Origin Energy Limited · ASX:ORG
Origin Energy — UBS Resources, Energy and Utilities Conference (June 2014)
14 slides from Origin Energy's conference presentation, Jun 19, 2014
Slide 1: ASX announcement: ORG Presentation at UBS Conference
For personal use only To Company Announcements Office Facsimile 1300 135 638 Company ASX Limited Date 19 June 2014 From Helen Hardy Pages 14 Subject ORG Presentation at UBS Conference Please find attached a release on the above subject. Regards Helen Hardy Company Secretary 02 8345 5000 – helen.hard
Slide 2: UBS Resources, Energy and Utilities Conference
For personal use only Origin Energy UBS Resources, Energy and Utilities Conference Frank Calabria, Chief Executive Officer Energy Markets 19 June 2014
Slide 3: Important Notice
Important Notice For personal use only Forward looking statements This presentation contains forward looking statements, including statements of current intention, statements of opinion and predictions as to possible future events. Such statements are not statements of fact and there can be no certa
Slide 4: Origin has pursued a strategy of connecting resources to markets
Since Origin was established in 2000 it has pursued a strategy of connecting resources to markets For personal use only The leading integrated energy markets business in Australia and New Zealand Flexible and diverse fuel portfolio Flexible and diverse generation portfolio Leading retail custo
Slide 5: Electricity industry across the NEM has faced a number of challenges
The electricity industry across the NEM has faced a number of challenges over the last few years For personal use only Electricity Gross Profit 50 • Increased solar penetration and energy 40 efficiency measures reducing average household consumption 30 $/MWh 20 • Reduced industrial demand and increa
Slide 6: Energy Markets well positioned to capture growth opportunities over medium term
While near term challenges remain, Energy Markets is well positioned to capture growth opportunities over the medium term … For personal use only FY2015 FY2016 FY2017 FY2018 FY2019+ 1 Significant gas portfolio benefits 2 Wholesale electricity market recovery 3 Market reform, including deregulation 4
Slide 7: Gas portfolio benefits: East Coast gas demand expected to more than triple
1 Gas portfolio benefits East Coast gas demand is expected to more than triple driven by the international LNG market … For personal use only Australia’s East Coast Gas Demand1 Australian domestic gas prices are moving towards export parity PJ 2,500 LNG 10.00 Domestic 8.00 2,000 6.00 $/GJ 4.00 1,500
Slide 8: Gas portfolio benefits: large gas contracts at attractive prices
1 Gas portfolio benefits Having gas portfolio length has enabled Origin to execute a number of large gas contracts at attractive prices … For personal use only Sources of Origin Energy Markets’ East Coast Contracted Gas Portfolio PJ/a Executed agreements with 300 Ironbark (new equity gas) 1 Other pu
Slide 9: Gas portfolio benefits: transport flexibility and gas-fired generation
1 Gas portfolio benefits Complementing our strong gas position is Origin’s transport flexibility and portfolio of gas-fired generation assets … For personal use only • Flexible gas transport agreements provide Energy Markets with bi-directional haulage on most major pipelines in eastern Australia •
Slide 10: Wholesale electricity market recovery
2 Wholesale electricity market recovery The tightening gas market is likely to result in reduced gas- fired generation across the NEM … For personal use only NEM baseload bid stack1 (no carbon) 70 • Gas-fired generation currently provides 60 approximately 12% of the NEM’s energy 50 requirements but
Slide 11: Market reform: RET scheme under review
3 Market reform The RET scheme is under review with current targets requiring new investment in excess of growth in demand … For personal use only 2007 2013 AEMO Annual Cost of Green Schemes For TWh Policy adjusted Current Residential NSW Customers2 demand Estimate of demand in 2020 300 230 230 RET
Slide 12: Market reform: structural changes in the energy market
3 Market reform Outside of the RET review, a number of structural changes are occurring in the energy market … For personal use only • Deregulation of NSW electricity prices from July 2014, with Queensland likely to follow in July 2015 • Removal of green schemes such as the Victorian Energy Efficien
Slide 13: Retail capability & enhanced customer experience
4 Retail capability & enhanced customer experience Our SAP billing platform has stabilised, providing increased capability to deliver an enhanced customer experience … For personal use only Improved customer experience ... • Leading the market towards extended operating hours and removal of exit fee
Slide 14: Thank you
For personal use only Thank you For more information David Moon Group Manager, Investor Relations Email: david.moon@originenergy.com.au Office: +61 2 9375 5816 Mobile: + 61 437 039 310 www.originenergy.com.au
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