Cabo Drilling Corp · OTC:CBEEF

Cabo Drilling — Investor Presentation (February 2009)

17 slides from Cabo Drilling's investor presentation, February 2009

  1. Slide 1: Cabo Drilling Corp. - John A. Versfelt, President & CEO

    John A. Versfelt, President & CEO TSX-V: CBE

  2. Slide 2: Forward Looking Statements

    FORWARD LOOKING STATEMENTS Certain information set forth in this presentation contains forward-looking statements. By their nature, forward-looking statements are subject to numerous risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forwar

  3. Slide 3: Serving the International Mining & Exploration Communities

    SERVING THE INTERNATIONAL MINING & EXPLORATION COMMUNITIES Focused on Delivering the Best Value for all our Clients in: North America, Central America, Europe and Africa 3

  4. Slide 4: Cabo Drilling Corp.

    CABO DRILLING CORP.  Started as a drilling services company in 2004  Have achieved year-over-year revenue growth C$58,645 million (FY2008) REVENUE 111 Drill Rigs C$6,764 million 250 Employees (FY2008) EBITDA C$0.07 EPS (FY2008) 4

  5. Slide 5: Corporate Overview

    CORPORATE OVERVIEW Symbol: CBE - TSX-V DHL - FWB Price (February 20, 2009): $0.14 52 Week High / Low $0.69 - $0.05 Market Cap: $6,687,382 Cabo Drilling Corp. was recognized as a TSX Venture 50™ company in Shares Outstanding: 47,767,013 2008. TSX Venture 50 is a trade-mark of TSX Inc. and is used und

  6. Slide 6: Operating in 7 Countries

    OPERATING IN 7 COUNTRIES CANADA ALBANIA USA SPAIN MEXICO PANAMA LIBERIA Cabo’s Clients: •New Millennium Capital Corp. •Kirkland Lake Gold Inc. •Minera Petaquilla, S.A. •Billiken Management •Paragon Minerals Corp. •Balkan Resources Inc. •Marathon PGM Corporation •Labrador Iron Mines Limited •Bull Riv

  7. Slide 7: Cabo's Drill Fleet

    CABO’S DRILL FLEET Drills: 10 Deep Hole 15 Fly Drill 2 Portable 38 Surface 4 Surface (RC) 34 Underground 8 Geotechnical 530% increase in revenues earned internationally (FY2007 to FY2008) 7

  8. Slide 8: Cabo Drilling - Revenue Growth

    CABO DRILLING – REVENUE GROWTH C$ millions 58.65 38.44 52.56 % 14.39 16.62 15.50 % FY2007 FY2008 3 mos* 3 mos* * Period ended September 30, 2008 2008 2009 8

  9. Slide 9: Increasing EBITDA

    INCREASING EBITDA  Track record of good financial performance  Drilling service companies provide exposure to the mineral and exploration sectors with lower risk  Metal markets drive the mining, exploration and drilling industries EBITDA*  International operations 6.764  Expanding markets C$ mi

  10. Slide 10: Strong Balance Sheet

    STRONG BALANCE SHEET (CDN $000s) 1st Qtr 2009 Ending Sept 30-09 Cash & cash equivalents $ 748 Current assets $ 27,136 Non-current assets $ 15,696 Total assets $ 43,580 Current liabilities (including current portion of long-term debt) $ 20,168 Long-term debt $ 1,710 Future Income Tax $ 887 Equity $ 2

  11. Slide 11: Cash Management Focus

    CASH MANAGEMENT FOCUS  Capital expenditures are controlled  Working capital steadily improving  Debt reduction is a priority  Losses from bad debts are low  Bank and major supplier credit facilities are good WORKING CAPITAL C$ millions 7.280 3.326 3.272 0.525 FY2005 FY2006 FY2007 FY2008 11

  12. Slide 12: Cabo's Mission Statement

    CABO’S MISSION STATEMENT  To be the first choice for mineral exploration, mining & geotechnical customers by offering the best value in the drilling services industry  To be the first choice among employees by offering the most stable, safe and rewarding workplace in the drilling services industry

  13. Slide 13: 2009 - 2010 Objectives

    2009 - 2010 OBJECTIVES  Reduce debt and improve cash flow  Reduce costs, inventory and capital expenditures  Improve profitability in each division  Expand effective capacity per drill  Maintain skilled workers  Enforce high safety standards  Re-enforce first rate employee and customer relati

  14. Slide 14: Growth Within the Drilling Services Market Today

    GROWTH WITHIN THE DRILLING SERVICES MARKET TODAY Cabo Drilling is in a relatively strong position to move forward despite the stressed global financial and economic environment as:  Capital expenditures in fiscal 2007 and 2008 have positioned Cabo well for 2009’s tighter market.  Full range of dri

  15. Slide 15: The Cabo Advantage

    THE CABO ADVANTAGE “Raving Fans”  Raving Fans is an initiative to deliver consistent high-quality services based on customers’ needs  Customer service is always important, but it will become increasingly important as the marketplace changes in 2009 and into the future “Human Resources”  High Empl

  16. Slide 16: Relative Size of Contract Drillers

    CABO DRILLING CORP. Relative Size of Contract Drillers Tier 1 Boart Longyear 1,200 Layne Christensen 700 Major Drilling 547 Tier 2 Ausdrill 160 Orbit Garant 134 Foraco 117 Cabo Drilling Corp. 111 Tier 3 Energold Drilling 72 16

  17. Slide 17: Summary

    SUMMARY  Expanding global market presence  Long-term growth in the drilling services sector through exposure to mid-tier and major mining and exploration companies  Revolutionary approach to customer service  Improved operational efficiencies  Increased capacity per drill 17

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