Worley Limited · ASX:WOR
Worley — WorleyParsons — Investor Day (October 2014)
154 slides from Worley's investor day presentation, Oct 29, 2014
Slide 1: WorleyParsons Delivering What we promise: Sydney Investor Day
For personal use only WorleyParsons Delivering What we promise Sydney Investor Day
Slide 2: Agenda
Agenda Sydney Investor Day For personal use only Item Time Housekeeping and OneWay Moment 1:15 to 1:20 Welcome address 1:20 to 1:30 Sector Strategies 1:30 to 1:45 Major Projects 1:45 to 2:00 Services 2:00 to 2:15 Improve 2:15 to 2:30 Panel Discussion 2:30 to 3:00 Afternoon Tea break 3:00 to 3:15 New
Slide 3: OneWay moment
OneWay moment For personal use only ► Evacuation Procedures 3
Slide 4: Hydrocarbons Strategy
For personal use only Hydrocarbons Strategy Delivering What we promise Andy Cole 4
Slide 5: Our Corporate Strategy
Our Corporate Strategy For personal use only Horizon 2 Growth from the core Horizon 1 Getting better at our core • Business development business directions Enhancing & • Strategic step-outs through • Delivering what we Leveraging our M&A or organic growth promise unique technical • Zero harm capabil
Slide 6: What we are expecting in FY15
What we are expecting in FY15 For personal use only By forecast GM 6
Slide 7: Not all subsectors are created equal
Not all subsectors are created equal For personal use only 7
Slide 8: The rise and rise of LNG
The rise and rise of LNG For personal use only Australian LNG moving into operational and maintenance support phase (Improve) North American LNG - with a focus on Canada’s West coast East Africa LNG 8
Slide 9: The UCOG Value Chain
The UCOG Value Chain For personal use only 9
Slide 10: MM&C Strategy
For personal use only MM&C Strategy Delivering What we promise Mark Southey 10
Slide 11: The Mining Value Chain
The Mining Value Chain For personal use only Full asset life engagement 11
Slide 12: Mining and Mine Development
Mining and Mine Development Leverage our mining expertise and capability globally For personal use only 12
Slide 13: Fertilizers - sustained global growth
Fertilizers - sustained global growth Grow position in Potash, Phosphates & Nitrates For personal use only Positioning for the long term in fertilizers 13 13
Slide 14: Customer focus on asset optimisation
Customer focus on asset optimisation Driving productivity improvement - Bauxite & Alumina For personal use only Capturing value through our world leading expertise 14 14
Slide 15: Chemicals growth
Chemicals growth Differentiated offering leveraging China capability For personal use only Three key focus geographies: US, Middle East and Asia Provide global project solutions through International Chemicals Centre in Beijing Intensify focus in US Gulf Coast 15
Slide 16: Infrastructure Strategy
For personal use only Infrastructure Strategy Delivering What we promise Gerard Dyson 16
Slide 17: Infrastructure Customers
Infrastructure Infrastructure Customers For personal use only 1. Infrastructure customers 1. Shifting to private funding in the developed world 2. Governments still investing and owning in the developing world 3. Population driven utility and transport growth in the developing world, ongoing sustain
Slide 18: Resource Customers
Infrastructure Resource Customers For personal use only 1. Hydrocarbons customers 1. Pipelines, LNG and liquids terminals and unconventionals 2. Minerals & Metals customers 1. Brownfields optimisation 3. All Customers 1. Changing environmental and social expectations 2. Social license to operate dom
Slide 19: Economic Infrastructure focus
Infrastructure Economic Infrastructure focus For personal use only 1. Utilities 1. Power 2. Water 2. Transport 1. Ports 2. Rail Focussing, retaining and deepening technical capability Broad synergies for targeted customers Organic growth, partnering, acquisition 19
Slide 20: Project enablers
Infrastructure Project enablers For personal use only 1. Environment 1. ESHIA 2. Compliance 3. Sustainable and compliant project delivery 4. Operations and restoration 2. Geosciences 1. Data management 2. Geotechnical, geophysical and geological 20
Slide 21: Major Projects
For personal use only Major Projects Delivering What we promise Chris Parker 21
Slide 22: Major Projects
Major Projects For personal use only ► Our business is delivering large complex projects ► Consistent application of tools, systems & procedures ► Experienced management teams ► Risk mitigation 22
Slide 23: Location
Location For personal use only BULL ARM FABRICATION SITE ST. JOHN’S FLEMISH CAP THE SAME HIBERNIA LATITUDE AS SEATTLE WHITE ROSE HEBRON GRAND TERRA NOVA BANKS 23
Slide 24: Facility Concept
For personal use only 24 Facility Concept
Slide 25: Platform Overview
Platform Overview DRILLING DERRICK For personal use only GRAVEL PACK FACILITIES FLARE BOOM POWER GENERATORS DRILLING SUPPORT HELIDECK MODULE LIVING QUARTERS GAS COMPRESSORS SEPARATION / PROCESS EQUIPMENT LIFEBOATS WELLBAY ELECTRICAL CENTRAL ROOMS CONTROL ROOMS 25
Slide 26: Execution Overview
For personal use only 26 Execution Overview
Slide 27: Major Projects
Major Projects For personal use only ► Global projects 16+ being executed in Major Projects multiple locations contracts ► Spanning our full project/sector capability ~12% ► Include all phases FY2014 of project delivery aggregated revenue 27
Slide 28: Major Projects Highlights
Major Projects Highlights For personal use only Alaska Gas Spectra BC Gas ExxonMobil Pipeline Pipeline Hebron HHI/Chevron Rosebank FPSO TengizChevroil Phase 4 (FGP) ExxonMobil Point Celanese Thompson Project Trans Fairway Anatolian TransCanada Natural Coastal Gas Chevron Gas Pipeline Link Pipeline B
Slide 29: Horizon – Major Projects: Getting better at what we do
Horizon 1 – Major Projects Getting better at what we do For personal use only ► Business line structure allows Global consistency and best practices The right projects and commercial terms Experienced project teams Recruit and develop talent for global business Creates clear lines of accou
Slide 30: Horizon – Major Projects: Growth from the core
Horizon 2 – Major Projects Growth from the core For personal use only ► Growing with our customers ► Major Project opportunities identified for award in FY15 ~ $1B revenue Onshore developments Floating Major Pipelines LNG Base metals Chemicals 30 30
Slide 31: Major Projects - Hydrocarbons
Major Projects - Hydrocarbons Horizon 2 - Growth from the core For personal use only > Major upstream developments Onshore Alaska & Western Canada LNG Offshore East Africa Deep water Arctic > Geographic expansion Mexico East Africa 31
Slide 32: LNG
LNG For personal use only Global LNG – Supply & Demand Scenarios 1 Proposed LNG Capacity 2 (682 million tons May 2014) High demand Speculative Base demand Low demand NW Australia Possible Construction Canada Producing ~400 MTPA new LNG capacity proposed in the US Lower-48 and Western Canada since 20
Slide 33: Deepwater CAPEX
Deepwater CAPEX For personal use only Subsea Tree Capex (US$M) by Subsea Tree Capex (%) Water Depth (meters) by Water Depth (meters) • 2014-2018 Deepwater installation Capex US$115 billion, doubling from 2009-2013 • Deepwater trees account for 84% of Capex of all subsea trees in 2014-2018 33 Source:
Slide 34: Potential in Arctic reserves
Potential in Arctic reserves Image source: Infield Systems, “Global Offshore Oil and Gas Outlook” February 2013 For personal use only 174 discovered fields in Arctic, 83% of discovered resources are Russian Estimated spend • Alaska US$30-50B in next decade • Canadian Arctic minimal in next few years
Slide 35: Major Projects – MM&C
Major Projects – MM&C Horizon 2 - Growth from the core For personal use only > Minerals and Metals improving outlook for study activity > Chemicals investment in US driven by low cost shale gas > Global fertilizer opportunities driven by increased need for agriculture productivity > Grow global mini
Slide 36: Chemicals
Chemicals For personal use only Incremental US Chemical Industry CAPEX New Chemical Capital Investment from Shale Gas by Asset Type Piping & Valves Building Construction Construction Instrumentation & Electrical Major Process Equipment Sources: Shale Gas, Competitiveness, and New US Chemical Industr
Slide 37: Global Major Projects Outlook
Global Major Projects Outlook For personal use only ► Key projects with significant procurement spend winding down in FY2015 ► FY2015 margin improvement focus Creation of Major Projects business line Further developing our Global Delivery Centers Training and consistent application of best pra
Slide 38: Services
For personal use only Services Delivering What we promise Ian Wilkinson 38
Slide 39: Services
Services For personal use only ► Our purpose is to provide services to local customers utilising the full range of capability of the WorleyParsons organization, and to nurture and develop the broad technical knowledge and capability of our people. ► We provide Technical consulting services Front
Slide 40: Services regions and global businesses
Services For personal use only Europe North America Middle East North Africa Australia Pacific Asia China 5 Sub Saharan Africa Regions Latin America 2 Global Businesses Energy Resourcing 40
Slide 41: Broad and deep technical capability
Broad and deep technical capability For personal use only UCOG Floating Systems & Subsea Heavy Oil LNG / FLNG Pipeline Systems Offshore Gas Processing Pipeline Systems Water Aluminium Water Offshore Environment Renewables (Hydro) Environment Ports Geosciences Advanced Analysis Environment Restoratio
Slide 42: Services Regions and Global Businesses
Services Regions and Global Businesses For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa Europe Middle East North 4% 5% Africa 23% Sub-Saharan Africa Latin America 24% North A
Slide 43: Europe Middle East North Africa
Europe Middle East North Africa For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa United Kingdom Norway Bulgaria Kazakhstan Oman Qatar Saudi Arabia UAE Kuwait Spain Egypt Liby
Slide 44: Europe Middle East North Africa: Key capabilities
Europe Middle East North Africa For personal use only Key capabilities • Upstream and downstream hydrocarbons • Nuclear power • Strong Hydrocarbons front end capability in UK • Ports • Renewable power • Strong history in Middle East PMC • Long term contracts particularly in the Middle East supportin
Slide 45: Sub-Saharan Africa
Sub-Saharan Africa For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa South Africa Nigeria Angola Mozambique Tanzania Ghana Kenya Namibia 2600 people* 7 % of FY14 revenue * 800
Slide 46: Sub-Saharan Africa: Key capabilities
Sub-Saharan Africa For personal use only Key capabilities • Upstream hydrocarbons (market leader in Nigeria) • Pipelines • Mining (particularly deep shaft underground) • Minerals and metals (particularly precious metals) • Power (particularly renewables) • Enabling infrastructure Growth opportunitie
Slide 47: Latin America
Latin America For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa Chile Brazil Colombia Mexico Peru Ecuador 1400 people 5 % of FY14 revenue 47
Slide 48: Latin America: Key capabilities
Latin America For personal use only Key capabilities • Minerals and metals (particularly base metals) • Hydropower • Infrastructure • Upstream hydrocarbons Growth opportunities Challenged markets • Mexico (hydrocarbons) • Minerals and metals • Ecuador, Columbia, Peru • Brazil • Brazil hydrocarbons (
Slide 49: North America
North America For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa North America North America North America North America WorleyParsons Unconventional West Gulf Coast Central Ea
Slide 50: North America: Key capabilities
North America For personal use only Key capabilities • Hydrocarbons upstream and downstream • Minerals and metals • Chemicals • Power (fossil and nuclear) • Enabling infrastructure Growth opportunities Challenged markets • UCOG • Minerals and metals • Gas processing and distribution • Fossil power i
Slide 51: Australia Pacific Asia China
Australia Pacific Asia China For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa Australia East Australia West New Zealand Singapore Kuala Lumpur Brunei India China Thailand Ind
Slide 52: Australia Pacific Asia China: Key capabilities
Australia Pacific Asia China For personal use only Key capabilities • Upstream and downstream hydrocarbons • Minerals and metals (particularly iron ore) • Chemicals • Power • Enabling infrastructure Growth opportunities Challenged markets • Chemicals • Minerals and metals • Brownfield services for n
Slide 53: INTECSEA
INTECSEA For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa Houston Woking Delft Perth / Melb Kuala Lumpur Singapore India Rio De Janerio 900 people 5 % of FY14 revenue 53
Slide 54: Concept Selection and Specialist Technical Capability
For personal use only Concept Selection and Specialist Technical Capability for: Subsea systems Flow assurance Marine pipelines Asset integrity Floating systems Marine terminals Marine riser systems Arctic developments 54 54
Slide 55: 30+ Years of innovation and groundbreaking achievements
30+ Years of innovation and groundbreaking achievements For personal use only Pipelines Deepest S-lay pipeline Deepest J-lay pipeline Longest offshore pipeline First offshore arctic oil pipeline First arctic pipeline leak detection system Risers First pipe-in-pipe steel catenary riser (S
Slide 56: INTECSEA Growth opportunities
INTECSEA For personal use only Growth opportunities • Offshore Full Field Development (concept selection) • Mexico – Gulf of Mexico with IOCs and Pemex • East Africa offshore Mozambique • Brazil • India – Deepwater off the east coast • Deepwater brownfield particularly in the GoM 56
Slide 57: Energy Resources Group
Energy Resources Group For personal use only Major Projects Services Improve Europe Sub Saharan Australia Pacific Middle East Latin America North America INTECSEA ERG Africa Asia China North Africa Perth Brisbane London Singapore Houston Calgary Beijing Ulsan 1100 people 4 % of FY14 revenue 57
Slide 58: Energy Resourcing Group Overview
For personal use only Energy Resourcing Group Overview Vertically integrated recruitment and contracting services company specialising in the energy sector, primarily hydrocarbons related One of the largest energy specialist engineering staffing businesses An independent subsidiary of WorleyPa
Slide 59: Services
For personal use only Services Technical Recruitment - Permanent - Local & International Technical Recruitment - Contract – Local & /International Contractor/Payroll management & mobility services - Local & International Sub-Vendor Management Services Consulting/Advisory Services Master
Slide 60: Major Customers
For personal use only 60 Major Customers
Slide 61: Horizon – Services: Getting better at what we do
Horizon 1 – Services Getting better at what we do For personal use only ► Business Line structure allows local business to focus on core activities Servicing local customers Nurturing technical experts Making it easier to aggregate capability ► Simplifying the way we do business Reducing the
Slide 62: Services - Hydrocarbons
Services- Hydrocarbons Horizon 2 - Growth from the core For personal use only UNCONVENTIONAL OIL & GAS: Contrado JV with MWH with a focus on North America Queensland, China, East Africa FIELD DEVELOPMENT PLANNING (FDP) Strengthen front-end offering combining Select and INTECSEA and other adjacent ca
Slide 63: Services – MM&C
Services – MM&C Horizon 2 - Growth from the core For personal use only UNDERGROUND MINE DEVELOPMENT Leverage deep expertise in South Africa to increase market share CHEMICALS RAPID GROWTH STRATEGY Accelerate growth leveraging China capability and cost base. ASSET OPTIMISATION Driving productivity im
Slide 64: Services – Infrastructure
Services– Infrastructure Horizon 2 - Growth from the core For personal use only EXPANDED SELECT Build and concentrate enabling capabilities to support early entry to major development markets TARGETED NON-RESOURCE eg Ports, Nuclear, Renewables WATER Take unique technical capabilities in water to cus
Slide 65: Improve
For personal use only Improve Delivering What we promise Randy Karren 65
Slide 66: Improve
Improve For personal use only ► Definition The provision of value-added services via a long-term contract to support our customers business or operation. The services include: − Brownfield project delivery − Customer-defined portfolio delivery (Brownfield and Greenfield) − Asset management − Busin
Slide 67: Improve brownfield execution
Improve brownfield execution For personal use only Asset Management Procurement Brownfield Extended Consulting Engineering Services support & Contracts Execution Services RBI, Rapid Response, Inspection, Asset Corrosion Mgt, Restoration & Rapid Response Verification, Failure Integrity Scope, Materia
Slide 68: Improve business line
Improve business line For personal use only ► Why Support customers to attain capital effectiveness and capital efficiency for their assets Aligned with our customers organizational structures Cost-effective delivery model ► Scope Nominated strategic customer relationships Supports growth
Slide 69: Improve/Services business interface
Improve/Services business interface For personal use only ► Enduring customer relationships in both Improve and Services business line ► We nominated certain relationships into Improve business line to support business growth Tier one customers whose organizations mirror our own Commercially com
Slide 70: Improve Horizon: Existing relationship focus areas
Improve Horizon 1 Existing relationship focus areas For personal use only • Enhanced HSE performance • Operational excellence • Predictable project outcomes • Cost efficiency & effectiveness • Customer service focus • Global best practices 70
Slide 71: Improve Horizon: Long-term relationship strategies
Improve Horizon 1 Long-term relationship strategies For personal use only • Retain current base • Simplify and secure our workflow $ 1.7 B FY14 • Longer-term commitments • Shell • ExxonMobil • Strategic • BP partner • ConocoPhillips • Return on • Multiple regional companies capital employed • Horizo
Slide 72: Improve Horizon: Strategies / focus areas
Improve Horizon 2 Strategies / focus areas For personal use only • Full service project delivery • Asset management and business improvement • Petrochem and water • Operations support • Turnaround management • New customers / new geographies 72
Slide 73: Improve Horizon: Opportunities
Improve Horizon 2 Opportunities For personal use only ► Strong pipeline of opportunities globally ► Currently tracking opportunities amounting to over $3.4B in revenue ► 65+ potential Improve relationships identified ► Opportunities span across Hydrocarbons and Power $1.7B with key customers BP,
Slide 74: Improve Hydrocarbons
Improve Hydrocarbons Improve business strategies For personal use only > Growth Services Full service EPC/EPCM delivery Asset Management > Growth Geographies USA South Asia Canada Gulf of Mexico Middle East > Growth Subsectors LNG Petrochemical Heavy Oil Gas Processing Offsho
Slide 75: Improve MM&C
Improve MM&C Improve business strategies For personal use only > Growth Services Asset optimization Petrochemical asset development and support > Growth Geographies Northern Canada USA Gulf Coast Chile > Growth Subsectors Alumina Chemicals Base metals 75
Slide 76: Improve Infrastructure
Improve Infrastructure Improve business strategies For personal use only > Growth Services Water management Advisory Regulatory support > Growth Geographies Alberta oil sands USA Gulf Coast Asia Canada West Coast SSA > Growth Subsectors Water Environmental Power 76
Slide 77: Improve business line
Improve business line For personal use only ► Alliances and long-term relationships provide a deep understanding of customer drivers 150+ ► Improve draws on the experience and Improve capabilities of our global resources Contracts Knowledge accumulated from 290 Improve alliances over 20+ years ~20
Slide 78: Improve industry trends
Improve industry trends Customers are seeking For personal use only ► Enhanced HSE performance ► Better alignment to customer business drivers ► Long-term commitment and relationships (Tier 1s) ► Cost, quality and schedule certainty ► Asset integrity and assurance ► Global consistency in approach an
Slide 79: Panel Discussion
For personal use only Panel Discussion Delivering What we promise 79
Slide 80: New Ventures Group
For personal use only New Ventures Group Delivering What we promise Greg Clinnick 80
Slide 81: New Ventures Group
New Ventures Group For personal use only ► Formed mid 2013 ► Provides a structured and disciplined approach to identifying, incubating and implementing new businesses ► Small senior team with access to internal and external specialist resources ► Oversees our global innovation program - Incubation
Slide 82: Our new ventures - Digital Enterprise and Advisian
Horizon 3 Our new ventures - Digital Enterprise and Advisian For personal use only 82
Slide 83: Advisian: Our Advisory business
Advisian Our Advisory business For personal use only ► A highly valued global advisory business ► Combines strategic and business thinking and domain knowledge with the broad and deep technical and delivery capabilities within WorleyParsons to solve our customers most challenging problems ► Will hel
Slide 84: The journey to Advisian
The journey to Advisian For personal use only ► WorleyParsons acquired Evans & Peck in December 2009. Largely an Australian based public sector infrastructure focused advisory business ► Deloitte Alliance in Canada commenced in late 2012, then in Australia in 2013 ► We were unable to capitalise on o
Slide 85: Advisian: High calibre leadership
Advisian High calibre leadership For personal use only ► Dennis Finn joins WorleyParsons as the CEO of Advisian ► Dennis brings a wealth of experience and a strong background in global strategy, transformational change and high impact customer focused interventions 85
Slide 86: Announcement of MTG acquisition
Advisian Announcement of MTG acquisition For personal use only ► Founded in 1983, MTG is a global operational consulting firm focused on the oil & gas, petrochemicals and chemical industries ► MTG helps clients accelerate the delivery of financial and operational improvements ► Over 100 consultants
Slide 87: Digital Enterprise: The DE roadmap
Digital Enterprise The DE roadmap For personal use only Customers are seeking the next productivity “breakthrough” The DE facilitates the digitization of our customer’s businesses enhancing decision making throughout the create and operate phase of their assets Four step framework 1. Create a
Slide 88: Potential benefits of the digital asset concept
Potential benefits of the digital asset concept For personal use only • Capital costs reduction of up to 5% through data integrity alone • Increased speed to market through reduced project cycle time of up to 20% • Reduce design cost by up to 70% through reuse of data and design • Access to resource
Slide 89: More information? – yes please
More information? – yes please For personal use only 89
Slide 90: Services North America
For personal use only Services North America Delivering What we promise Greg Conlon 90
Slide 91: Services
Services For personal use only ► Overview of 6 locations ► Restructure discussion Merging of CAN and USAC Benefits of restructure Business Unit overview ► Interface with Improve and Major Projects ► INTECSEA 91
Slide 92: North America Services
North America Services For personal use only The merged North America is the bedrock from which we maintain, enhance and leverage our broad and deep technical capabilities and 40+ Offices our diverse geographic presence 32% of FY14 Revenue 92
Slide 93: New Organisation
New Organisation For personal use only Business Lines Major Projects Services Improve Europe Sub Saharan Australia Pacific Regions (6) Middle East North America Latin America INTECSEA Africa Asia China North Africa Locations (6) North America North America North America North America Unconventional
Slide 94: Benefits of the restructure
Benefits of the restructure For personal use only ► The Services business line provides the foundation for the way we deliver projects for the resources and energy sectors in North America (and internationally) (and with the other business lines) – it is based on deep collaboration between locations
Slide 95: Organisational Concept
Organisational Concept For personal use only 95
Slide 96: Location & BU Concept
Location & BU Concept Central For personal use only Pipelines CORD East Upstream M&M Sulphur, Arctic Power & Nuclear West I&E Downstream & Chemicals UCOG Offshore 10,500+ Employees Gulf 6 Locations INTECSEA Coast 96
Slide 97: Unconventional Oil & Gas
Unconventional Oil & Gas For personal use only Contrado provides full integration of field development, synchronizing surface infrastructure with hydrocarbons production. Through collaboration with our customers, we specifically aim to integrate water, power and hydrocarbons infrastructure through w
Slide 98: North America Resources
North America Resources For personal use only 98
Slide 99: Upstream
Upstream For personal use only Strong heritage market Active in Gas field & midstream developments, front end LNG work and facilities associated with pipeline network expansions Repositioning for Oil Sands recovery under capital cost efficiency pressure Globalizing heavy oil capability 99
Slide 100: Pipelines
Pipelines For personal use only Full range of engineering, procurement and construction management (EPCM) services covering all facets of on-shore pipelines, from large-diameter, long-distance transmission pipelines to small-inch gathering and distribution systems, with the associated pipeline-relat
Slide 101: LNG – a snapshot
LNG – a snapshot For personal use only Upstream sub-sector Enabling works, program Mgmt & OSBL • Growth in Western Canada • Local Approvals • Marine consulting PMC/OE: LNG, Regas & FLNG core Western Canada emerging 101
Slide 102: Offshore
Offshore For personal use only Engineering services to all major offshore developments in the Gulf of Mexico, Middle East, North Sea, Australia, Sub-Saharan Africa, Southeast Asia, Russia and South America. These services include SURF, floating production, pipelines and topsides for all project phas
Slide 103: Downstream & Chemicals
Downstream & Chemicals For personal use only Expertise in the design of petrochemical units covering 600+ projects in more than 30 countries to date. International Chemicals Centre in China and high value centre in India further expand both our capability and capacity to work with diverse technologi
Slide 104: Announced US Refining Capacity
Announced US Refining Capacity For personal use only 104 Source: IHS Energy April 2014
Slide 105: Power
Power For personal use only Potential office location Expertise in all types of power generation and delivery projects including coal, gas, nuclear, renewable and power network projects. Providing operations and maintenance services for operating power plants 105
Slide 106: Minerals & Metals
Minerals & Metals For personal use only Processing expertise covering base metals, Potential precious metals, uranium, aluminum, alumina, office location rare earths, graphite and fertilizers, with a particularly strong capability in potash. Specialized services in pyrometallurgy, hydrometallurgy, a
Slide 107: Infrastructure & Environment
Infrastructure & Environment For personal use only Enabling capability for Resource customers Expertise in ports, marine, terminals, rail, water, environment and restoration. Technical support from pre-feasibility approvals and permitting through to execution, working in close collaboration with
Slide 108: WorleyParsonsCord
WorleyParsonsCord For personal use only Core business – fabrication & construction Selective EPC / EPCM delivery 120 acres High-load corridor access Up to 35,000 diameter-inches of piping fabricated / week 2700 direct-hire and subcontracted workforce Emerging trend – global sourcing 60
Slide 109: Current Market Outlook
Current Market Outlook For personal use only Focus on growing our business in 4 areas: Pipeline terminals Pump stations Compressor stations Gas liquids projects Slow recovery of oil sands market Significant capital cost efficiency pressures driving the Alberta WorleyParsonsCord Module
Slide 110: Business Model
Business Model For personal use only ► Balanced portfolio between module yards and field construction ► MSA multi year contracts ► Collaboration with EPCM locations to deliver EPC solutions ► Manage commercial risk with mix of commercial models Reimbursable 10% Unit Rate 40% Reimbursable / Fixed Fee
Slide 111: Evolving Global Supply Chain
Evolving Global Supply Chain For personal use only Module installation at site Ft. McMurray Unpacking and moduleLogistics Edmonton fabrication Trucking of modules site Calgary Design/drafting Vancouver Beijing Qingdao Engineering and procurement 350 containers shipped Prefabrication WorleyParsonsCor
Slide 112: Evolving Global Supply Chain
Evolving Global Supply Chain For personal use only Ft. McMurray Fort McMurray - Module installation at site Edmonton Calgary Beijing - Design/drafting Vancouver Beijing Qingdao 350 containers shipped Edmonton - Unpacking and module fabrication Qingdao - Prefabrication WorleyParsonsCord Module Yard,
Slide 113: North America Services
North America Services For personal use only 6 Locations 7 Business Units delivering performance 40+ offices A cornerstone of our broad and deep technical capabilities and our diverse 113 geographic presence
Slide 114: LAM support Opportunities
LAM support Opportunities For personal use only ► Opportunities identified to support LAM from Colombia Gulf Coast to start in Peru FY2015 Mexico Revenue ~ US$600M Ecuador Columbia largest opportunity Most Downstream Downstream Offshore Pipelines Heavy Oil UCOG 114
Slide 115: Strategic Outlook
Strategic Outlook For personal use only 8.9% 9.0% 13.7% 11.9% Good market fundamentals 193 UCOG / Contrado – continental demand 188 151 Oil Sands – capital efficiency 137 Gas monetization – driving downstream and chemicals Offshore – balanced portfolio M&M – consolidate / asset focus Emerging Nuclea
Slide 116: Interface with Major Projects
Interface with Major Projects For personal use only ► Customer coordination – one WorleyParsons Global consistency – Major Projects Local engagement – Services Dedicated Asset / Alliance engagement – Improve ► Key delivery partnership Resource & facilities Simplified transfer process ► Maj
Slide 117: Interface with Improve
Interface with Improve For personal use only ► Customer coordination – Local consistency Where practical 100% Improve locations ► Key operational partnership Improve workload typically predictable Specific Project Resources Overhead resource optimisation 117
Slide 118: APAC Services
For personal use only APAC Services Delivering What we promise Denis Lucey 118
Slide 119: APAC Services
APAC Services ► Overview of APAC Services For personal use only Overview of Region Benefits of restructure Merging of ANZ and ASCHI ► Market Update ANZ ASCHI ► Strategic Focus Areas Hydrocarbons MM&C Infrastructure ► Key Themes for FY15 Global Delivery Centres International Chemi
Slide 120: APAC – Overview of Region
APAC – Overview of Region For personal use only 40+ Offices 12 Countries 23.7% of total Group Aggregated Revenue in FY14 The Services business line is the bedrock from which we maintain, enhance and leverage our broad and deep technical capabilities and our diverse geographic presence 120
Slide 121: APAC – Overview of Region
APAC – Overview of Region For personal use only FY14 Total Revenue by service line in APAC 5% 3% 9% Services Major Projects Improve 83% Development FY14 Total Services Revenue by Region in APAC 35% ANZ 65% ASCHI 121
Slide 122: New Organization
New Organization For personal use only Development Services Major Projects Improve Europe Australia Pacific Sub Saharan Energy North America Middle East Latin America INTECSEA Asia China Africa Resourcing North Africa APAC Locations 122
Slide 123: Benefits of the restructure
Benefits of the restructure For personal use only ► The Services business line provides the foundation for the way we deliver projects for the resources and energy sectors in APAC (and internationally and with the other business lines) – it is based on deep collaboration between Locations within the
Slide 124: Merging of ANZ & ASCHI
Merging of ANZ & ASCHI For personal use only Greater alignment and “One Team” culture in APAC Greater and more seamless workshare Ability to support each other better Better BD coordination Closer ties between Hub 124
Slide 125: Merging of ANZ & ASCHI
Merging of ANZ & ASCHI For personal use only Improved knowledge management Reduced overheads at both regional and Location level, Facilitates greater mobility across Locations No time zone constraints 125
Slide 126: Market Update - ANZ
Market Update - ANZ For personal use only Markets are stabilising Good baseload of work built on repeat business Further opportunities across resources, energy and public sectors Improved competitiveness in local markets Australia becoming more competitive in Global market place 126
Slide 127: Market Update - ANZ
Market Update - ANZ For personal use only ► Decline in greenfields Mega projects ► Improve opportunities are robust, including UCOG, LNG and Conventional Hydrocarbons ► Front end studies increasing, including new UCOG and LNG supply contracts ► Offshore drilling in Australia Bight and New Zealand of
Slide 128: Market Update - ANZ: Hydrocarbons
Market Update - ANZ Hydrocarbons For personal use only ► Decline in greenfields Mega projects ► Improve opportunities are robust, including UCOG, LNG and Conventional Hydrocarbons ► Front end studies increasing, including new UCOG and LNG supply contracts ► Offshore drilling in Great Australian Bigh
Slide 129: Market Update - ANZ: Minerals, Metals & Chemicals
Market Update - ANZ Minerals, Metals & Chemicals For personal use only ► Minerals & Metals activity soft, especially Iron Ore and Coal ► M&M markets are cost and volume focussed ► Study opportunities in the next round of incremental expansions and diversified commodities ► Focus on asset optimisatio
Slide 130: Market Update - ANZ: Infrastructure
Market Update - ANZ Infrastructure For personal use only ► Increased Government spending in public infrastructure ► Water remains attractive ► Leveraging subsector strength in water, rail and ports into Asia and Africa 130
Slide 131: Market Update ASCHI: China
Market Update ASCHI China For personal use only ► Domestic Chemicals market is slowing and getting more competitive ► Continued focus on Tier 1 Chemicals customers ► Chemicals opportunities are increasing in SE Asia, India and USA ► Beijing becoming the group’s global Chemical design center ► China
Slide 132: Market Update ASCHI: South East Asia
Market Update ASCHI South East Asia For personal use only ► Focused on the Upstream Hydrocarbons market in SE Asia (except for Singapore) ► Conventional fields are in decline - reduced capital spend ► Deepwater developments are the exception ► Significant Improve opportunities across SE Asia ► Incre
Slide 133: APAC – Hydrocarbons Strategic Focus Areas
APAC – Hydrocarbons Strategic Focus Areas For personal use only 1. Offshore, deep water field developments (INTECSEA) 2. Unconventional Oil & Gas (UCOG) • Improve opportunities across QLD • Emergence of UCOG in China 3. LNG • Improve opportunities across Australia • Floating LNG (incl. partnership w
Slide 134: APAC – MM&C Strategic Focus Areas
APAC – MM&C Strategic Focus Areas For personal use only 1. Support Tier 1 customers iron ore expansion in WA 2. Increase Australia exposure in Mining and Mine Development drawing from leading South Africa position 3. Provide global project solutions through our International Chemicals Centre in Beij
Slide 135: APAC – Infrastructure Strategic Focus Areas
APAC – Infrastructure Strategic Focus Areas For personal use only 1. Total Water Solutions Mining and UCOG (CSM and Shale Gas) in Australia and China 2. Asia Ports Build Ports HVE Chennai China Procurement Model 3. EPC Relationships Support Chinese EPC global expansion 4. Government Infrastr
Slide 136: Global Delivery Centres
Global Delivery Centres For personal use only “The Global Delivery Center (GDC) Acceleration Program will see us deliver quality, cost efficient engineering execution from our existing offices in India and China, offering significant value for our customers and enabling us to grow our business.” ► O
Slide 137: Global Delivery Centres: China Story
Global Delivery Centres For personal use only China Story ► Currently 2,800 people across 5 offices in Beijing, Shanghai, Tianjin, Nanjing and Chengdu ► Significant growth targeted ► Support for USA Chemicals growth ► Strong capability in Major Projects and Chemicals ► Strong local project delivery
Slide 138: International Chemical Centre
International Chemical Centre For personal use only ► China operation has a strong Chemicals sector legacy ► Significant growth in recent years ► China is our key differentiator ► Formalising the International Chemical Centre - Initial focus in North America ► Supporting Chinese customers overseas 1
Slide 139: Chinese Overseas Investment
Chinese Overseas Investment For personal use only ► China’s National Development - “Going Overseas” ► NOCs continue to expand their investments in Latin America, North America, Africa and Central Asia ► Chinese Tier 2 or 3 energy and chemicals companies are investing more overseas ► Chinese EPC cont
Slide 140: Q&A
For personal use only Q&A Delivering What we promise 140
Slide 141: Close
For personal use only Close Delivering What we promise Simon Holt 141
Slide 142: Biographies
For personal use only Biographies Delivering What we promise 142
Slide 143: Greg Clinnick
Greg Clinnick Managing Director New Ventures For personal use only In mid 2013, Greg was appointed to the newly created role of Managing Director New Ventures. Greg has stewardship of the new venture process and the innovation program at WorleyParsons and reports to the Group Managing Director of De
Slide 144: Andy Cole
Andy Cole Group Sector Managing Director – Hydrocarbons For personal use only Andy is responsible for the development of the growth strategy within the Hydrocarbons sector. Prior to this role, Andy managed the global Infrastructure business. Joining WorleyParsons in 1985 in Perth as a graduate struc
Slide 145: Greg Conlon
Greg Conlon Regional Managing Director Services North America For personal use only Greg is responsible for our North America operations and has more than 20 years of project and operational experience in hydrocarbons, chemicals, smelting and minerals internationally. He joined the company in 2000 a
Slide 146: Gerard Dyson
Gerard Dyson Group Sector Managing Director – Infrastructure For personal use only ► Gerard is responsible for the development of the global strategy for Infrastructure. Gerard was previously Director of Consulting for Australia and New Zealand and before this held a number of operational, strategic
Slide 147: Simon Holt
Simon Holt Chief Financial Officer For personal use only Simon is the Chief Financial Officer and has overall responsibility for finance including Treasury, Property Leasing, Tax, Shared Services, Information Management, Corporate Procurement, Travel, Corporate Finance, Investor Relations and Commun
Slide 148: Randy Karren
Randy Karren Group Managing Director – Improve For personal use only Randy is accountable for the growth and performance of Improve relationships within WorleyParsons. Through Randy’s 28 years of experience with WorleyParsons and our legacy companies, he has led major EPC and EPCM projects, worked i
Slide 149: Denis Lucey
Denis Lucey Regional Managing Director Services APAC For personal use only Denis is responsible for the company’s operations in Australia, Pacific, Asia (including India) and China. He has over 30 years’ industry experience in a wide range of project engineering and project management roles. Denis j
Slide 150: Chris Parker
Chris Parker Group Managing Director – Major Projects For personal use only Chris is responsible for the Major Projects business line. Chris has over 30 years’ experience across a wide range of sectors including oil and gas, petrochemicals, power generation and infrastructure. Chris joined the Compa
Slide 151: Mark Southey
Mark Southey Group Managing Director – Major Projects For personal use only Mark is responsible for the Minerals, Metals & Chemicals (MM&C) sector globally and has held this role since joining WorleyParsons in 2002. Mark has a background in operational, financial and strategic roles and has led the
Slide 152: Fran van Reyk
Fran van Reyk Director Investor Relations & Group Communications For personal use only Fran is responsible for day to day contact with investors as well as the Group’s external and internal communications functions. Prior to joining WorleyParsons in 2012, Fran held a number of senior positions in th
Slide 153: Ian Wilkinson
Ian Wilkinson Group Managing Director – Services For personal use only Ian is responsible for leadership of the Services business line, focused on delivering global expertise to our customers, locally. Ian joined WorleyParsons in 1994 having worked in the oil and gas and resources industries in a nu
Slide 154: Andrew Wood
Andrew Wood Chief Executive Officer For personal use only Andrew was appointed as Chief Executive Officer effective 23 October 2012. With tenure of 20 years with the Group, and over 30 years’ experience in the resources and energy industry, Andrew has extensive knowledge across the Group. His previo