Jadestone Energy Plc · LSE:JSE
Jadestone Energy — H1 2022 Earnings Presentation
28 slides from Jadestone Energy's earnings presentation, Sep 20, 2022
Slide 1: H1 2022 results review
H1 2022 results review 20 September 2022
Slide 2: Disclaimer & advisories
Disclaimer & advisories You must read the following before continuing. The following applies to this document, the presentation of the information in this The content of the Presentation has not been approved by an authorised person within the meaning of the Financial Services and document any quest
Slide 3: Operational and financial highlights
Operational and financial highlights Record financial ⚫ Record half-year revenues, adjusted EBITDAX and profit after tax driven by higher production and realisations results ⚫ Cash as of 30 June 2022 of US$161.6 million, up 37% on end-2021, no debt on balance sheet ⚫ Montara Venture FPSO hull and ta
Slide 4: H1 2022 – record interim results
H1 2022 – record interim results Production Revenue Operating cashflow pre w/c Net (debt)/cash boe/d US$ million US$ million US$ million 16,000 250 140 180 15,008 126 162 226 225 +37% 120 150 14,000 13,188 +51% +63% +133% 200 96 118 100 120 12,116 172 12,000 175 80 90 82 150 9,934 138 10,000 60 57 6
Slide 5: Realised oil prices and premiums
Realised oil prices and premiums Strong Dated Brent pricing and premiums in H1 2022 Tapis and Stag premiums2,3 have strengthened significantly US$/bbl Tapis - US$/bbl Stag- US$/bbl 120 12 25 7.0 23.7 22.5 100 10 20 9.78 80 3.4 1.6 8 5.0 13.9 12.7 7.84 15 60 6 10.2 102.5 5.98 4.2 8.3 10 40 69.6 70.9
Slide 6: Financial Results – H1 2022 cash bridge
Financial Results – H1 2022 cash bridge Reconciliation from cash on 1 January 2022 to 30 June 2022 US$ million 350 Cash balance Operating cash flows 300 Other cash flows 250 200 150 100 50 0 Cash Revenue Opex Other Staff costs G&A and Capex Leases Tax Dividend Working Cash Value of Cash at 30 1 Jan
Slide 7: Shareholder returns update
Shareholder returns update Total shareholder return since admission to AIM Shareholder returns profile (June 2022-June 2023) US$ million Company A 100 20% 350% Dividends + buyback Company B 177% 90 18% Jadestone 109% 80 16% Cash returned to shareholders Brent 44% 70 14% Company C 5% 2022 cash yield
Slide 8: Montara field update
Montara field update 2022 timeline Montara Venture FPSO ⚫ Release of oil to sea from 2C crude oil tank ⚫ Production shut-in June ⚫ Oil dispersed within 48 hours ⚫ Temporary repair to hull/2C tank ⚫ Production restart July ⚫ Cofferdam engineering and testing onshore ⚫ Defect between 4S ballast and 5C
Slide 9: Montara Venture FPSO – current workstreams
Montara Venture FPSO – current workstreams Internal Investigation Organisational & Outcomes Actions Independent procedural review review Hull inspection and repair programme Assurance workstream Independent Operational Internal review Production restart review readiness Hull risk-based inspection as
Slide 10: 2C crude oil tank – cofferdam installed
2C crude oil tank – cofferdam installed Cofferdam illustration Cofferdam installation September 2022 Source: Hydrex Underwater Technology ⚫ 2C crude oil tank leak was quickly plugged at time of original incident in June 2022 ⚫ Permanent repair involves the design, manufacture and installation of a c
Slide 11: Montara Venture FPSO – 5C tank inspection and steel renewal
Montara Venture FPSO – 5C tank inspection and steel renewal 5C crude oil tank inspection 5C tank steel renewal - before 5C tank steel renewal - after Maintenance philosophy – no shortcuts, aim for life-of-field repair 11 | H1 2022 results review 20 September 2022
Slide 12: Montara investment since acquisition
Montara investment since acquisition Cumulative Montara investment since acquisition Montara investment highlights US$ million US$ million 60 300 ⚫ US$10 million fabric maintenance Refurbishment US$84 ⚫ US$14 million tank inspection & repairs 50 250 and repairs million ⚫ US$6 million topsides & subs
Slide 13: Montara – cash generation and value creation since acquisition
Montara – cash generation and value creation since acquisition Montara value and cash generation – at acquisition and today US$ million 700 600 500 Consensus Montara analyst valuation 400 300 Montara NPV10 at time of 200 acquisition Montara free cash flow since acquisition 100 Montara acquisition co
Slide 14: Peninsular Malaysia update
Peninsular Malaysia update Peninsular Malaysia operated assets Peninsular Malaysia non-operated assets ⚫ Year-to-date production of c.4,900 boe/d from PM323 and PM329 ⚫ Shut–in since February due to hull integrity issues on above expectations the Bunga Kertas FPSO, which resulted in a class - Well r
Slide 15: North West Shelf Oil – establishing a strategic presence in a material asset
North West Shelf Oil – establishing a strategic presence in a material asset STOIIP estimates (mmstb)1 Cum. Oil Production (mmstb)2 186 97 270 415 136 291 Cossack Lambert-Hermes Wanaea Gross production bbls/d +30% 15,000 +10% 12,500 10,000 Active oil 7,500 producer Source: Wood Mackenzie 5,000 1 Jad
Slide 16: Akatara update – good progress at site since FID
Akatara update – good progress at site since FID Akatara gas development – central processing facility – site preparation on peatland 1. “Corduroy” installation 2. Lay Geotextile and Geogrid 3. Soil fill 16 | H1 2022 results review 20 September 2022
Slide 17: Akatara update
Akatara update Well pad A – 4 wells Well pad B – 4 wells Well pad C – 2 wells Well pad D -1 well ⚫ As part of the Akatara gas development plan, a well operation program is currently planned for H2 2023 consisting of: - Intervention work on four wells for reactivation, integrity restoration and flow
Slide 18: Portfolio update
Portfolio update Stag Vietnam gas Maari ⚫ Valaris-107 rig on contract in August ⚫ Early-stage negotiations in recent months with ⚫ Legislative changes to New Zealand’s upstream the end-user of gas from Nam Du and U Minh regulatory framework implemented at the end ⚫ Initial activity focused on abando
Slide 19: 2022 guidance
2022 guidance 2022 guidance Comments ⚫ Pending finalisation on work programme at Montara prior to Group production 11,000—13,000 boe/d restart ⚫ Increased opex/bbl guidance is solely a reflection of the Opex US$31.00—37.00/boe recently reduced production guidance above ⚫ Stag infill drilling Capex U
Slide 20: Q&A
Q&A H1 2022 results review, 20 September 2022
Slide 21: Appendix
Appendix Jadestone @ Energy
Slide 22: Montara tank inspection by drone
Montara tank inspection by drone - provides detailed condition record 22 | H1 2022 results review 20 September 2022
Slide 23: Montara FPSO deckplate corrosion – before and after
Montara FPSO deckplate corrosion – before and after 23 | H1 2022 results review 20 September 2022
Slide 24: Montara FPSO pump room roof remediation – before and after
Montara FPSO pump room roof remediation – before and after 24 | H1 2022 results review 20 September 2022
Slide 25: Montara FPSO – remediation of corrosion to structural frames
Montara FPSO – remediation of corrosion to structural frames 25 | H1 2022 results review 20 September 2022
Slide 26: Montara FPSO – remediation of helideck stairway
Montara FPSO – remediation of helideck stairway 26 | H1 2022 results review 20 September 2022
Slide 27: Montara FPSO – remediation of hose hangoff platform
Montara FPSO – remediation of hose hangoff platform 27 | H1 2022 results review 20 September 2022
Slide 28: Montara FPSO – remediation of corrosion in high-pressure systems
Montara FPSO – remediation of corrosion in high-pressure systems 28 | H1 2022 results review 20 September 2022