Ptt Exploration & Production Plc · SET:PTTEP
Ptt Exploration & Production — PTT Exploration and Production Public Company Limited (PTTEP) — Investor Presentation (May 2024)
49 slides from Ptt Exploration & Production's investor presentation, May 2024
Slide 1: Investor Presentation
Investor Presentation May 2024 Energy Partner of Choice
Slide 2: Cautionary Statement
Cautionary Statement Forward-looking Information The information, statements, forecasts and projections contained herein reflect the Company’s current views with respect to future events and financial performance. These views are based on assumptions subject to various risks. No assurance is given t
Slide 3: Company Information, Business Update, Financials
Company Information Business Update Financials Energy Partner of Choice
Slide 4: Company Overview
Company CompanyOverview Overview 17 Sustainability Framework PTT 64% BN USD Market Capitalization Local 20% 3,969.9 Institutions Million shares Foreign 9 13% BN USD Institutions FY2023 Sales Revenue Retails 3% As of latest book closing Feb 2024 638 KBOED FY2023 Production Volume ~14 USD/BOE 2016-202
Slide 5: Corporate Strategy
Corporate Strategy Drive Value Decarbonize Diversify Optimization for less emission or Energy security and New business portfolio readiness cleaner fossil fuels in PTTEP’s Long-term supply resiliency for Energy Transition operations Lean Clean Green Competitiveness in Lower carbon for Readiness for
Slide 6: 2024 Focus Areas
2024 Focus Areas Strategic alignment with UNSD Goals Drive Value Decarbonize 5 Year Budget ~ $31.5 Billion 5 Year Budget ~ $500 Million • EP Net Zero 2050 Maximize production & maintain competitive unit cost • Arthit CCS FID • Emission Offsetting & Ocean for Life • G1/61 Ramp-up to 800 MMSCFD since
Slide 7: Well-Diversified Portfolio & Key Business Update
Well-Diversified portfolio & Key Business Update * Q1 2024 % sales vol. contribution Central Asia 68%* Thailand • Dunga onshore oil field in Kazakhstan Home Base • G1/61 (Erawarn) maintained production volume at 800 MMSCFD since March 20, 2024. Europe • G2/61 (Bongkot): maximum production of 835 MMS
Slide 8: Company Information, Business Update, Financials
Company Information Business Update Financials Energy Partner of Choice
Slide 9: Key Achievement
Key Achievement 2023 KEY TAKEAWAY Q1/2024 KEY TAKEAWAY E&P G1/61’s Production hit 800 MMSCFD on 20 March 2024 Algeria Growth Sales vol. Sales vol. Sales vol. Gulf of Thailand 40KBOED 90KBOED >100KBOED G1/65 & G3/65 Oil production ramp-up Exploration campaign 2022 2023 2024 2025 13 KBD to 17 KBPD in
Slide 10: National Energy Security Provider
National ENERGY SECURITY PROVIDER 2M2024 Thailand Gas Demand ∼4,662 mmscfd mmscfd G1/61 (Erawan) 815 Daily Production since 20 Mar 2024 2,823 Gulf o Thailand G2/61 (Bongkot) 810 mmscfd Onshore fields 1,309 Domestic Yadana Arthit 330 mmscfd Zawtika LNG EASTERN Pailin 420 28% WESTERN Corridor Corridor
Slide 11: PTTEP's Gas Price
PTTEP’s Gas Price Gas Price Formula = X & & 1 Average 6-12 months reset Gas Price1 Oil Benchmark Price3 Inflation4 USD/THB Base Price2 Exchange Rate 2 Constant Price and Adjustment 3 HSFO or Dubai 4 TH PPI, US Oil Machine & Tools PPI (avg. 6-12 months) Movement of Energy Price vs PTTEP’s Gas Price P
Slide 12: Company Information, Business Update, Financials
Company Information Business Update Financials Energy Partner of Choice
Slide 13: Investment Budget
Finance – 5 Years Investment Budget in KBOED Production & Sales CAGR +5% 900 800 733 744 739 808 2024-2028 E&P BUDGET 710 636 32.6 bnUS$ 700 587 Sales Volume 600 505 523 534 531 30 Africa & Others 500 463 10 10 11 11 73 Middle East 9 56 57 72 73 400 53 93 93 98 105 149 Other SEA 300 93 200 346 363 3
Slide 14: Financial Results | Q1/24 and FY2023
Financial Results | Q1/24 and FY2023 K 2024 Key Events ey 569 524 2,208 Ev 514 524 1,999 Q1 2024 Net Profit en G1/61 Project ts P/L from normal operation P/L from non-operating items 603 543 592 543 2,647 2,322 Gas Production Reached 800 MMSCFD -23 -19 -114 Since 20 Mar 2024, ahead of plan Profit fr
Slide 15: Financial Results | Volume and Price
Financial Results | Volume and Price UNIT: BOED Volume Mix 600,000 462,007 474,679 473,048 460,817 Gas Liquid 500,000 61,604 64,363 62,771 57,617 Rest of World 400,000 28% 27% 93,653 95,058 90,056 88,779 Other SEA 300,000 72% 73% 200,000 306,750 315,258 320,221 314,421 Thailand & 100,000 MTJDA Q4 20
Slide 16: Financial Results | Unit Cost
Financial Results | Unit Cost Unit : $/BOE 27.65 (1),(2) 28.87 (2) 28.96 30 26.07 (1) Cash Cost 20 13.84 13.93 14.51 14.25 Unit Cost 10 - 2023 Q4 23 Q1 24 Q1 23 DD&A 13.81 14.94 14.45 11.82 Finance Cost 1.75 1.52 1.97 1.86 Royalties 2.67 2.50 2.41 3.39 G&A 2.63 3.54 2.25 2.20 Exploration Expenses 0.
Slide 17: Financial Results | Cashflows & Financial Position
Financial Results | Cashflows & Financial Position Cashflows Financial Position Unit: million USD Unit: million USD EBITDA Margin Cash flow from 26,380 operations Inflow 27,168 74% (Before tax) Tax paid Investing Outflow Total Assets 221 Others Other Liabilities 500 8,133 1,932 76 8,348 3,654 3,685
Slide 18: Financial Outlook
Financial Outlook OUTLOOK Q2 2024 FY 2024 RATINGS 514 509 473 Sales Volume 462 AAA (KBOED) ~514 ~509 Stable Q1/24A Q2/24F 2023A 2024F 5.9 5.9 6 5.9 Gas Price (US$/MMBTU) ~5.9 ~5.9 BBB+ Stable Q1/24A Q2/24F 2023A 2024F BBB stand-alone rating 28.96 28-29 28-29 Unit Cost Baa1 (US$/BOE) ~28-29 27.65 Baa
Slide 19: Thank you and Q&A
Thank you and Q&A +66 2 537 4000 IR@pttep.com http://www.pttep.com 19 Energy Partner of Choice
Slide 20: Supplementary Information
Supplementary Information Topics Page Finance 21-23 • Profit and Loss Statement • Key financial ratios • Debt Maturity profile E&P Business 24-27 • Overall Portfolio • Thailand and SEA • Middle East • Africa Reserve 28 Beyond E&P Business 29-30 AI and Robotics Venture SD & ESG 31-32 • Net Zero Roadm
Slide 21: Finance – P&L
Finance – P&L Unit: million USD 2023 Q1 24 Q4 23 %QoQ Q1 23 %YoY Total Revenues 9,057 2,209 2,411 (8%) 2,314 (5%) Sales (1) 8,511 2,093 2,202 (5%) 2,193 (5%) Sales Volume (BOED) (2) 462,007 473,048 474,679 (0.3%) 460,817 3% Sales Price (US$/BOE) 48.21 47.24 48.41 (2%) 50.01 (6%) Others (3) 546 116 2
Slide 22: Finance – Key Ratios
Finance – Key Ratios Q4 2023 Q1 2024 EBITDA Margin 74% 74% Profitability Ratios Return on Equity 16% 15% (%) Net Profit Margin 24% 24% Debt to Equity 0.25 0.24 Leverage Ratios (Times) Debt to EBITDA 0.58 0.59 Liquidity Ratio Current Ratio 2.65 2.60 (Times) 22
Slide 23: Finance - Debt Maturity Profile
Finance - Debt Maturity Profile 700 648 600 600 500 458 400 379 USD Millions 350 300 223 200 178 100 0 Unit: USD Millions or equivalent after cross currency swap As of March 2024 23
Slide 24: Portfolio - E&P Business
Portfolio - E&P Business Key Assets and % of Total Sales volume Focus Countries (98%) Global E&P Portfolio Thailand 68% G1/61, G2/61, Arthit, S1 Malaysia 10% SBK, SBH, SK309/311 Myanmar 8% Yadana, Zawtika Oil Oman 11% Block 61, PDO, OLNG Oil UAE < 1% Exploration fields, AGP Myanmar Oil Gas/LNG Thail
Slide 25: E&P Business – Thailand, Myanmar, Malaysia
E&P Business – Thailand, Myanmar, Malaysia Myanmar Thailand Production Myanmar S1 Production Zawtika (WI 80%) Sinphuhom G1/61 Erawan (WI 60%) • Production Volume gas 314 MMSCFD (3M2024) • 3M2024 average gas production 477 MMSCFD Yadana (WI 37.1%) E5 • Ramp-up to 800 MMSCFD since March 20, 2024 • Pro
Slide 26: E&P Business – Middle East
E&P Business – Middle East OMAN UAE Production Exploration Sharjah Sharjah Block 6 (PDO) (WI 2%) Onshore Area C Onshore Area A • Largest asset covering around 1/3 of the country. Abu Dhabi Abu Dhabi Offshore 1, 2, 3 (WI 30%) Offshore 1 • Average oil production volume of 719 KBPD (3M2024) • High pote
Slide 27: E&P Business – Africa
Rest E&Pof the World Business – Africa Algeria Production 433A & 416B (WI 35%) • Oil production consisting of block 433A, 416B • Operated by GBRS (WI 35%) • Average Daily Production volume of crude at 16 KBPD Hassi Bir Rekaiz (WI 49%) Bir Seba Hassi Bir Rekaiz Mozambique ALGERIA • HBR oil field cons
Slide 28: Reserves
Reserves MMBOE 2,500 2,286 2,280 Reserves Life 2,123 2,000 844 844 Proved (1P) Proved & Probable (2P) 773 6.2 9.8 1,500 Years Years 1,000 1,350 1,442 1,436 2023 by Geography 2023 by Product Type 500 Domestic International Gas Liquid - 2,280 2,280 2021 2022 2023 27% 1,436 47% 1,436 Proved (P1) Probab
Slide 29: Diversify For the Future
DIVERSIFY For the Future New business portfolio readiness for Energy Transition Advanced Technology Low Carbon Business AI & Robotic Offshore CCSaaS Hydrogen Renewables Scale up ARV business Build power portfolio to Build domestic foothold Build capabilities to through ARV core & support future ener
Slide 30: Ventures Builder Business Units
VENTURES BUILDER BUSINESS UNITS ARV is a Ventures Builder principally engaged in the research, ARV has successfully spun-off start-ups into separate legal development and provision of solutions using Artificial Intelligence entities focused on further commercialization and and Robotics technologies,
Slide 31: Net Zero 2050
Net Zero 2050 2020 2030 2040 2050 Base Year 30% GHG Intensity* 50% GHG Intensity NET ZER Greenhouse Gas Emissions Reduction Reduction E&P, Operational Control SCOPE 1 & 2 *Intensity refers to GHG released in Tonne CO2e per thousand tonnes of hydrocarbon production 31
Slide 32: ESG Disclosure & Ratings
ESG Disclosure & Ratings 100 80 60 40 20 Social Human Development Resource Human Economic Rights ESG AAA AA A BBB BB B CCC Climate & Disclosure Health & Environment Safety Innovation & Supply Chain Technology ESG Ratings Governance, Risk 1 2 3 4 5 Management & Compliance A A- B B- C C- D D- No Respo
Slide 33: Thailand Energy Market Overview
Thailand Energy Market Natural Gas Supply Natural Gas Consumption Electricity Generation MMSCFD MMSCFD GWH FY 2022 FY 2023 2M 2024 FY 2022 FY 2023 2M 2024 FY 2022 FY 2023 2M2024 Domestic Myanmar LNG 4,661 Electricity Industry GSP NGV 4,373 59% 4% 15% 11% 11% 36,924 OVERVIEW Domestic Myanmar LNG 4,66
Slide 34: Thailand Energy Market – Production
Thailand Energy Market 12M 2023 Oil Balance 12M 2023 Natural Gas Balance Maintains the stability of country supply through adequate refining capacity Main driver of Thailand’s economy Import (88%) Indigenous (12%) Gulf of Thailand (50%) Onshore(2%) Onshore (2%) Import (48%) 1,023 KBD 136 KBD Others
Slide 35: History of Thailand Energy Security
HISTORY of Thailand Energy Security Thailand’s Energy consumption is continuously rising Thailand Primary Energy Supply and Consumption Million Tonne Oil equivalent THAILAND Energy Mix 140 Domectic Renewable by source Domestic Crude 120 Domestic Condensate Domestic Natural Gas Imported Domestic Lign
Slide 36: Key Fields Supplying Gas to Thailand
Key Fields Supplying Gas to Thailand Most are matured and required high investment to prolong plateau Thailand Gas Demand and Supply Gulf of Thailand Myanmar Contracted LNG Malaysia-Thailand JDA Onshore Gas 6 5 4.7 4.8 4.8 4.8 4.9 4.8 4.8 4.6 4.5 4.5 4.5 4.6 TH Gas 4.4 4-5 MTPA Demand SPH 7-8 MTPA Y
Slide 37: E&P Projects Detail - Thailand
E&P Projects Detail - Thailand Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 1 G1/61 (Erawan) OP Production PTTEP 100% 477 Condensate: • Ramp-up to 800 MMSCFD on March 20, 2024 13 KBPD • Continue drilling new production wells 2 G2/61
Slide 38: E&P Projects Detail - Thailand
E&P Projects Detail - Thailand Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 8 G12/48 OP Production PTTEP 66.67% 5 - • PTTEP acquired additional 33.3333% stake from TotalEnergies, the completion of the SPA is in progress • Normal ope
Slide 39: E&P Projects Detail - Thailand
E&P Projects Detail - Thailand Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 16 L22/43 OP Production PTTEP 100% - - • Completed evaluation of drilling results to determine further production plan. 17 G9/43 OP Exploration PTTEP 100% -
Slide 40: E&P Projects Detail – SEA
E&P Projects Detail – SEA Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 1 Malaysia Block K OP (Kikeh & SNP) Production PTTEP Kikeh 56% • Normal operations - Kikeh JV (GK) SNP 22.4% 23 28 - Siakap-North Petai field (SNP) GK 7.17% - Gu
Slide 41: E&P Projects Detail - SEA
E&P Projects Detail - SEA Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 7 Myanmar - M3 OP Exploration PTTEP 100% - - • Pending for development 8 Vietnam – Block 9-2 JOC Production PTTEP 25% 9 2 • Under negotiation for Petroleum Contr
Slide 42: E&P Projects Detail – Middle East
E&P Projects Detail – Middle East Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 1 Abu Dhabi Offshore 1 JV Exploration PTTEP 30% - - • Geological and Geophysical study for petroleum potential (UAE) Eni 70% assessment. 2 Abu Dhabi Offs
Slide 43: E&P Projects Detail – Middle East
E&P Projects Detail – Middle East Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 7 Oman Block 53 JV Production PTTEP 1% - 76 • Normal operations Occidental 47% OOCEP 20% Indian Oil 17% Mubadala 15% 8 Oman Onshore JV Exploration PTTEP
Slide 44: E&P Projects Detail – Rest of the World
E&P Projects Detail – Rest of the World Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 1 PTTEP Australasia OP Exploration PTTEP 100% - - • Relinquished Tenacious Field (AC/RL4) • Transfer its interests in Katandra Field (AC/RL10) • Di
Slide 45: E&P Projects Detail – Rest of the World
E&P Projects Detail – Rest of the World Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 5 Mexico block 12 (2.4) JV Exploration PTTEP 20% - - • In process of the block relinquishment Petronas 60% Ophir Mexico 20% 6 Mexico block 29 (2.4)
Slide 46: Midstream Projects Detail
Midstream Projects Detail Production Volume Project Name Status Phase Participating Interest* (%) Latest Status Gas Liquid (MMSCFD) (KBPD) 1 Oman LNG Shareholder Production PTTEP 2% N/A N/A • Normal Operations Government of 51% • Total capacity 10.4 MTPA Oman • Signed the Shareholder Agreement in 20
Slide 47: Organization Structure
Organization Structure Ensuring performance excellence, transparency, and good corporate governance Board of Directors Corporate Governance and Nominating and Remuneration Sustainability Committee Committee Audit Committee Risk Management Committee Internal Audit Division Chief Executive Officer E&P
Slide 48: Ratios and Formula
Ratios and Formula Petroleum Reserves Leverage Reserves Total Debt Short-term loans from financial institution + Current portion of long-term 5-Yr Additional Proved Reserves / 5-Yr Production Volume debts + Bonds + Long-term loans from financial institution Replacement Ratio Net Debt Total debt – Li
Slide 49: Conversion Table
Conversion Table Crude Oil From Tonnes Kilolitres Barrels US Gallons Tonnes/year Tonnes 1 1.165 7.33 307.86 - Kilolitres 0.8581 1 6.2898 264.17 - Barrels 1.1364 0.159 1 42 - US Gallons 0.00325 0.0038 0.0235 1 - Barrels per Day - - - - 49.8 Natural Gas and LNG From MM tonnes oil BN Cubic metres NG BN