ConocoPhillips · NYSE:COP
ConocoPhillips — Q3 2015 Earnings Presentation
14 slides from ConocoPhillips's earnings presentation, Oct 29, 2015
Slide 1: 3Q15 Conference Call
3Q15 Conference Call Oct. 29, 2015
Slide 2: Cautionary Statement
Cautionary Statement The following presentation includes forward-looking statements. These statements relate to future events, such as anticipated revenues, earnings, business strategies, competitive position or other aspects of our operations, operating results or the industries or markets in which
Slide 3: Jeff Sheets, EVP, Finance and CFO
Jeff Sheets EVP, Finance and CFO
Slide 4: 3Q15 Highlights
3Q15 Highlights Operational Financial Strategic • 4% year-over-year • $466MM adjusted loss; • Increased quarterly 1 production growth ($0.38) adjusted EPS dividend to $0.74 per share in July • Achieved first oil at • $1.3B CFO2; $2.4B ending • Initiated phased exit of Surmont 2; first oil at Drill c
Slide 5: 3Q15 Performance – Adjusted Earnings
3Q15 Performance – Adjusted Earnings Highlights • Strong operational performance; year-over-year production growth of 4% Adjusted • 18% year-over-year lower operating costs, adjusted for rig 1,611 termination, restructuring and pension settlement costs Earnings ($MM) 81 • 2015 earnings negatively im
Slide 6: Production From Continuing Operations
3Q15 Production From Continuing Operations 4% PRODUCTION GROWTH 56 25 Liquids 33 APLNG Gas 25 Other Gas (2) 1,554 1,473 Total 56 3Q14¹ Downtime & Dispositions² Net Growth 3Q15 All volumes in MBOED. 1 Excludes Libya volumes of 8 MBOED in 3Q14. 2 Dispositions reflect 2014 Canada asset sales. 6
Slide 7: 3Q15 YTD Performance – Company Cash Flow
3Q15 YTD Performance – Company Cash Flow $B 3Q15 YTD Marker Prices 2.4 • Brent $55.39/BBL • WTI $50.92/BBL 5.8 0.6 • Henry Hub $2.80/MMBTU 3Q15 0.6 • Debt of $24.9B • Debt-to-capital ratio of 36% 7.9 5.1 2.7 0.3 2.4 2015 Beginning CFO Excluding Total Working Disposition Debt Capital Dividends Other
Slide 8: Matt Fox, EVP, Exploration & Production
Matt Fox EVP, Exploration & Production
Slide 9: Lower 48 and Canada
Lower 48 and Canada Lower 48 Surmont Surmont Surmont • 3Q15 production of 551 MBOED; crude oil increased 12% vs. 3Q14 • Running 13 rig program • Achieving 20% to 30% drilling and completion efficiency improvement vs. 3Q14 • Currently drilling Vernaccia and Gibson exploration wells in the Gulf of Mex
Slide 10: Alaska and Europe
Alaska and Europe Alaska • 3Q15 production of 160 MBOED • Completed successful turnarounds at Kuparuk and Prudhoe • Achieved first oil at CD5 and Drill Site 2S in October • Exported 3 LNG cargos from Kenai Europe • 3Q15 production of 192 MBOED • Successfully completed all turnaround activity • Devel
Slide 11: Asia Pacific & Middle East and Other International
Asia Pacific & Middle East and Other International Asia Pacific & Middle East • 3Q15 production of 332 MBOED; increased 10% vs. 3Q14 • Gumusut turnaround successfully completed ahead of schedule • APLNG first cargo expected by year end • Downstream mechanical runs successfully completed • 14 of 15 u
Slide 12: Lower Capital, Lower Costs, Strong Performance
Lower Capital, Lower Costs, Strong Performance 7 • 4Q15 production range of 1,585 – 1,625 MBOED MAJOR PROJECT STARTUPS EXPECTED IN 2015 • Full-year 2015 production range of 1,585 – 1,595 MBOED 2014 Actuals Initial 2015 July 2015 Current 2015 LOWERING Guidance Guidance Guidance 2015 CAPITAL GUIDANCE
Slide 13: Appendix
conocStips Appendix
Slide 14: Impacts of Special Items
Impacts of Special Items $MM 3Q15 3Q15 YTD Gain on dispositions - 39 Production and operating expenses 120 186 Selling, general and administrative expenses 185 285 Exploration expenses 742 958 Depreciation, depletion and amortization (75) (75) Impairments - 66 Income tax benefit (367) (1,010) Net Lo