Saudi Arabian Oil Co. · TADAWUL:2222
Saudi Arabian Oil — Saudi Aramco — H1 2022 Earnings Presentation
14 slides from Saudi Arabian Oil's earnings presentation, Aug 15, 2022
Slide 1: H1 2022 Results
H1 2022 Results August 15, 2022 Saudi Aramco H1 2022 Results | ‹#› Saudi Aramco: Company General Use
Slide 2: Cautionary notes
Cautionary notes This presentation may contain certain forward-looking statements with respect to Aramco’s financial position, results of operations and business and certain of Aramco’s plans, intentions, expectations, assumptions, goals and beliefs regarding such items. These statements include all
Slide 3: Amin Nasser, President & CEO
Amin Nasser President & CEO Saudi Aramco H1 2022 Results | ‹#› Saudi Aramco: Company General Use
Slide 4: Outlook: volatile and uncertain
Outlook: volatile and uncertain Inflation rate1 World GDP growth2 Oil demand Brent oil price (Year-on-Year) (Real, Year-on-Year) (mmbpd)3,4 ($/bbl) 10% 8% 105 140 9.1% 103.4 6.1 120 101.8 100.8 100.3 99.2 4% 3.5 3.0 3.4 100 2.9 2.9 97.1 80 0% 60 40 91.1 -3.1 0% -4% 90 20 2019 2020 2021 2022 2019 202
Slide 5: Greater industry investment needed
Greater industry investment needed Oil supply outlook1 Global oil capital spending3 mmbpd2 $Bn 120 700 106 100 600 New investment required Estimated capex 80 Global supply with current required to meet level of spending 500 forecast 2030 demand Average 60 2010-21 capex 400 40 Estimated capex require
Slide 6: Resilient growth strategy to maximize long-term value
Resilient growth strategy to maximize long-term value Strategic drivers Growth strategy Expanding production capacity to 13mmbpd1 by 2027; Crude oil leveraging our low-cost, low upstream carbon intensity crude oil Industry underinvestment Expanding gas production by more than 50% by 2030; Gas furthe
Slide 7: Net Zero by 2050
Net Zero by 20501 Saudi Arabia’s upstream carbon intensity compared to other major producers4 • Sustainability integrated in Aramco’s Gram CO2 e/Mega Joule 25 corporate strategy 20 15 • 15% reduction in upstream carbon intensity 10 by 2035 5 0 Saudi Norway Kuwait UAE Russia Brazil USA Canada Venezue
Slide 8: Ziad Al-Murshed, CFO & SVP of Strategy & Development
Ziad Al-Murshed CFO & SVP of Strategy & Development Saudi Aramco H1 2022 Results | ‹#› Saudi Aramco: Company General Use
Slide 9: H1 2022: progressing growth strategy
H1 2022: progressing growth strategy Crude oil Gas Downstream • MSC-13 on track with first increments • Conventional: Haradh and Hawiyah • PRefChem started up operations coming on-stream within three years compression projects on-stream by end • Developing new LTC2 complex in China 2022, Hawiyah gas
Slide 10: H1 2022: operational and financial highlights
H1 2022: operational and financial highlights Operational Financial Hydrocarbon production Net income Capital expenditure 1 mmboed $Bn $Bn 13.3 87.9 16.9 H1 2021: 11.6 H1 2021: 47.2 H1 2021: 15.7 Supply Dividends paid Free cash flow2 reliability $Bn $Bn 99.9% 37.5 65.2 H1 2021: 100% H1 2021: 37.5 H1
Slide 11: Financial results
Financial results Year-on-year Quarter-on-quarter $Bn, unless otherwise H1 2021 H1 2022 Q1 2022 Q2 2022 Key drivers indicated Realized oil prices ($/bbl) 64.1 105.6 97.7 113.2 Hydrocarbon production • Higher crude oil prices 11.6 13.3 13.0 13.6 (mmboed) Upstream EBIT 85.4 148.9 70.3 78.5 • Higher vo
Slide 12: H1 2022: delivering shareholder value
H1 2022: delivering shareholder value • Strong financial performance • Progressing strategic aims • Capital investments on track • Clear cash allocation priorities • Retaining significant financial flexibility ‹#› Saudi Aramco H1 2022 Results | 12 Saudi Aramco: Company General Use
Slide 13: Questions & Answers
Questions & Answers Saudi Aramco H1 2022 Results | ‹#› Saudi Aramco: Company General Use
Slide 14: Providing sustainable, reliable, and affordable energy
Providing sustainable, reliable, and affordable energy • Record first-half performance • Investing for growth: capturing unique opportunities • Supplier of low cost1, low upstream carbon intensity2 oil • Interim targets established for net-zero 20503 ambition • Resilient shareholder value creation E