Beach Energy Limited · ASX:BPT
Beach Energy — H1 FY2014 Earnings Presentation
19 slides from Beach Energy's earnings presentation, Feb 24, 2014
Slide 1: FY14 Half year results
FY14 Half year results For personal use only 24 February 2014
Slide 2: Compliance statements
Compliance statements For personal use only Disclaimer This presentation contains forward looking statements that are subject to risk factors associated with oil, gas, geothermal and related businesses. It is believed that the expectations reflected in these statements are reasonable but they may be
Slide 3: Highlights
For personal use only Highlights Chris Jamieson General Manager Investor Relations 3
Slide 4: HY14 Highlights – Financial
HY14 Highlights Financial For personal use only • Record sales revenue of $557 million, up 63% on the previous corresponding period (PCP) • Record sales volumes of 5.6 MMboe, up 23% on the PCP • Record underlying net profit after tax (NPAT) of $158 million, up 160% on the PCP • Operating cash flow o
Slide 5: HY14 Highlights – Operations
HY14 Highlights For personal use only Operations • Half year production of 5.0 MMboe, up 25% on the PCP • Western Flank oil flowlines at maximum available capacity for the period • Nappamerri Trough Natural Gas (NTNG) Stage 1 exploration and appraisal drilling in PEL 218 completed • Cooper Basin far
Slide 6: Look forward
Look forward For personal use only Second half FY14 expectations • A$ Brent oil price to remain strong • Maintain Western Flank oil flowlines at maximum available capacity • NTNG flow testing of five wells in PEL 218 • Lake Tanganyika farm-out completed FY15 expectations • Oil linked GSA with Origin
Slide 7: Financials
Financials For personal use only Kathryn Presser Chief Financial Officer 7
Slide 8: Financial results overview
Financial results overview For personal use only HY14 HY13 Change Sales volume (MMboe) 5.6 4.6 23% Sales revenue ($ million) 557.2 342.9 63% Operating cash flow ($ million) 274.5 172.2 59% NPAT ($ million) 160.5 43.7 267% Underlying NPAT ($ million) 158.1 60.9 160% Cash balance ($ million) 404.3 347
Slide 9: Sales revenue up 63%
Sales revenue up 63% For personal use only $ million Sales Revenue Comparison 600 $12.6 $557.2 $44.6 $62.7 Commodity Prices 500 FX Rates $94.4 Oil and Gas AUD/USD Liquids 400 Third Party HY 13 $1.04 US$/boe Purchases HY 13 $113 $342.9 HY 14 $0.92 HY 14 $118 300 Volume / Mix Gas and Ethane A$/GJ HY 1
Slide 10: Record underlying NPAT
Record underlying NPAT For personal use only Underlying NPAT Record HY14 underlying NPAT of $158 $158 million, driven by: million • Strong A$ Brent oil price • Record oil sales volumes • Oil development, exploration and appraisal success • Oil flowline transportation at maximum available capacity Of
Slide 11: Comparison of underlying profit
Comparison of underlying profit For personal use only HY14 HY13 $’000 $’000 NPAT 160,478 43,693 Adjusted for: Unrealised hedging losses 4 281 Mark to market of convertible notes derivative 8,845 19,596 Asset sales (13,586) 25 Impairment of assets 40 3,547 Tax impact of above changes 2,312 (6,290) Un
Slide 12: Sources and uses of funds
Sources and uses of funds For personal use only Sources and uses of funds assumptions: • $404 million cash balance (as at 31 December 2013) • Secured $300 million debt facility • Operating cash flow forecast includes minimal exploration success • Chevron Stage 2 funds received • Capex forecast has n
Slide 13: Operations
For personal use only Operations Neil Gibbins Chief Operating Officer 13
Slide 14: Production by area
Production by area For personal use only Change Area HY14 HY13 % Cooper/Eromanga 2.6 1.6 59% Basins Egypt1 0.03 0.06 (46%) Oil (MMbbl) Williston Basin2 - 0.0 N/A Total Oil 2.6 1.7 55% Sales gas and ethane (PJ) Cooper Basin 11.0 10.9 0% LPG (kt) Cooper Basin 25.9 23.3 11% Condensate (MMbbl) Cooper Ba
Slide 15: Operating results
Operating results For personal use only Actual and forecast production • Production for HY14 of 5.0 MMboe, 9.6 MMboe up 25% on the PCP to 9.2 MMboe • Production mix: 47% gas and gas liquids, Gas* 53% oil 8.0 MMboe 2.4 MMboe to 2.1 MMboe 7.5 MMboe • Cooper Basin oil production up 59% due to: (12-14 P
Slide 16: FY14 Revised capital expenditure guidance
FY14 Revised capital expenditure guidance For personal use only Potential reserves Seismic Capex additions Wells ($ million) 2D – km 3D – km2 MMboe DEVELOPMENT Cooper Basin – non-SACB JV 55 – 60 10 – 13 – – – Cooper Basin – SACB/SWQ JV 200 – 220 50 – – – International 10 4 – – – Total Development 26
Slide 17: PEL NTNG update
PEL 218 NTNG update Holdfast-2 For personal use only • Snubbing unit operational, fishing operations successful • Completion tubing currently being installed, with flow testing to follow Boston program • Two fracture stimulation stages completed at Boston-1 • Shallow technical issue with Boston-1 we
Slide 18: Key activities
For personal use only Key activities 18
Slide 19: Contact Information
Contact Information For personal use only Head office 25 Conyngham Street Glenside SA 5065 Tel: +61 8 8338 2833 Fax: +61 8 8338 2336 Website: www.beachenergy.com.au Chris Jamieson General Manager Investor Relations Tel: +61 8 8338 2833 Mob: +61 8 (0)487 173 244 Email: chris.jamieson@beachenergy.com.