Nostrum Oil & Gas Plc · LSE:NOG
Nostrum Oil & Gas — Q1 2017 Earnings Presentation
16 slides from Nostrum Oil & Gas's earnings presentation, 2017
Slide 1: Q1 2017 Financial Results Presentation
Simple Sustainable Successful Q1 2017 Financial Results Presentation
Slide 2: Q1 2017 Financial Results
Q1 2017 Financial Results Strong revenue and cash generation following a consistent production quarter 1 • Revenue of US$111.9m (Q1 2016: US$73.9m) and net operating cash1 flows of US$69.8m (Q1 2016: US$27.0m) 2 • EBITDA2 of US$68.7m (Q1 2016: US$51.7m) and EBITDA margin of 61.4% (Q1 2016: 70.0%) 3
Slide 3: Snapshot of key figures from Q1 2017
Snapshot of key figures from Q1 2017 Sales volumes Opex / boe1 50,000 4.5 43,279 38,754 40,000 4.0 3.5 US$ / bbl 30,000 3.4 3.5 boepd 20,000 3.0 10,000 2.5 - 2.0 Q1 2016 Q1 2017 Q1 2016 Q1 2017 Net Operating Cash flows Gross debt / net debt 80.0 69.8 10.0x Gross Debt / LTM EBITDA 70.0 Leverage ratio
Slide 4: Capital discipline
Capital discipline Balance sheet Hedging programme • US$122.8m cash and cash equivalents¹ on balance sheet • 15,000 boepd hedge entered into on 14 December 2015 • US$841.3m Net debt2 • Strike price of US$49.16 • US$400.0m 6.375% Notes maturing in 2019 with no • Settles quarterly for eight quarters (
Slide 5: Resilience under low oil prices
Resilience under low oil prices – Fully funded to complete GTU III and maintain existing production in 2017 and 2018 under any oil price • Post-completion GTU3 capex of US$51m US$17m US$82m • c.US$100m available to invest in maintaining and US$144m increasing production and still have US$50m cash US
Slide 6: 2016 Ryder Scott Reserve Audit
2016 Ryder Scott Reserve Audit – The asset continues to perform in line with expectations Chinarevskoye - Proven Chinarevskoye - Probable Trident - Probable • 466mmboe 2P reserves as at 1 January 2017 Proven – 147mmboe Probable – 320mmboe 87mmboe 87mmboe • Contingent resources – 221mmboe • Remai
Slide 7: A clear path to over 100k boepd
A clear path to over 100k boepd – GTU III delivers material near term production growth Able to deliver Ryder Scott production profile Fully funded at any oil price with oil price of US$40 / bbl • Fully funded to complete the construction of GTU III during 2017 under any oil price scenario 100,000+
Slide 8: Q1 2017 Financial Results
Q1 2017 Financial Results
Slide 9: Financial Overview – Q1 2017
Financial Overview – Q1 2017 US$m Q1 2016 Q1 2017 Revenue 73.9 111.9 EBITDA1 51.7 68.7 Profit before tax (7.9) 26.0 Current income tax expense (1.6) (16.0) Deferred income tax expense (2.8) 3.7 Net income (12.3) 13.6 Earnings per share (US$c) 2 (7.0) 7.0 3 Capital expenditure 42.4 38.2 Net cash flow
Slide 10: Progress – Snapshot
Progress – Snapshot Opex / boe1 Transport costs / boe 4.0 5.0 4.6 3.5 4.5 3.5 3.4 US$ / boe US$ / boe 4.0 4.0 3.0 3.5 2.5 3.0 2.0 2.5 Q1 2016 Q1 2017 Q1 2016 Q1 2017 EBITDA margin Tax / boe2 80% 70.0% 3.5 3.2 61.4% 60% 3.0 US$ / boe 2.4 40% 2.5 20% 2.0 0% 1.5 Q1 2016 Q1 2017 Q1 2016 Q1 2017 1 COGS l
Slide 11: Balance Sheet Summary
Balance Sheet Summary Highlights Gross debt / net debt 10.0x Gross Debt / LTM EBITDA • 61.4% EBITDA¹ margin 8.0x Net Debt / LTM EBITDA • US$122.8m cash & equivalents² Leverage ratio 6.0x 4.9x 4.6x 4.4x 4.0x • Reduction in Opex to US$3.4/bbl (Q1 2016: US$3.5/bbl) 4.0x 2.0x • 15,000 boepd production h
Slide 12: Supporting materials
Supporting materials D Se nostrum
Slide 13: Consolidated Statement of Financial Position
Consolidated Statement of Financial Position 13
Slide 14: Consolidated Statement of Comprehensive Income
Consolidated Statement of Comprehensive Income 14
Slide 15: Consolidated Statement of Cash Flows
Consolidated Statement of Cash Flows 15
Slide 16: Disclaimer
Disclaimer THIS PRESENTATION IS NOT AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL SECURITIES. IT IS SOLELY FOR USE AT AN INVESTOR PRESENTATION AND IS PROVIDED AS INFORMATION ONLY. THIS PRESENTATION DOES NOT CONTAIN ALL OF THE INFORMATION THAT IS MATERIAL TO AN INVESTOR. BY ATTENDING THE PRESEN