Tullow Oil Plc · LSE:TLW
Tullow Oil — Shareholder Meeting (May 2011)
37 slides from Tullow Oil's shareholder meeting presentation, May 12, 2011
Slide 1: Tullow Oil plc – 2011 Annual General Meeting
2011 Annual General Meeting 12 May 2011 Tullow Oil plc – 2011 Annual General Meeting
Slide 2: Business highlights
2011 Annual General Meeting Business highlights • First Oil from Jubilee establishes Tullow as a successful deepwater operator • Portfolio of major new oil fields to be developed • Frontier exploration to test new basins in 2011 • 2010 Dividend of 6p/share • Business well balanced and well funded to
Slide 3: Business Overview
2011 Annual General Meeting Tullow Oil plc – 2011 Annual General Meeting Business Overview
Slide 4: 2010 results summary
2011 Annual General Meeting 2010 results summary 2010 2009 Change Sales revenue $1,090m $916m + 19% Operating profit $235m $151m + 56% Net profit $73m $31m + 137% Basic earnings per share 6.1c 3.2c + 90% Dividend per share 6.0p 6.0p No change Capital investment1 $1,235m $1,085m + 14% Cash generated
Slide 5: Significant 2011 capital expenditure
2011 Annual General Meeting Significant 2011 capital expenditure Forecast • $1,500m forecast for 2011 2011 $850m $650m $1,500m – Ghana: Jubilee phase 1a development & Enyenra/Tweneboa appraisal & development P&D – Uganda: Exploration drillout and Lake Albert development 2010 $715m $520m $1,235m – Hi
Slide 6: 83% global exploration and appraisal success rate in 2010
2011 Annual General Meeting 83% global exploration and appraisal success rate in 2010 FRENCH GUIANA GUYANA NETHERLANDS GABON – 10 wells 94 of 2,494 1,889 sqkm 1,660 sqkm 3D OMOC-N-1 OMOC-N302 S/T sqkm 3D 3D PSDM OMOC-N301 OMOC-103 171 km 2D 4,084 sqkm OMOC-N201 OMOC-501 PAKISTAN – 1 well
Slide 7: Strong production growth in 2011
2011 Annual General Meeting Strong production growth in 2011 Current production Group working interest production U.K. Oil production Future production 100 boepd (x000) 16 Other licence areas Gas production 12 80 8 Pakistan Bangladesh 4 boepd (x000) boepd (x000) 16 16 0 60 2010 2011 mboepd 12 12 8 8
Slide 8: Reserves and Resources summary
2011 Annual General Meeting Reserves and Resources summary 1600 Reserves and Resources 1,387 mmboe 1400 Reserves Resources • Commercial reserves 294 mmboe 1200 • Contingent resources 1,093 mmboe mmboe 1000 800 • Ghana & Uganda Resources to migrate to 600 Commercial Reserves in short term 400 200 0 T
Slide 9: Africa – A transformational year
2011 Annual General Meeting Tullow Oil plc – 2011 Annual General Meeting Africa – A transformational year
Slide 10: High quality pan-African portfolio of E&P assets
2011 Annual General Meeting High quality pan-African portfolio of E&P assets Strong Portfolio • 39,000 boepd • 15 countries • 53 licences • 19 producing fields Ghana • First oil November 2010 Ghana • Ramping up 120,000 bopd in Q3 2011 Uganda • 67% E&A success rate in 2010 • 100% E&A success rate in
Slide 11: Ghana E&A delivers transformational production growth
2011 Annual General Meeting Ghana E&A delivers transformational production growth • Six fields discovered since 2007 • Delivered Jubilee Phase 1 in record time • Jubilee Phase 1 DOUBLES Tullow’s African production • 2011 high-impact exploration activity in WCTP • Continued appraisal activity at Enye
Slide 12: Uganda: Lake Albert Rift Basin E&A success continues
2011 Annual General Meeting Uganda: Lake Albert Rift Basin E&A success continues 98% E&A success rate since 2006 • Total of 40 E&A wells drilled to date Over 1 billion barrels of oil discovered Significant E&A activities now recommenced • 5 rigs active in the second half of 2011 • >1.5 billion barre
Slide 13: Exploring in Kenya & Ethiopia to replicate Ugandan success
2011 Annual General Meeting Exploring in Kenya & Ethiopia to replicate Ugandan success Three Major Rift Trends • Western Tertiary Rift Trend − Lake Albert Rift Basin – 2.5 Bbo • Eastern Tertiary Rift Trend − More volcanic; Loperot-1 (1992) – 13m oil pay • Mesozoic Rift Trend (Sudan-Kenya) − Sudan Mu
Slide 14: Rest of the World
2011 Annual General Meeting Tullow Oil plc – 2011 Annual General Meeting Rest of the World
Slide 15: Rest of the World: Integral part of Tullow's business
2011 Annual General Meeting Rest of the World: Integral part of Tullow’s business Rest of the World South America 1 French Guiana E 2 Guyana E 3 Suriname E Europe South Asia 1 Netherlands E 1 Bangladesh EDP 2 United Kingdom EDP 2 Pakistan EP Key: E - Exploration D - Development P - Production Europe
Slide 16: Testing the Jubilee-play in South America
2011 Annual General Meeting Testing the Jubilee-play in South America Drilling Zaedyus in French Guiana Jaguar prospect to be drilled Q3 2011 • Giant turbidite fan system confirmed by 3D seismic • Deeply buried Jubilee-sized turbidite fan − Bigger than the Ghana fan system offshore Guyana − Numerous
Slide 17: Corporate Responsibility
2011 Annual General Meeting Tullow Oil plc – 2011 Annual General Meeting Corporate Responsibility
Slide 18: Creating Shared Prosperity
2011 Annual General Meeting Creating Shared Prosperity Delivering returns to our Creating real opportunities for local Providing a rewarding, shareholders/ people and local enterprise challenging & great providers of capital development place to work Engaging in genuine Building long-term dialogue w
Slide 19: Social Enterprise Focus Areas
2011 Annual General Meeting Social Enterprise Focus Areas Education and Enterprise Fund Community Projects • Developing national capacity • Health - 86% Ghanaians in Ghana workforce Access to better healthcare in Ghana - 84% Ugandans in Uganda workforce • Education - 14 secondees from GNPC Scholarsh
Slide 20: Helping Local Businesses to enter our Supply Chain
2011 Annual General Meeting Helping Local Businesses to enter our Supply Chain Slide 20
Slide 21: Conclusion
2011 Annual General Meeting Tullow Oil plc – 2011 Annual General Meeting Conclusion
Slide 22: Conclusion
2011 Annual General Meeting Conclusion • Strong safety and environmental performance • Tullow established as a competent deepwater operator • Enyenra/Tweneboa – next Operated deepwater mega-project • Uganda five rig programme planned for E&A drillout with new partners • Industry leading global explo
Slide 23: Resolutions
2011 Annual General Meeting Tullow Oil plc – 2011 Annual General Meeting Resolutions
Slide 24: To receive and adopt the annual accounts and associated reports
2011 Annual General Meeting AGM - Resolution 1 To receive and adopt the annual accounts and associated reports. Slide 24
Slide 25: To declare a final dividend of 4.0p per ordinary share
2011 Annual General Meeting AGM - Resolution 2 To declare a final dividend of 4.0p per ordinary share. Slide 25
Slide 26: To receive and approve the Directors' Remuneration Report
2011 Annual General Meeting AGM - Resolution 3 To receive and approve the Directors’ Remuneration Report. Slide 26
Slide 27: To elect Tutu Agyare as a Director
2011 Annual General Meeting AGM - Resolution 4 To elect Tutu Agyare as a Director. Slide 27
Slide 28: To re-elect David Bamford as a Director
2011 Annual General Meeting AGM - Resolution 5 To re-elect David Bamford as a Director Slide 28
Slide 29: To re-elect Graham Martin as a Director
2011 Annual General Meeting AGM - Resolution 6 To re-elect Graham Martin as a Director. Slide 29
Slide 30: To re-elect Steven McTiernan as a Director
2011 Annual General Meeting AGM - Resolution 7 To re-elect Steven McTiernan as a Director. Slide 30
Slide 31: To re-elect Pat Plunkett as a Director
2011 Annual General Meeting AGM – Resolution 8 To re-elect Pat Plunkett as a Director. Slide 31
Slide 32: To re-appoint Deloitte LLP as auditors
2011 Annual General Meeting AGM - Resolution 9 To re-appoint Deloitte LLP as auditors and authorise the Directors to determine their remuneration. Slide 32
Slide 33: To renew Directors' authority to allot shares
2011 Annual General Meeting AGM - Resolution 10 To renew Directors’ authority to allot shares. Slide 33
Slide 34: To dis-apply statutory pre-emption rights
2011 Annual General Meeting AGM - Resolution 11 To dis-apply statutory pre-emption rights. Slide 34
Slide 35: To authorise general meetings on 14 clear days' notice
2011 Annual General Meeting AGM - Resolution 12 To authorise the Company to hold general meetings in no less than 14 clear days’ notice. Slide 35
Slide 36: To amend the rules of the Tullow Oil 2005 Performance Share Plan
2011 Annual General Meeting GENERAL MEETNG - Resolution To amend the rules of the Tullow Oil 2005 Performance Share Plan. Slide 36
Slide 37: Tullow Oil plc
2011 Annual General Meeting Tullow Oil plc 9 Chiswick Park 566 Chiswick High Road London, W4 5XT United Kingdom Tel: +44 (0)20 3249 9000 Fax: +44 (0)20 3249 8801