Seplat Energy Plc · LSE:SEPL
Seplat Energy — FY 2023 Earnings Presentation
23 slides from Seplat Energy's earnings presentation, Feb 29, 2024
Slide 1: Seplat Energy FY 2023 Results Presentation
FEBRUARY 2024 SEPLAT ENERGY FY 2023 RESULTS PRESENTATION reliable energy, limitless potential
Slide 2: Important Notice: Disclaimer
IMPORTANT NOTICE Disclaimer FORWARD-LOOKING STATEMENTS This presentation may include statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements involve known and unknown risks and uncertainties, many of which are beyond the Company's control and all o
Slide 3: 2023 Highlights
2023 HIGHLIGHTS ROGER BROWN reliable energy, limitless potential 3 SEPLAT ENERGY FY 2023 INVESTOR PRESENTATION
Slide 4: Seplat Energy 2023 Highlights
SEPLAT ENERGY 2023 HIGHLIGHTS Strong operational and fiscal performance 2023 HIGHLIGHTS YE 2023 2P RESERVES High Quality Reservoirs, successful wells campaign: 478 MMBOE 9% - 2P Reserves +9% YoY, Organic RRR 292% Improving Production & Operational Performance: Production +8% YoY, 59% Oil 2023 DA
Slide 5: Seplat's Achievements 10 Years on From IPO
SEPLAT’S ACHIEVEMENTS 10YRS ON FROM IPO Seplat has delivered significant value enhancing strategic, operational and financial achievements in 10 years as a listed company OBJECTIVES AT 2014 IPO ACHIEVEMENTS UP TO 2023 • 2023 gross production averaged 106 kboepd Maximise production and • 85 kboepd gr
Slide 6: 2023 Sustainability Dashboard
2023 SUSTAINABILITY DASHBOARD Target: improving performance, higher transparency and sector leading disclosure Valuing our Environment and Caring for our People, Partners and Living by the strictest Governance Climate Communities standards End of Routine Flaring to significantly ESG and social p
Slide 7: 2023 Operational Highlights
2023 OPERATIONAL HIGHLIGHTS SAMSON EZUGWORIE reliable energy, limitless potential 7 SEPLAT ENERGY PLC FY 2023 INVESTOR PRESENTATION
Slide 8: Substantial Reserves & Production
SUBSTANTIAL RESERVES & PRODUCTION Reserves growth driven by positive drilling results › 2P WI Oil Reserves › 2P WI Gas Reserves 2P RESERVES EVOLUTION (mmboe, YE) 600 226 1,463 Gas 509 499 500 480 477 481 478 462 457 MMbbls Bscf Liquids 438 400 209 252 240 195 226 227 219 252 206 300 281 OMLs 4,38 &
Slide 9: Upstream: Operating Performance
UPSTREAM: OPERATING PERFORMANCE 2023 production averaged 47.8 kboepd Historic production 2012 – 2023 (boepd) PRODUCTION HISTORY 60,000 In 2023, working interest production grew 8.3% y/y to 47,758 Liquids Gas 49,867 51,183 boepd, from 44,104 boepd in 2022. 50,000 46,498 47,693 47,758 43,372 24,198
Slide 10: Midstream Gas Business Model
MIDSTREAM GAS BUSINESS MODEL Reliable partner, key supplier of gas in Nigeria’s domestic gas market. Gas production and revenues – diversification and future growth GAS BUSINESS FUNDAMENTALS Gas revenues reached 12% underlying group Revenues in 2023. STRONG 250 Seplat Gas Revenue 145 136 160 All
Slide 11: Capex Programme
CAPEX PROGRAMME 2023 delivery of plan. 2024 drilling programme focused on our Western Asset 2024 capex programme 2023 Capex Delivery Total capex for 2023 of $184m Delivered our revised drilling programme, strong results Drilling & wells on OML 40 $170 - $200 Engineering & facilities 2024 Capex P
Slide 12: 2023 Financial Highlights
2023 FINANCIAL HIGHLIGHTS EMEKA ONWUKA reliable energy, limitless potential 12 SEPLAT ENERGY FY 2023 INVESTOR PRESENTATION
Slide 13: Financial Highlights
FINANCIAL HIGHLIGHTS Year to 31 December 2023 OIL PRICE GAS PRICE ADJ. REVENUES $83.4/bbl $2.90/Mscf $1.06bn(1) 18% (2022, $101.7/bbl) (2022, $2.82/Mscf) 3% (2022, $952m) 12% ADJ. EBITDA PRE-TAX CFFO NET DEBT $448m(2) $520m $306m 10% 16% (2022, $417m) 7% (2022, $575m) (2022, $366m) NET INCOME UNIT O
Slide 14: FY 2023 Financial Results
FY 2023 FINANCIAL RESULTS Robust operations and tax savings offset higher costs $ million FY 2023 FY 2022 Change Notes Realised oil price ($/bbl) $83.39 $101.67 (18.0%) Brent crude price fell in 2023 on the back of weaker oil demand Text Oil revenue 937.9 839.3 11.7% Stronger evacuation in the
Slide 15: Focused on Strong Cash Generation
FOCUSED ON STRONG CASH GENERATION Continuous strong cash generation during the period with $520m cash inflows generated from operations Dividends Q4 22: 2.5c/shr FY22 Special: 5.0c/shr Q1 23: 3.0c/shr Q2 23: 3.0c/shr Q3 23: 3.0c/shr $ million 2023 FCF +$261m Naira Devaluation 15 SEPLAT ENERGY FY 202
Slide 16: Balance Sheet Conservative & Well Managed
BALANCE SHEET CONSERVATIVE & WELL MANAGED At 31st December 2023 GROSS CASH Strengthening Capital Structure $450m(1) Net Debt $306m, down 16% on YE 2022 Net Debt/LTM EBITDA down to 0.7x from 0.9x at 9M23 (YE22, $404m) 11% Current ratio inside target range (1.2x-2.0x) Ratio Seplat Energy Debt Co
Slide 17: Liquidity & Debt Profile Provides Flexibility
LIQUIDITY & DEBT PROFILE PROVIDES FLEXIBILITY Limited near-term debt maturities. Strong liquidity supports strategy Debt facility maturities to 2027 (at 1st Jan 2024) Debt facility details - $756m drawn (at 31st Dec 2023) 800 Drawn Initial Size Amount 700 Ranking Pricing ($m) ($m) Maturity 600 500 C
Slide 18: Rewarding Shareholders
REWARDING SHAREHOLDERS Strong history of returning cash to investors with cumulative dividends of $575m paid till date Material: Historical Cash Dividend Payments (2014 – 2023) Material $120 15c/shr declared for 2023, inclusive of $100 $99 12c/shr core and 3c/shr special $80 $73 $72 $73 $575m cu
Slide 19: Outlook & Growth Potential
OUTLOOK & GROWTH POTENTIAL ROGER BROWN reliable energy, limitless potential 19 SEPLAT ENERGY FY 2023 INVESTOR PRESENTATION
Slide 20: 2024 Growth Opportunities
2024 GROWTH OPPORTUNITIES Significant suite of opportunities to materially enhance portfolio scale and diversification while reducing emissions intensity Sapele Gas Acquisition of MPNU ANOH Gas Abiala Sibiri Plant Increase gas, LPG Potential to more than double Seplat Potential to double Seplat Low-
Slide 21: Guidance & Priorities for 2024
GUIDANCE & PRIORITIES FOR 2024 Maintain production, deliver new projects, complete MPNU transaction Delivering Guidance 2024 KEY GUIDANCE ITEMS Target 13 new wells to deliver production and maintain output 2022 2023 2024 Maintain Fiscal Strength Actual Actual Guidance Continue to strengthen our
Slide 22: Q&A
Q&A reliable energy, limitless potential 22 SEPLAT ENERGY FY 2023 INVESTOR PRESENTATION
Slide 23: Contact Us
CONTACT US Lagos London reliable energy, limitless potential 23 SEPLAT ENERGY FY 2023 INVESTOR PRESENTATION