Slb Limited · NYSE:SLB
Slb — Schlumberger — Barclays Capital CEO Energy-Power Conference 2012
24 slides from Slb's conference presentation, Sep 5, 2012
Slide 1: Introduction and two technology directions
Exhibit 99 Thank you and good afternoon ladies and gentlemen. I would like to start by thanking Barclays Capital and James West in particular for the invitation to speak at this conference. Today I will focus my comments on two technology directions that I believe will grow in importance for Schlumb
Slide 2: Forward-looking statements and global economy
And as always some of the following statements are forward-looking. Actual results may differ. Please see our latest SEC filings. Turning to the global economy, the general situation remains unsettled. It seems clear that the present macro-economic uncertainties driven by the ongoing Eurozone crisis
Slide 3: Global GDP growth and oil market balance
In the latest release from IHS, the global GDP growth estimates for 2012 and 2013 are 2.6% and 2.7% respectively, while the key financial market indicators continue to show mixed results from month to month. While the markets look for introduction of further stimulus to the main economies, the only
Slide 4: Production decline, oil prices and LNG
production decline from existing fields continues to average just over 4% per year based on numbers from IEA and IHS, hence requiring the replacement of over 3 million bbl/d of oil production every year. This alone will continue to require significant investments in particular, as future reserves an
Slide 5: US natural gas production
US natural gas production seems to be stabilizing around 65 bcf/d with the impact of lower dry-gas drilling so far being offset by higher production of associated gas in the liquid-rich plays. At the same time, natural gas prices have improved from the 10-year low reached in the first few months of
Slide 6: E&P spending and oilfield services market
So how does this macro situation translate into spending within the oilfield services market? The Barclays E&P spending survey, which was recently updated, confirms the main trends we observe from talking to our customers. In this survey, the 2012 growth in International E&P spend is revised upward
Slide 7: Drilling Group ambition after transactions
for these transactions was the strong growth outlook for drilling services, and a clear ambition of creating a step change in drilling performance for our customers through a much wider application of science, technology and total system optimization. I would now like to update you on the progress w
Slide 8: Drilling market trends and complexity
Over the past ten years, we have more or less seen a doubling in the number of land and offshore rigs operating worldwide. At the same time, new reservoirs are generally being found deeper with higher pressures and temperatures. Furthermore, the rapid growth in deepwater drilling activity has mandat
Slide 9: Step change in drilling performance
Creating a step change in drilling performance means pursuing three major aspects of the drilling process. First, drilling safer—by de-risking the overall drilling operation and preventing undesired events; second, drilling faster—so reducing the time and cost of each well; and third, placing the we
Slide 10: Drilling safer: Seismic Guided Drilling
Drilling safer is all about de-risking the drilling operation, preventing the occurrence of incidents such as stuck pipe and lost circulation which cost the industry hundreds of millions of dollars each year. And even more importantly, to help avoid kicks from over-pressured zones that can lead to u
Slide 11: Seismic re-imaging and drilling faster
different zones as well as predict the formation pressure 500 m in front of the drill bit. The drilling program was then modified to reflect the real-time predictions, so allowing the well to be drilled safely to conclusion. Had the well been drilled using the original drilling program without real-
Slide 12: Increasing rate of penetration
The second way of drilling faster is to increase the rate of penetration when the drill bit is on bottom drilling. This is driven by how fast rock is crushed and removed from the borehole. Today, a significant part of the energy we pass from the top drive does not reach the drill bit but is instead
Slide 13: Well placement in deepwater Brazil
When it comes to well placement, the goal is to position the well in the optimum location in the reservoir with respect to net pay and reservoir quality in order to maximize production and recovery. This is achieved by tying formation evaluation measurements from our logging-while-drilling-tools to
Slide 14: Scientific approach to drilling
As I have shown you, we are looking to create a step change in drilling performance for our customers by drilling safer, faster, and with optimum well placement. Common to all of this is a more scientific approach to drilling where we use modelling and real-time predictions together with integrated
Slide 15: Operations Support Centers
All these testing capabilities are critical for our scientists as they continue to work on developing our drilling computer models. In our field operations we translate these scientific advances into tangible improvements in drilling performance through the 22 Operations Support Centers we have esta
Slide 16: Financial results of Geoservices and Smith transactions
It is now 2 years since we completed the Geoservices and Smith transactions, which together represented a $13 billion investment. Ultimately the success of these types of investments can only be measured by the resulting financial performance so where do we stand in this respect? First of all, the i
Slide 17: Growth in subsea developments
In recent years we have seen a rapid growth in the number of offshore developments using subsea technology. These span both green fields in deepwater environments, as well as the tie-back of satellite reservoirs to existing host facilities at conventional water depths. We estimate that over 200 new
Slide 18: Subsea recovery challenges
Subsea developments today are faced with significant challenges including high development costs and complex reservoir well and production dynamics. The current development approach and the available subsea technology have technical and commercial limitations that result in development solutions tha
Slide 19: Total subsea system optimization
We believe the key to unlocking the recovery potential of subsea developments will be to design and optimize the entire subsea production system from the reservoir pore space through the well completion and the subsea processing system all the way to the export point. This represents a significant t
Slide 20: Leadership in reservoir characterization and modeling
First, we are the clear leaders in reservoir characterization and modeling, starting with the best measurements in the industry. We also own the market- leading reservoir simulator Intersect, which is fully integrated into the industry standard modeling platform Petrel. And our reservoir characteriz
Slide 21: Artificial lift and intelligent completions
Second, we are one of the market leaders within artificial lift through our REDA ESP technology. Going forward we see significant potential in combining high performance ESPs with subsea multiphase pumps to create a powerful dual boosting system driven by a common control system. In addition, we are
Slide 22: Subsea boosting and Framo Engineering
Third, and moving from the well to the subsea processing factory, we are now the leaders in subsea multiphase boosting and metering as well as in wet gas compression through Framo Engineering, which is one of our fastest growing product lines. The unique multiphase boosting and compression solutions
Slide 23: Complete subsea systems and operational focus
we are in a prime position to drive development of complete subsea production systems and ultimately help our customers improve production and recovery from their subsea developments. As we continue to develop our technology offering we are also maintaining a strong focus on the planning and executi
Slide 24: Concluding remarks
Ladies and gentlemen, I set out to show you today that the market for oilfield services continues to be resilient and offers exciting opportunities for growth. The role of science, technology and integration capability continue to grow in importance as operating environments become more challenging
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