Knot Offshore Partners Lp · NYSE:KNOP

Knot Offshore Partners Lp — Q4 2014 Earnings Presentation

20 slides from Knot Offshore Partners Lp's earnings presentation, Feb 17, 2015

  1. Slide 1: Fourth Quarter 2014 Results

    Fourth Quarter 2014 Results February 17, 2015

  2. Slide 2: Notice to Recipients

    Notice to Recipients This presentation is not a prospectus and is not an offer to sell, nor a solicitation of an offer to buy, securities. Except for the historical information contained herein, the matters discussed in this presentation include forward-looking statements that involve risks and unce

  3. Slide 3: Highlights & Recent Events

    Highligts & Recent Events  For the fourth quarter of 2014, KNOT Offshore Partners L.P. (the “Partnership”): – Generated net income of $5.9 million and operating income of $15.9 million (1) – Generated Adjusted EBITDA of $26.5 million and (1) – Generated Distributable cash flow of $15.1 million  Ne

  4. Slide 4: Summary unaudited condensed consolidated and combined carve-out statement of operations

    Summary unaudited condensed consolidated and combined carve- out statement of operations  Vessel operation in line with Three months Three months Three months Ended Ended Ended forecast (USD in thousands) December 31, December 31, September 30, 2014 2013 2014 – 99.6% uptime (1.9 days offhire) (unau

  5. Slide 5: Summary Unaudited Condensed Consolidated and combined carve-out Balance sheet

    Summary Unaudited Condensed Consolidated and combined carve-out Balance sheet At December 31, At December 31,  Total unrestricted cash of $30.7 million (USD in thousands) 2014 (unaudited) 2013 (Audited)  Interest bearing debt at $613.2 million ASSETS Current assets: Cash and cash equivalents 30 74

  6. Slide 6: Distributable cashflow

    Distributable cashflow Three months Three months Ended Ended (USD in thousands) December 31, September 30, 2014 2014 (unaudited) (unaudited) Net income 5 908 12 563 Add: Depreciation and amortization 10 559 10 201 Other non-cash items; deferred costs amortization debt 1 018 308 Unrealized losses fro

  7. Slide 7: Adjusted EBITDA

    Adjusted EBITDA Three months Three months Ended Ended (USD in thousands) December 31, September 30, 2014 2014 (unaudited) (unaudited) Net income 5 908 12 563 Interest income -9 0 Interest expenses 4 688 4 014 Depreciation and amortization 10 559 10 201 Income tax (benefits) expense 15 -1 Realized/ u

  8. Slide 8: Long-term Contracts Backed by Leading Energy Companies

    Long-term Contracts Backed by Leading Energy Companies KNOT Offshore Partners - Owned fleet Name Area 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 Windsor Knutsen (1) Brazil 2 Bodil Knutsen (1) N. Sea 3 Fortaleza Knutsen Brazil 4 Recife Knutsen Brazil 5 Carmen Knutsen Brazil 6

  9. Slide 9: KNOT ordered one new shuttle tanker in January

    Knutsen NYK Offshore Tankers (KNOT) ordered one new shuttle tanker in January KNOT enters into a new contract for shuttle tanker Vessel Size (dwt) Construction Delivery Employment Term Int Oil Co I 152 000 dwt Cosco Chousan, China Q1-17 Timecharter Int Oil Co. Up to 20 years  In January 2015, KNOT

  10. Slide 10: Dropdown inventory: Six potential acquisitions

    Dropdown inventory: Six potential acquisitions KNOT Offshore Partners - Potential acquisitions Name Area(3) 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1 Ingrid Knutsen N. Sea 2 Raquel Knutsen Brazil 3 Dan Sabia Brazil 4 BG Group I Brazil 5 BG Group II B

  11. Slide 11: Petrobras production capacity is being ramped up

    Petrobras production capacity is being ramped up Source: Petrobras Investor presentation June 2014, 11

  12. Slide 12: Petrobras 29Jan2015 (old management's last presentation)

    Petrobras 29Jan2015 (old management’s last presentation): 12

  13. Slide 13: From BG Investor update February 2015, slide 10

    From BG Investor update Februry 2015, slide 10: 13

  14. Slide 14: From BG Investor update February 2015, slide 11

    From BG Investor update February 2015, slide 11: 14

  15. Slide 15: BG Investor update February 2015, slide 12

    BG Investor update February 2015, slide 12: 15

  16. Slide 16: Effects of lower oil price on Knutsen Offshore Partners

    Effects of lower oil price on Knutsen Offshore Partners  Existing projects continuing – Very low lifting cost ($ 8-15 per barrel) and with former investments being sunk cost, existing production is profitable and demands shuttle services as planned  Discussions for new shuttle tankers with deliver

  17. Slide 17: Q3-14: Full effect of the Hilda Knutsen and Torill Knutsen acquisitions

    Q3-14: Full effect of the Hilda Knutsen and Torill Knutsen acquisitions KNOT Offshore Partners LP Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Selected Quarterly Figures Revenues $ million 17,3 20,5 22,2 21,8 22,1 34,3 34,7 Operating income $ million 7,4 9,4 10,0 9,4 9,6 15,5 15,9 Net Income $ million

  18. Slide 18: Distribution for Q4-14 will be up 31% from MQD

    Distribution for Q4-14 will be up 31%* from MQD  Management has recommended to the board an increase in Q1-15 distribution of between $0.010 and $0.015 following the Dan Cisne acquisition in December 2014  At the IPO in April 2013, the Partnership expected a distribution growth averaging 10% to 15

  19. Slide 19: Thank you, any questions?

    KNOT Offshore Partners LP Thank you, any questions ?

  20. Slide 20: Appendix 1, Fleet details

    Appendix 1, Fleet details KNOT Offshore Partners - Owned fleet Charter Capacity Acquis- Options Name Built__Yard__(DW7)_ Age _ ition ___Current type" Period _yrs__yrs_ Area”! 2024 1 Windsor Knutsen 2007 Daewoo 162000 76 IPO” KNOT/BG” TC apr.i8® 33 2,6 Brazil” 2 Bodil Knutsen 2011 Daewoo 158000 39 IP

KNOT Offshore Partners — Q4 2014 Earnings Presentation on 6ix