Japan Petroleum Exploration Co., Ltd. · TSE:1662
Japan Petroleum Exploration — H1 FY2011 Earnings Presentation
30 slides from Japan Petroleum Exploration's earnings presentation, Nov 8, 2010
Slide 1: Presentation of Consolidated financial results for the six months ended September 30, 2010
Note: The following report is an English translation of the Japanese-language original. Presentation of Consolidated financial results for the six months ended September 30, 2010 November 8 , 2010 Japan Petroleum Exploration Co., Ltd. copyright©2010 JAPAN PETROLEUM EXPLORATION Co.,LTD. All rights re
Slide 2: Cautionary statement
Cautionary statement Any information contained herein with respect to JAPEX’s plans, estimates, strategies and other statements that are not historical facts are forward-looking statements about the future performance of JAPEX. Readers should be aware that actual results and events may differ substa
Slide 3: Contents
Contents Ⅰ. Business Overview President Osamu Watanabe Ⅱ. Consolidated financial results for the six months ended September 30, 2010 Executive Vice President Hiroshi Sato Ⅲ. Revised full year forecasts for the fiscal year ending March 31, 2011 Executive Vice President Hiroshi Sato 3
Slide 4: Business Overview
Business Overview President Osamu Watanabe 4
Slide 5: Trends in Crude oil prices and Foreign exchange rates
[Price] $-denominated $/bbl $110 $40 $50 $60 $70 $80 $90 $100 $120 $130 $140 2007-01 2007-02 2007-03 2007-04 2007-05 2007-06 2007-07 2007-08 2007-09 2007-10 2007-11 2007-12 2008-01 2008-02 2008-03 2008-04 2008-05 2008-06 2008-07 2008-08 2008-09 2008-10 on a prompt report basis : USD 2008-11 5 2008-1
Slide 6: Revised estimates for FY2011 (Highlight)
Revised estimates for FY2011 (Highlight) Billion ￥ Billion ￥ FY11 (e) FY10 [ Billion ￥] Initial Revised % change 200 25 (a) estimate estimate change (vs Initial (May ‘10) (Nov. ‘10) estimate) 196.8 Net Sales (left axis) Net Sales 179.7 196.8 192.3 (4.5) (2%) 23.2 Operating income 13.1 13.2 8.1 (5.1)
Slide 7: Domestic exploration: Result for 1H & Plan for 2H
Business Overview Domestic exploration : Result for 1H & Plan for 2H ●Exploration well : 1 well ●Extension well : 1 well Akebono SK-5D (4,975m) ■Seismic survey : 2 sites Oga Hanto 2D (31km) Otomo A1 (3,100m) Yurihara 3D (88km2) FY2011 Total 1Q 2Q 3Q 4Q Depth 4 5 6 7 8 9 10 11 12 1 2 3 Akebono SK-5D
Slide 8: CAPEX plan for FY2011
Business Overview CAPEX plan for FY2011 Billion ￥ FY11 FY11 [ Billion ￥] FY08 FY09 FY10 45 45 Full (e) 1H (a) CAPEX 41.7 30.9 28.8 31.5 11.3 40 40 5.1 Depreciation and 16.6 21.5 23.2 24.7 11.4 35 35 amortization 30 0.7 30 Main items of CAPEX for FY2011 11.6 4.7 Domestic CAPEX ¥ 19.9 billion 25 25 Ho
Slide 9: Overseas business: Basic strategy
Business Overview Overseas business : Basic strategy Ensure an appropriate portfolio balance both exploration projects & development projects. Set strategic regions, continue the regions-focused strategy. Seek up-stream & mid-stream LNG projects. Canada -Oil sands development (production & exp
Slide 10: Current status of overseas business ① Canada oil sands
Business Overview Current status of overseas business ① Canada oil sands ■Areas in which JACOS holds interest in oil sands leases Canada Oil Sands Co., Ltd. (CANOS) Project company (86.64% owned by JAPEX ) Japan Canada Oil Sands Ltd. (JACOS) Operator (Local subsidiary, wholly owned by CANOS) Block I
Slide 11: Current status of overseas business ② Iraq
Business Overview Current status of overseas business ② Iraq Garraf development project North Oil PETRONAS Contractors JAPEX Company Development and Production Service Contract (Operator) Contract Type (NOC) Counterparty South Oil Company (SOC) Payment share 60% 40％ - 20 years Contract term Particip
Slide 12: Current status of overseas business ③ Sakhalin 1 Project
Business Overview Current status of overseas business ③ Sakhalin 1 Project Sakhalin 1 Consortium Interest Exxon Neftegas Ltd. 30% Sakhalin Oil and Gas Development Co., Ltd. (SODECO) 30% Minister of Economy, Trade and Industry : 50.00% JAPEX : 14.46% ITOCHU Corp. : 14.46% Odoptu Marubeni Corp. : 11.6
Slide 13: Current status of overseas business ④ Libya
Business Overview Current status of overseas business ④ Libya : Block 40-3/4, Block 176-4 Project company Japex Libya Ltd. Consolidated subsidiary (wholly owned by JAPEX) Offshore Block 40-3/4 Block (coastal area of the Mediterranean Sea) Interest 42% (Operator) Block 40-3/4 Tripoli Operating result
Slide 14: Current status of overseas business ⑤ Indonesia: Kangean Block
Business Overview Current status of overseas business ⑤ Indonesia: Kangean Block Jakarta Kangean Energy Indonesia Ltd. (KEI) Project Surabaya and two other companies. Java Island company (Equity-method affiliates) Pagerungan Utara oil field (Development) West Kangean gas field (Exploration) Kangean
Slide 15: Current status of overseas business ⑥ Indonesia: Ache Block A
Business Overview Current status of overseas business ⑥ Indonesia: Ache Block A Project company Japex Block A Ltd. Interest 16.67% Ache Block A Block (northern Sumatra) Ache Block A Operator Medco Gross Around 100 million cf/d production (around 20,000 boe/d in crude oil equivalent ） Jakarta 2010 Ap
Slide 16: Current status of overseas business ⑦ Indonesia: Buton Block
Business Overview Current status of overseas business ⑦ Indonesia: Buton Block Project company Japex Buton Ltd. Interest 40% Block Buton Block (onshore/offshore block on Buton Island, Southeast Sulawesi) Airborne gravity and magnetic surveys 2008 2D seismic surveys 2009 Selected the exploration well
Slide 17: Consolidated financial results for the six months ended September 30, 2010
Consolidated financial results for the six months ended September 30, 2010 Executive Vice President Hiroshi Sato 17
Slide 18: Actual results for 1H FY2011 (Summary)
Actual results for 1H FY2011 (Summary) Billion ￥ Billion ￥ FY11 1H 100 10 FY10 Initial [ Billion ￥] % change 92.3 1H (a) estimate (May ‘10) (a) (vs Initial estimate) 90 9 (e) Net Sales (left axis) Net Sales 70.5 91.1 92.3 1% 80 8 Operating income 2.8 4.1 3.8 (8%) 70.5 70 7 Ordinary income 5.1 5.2 4.
Slide 19: Actual sales of Natural gas in 1H FY2011
Actual sales of Natural gas in 1H FY2011 Sales volume : Million M3 FY10 FY11 change Net sales : Million ￥ 1H(a) 1H(a) Sales volume 643 696 53 Natural gas : Net sales 24,924 27,039 2,115 -Increase in demand for industrial users and utility gas customers. Of which, Domestically produced gas : Sales vo
Slide 20: Actual sales of Crude oil in 1H FY2011
Actual sales of Crude oil in 1H FY2011 Sales volume : Thousand KL FY10 FY11 change Net sales : Million ￥ 1H(a) 1H(a) -Decrease in equity oil of Japex Sales volume 967 946 (21) New Nanhai Ltd. Crude oil: -Rise in crude oil and bitumen Net sales 33,008 38,242 5,233 prices. Breakdown of equity oil Dome
Slide 21: Actual results for 1H FY2011 (vs FY2010)
Actual results for 1H FY2011 (vs FY2010) ≪Causes of increase(+) or decrease(-) ≫ FY10 FY11 [ Million ￥] change 1H(a) 1H(a) Gross profit Domestic crude oil and natural gas Net sales 70,567 92,369 21,802 + ¥0.2 billion Overseas consolidated subsidiaries Gross profit 23,106 24,140 1,034 + ¥0.8 billion
Slide 22: Revised full year forecasts for the fiscal year ending March 31, 2011
Revised full year forecasts for the fiscal year ending March 31, 2011 Executive Vice President Hiroshi Sato 22
Slide 23: Revised estimates for FY2011 (Summary)
Revised estimates for FY2011 (Summary) Billion ￥ Billion ￥ FY11 (e) [ Billion ￥] Initial Revised 196.8 estimate estimate change % change 200 20 (May ‘10) (Nov. ‘10) 192.3 Net Sales 196.8 192.3 (4.5) (2%) 190 18 Net Sales (left axis) Operating income 13.2 8.1 (5.1) (39%) 180 16 Ordinary income 14.9 1
Slide 24: Revised estimated Natural gas sales in FY2011 (vs Initial estimate)
Revised estimated Natural gas sales in FY2011 (vs Initial estimate) Initial estimate Revised estimate Sales volume : Million M3 (May ‘10) (Nov. ‘10) change Net sales : Million ￥ 1H (e) Full (e) 1H (a) Full (e) 1H Full Sales volume 706 1,576 696 1,541 (10) (34) Natural gas : Net sales 26,819 60,376 2
Slide 25: Revised estimated Crude oil sales in FY2011 (vs Initial estimate)
Revised estimated Crude oil sales in FY2011 (vs Initial estimate) Initial estimate Revised estimate Sales volume : Thousand KL (May ‘10) (Nov. ‘10) change Net sales : Million ￥ 1H (e) Full (e) 1H (a) Full (e) 1H Full Sales volume 969 2,017 946 1,883 (23) (134) Crude oil : Net sales 40,536 83,713 38,
Slide 26: Revised estimates for FY2011 (vs Initial estimate)
Revised estimates for FY2011 (vs Initial estimate) Initial Revised ≪Causes of increase(+) or decrease(-) ≫ [ Million ￥] estimate estimate change (May ‘10) (Nov. ‘10) Gross profit Domestic crude oil and natural gas Net sales 196,891 192,319 (4,572) - ¥4.2 billion Overseas consolidated subsidiaries Gr
Slide 27: Revised estimated Natural gas sales in FY2011 (vs FY2010)
Revised estimated Natural gas sales in FY2011 (vs FY2010) Sales volume : Million M3 FY10 FY11 Revised estimate (Nov. ‘10) change Net sales : Million ￥ Full (a) 1H (a) 2H (e) Full (e) (vs FY10) Sales volume 1,499 696 845 1,541 42 Natural gas: Net sales 55,593 27,039 32,710 59,749 4,155 Of which, Dome
Slide 28: Revised estimated Crude oil sales in FY2011 (vs FY2010)
Revised estimated Crude oil sales in FY2011 (vs FY2010) Sales volume : Thousand KL FY10 FY11 Revised estimate (Nov. ‘10) change Net sales : Million ￥ Full (a) 1H (a) 2H (e) Full (e) (vs FY10) Sales volume 2,125 946 937 1,883 (242) Crude oil: Net sales 80,742 38,242 35,466 73,708 (7,035) Breakdown of
Slide 29: Revised estimates for FY2011 (vs FY2010)
Revised estimates for FY2011 (vs FY2010) ≪Causes of increase(+) or decrease(-) ≫ FY2010 FY2011 [ Million ￥] change (a) (e) Gross profit Domestic crude oil and natural gas Net sales 179,752 192,319 12,567 - ¥1.9 billion Overseas consolidated subsidiaries Gross profit 54,285 49,999 (4,286) - ¥2.0 bill
Slide 30: 3Q-4Q: Oil price and Exchange rate assumptions and impact on profits
3Q-4Q : Oil price and Exchange rate assumptions and impact on profits FY2010 FY2011 1H (a) 2H (a) Full (a) 1Q (a) 2Q (a) 3Q (e) 4Q (e) Full (e) JCC price USD/bbl 56.83 75.98 67.50 80.54 76.96 80.00 79.53 Exchange rate Yen / USD 96.36 90.59 92.74 92.00 89.03 85.00 87.56 Bitumen price CAD/bbl 42.10 56
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