Slide 1: Presentation of fourth quarter 2020
Presentation of fourth quarter 2020 OKEA ASA 5 February 2021
Slide 2: General and disclaimer
General and disclaimer This presentation is prepared solely for information purposes, and does not constituteor form part of, and is not prepared or made in connection with, an offer or invitation to sell, or any solicitation of any offer to subscribefor or purchase any securities. Investors and pro
Slide 3: Q4 Highlights
Q4 Highlights Operations • No serious incidents at Draugen, Covid-19 situation managed • High production reliability at Draugen and Gjøa • Yme onshore work completed, and rig successfully installed at location • Production 16 171 boepd Financials • Revenues from oil and gas NOK 581 million • EBITDA
Slide 4: Financials
Financials
Slide 5: Oil and gas production, sales and revenues
Oil and gas production, sales and revenues Production (boepd) Sold volumes (boepd) 20 000 19 099 Draugen 20 000 18 794 Draugen 17 020 Gjøa Gjøa 16 047 16 171 15 810 15 000 Ivar Aasen 15 000 14 634 14 232 Ivar Aasen 8 922 13 303 13 835 9 272 8 835 7 944 7 592 7 446 7 060 7 514 7 450 10 000 6 654 10 0
Slide 6: Income statement
Income statement Q4’20 comments Figures in NOK million Operating income: Q4 '19 Q3 '20 Q4 '20 2020 2019 Total operating income 564 321 584 1 730 3 020 • Higher sold volumes partly offset by lower realized prices for liquids compared to Q4’19 Production expenses -205 -154 -189 -696 -709 Changes in ov
Slide 7: Statement of financial position
Statement of financial position Figures in NOK million Assets 31.12.2019 30.09.2020 31.12.2020 Goodwill 1 426 769 769 Year-end 2020 comments Oil and gas properties 3 886 3 509 3 758 Other non-current assets 2 969 3 031 3 029 • Cash and cash equivalents NOK 871 million Trade and other receivables 622
Slide 8: Cash development
Cash development NOK million 1 200 1 100 164 188 1 000 108 71 900 16 9 800 700 600 500 883 871 400 300 200 100 0 Cash 30.09.20 Operating activities Net taxes received Investment Interest paid Buy-back bond loan Payments of Cash 31.12.20 activities lease debt 8
Slide 9: Outlook: Guiding on production & capex
Outlook: Guiding on production & capex Production – thousand boepd Capex – NOK million 17-18 1 000 – 1 100 16.1 980 15.5-16.5 14-15 600 - 700 2020 latest guiding 2020 actuals 2021 guiding 2022 outlook 2020 latest guiding 2020 actuals 2021 guiding Note: For guiding purposes, capex figures do not incl
Slide 10: Operations and assets
Operations and assets
Slide 11: Production volumes and highlights
Production volumes and highlights High production reliability from both Draugen and Gjøa Daily average production (boepd) Draugen (OKEA operated) 25 000 2020 Average: 16 147 • No serious incidents • High production reliability (99%) 20 000 19 099 • Started fuel gas import that secures the power supp
Slide 12: Hasselmus - Tie-back to Draugen
Hasselmus - Tie-back to Draugen • Final Investment Decision in 2021 on Hasselmus as first tie- back to Draugen with first gas planned for 2023 • Maintaining high reliability and availability on Draugen field • Power-from-shore Final Investment Decision planned 2022 • Ambition to increase oil recover
Slide 13: Gjøa – Two new wells in the P1 segment onstream in February
Gjøa – Two new wells in the P1 segment onstream in February • Two new wells in the P1 segment planned onstream in February • Tie-in of Nova and Duva in Q2-21 – OKEA compensated for deferred production when tie-in projects come onstream as well as tariff payments • Potential tie-in of the OKEA-operat
Slide 14: Yme New Development Project
Yme New Development Project • Onshore work completed and jack-up rig installed at the field • Hook-up, commissioning and preparation for production start up ongoing • Planned production start in 2021 well within reach • Production 7 500 boepd net to OKEA at plateau - the first-year average 4 900 boe
Slide 15: Vette and Grevling - Potential coordinated development
Vette and Grevling - Potential coordinated development • Acquisition of Repsol’s 40% share in PL972, which includes the Vette oil discovery • OKEA estimates recoverable volumes in the Vette discovery of 30-50 mmboe • A coordinated serial development of the Vette and Grevling fields could potentially
Slide 16: Six new licences awarded in APA 2020
Six new licences awarded in APA 2020 The new licences contain 8 discoveries • OKEA operator for four licences • Exploration & field development opportunities near Draugen & Gjøa • Entry into Norne area with Falk Production Block(s) Operator Partners OKEA Initial work discovery licence WI programme P
Slide 17: Outlook & concluding remarks
Outlook & concluding remarks
Slide 18: A dramatic year petroleum markets – Outlook significantly improved
A dramatic year petroleum markets – Outlook significantly improved Oil Gas Source: Bloomberg, Refinitiv 18
Slide 19: Outlook
Outlook • Targeting substantial production growth from existing portfolio without new equity • Continuing to seek inorganic growth opportunities • Production guiding 2021: • 15 500-16 500 boepd • Production outlook 2022: • 17 000-18 000 boepd 19
Slide 20: Significant growth in activities Multiple milestones ahead in 2021
Significant growth in activities Multiple milestones ahead in 2021 ▪ Two new production wells from P1 segment in Gjøa ▪ New production from Yme ▪ Final Investment Decision on Hasselmus ▪ Three firm exploration wells planned; Jerv, Ilder and Ginny ▪ Possible appraisal well at Aurora ▪ Concept selecti
Slide 21: loxe
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