Skip to main content Q1 2015 EARNINGS CALL – Marathon Oil Corp Investor Presentation | Shale Experts
Loading...
Pm

Q1 2015 EARNINGS CALL – Marathon Oil Corp

Marathon Oil Corp · May 6, 2015 · 28 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 1
    FIRST QUARTER 2015 Financial and Operational Review May 6, 2015
  2. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 2
    Corporate Highlights Strong operational execution; advancing efficiency gains and cost savings Drilling efficiency, additional service cost reductions and capital reallocation enhancing returns High-specification rigs in Eagle Ford…
  3. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 3
    U.S. Resource Plays 60% of E&P Production Annual Growth of 20% in 2015 Eagle Ford, Bakken & Oklahoma Resource Basins Available for Sale Volumes 1Q 2014 to 1Q 2015 49% 250 11% 200 MBOED 150 229 100 206 154 50 0 1Q…
  4. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 4
    Realizations Down Nearly 40% Over Prior Quarter Earnings (loss) per share Adjusted Net Income (Loss) per Diluted Share Reported Net Income (Loss) per Diluted Share 1.10 1.90 0.88 1.65 0.90 1.60 1.37 0.25 0.70 1.30 1.08 per…
  5. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 5
    All Segments Lower on Price Realizations Segment income (loss) North America E&P International E&P Oil Sands Mining 300 300 300 250 250 250 200 150 200 MM MM MM 242 200 100 150 50 150 0 100 221 100 -50 50…
  6. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 6
    Total Company Cash Flow 3.6B of liquidity at quarter end 3,000 (103) 412 2,500 (1,102) 2,000 MM 1,500 (350) 2,398 (142) 13 1,000 500 1,126 0 12/31/14 Cash Cash Flow b/f Working Capital Additions to Capital…
  7. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 7
    Reducing Activity; Production Guidance Unchanged Operational efficiency and capital discipline drive capex lower U.S. Rig Activity (at end of quarter) Further reducing rig activity; no change in full-year E&P production 40 guidance…
  8. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 8
    Driving Costs Lower N.A. E&P production and other opex costs per BOE 1Q 2014 to 1Q 2015 25% reduction 18 14% reduction 16 14 5.73 6.11 / BOE 5.13 12 4.96 10 4.60 8 6 11.02 10.47 10.16 9.54 4 7.94 2 0 1Q 2014 2Q…
  9. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 9
    Eagle Ford Co-Development Progressing Expanding beyond Austin Chalk to stack-and-frac and Upper Eagle Ford Eagle Ford Production Volumes Production averaged 147 net MBOED; 180 1Q 2014 to 1Q 2015 53% increased 53% over 1Q 2014 and 12%…
  10. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 10
    Advancing Oklahoma Resource Basins Leveraging higher OBO activity ORB Production Volumes Production averaged 25 net MBOED; 30 1Q 2014 to 1Q 2015 67% increased 67% over 1Q 2014 and 25% over 25 prior quarter MBOED 20 5 gross…
  11. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 11
    Bakken Downspacing Pilots Progressing Enhanced completion pilots concluded Bakken Production Volumes Production averaged 57 net MBOED; 70 increased 33% over 1Q 2014 and 4% over 1Q 2014 to 1Q 2015 33% prior quarter 60 50 Bakken…
  12. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 12
    International E&P Production Delivering Value Funding high-return projects International E&P Production & Sales Volumes from Continuing Operations excluding Libya Equatorial Guinea 150 B3 Compression project first production 2016 125…
  13. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 13
    Focused on Long-Term Shareholder Value Well positioned as prices and cash flows improve Capital discipline underscores focus on returns Further reducing 2015 budget to 3.3B; no change to full year E&P production guidance 3.6B…
  14. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 14
    APPENDIX
  15. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 15
    Volumes, Exploration Expenses & Effective Tax Rate 2015 (excluding Libya) 1Q 2Q 3Q 4Q Year North America E&P Net Sales Volumes: - Liquid Hydrocarbons (MBD) 223 - Natural Gas (MMCFD) 359 - North America E&P Total (MBOED) 283…
  16. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 16
    2015 Estimates Volumes Available for Sale 2QE Available for Sale Year Estimate North America E&P Total (MBOED) 270 280 - Liquid Hydrocarbons (MBD) 212 220 - Natural Gas (MMCFD) 345 360 International E&P Total (MBOED)* 100 110 -…
  17. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 17
    2015 Estimates Exploration expenses & annual production operating costs per BOE 2QE Year Estimate Exploration Expenses (Pre-tax): North America E&P ( millions) 25 - 50 International E&P ( millions) 25 - 50 Effective Consolidated Tax…
  18. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 18
    N.A. E&P & OSM Realizations Price USD/BBL Crude Oil & Condensate 4Q 2014 1Q 2015 Difference Bakken 61.74 39.92 (21.82) Eagle Ford 68.63 42.72 (25.91) Oklahoma Resource Basins 68.82 45.57 (23.25) All other North America 66.12…
  19. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 19
    North America E&P Crude Oil Derivatives As of April 30, 2015 Term Bbls per day Weighted Average Price per Benchmark Bbl Three-Way Collars Mar 2015 Dec 2015* 25,000 55.00 Floor WTI 71.67 Ceiling 40.00 Sold Put Apr 2015 Dec 2015**…
  20. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 20
    2015 North America Activity U.S. resource plays Bakken Gross Gross Average Operated Operated Net Wells CAPEX 2015 Rig Wells Wells to to Sales Count Drilled Sales 645MM 2 26-36 53-63 58-70 Oklahoma Resource Basins Gross…
  21. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 21
    North America & International E&P segments Volumes, including Libya and excluding discontinued operations Net production available for sale decreased 2% from 4Q 2014 Growth in the North America resource plays offset by reduced Libya…
  22. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 22
    North America E&P Cost per BOE Trend 70 60 50 / BOE 40 30 20 10 0 1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 Production operating Other Taxes other than income DD&A Exploration 4Q 2014 Exploration expense…
  23. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 23
    International E&P Cost per BOE Trend Includes Libya 30 25 20 / BOE 15 10 5 0 1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 Production operating Other Taxes other than income DD&A Exploration Excludes…
  24. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 24
    International E&P Cost per BOE Trend Excludes Libya 30 25 20 / BOE 15 10 5 0 1Q 2014 2Q 2014 3Q 2014 4Q 2014 1Q 2015 Production operating Other Taxes other than income DD&A Exploration Excludes…
  25. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 25
    Adjusted Net Income (Loss) Reconciliation (MM) Net Income (Loss) to Adjusted Net Income 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (Loss) 2014 2014 2014 2014 2015 2015 2015 2015 Net Income (Loss) 1,149 540 431 926 (276) Adjustments for special items…
  26. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 26
    Continuing Ops Adjusted Income (Loss) Reconciliation (MM) Income (Loss) from Continuing Operations to Adjusted Income (Loss) from 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Continuing Operations 2014 2014 2014 2014 2015 2015 2015 2015 Income (loss) from…
  27. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 27
    Cash Flow Reconciliation YTD (MM) Net Cash Provided by Continuing Operations to Net Cash Provided by Continuing Operations before changes 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q in Working Capital 2014 2014 2014 2014 2015 2015 2015 2015 Net cash…
  28. Q1 2015 EARNINGS CALL – Marathon Oil Corp – slide 28
    Capital, Investment & Exploration Budget reconciliation MM 2015 Revised 2015 YTD Budget Actual Capital expenditures, including acquisitions 3,130 1,102 M&S Inventory 16 26 Investments in equity method investees & others 0 0…

From the store

Browse maps, data & reports in the Shale Experts store