Southern Cross Electrical Engineering Limited · ASX:SXE
Southern Cross Electrical Engineering — 2010 Euroz Karratha Presentation
26 slides from Southern Cross Electrical Engineering's conference presentation, Oct 19, 2010
Slide 1: 2010 Euroz Karratha Presentation
For personal use only 2010 Euroz Karratha Presentation
Slide 2: Presentation Overview
Presentation Overview For personal use only • FY10 financial highlights • Strategy / Opportunity • Four pillars • Safety and people • Summary 1
Slide 3: Financial Overview
Financial Overview For personal use only Jun 10 Jun 09 % change Sales revenue $m 93.4 100.3 -6.9% EBITDA $m 18.3 26.9 -32.0% Underlying NPAT $m 11.7 15.5 -24.5% Statutory NPAT $m 8.7 15.5 -43.9% NPAT margin % 12.5 15.4 -19.4% • Australian revenue increased, international revenue decreased, overall g
Slide 4: Strategy / Opportunity
Strategy / Opportunity For personal use only 3
Slide 5: Major Minerals and Energy Projects (2010 – 2015)
Major Minerals and Energy Projects (2010 – 2015) For personal use only Energy projects Energy projects $52.9bn $6.2bn Iron ore projects Coal projects $14.5bn $2.6bn Port projects $3.3bn Port projects $8.6bn E & I spend ranges between 3% and 5% TIC which represents a market opportunity for SCEE of be
Slide 6: Forecast WA Project Timeline
Forecast WA Project Timeline For personal use only Estimated Expected Expected Engineering Project Description Commenc- Completion 2010 2011 2012 2013 2014 2015 Construction ement Date ($m) Port Projects Port at Cape Preston (iron ore) 400.0 Underway Late 2010 Gorgon shipping facilities (2 loading f
Slide 7: Forecast Queensland Project Timeline
Forecast Queensland Project Timeline For personal use only Estimated Expected Expected Engineering Project Description Commenc- Completion 2010 2011 2012 2013 2014 2015 Construction ement Date ($m) Port Projects Port of Brisbane: new wharves & ground improvement at Berths 11 and 12 300.0 Underway Ea
Slide 8: Forecast SCEE Tracked Peruvian Project Timeline
Forecast SCEE Tracked Peruvian Project Timeline For personal use only Esimated Expected Expected Project Description - Peru Projects Engineering Commenc- Completion 2010 2011 2012 2013 2014 2015 Construction ($m) ement Date Antapaccay 1,470.0 Late 2010 Late 2012 Minas Conga 1,500.0 Current Mid 2012
Slide 9: Key Points
Key Points For personal use only • SCEE focus is Peru and parts of Africa (Ghana and Tanzania) • Most projects are being designed and managed by EPCM’s in Chile. • SCEE has operated successfully from Lima, Peru for the past 15 years. 8 August 2010
Slide 10: Summary forecast of E&I Construction Spend 2010 - 2015
Summary forecast of E&I Construction Spend 2010 - 2015 For personal use only Range. ($ BN) • Australia – WA 2.28 3.80 • Australia – East Coast 0.37 0.61 • International 0.34 0.51 Total 3.00 4.92 9 August 2010
Slide 11: The Project Construction Cycle
The Project Construction Cycle For personal use only Source: Euroz 10
Slide 12: SCEE – an E&I Market Leader
SCEE – an E&I Market Leader For personal use only Core values, Our Customers Our Performance • Proven track record with blue-chip customers over 32 years • Proven ability to set-up and perform in remote locations key strengths Our People Our Experience • A deeply experienced team across all levels o
Slide 13: Four Pillars
Four Pillars For personal use only Australian Minerals and Processing Oil & Gas - Australia International Minerals and Processing Infrastructure - Australia 12
Slide 14: Four Pillars
Four Pillars For personal use only Australian International Minerals & Oil & Gas Infrastructure Mining Metals Iron ore, Gold/copper in LNG, CSG, Domgas, Transmission, power gold/copper, nickel, South America & offshore generation, water etc parts of Africa LNG downstream Overhead power lines Process
Slide 15: Australia Minerals Processing Revenue Contribution
Australia Minerals Processing Revenue Contribution • Major projects included Brockman 4, For personal use only Mesa A and Tiwest • National 2009 NECA Excellence in Mining Australia Safety Award for Cape Lambert port Other upgrade & National 2009 NECA Excellence in Industry Award for Cape Lambert por
Slide 16: Oil & Gas Revenue Contribution
Oil & Gas Revenue Contribution For personal use only • Re-entry into the oil & gas space with award of Pluto off-take and storage E & I contract Oil & Gas Other • Finalising negotiations for Gorgon underground cabling – contract runs 2010 – 2012 with estimated value in the range of $60 - $80m • Safe
Slide 17: Major Upcoming Oil & Gas Projects
Major Upcoming Oil & Gas Projects For personal use only • Major upcoming oil & gas projects include: – Gorgon on-shore (Trains 1/2 & 3) – Wheatstone – Macedon * – Browse * – Gorgon 4/5 * – Pluto 2/3 * – Scarborough * – Ichthys * – CSG east coast * – PNG LNG * Not included in our previous project for
Slide 18: Infrastructure Revenue Contribution
Infrastructure Revenue Contribution For personal use only • Major projects completed in FY10 include Brockman 4 and Sino Iron Infrastructure • Acquisition of K.J. Johnson & Co Other increases power line capacity • Leveraging Oceanic’s presence to tender for east coast power line contracts • Large gr
Slide 19: International Minerals Processing Revenue Contribution
International Minerals Processing Revenue Contribution For personal use only • 2010 was substantially lower due to a lack of international projects Mining International • A key area of management focus Other • Contributed approx $30m in 2009 • Pipeline in South America and Africa has improved with a
Slide 20: Safety and People
19 For personal use only Safety and People
Slide 21: Safety Performance
Safety Performance For personal use only SCEE TRCFR FY04 - FY10 50 TRCFR/million manhours 40 30 20 10 0 FY04 FY05 FY06 FY07 FY08 FY09 FY10 Average Frequency and Incidence Rates 2006-07 to 2008-09 (preliminary) Incidence Rate • 0 LTI’s recorded for last 6 years Frequency Rate Average • 2007 national
Slide 22: National Electrical and Communication Association Awards
National Electrical and Communication Association Awards For personal use only (2010) State OH&S Excellence Category – Pluto (2009) National OH&S Excellence Category – Cape Lambert Port Upgrade (2009) National Industrial Category – Cape Lambert Port Upgrade (2007) National OH&S Excellence Category –
Slide 23: Our Team
Our Team For personal use only Permanent employees 90 Permanent staff retention 90% Total employees 412 Apprentices 25 Indigenous trainees 11 Training and development • Dedicated Training Supervisor and training management systems • Continued investment in hazardous area training • Leadership and me
Slide 24: Indigenous Training and Employment Strategy
Indigenous Training and Employment Strategy For personal use only • November 2009 - Strategy to facilitate sustainable Indigenous employment opportunities within SCEE • 2010 Implemented traineeships – 12 employed • 6 traineeships completed by end of November 2010 • Incorporated into Traineeships are
Slide 25: Summary & Outlook
24 For personal use only Summary & Outlook
Slide 26: Summary & Outlook
Summary & Outlook For personal use only • Post GFC, key clients have re-commenced their project investment plans • Successful re-entry into oil & gas market through Hindles, Oceanic, Pluto and now Gorgon; very strong pipeline of work both west and east coast Australia • Strong pipeline of work for M
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