Nostrum Oil & Gas Plc · LSE:NOG
Nostrum Oil & Gas — Q1 2016 Earnings Presentation
15 slides from Nostrum Oil & Gas's earnings presentation, 2016
Slide 1: Q1 2016 Results Presentation
Simple Sustainable Successful Q1 2016 Results Presentation
Slide 2: Q1 2016 Financial Results
Q1 2016 Financial Results Financial and operational stability in a volatile and uncertain oil price environment 1 • Stable production volumes — 3.5mmboe / 38,754 boepd (FY 2015: 14.7mmboe / 40,391 boepd) 2 • Continued reduction in cost base¹ — 20% reduction in combined Opex², G&A and transportation
Slide 3: Snapshot of key figures from Q1 2016
Snapshot of key figures from Q1 2016 Production Opex / boe2 50,000 4.6 4.5 40,391 38,754 4.4 40,000 Opex / boe 4.2 30,000 4.0 boepd 3.8 20,000 3.6 3.5 3.4 10,000 3.2 - 3.0 FY 2015 Q1 2016 FY 2015 Q1 2016 Net Operating Cash flows1 Gross debt / net debt 7.0x Gross Debt / LTM EBITDA 180.0 153.3 160.0 N
Slide 4: Capital discipline
Capital discipline Balance sheet Hedging programme • US$137.1m cash and cash equivalents¹ on balance sheet at • 15,000 bopd hedge entered into on 14 December 2015 year end • Strike price of US$49.16 • US$400.0m 6.375% Notes maturing in 2019 with no • Settles quarterly for eight quarters (final settl
Slide 5: Resilience under low oil prices
Resilience under low oil prices – Fully funded to complete GTU III and maintain existing production in 2016 and 2017 under any oil price Drilling capex required to maintain existing production Discretionary drilling capex in order to increase production US$40m US$216m US$356m US$132m US$76m US$56m U
Slide 6: A clear path to over 100k boepd
A clear path to over 100k boepd – GTU III delivers material near term production growth Able to deliver Ryder Scott production profile Fully funded at any oil price with oil price of US$44 / bbl • Fully funded to complete the construction of GTU III during 110,000 2017 under any oil price scenario 9
Slide 7: Q1 2016 Financial Results
Q1 2016 Financial Results 2 engstrum
Slide 8: Financial Overview – Q1 2016
Financial Overview – Q1 2016 US$m Q1 2015 Q1 2016 Change Revenue 100.3 73.9 (26.3%) 1 EBITDA 49.6 51.7 4.4% Profit before tax 8.8 (7.9) (189.8%) Current income tax expense (7.1) (1.6) (78.2%) Deferred income tax expense (2.9) (2.8) (3.5%) Net income (1.3) (12.4) N/M Earnings per share (US$c) 2 (1.0)
Slide 9: Progress – Snapshot
Progress – Snapshot Opex / boe1 Transport costs / boe 4.5 6.5 US$6.3 / boe 4.6 4.4 Transport cost / boe 6.0 Opex / boe 4.2 4.0 5.5 3.8 3.5 5.0 3.6 US$4.6 / boe 3.4 4.5 3.2 3.0 4.0 FY 2015 Q1 2016 FY 2015 Q1 2016 EBITDA margin Tax / boe2 US$3.9 / boe 80% 70% 4.0 EBITDA margin 60% 51% Tax / boe 40% US
Slide 10: Balance Sheet Summary
Balance Sheet Summary Highlights Gross debt / net debt 7.0x Gross Debt / LTM EBITDA • +70% EBITDA¹ margin Net Debt / LTM EBITDA • US$137.1m cash & equivalents² 5.0x 4.1x 4.1x Leverage ratio 3.4x 3.5x • 15,000 bopd production hedged at US$49.16 / bbl for 24 3.0x months (value of c.US$200m @ US$30.0 /
Slide 11: Supporting materials
Supporting materials p engstrum
Slide 12: Consolidated Statement of Financial Position
Consolidated Statement of Financial Position 12
Slide 13: Consolidated Statement of Comprehensive Income
Consolidated Statement of Comprehensive Income 13
Slide 14: Consolidated Statement of Cash Flows
Consolidated Statement of Cash Flows 14
Slide 15: Disclaimer
Disclaimer THIS PRESENTATION IS NOT AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL SECURITIES. IT IS SOLELY FOR USE AT AN INVESTOR PRESENTATION AND IS PROVIDED AS INFORMATION ONLY. THIS PRESENTATION DOES NOT CONTAIN ALL OF THE INFORMATION THAT IS MATERIAL TO AN INVESTOR. BY ATTENDING THE PRESEN