Bhp Group Ltd · ASX:BHP
Bhp — BHP Billiton — Investor Day (December 2013)
90 slides from Bhp's investor day presentation, Dec 11, 2013
Slide 1: Investor Briefing announcement
Company Secretariat BHP Billiton Limited BHP Billiton Plc 171 Collins Street Neathouse Place Melbourne Victoria 3000 Australia London SW1V 1BH UK GPO BOX 86 Tel +44 20 7802 4000 Melbourne Victoria 3001 Australia Fax + 44 20 7802 4111 For personal use only Tel +61 1300 554 757 Fax +61 3 9609 3015 bhp
Slide 2: Media and investor relations contacts
Mr Cutt also said that he will continue to simplify the Petroleum portfolio, for value: “Future investment will be increasingly focused on those same core areas of Australia, the United States and potentially, Trinidad and Tobago. Our disciplined divestment process, which led to the US$1.7 billion s
Slide 3: Focusing on value over volume
For personal use only Pyrenees – Western Australia Focusing on value over volume Tim Cutt President, Petroleum and Potash 10 December 2013
Slide 4: Disclaimer: Forward-looking statements
Disclaimer For personal use only Forward-looking statements This presentation includes forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 regarding future events, conditions, circumstances and the future financial performance of BHP Billiton, i
Slide 5: Disclaimer: Petroleum resources
Disclaimer For personal use only Petroleum resources The estimates of petroleum reserves and contingent resources contained in this presentation are based on, and fairly represent, information and supporting documentation prepared under the supervision of Mr. A. G. Gadgil, who is employed by BHP Bil
Slide 6: Key themes
Key themes For personal use only • Committed to ongoing improvement in our HSEC performance • A large, high quality resource base concentrated in Australia and the US • Low risk brownfield investment is maximising the value of our Conventional business • Our Shale business is well positioned to gene
Slide 7: Safety is our priority
Safety is our priority For personal use only Total Recordable Injury Frequency (TRIF, 12 month moving average) 8 Petroleum TRIF Shale TRIF Fatality 6 4 2 0 Jul 08 Jan 09 Jul 09 Jan 10 Jul 10 Jan 11 Jul 11 Jan 12 Jul 12 Jan 13 Jul 13 BHP Billiton Investor briefing: Petroleum, December 2013 Slide 5
Slide 8: Our HSEC focus areas
Our HSEC focus areas For personal use only Health Minimise exposure to silica during hydraulic fracturing operations in our Shale business Safety Leverage systems and technology to manage material risks Environment Manage water usage and reduce greenhouse gas emissions Community Continue to make a m
Slide 9: An experienced Petroleum management team
An experienced Petroleum management team For personal use only President Petroleum and Potash Tim Cutt President Exploration Asset President Shale Asset President Conventional David Rainey Rod Skaufel Steve Pastor VP Finance VP Strategy and VP Drilling VP Engineering VP Marketing David Powell Develo
Slide 10: A large, high quality resource portfolio
A large, high quality resource portfolio For personal use only • We have more than doubled our resource BHP Billiton petroleum resource base and delivered >100% reserve (billion boe) replacement over the past five years 10 US Australia • Our business is underpinned by large rest of world fields, con
Slide 11: Australia and the US remain our core regions
Australia and the US remain our core regions For personal use only FY14 BHP Billiton capital and exploration expenditure BHP Billiton Petroleum Shale Petroleum Australia other Gulf of Mexico Exploration other United Kingdom Onshore US Algeria Pakistan Gulf of Mexico Trinidad & Tobago Australia Bubbl
Slide 12: Australian assets deliver strong, stable cash flow
Australian assets deliver strong, stable cash flow For personal use only North West Shelf Pyrenees / Macedon Bass Strait Petroleum Underlying EBITDA Stybarrow (US$ billion) 10 Petroleum Australia 5 Thebe 0 Jupiter FY09 FY10 FY11 FY12 FY13 Scarborough North West Shelf LNG Plant Dampier Tallaganda Kar
Slide 13: US assets will underpin substantial growth
US assets will underpin substantial growth For personal use only Shenzi Atlantis Mad Dog Neptune Onshore US Oklahoma liquids focused area Fayetteville gas focused area Arkansas BHP Billiton acreage Mississippi Onshore US New Mexico Haynesville Permian Gulf of Mexico Texas Louisiana Houston Petroleum
Slide 14: Conventional investment profile
Conventional investment profile For personal use only Brownfield Exploration Appraisal Engineering Execution Operations projects • Conventional life cycle driven by few but Representative investment profile significant front end investment decisions (US$ million) 400 – development plan is establishe
Slide 15: Shale investment profile
Shale investment profile For personal use only Mapping and Area specific Exploration Appraisal Full development Leasing tests • Shale life cycle driven by continuous Representative investment profile investment decisions and optimisation (US$ million) opportunities 60 50 40 – thousands of potential
Slide 16: A clear focus on value over volume
A clear focus on value over volume For personal use only • We will prioritise the highest return Greenfield project IRR investment opportunity (%, IRR) 30 – investment in our shale liquids BHP Billiton acreage (tight oil) generates strong near term focus returns 25 Deepwater – deepwater infill drill
Slide 17: FY14 production guidance maintained
FY14 production guidance maintained For personal use only • On track to produce 250 MMboe in FY14 Strong growth in Shale liquids production (Petroleum production, MMboe) – 75% increase in shale liquids production 300 – stable Conventional volumes as Macedon Conventional and Atlantis offset natural f
Slide 18: Leveraging the infrastructure of our Conventional business
Leveraging the infrastructure of our Conventional business For personal use only • Capital expenditure of ~US$1.5 billion per FY14 Conventional production outlook annum is expected to maintain Conventional (MMboe) volumes for three to five years 140 – high return infill drilling at Shenzi, Pyrenees,
Slide 19: Development options must compete for capital
Development options must compete for capital For personal use only • We own significant contingent resources Scarborough / Thebe – Western Australia within our core areas – Scarborough (ExxonMobil operated, Thebe Jupiter BHP Billiton share 50%) is an ~8 tcf1 Scarborough (100% basis) gas resource Nor
Slide 20: Shale development plan will be continually optimised for value
Shale development plan will be continually optimised for value For personal use only • We are prioritising investment in the liquids BHP Billiton Onshore US shale plays rich, high return shale assets – pursuing accelerated development in the prolific Black Hawk area of the Eagle Ford – timing Hawkvi
Slide 21: Positioned to deliver substantial growth in free cash flow
Positioned to deliver substantial growth in free cash flow For personal use only • Our Shale business must compete for Onshore US production scenario capital within the broader BHP Billiton (kboe/d) portfolio 600 – annual budgets will be subject to 450 ongoing review 300 • A capital expenditure prog
Slide 22: Extending our high return liquids profile
Extending our high return liquids profile For personal use only • Efforts underway to expand our Permian land position in our core focus area – 100,000 net acres1 in this focus area – acquiring additional acreage in highly prospective areas with a view to consolidating our position within our focus
Slide 23: We have flexibility to adjust our plans
We have flexibility to adjust our plans For personal use only • Development of our existing liquids acreage Onshore US capital expenditure scenario dominates our investment program (US$ billion) 5 – infrastructure component will decline as build out in the Eagle Ford is largely completed in the near
Slide 24: Our productivity agenda continues to deliver strong results
Our productivity agenda continues to deliver strong results For personal use only • Repetitive, manufacturing nature of shale is BHP Billiton Black Hawk drilling cost performance1 ideally suited to our productivity agenda (index, Q1 FY13 = 100, US$ million) 100 – reduce drilling costs per well throu
Slide 25: Strong outlook with growth prioritised for value
Strong outlook with growth prioritised for value For personal use only Petroleum production scenario1 (MMboe) 400 Conventional Onshore US 300 200 100 0 FY09 FY10 FY11 FY12 FY13 FY14e² FY15e FY16e FY17e FY18e 1. Forward projections are based on existing acreage, current development plans and Septembe
Slide 26: Key themes
Key themes For personal use only • Committed to ongoing improvement in our HSEC performance • A large, high quality resource base concentrated in Australia and the US • Low risk brownfield investment is maximising the value of our Conventional business • Our Shale business is well positioned to gene
Slide 27: For personal use only
éél Ohpbilliton resourcing the future
Slide 28: A major earnings contributor
For personal use only A major earnings contributor David Powell Vice President, Finance 10 December 2013
Slide 29: Petroleum is a pillar of BHP Billiton
Petroleum is a pillar of BHP Billiton For personal use only • Strong financial performance over the last five BHP Billiton Underlying EBIT2 years reflects the quality of our Petroleum assets (US$ billion) (margin, %) 40 80 – 18% of total BHP Billiton production1 – US$27 billion of Underlying EBIT, r
Slide 30: Product mix a key driver of Onshore US revenue
Product mix a key driver of Onshore US revenue For personal use only • Decisive response to market conditions Onshore US liquids contribution underpins significant growth in Onshore US (% of total Onshore US production) (% of total revenue) liquids production 60 60 – liquids contributed ~20% of Onsh
Slide 31: Seeking to improve our low cost position
Seeking to improve our low cost position For personal use only • Low cost conventional operations underpin Petroleum costs exceptional margins (US$/boe) 20 • Our decision to prioritise shale liquids 15 development has increased margins albeit with an increase in average production costs 10 5 – costs
Slide 32: Timing of reserve additions impacts depreciation
Timing of reserve additions impacts depreciation For personal use only • Conventional unit depreciation remains Depreciation highly competitive (US$/boe) 25 – minor variations reflect project start-ups 20 and timing of resource additions 15 • Our successful Permian evaluation program 10 has near ter
Slide 33: A compelling long term outlook for Onshore US
A compelling long term outlook for Onshore US For personal use only Onshore US margin scenario1 (%) 80 EBITDA margin EBIT margin 60 40 20 0 (20) FY13 FY14e FY15e FY16e FY17e FY18e 1. Forward projections are based on current development plans and September 2013 futures prices. Outlook will continue t
Slide 34: Understanding the US fiscal regime
Understanding the US fiscal regime For personal use only • The fiscal regime in the US is aimed at encouraging development of oil and gas resources • US tax code allows for immediate deduction of intangible drilling and development costs (IDC) deferring cash tax – contributes to carry forward tax Ne
Slide 35: A high return investment program
A high return investment program For personal use only • Petroleum offers some of the highest return Capital and exploration expenditure investment opportunities for the Group (US$ billion) 25 • Capital and exploration expenditure of ~US$6.2 billion is planned for Petroleum in FY14 20 – >75% of our
Slide 36: For personal use only
éél Ohpbilliton resourcing the future
Slide 37: Maximising the value of our Conventional business
For personal use only Trinidad Maximising the value of our Conventional business Steve Pastor Asset President, Conventional 10 December 2013
Slide 38: Key themes
Key themes For personal use only • Operating excellence and highly profitable assets provide a strong foundation for our Petroleum business • Low-risk, high return infill drilling and brownfield expansions will extend our production profile • Demonstrated technical capability to deliver projects on
Slide 39: A strong foundation for our Petroleum business
A strong foundation for our Petroleum business For personal use only Conventional production outlook Petroleum Underlying EBITDA (FY14, BHP Billiton share) (US$ billion) 10 Petroleum Conventional International other 5 46 kboe/d 0 FY09 FY10 FY11 FY12 FY13 Gulf of Mexico North West Shelf 87 kboe/d 75
Slide 40: Highly profitable Conventional business
Highly profitable Conventional business For personal use only • Australia and the Gulf of Mexico are our core Production volume regions with valuable infrastructure positions (Conventional, MMboe) (%) 200 80 • Conventional volumes have remained steady 150 60 – ~50% crude, condensate and NGL 100 40 –
Slide 41: Maximising value through operational excellence
Maximising value through operational excellence For personal use only • We are an industry leader in deepwater Average drill time per 1,000 ft drilling capability and operational uptime (Deepwater Gulf of Mexico, subsalt, days) 8 – our drilling times are well below industry others BHP Billiton avera
Slide 42: Strong track record of project delivery
Strong track record of project delivery For personal use only • Demonstrated ability to deliver our projects Shenzi Neptune on budget and schedule • Six major operated projects completed on schedule and budget in the last six years – two deepwater Tension Leg Platforms (TLP) in the GoM, Shenzi and N
Slide 43: Shenzi – our premier operated facility
Shenzi – our premier operated facility For personal use only • High quality reservoir over 400 feet thick in the Shenzi field map Gulf of Mexico • Excellent operating performance, ~95% uptime North since start-up • High return infill drilling campaign continues to East West extend the production pro
Slide 44: Atlantis – release of high margin latent capacity
Atlantis – release of high margin latent capacity For personal use only • World class Gulf of Mexico oil asset with Atlantis field map substantial latent capacity • Excellent results from wells drilled in North area, initial rate from recent well >30 kboe/d (100% basis) – field currently ~135 kboe/d
Slide 45: Mad Dog – release of high margin latent capacity
Mad Dog – release of high margin latent capacity For personal use only • Mad Dog is among the largest oil fields in the Mad Dog field map Gulf of Mexico • Mad Dog Phase 1 rig lost during Hurricane Ike in North 2008 has been replaced and is now operational West Mad Dog platform • Additional scheduled
Slide 46: WA operated – valuable infrastructure position
WA operated – valuable infrastructure position For personal use only • Significant resource and valuable infrastructure Western Australia operated assets position underpins our operated assets in this area • Macedon gas project now online, expected to Tallaganda contribute 6 MMboe (BHP Billiton shar
Slide 47: Bass Strait – our largest Conventional asset
Bass Strait – our largest Conventional asset For personal use only • Delivered first production more than 40 years ago Bass Strait assets • Project execution challenges at Turrum and Kipper resulted in revisions to original budget and schedule • Longford gas conditioning plant on budget and schedule
Slide 48: North West Shelf – a major Asian LNG supplier
North West Shelf – a major Asian LNG supplier For personal use only • NWS has five LNG trains with capacity of 16 mtpa NWS assets • Major projects will extend the production profile – North Rankin 2 online October 2013 on schedule and budget – Greater Western Flank A (GWF-A) on schedule and budget,
Slide 49: International assets – Trinidad has significant potential
International assets – Trinidad has significant potential For personal use only • Trinidad has the potential to become a third core Production from International operations region for our Petroleum business (MMboe, BHP Billiton share) 40 – plans to extend production plateau at Angostura 30 20 – expl
Slide 50: All investments must compete for capital
All investments must compete for capital For personal use only • Scarborough ~8 tcf1 (100% basis) Scarborough / Thebe – Western Australia – BHP Billiton 50%, ExxonMobil operator – good quality reservoir, lean gas Thebe Jupiter – delineated field with five appraisal wells Scarborough North West Shelf
Slide 51: Further opportunities in the Gulf of Mexico
Further opportunities in the Gulf of Mexico For personal use only • Mad Dog Phase 2 has potential to deliver Gulf of Mexico assets high rates of return – we are assessing development concepts with the operator • Stampede (formerly Knotty Head) is 30 miles north west of Mad Dog – BHP Billiton 20%, He
Slide 52: We will simplify the portfolio for value
We will simplify the portfolio for value For personal use only • Six assets contributed >90% of Petroleum Contribution from the core regions Underlying EBIT in FY13 (Underlying EBIT,% of Conventional total1) 100 • Recent divestments highlight our ability to create substantial value 80 – interest in
Slide 53: Key themes
Key themes For personal use only • Operating excellence and highly profitable assets provide a strong foundation for our Petroleum business • Low-risk, high return infill drilling and brownfield expansions will extend our production profile • Demonstrated technical capability to deliver projects on
Slide 54: For personal use only
éél Ohpbilliton resourcing the future
Slide 55: A disciplined focus on Tier 1 oil opportunities
For personal use only Asset name here A disciplined focus on Tier 1 oil opportunities David Rainey President, Exploration 10 December 2013
Slide 56: Key themes
Key themes For personal use only • We are targeting large, high quality oil opportunities, primarily within our existing operated footprint • Exploration for conventional and shale resources require a deep understanding of regional geology and petroleum systems • Our conventional program continues t
Slide 57: Focused conventional exploration program
Focused conventional exploration program For personal use only Tier 1 exploration criteria World class source rock Big reservoir system Large traps Gulf of Mexico • Progress best Miocene opportunities Acceptable fiscal terms • Evaluate other Gulf of Mexico plays for Early mover Tier 1 pote
Slide 58: We have built a material position in Trinidad and Tobago
We have built a material position in Trinidad and Tobago For personal use only • We have an established operational presence Leads in Trinidad and Tobago with our shallow water BHP Billiton blocks Angostura asset • The deepwater is largely untested and has 50 km Tier 1 oil potential Tobago Trinidad
Slide 59: Extending our high return shale liquids profile
Extending our high return shale liquids profile For personal use only • Our priority is to delineate the liquid sweet spots in the Gulf Coast and Permian Basins to guide acreage optimisation • Pearsall exploration well drilled in October 2013 targeting horizon below the Eagle Ford shale Fayetteville
Slide 60: Key themes
Key themes For personal use only • We are targeting large, high quality oil opportunities, primarily within our existing operated footprint • Exploration for conventional and shale resources require a deep understanding of regional geology and petroleum systems • Our conventional program continues t
Slide 61: For personal use only
éél Ohpbilliton resourcing the future
Slide 62: Extending our high return, shale liquids profile
For personal use only Eagle Ford – Texas Extending our high return, shale liquids profile Rod Skaufel Asset President, Shale 10 December 2013
Slide 63: Key themes
Key themes For personal use only • Large, high quality resource position across multiple fields • We have successfully refocused drilling activity on our liquids rich acreage • Progressing development in the liquids rich Permian • We are evaluating options to extend our liquids profile • Defer dry g
Slide 64: Significant presence in premier US shale plays
Significant presence in premier US shale plays For personal use only • We hold 1.5 million net acres1 across four BHP Billiton Onshore US shale plays highly productive US shale plays and three US states – Black Hawk (Eagle Ford) – condensate rich – Hawkville (Eagle Ford) – mix of condensate and gas
Slide 65: A high quality shale resource portfolio
A high quality shale resource portfolio For personal use only Onshore US resources by product Onshore US resources by category (as at 30 June 2013, net, billion boe) (as at 30 June 2013, net, billion boe) 3.0 3.0 liquids Contingent Resources (2C) gas Probable Reserves 2.5 2.5 Proved Reserves 2.0 2.0
Slide 66: Dry gas acreage is largely 'Held by Production'
Dry gas acreage is largely ‘Held by Production’ For personal use only • In the Haynesville and Fayetteville, leases Example: multiple leases within a 640 acre unit held comprise regulatory unit size of 640 acres, once production established within terms of the leases generally one square mile Lease
Slide 67: Hawkville has continuous drilling obligations
Hawkville has continuous drilling obligations For personal use only • Hawkville is characterised by irregular leases Example1: Large, irregular leases with continuous, with boundaries often defined by the large time dependent drilling obligations for retention ranches held by private landowners Firs
Slide 68: Rigs re-focused to liquids development
Rigs re-focused to liquids development For personal use only Onshore US operated rigs (% rig split) (average number of gross operated drill rigs) 100 50 80 40 60 30 40 20 20 10 0 0 Jan 12 Mar 12 Jun 12 Jan 13 Mar 13 Jun 13 Sep 11 Oct 11 Nov 11 Dec 11 Feb 12 Apr 12 May 12 Aug 12 Sep 12 Oct 12 Nov 12
Slide 69: Delivering strong growth in high value liquids production
Delivering strong growth in high value liquids production For personal use only Onshore US production by product Onshore US production by area (MMboe) (MMboe) 30 30 liquids Black Hawk Hawkville gas Permian Haynesville Fayetteville 20 20 10 10 0 0 Q2 FY12 Q3 FY12 Q4 FY12 Q1 FY13 Q2 FY13 Q3 FY13 Q4 FY
Slide 70: We are among the largest producers in the Eagle Ford
We are among the largest producers in the Eagle Ford For personal use only • Eagle Ford is now the largest producing Eagle Ford production by operator field within our Petroleum portfolio (net, kboe/d) 125 – currently producing in excess of BHP Billiton1 100 kboe/d (BHP Billiton share) other operato
Slide 71: We hold a premier position in the Eagle Ford
We hold a premier position in the Eagle Ford For personal use only • Black Hawk (58k net acres1) in the BHP Billiton Eagle Ford acreage position heart of the condensate window condensate window • Hawkville (250k net acres1) a mix BHP Billiton acreage of condensate and gas with NGLs • Approximately 7
Slide 72: Black Hawk – heart of the condensate window
Black Hawk – heart of the condensate window For personal use only • 148 net producing wells as at 30 June 2013 Black Hawk acreage position condensate window • Average production of 60 kboe/d BHP Billiton acreage (BHP Billiton share) at approximately 80% 40 acre development area liquids during the Se
Slide 73: Hawkville – mix of condensate and gas with NGL
Hawkville – mix of condensate and gas with NGL For personal use only • 235 net producing wells as at 30 June 2013 Hawkville acreage position condensate window • Average production of 66 kboe/d BHP Billiton acreage (BHP Billiton share) at approximately 45% liquids during the September 2013 quarter •
Slide 74: Haynesville – strong returns at current prices
Haynesville – strong returns at current prices For personal use only • Premier acreage position in one of the most Haynesville acreage by Recoverable Resource productive shale gas plays in the US BHP Billiton acreage Single well recoverable resource (bcf) • 936 net producing wells as at 30 June 2013
Slide 75: Fayetteville – preserving value
Fayetteville – preserving value For personal use only • Extensively drilled with low geologic risk Fayetteville map with FY13 non-operated drilling • 959 net producing wells as at 30 June 2013 • Average dry gas production of 68 kboe/d (BHP Billiton share) during the September 2013 quarter of which a
Slide 76: Permian – we have defined a highly prospective focus area
Permian – we have defined a highly prospective focus area For personal use only BHP Billiton acreage in the Permian basin Divestment area Focus area Under evaluation Divestment area BHP Billiton Investor briefing: Petroleum, December 2013 Slide 74
Slide 77: Permian – unique multiple horizon potential
Permian – unique multiple horizon potential For personal use only • Large liquid bearing column creates the potential for multiple economically productive horizons • A vertical well program followed by targeted horizontal wells has been used to appraise the play Avalon • Extensive appraisal program
Slide 78: Permian – targeting a 100 kboe/d development
Permian – targeting a 100 kboe/d development For personal use only • Well results support planned 100 kboe/d Production rate – recent wells in focus area development within the focus area with (boe/d, 100% basis) approximately 60% liquids 1,800 • Process of acquiring and consolidating our 1,600 acre
Slide 79: Shale capital allocation optimised for value
Shale capital allocation optimised for value For personal use only 1. For every operated well, we calculate the optimum timing to deliver maximum value, utilising forward price projections and cost learning curves 2. We test the sensitivity of value to timing, assessing the impact of acceleration or
Slide 80: Timing investment for maximum value
Timing investment for maximum value For personal use only • Capital allocation methodology informs rig Illustration of value sensitivity to spud date program decisions to capture maximum (% of maximum NPV delivered relative to spud date) value 100 insensitive to timing • Well inventory can be catego
Slide 81: Video – the drilling and completions process
Video – the drilling and completions process For personal use only BHP Billiton Investor briefing: Petroleum, December 2013 Slide 79
Slide 82: Committed to sustainable development
Committed to sustainable development For personal use only Be the safest company in industry Protect the land where we operate Safeguard and manage water resources Minimise air emissions Be a good neighbour to our communities BHP Billiton Investor briefing: Petroleum, December 2013 Slide 8
Slide 83: Manufacturing process, ideally suited for productivity improvement
Manufacturing process, ideally suited for productivity improvement For personal use only Stake Build Drill Complete Connect • Development • Clearing and • Well design • Inventory • Equipment plans and site construction • Support services management procurement selection • Well pads and • Water avail
Slide 84: Productivity opportunities have been identified and actioned
Productivity opportunities have been identified and actioned For personal use only • Repetitive, manufacturing nature of shale is Multiple opportunities to deliver material value ideally suited to our productivity agenda (Black Hawk, % NPV improvement) 20 • We are targeting multiple opportunities to
Slide 85: Utilising benchmarking and repetition of best practice
Utilising benchmarking and repetition of best practice to drive performance For personal use only • Total well costs include site preparation and Components of Black Hawk well cost well site facilities (US$ million) 12 – ~25% of our well costs are time sensitive time sensitive non-time sensitive 8 •
Slide 86: Targeting a significant reduction in drilling costs
Targeting a significant reduction in drilling costs For personal use only • Significant cost improvement has been BHP Billiton Black Hawk drilling cost performance1 realised (US$ million) 8 • We have recontracted key services 6 including fracturing, cementing and casing over the past six months 4 2
Slide 87: Increased recoveries provide the greatest upside
Increased recoveries provide the greatest upside For personal use only • We are targeting an improvement in ultimate Successfully trialling high temperature frac fluids recovery from completion optimisation and (% improvement in cumulative production) well downspacing 40 individual well • Multiple f
Slide 88: Targeting a reduction in spud to sales time
Targeting a reduction in spud to sales time For personal use only • We are targeting a reduction in the number Average spud to sales (on a four well pad) of days from spud to sales in the Black (days) Hawk while continuing to focus on safety 200 – aggressively working down completion inventory with
Slide 89: Key themes
Key themes For personal use only • Large, high quality resource position across multiple fields • We have successfully refocused drilling activity on our liquids rich acreage • Progressing development in the liquids rich Permian • We are evaluating options to extend our liquids profile • Defer dry g
Slide 90: For personal use only
éél Ohpbilliton resourcing the future