Energean Plc · LSE:ENOG
Energean — Corporate Update (November 2019)
18 slides from Energean's corporate update, Nov 14, 2019
Slide 1: Delivering Sustainable Growth in the E&P Business
Delivering Sustainable Growth in the E&P Business Το σχέδιο ανάπτυξης του κοιτάσματος υδρογονανθράκων στο Δυτικό Κατάκολο Δρ. Κωνσταντίνος Νικολάου, Τεχνικός Σύμβουλος Energean Δημοτικό Συμβούλιο Πύργου, 14 Νοεμβρίου 2019 1
Slide 2: Energean at a Glance
Energean at a Glance The leading independent, gas-focused, sustainable E&P company in the East Mediterranean East Med Focused Key Metrics 8 ~820 MMboe Countries of Reserves and Operations resources* ~60 kboed ~80% Gas-weighted Production in 2019* portfolio FTSE 250 & ESG & HSE Focused TA-35 A rating
Slide 3: 2019 – The Year the World Woke Up to Climate Change
2019 – The Year the World Woke Up to Climate Change 3
Slide 4: O&G Companies, Governments and Banks are Under Unprecedented Pressure
O&G Companies, Governments and Banks are Under Unprecedented Pressure 4
Slide 5: Leaders in ESG through Action
Leaders in ESG through Action 70% gas focus Committed to the UN Global Compact ‘Business Ambition for 1.5°C: Our Only Future’ campaign and net zero emissions by 2050 Estimated 70% reduction in carbon intensity 2020-23 Employees from 17 countries around the world Female chairperson Executive pay link
Slide 6: Over a Decade of Continuous Growth
Over a Decade of Continuous Growth Energean :A Reserves Continuous and resources have Growth Story Since grown exponentially, despite2008 – 78% the recent CAGR Of downturn Acquisition Development Analysts predict Third Point invests Analysts predict Energean acquires Energean IPO & Edison E&P 900 of
Slide 7: 2019 Marked Another Year of Success
2019 Marked Another Year of Success A number of events laid the foundations for growth, ensuring a sustainable future Edison E&P Acquisition: Adding operating cash flow of c.$210 million & EBITDAX of c.$235 million 25 Bcm gas + 34 MMbbl light oil (~190 MMboe): Discovery of Karish North offshore Isra
Slide 8: Our Next 24 Months: Focus on Israel
Our Next 24 Months: Focus on Israel Karish project at 72% complete and further exploration success targeted on Block 12* 2020 milestones: • FPSO Workstream - Hull sailaway from Cosco Yard - Hull and topsides integration - Completed FPSO sailaway from Singapore • Drilling Workstream - Complete develo
Slide 9: 'Filling The Boat': Capacity Overview
‘Filling The Boat’: Capacity Overview DEPA Letter of Intent (LoI) Contracted volumes & spare capacity For the potential sale and purchase of up to 2.0 9 8.0 BCM/yr. New Contract 8 Up to 0.2 BCM/yr contingent on additional resource 7 in 2020. Supply ramp up between 2022 and 2025. Available for tie-ba
Slide 10: Key Demand Drivers: Gasification of the Israeli Economy
Key Demand Drivers: Gasification of the Israeli Economy Israel Gas Demand Growth Israel Gas Demand Drivers 40 35 • Growing electricity sector to serve population growth 30 • Rising living standards • Increased water desalination bcma 25 20 • Electrification of the railway system 15 10 • Adoption of
Slide 11: Export Markets Offer Additional East Med Gas Monetisation Options
Export Markets Offer Additional East Med Gas Monetisation Options EastMed Pipeline An Export Route to Europe • Proposed 1,700 kilometer pipeline • Connecting the East Med’s Levantine Base (Israel) with the European gas network via Cyprus, Greece & Italy • Classified as an EU Project of Common Intere
Slide 12: Energean + Edison E&P: On a Trajectory to Produce up to 140 kboed by 2022
Energean + Edison E&P: On a Trajectory to Produce up to 140 kboed by 2022 Combined 2P Reserves Breakdown* Growth story, focused on developing new reserves Italy 15% (85 mmboe) Israel 49% Egypt 26% (287 mmboe) (152 mmboe) Croatia <1% Greece 9% Immediate cash flows & (54 mmboe) EBITDAX with incrementa
Slide 13: Greece: Focused on Delivering Epsilon and Developing Katakolo
Greece: Focused on Delivering Epsilon and Developing Katakolo Epsilon Development Project • Currently developing Epsilon satellite - $100 million investment • 4x wells drilled in 2019 (3x vertical & 1x ERW) • First oil from the Epsilon ERW achieved in April 2019 • Expected 2P reserve increase to 21
Slide 14: Montenegro: Drill or Drop Decision by End-2020
Montenegro: Drill or Drop Decision by End-2020 Material Position • Operator, 100% WI in offshore blocks 4219-26 and 4218- 30 • Best estimate unrisked prospective resources 143.9 mmbbls and 1,766.1 Bcf Commitments Fulfilled • First round exploration commitment fulfilled − 338 km2 new 3D shot in Feb 2
Slide 15: Edison E&P: Portfolio Overview
Edison E&P: Portfolio Overview Corporate Producing, development • 2019 Average WI production of 56.4 kboe/d* & exploration Producing • $152 million of FCF during 2019* Exploration • Edison E&P transaction to exclude the Algerian asset • Agreement to sell North Sea assets to Neptune for up to $280 mi
Slide 16: Our Enlarged Portfolio: Catalyst-Rich
Our Enlarged Portfolio: Catalyst-Rich Country Asset Activity 2020E 2021E 2022E Zeus Exploration Optional Exploration Up to 2 Optional Wells Karish First Gas North Thekah Offshore Exploration NEA Final Investment Decision FID Abu Qir Infill Drilling NEA First Gas Rospo Sidetracks Cassiopea First Gas
Slide 17: 2020 Strategic Objectives
2020 will be another transformational year for Energean. We are focused on delivering a number of strategic objectives, including: 1. Closure of the Edison E&P acquisition 2. Disposal of Edison’s North Sea Assets to Neptune 3. Sailaway of the Energean Power FPSO 4. Discovering more gas in Israel 5.
Slide 18: Thank you!
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