Seadrill Limited · NYSE:SDRL

Seadrill — Q4 2009 Earnings Presentation

22 slides from Seadrill's earnings presentation, Feb 25, 2010

  1. Slide 1: Conference call 4Q 2009 results

    Conference call 4Q 2009 results February 25, 2010

  2. Slide 2: Disclaimer

    Confidential Disclaimer THIS PRESENTATION AND ITS ENCLOSURES AND APPENDICES (HEREINAFTER JOINTLY REFERRED TO AS THE “PRESENTATION” HAS BEEN PREPARED BY SEADRILL LIMITED. (”SDRL” , “SEADRILL or THE ”COMPANY”) EXCLUSIVELY FOR INFORMATION PURPOSES. THIS PRESENTATION HAS NOT BEEN REVIEWED OR REGISTERED

  3. Slide 3: Contents

    Contents ƒ Highlights 4Q 2009 ƒ 4Q 2009 accounts ƒ Operational status and performance ƒ Fleet contract status ƒ Market outlook ƒ Dividend policy ƒ Strategy ƒ Summary 3

  4. Slide 4: Highlights fourth quarter 2009

    Highlights fourth quarter 2009 ƒ EBITDA of US$486 million compared to US$497 million in the preceding quarter ƒ Net income of US$401 million or income per share of US$0.95 ƒ Jack-up rig West Atlas declared a total loss resulting in US$58 million gain on disposal ƒ Declares US$0.55 per share in cash

  5. Slide 5: EBITDA development

    EBITDA development US$ MILLION Contribution quarter to quarter 5

  6. Slide 6: Mobile units

    Mobile units Unaudited accounts in USD million 4Q09 3Q09 Operating revenues 617 604 Reimbursables 10 12 Other revenues 11 10 Total revenues 638 626 Gain on sale of assets 50 21 Vessel and rig operating expenses 223 181 Reimbursable expenses 9 9 Depreciation and amortisation 88 88 General and adminst

  7. Slide 7: Tender rigs

    Tender rigs Unaudited accounts in USD million 4Q09 3Q09 Operating revenues 84 85 Reimbursables 3 4 Total revenues 88 89 Vessel and rig operating expenses 40 35 Reimbursable expenses 3 3 Depreciation and amortisation 10 10 General and adminstrative expenses 5 3 Total operating expenses 58 52 Operatin

  8. Slide 8: Condensed income statement

    Condensed income statement 8

  9. Slide 9: Balance sheet

    Balance sheet Total assets Unaudited accounts in USD million 31.12.09 30.09.09 Current assets Cash 602 903 Marketable securities 742 728 Accounts receivables 452 491 Other current assets 465 483 Total current assets 2 261 2 606 Non-current assets Investment in associated companies 321 314 Newbuildin

  10. Slide 10: Balance sheet - Liability and equity

    Balance sheet Liability and equity 10

  11. Slide 11: Worldwide operations

    Worldwide operations 1 drillship newbuild at Samsung, Korea Norway - 5 units - 3 Semis 2 semi new- - 1 Jack-up builds at Jurong, - 1 Drillship Singapore GoM - 1 unit 2+1 jack-up & 1 semi-tender - 1 Semi newbuilds in Singapore Brazil - 3 units Southeast Asia - 2 units - 2 Semis - 2 Semis - 1 Drillshi

  12. Slide 12: Average utilization rate deepwater newbuilds

    Average utilization rate deepwater newbuilds Start-up experience transferred to sister rigs 12

  13. Slide 13: Ultra-deepwater drillship West Navigator

    Ultra-deepwater drillship West Navigator ƒ 10-year survey ƒ New top-drive ƒ New iron roughneck ƒ Recertified pipe-handling equipment ƒ Thruster replaced ƒ Steel replacement Survey completed in 21 days 13

  14. Slide 14: Deepwater market outlook

    Deepwater market outlook ƒ Long-term market drivers intact as global oil basins mature and decline rates steepening Historical dayrates for ultra-deepwater rigs 700 ƒ Exploration for larger reserves taking 600 place in more challenging and rig 500 USDk/day intensive deepwater markets 400 300 ƒ Dayra

  15. Slide 15: US$9 billion contract backlog - Floaters

    US$9 billion contract backlog - Floaters Improved near earnings visibility 15

  16. Slide 16: US$380 million contract backlog - Jack-ups

    US$380 million contract backlog - Jack-ups Several new contracts 16

  17. Slide 17: US$1.7 billion contract backlog - Tender rigs

    US$1.7 billion contract backlog - Tender rigs Balanced contract portfolio 17

  18. Slide 18: 9 more newbuilds that secures growth

    9 more newbuilds that secures growth ƒ Deepwater floaters - Drillship West Gemini – 2Q2010 - Semi West Orion – 2Q2010 - Semi West Capricorn – 4Q2011 ƒ Tender rigs - Tender barge T12 – 1Q2010 (delivered) - Semi-tender West Vencedor – 1Q2010 (delivered) - Semi-tender West Berani III – 1Q2011 ƒ Jack-up

  19. Slide 19: Dividend distribution and policy

    Dividend distribution and policy ƒ Dividend resolved at US$0.55 per share ƒ Increase reflects improved earnings visibility and more favorable debt markets related to financing of our operations ƒ Future dividend depends on: ƒ Debt leverage ƒ Contract coverage ƒ Capital expenditure programs and other

  20. Slide 20: Strategy

    Strategy ƒ Complete US listing process in March/April 2010 ƒ Ambition to grow fleet of premium assets ƒ Focus on quality operations ƒ Maintain financial leverage ƒ Distribution of cash dividends ƒ Develop current shareholdings ƒ Entertain further consolidation through M&A activities Grow our Company

  21. Slide 21: Sound platform for shaping the future

    Sound platform for shaping the future 21

  22. Slide 22: Seadrill working for quality customers

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