Pt Medco Energi Internasional Tbk · IDX:MEDC
Pt Medco Energi Internasional Tbk — 9M 2021 Earnings Presentation
20 slides from Pt Medco Energi Internasional Tbk's earnings presentation, Dec 20, 2021
Slide 1: PT Medco Energi Internasional Tbk
PT Medco Energi Internasional Tbk (IDX Ticker: MEDC) Jakarta, 20 December 2021
Slide 2: Performance Summary agenda
Performance Summary Executive Summary 3 Operational Update 4 Financial Summary 6 Business Guidance 2021 & 2022 Guidance 9 Climate Change Strategy 11 What to Expect in 2022 13 Appendix Portfolio Management 14 Portfolio Footprint 15 Business Statistics 16 Financial Statistics 19 The following presenta
Slide 3: Executive Summary
Oil & Gas Production: 93mboepd; Power Sales: 2,011 GWh EBITDA US$508mn, Oil price US$64.1/bbl, 62% up Y-o-Y, gas prices US$6.3/mmbtu Net Income US$56mn with all three business segments delivering profit Consolidated Debt US$2.6bn, RG Debt US$2.2bn Net Debt to EBITDA1 2.9x, below 3.0x leverage target
Slide 4: Oil and gas production 93 mboepd, down 7% YoY
• Oil and gas production 93 mboepd, down 7% YoY due to extended downtime in the 2Q and low domestic gas demand during Indonesia’s Covid-19 lockdowns. • Expect domestic gas demand will continue to improve in 2022 • Cash costs US$9.3/boe. Full year guidance remains below US$10/boe Project updates • Pr
Slide 5: Medco Power and Amman Mineral
Medco Power MPI: Strong pipeline of projects with increasing growth in renewables (MW) • Power generated sales of 2,011GWh, 32% from 600 1,245 renewables 48% • Riau IPP 275MW commissioning complete Dec 2021 51% • Sumbawa PV 26 MWp, more than 75% complete, on 52% Renewable 645 638 638 638 track for Q
Slide 6: Financial Summary: EBITDA US$508mn
• EBITDA US$508mn, Oil price US$64.1/bbl, 62% up Y-o-Y, gas prices US$6.3/mmbtu • Profit in all three business segment, Oil & Gas US$140mn, Power US$21mn and AMNT US$48mn following price improvement and Phase 7 performance. Profits were offset by headquarters and financing charges. Consolidated Net
Slide 7: EBITDA US$508 million, a 25% increase Y-o-Y
Consolidated EBITDA (US$mn) • EBITDA US$508 million, a 25% increase Y-o-Y, mainly due to recovering 68 63 64 52 commodity prices 49 42 40 • Realized oil prices US$64.1/bbl, 62% higher Y-o-Y (US$39.5/bbl). Weighted 585 627 502 508 average gas prices US$6.3/mmbtu, 23% 265 433 225 higher Y-o-Y (US$5.1/
Slide 8: Consolidated Debt US$2.6bn, down 10% Y-o-Y
• Consolidated Debt US$2.6bn, down 10% Consolidated Debt and Production (US$ bn) Y-o-Y. RG1 Debt US$2.2bn and RG1 Net Debt 66 87 85 103 100 93 US$1.8bn, down 12% and 8% Y-o-Y 68 64 63 40 respectively 52 42 3.2 2.6 2.8 2.6 2.7 2.6 • RG1 Net Debt to EBITDA 2.9x. Will use 1.9 1.8 1.9 2.2 2.3 2.1 excess
Slide 9: 9M-2021 Actual 2022 Pro forma Guidance 1
9M-2021 Actual 2019-2021 (mboepd) 2021-2022 Guidance (mboepd) • 2021 guidance 94-95mboed 155 100% • Production 93 mboepd following extended downtime (Aceh, Vietnam, Tomori) and weak gas 22% demand (East Java, Aceh, Singapore-LNG Competition) • 2020 & 2021 gas demand below pre-COVID-19 levels 103 100
Slide 10: 9M-2021 Actual 2022 Pro forma Guidance 2
9M-2021 Actual Cash Cost/Unit3, US$/boe • Oil & Gas Capex US$31mn. Activities ramping up but 155 will be under full year guidance of US$150mn 103 100 • Power1 US$22mn, progress Riau Project 87 85 93 66 commissioning. Expect to be under full year 56 56 guidance of US$65mn 15.4 12.3 9.1 9.9 9.1 9.3 <1
Slide 11: Climate Change Strategy: Net Zero by 2050
Medco has committed to achieve Scope 1 & 2 Net Zero emissions by 2050, and Net Zero including Scope 3 by 2060. Managing Transition Risks • Hydrocarbons will be a large part of the world’s energy mix for the medium term, especially in Asia 1 2 Emissions Intensity Transition to Reduction Low-carbon En
Slide 12: Emissions intensity reduction
E&P and MPI Scope-1 GHG Emissions(2) (in 1,000 tCO2eq) 13% GHG Scope 1+2 (Intensity) – Global O&G Companies(3) GHG Scope 1+2 – Medco E&P and MPI Reduced E&P Scope 1 intensity (ktCO2e / Mtoe) ktCO2e, tCO2eq/1,000 TOE HC product 2018-9M 2021 248 800 237 218 216 1,692 600 1,364 1,406 1,327 62%/52%/90%
Slide 13: What to Expect in 2022
Covid-19: Maintain and adapt Strict Protocols Complete Corridor acquisition in Q1-22 and fully integrate by Q4-22 Disciplined capital investment and portfolio management Prudent liquidity and liability management. Consistently repay debt quarter-on-quarter post Corridor closing Maintain cost focus w
Slide 14: Closed and Integrated Value Adding Acquisitions Portfolio Rationalization
Closed and Integrated Value Adding Acquisitions Acquisitions have added value through enhanced scale, control and organizational competence. Acquisition targets are screened to ensure: • Improved MedcoEnergi credit status and profitability • Risks are manageable (knowledge of asset, organization cap
Slide 15: Portfolio Footprint
Sinphuhorm Tanzania Yemen Thailand Laos Bualuang Vietnam Cambodia Chim Sao and Dua Malaysia Bengara PM322 Bangkanai Block A South Natuna Sea Block B North Tarakan Sokang Simenggaris Mexico Libya Oman Geothermal Sarulla South Sokang Donggi Senoro West Bangkanai LNG Singapore Riau IPP Corridor & Batam
Slide 16: Oil and gas business statistics
YoY Metrics 9M-20 9M-21 ∆% Net 2P Reserves, MMBOE Net Contingent Resources, MMBOE Production1 1,123 1,122 1,171 Oil, MBOPD 40.6 35.0 (13.7) Gas, MMSCFD 319.3 311.3 (2.5) Lifting/Sales Oil Lifting1, MBOPD 38.9 33.8 (13.2) 1,019 1,007 1,058 Gas Sales, BBTUPD 299.8 288.7 (3.7) 475 Oman Service Contract
Slide 17: Medco Power business statistics
YoY Metrics° 9M-20 9M-21 ∆% Gross Installed Capacity, MW IPP Sold and O&M Capacity IPP O&M IPP Sold, GWh 1,978 2,011 1.7 2,788 2,788 2,838 Renewables, GWh 609 646 6.2 638 638 913 Non Renewables, GWh 1,369 1,365 (0.3) O&M Capacity, MW 2,150 1,650 (23.3) 2,150 2,150 1,925 Average Realized Price* IPP,
Slide 18: Amman Mineral Nusa Tenggara
Amman Mineral Nusa Tenggara YoY Metrics 9M-20 9M-21 ∆% Copper Gross Reserves & Resources (Mlbs) Gold Gross Reserves & Resources (Koz) Production Copper, Mlbs 191.6 163.3 (14.8) Batu Hijau Elang 15,140 Batu Hijau Elang Gold, Kozs 73.3 94.8 29.4 16,650 Sales Copper, Mlbs 172.7 158.9 (8.0) 9,190 Gold,
Slide 19: Financial Statistics
Average Revenue Gross Profit EBITDA Realized Price Oil Incl. Incl. Incl. Price US$64.1 62% MPI US$956 13% MPI US$376 42% MPI US$508 25% /bbl million million million Excl. Excl. Gas Price US$6.3 23% MPI US$857 17% Excl. US$331 52% MPI US$479 28% MPI /MMBTU million million million Cash & Cash Equivale
Slide 20: PT Medco Energi Internasional Tbk
PT Medco Energi Internasional Tbk The Energy Building 53rd Floor SCBD Lot 11A Jl. Jend. Sudirman, Jakarta 12190 Indonesia P. +62-21 2995 3000 F. +62-21 2995 3001 E. investor.relations@medcoenergi.com Website : www.medcoenergi.com
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