BP plc · LSE:BP.

BP — Corporate Update (September 2009)

23 slides from BP's corporate update, September 2009

  1. Slide 1: Azerbaijan Strategic Performance Unit

    Azerbaijan Strategic Performance Unit September 2009 Baku

  2. Slide 2: Azerbaijan country context

    Azerbaijan country context • Area: 86,600 km2 Moldova Kazakhstan Ukraine • Population: 8.7 million (end 2008) Romania Russia Uzbekistan Strengths: Bulgaria Black Sea • Promising future for the oil and gas sector Greece Caspian Sea • Strong adherence to PSAs GEORGIATbilisi • State Oil Fund accumulati

  3. Slide 3: BP Azerbaijan Interests

    BP Azerbaijan Interests Russia 1998 - 2024 ACG Gross production mbd Kazakhstan mbd 1,200 1,200 COP COP Black Sea DWG 800 DWG 800 400 400 Azeri Azeri Chirag Chirag 0 0 1998 1998 2001 2001 2004 2004 2007 2007 2010 2010 2013 2013 2016 2016 2019 2019 2022 2022 Georgia WREP Tbilisi Pipeline Oil Caspian S

  4. Slide 4: BP Operated Interests in Azerbaijan

    BP Operated Interests in Azerbaijan ACG Shah Deniz Alov Itochu Hess Devon Energy 3.9% 2.7% BP StatoilHydro BP 5.6% 15% 25.5% 25.5% TPAO BP 6.7% 34.1% SOCAR 40% ExxonMobil StatoilHydro 8.0% 15% TPAO StatoilHydro SOCAR 9.0% 8.6% 10.0% Chevron NICO ExxonMobil SOCAR LUKOil EnCana 10.0% Inpex 10.3% 10.0%

  5. Slide 5: Project Schedule

    Project Schedule 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 ACG PSA First Oil Early Oil Project First Oil C&WP Start-up Central Azeri & C&WP First Oil WA First Oil EA West & East Azeri First Oil ACG Phase 3 Ceyhan Lifting BTC Shah Deniz PSA First G

  6. Slide 6: ACG

    ACG • Potential ultimate recovery > 5bn bbl gross 1998 - 2024 ACG Gross production mbd mbd mbd • Peak production ~1 mmbd 1,200 1,200 1,200 gross • Total capital cost >$20bn COP COP COP gross 800 800 DWG DWG 800 • Latest 2009 production forecast 819 mbd • Project start-up dates: – EOP 400 400 Azeri 4

  7. Slide 7: Shah Deniz

    Shah Deniz • Recoverable volumes (total) Shah Deniz Stage 1 Gas Sales bcma 9 ~180 bcm of gas 8 BOTAS 7 ~600 mmbbls of condensate 6 Stage 1 • Stage 1 plateau gas production 5 Decline Sales 4 BTC SPA 8.6 bcma 3 2 • Total capital cost Georgia SPA 1 Georgia SPASPA Azerbaijan 0 Azerbaijan SPA >$4bn 2005

  8. Slide 8: BTC and SCP

    BTC and SCP Baku-Tbilisi-Ceyhan Pipeline (BTC) South Caucasus Pipeline (SCP) Full capacity (March, 2009) 1.2 mmbd Full capacity 20 bcma Length 1768 km Length 690 km BLACK SEA Diameter 46/42/34” Diameter 42” Gross Capex $3.9bn GEORGIA Gross Capex CASPIAN SEA$1.1bn First tanker departed June 2006 BLAC

  9. Slide 9: Sangachal Terminal - history

    Sangachal Terminal - history Sangachal Sangachal Sangachal Sangachal Terminal Terminal Sangachal Terminal Terminal Terminal 2005 2003 2007 2001 2004 Sangachal Terminal 1992 Sangachal Terminal 2002 2000

  10. Slide 10: Sangachal Terminal – present

    Sangachal Terminal – present • One of the largest terminals in the world • Area 542 hectares • Processing capacity • oil 1.2 million bpd • gas 1.25 bcf/day • Storage capacity 3 million barrels • Hosts the largest energy museum in the region – Caspian Energy Centre

  11. Slide 11: ST - a strategic hub for the Caspian

    ST - a strategic hub for the Caspian

  12. Slide 12: BP Azerbaijan Overview

    BP Azerbaijan Overview Baseline: Present: The Future 2004 NREP, WREP BTC, 2009 SCP, WREP, Rail Sangachal BTC, SCP WREP, Rail Sangachal Sangachal Chira Wes Central ACG t East Chira Wes Central g Azeri/ t Phase 3 Azer Azer COP g East i CWP i SD ACG Azer Azeri/CWP Azer Chirag Shah Deniz Stage Phase i i

  13. Slide 13: ACG

    ACG Chirag Sangachal Terminal Central Azeri & C&WP DWG, DWG DUQ and PCWU DUQ sail &PCWU away and installation

  14. Slide 14: Shah Deniz

    Shah Deniz TPG500 SCP Progress on SDX-05 Sangachal Terminal – First Gas

  15. Slide 15: BTC

    BTC RoW Reinstatement Georgia Pump Station The British Hawthorn tanker with first BTC The official inauguration of BTC cargo departing Ceyhan on 04 June 2006

  16. Slide 16: BP – a responsible operator

    BP – a responsible operator Optional slide • Security and human rights • Environmental responsibility • Professional development of local staff • Our role in society • Revenue impact and management • External stakeholder engagement

  17. Slide 17: Security & human rights

    Security & human rights Optional slide • Working with communities • Interacting with public security • Grievance resolution • External monitoring

  18. Slide 18: Environmental responsibility

    Environmental responsibility Optional slide After During Construction

  19. Slide 19: Professional development of local staff

    Professional development of local staff Optional slide 83% of BP’s • Caspian Technical Training Centre (CTTC) professionals in the Caspian are nationals • Educational assistance • Special entrance and development program Azerbaijan Strategic Performance Unit has • Career planning been led by nationa

  20. Slide 20: Our role in society

    Our role in society Optional slide • Community Investment Programme • Environmental Investment Programme • Educational initiatives • Revenue transparency • Local content • Regional Development Initiative

  21. Slide 21: Revenue impact and management

    Revenue impact and management Optional slide Capacity building Procurement and Supply Chain Management • In 2008 local, operations-only, single-year spend in Azerbaijan was over $1 billion  Macro-econometric model • Focus on localizing specific sectors through PSCM and capacity building to • Format

  22. Slide 22: External stakeholder engagement

    External stakeholder engagement Optional slide • Governments • NGOs • Communities • Media • Other interested parties

  23. Slide 23: Azerbaijan Strategic Performance Unit

    Azerbaijan Strategic Performance Unit

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