Brava Energia Sa · BMFBOVESPA:BRAV3
Brava Energia Sa — Q3 2023 Earnings Presentation
22 slides from Brava Energia Sa's earnings presentation, Nov 14, 2023
Slide 1: Results Presentation 3Q23
Results Presentation 3Q23 ri.3rpetroleum.com.br
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements about future events that are not based on historical facts and are not guarantees of future results. These forward-looking statements only reflect the Company's current views and estimates of future economic circumstances, industry
Slide 3: 3Q23 Highlights | Independence, Flexibility & Production Strength
3Q23 Highlights | Independence, Flexibility & Production Strength Strategy, Execution and Results Operation Evolution Financial Performance Macau | Rio Ventura | Recôncavo | Areia Branca Macau | Rio Ventura | Recôncavo | Areia Branca Fazenda Belém | Peroá (85%) | Papa Terra (53.13%) Fazenda Belém |
Slide 4: Operational & Commercial Highlights
Operational & Commercial Highlights
Slide 5: Potiguar Complex | 3Q23 Production & Operation
Potiguar Complex | 3Q23 Production & Operation Potiguar Complex: Macau | Fazenda Belém | Areia Branca | Pescada (35%) | Potiguar 10 workover & 2 drilling Rigs (3R work interest | kboe/d) 25.2 25.1 on site during 3Q23 Potiguar Complex 1.5 1.8 Oil (kbbl/d) responded for ~59% of Drilling campaign: 3R p
Slide 6: Recôncavo Complex | 3Q23 Production & Operation
Recôncavo Complex | 3Q23 Production & Operation Recôncavo Complex: 6 workover Rigs 2 drilling Rigs 9.1 Rio Ventura & Recôncavo on site to arrive (3R work interest | kboe/d) during 3Q23 during the 4Q23 Oil (kbbl/d) Gas (kboe/d) 7.4 7.5 53 well ✓ Workover 25 7.0 activities in ✓ Pulling 24 6.2 3Q23 ✓ R
Slide 7: Papa Terra Cluster | 3Q23 Production & Operation
Papa Terra Cluster | 3Q23 Production & Operation Papa Terra Production¹ (Oil kbbl/d) 3R (53.13% WI) Other Oct/23 production Operation: 3R took over Papa Terra in Dec/22 with 3 producing increased ~26% when Stable production QoQ as compared to 3Q23 figures wells. During 3Q23 the fourth well (PPT37) w
Slide 8: Papa Terra Cluster | Intensive optimization program
Papa Terra Cluster | Intensive optimization program 1st phase of interventions concluded (until Nov/23): 2nd phase of interventions (until Aug/24): ✓ Improvements in power generators: maintenance (#3) ✓ Release storage capacity to support more than 25 days and overhaul (#1) of production ✓ Improveme
Slide 9: Peroá Cluster | 3Q23 Production & Operation
Peroá Cluster | 3Q23 Production & Operation Output is compatible with the take or pay contract Peroá Production¹ (3R work interest) as production capacity remains at 3.2kboe/d Oil (kbbl/d) Gas (kboe/d) 3.2 3.2 2.9 2.5 2.5 Operation: Peroá output was stable QoQ. The asset recorded an average producti
Slide 10: 3Q23 and Historical Production
3Q23 and Historical Production Total Oil & Gas Production Oil & Gas average production 45.8 (3R work interest) 42.7 in 3Q23 (% boe/d) 9.9 8.9 Oil (kbbl/d) 28.4 Gas (kboe/d) 20.7 9.3 79% 21% 14.9 15.4 35.8 7.2 33.8 10.6 9.2 6.0 6.7 6.5 7.4 19.9 4.9 4.8 5.5 5.6 1.5 2.8 0.9 1.1 13.5 1.0 0.9 0.9 0.8 7.7
Slide 11: Mid & Downstream operation
Mid & Downstream operation Maintenance and integrity activities program undergoing ❖ Oil Refinery Units ✓ Two oil refinery units under programmed maintenance ✓ Activities are expected to be concluded until dec/23 ✓ Improve previous output capacity (~30kboe/d at take over day) to the nominal capacity
Slide 12: 3Q23 Commercial Aspects | Better monetization in Oil & Gas contracts
3Q23 Commercial Aspects | Better monetization in Oil & Gas contracts Evolution of oil monetization Average brent price vs. Average realized oil prices 120 113.9 110 102.2 100.8 100 103 90 94 88.9 86.7 ✓ 3Q23 was the first full quarter that reflected all the new 88 81.2 79.8 78.1 80 73.5 81 contracts
Slide 13: Financial Highlights
Financial Highlights
Slide 14: Consolidated Net Revenues 3Q23
Consolidated Net Revenues 3Q23¹ Quarterly 9 Months Comparison (R$ MM) (R$ MM) 12X 24 months 4.7X YoY 3,771 2.8X 2,360 QoQ 2 YoY 3.0X 2.6X YoY 1,277 837 2.7X 2 502 574 YoY 445 478 192 202 1 ytd 202 2 ytd 202 3 ytd 3Q21 3Q22 4Q22 1Q23 2Q23 3Q23 2021 9M21YTD 2022 9M22YTD 2023 9M23YTD 3Q23 Net Revenues
Slide 15: Upstream Net Revenues 3Q23
Upstream Net Revenues 3Q23¹ Quarterly 9 Months Comparison (R$ MM) (R$ MM) 7.8X 24 months 2,840 ✓ Upstream Revenues reached R$1.5 billion in 3.0X 3Q23: first quarter that revenues reflect +98% 1,507 YoY ~100% of 3R’s acquired portfolio; QoQ ✓ Potiguar Complex and Papa Terra together 353 2.2X 2 YoY re
Slide 16: Consolidated Adjusted EBITDA 3Q23
Consolidated¹ Adjusted EBITDA 3Q23 Quarterly 9 Months Comparison (R$ MM) (R$ MM) 4.3X 4.2X 829 1,184 YoY QoQ Adjusted EBITDA 2.0X 2 Transition Period Costs YoY 597 2.2X 2 226 224 174 YoY 162 273 105 34 24 49 18 193 156 200 113 3Q21 3Q22 4Q22 1Q23 2Q23 3Q23 202 1 ytd 202 2 ytd 202 3 ytd 3Q21 3Q22 4Q2
Slide 17: Lifting Cost 2023
Lifting Cost 2023 ❖ Potiguar Complex 3R Petroleum -42% QoQ Macau, Areia Branca, Pescada, Faz. Belém & Potiguar Clusters (US$ / boe) 23.6 ✓ (i) Strong contribution from Macau: good results from drilling 20.7 campaign and facilities revamp; (ii) Integration of the Potiguar Cluster 13.6 supported lifti
Slide 18: Capex 3Q23
Capex 3Q23 (US$ MM) Capex breakdown per Capex breakdown per 160.2 cluster in 3Q23 (%) activity in 3Q23 (%) Quarterly 57% 31% Breakdown 85.3 26% 69.5 25% 31% 42.2 17% 12% 32.7 26.4 1% 2.8 Potiguar Complex 3R Offshore Workover & Reactivation Inventory & Others Recôncavo Complex Corporate Production Fa
Slide 19: Capital Structure | End of 3Q23
Capital Structure | End of 3Q23 Cash Flow 3Q23 Indebtedness 3Q23 (US$ MM) (US$ MM) 90 1,383 Local 381 32 1,209 199 207 Instruments 207 (33) 1,002 209 (48) (33) Dollar based Loans 1.000 Cash and Cash Operational Portfolio Capex New Debts Debt Service Cash and Cash Gross Cash and cash Net Portfolio Co
Slide 20: Hedge Position 3Q23
Hedge Position 3Q23 NDF | Average Brent Price / Barrels hedged Collar | Call x Put Brent Price / Barrels hedged Thousand of barrels | US$ Thousand of barrels | US$ 100 0 130 .0 900 NDF AVG médio Brent Brent Collar Put Call 110 .0 350 0 800 120 .0 86 83 98 98 98 99 98 81 80 78 90. 0 300 0 96 92 77 70
Slide 21: Next Steps for 4Q23 & 2024 | Focus on production, safety and integrity
Next Steps for 4Q23 & 2024 | Focus on production, safety and integrity ❖ Potiguar Mid & Downstream assets: ✓ Resume of the refinery activities ✓ Studies of partnerships to improve asset monetization and access new revenue lines ❖ Papa Terra: ✓ Conclude first workover activities, improve operational
Slide 22: Q&A 3Q23
Q&A 3Q23 ri.3rpetroleum.com.br