Subsea 7 S.a. · OSL:SUBC
Subsea 7 — DNB's 9th Annual Oil, Offshore & Shipping Conference (March 2016)
14 slides from Subsea 7's conference presentation, Mar 1, 2016
Slide 1: DNB's 9th Annual Oil, Offshore & Shipping Conference
DNB's 9th Annual Oil, Offshore & Shipping Conference Kristian Siem Chairman Subsea 7 1
Slide 2: Forward-looking statements
Forward-looking statements Certain statements made in this announcement may include ‘forward-looking statements’. These statements may be identified by the use of words like ‘anticipate’, ‘believe’, ‘could’, ‘estimate’, ‘expect’, ‘forecast’, ‘intend’, ‘may’, ‘might’, ‘plan’, ‘predict’, ‘project’, ‘s
Slide 3: Subsea 7's core Values
Subsea 7’s core Values • Safety • Integrity • Innovation • Performance • Collaboration 33
Slide 4: Driving the business forward to meet client needs
Driving the business forward to meet client needs • Excellence in SURF project management and execution through early engagement, consistent delivery and increased flexibility, with a focus on cost reduction • Life of Field service delivering a service that is low-cost, local and long-term • Enhance
Slide 5: Driven project costs lower
Driven project costs lower Standardisation Simplification • Standardise and simplify • Continue to drive efficiency through a “fit for purpose” solutions 5
Slide 6: Formed leading industry alliances
Formed leading industry alliances We have expanded our offering and are engaging earlier Concept Pre-FEED FEED Procurement Installation Commission Influence over field Client expenditure development costs on field development 6
Slide 7: Developed a partnership approach
Developed a partnership approach • We are an acknowledged leading strategic partner in our markets • We have developed long- term preferred supplier agreements with several clients • This supports early engagement and delivers mutual benefits 7
Slide 8: Investing in innovation
Investing in innovation Riser Systems Flowline Systems Delivering market-driven cost-efficient solutions Life of Field & Remote Pipeline Bundles Subsea Processing Intervention 8
Slide 9: Financial Highlights
Financial Highlights Three months ended Twelve months ended 31 Dec 15 31 Dec 15 In $ millions, unless otherwise indicated Unaudited Audited Revenue 1,025 4,758 Adjusted EBITDA-excluding restructuring charge 310 1,353 Restructuring charge - (136) Adjusted EBITDA 310 1,217 Adjusted EBITDA margin (%) 3
Slide 10: Summary
Summary • Challenging conditions expected to persist short to medium term • Longer term fundamentals for deepwater oil remain intact • Subsea 7 has acted quickly, collaborated with clients and alliance partners and is driving solutions 10 10
Slide 11: Market overview
Market overview Yearly average oil prices ($) Nominal and inflation adjusted 140 120 100 80 $64 Average since 2000 60 $53 Average since 1980 40 $42 Average since 1946 20 0 1946 1956 1966 1976 1986 1996 2006 2015 Nominal Price Inflation Adjusted Price Source: Inflationdata.com 11
Slide 12: Market overview
Market overview The oil market is expected to find a new equilibrium Deepwater will remain competitive, driven by the initiatives being taken across the industry to reduce costs 12
Slide 13: IOC corporate capital expenditure
IOC corporate capital expenditure Majors and Large IOCs: Corporate capex (estimate at 3 Feb 2016) $300 $250 $200 billions $150 $ $100 $50 $0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 *2015E *2016E Notes: Majors and Large IOCs peer group includes Anadarko, Apache, BG
Slide 14: 1-Mar-16 Page 14
1-Mar-16 Page 14
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