Bhp Group Ltd · ASX:BHP
Bhp — Macquarie Australia Conference 2022
17 slides from Bhp's conference presentation, May 10, 2022
Slide 1: Macquarie Australia Conference
MACQUARIE AUSTRALIA CONFERENCE Meg O’Neill | 4 May 2022 www.woodside.com.au investor@woodside.com.au
Slide 2: Disclaimer, important notes and assumptions
Disclaimer, important notes and assumptions Transaction and presentation of information on a pro forma, post-merger basis • The proposed combination of Woodside Petroleum Ltd (“Woodside”) and BHP Group Limited’s (“BHP”) oil and gas business by an all-stock merger as outlined in this presentation (“T
Slide 3: Disclaimer, important notes and assumptions (forward looking statements)
Disclaimer, important notes and assumptions Forward looking statements (continued) • You should be aware that those statements and any assumptions on which they are based are only opinions and are subject to inherent known and unknown risks and uncertainties, many of which are beyond the control of
Slide 4: Merger strategic rationale
Explanatory Memorandum Merger strategic rationale page 9 CASH SHAREHOLDER PORTFOLIO GENERATION RETURNS AND DEVELOPMENT ENERGY SYNERGIES AND QUALITY AND BALANCE CAPITAL OPTIONALITY TRANSITION VALUE SHEET DISCIPLINE LEADERSHIP CREATION Complementary, Strengthens cash Supports superior Strong growth In
Slide 5: International asset portfolio
Explanatory Memorandum International asset portfolio page 10 Senegal ~193 Sangomar MMboe 2021 production1 Top 10 Houston East coast Australia Global independent producer2 Bass Strait Gulf of Mexico Shenzi | Wildling | Atlantis | Mad Dog 10.3Mtpa LNG production3 Perth Mad Dog 2, Sangomar, Shenzi Nort
Slide 6: Diversified, large-scale, low-risk portfolio
Explanatory Memorandum Diversified, large-scale, low-risk portfolio page 11 Balanced product mix (2021 production)1 Attractive conventional portfolio in low-risk jurisdictions2 Greater conventional production (%) East coast 95% OECD LNG (46%) Western LPG, NGLs Oil and 100% conventional Australia Aus
Slide 7: Strong reserves position and sustained production
Explanatory Memorandum Strong reserves position and sustained production pages 11 and 12 Proved plus Probable Best Estimate Contingent Production profile by December 20212 (2P) Developed and (2C) Resources1 Undeveloped Reserves1 including Optionality Trion for and other Calypso growth projects 250 A
Slide 8: Resilient cash flow profile
Explanatory Memorandum Resilient cash flow profile page 12 Operating cash flow profile3 CASH FLOW 12 Supports North and funding other growth of Scarborough, projects Sangomar, Mad Dog 2, Shenzi 10 8 Net operating billion 6 cash flow >$ >$ $ 4 BHP Petroleum 6billion 12billion 2 Woodside 0 Operating c
Slide 9: Shareholder returns through continued capital discipline
Explanatory Memorandum Shareholder returns through continued capital discipline page 13 Merged entity dividend policy based on OIL GAS NEW ENERGY NPAT with minimum 50% payout ratio OFFSHORE PIPELINE LNG DIVERSIFIED Additional opportunities to provide returns Generate high returns to Leveraging infra
Slide 10: Focused growth opportunities competing for capital
Explanatory Memorandum Focused growth opportunities competing for capital page 14 Gulf of Mexico tiebacks to existing infrastructure Portfolio evaluation considerations1 Opportunity evaluation considerations1 Oil opportunities Free cash Funding Emissions EPS Strategic RR/NPV Payback Risk Breakeven f
Slide 11: Increased capacity to navigate the energy transition
Explanatory Memorandum Increased capacity to navigate the energy transition pages 13 and 14 Equity emissions 15% 30% Net aspiration zero by reduction targets2 by 2025 by 2030 2050 Existing emissions reduction targets expected to apply to the merged entity Merged Group’s net equity Scope 1 and 2 gree
Slide 12: Expected pre-tax annual synergies of US$400+ million
Explanatory Memorandum Expected pre-tax annual synergies of US$400+ million pages 15 and 59-60 Expected pre-tax annual synergies and value creation categories (real term 2022) Significant reduction in executive level Consolidate third party spend and rationalise information positions and management
Slide 13: Merger strategic rationale
Explanatory Memorandum Merger strategic rationale page 9 CASH SHAREHOLDER PORTFOLIO GENERATION RETURNS AND DEVELOPMENT ENERGY SYNERGIES AND QUALITY AND BALANCE CAPITAL OPTIONALITY TRANSITION VALUE SHEET DISCIPLINE LEADERSHIP CREATION Complementary, Strengthens cash Supports superior Strong growth In
Slide 14: Additional information for US investors
Additional information for US investors Disclosure of reserve information and cautionary note to US investors • this Unless presentation expressly stated have been otherwise, prepared all estimates using definitions of oil andand gasguidelines reserves and consistent contingent with resources the 20
Slide 15: Notes to petroleum resource estimates
Notes to petroleum resource estimates 1. Unless pro forma, otherwise post-merger stated,basis all petroleum as a combination resourceof estimates (by arithmetic in thissummation): presentation are expressed on a a) (i Woodside .e. 31 December) petroleum ofresource the Reserves estimates and Resource
Slide 16: Glossary
Glossary APPENDIX $, $m, $B US dollar unless otherwise stated, millions of dollars, billions of dollars ADSs or American Depositary Shares American depositary shares A$, AUD Australian dollar ASX Australian Securities Exchange 2P Proved plus Probable reserves 2C Best Estimate of Contingent resources
Slide 17: Head Office: Woodside Petroleum Ltd
Head Office: Woodside Petroleum Ltd Mia Yellagonga 11 Mount Street Perth WA 6000 Postal Address: GPO Box D188 Perth WA 6840 Australia T: +61 8 9348 4000 F: +61 8 9214 2777 E: companyinfo@woodside.com.au Woodside Petroleum Ltd ABN 55 004 898 962 woodside.com.au