Ecopetrol Sa · BVC:ECOPETROL
Ecopetrol Sa — Q3 2012 Earnings Presentation
20 slides from Ecopetrol Sa's earnings presentation, Oct 30, 2012
Slide 1: Financial & Operational Results 3rd Quarter 2012
Financial & Operational Results 3rd Quarter 2012 October 30, 2012
Slide 2: Disclaimer
Disclaimer This document was prepared by Ecopetrol S.A. with the purpose of providing the market and interested parties certain financial and other information of the Company. This document may include strategy discussions and forward-looking statements regarding the probable development of Ecopetro
Slide 3: Management Participants
Management Participants Javier Gutiérrez Chief Executive Officer Enrique Velásquez VP of Exploration Hector Manosalva Executive VP of E&P Alvaro Castañeda VP of Transportation & Logistics Pedro Rosales Executive VP of Downstream Alejandro Giraldo Investor Relations Officer Adriana Echeverri Chief Fi
Slide 4: Agenda
Agenda 1. Highlights for the third quarter of 2012 2. Financial results 3. Results per business segment 4. Organizational consolidation and HSE 5. Outlook for the fourth quarter of 2012 4
Slide 5: Highlights in 3Q 2012
Highlights in 3Q 2012 • Production of 743 mboed • Equión’s production rose 24% and Savia’s 13% Operational • 3 hydrocarbon findings: 2 in Colombia ava and 1 in the Gulf of Mexico Results • 12 month export contract of heavy crude oil to India • Exports record in September: 584 mbod (crude + products)
Slide 6: Agenda
Agenda 1. Highlights for the third quarter of 2012 2. Financial results 3. Results per business segment 4. Organizational consolidation and HSE 5. Outlook for the fourth quarter of 2012 6
Slide 7: Financial results of Ecopetrol S.A.
Financial results of Ecopetrol S.A* Export 111.2 96.3 102.7 100.7 101.4 Crude oil basket (US$/bl) 762 EC + 732 742 743 743 Production 709 Interests 692 678 685 688 (mboed) EC 16.0 15.4 14.8 14.1 14.2 5.2 4.9 5.0 Sales 4.9 4.8 Colombia (COP$ tn) 9.2 10.8 10.5 9.8 9.4 Exports 51% 47% 52% 48% 44% Ebitd
Slide 8: Cash Flow and Balance Sheet of Ecopetrol S.A.
Cash Flow and Balance Sheet of Ecopetrol S.A. * Initial Sources Uses Final 13.9 0.3 0.0 23.5 8.1 Cash flow 2.5 3.5 3Q 2012 9.3 9.4 (COP$ trillion) Initial Cash Operations Other Offering Cash Available Operations Capex Dividends Ending Cash Assets Liabilities Debt Ratios 90.5 Inventories 2.6 4.4 Othe
Slide 9: Financial Results of Subsidiaries
Financial Results of Subsidiaries Ebitda* Net Income* Segment Company 3Q2011 3Q2012 3Q2011 3Q2012 Hocol 243 222 114 123 Savia 50** 57** 18** 21** Ecopetrol América -34.3 -45.1 -54.8 -71.8 EXPLORATION Ecopetrol Brasil -9.2 -12.4 -31.1 -13.6 & PRODUCTION Ecopetrol Perú -4.9 -3.6 -5 -3.1 Equión 198 321
Slide 10: Agenda
Agenda 1. Highlights for the third quarter of 2012 2. Financial results 3. Results per business segment 4. Organizational consolidation and HSE 5. Outlook for the fourth quarter of 2012 10
Slide 11: Exploration & Production
Exploration & Production Production: Ecopetrol + net interests E&P segment results (thousand barrels of oil equivalent / day) (COP$ trillion) 732 743 2 15 2 18 7 8 24 71% 64% 44% 35% 31 678 692 9.1 9.4 3Q 2011 3Q 2012 Ecopetrol Hocol Savia Equión EC America 6.4 6.0 Exploratory activity: Ecopetrol +
Slide 12: Transportation
Transportation Transported volumes Transportation segment results (thousand barrels per day) (COP$ trillion) 1,224 1,180 293 306 43% 19% 26% 10% 0.64 0.57 931 874 0.25 3Q 2011 3Q 2012 0.12 0.15 0.06 Products Crude Revenues % Ebitda Net Income Highlights Margin 3Q 2011 3Q 2012 • Lower transported vol
Slide 13: Refining and Petrochemicals
Refining and Petrochemicals Refinery throughput Refining segment results (thousand barrels of crude per day) (COP$ trillion) 227 236 5% 2% -1% -2% 75 74 5.3 4.9 B/bermeja Cartagena Gross refining margin (USD$ per barrel) 15.7 13.9 0.3 0.1 11.5 % 5.7 % -0.1 -0.1 Revenues Ebitda Net Income B/bermeja C
Slide 14: Sales & Marketing
Sales & Marketing Sales Volumes (thousand barrels equiv./day) Sales and marketing segment results (COP$ trillion) 873 848 513 495 77 79 282 273 3.36 3.30 3Q 2011 3Q 2012 Local Free trade zone Exports Benchmarks for crude exports 8% 0% 3% -1% (% total exported volumes) 3% 0.25 3Q 2011 77% 7% 9% 4% 0.
Slide 15: Agenda
Agenda 1. Highlights for the third quarter of 2012 2. Financial results 3. Results per business segment 4. Organizational consolidation and HSE 5. Outlook for the fourth quarter of 2012 15
Slide 16: Organizational Consolidation and HSE
Organizational Consolidation and HSE Accident Frequency Index (Accidents / mn labor hours) Evaluación 2012 vs. 2011 0.86 74 78 0.65 53 3Q 2011 3Q 2012 EC 2011 EC 2012 O&G 2012 HSE % % Science and Technology % Corporate Social Responsibility • Historical minimum of the • 3 patents: • One of the 340 c
Slide 17: Agenda
Agenda 1. Highlights for the third quarter of 2012 2. Financial results 3. Results per business segment 4. Organizational consolidation and HSE 5. Outlook for the fourth quarter of 2012 17
Slide 18: Outlook for the 4Q-2012
Outlook for the 4Q-2012 Exploration • Complete drilling plan of 60 wells in 2012 (Ecopetrol and subsidiaries) Production • Reach production goal for 2012 • Pipeline capacity increase +47 mboed: OTA (+10), ODC (+10), Ayacucho-Coveñas (+27) • Bicentenario Pipeline: progress of 75% by Dec. 31/2012 Tran
Slide 19: Investor Relations
Investor Relations • Phone (+ 571) 234 5190 • Email investors@ecopetrol.com.co • Website www.ecopetrol.com.co 19
Slide 20: Ecopetrol S.A. All rights reserved
Ecopetrol S.A. All rights reserved. The re production of this presentation is forbidden without the written authorization of Ecopetrol S.A.