Odfjell Drilling Ltd. · OSL:ODL
Odfjell Drilling — Pareto Securities 30th Annual Energy Conference 2023
13 slides from Odfjell Drilling's conference presentation, Sep 20, 2023
Slide 1: Pareto Securities 30th Annual Energy Conference
Pareto Securities 30th Annual Energy Conference September 2023 Kjetil Gjersdal CEO 20.09.2023
Slide 2: Important Information
INTRODUCTION Important Information By reading this company presentation dated 20th September 2023 (the “Presentation”), or attending any meeting or presentation held in relation thereto, you (the “Recipient”) agree to be bound by the following terms, conditions and limitations. The Presentation is b
Slide 3: Our Company
OUR COMPANY 50 years of pioneering harsh environment drilling Controlling a fleet of advanced, modern and flexible rigs Working for some of the industry’s most reputable names Excellent operational performance Robust Financial Profile and backlog Contract Backlog Leverage Ratio USD 2.2bn 2.2x LTM EB
Slide 4: Our top-of-the-line rigs
OUR FLEET Our top-of-the-line rigs The Odfjell Drilling’s eight premium rigs Deepsea Aberdeen Deepsea Atlantic Deepsea Nordkapp Deepsea Stavanger Built: 2014 Built: 2009 Built: 2019 Built: 2010 Deepsea Bollsta Hercules Deepsea Mira Deepsea Yantai Built: 2019 Built: 2008 Built: 2019 Built: 2019 Owned
Slide 5: The Odfjell Drilling Way
OUR STRATEGY The Odfjell Drilling Way Key focus Normalised well delivery time (days) Backlog (USDm) per UDW equivalent 589 100% People Peer 1 387 Peer 1 +32% Culture Peer 2 376 Peer 2 +45% Peer 3 276 Assets Peer 3 +50% Peer 4 238 Unique capacity for complex operations fully visible in leading well p
Slide 6: The World's Most Flexible Drilling Units - Fully Deployed
OUR FLEET The World's Most Flexible Drilling Units - Fully Deployed Offshore Norway Deepsea Aberdeen Deepsea Nordkapp Deepsea Yantai Breidablikk Development Alvheim Development Exploration Hercules Deepsea Atlantic Offshore Namibia, Johan Sverdrup Phase 2 Exploration Deepsea Stavanger Exploration De
Slide 7: Complex conditions make Odfjell Drilling an ideal match for Namibia
EMERGING MARKET Complex conditions make Odfjell Drilling an ideal match for Namibia Ocean Current and Rig Capabilities in the South of Africa Top 10 liquid discoveries since 2000 Angola current Benguela current Deepsea Mira Deepsea Bollsta Kashagan Eridu Buzios Libra/Mero Tupi West Yadavaran Venus J
Slide 8: A Growing Business, Achieving Record Revenue and EBITDA
FINANCIAL RESULTS A Growing Business, Achieving Record Revenue and EBITDA Revenue and EBITDA Increasing Net Debt and Leverage Ratio Reducing Available Cash of USD 249m Revenue (USDm) EBITDA (USDm) Net Debt (USDm) Leverage ratio (x) Undrawn RCF (USDm) Cash (USDm) 184 677 685 687 249 171 647 645 165 1
Slide 9: Market Dynamics Already Supporting Dayrate Growth
MARKET OUTLOOK Market Dynamics Already Supporting Dayrate Growth Harsh Environment Rigs Supply and Demand Creating Continued Opportunity Other Active Odfjell Drilling Stacked Stranded Newbuilds North Sea Other Harsh Benign 59 Average rig age: 40 years 17 39 13 3 3 5 Average rig age: 9 years 35 6 31
Slide 10: Considerable Upside Potential With Higher Dayrates
DAYRATES Considerable Upside Potential With Higher Dayrates Increasing Dayrates Illustrative EBITDA1 (USDm) USDk/day 700 600 500 +286% 400 319 300 200 100 0 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 Actual USD 400k/d USD 450k/d USD 500k/d USD 550k/d LTM EBITDA Source: DNB Markets S
Slide 11: Investment thesis
SUMMARY Investment thesis Harsh environment market leader with exceptional operational track record, DW and UDW capabilities Robust balance sheet and strong cash position with increasing revenue booked into the future Strong market dynamics, entering an offshore drilling supercycle Dividend paying,
Slide 12: Odfjell Drilling
Jodfjell drilling
Slide 13: For further information, please contact
For further information, please contact: James Crothers, Investor Relations Officer jchu@odfjelldrilling.com www.odfjelldrilling.com 13 13
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