Slide 1: First Quarter 2018
First Quarter 2018 Aker BP ASA KARL JOHNNY HERSVIK, CEO ALEXANDER KRANE, CFO 7 MAY 2018
Slide 2: Disclaimer
Disclaimer This Document includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this Document are based on current expectations, estimates and projections about globa
Slide 3: Highlights
AKER BP ASA Highlights Oil & gas production, mboepd net Operations 180 Record production of 158.6 mboepd 160 Field developments on track Exploration success near Alvheim 140 120 Finance Free cash flow* of USD 222 million (USD 0.62 per share) 100 Issued new USD 500 million bond 80 Quarter
Slide 4: Financials
Financials Ql 2018 = a
Slide 5: Statement of income
FINANCIALS Statement of income (USD million) Q1 2018 Q1 2017 FY 2017 Total operating income 890 646 2,563 Production costs 173 121 523 Other operating expenses 4 8 28 EBITDAX 712 517 2,012 Exploration expenses 55 30 226 EBITDA 658 487 1,786 Depreciation 185 184 727 Impairment losses - 30 52 Operatin
Slide 6: Statement of financial position
FINANCIALS Statement of financial position Assets Equity and liabilities (USD million) 31.03.18 31.12.17 31.03.17 (USD million) 31.03.18 31.12.17 31.03.17 Goodwill Equity 3,110 2,989 2,455 1,860 1,860 1,818 Other intangible assets Other provisions for liabilities incl. 1,992 1,982 1,664 2,955 2,942
Slide 7: First quarter 2018 cash flow and liquidity
FINANCIALS First quarter 2018 cash flow and liquidity Cash flow Q1-2018 (USDm) Strong operating cash flow • Operating cash flow USD 600 million • Increased production and higher oil prices • Production cost in line with guidance Investing to drive profitable growth 378 • Capex USD 257 million ma
Slide 8: 2018 Guidance
FINANCIALS 2018 Guidance No changes since CMD in January 2018 Item 2018 guidance Actual per Q1 2018 CAPEX* USD ~1.3 billion USD 237 million EXPEX USD ~350 million USD 80 million Production 155 – 160 mboepd 158.6 mboepd Production cost USD ~12 per boe USD 12.1 per boe Decommissioning cost USD ~350 mi
Slide 9: Operations
Operations Ql 2018 = a
Slide 10: High activity level
OPERATIONS High activity level Investing in value-accretive projects across the portfolio Alvheim Valhall Ula Ivar Aasen Skarv • Boa wells on stream • Drilling of IP wells • Tambar wells on • Drill two water injectors • Repaired two wells • Infill drilling • Valhall Flank West stream • Exploration w
Slide 11: Exploration success at Frosk
ALVHEIM AREA (~65%) Exploration success at Frosk A new chapter in the Alvheim story Frosk proved 30-60 mmboe oil • Located near Bøyla which is tied back to Alvheim • Provides an ideal basis for profitable expansions Exploration program expanded • Additional rig capacity secured from Q4-18 • Plan
Slide 12: 2018 exploration schedule
L EXPLORATION M 2018 exploration schedule J K Aker BP Pre-drill License Prospect name Operator share mmboe* Time PL340 Frosk Aker BP 65 % Discovery Q1 A PL790 Raudåsen Aker BP 30 % Dry well Q1 B PL839 Kvitungen Tumler Aker BP 24 % Dry well Q1 C PL869 Frosk area Aker BP 60 % 45 – 149 Q4 D PL869 Frosk
Slide 13: Full speed ahead at Valhall
VALHALL AREA (90%) Full speed ahead at Valhall Valhall Flank West on track • PDO approved in March • Steel cutting started in April • Started Valhall field centre modifications Valhall Flank North Water Injection project approved • Water injection to boost oil recovery • Drilling planned in Q4-1
Slide 14: Ærfugl development on track
SKARV AREA (23.8%) Ærfugl development on track Reserves gross mmboe Ærfugl PDO approved in April +40% • Subsea tie-back to Skarv FPSO 275 • 275 mmboe gross reserves 197 • Main contracts awarded • Production start 2020 At concept selection At PDO submission Technology qualification on track • Ele
Slide 15: New Tambar wells on stream
ULA (80%) / TAMBAR (55%) New Tambar wells on stream Making Tambar great again • Two wells put on production late Q1 • Gas lift to start in Q4 after Ula modifications • Increased production and lower unit cost Oda on track • On track for production start in Q2-19 • Will enable increased WAG injec
Slide 16: Drilling on at Ivar Aasen
IVAR AASEN (34.8%) Drilling on at Ivar Aasen High operational efficiency • Plant availability 98% • Net production efficiency 89% - Due to Edvard Grieg and SAGE availability issues • Piloting digital operations More drilling underway • Two water injectors in Q2 • One dual-purpose well to apprais
Slide 17: First topside successfully installed at Johan Sverdrup
JOHAN SVERDRUP (11.6%) First topside successfully installed at Johan Sverdrup Photo: Roar Linjefjeld / Bo Randulff / Statoil 17
Slide 18: NOAKA – field of the future
NORTH OF ALVHEIM / ASKJA / KRAFLA NOAKA – field of the future Common area development is the preferred solution • Significant resources identified • Limited infrastructure available • Supported by Norwegian authorities Aker BP recommends a central processing hub • Allows for economic recovery of
Slide 19: Priorities going forward
AKER BP ASA Priorities going forward Safe and efficient operations Execute Excellent project delivery Relentless focus on cost reductions and Safety productivity gains Improve Mature projects to below 35 USD/boe break-even Maximize recovery from existing resource base Grow Pursue inorgan
Slide 20: Aker BP
AkerBP www.akerbp.com