Vantage Drilling International Ltd · OSL:VDI
Vantage Drilling International — Investor Presentation (April 2018)
14 slides from Vantage Drilling International's investor presentation, April 2018
Slide 1: Vantage Drilling International
Vantage Drilling International Ihab Toma, Chief Executive Officer April, 2018 1
Slide 2: Legal Disclaimer
Legal Disclaimer The statements described in this presentation that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements contain words
Slide 3: Presentation Topics
Presentation Topics Vantage 2.0 Company Overview Way Forward 3
Slide 4: Vantage Post Chapter-11
Vantage Post Chapter-11 • Emerged as Vantage Drilling International in February 2016 • Emerged with Strong Balance sheet: – $249 million Cash on Balance sheet – $219M in 1st and 2nd Lien Debt* • Strong Safety and Operational reputation • 3 Rigs contracted going down to 2 * Plus Convertible 3rd Lien
Slide 5: Vantage 2.0
Vantage 2.0 • New CEO, New CFO, New GC, New VP Marketing and VP HR… but same Operations Team • Refocused the company on three Wildly Important Goals (WIGs) #1 - Stellar safety and operational performance #2 - Put all Rigs back to work #3 - Reduce costs and preserve cash to navigate the downturn 5
Slide 6: WIG #1 – Steller Safety and Operational Performance
WIG #1 – Steller Safety and Operational Performance • Fleet-wide Safety Stand Down on CEO’s 1st day on the job • Outcome: – A new Safety-focused Vision: “A Perfect Day, Every Day” • No Incident • No Downtime • A Happy Client – Perfect Day Leadership training for offshore Supervisors – Systems Simpli
Slide 7: Total Deepwater Rig of the Year
Total Deepwater Rig of the Year 7
Slide 8: WIG #2 – Put all our rigs back to work
WIG #2 – Put all our rigs back to work Driven by Clients’ preference ranking: 1. Active rigs 2. Recently idled rigs 3. Warm stacked rigs 4. New rigs yet to Drill any wells 5. Cold stacked rigs 6. New Builds yet to be ordered 8
Slide 9: Jackups Utilization Bifurcation
Jackups Utilization Bifurcation Bifurcation ongoing: Modern rigs are slowly taking over Clients’ preference for Modern Jackups: 350 Modern > 2001 built 4 Vintage units • Superior drilling performance 300 33 58 – Offline stand building capabilities – 3 x high flow mud pumps 12 52 250 – Larger cantile
Slide 10: WIG #2 – Put all our rigs back to work
WIG #2 – Put all our rigs back to work Sold out Jackups fleet, one Drillship to go • Jackups Utilization at 100% and Drillships at 67% • All contracted rigs with positive cash flow margins 10
Slide 11: WIG #3 – Reduce Costs and Preserve Cash
WIG #3 – Reduce Costs and Preserve Cash Shorebase Costs - USD Millions 91.0 76.3 24.8 63.6 20.8 12.0 40.8 12.1 30.3 22.9 39.5 5.2 25.4 25.3 6.3 11.5 2014 FY 2015 FY 2016 FY 2017 Jun YTD* G&A Global Support Bases 2017 Adjusted for $11.5M Nonrecurring Legal and Severance cost through June-2017 11
Slide 12: Where are the cost reductions
Where are the cost reductions • Fit-for-Purpose Shore-based organization – Smaller and move to Dubai • Offshore wages doubled from 2007 to 2012… Now they’ve been readjusted • Nationalization and Regionalization of senior Offshore positions • Lowered wages allowed for healthy manning levels of the st
Slide 13: Way Forward
Way Forward 13
Slide 14: Vantage Way Forward
Vantage Way Forward • Company Structure and Assets well positioned for the long- haul – Low Cost Structure – Working rigs – All Contracted rigs on positive cash flow margins – Healthy Balance sheet • Continued operational focus: – Drive for Zero incidents and downtime – Re-contract rigs and start Da
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