Slide 1: Presentation of first quarter 2022
Presentation of first quarter 2022 OKEA ASA 5 May 2022
Slide 2: Cautionary statement
Cautionary statement • This presentation contains forward looking information • Forward looking information is based on management assumptions and analysis • Actual experience may differ, and those differences may be material • Forward looking information is subject to significant uncertainties and
Slide 3: OKEA first quarter 2022 results
OKEA first quarter 2022 results Highlights Operations • Production 14,908 boepd • Gjøa - planned shut-down at Gjøa for tie-ins/maintenance • Yme production - commissioning and start-up of new wells; production shut in during Easter with plan to resume this week Financials • Operating income of NOK 1
Slide 4: Oil and gas markets – still at high levels
Oil and gas markets – still at high levels Volatile prices at high levels Brent oil price European gas, coal, power and CO2-prices 160 600 140 500 120 400 100 80 300 60 200 40 100 20 0 0 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Mar-22 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 D
Slide 5: Production volumes and reliability
Production volumes and reliability 13 days of planned maintenance at Gjøa in the quarter; continued high reliability Production (boepd) 20 000 Draugen 16 557 16 316 16 038 Gjøa 14 908 Ivar Aasen 15 000 13 210 Yme 7 246 6 735 7 231 6 877 10 000 7 128 Gas 33% 5 000 8 998 9 348 8 367 6 478 61% 5 828 5%
Slide 6: Safety and emissions
Safety and emissions Serious incident frequency (SIF) – per million work-hours* Total recordable injury frequency (TRIF) – per million work-hours 6.2 5.3 5.3 5.0 4.8 4.8 4.7 4.5 4.2 3.4 3.6 3.5 1.8 1.8 1.6 1.6 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1
Slide 7: Draugen – WI 44.56%
Draugen – WI 44.56% Production Reserves* 6,877 boepd 27.9 mmboe • Net production 6,877 boepd and production reliability 97%; trip of power turbines resulted in lower production in March • Scale squeeze campaign on platform wells successfully executed • Hasselmus project progressing according to plan
Slide 8: Gjøa – WI 12%
Gjøa – WI 12% Production Reserves* 6,478 boepd 7.5 mmboe • Net production 6,478 boepd and production reliability 99%; lower production in due to planned shutdown • Planned shut-down executed 18 March to 8 April mainly relating to tie-in work for Nova, Duva and Vega for which Gjøa will be compensated
Slide 9: Yme New Development – WI 15%
Yme New Development – WI 15% Production Reserves* 1,345 boepd 10.7 mmboe • Net production 1,345 boepd • Stable production from two/three wells • Production interruptions due to commissioning • Re-completion and start-up of new wells ongoing • Minor oil leak led to production shut in during Easter ho
Slide 10: Ivar Aasen – WI 2.777%
Ivar Aasen – WI 2.777% Production Reserves* 208 boepd 2.1 mmboe (for 0.554% WI) • Net production for 0.554% working interest of 208 boepd and production availability of 96% • Acquisition of 2.223% working interest in the Ivar Aasen field from Neptune Energy Norge AS completed on 31 March 2022 • Shut
Slide 11: Financials
Financials
Slide 12: Oil and gas production, sales and revenues - per asset
Oil and gas production, sales and revenues - per asset Production (boepd) Sold volumes (boepd) 20 000 20 000 Draugen 18 102 Draugen 16 557 Gjøa 16 979 Gjøa - tie ins 16 316 16 038 14 908 15 198 15 444 Ivar Aasen Gjøa 15 000 15 000 6 870 13 210 Yme 13 048 6 548 Ivar Aasen 7 246 6 735 7 231 Q1 22 Q1 2
Slide 13: Realised liquids prices
Realised liquids prices Volatile liquids prices at high levels Lifted volumes vs Dated Brent - 2021/2022e Realised liquids prices vs Dated Brent – Q1 22 USD/bbl kbbl USD/bbl 140 950 105 102.1 Q1 Q2 Q3 Q4 0.2 1.0 Q1 900 100 135 95 11.5 130 850 89.9 89.6 90 0.3 125 800 85 750 120 80 700 115 75 635 640
Slide 14: Realised gas prices and volumes
Realised gas prices and volumes Gas prices at all-time high Sold volumes vs average gas market price – Q1 21 to Q1 22 USD/boe kboe 240 215 220 230 Q1 Q3 208 Q1 210 220 195 200 210 190 190 190 200 176 180 190 165 170 180 158 160 155 160 170 143 150 160 150 140 128 130 140 130 117 120 120 110 110 100
Slide 15: Income statement
Income statement Q1 22 comments Operating income: • Lower sold volumes partly offset by higher realised prices Figures in NOK million Q1 22 Q4 21 Q1 21 2021 Total operating income 1 513 1 725 524 3 882 Production expenses: Production expenses -287 -291 -176 -860 • NOK/boe of 192 compared to 171 in Q
Slide 16: Statement of financial position
Statement of financial position Figures in NOK million Assets 31.03.2022 31.12.2021 31.03.2021 Q1 22 comments Goodwill 805 769 769 Oil and gas properties 5 191 4 685 3 807 • Goodwill of NOK 805 million Asset retirement reimbursement right 2 833 3 108 3 049 • Increase of NOK 36 million due completion
Slide 17: Cash development Q1 22
Cash development Q1 22 NOK million 3 600 3 400 194 3 200 285 3 000 1 266 289 2 800 2 679 10 29 7 20 2 600 209 +430 2 400 2 249 2 200 210 2 000 1 800 1 600 1 400 1 200 2 470 1 000 2 039 800 600 400 200 0 Total liquidity Operating Taxes paid Investment Bond buy-back Payment of Interest paid Payments o
Slide 18: 2022 production guiding 18,500-20,000 boepd
2022 production guiding 18,500-20,000 boepd Production – thousand boepd Capex* – NOK million 22 Gjøa accelerated compensation 1 200 950 – 1 150 21 0.9 – 1.2 1 100 20 0.6 – 0.8 1 000 18.5 – 20 19 900 18 17 – 19 800 17 700 638 16 0.1 600 15 500 14 400 13 15.5 300 12 200 11 100 10 0 2021 actuals 2022 g
Slide 19: Summary and outlook
Summary and outlook
Slide 20: Summary and outlook
Summary and outlook Growing production and reserves in strong oil and gas markets Solid cash position High-quality deliveries in operations and projects
Slide 21: Growth Value creation Capital discipline
Growth Value creation Capital discipline 21
Slide 22: General and disclaimer
General and disclaimer This presentation is prepared solely for information purposes, and does not constitute or form part of, and is not prepared or made in connection with, an offer or invitation to sell, or any solicitation of any offer to subscribe for or purchase any securities. Investors and p