Cmb.tech Nv · EURONEXT:CMBT
Cmb.tech Nv — Euronav — Jefferies Conference 2005
34 slides from Cmb.tech Nv's conference presentation, Sep 15, 2005
Slide 1: Jefferies Conference
EURONAV EURONAV Jefferies Conference 15 September 2005 1
Slide 2: A specialised tanker company
EURONAV EURONAV A specialised tanker company 2
Slide 3: Euronav's Fleet is Crude, Young, Double Hull
EURONAV Euronav’s Fleet is CRUDE Euronav’s Fleet is YOUNG Euronav’s Fleet is DOUBLE HULL Euronav’s Fleet is NATIONAL FLAG Euronav’s Fleet is MANAGED IN HOUSE 3
Slide 4: Euronav Fleet
EURONAV Euronav Fleet • 2 V-Plus • 13 VLCC in 100% ownership, • 3 VLCC in JV with partners • 11 VLCC TC in or BB on medium term ( in joint venture with TI Partners) • 1 VLCC in BB charter contract • 9 Suezmax (of which 7 Ice Class) • 2 Aframax on BB charter contract • 6 Newbuildings Suezmax (of whic
Slide 5: Euronav Fleet Employment
EURONAV Euronav Fleet Employment 2005 28% 35% 13% 24% VLCC owned - spot VLCC TC in - Spot VLCC owned TC out SUEZ TC out 2006 2007 32% 34% 34% 43% 11% 12% 23% 11% 5
Slide 6: Main Events
EURONAV Main Events 2004 2005 JANUARY FEBRUARY Purchase Savoie Acquisition of N/B Suezmax in JV – Delivery T/C in Shinyo Landes, C Dream, Sea 2007 Fortune Shinyo Mariner TC in for 7 years FEBRUARY MARCH T/C in Kensington, Hampstead Acquisition of 4 VLCC from Metrostar Merger with Tanklog signed: 9 S
Slide 7: Euronav N.V. - Public Company
EURONAV Euronav N.V. - Public Company EURONAV Stock Exchange: EURONEXT Ticker: EURN Bloomberg: EURN BB Saverys – Livanos Families Free Float 65% 35% Major shareholders 7
Slide 8: Tanklog Acquisition Rationale
EURONAV TANKLOG ACQUISITION RATIONALE --Steady Steady Income Stream --Operational Operational relationships with key players players:: VALERO SUNOCO ENI - Presence in the Suezmax market SUEZMAX: 1 Million B VLCC: 2 Million B ULCC: 3 Million B 8
Slide 9: Office Location and Functions
EURONAV OFFICE LOCATION AND FUNCTIONS BELGIUM ANTWERP - Commercial relations - Corporate head quarters - Centre of operations including commercial and USA operations; CONNECTICUT - Ship Management headquarter full management of SEAGROUP VLCC fleet ov erview of Suezmax fleet - Insurances Dedicated co
Slide 10: Board of Directors and Organisation
EURONAV Chairman Executive MARC SAVERYS Board of Directors CEO PADDY RODGERS EXCO Marine Corp. Sec. CFO COO Commercial Nick Fistes Insurance Virginie Saverys Ludwig Criel Alex Staring Commercial Paddy Rodgers Belgibo Ship Manager Operations Dirk 2 persons Olyslager Finance & Luxembourg Legal Investo
Slide 11: Consolidated financial statements
EURONAV Consolidated financial statements In thousands of USD 30.06.2005 30.06.2004 In thousands of USD 30.06.2005 30.06.2004 ASSETS LIABILITIES NON-CURRENT 2.052.340 599.710 EQUITY 815.387 358.016 ASSETS Tangible Assets 2.026.517 593.203 Capital and reserves 815.387 358.016 Intangible Assets 20.614
Slide 12: Fixed Business
EURONAV Fixed Business TOTAL – 4 VLCC on TC out VALERO – 7 Suezmax on TC out to for Ice Class trade – 2 Aframax on TC out for Caribbean trade SUN OIL COMPANY – 1 Suezmax on TC out E.N.I. – 1 Suezmax on TC out 12
Slide 13: Spot Business: Tankers International Pool
EURONAV Spot Business: Tankers International POOL • Only operate modern quality tonnage. • Put safety and quality above all. • To change the VLCC industry from a simple transportation provider into an integrated logistics carrier for our customers. • Counter fragmentation. • Improve market knowledge
Slide 14: Tankers International Pool
EURONAV TANKERS INTERNATIONAL POOL Wah Kwong OSG Euronav Petronas Oak Oldendorff Shinyo Sanko Essar 14 Est. 16.12.1999 – Start-up 01.02.2000
Slide 15: Compared with Major Operators
EURONAV Compared with Major Operators (existing vessels 461) Others Oil Co.’240 s/ 136 Traders control 130 52.4% of the fleet 55 Worldwide 12 53 Frontline 2 25 TI 49 15
Slide 16: The TI Fleet vs Rest of World
EURONAV THE TI FLEET vs Rest of World Rest of World Fleet Single hull: 3 170 Double hull: 46 291 (2 on TC) Total fleet: 49 461 (4 V-Plus) % double 94% 63.1% hulled: Average age of 5.76 years 8.45 years fleet: 16
Slide 17: Top Customers 2005
EURONAV TOP 10 CUSTOMERS 2005 RANK: CUSTOMERS 1 UNIPEC (China) 2 CHEVRON 3 STASCO (Shell) 4 EXXON MOBIL 5 ENGEN (South Africa) 6 RILLFUNG (China) 7 VELA 8 TOTAL 9 PETRONAS 10 IRVING 17
Slide 18: VLCC Trades 2004
EURONAV VLCC TRADES 2004 18
Slide 19: The VLCC Market: Supply
EURONAV THE VLCC MARKET SUPPLY 19
Slide 20: World VLCC Fleet Market History
World VLCC Fleet 0 100 200 300 400 500 600 700 800 1965 1968 1971 EURONAV 1974 1977 1980 1983 World VLCC Fleet Size 1986 1989 1992 1995 1998 2001 2004 2007 50 60 70 80 90 100 110 120 Oil Consumption (mbpd) . Market History 20
Slide 21: Historic Rates
EURONAV Historic Rates $60,000 $50,000 $40,000 US$ / Day $30,000 $20,000 $10,000 $0 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 21
Slide 22: World Fleet Development
EURONAV WORLD FLEET DEVELOPMENT Fleet at Scrap/ Year: year DH SH N/B: Growth: % FPSO: start 2002 434 171 263 35 40 -5 -1.2% 2003 429 206 223 38 34 +4 0.9% 2004 433 244 189 29 17 +12 2.8% 2005 445 273 172 28 9 +19 4.3% Now / YTD 459 288 171 15 1 +14 3.1% 2006 464 301 163 19 0 +19 4.1% 2007 483 320 16
Slide 23: Sensitivity
EURONAV Sensitivity • 1 Million bpd growth in demand from…. is equivalent to…..: ¾ USA ……..7 % increase in VLCC demand ¾ China ..…..6 % increase in VLCC demand ¾ India ……..4 % increase in VLCC demand 23
Slide 24: VLCC Supply / Demand
EURONAV VLCC Supply / Demand ¾ World VLCC fleet will grow by 4.5% in 2005 ¾ With the same pattern of trade, world oil demand would have to grow by 2.3% to increase tanker demand by 4.5% ¾ IEA forecasts 2005 oil demand to grow by 1.8% ¾ DOE forecasts oil demand to grow by 2.6% 24
Slide 25: The VLCC Market: Demand: Ton Miles
EURONAV THE VLCC MARKET DEMAND: Ton Miles 25
Slide 26: Falling Production Norway
7.0 7.2 7.4 7.6 7.8 8.0 8.2 8.4 8.6 1.5 1.7 1.9 2.1 2.3 2.5 2.7 2.9 Aug-00 Aug-00 mbpd Oct-00 mbpd Oct-00 Dec-00 Dec-00 Feb-01 Feb-01 Apr-01 Apr-01 Jun-01 Jun-01 Aug-01 Aug-01 Oct-01 UK USA Oct-01 Dec-01 Dec-01 Feb-02 Feb-02 Apr-02 Apr-02 Jun-02 Jun-02 Aug-02 Aug-02 Oct-02 Oct-02 Dec-02 Dec-02 Feb-0
Slide 27: Russian Crude Production
6.0 7.0 8.0 9.0 10.0 Aug-00 mbpd Oct-00 Dec-00 Feb-01 Apr-01 Jun-01 Aug-01 EURONAV Oct-01 Dec-01 Russia Feb-02 Apr-02 Jun-02 Aug-02 Oct-02 Dec-02 Feb-03 Apr-03 Jun-03 Aug-03 Oct-03 Dec-03 Feb-04 Apr-04 Jun-04 Aug-04 Oct-04 Dec-04 RUSSIAN CRUDE PRODUCTION Feb-05 Apr-05 Jun-05 Aug-05 27
Slide 28: OPEC Production
mbpd 15 17 19 21 23 25 27 29 Jan-01 1.70 23.0 1.97 25.2 2.60 25.2 2.85 24.2 2.87 24.2 0.84 24.2 Jul-01 2.03 24.2 '04 Production '01 Production 2.79 24.2 2.54 23.2 2.85 23.2 2.72 23.2 2.00 23.2 Jan-02 2.31 21.7 2.54 21.7 Iraq production (right scale) 2.53 21.7 EURONAV 1.30 21.7 1.76 21.7 1.52 21.7 Ju
Slide 29: Iraq Production
EURONAV IRAQ PRODUCTION Iraq production 3,000 Sweet crude, long ton-mile Iraq production Iraq production IEA 2,500 reported to be MEES further down in 2,000 June (1.2 mbpd). '000 bpd 1,500 1,000 500 0 Jun-04 Jun-05 Jul-04 Nov-04 Aug-04 Jan-04 May-04 Jan-05 May-05 Feb-04 Feb-05 Mar-04 Apr-04 Oct-04 S
Slide 30: Rising Seaborne Import Demand
EURONAV Chinese Crude imports since 2002 2.8 Source: IEA 2.6 y = 38.154x - 45638 RISING SEABORNE IMPORT DEMAND 2.4 2.2 mbpd 2.0 12.0 1.8 US Crude Imports since 2002 1.6 11.5 Source: IEA 1.4 11.0 1.2 10.5 1.0 Jul-02 Jul-03 Jul-04 Jul-05 Jan-02 Jan-03 Jan-04 Jan-05 10.0 mbpd 9.5 9.0 2.8 8.5 Indian Cru
Slide 31: TCE Earnings for VLCCs
EURONAV TCE EARNINGS FOR VLCCs $200.000 $150.000 TCE in $/day $100.000 $50.000 $0 jan/00 jan/01 jan/02 jan/03 jan/04 jan/05 31
Slide 32: Bunker Price Evolution
EURONAV BUNKER PRICE EVOLUTION $300 Weekly Averaged Bunker Prices ? $280 Singapore $260 Fujairah Rotterdam $240 US$/MT $220 $200 $180 Fujairah swaps $160 3Q2005: $264 4Q2005: $266 $140 2006: $267 $120 2007: $267 $100 Apr Apr Apr Jul Jul Jan Jan Jan Oct Oct 32
Slide 33: Euronext most diversified stock market within Euro Zone
EURONAV Euronext most diversified stock market within Euro Zone • Top 20 most active brokers Euronext Central order book trading value - Credit Suisse First Boston 1800 - Dresdner Bank (€ bn) 1600 - JP. Morgan - Merrill Lynch INTL 1400 - Morgan Stanley 1200 - UBS Securities 1000 800 - Cantor Fitgera
Slide 34: Presentation Thank You
EURONAV PRESENTATION THANK YOU 34