Norsk Hydro Asa · OSL:NHY
Norsk Hydro Asa — Investor Day (2005)
30 slides from Norsk Hydro Asa's investor day presentation, 2005
Slide 1: A viable society. A need. An idea.
A viable society. A need. An idea. 36,000 professionals. Energy. Cooperation. Aluminium. Determination. Pushing boundaries. Respect. Nature. Courage. 100 years. Thinking ahead.
Slide 2: Capturing the value potential in New Energy
Capturing the value potential in New Energy Alexandra Bech Gjørv Head of New Energy, Oil & Energy
Slide 3: Strong drivers for new energy solutions
Strong drivers for new energy solutions Energy demand will increase by 60% to 2030 Mtoe 20 000 15 000 10 000 5 000 0 2002 2030
Slide 4: Strong drivers for new energy solutions
Strong drivers for new energy solutions Oil and gas reserve replacement challenging
Slide 5: Strong drivers for new energy solutions
Strong drivers for new energy solutions Security of supply mbbl/d 140 120 100 80 60 40 20 0 2002 2030 Outside OPEC OPEC Unconventional oil
Slide 6: Strong drivers for new energy solutions
Strong drivers for new energy solutions Increased awareness of climate change Source: Prof. Socolow, Princeton Uni. US
Slide 7: Strong drivers for new energy solutions
Strong drivers for new energy solutions New energy companies attract investment capital
Slide 8: Strong drivers for new energy solutions
Strong drivers for new energy solutions EU: 70 000 employed within wind energy 1 000 employees 250 200 150 100 50 0 2005 2015
Slide 9: Strong drivers for new energy solutions
Strong drivers for new energy solutions Authorities establish incentives to meet the challenges
Slide 10: Growth in renewables create opportunities
Growth in renewables create opportunities Mboed TWh/year equivalent 1 250 1 000 930 3 750 600 2 500 1 250 160 170 120 52 60 35 2 1 0 Wind Solar Biopower Geothermal Wave Capacity 2002 IEA reference scenario 2030 Source: IEA World Energy Outlook
Slide 11: Hydro is positioned in the most mature new energy technologies
Hydro is positioned in the most mature new energy technologies Anticipated market potential - 2015 High Wind offshore Wind Biopower nearshore Biofuel Wind onshore Solar crystalline Solar thin film Hydrogen fuel cells Wave Small hydro Geothermal Hydrogen Low Tidal R&D 2005 Maturity of technology Comm
Slide 12: Hydro's New Energy ambitions
Hydro’s New Energy ambitions z Increasing our activities in new energy solutions z Capabilities in place for significant growth z A preferred partner through our technical, operational and commercial skills
Slide 13: Unique competitive advantages in Hydro's broad capabilities
Unique competitive advantages in Hydro’s broad capabilities
Slide 14: Our wind adventure
Our wind adventure
Slide 15: A successful early start at Havøygavlen
A successful early start at Havøygavlen z Took a significant 140 mill. NOK position in 2001 z Learning from tough terrain and complex winds z Good commercial positioning gives IRR well above cost of capital
Slide 16: An attractive onshore portfolio in Norway
An attractive onshore portfolio in Norway Finnmark z Excellent wind conditions z Incentive system in place 2007 El-certificate system Norway/Sweden Fosen and Central Norway South Western Norway
Slide 17: Annual global wind power development
Annual global wind power development Actual 1990-2004 Forecast 2005-2009 Prediction 2010-2014 MW 30 000 25 000 20 000 15 000 10 000 5 000 0 1990 2004 2009 2014 Source: BTM Consult ApS - March 2005 Existing capacity Onshore (forecast) Offshore (forecast) Prediction
Slide 18: Why offshore wind?
Why offshore wind? z Stronger, more stable winds z Shortage of good land sites z Avoiding community and environmental conflicts z Economies of scale
Slide 19: Challenging marine operations
Challenging marine operations
Slide 20: Hydro's E&P skills create value in New Energy
Hydro’s E&P skills create value in New Energy z Expertise in marine operations z Complex permitting is no obstacle z Preferred partner through track record in project development, contract and risk management
Slide 21: Acquired significant position offshore UK
Acquired significant position offshore UK z Very attractive winds and support mechanisms z Scira: 315 MW Offshore shallow waters z Positioned for GBP 300 million investment z Many uncertainties – still an option
Slide 22: Hywind – taking the next step
Hywind – taking the next step z Capturing even better winds z Cost effective and robust z Minimum offshore work z Site independent, less conflicts
Slide 23: Successful test of breakthrough technology
Successful test of breakthrough technology z 3 year R&D program z Hydro patented solutions z Next step is full-scale demo
Slide 24: Commercialization
Commercialization Commercial park Demo park Demo Technical focus Cost focus Market focus
Slide 25: A truly global potential
A truly global potential z Deepwater sites near major consumption areas, with price/incentive premium Map: NASA
Slide 26: Hywind – a challenger to Ormen Lange?
125 TWh Hywind Hywind – a challenger to Ormen Lange? z The gas in Ormen can generate 125 TWh/year for 20 years z Same as two offshore blocks of Hywind – Forever
Slide 27: Hywind
Hywind
Slide 28: Hywind
Hywind
Slide 29: A viable society. A need. An idea.
A viable society. A need. An idea. 36,000 professionals. Energy. Cooperation. Aluminium. Determination. Pushing boundaries. Respect. Nature. Courage. 100 years. Thinking ahead.
Slide 30: Challenging marine operations
Challenging marine operations