Etablissements Maurel & Prom Sa · EURONEXT:MAU
Etablissements Maurel & Prom Sa — Maurel & Prom — Shareholder Meeting (June 2011)
44 slides from Etablissements Maurel & Prom Sa's shareholder meeting presentation, Jun 29, 2011
Slide 1: General meeting 29 June 2011
MAURELY® PROM General meeting 29 June 2011
Slide 2: Strategy
1 STRATEGY 29 June 2011 General meeting 2
Slide 3: Strategic positioning
1 Strategic positioning Independent mid-size player specialised in Africa and Latin America More than 75,000 sqkm 2P reserves net of royalties: 288 Mboe Production in Gabon around 17,000 bopd in working interest Production in Nigeria around 6,000 boepd in working interest An experienced team coming
Slide 4: Attracting risk profile
1 Attracting risk profile Rationalization of the asset portfolio 4 fields in production in Gabon, 2 to come Asset acquisition in Nigeria Strategic alliance in Colombia Sale of the stacke in Venezuela Caroil SA to be merged with Tuscany (Canada) ⇒ Increase of the production Continued increase of rese
Slide 5: Group
2 GROUP 29 June 2011 General meeting 5
Slide 6: Shareholding structure
2 Shareholding structure Rest of the world < 1% 121.3 issued shares UK & Ireland 7% o/w 5.17% of treasury shares North America 18% Pacifico (Mr Hénin’s family) 23.7% Continental Europe 29% (ex France) MACIF (Insurance) 6.9% Institutional Treasury 28.8% shares 5.3% Employees France 45% 0.7% Individua
Slide 7: Stock price
2 Stock price Stock in € OMOC-N-1 OMOC-N-301 Alliance with PRE Volume success success CPO17 success 18 4 000 000 17 16 3 500 000 Entry in Nigeria Mafia Deep 14 3 000 000 12 2 500 000 10 2 000 000 8 OCEANE 2015 1 500 000 6 Reserve increase 1 000 000 4 2 500 000 0 - Volume Cours Closingdestock clôture
Slide 8: A well diversified oil & gas portfolio
2 A well diversified oil & gas portfolio Exploration Exploration Fiume Tellaro 60% 750 km² Lavignolle 25% 215 km² Mios 25% 60 km² Exploration Al Asi – Block XI 75% 8,425 km² Exploration (after PRE deal) Exploration Tangara 24.5% 1,300 km² Exploration Bigwa - Rufiji & Mafia 60% 12,025 km² Muisca 50%
Slide 9: Historical production
2 Historical production In boepd Gabon 35 000 Entitled production Nigeria 29 710 30 000 25 558 25 000 20 561 20 000 19 233 18 832 19 163 17 706 15 704 15 000 13 303 12 365 10 000 7 870 6 975 5 000 2 979 1 370 - 547 - 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 JAN FEV MAR AVR MAI 2011 29/
Slide 10: Certified P1+P2 reserves
2 Certified P1+P2 reserves Reserves P1+P2 net of royalties Gas in Mboe 28% 70 288 Mboe -6 Oil 58 72% 288 218 218 165 165 P2 P1 60% 288 Mboe 40% 01/01/2010 Acquisition Production Révision 01/01/2011 Strong increase up to 288 Mboe The Group's reserves correspond to commercially exploitable volumes of
Slide 11: Reserves details
2 Reserves details P1+P2 reserves net of royalties at 1/1/2011 in Mboe 01/01/2010 acquisition production revision 01/01/2011 P1 P2 % retained ONAL 85% 87.2 -3.3 1.4 85.3 44.5 40.8 OMKO 85% 12.7 -0.3 0.8 13.2 7.5 5.7 OMBG 85% 4.2 -0.1 4.1 0.8 3.3 OMGW 85% 5.1 -0.6 3.9 8.4 4.0 4.4 OMOC-North 85% 27.5
Slide 12: An additional appraisal potential
2 An additional appraisal potential Hydrocarbon resources (M&P share, net of royalties) Type of hydrocarbon 01/01/2011 Type of resource millions of barrels GABON ONAL 85% Oil 25 P3 OMKO 85% Oil 4 P3 OMBG 85% Oil 14 P3 OMGW 85% Oil 4 P3 OMOC-North 85% Oil 19 P3 OMOC 85% Oil 26 P3 COLOMBIA* Sabanero 1
Slide 13: 2010 Results
3 2010 RESULTS 29 June 2011 General meeting 13
Slide 14: 2010 key figures
3 2010 key figures 1 2010 Sales: €346m +80% 2 Operating income before exploration write-offs: €111m +136% 3 Exploration write-offs: €211m + 398% 4 P1+P2 reserves: 288 Mboe +74% +58% in Gabon 29 June 2011 General meeting 14
Slide 15: Economic environment
30 40 50 60 70 80 90 100 Janvier Février 3 29 June 2011 Mars Avril Mai Juin 2009 Juillet in $ Août 61.5 $ 43.8 € Septembre Octobre Novembre Décembre Brent Janvier Février Mars in € Avril Mai Juin 2010 Juillet 79.4 $ Août Septembre Octobre 59.9 € Novembre Economic environment Décembre 1,18 1,23 1,28
Slide 16: Sales
3 Sales 285 Nigeria Oil production 11% before hedge impact 124 110 76 €285m 65 34 8 2008 2009 T1 T2 T3 T4 2010 Gabon 89% Oil services 99 Cameroun 12% 85 84 Gabon aolombie 3% 27% Paris 5% 28 24 24 24 €99m Tanzania 3% 2008 2009 T1 T2 T3 T4 2010 Congo 50% 29 June 2011 General meeting 16
Slide 17: Operating income and write-offs
3 Operating income and write-offs 2010 2009 Write-off details: Sales (in €m) 346 192 Syria : 1well Production 285 124 €12m Oi services 99 84 Congo : 3 wells Hedge -38 -16 €30m Cost of sales -116 -83 Tanzania : 2 wells Gross margin 230 109 €37m 66% 57% Gabon : 1 well Taxes -24 -7 €15m Payroll -27 -20
Slide 18: Net debt and financial income
3 Net debt and financial income Groud debt as of 31/12/2010 : 2010 OCEANE 2014: €298m OCEANE 2015: €70m OCEANE 2014 -25.5 OCEANE 2015 -2.5 Bank line: $50m Bank line -4.1 Banco de Occidente: $2m RBL -0.3 SEPLAT financing -3.3 Reserves Based Loan: $285m Gross debt cost -35.8 SEPLAT debt ($167m): $75m
Slide 19: Net income
3 Net income Group tax: 2010 2009 Payable tax: €29,1m Nigeria : €5,5m Sales (in €m) 346 192 Gabon : €17,8m Income from oil production and services activities 111 47 Caroil : €5,8m Tanzanian provisions -76 - Exploration write-offs -135 -56 Deffered tax: €27,4m Others -9 -10 Operating income -109 -20
Slide 20: Balance sheet
3 Balance sheet In €m Assets Liabilities 1 849 1 849 1 645 1 645 835 Non-current assets 1 358 940 Current assets 1 107 Deposit Cash 343 Net equity Convertible bonds 290 Non-current liabilities 110 456 Current liabilities 270 428 58 381 125 191 95 2010 2009 2009 2010 29 June 2011 General meeting 20
Slide 21: Cash flow
3 Cash flow In €m 183 €220m 77 428 70 332 125 225 95 300 137 140 Opening cash Convertible bond Operating cash flow Capex Nigeria acquisition Financing Others Closing cash Deposit reimbursment Rimbursed on 31st March 2011 29 June 2011 General meeting 21
Slide 22: Gabon
4 GABON 29 June 2011 General meeting 22
Slide 23: Gabon: a methodical strategy
4 Gabon : a methodical strategy 2010 2009 Discovery of OMOC-North field in Gabon GABON 2008 Production Production start- start-up of up of Omgw and Onal and Ombg in Gabon Omko in Ramp up of the Discovery of Gabon production: 19,000 Omko and Discovery of a bopd at year end Ombg fields in Gabon new re
Slide 24: Gabon: a rapid development
4 Gabon : a rapid development 2010: OMGW OMGW development OMKO injection water start-up OMOC appraisal OMOC-N discovery OMKO Seismic acquisition 2011: OMBG OMGW injection water start-up ONAL OMOC and OMOC-N appraisal Production Seismic acquisition Centre 2012: OMOC and OMOC-N development Infill well
Slide 25: Production objectives
4 Production objectives 40 000 35 000 Gross production (100%) 30 000 OMOC and OMOC-N ? 25 000 Additional production wells OMBG (bopd) 20 000 OMGW OMKO 15 000 10 000 ONAL 5 000 BANIO 0 janv.-09 mars-09 juil.-09 sept.-09 janv.-10 mars-10 juil.-10 sept.-10 janv.-11 mars-11 juil.-11 sept.-11 janv.-12 ma
Slide 26: Exploration upside
4 Exploration upside Omoueyi : 4 179 km² OMAL OMSN-W ONAL-W fields 2011 prospects > 2011 prospects and leads 29 June 2011 General meeting 26
Slide 27: Etekamba: interest area
4 Etekamba: interest area NW SE Cuvette Madiela clastics Madiela Limestones Madiela Dolomites Profondeur Ezanga Sel Etekamba Dépôts sub-salifères ETBIB-1 Possible anneau d’huile sous la colonne de gas prouvée par le puits voisin MNY- NE-1. 29 June 2011 General meeting 27
Slide 28: Nigeria
5 NIGERIA 29 June 2011 General meeting 28
Slide 29: Nigeria: deal structure
5 Nigeria: deal structure M&P Shebah Platform Nigeria 45% 33% 22% SEPLAT NNPC 45% 55% OML 4, 38 and 41 Benin city Onitsha OML 4 3D seismic > 90% OML 38 74 production wells OML 41 23 exploration wells (success rate > 50%) 9 appraisal wells Warri Forcados 29 June 2011 General meeting 29
Slide 30: Work program
5 Work program Targeted field development strategy: 2 fields developed per year – from 2012 ⇒ Increase production: ⇒ Conversion of C1+C2 to P1+P2 • Existing history • 3 appraisal wells (Orogho – • 2 more production wells on Ovhor field Okporhuru – Okoporo) • 5 workovers on Sapele field • Rig less in
Slide 31: Production profile
5 Production profile 140 000 C2 Cond bpd C2 bopd 120 000 C1 cond bpd C1 bopd 100 000 P2 Cond bpd P2 bopd P1 Cond bpd 80 000 PUD bopd b/j PDP bopd 60 000 Source: Gaffney & Cline Production at 100%, unrisked w/o exploration upside 40 000 Average in May 2011 33,114 boepd Year 1 average 20 000 23,713 bo
Slide 32: Allocation of the production
5 Allocation of the production Share of the production non yet allocated to Seplat by SPDC: Gross production (100%) - Transition metering before LACT installation end June 2011 OML 4, 38 and 41 - Checking in progress of the production coming from third parts and 33,114 boepd going through the Seplat
Slide 33: Surface facilities
5 Surface facilities SAPELE OBEN 29 June 2011 General meeting 33
Slide 34: Upsides coming from appraisal and exploration
Upsides coming fdrom appraisal and 5 exploration Oben PLATFORM Sapele Amukpe operator Ovhor Oil Oil + gas Producing fields (P1+P2) Unappraised fields, audited by Gaffney & Cline (C1+C2) Unappraised fields, not audited by Gaffney & Cline Prospects and leads 29 June 2011 General meeting 34
Slide 35: Colombia
6 COLOMBIA 29 June 2011 General meeting 35
Slide 36: Colombia: exploration area of 10,000 sqkm
6 Colombia: exploration area of 10 000 sqkm 2010 SSJN-9 M&P 50% 2009 SWAP with Hocol Hocol 50% COR-15 TEA awarded 2008 Hocol Sabanero Colombia sale discovery COR-15 (US$742m + 2011: CPO-17 M&P 100% US$65m + discovery (in Ocelote development US$50m earn- situ) Tangara (>14,000 bopd) Muisca M&P 24.5%
Slide 37: Sabanero discovery
6 Sabanero discovery 3D seismic Sabanero SABANERO-Strat1 SABANERO-1 SABANERO-Strat4 SABANERO-1H SABANERO-Strat6 SABANERO-SE1 SABANERO-Strat3 Wells drilled in 2010 SABANERO-SE2 Wells to be drilled in 2011 SABANERO-Strat5 29 June 2011 General meeting 37
Slide 38: CPO-17 discovery
6 CPO-17 discovery Merlín CPO17 EST5 CPO17 EST2 CPO17 EST9 CPO-17 CPO17 EST6 CPO17 EST1 Positive stratigraphic wells Stratigraphic wells : - drilled with lighter mining-type equipment; - lower cost drilling equipments; Stratigraphic wells to be - verification of seismic surveys; drilled in second ha
Slide 39: Strategic alliance with Pacific Rubiales Energy
Strategic alliance with 6 Pacific Rubiales Energy Acquisition of 49,99% of M&P Colombia 1- No more financial risk linked to exploration SSJN-9 • Full carry on exploration activities for: M&P 50% Hocol 50% - Sabanero - SSJN-9, CPO-17 and Muisca up to US$120m - COR-15 • Reimbursment of past costs (US$
Slide 40: Tanzania
7 TANZANIA 29 June 2011 General meeting 40
Slide 41: Tanzania: Gas upside
7 TANZANIA: Gas upside Gas discovery Gasoption M&P field in production Oil shows Bigwa-Rufiji-Mafia Découvertes de gaz Tanzania: • Resources on Mafia audited by Mnazi Bay Schlumberger: up to 4 Tcf Rovuma 29 June 2011 General meeting 41
Slide 42: Caroil: Oil services
8 CAROIL: OIL SERVICES 29 June 2011 General meeting 42
Slide 43: Agreement with Tuscany
8 Agreement with Tuscany 2010 Averaged utilization rate: 88% Averaged day rate: 36,500 $/day/rig 2011 Caroil SA to be merged with Tuscany • US$120m in cash • 82,5 million Tuscany shares • 27,5 millions warrants (1 for 1) Emergence of an major actor in oil services focused on Latam and Africa • 41 ri
Slide 44: 29 June 2011 General meeting
29 June 2011 General meeting 44