Ensign Energy Services Inc. · TSX:ESI
Ensign Energy Services — Investor Presentation (March 2013)
34 slides from Ensign Energy Services's investor presentation, March 2013
Slide 1: Corporate Presentation
Corporate Presentation March 2013
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements based upon current expectations that involve a number of business risks and uncertainties. The factors that could cause results to differ materially include, but are not limited to, national and economic conditions, foreign exchange ra
Slide 3: Global Reach. Local Focus.
Global Reach. Local Focus. Companies that bring forward cost cutting solutions for their clients are those that will grow and succeed.
Slide 4: Current Operations
Current Operations Poland Canada United States Libya United Arab Emirates Oman Venezuela Australia Gabon New Zealand Argentina
Slide 5: Diversified Services – by Revenue
Diversified Services – by Revenue Drill Rigs Service Rigs Core Rigs / Services Frac Flowback Units Other: - Wireline Units - Transportation - Oilfield Rentals - Directional Drilling - MPD / UBD Packages
Slide 6: Strong Presence in North American Resource Plays – Drill Rigs
Strong Presence in North American Resource Plays 245 Horn River Montney Oil Sands Drill Rigs Cardium Bakken Utica United States Canada San Niobrara Jonah Joaquin Basin Piceance Granite Marcellus Wash Woodford Barnett Haynesville 121 Monterey 124 Tuscaloosa Permian Eagle Ford * Excludes Core Rigs. As
Slide 7: Substantial & Growing International Presence
Latin/South America, Australasia Middle East - North Africa - Europe Substantial & Growing International Presence MENA - Europe Drill rigs – 15 Venezuela Drill rigs – 7 Workover rigs – 1 New Zealand Australia Drill rigs – 16 Drill rigs – 2 Workover rigs – 2 Workover rigs – 1 Argentina Drill rigs – 7
Slide 8: Service Rigs
Service Rigs 146 Horn River Montney Oil Sands Service Rigs Cardium Bakken Utica United States Canada Niobrara San Jonah Joaquin Piceance Basin Granite Marcellus 47 Wash Woodford Monterey Barnett Haynesville Tuscaloosa Permian Eagle Ford 99 As at Dec. 31, 2012
Slide 9: Frac Flowback Units - Opsco
Frac Flowback Units - Opsco 95 Horn River Montney Oil Sands Frac-Flowback Cardium Units Bakken Utica United States Canada San Niobrara Jonah Joaquin Basin Piceance Granite Marcellus Wash Woodford Barnett Haynesville 46 Monterey 49 Tuscaloosa Permian Eagle Ford As at Dec. 31, 2012
Slide 10: Ensign Directional Drilling Services Growth
Directional Drilling Services 47 Kits Directional and horizontal United States Canada Vertical Ensign Directional Drilling Services Growth 80% 60 70% 50 # Units (Ensign) 60% 40 20 50% 30 27 40% 20 30% 10 20% 0 2008 2009 2010 2011 2012 2013e As at Dec. 31, 2012
Slide 11: Core Rigs & Services
Core Rigs & Services Oil Sands 31 Core Rigs As at Dec. 31, 2012
Slide 12: Rental Divisions
Rental Divisions Grande Prairie, AB Nisku, AB Red Deer, AB Estevan, SK Williston, ND LaSalle, CO Bakersfield, CA
Slide 13: Ensign Evolution
Ensign Evolution “Evolution from a consolidator to a technology innovator.” TODAY 8 Over 75% of fleet is long reach horizontal No. of acquisitions per year • 63 acquisitions in the first capable; very mobile rigs with high levels 6 10 years of operation of automation and top drives • 1/3 fleet are A
Slide 14: Ensign – the technology innovator ADR®
Ensign-the technology innovator ADR® Drill Faster – Data shows continuous WOB reduces drill times 20% Drill Farther – Smooth transfer of WOB and oversized pumps allow the bit to get out further Move Quicker – Cycle time studies for rig up-tear out have provided new opportunities to reduce NPT Operat
Slide 15: Natural Gas Powered Rigs
Natural Gas Powered Rigs • Reduced emissions 30% • Reduced fuel costs • Improve domestic energy security CNG PG LNG Natural gas is a viable cost effective fuel alternative for land rigs that reduces emissions by up to 30%.
Slide 16: ADR® Simulator
Highly Trained Crews ADR® Simulator
Slide 17: ADR® rigs 1000 HP, 1500 HP, 2000 HP
1000 HP 1500 HP 2000 HP ENSIGN)
Slide 18: ADR® rigs 1000 HP, 1500 HP, 2000 HP
1000 HP 1500 HP 2000 HP ENSIGN]
Slide 19: Performance Excellence — Second to None
750 HP 1000 HP “Performance Excellence — Second to None” ‘Automated Drill Rig ENSIGN]
Slide 20: ADR Automated Drill Rig
ADR. ENSIGN] ANDY Automated Drill Rig 750 HP 1000 HP 1500 HP 2000 HP A D R ° “Performance Excellence — Second to None” ‘Automated Drill Rig
Slide 21: High Quality Fleet – Designed by Ensign, for Ensign
High Quality Fleet – Designed by Ensign, for Ensign • Ensign has been built for the long-term. The Company and its fleet of oilfield services equipment is maintained to the highest standards • Ensign has in-house engineering expertise to design and construct rigs at “wholesale” cost • The Company ha
Slide 22: Safety Awareness
Safety Awareness M Manhours LTI Freq TRI Freq 10 20 9.09 9 18 8 16 7.09 7.13 Injury Frequency (200,000 man hours) 7 14 6 5.57 12 Man Hours 4.65 5 10 4.00 4 8 3.21 3.11 3 2.45 6 2.25 2 1.46 1.36 4 1.23 1.14 0.86 0.70 1 0.47 0.56 0.63 2 0.42 0 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 Q3 2012
Slide 23: Trading Data
Trading Data • TSX: ESI • Common shares outstanding 153.2 million • Market capitalization $2.4 billion • Dividends: 17% compound annual growth rate since 1995 – 2008 $0.3325 per share – 2009 $0.3425 per share – 2010 $0.3575 per share – 2011 $0.3900 per share – 2012 $0.4250 per share
Slide 24: Dividends per Common Share
Dividends per Common Share $0.45 $0.40 $0.35 $0.30 $0.25 $0.20 $0.15 $0.10 $0.05 $0.00
Slide 25: Debt to Equity
Debt to Equity $ millions, years ended December 31 2,000 Debt (Excludes revolving operating facility) 1,800 Equity 1,600 1,400 1,200 1,000 800 600 400 200 0 2003¹ 2004¹ 2005¹ 2006¹ 2007¹ 2008¹ 2009¹ 2010 2011 2012e² 1 Not restated for IFRS 2 Estimate based on range of analysts forecasts
Slide 26: Revenue - Geographic Segmentation
Revenue - Geographic Segmentation Year ended December 31, 2011 19.9% Canada 41.6% United States International 38.5%
Slide 27: Revenue
Revenue $ millions, years ended December 31 2,500 2,000 1,500 1,000 500 0 2003¹ 2004¹ 2005¹ 2006¹ 2007¹ 2008¹ 2009¹ 2010 2011 2012e² 1 Not restated for IFRS 2 Estimate based on range of analysts forecasts
Slide 28: EBITDA
EBITDA $ millions, years ended December 31 700 650 600 550 500 450 400 350 300 250 200 150 100 50 0 2003¹ 2004¹ 2005¹ 2006¹ 2007¹ 2008¹ 2009¹ 2010 2011 2012e² 1 Not restated for IFRS 2 Estimate based on range of analysts forecasts
Slide 29: Income
Income $ millions, years ended December 31 350 300 250 200 150 100 50 0 2003¹ 2004¹ 2005¹ 2006¹ 2007¹ 2008¹ 2009¹ 2010 2011 2012e² $ per share 0.66 0.79 1.12 2.25 1.64 1.70 0.82 0.78 1.39 1.28 – 1.59 1 Not restated for IFRS 2 Estimate based on range of analysts forecasts
Slide 30: Return on Equity
Return on Equity Percent, years ended December 31 40 30 20 10 0 2001 2002 2003¹ 2004¹ 2005¹ 2006¹ 2007¹ 2008¹ 2009¹ 2010 2011 2012e² 1 Not restated for IFRS 2 Estimate based on range of analysts forecasts
Slide 31: Financial Summary
Financial Summary $ millions, three and nine months ended September 30 3rd Quarter Year-To-Date % % 2012 2011 change 2012 2011 change Revenue 525.7 475.7 10 1667.2 1312.4 27 EBITDA 135.6 111.5 22 431.3 346.9 24 Income 44.8 64.0 (30) 169.0 159.8 6 Per share $0.29 $0.42 (31) $1.11 $1.05 6 Cash flow 12
Slide 32: Future Growth Strategy
Future Growth Strategy • Consolidation opportunities • Organic expansion • Differentiate with technology and operational excellence • Expand complementary services
Slide 33: Ensign is positioned globally as a resource-play solution provider
Ensign is positioned globally as a resource-play solution provider. Our goal is to drive well cost down through application of technology and use of competent and professional crews.
Slide 34: Thank You
www.ensignenergy.com Thank You
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