Aj Lucas Group Limited · ASX:AJL
Aj Lucas — Shareholder Meeting (November 2008)
18 slides from Aj Lucas's shareholder meeting presentation, Nov 26, 2008
Slide 1: Annual General Meeting
Annual General Meeting AJ Lucas Group Limited 26 November 2008
Slide 2: Lucas Operations
LUCAS MN Lucas Operations "A specialist integrated engineering services business providing infrastructure and construction solutions.”
Slide 3: Strategy
Strategy Remain focused on key sectors: Oil & gas, water & wastewater, resources. All need substantial technical & practical skills. Large, blue-chip clients. High capex for extended duration - to 2015.
Slide 4: Activities
LUCAS NO) Activities Infrastructure Operations & maintenance Other services
Slide 5: Drilling: activity, raison d'etre, financial metrics
For personal use only Nature of activity Business raison d’etre Financial metrics • Underground Now Goal • Exploration Balanced portfolio focused on ROC 31% 50% • Production coal mining and coal seam gas Employees 753 1,000 Drilling • HDD production. Blended margin 23% 27% • Workovers • Wellhead com
Slide 6: Drilling and Infrastructure: activity and metrics
For personal use only Nature of activity Business raison d’etre Financial metrics • Underground Now Goal • Exploration Balanced portfolio focused on ROC 31% 50% • Production coal mining and coal seam gas Employees 753 1,000 Drilling • HDD production. Blended margin 23% 27% • Workovers • Wellhead com
Slide 7: Drilling, Infrastructure and Services: activity and metrics
For personal use only Nature of activity Business raison d’etre Financial metrics • Underground Now Goal • Exploration Balanced portfolio focused on ROC 31% 50% • Production coal mining and coal seam gas Employees 753 1,000 Drilling • HDD production. Blended margin 23% 27% • Workovers • Wellhead com
Slide 8: Grow, Consolidate, Build
For personal use only Grow Consolidate Build 03 04 05 06 07 08 09 10 11 12
Slide 9: Structure
LUCAS WON Structure New organisation structure. Three divisions: Drilling, Infrastructure and Services. New CEO of Lucas Operations: Mike Rollo. Move to new premises, mid 2009. Huge emphasis on staff training and development of management. Upgraded systems and procedures with emphasis on IT infrastr
Slide 10: Financial profile
LUCAS NN Financial profile Turnover of approximately $600 million-and EBITDA of $80 million expected for FY2009. Some CSG assets expected to be realised during the year. Drilling business expected to grow by around 50% next 18 months. Margins in infrastructure business expected to improve. Higher tu
Slide 11: Energy assets
Energy assets For personal use only “Strategic investments in unconventional hydrocarbons in Australia and abroad, using knowledge and skill to generate a pool of substantial one-off assets.”
Slide 12: Coal seam gas assets – Australia
Coal seam gas assets – Australia For personal use only CSG– a viable energy medium, now come of age Ref: Morgan Stanley research 29/07/08
Slide 13: Coal seam gas assets – Australia
Coal seam gas assets – Australia For personal use only ATP651 Surat Basin, Queensland. Considered non-core. Well situated, good acreage. (15% with British Sale process underway, managed by GSBJW. Gas & Queensland Gas Company) If not sold, Lucas will keep it. Modest capital requirements with good exp
Slide 14: Coal seam gas assets – international
Coal seam gas assets – international For personal use only
Slide 15: Sustainable technologies
Sustainable technologies For personal use only
Slide 16: Water assets
LUCAS WO) Water assets “Designed to take advantage of developments within the water industry over the next three years as the legislative framework changes and material opportunities for the private sector emerge.”
Slide 17: Water solutions and treatment technologies
For personal use only Municipal wastewater Coal seam gas water Sewer mining Recycled water Stormwater / Grey / Black Treatment technologies • Membrane technologies • Alternative biological treatments • New processes • Research & development Growing demand for water solutions
Slide 18: Lucas Group business plan
For personal use only The total, all-encompassing Lucas Group business plan is now emerging. Focus on: • Environmental aspects. • Safety & human resources to produce improved infrastructure solutions, delivered responsibly. • Diversified asset and services business, based in key sectors of Australia