Inpex Corporation · TSE:1605
Inpex — H1 FY2019/12 Earnings Presentation
27 slides from Inpex's earnings presentation, Nov 7, 2019
Slide 1: Financial Results for the six months ended September 30, 2019
INPEX CORPORATION Financial Results for the six months ended September 30, 2019 0 November 7, 2019
Slide 2: Agenda
Agenda Corporate Overview Consolidated Financial Results for the six months ended September 30, 2019 Consolidated Financial Forecasts for the year ending December 31, 2019 1
Slide 3: Cautionary Statement
Cautionary Statement This presentation includes forward‐looking information that reflects the plans and expectations of the Company. Such forward‐looking information is based on the current assumptions and judgments of the Company in light of the information currently available to it, and involves k
Slide 4: Corporate Overview
Corporate Overview Takayuki Ueda Representative Director, President & CEO
Slide 5: FY 2019/12 Second Quarter Financial Results Highlights
FY 2019/12 Second Quarter Financial Results Highlights FY 2019/12 Second Quarter Results: Approximately 568 thousand BOED* Net Production (60% increase YoY) *INPEXʹs highest average annual net production volume to date Financial FY 2019/12 Second Quarter Financial Results (Apr. 2019 ‐ Sep. 2019)
Slide 6: FY 2019/12 Second Quarter Corporate Highlights
FY 2019/12 Second Quarter Corporate Highlights Made final investment decision on further development at ACG Oil Fields in Caspian Sea, Republic of Azerbaijan (April) Prelude FLNG facility ships first LNG cargo (June) Acquired exploration Block AC/P66 in the North West Shelf, Australia (July)
Slide 7: Ichthys LNG Project: Status after production start-up
Ichthys LNG Project Status after production start‐up Production ramp‐up status Production ramp‐up is progressing very well LNG cargo 94 LNG cargoes shipped (cumulative shipments from the first shipment in October 2018 to the end of October 2019) Oct 2018~Mar 2019 Apr 2019~Oct 2019 Total Numb
Slide 8: Ichthys LNG Project Exploration Blocks in Vicinity of Ichthys Field
Ichthys LNG Project Exploration Blocks in Vicinity of Ichthys Field Participating interests held in 18 exploration blocks in the vicinity of the Ichthys Field. To date, gas formations including Crown, Lasseter, Mimia and Burnside have been discovered. These discovered gas formations extend across
Slide 9: Abadi LNG Project (1/3)
Abadi LNG Project(1/3) Participating Interest INPEX(Operator):65%, Shell:35% Production Capacity Total output of natural gas (LNG equivalent): 10.5 million tons per year including ‐Approximately 9.5 million tons of LNG per year ‐Local gas supply via pipeline Up to approximately 35,000 barr
Slide 10: Abadi LNG Project (2/3)
Abadi LNG Project (2/3) Sufficiently strong project economics Secured PSC term until 2055 The Abadi gas field features excellent reservoir productivity enabling efficient development Confirmed enough reserves enabling the production of 9.5 million tons of LNG per year for more than 20 years
Slide 11: Abadi LNG Project (3/3) Development Concept
Abadi LNG Project(3/3) Development Concept Abadi LNG Development Concept 10
Slide 12: Progress on other Projects in Production / under Development
Progress on other Projects in Production / under Development Abu Dhabi Onshore Concession Abu Dhabi Offshore Oil Fields (Upper Zakum・Lower Zakum・Satah・Umm Al Dalkh) (In Production: Abu Dhabi) (In Production：Abu Dhabi) ナダ Target Production Capacity Target Production Capacity Approximately 2 mil
Slide 13: Progress on Projects under Exploration
Progress on Projects under Exploration North West Shelf AC/P66 Keathley Canyon Blocks 921/965 (Under Exploration: Australia (Priority Exploration Area)) ナダ Walker Ridge Blocks 881/925 (Under Exploration: US Gulf of Mexico (Priority Exploration Area)) Map includes provisional maritime boundaries AC
Slide 14: Natural Gas Business in Japan and Renewable Energy Initiatives
Natural Gas Business in Japan and Renewable Energy Initiatives Natural Gas Business in Japan Renewable Energy Business・CO2 Utilization Technologies Naoetsu LNG Terminal Methanation test facility Natural Gas Sales Indonesia: Sarulla Geothermal Independent Sarulla Geothermal IPP Project FY 2019/
Slide 15: Net Production (April-September 2019)
Net Production* (April‐September 2019) 600 568 4% Production increase factors: 500 • Ichthys and Prelude Project production start‐ 42% up 400 355 (Thousand BOED) • Acquisition of Tight Oil 6% Project 300 9% 64% 200 41% 100 14% 8% 0 8% 5% Apr.‐Sept. 18 Apr.‐Sept. 19 Japan Asia/Oceania Eurasia Middle
Slide 16: Progress of Medium-term Business Plan 2018-2022 and FY 2019/12 Outlook
Progress of Medium‐term Business Plan 2018‐2022 and FY 2019/12 Outlook FY 2019/03 Results FY 2019/12 Outlook (April 2019~December 2019: FY 2022/12 Targets (First Year of the Mid‐term Plan) (Final Year of the Mid‐term Plan) 9‐month accounting period) April 2018~March 2019 Announced on 6th, November A
Slide 17: Financial Results for the six months ended September 30, 2019
Financial Results for the six months ended September 30, 2019 Masahiro Murayama Director, Senior Executive Vice President, Finance & Accounting
Slide 18: Highlights of the Consolidated Financial Results
Highlights of the Consolidated Financial Results for the six months ended September 30, 2019 Apr. ‐ Sep. ‘18 Apr. ‐ Sep. ‘19 Change %Change Net sales (Billions of yen) 438.2 575.2 137.0 31.3% Crude oil sales 372.9 424.3 51.3 13.8% Natural gas sales (including LPG) 57.9 143.2 85.2 147.0% Others 7.2 7
Slide 19: Crude Oil Sales
Crude Oil Sales Apr. ‐ Sep. ‘18 Apr. ‐ Sep. ‘19 Change %Change Net sales (Billions of yen) 372.9 424.3 51.3 13.8% Sales volume (thousand bbl) 46,462 58,868 12,406 26.7% Average unit price of overseas 73.16 65.95 (7.21) (9.9%) production ($/bbl) Average unit price of domestic 54,443 45,986 (8,456) (1
Slide 20: Natural Gas Sales (excluding LPG)
Natural Gas Sales (excluding LPG) Apr. ‐ Sep. ’18 Apr. ‐ Sep. ’19 Change %Change Net sales (Billions of yen) 57.5 141.7 84.1 146.2% Sales volume (million cf) 69,026 222,170 153,144 221.9% Average unit price of overseas 2.67 4.42 1.75 65.5% production ($/thousand cf) Average unit price of domestic sa
Slide 21: Analysis of Net Sales Increase
Analysis of Net Sales Increase (Billions of Yen) 700 Crude Oil (46.7) Natural Gas (including LPG) +39.9 143.3 0.0 0.4 600 (6.8) 500 Crude Oil (1.4) Natural Gas (including LPG) +1.4 400 Crude Oil +99.5 300 Natural Gas (including LPG) +43.8 575.2 200 438.2 100 0 Net Sales Increase in Decrease in Excha
Slide 22: Statement of Income
Statement of Income Increase in sales volume : +143.3 (Billions of Yen) Apr. ‐ Sep. ’18 Apr. ‐ Sep. ’19 Change %Change Decrease in unit price : (6.8) Exchange rate: +0.0 Net sales 438.2 575.2 137.0 31.3% Others : +0.4 Cost of sales 176.0 245.7 69.6 39.6% Cost of sales for Gross profit 262.1 329.5 67
Slide 23: Analysis of Net Income Increase
Analysis of Net Income Increase (億円) (Billions of Yen) 200 180 143.3 0.0 4.0 160 (6.8) 140 120 100 (69.6) (10.8) 80 (2.4) 5.0 69.4 6.2 60 (29.9) 40 34.0 20 0 Net income Increase Decrease in Increase in Other Decrease in Net income Net income Exchange rate Others Increase in Increase attributable in
Slide 24: Balance Sheet
Balance Sheet (Billions of yen) Mar. ’19 Sep. ’19 Change %Change Current assets 457.7 453.5 (4.1) (0.9%) Tangible fixed assets 2,278.9 2,230.7 (48.2) (2.1%) Intangible assets 520.2 531.5 11.3 2.2% Summary of financial information Recoverable accounts under production sharing 568.0 571.0 3.0 0.5% for
Slide 25: Statement of Cash Flows
Statement of Cash Flows (Billions of Yen) Apr. ‐ Sep. ’18 Apr. ‐ Sep. ’19 Change %Change Income before income taxes 246.9 271.1 24.1 9.8% Depreciation and amortization 41.7 83.0 41.3 99.1% Recovery of recoverable accounts under production sharing (capital expenditures) 10.0 19.3 9.3 93.3% Recoverabl
Slide 26: Differences between Consolidated Financial Forecasts and Actual Results
Differences between Consolidated Financial Forecasts and Actual Results for the six months ended September 30, 2019 ‐ Assumptions (August 8, 2019) 2nd half (Previous Forecasts) Crude oil price (Brent) (US$/bbl) 66.7 Exchange rate (yen/US$) 110.0 (November 6, 2019) 2nd half (Actual Results) Crude oil
Slide 27: Revisions of Financial Forecasts for the year ending December 31, 2019
Revisions of Financial Forecasts for the year ending December 31, 2019 ‐ Assumptions (August 8, 2019) 1st half 2nd half Full year Crude oil price (Brent) (US$/bbl) 66.7 65.0 66.2 Exchange rate (yen/US$) 110.0 110.0 110.0 (November 6, 2019) 1st half 2nd half Full year Crude oil price (Brent) (US$/bbl