Nabors Industries Ltd. · NYSE:NBR
Nabors Industries — Investor Presentation (March 2016)
17 slides from Nabors Industries's investor presentation, Mar 22, 2016
Slide 1: Forward-Looking Statements
2 Forward-Looking Statements We often discuss expectations regarding our markets, demand for our products and services, and our future performance in our annual and quarterly reports, press releases, and other written and oral statements. Such statements, including statements in this document incorp
Slide 2: Presentation Overview
3 Market Update Balance Sheet and Liquidity C&J Energy Services Investment Technology Initiatives Presentation Overview
Slide 3: Higher Oil Prices Have yet to Lead to More Activity
Continued Higher Price Movement Less Volatility Repair Balance Sheets Better Access to Capital Markets Meaningfully Increased Drilling Plans 4 Higher Oil Prices Have yet to Lead to More Activity Source: Bloomberg through March 17 Requisites for a Rebound 20 25 30 35 40 45 WTI Price - USD
Slide 4: Market Overview: Global
5 Market Overview: Global Source: BHI Rig Count as of March 18, Nabors Internal Global Asset Positioning Supporting Rig Count Vs. Competitors Rig Count Trend Since 3Q14 Industry U.S. L48: -76% NBR INT’L: -11% NBR U.S. L48: -79% Nabors Global: -56% -90% -80% -70% -60% -50% -40% -30% -20% -10% 0% 10%
Slide 5: Abundant Liquidity with Extended Maturities
6 Abundant Liquidity with Extended Maturities Ample Cushion through Cycle without Tapping Capital Markets Total Debt: $3.66 B Net Debt: $3.39 B Available Liquidity: $2.52 B Maturities within RCF Term: $1.77 B $mm RCF of $2,250mm LIBOR + 137.5 Matures July 2020 Undrawn as of Dec 31, 2015 Note: Liquid
Slide 6: Nabors Will Continue to Reduce Expenses to Maintain Cash Flow
8 Nabors Will Continue to Reduce Expenses to Maintain Cash Flow Note: Expenses related to Completion and Production Services removed for 2014 and 2015 in order to make directly comparable Note: 2014 levels baselined at 100 Targeted Change from 2014 to 2016E: -73% -39% 0 20 40 60 80 100 120 Capex G&A
Slide 7: Committed to Maximizing Value of C&J Investment
9 Committed to Maximizing Value of C&J Investment Founder and visionary Josh Comstock assembled a talented, successful management team with a strong operating history We merged our Completion & Production Services business with C&J Energy Services in March, 2015 Retain approximately 52% ownership of
Slide 8: PACE-X Rig: The Leading Solution for High Density Pad Drilling
10 PACE®-X Rig The Leading Solution for High Density Pad Drilling
Slide 9: PACE-X Rig Continuing to Revolutionize Multi-Well Pad Drilling
11 PACE®-X Rig Continuing to Revolutionize Multi-Well Pad Drilling Faster Drilling Times Repeatedly under 9 days from Spud to TD Recent well under 6 days Faster Move Times 5 days when introduced Now consistently 3 days or fewer
Slide 10: M800 Features
12 M800 Features 1500HP Walking Rig (3000HP Drawworks) 800–kip hookload @ 8 lines, rated to 25,000 ft Three 7,500 PSI pumps with 4 engines RigtelligentTM controls – advanced software, sensing, decoding Highly mobile pad-to-pad, integrated Top Drive and Block Targets both Lower 48 and International m
Slide 11: Rigtelligent Software and Controls
13 RigtelligentTM Software and Controls Control System
Slide 12: Rigtelligence for the Future, the Next Step beyond AC
14 RigtelligenceSM for the Future, the Next Step beyond AC Advanced Wellbore Placement – Increase precision, maximize payzone contact Reduced Invisible Down Time – Improve the consistency of rig processes at a high level Processes and rules to optimize driller’s decision making
Slide 13: Wellbore Placement: Proprietary MWD Accusteer Platform is Commercial Now
15 Wellbore Placement: Proprietary MWD AccusteerTM Platform is Commercial Now AccusteerTM Platform now being introduced to customers Features Weight on Bit Torque on Bit Bend on Bit Stick Slip Index At-Bit Pressure While Drilling At-Bit Continuous Inclination Resistivity Azimuthal Gamma Length 30 Fe
Slide 14: PILOT Heads-Up Display
16 PILOTTM Heads-Up Display Steering automation integrates the directional drilling workflow into the Rigwatch® system Combined with our ROCKIT ® PILOTTM automation and RiglineTM support systems, existing rig crews can execute directional drilling with superior results Patent Pending
Slide 15: What Is Next on the Horizon?
17 What Is Next on the Horizon? Customer Wish List Optimize the Workforce on the Rig Integration of Casing Running Tools Advanced Tubular Tracking Full Automation, Including Offline Stand Building Outcomes Safer Jobs Faster Operations Greater Resource Recovery Continuous Improvement Using Existing P
Slide 16: Ultimate Goals for the Customer and Nabors
18 Ultimate Goals for the Customer and Nabors Customer Increased Estimated Ultimate Recovery Reduced Cost per BOE Safer Operations Nabors Sustainable Competitive Advantage Higher Utilization and Wider Margins Safer Operations
Slide 17: Customer and Nabors Goals
Customer Increased Estimated Ultimate Recovery ——————————| Reduced Cost per BOE UL) ——————_ Safer Operations UL) ——— Sustainable 4 Competitive Advantage LO ——————_ Higher TF Utilization and Wider Margins UL) ————————_ Safer Operations UL) «) NABORS
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