Awilco Lng Asa · OSL:ALNG
Awilco Lng Asa — Q1 2014 Earnings Presentation
22 slides from Awilco Lng Asa's earnings presentation, May 28, 2014
Slide 1: Q1 2014
Q1 2014 Jon Skule Storheill Snorre Krogstad www.awilcolng.no -1-
Slide 2: Disclaimer
Disclaimer This presentation may include certain forward-looking statements, forecasts, estimates, predictions, influences and projections regarding the intent, opinion, belief, various assumptions or current expectations of Awilco LNG (the “Company”) and it’s management with respect to, among other
Slide 3: Agenda 28/05 2014
Agenda 28/05 2014 1. Company Overview and Highlights Q1 2. Financials Q1 3. Market update 4. Summary www.awilcolng.no -3-
Slide 4: Company Overview
Company Overview Awilco LNG is a pure play LNG transportation provider, owning and operating LNG vessels. The Company currently owns two 2013 built 156,000 cbm TFDE membrane LNG vessels; WilForce and WilPride, and three 125,000 cbm steam Moss type LNG vessels; WilGas, WilPower and WilEnergy. Awilco
Slide 5: 1st Quarter Highlights
1st Quarter Highlights 1st quarter 2014 • Awilco LNG reported: − Net freight income of MUSD 17.6 MUSD 15.8 in Q4 2013 − EBITDA of MUSD 10.7 MUSD 8.0 in Q4 2013 − Net profit of MUSD 0.0 MUSD (0.3) in Q4 2013 • Vessel utilisation of 95 %, compared to 90 % in Q4 2013 • WilForce commenced a three plus o
Slide 6: Contract Overview
Contract Overview 2014 2015 WilPride On charter Available Available WilEnergy On charter DD Available WilGas On charter DD On charter Available WilForce On charter On charter WilPower Lay-up - Marketed for project work Lay-up - Marketed for project work WilPride: Available from mid-July 2014 WilEner
Slide 7: Agenda 28/05 2014
Agenda 28/05 2014 1. Company Overview and Highlights Q1 2. Financials Q1 3. Market update 4. Summary www.awilcolng.no -7-
Slide 8: Q1 2014 Income statement
Q1 2014 Income statement Net freight income MUSD 17.6 USD million Q1’14 Q4'13 2013 • Full quarter trading of WilPride offset by lower earnings on WilPride Freight income 20.2 21.3 54.7 • 95 % utilisation trading vessels (90 % in Q4 2014) Voyage related expenses (2.5) (5.5) (12.8) (utilisation includ
Slide 9: Q1 2014 Balance sheet
Q1 2014 Balance sheet USD million 31.03.14 31.12.13 Vessels 474.2 478.7 Vessels MUSD 474.2 Other non-current assets 0.3 0.4 Total non-current assets 474.5 479.1 Current assets MUSD 36.3 Trade receivables 5.8 3.7 • Other short term assets includes MUSD 2.9 prepaid hire • Cash MUSD 22.5 vs. MUSD 18.2
Slide 10: Q1 2014 Cash flow
Q1 2014 Cash flow USD million Q1’14 Q4'13 2013 Cash Flows from Operating Activities: Operating activities MUSD 13.6 Profit/(loss) before taxes - (0.3) 1.1 Taxes paid - (0.1) (0.1) Investing activities MUSD (0.5) Interest and borrowing costs expensed 6.3 4.5 5.6 • Newbuildings delivered and trading D
Slide 11: Agenda 28/05 2014
Agenda 28/05 2014 1. Company Overview and Highlights Q1 2. Financials Q1 3. Market update 4. Summary www.awilcolng.no - 11 -
Slide 12: Rate development
Rate development Gas spread vs. Spot rate USD/MMBTU USD/day 11 160 000 Spread LNG Spot Asia - NBP (Left) LNG spot rate freight rate steam vessel (Right) 140 000 9 120 000 7 100 000 5 80 000 60 000 3 40 000 1 20 000 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 -1 0 2010 2011 2012 2013 20
Slide 13: Production and ton-mile
Production and ton-mile Ton-mile LNG export and ton-mile Tons 300 69 000 000 250 59 000 000 200 49 000 000 150 39 000 000 100 29 000 000 50 19 000 000 - 9 000 000 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Global tons Global ton-miles • Ton-mile and LNG export relativ
Slide 14: LNG supply
LNG supply MTONS 0,9 0,8 LNG Supply by Country Q1 2014 (YOY) 0,7 0,5 0,4 0,4 0,3 0,3 0,2 0,1 0,04 0,04 0,04 0,01 -0,1 -0,04 -0,05 -0,1 -0,1 -0,1 -0,1 -0,3 -0,2 -0,5 -0,7 -0,9 -0,9 Qatar UAE Algeria Norway Yemen Oman Egypt Nigeria Peru Eq. Guinea Trinidad Angola Australia Indonesia Brunei Russia Mala
Slide 15: LNG export assumptions
LNG export assumptions LNG exports 300 37 24 250 16 Annual LNG exports (million tons) 241 239 236 200 222 184 150 173 174 159 276 141 252 125 131 236 100 103 106 111 50 0 2013e 2014e 2015e 2016e 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Historical export volumes Net forecasted
Slide 16: World LNG fleet by year built
World LNG fleet by year built LNG Fleet (> 100 000 cbm) development and orderbook Fleet Newbuildings 500 50 450 45 400 40 350 35 300 4 30 250 13 4 25 200 20 3 150 15 27 23 100 19 10 16 2 50 5 0 0 1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015
Slide 17: China on track
China on track Bcf / Month Monthly Imports to China and India 120 100 80 60 40 20 - jan. 06 jan. 07 jan. 08 jan. 09 jan. 10 jan. 11 jan. 12 jan. 13 jan. 14 sep. 06 sep. 07 sep. 08 sep. 09 sep. 10 sep. 11 sep. 12 sep. 13 jul. 06 nov. 06 jul. 07 nov. 07 jul. 08 nov. 08 jul. 09 nov. 09 jul. 10 nov. 10
Slide 18: Agenda 28/05 2014
Agenda 28/05 2014 1. Company Overview and Highlights Q1 2. Financials Q1 3. Market update 4. Summary www.awilcolng.no - 18 -
Slide 19: Summary
Summary New projects start-up and vessel orderbook points to a continued weak market balance in 2014 with improvement expected mid/late 2015 – but sentiment is improving The long term LNG picture is very strong with +120 MTPA of new production under construction with historic and expected growth
Slide 20: Summary Awilco LNG
Summary Awilco LNG Startup 2011 when acquired and operating three 2 nd gen vessels Established the organisation and in-house technical management Ordered, supervised construction, financed and taken delivery of two newbuildings Midterm contract WilForce WilPride trading spot market with 84 % utilisa
Slide 21: Q&A: A Pure Play LNG Transportation Provider
Q&A A Pure Play LNG Transportation Provider 2nd gen. fleet of Two 2013 built TFDEs three LNG carriers Tier 1 customers Solid owners Experienced management team Opportunistic strategy www.awilcolng.no - 21 -
Slide 22: Jon Skule Storheill, CEO and Snorre Krogstad, CFO
Jon Skule Storheill CEO Mobile: +47-9134 4356 E-mail: jss@awilcolng.no Snorre Krogstad CFO Mobile: +47-9085 8393 E-mail: ssk@awilcolng.no www.awilcolng.no - 22 -