Slide 1: First Quarter 2023 Results Presentation
ADNOC Classification: Internal ADNOC Gas FIRST QUARTER 2023 RESULTS PRESENTATION FOR THE THREE-MONTH PERIOD ENDED MARCH 31, 2023 ADNOC GAS WAS INCORPORATED IN THE ABU DHABI GLOBAL MARKET, ABU DHABI, UAE ON 8 DECEMBER 2022 AND THE RELEVANT ASSETS WERE CONTRIBUTED TO ADNOC GAS EFFECTIVE JANUARY 1, 202
Slide 2: Disclaimer
ADNOC Classification: Internal DISCLAIMER The information contained in this presentation is for background purposes only and does not purport to be full or complete. No reliance may or should be placed by any person for any purposes whatsoever on the information contained in this presentation or on
Slide 3: Agenda & Speakers
ADNOC Classification: Internal AGENDA & SPEAKERS Overview Ahmed Alebri Chief Executive Officer Q1 2023 Highlights Financial Performance Mohamed Al Hashemi Chief Operating Officer Outlook Peter van Driel Appendix Chief Financial Officer Q1Q1 2023 2023RESULTS RESULTSPRESENTATION PRESENTATION 3
Slide 4: World-Class Gas Platform
ADNOC Classification: Internal WORLD-CLASS GAS PLATFORM LARGE SCALE TANGIBLE GROWTH PROJECTS RELIABLE FEEDSTOCK 10+ BSCFD Nameplate Processing Capacity1 3 BSCFD / 6 MTPA Access to World’s 29 MTPA 7th Largest Liquid Processing Capacity2 Gas Processing & Liquid Processing Capacity Additions in the Nex
Slide 5: Growth Objectives
ADNOC Classification: Internal GROWTH OBJECTIVES ENERGY SECURITY DE-RISK DEMAND EMMISSION REDUCTION ▪ Advancing the UAE’s objective of ▪ Revenue growth during the energy ▪ Decarbonize to enable domestic and becoming a gas net-exporter while transition international energy transition ensuring gas sel
Slide 6: Core Growth Projects
ADNOC Classification: Internal CORE GROWTH PROJECTS RICH SET OF OPPORTUNITIES ADNOC GAS PROJECTS MANDATE ▪ Upstream Supply Growth ASG Debottlenecking1 ▪ Expansion of oil production capacity from MERAM 4 to 5 million barrels per day by 2027 Capacity ESTIDAMA Bab Gas Cap2 Enhancement CO2 Recovery and
Slide 7: Q1 2023 Highlights
ADNOC Classification: Internal Q1 2023 HIGHLIGHTS ADNOC GAS Q1 2023 RESULTS PRESENTATION
Slide 8: Key Highlights
ADNOC Classification: Internal KEY HIGHLIGHTS OPERATIONAL FINANCIAL HSE ▪ World-class reliability of 98.5% in ▪ Lower pricing environment, Brent ▪ Zero Fatalities / Catastrophic Events ADNOC Gas plants down 24% from last year ▪ Sustained Total Recordable Injury Rate ▪ Scheduled shutdowns to extend t
Slide 9: World-Class Gas Platform
ADNOC Classification: Internal WORLD-CLASS GAS PLATFORM ADNOC GAS RELIABILITY (%) PRODUCTION VOLUMES (TBTU) Domestic Gas Export & Traded Liquids ADNOC LNG JV Products 71 62 217 210 99.8 98.5 533 510 Q122 Q123 Q122 Q123 Commentary ▪ Solid asset management and comprehensive asset maintenance programs
Slide 10: Heavy Shutdown Season
ADNOC Classification: Internal HEAVY SHUTDOWN SEASON E X P E C T H I G H E R P R O D U C T I O N V O L U M E S1 I N T H E S E C O N D Q U A R T E R SALES VOLUMES (TBTU) SCHEDULED SHUTDOWNS (DAYS) Domestic Gas Export & Traded Liquids ADNOC LNG JV Products ADNOC Gas Facilities ADNOC LNG JV 44 3% 4
Slide 11: Financial Performance
ADNOC Classification: Internal FINANCIAL PERFORMANCE Q1Q1 2023 2023RESULTS RESULTSPRESENTATION PRESENTATION
Slide 12: Less Favourable Price Environment
ADNOC Classification: Internal LESS FAVOURABLE PRICE ENVIRONMENT BRENT OIL LNG QoQ Brent $/bbl Variance (avg. for the quarter) $/bbl $/MMBtu Brent 12% Brent JKM TTF 80 Q1 2022 $104 - 130 120 110 60 100 90 40 Q4 2022 $89 14% 80 20 70 60 0 Q1 2023 $80 10% Source: EIA Source: IHS Markit LPG NAPTHA Co
Slide 13: Financial Performance
ADNOC Classification: Internal FINANCIAL PERFORMANCE RESILIENT MARGINS IN CHANGING PRICE ENVIRONMENTS REVENUE COSTS Commentary $, Billions $, Billions Cost of Feedstock OPEX Revenue and Costs ▪ Less favorable price environment than Q1 2022 0.5 0.5 ▪ Used the prevailing market environment to proceed
Slide 14: Higher Net Income
ADNOC Classification: Internal HIGHER NET INCOME P R I C E A N D VO LU M E I M PA C T O F FS E T BY LO W E R F E E D STO C K CO ST A N D TA X ES NET INCOME (YEAR-OVER-YEAR) Commentary $, Billions ▪ Price environment less favorable (24% drop in Brent) 0.3 9% ▪ Volumes lower due to planned shutdown
Slide 15: Predictable Margin
ADNOC Classification: Internal PREDICTABLE MARGIN ST EA DY P E R FO R M A N C E O F D O M EST I C G A S , E X P O RT A N D T R A D E D L I Q U I D S I M PAC T E D BY THE PRICING ENVIRONMENT EBITDA UNIT EBITDA Commentary $, Billions $ per MMBTU ▪ Predictable margin business underpinned by strong Dome
Slide 16: Robust Cash Generation
ADNOC Classification: Internal ROBUST CASH GENERATION H I G H E A R N I N G S TO C A S H R AT I O FREE CASH FLOW (YEAR-OVER-YEAR) Commentary $, Billions Free Cash Flow impacted by price 0.3 ▪ Lower EBITDA 0.0 0.1 0.1 ▪ Less favorable price environment ▪ Planned shutdowns 1.4 1.0 1.1 ▪ Lower feedstoc
Slide 17: Strength of Balance Sheet
ADNOC Classification: Internal STRENGTH OF BALANCE SHEET HEADROOM TO INCREASE GEARING FREE CASH FLOW (YEAR-ON-YEAR) Commentary Existing facilities $, Billions ▪ Revolving facility agreement of $2 billion, used for working capital purposes 25,000 ▪ Term loan agreement of $4 billion, to finance growth
Slide 18: Outlook
ADNOC Classification: Internal OUTLOOK Q1Q1 2023 2023RESULTS RESULTSPRESENTATION PRESENTATION
Slide 19: Outlook
ADNOC Classification: Internal OUTLOOK PARTICULARS Units FY23 RANGE Dividends Volumes The Company is targeting to pay a fixed dividend amount of: Domestic Gas Products TBTU 2,150 – 2,250 ▪ $1,625 million in the fourth quarter of 2023 in respect of the first half of 2023; Export and Traded Liquids TB
Slide 20: Differentiated Large-Scale Integrated Gas Platform
ADNOC Classification: Internal DIFFERENTIATED LARGE-SCALE INTEGRATED GAS PLATFORM 1 Vital to Abu Dhabi and the UAE Energy Ecosystem Critical Infrastructure 2 World-Class Integrated Gas Platform 3 Significant Asset Base Delivering Returns… Sustainable and Evolving Yield 4 …With Attractive and Expecte
Slide 21: Appendix
ADNOC Classification: Internal APPENDIX ADNOC GAS Q1 2023 RESULTS PRESENTATION
Slide 22: Environmental, Social & Governance
ADNOC Classification: Internal ENVIRONMENTAL, SOCIAL & GOVERNANCE Environmental Social Governance GHG & New Energies Strategy Social Risk HSE governance framework Code of Conduct as Regular internal & Management minimum standards Group Major contributor to ADNOC’s external audits Significant electri
Slide 23: Select ADNOC Gas Growth Projects
ADNOC Classification: Internal SELECT ADNOC GAS GROWTH PROJECT PORTFOLIO OF $1 4 B I L L I O N W O R T H O F S T R A T E G I C & G R O W T H P R O J E C T S O V E R T H E N E X T 5 YEARS Highlights Impact Expected Completion • Extend market reach (new customer in Northern Emirates) A ESTIDAMA 330-45
Slide 24: Thank You
ADNOC Classification: Internal ADNOC Gas THANK YOU ADNOC GAS Q1 2023 RESULTS PRESENTATION