Flared 3,500 3,500 40% 3,000 3,000 35% 30% 2,500 2,500 Gas Produced (MMCf/d) 25% 2,000 2,000 % Flared 2.26 GOR 20% (Aug. 2020) 1
Slide 7: Capturing Flared Production
CAPTURING FLARED PRODUCTION LIMITED WILLISTON BASIN ACTIVITY NEEDED TO MAINTAIN CURRENT VOLUME LEVELS 1,750 O N E O K I l l u s t r a t i v e D e d i c a t e d G r o s s P r o d u c t i o n (a) 1,500 ~45 average well completions per month ONEOK Natural Gas Processing Capacity ~35 average well comple
Slide 8: Solid Business Model – Proven Performance
SOLID BUSINESS M ODEL – PROVEN PERFORM ANCE BUILT TO WITHSTAND VARIOUS MARKET CONDITIONS • Solid investment-grade balance sheet Financial Strength and Flexibility S&P: BBB (stable) – affirmed April 30, 2020 Moody’s: Baa3 (stable) – affirmed May 26, 2020 • $2.5 billion credit facility – no borrow
Slide 9: Promoting Long-Term Business Sustainability
PROM OTING LONG-TERM BUSINESS SUSTAINABILITY Environmental Social Governance Providing solutions to Long history of promoting Adoption of SASB reduce flaring in the diversity and inclusion reporting standards Williston Basin ESG-focused leadership Working to reduce Committed to ongoing committees he