Worley Limited · ASX:WOR
Worley — WorleyParsons — JPMorgan Australasian Investment Conference 2006
28 slides from Worley's conference presentation, Sep 25, 2006
Slide 1: JPMorgan Australasian Investment Conference 2006
WorleyParsons resources & energy JPMorgan Australasian Investment Conference 2006 John Grill - Chief Executive Officer & Managing Director ee oe, ye is i : ic es a : Le ee a es ae i 4 a = when experience counts
Slide 2: Agenda
WorleyParsons Agenda resources & energy » WorleyParsons overview » 2006 Highlights » Financial Performance » Segment Performance » Outlook » Q&A when experience counts
Slide 3: Background
WorleyParsons Background resources & energy » Leading professional services provider to the Energy, Resource and Complex Process Industries » Across all phases of projects IDENTIFY 1 SELECT 2 DEFINE 3 EXECUTE 4 OPERATE 5 » 4 Customer Sector Groups Hydrocarbons | Power | Minerals & Metals | Infrastru
Slide 4: Global Reach
WorleyParsons Global Reach resources & energy Ireland Dublinge! od as Nanairn Vancouver! ei Avwadigg Joie Los Angelat L es ‘Trinidad Port of Spain .gkok, Sriracha on 3 *SPhitippines Marila nlite cond ec eaeriemresi Malaysia Kuala Lumplig © ‘o .& Singa 2 Be @ Whangarei woxiand ‘New Plymouth @crvistch
Slide 5: Differentiators
WorleyParsons Differentiators resources & energy » Committed, empowered and technically capable people » Industry leadership in Health, Safety and Environment » Outstanding corporate and operational performance » Focus on long term contracts and asset services » Success in project delivery-large and
Slide 6: 2006 Highlights
WorleyParsons 2006 Highlights resources & energy Record annual net profit of $139.1 million up 109.3% 2"4 half net profit increase of 25.1% from 1* half result Full year EBIT growth of 95.0% to $199.5 million Underlying EBIT growth of 73% International operations contributing 64% EPS (before amortis
Slide 7: Organisational highlights
WorleyParsons Organisational highlights resources & energy » Performance of the 14,300 people engaged in the WorleyParsons business ~ The performance of our exceptional people in the year has strengthened our client relationships and reputation in our market places » Record number of new contract aw
Slide 8: Organisational highlights
WorleyParsons Organisational highlights resources & energy » Expected benefits from the Parsons E&C acquisition and the other smaller acquisitions we have made recently continue to be realized » Continue to evaluate opportunities to further extend the capability and reach of the company — Acquisitio
Slide 9: Material Contract Announcements
WorleyParsons Material Contract Announcements* resources & energy » Three-Year Service Contract with ExxonMobil Chemicals at Beaumont, Texas » NCP Petrochemical Complex FEED, Houston and Saudi Arabia » Program Management Services Contract for Kuwait Oil Company » The Pilbara Infrastructure Project,
Slide 10: Project Sample
WorleyParsons resources & energy Project Sample Study for expansion of Olympic Dam facility 2 for BHP Billiton Amine CO2 Removal Plant Installation Project ~ THUMSCO-<, Future fuels siting study - United States Shell O UK strategic environmental cost benefit analysis Nuclear plant study - Slovakia F
Slide 11: Financial performance
WorleyParsons Financial performance resources & energy $M 2005 2006 Growth % Aggregated Revenue 1,379.5 2,464.4 78.6 EBIT 102.3 199.5 95.0 EBIT margin 7.4% 8.1% Profit before tax 98.6 196.9 99.8 Net Profit 66.5 139.1 109.3 Net Margin 4.8% 5.6% EPS (before amortisation) cps 36.6 68.5 87.2 Operating C
Slide 12: Financial Highlights
WorleyParsons Financial Highlights resources & energy $M 2002 2003 2004 2005 2006 Aggregated Revenue 437.8 474.4 514.8 1,379.5 2,464.4 EBIT 25.9 32.1 40.4 102.3 199.5 EBIT margin 5.9% 6.8% 79% 7TA% 8.1% Net profit 17.7 25.9 30.7 66.5 139.1 Net profit margin 4.0% 5.5% 6.0% 4.8% 5.6% CAGR* 46.3% 31.7%
Slide 13: Financial ratios
WorleyParsons Financial ratios resources & energy $M 2005 2006 Effective tax rate 30.3% 28.0% Cash on hand 64.0 70.3 Total Assets 839.3 1,162.4 Equity 390.4 475.3 Return on Equity 25.4% 32.1% Gearing (Net debt / Net debt + Equity) 1.5% 10.2% EBITDA Interest cover 16.3 27.6 when experience counts
Slide 14: Growth
WorleyParsons Growth resources & energy Aggregated revenue $M Net Profit $M 2,464.4 139.1 1,379.5 665 ama 3148 25.9 30.7 a T 2003 2004 2005 2006 2003 2004 2005 2006 OH1 mH OH1 wH2 when experience counts
Slide 15: EPS and Dividends
WorleyParsons EPS and Dividends resources & energy Dividends Basic EPS oO = a & a . Oo Q. # i= inl Oo ° Aas Tl, 2003 2005 2006 2003 2004 2005 2006 OH1 @H2 Olnterim m@ Final » 2006 EPS up 88.9% » Final dividend of 22.5 cps, payout ratio 60.4% when experience counts
Slide 16: Hydrocarbons
WorleyParsons Hydrocarbons resources & energy Drivers for WorleyParsons business in 2006 » Increased activity in downstream & petrochemical markets globally in 2006 » Increased capital spending on upstream, downstream and petrochemicals in the Middle East in 2006 » Project risk profile lower; all pa
Slide 17: Hydrocarbons continued
WorleyParsons Hydrocarbons continued resources & energy » Continued strong performance in 2006 — Aggregated revenue of $1,777.7m (72% of group total) — Up 79.9% from 2005 — EBIT $158.7m (2005 $81.3m) » Significant improvement in performance in Middle East ~ Saudi Arabia and Oman, Abu Dhabi expansion
Slide 18: Hydrocarbons continued
WorleyParsons Hydrocarbons continued resources & energy » Outstanding performance in US and Canada » Downstream market expansion in 2006 ~— NZRC clean fuels ~— Exxon Chemical Beaumont Texas services contract ~ FEED for NCP petrochemicals complex in Saudi Arabia » Canadian operations — High activity
Slide 19: Hydrocarbons continued
WorleyParsons Hydrocarbons continued resources & energy » The outlook for the Hydrocarbons business remains positive. Historically high oil prices, increasing demand for gas, the upturn in downstream refining and petrochemical activity together with the expected continued development of major FEED a
Slide 20: Power
WorleyParsons Power resources & energy » Aggregated revenue of $367.8m — Revenue growth 113.3% — EBIT $47.8m, margin 13.0% » Outstanding result in US operations and Europe — Clean coal projects — New 600 MW Coal project for Santee Cooper ~ TVA services contract ~ Bulgaria contracts for Belene Nuclea
Slide 21: Power continued
WorleyParsons Power continued resources & energy » The outlook for the Power business in 2007 remains positive. Continued demand for new coal and nuclear facilities, greenfield gas plants, air quality control systems on existing coal plants and an increase in demand for power delivery services provi
Slide 22: Minerals & Metals
WorleyParsons Minerals & Metals resources & energy » Aggregated revenue of $202.2m — Revenue increase 26.5% ~ EBIT $27.7m, margin 13.7% » Major project activity included: ~ BHP Billiton Worsley -— Bemax mineral sands — Orica Yarwun — Ma’aden Phosphate » Long term alliance developed in 2006 — Zinifex
Slide 23: Minerals & Metals continued
WorleyParsons Minerals & Metals continued resources & energy » The outlook for the Minerals & Metals sector remains positive with the continued pressure and competition for resources being the major constraining factor in the sector. The focus for 2007 will be on the transition of current feasibilit
Slide 24: Infrastructure
WorleyParsons Infrastructure resources & energy » Aggregated revenue of $126.8m — 114.2% growth in 2006 ~ EBIT $9.7m, margin 7.7% » Transformation of Infrastructure business commenced in 2006 ~ Acquisition of Calgary based Komex Environmental to develop environmental capability » Strengthened manage
Slide 25: Infrastructure continued
WorleyParsons Infrastructure continued resources & energy » Underlying demand in the Infrastructure market remains strong in most markets in which the company operates. The increased size and capability of the Infrastructure group leaves it well positioned to respond to this demand. when experience
Slide 26: Developments
WorleyParsons Developments resources & energy » Developments activities expanded in 2006 » Esperance Energy project in line with expectations » Exmouth Energy project on line Q1 2007 — Cost overruns on project; $1.9m impairment charge — Contribute $6.3m equity on completion of project » United Utili
Slide 27: Outlook
WorleyParsons Outlook resources & energy “We expect the markets for WorleyParsons’ services will continue to be strong. Our key markets and sectors are experiencing positive conditions and we are well positioned to respond to these opportunities. Subject to conditions remaining favourable in these m
Slide 28: JPMorgan Australasian Investment Conference 2006
WorleyParsons resources & energy JPMorgan Australasian Investment Conference 2006 John Grill - Chief Executive Officer & Managing Director ee oe, ye is i : ic es a : Le ee a es ae i 4 a = when experience counts
WorleyParsons — JPMorgan Australasian Investment Conference 2006 on 6ix