Barclays Capital Investment Grade Energy and Pipeline Conference 2012 Alister Cowan CFO March 8, 2012
Husky Snapshot Amongst largest Canadian integrated energy companies Listed on the Toronto Stock Exchange (TSX HSE, HSE.PR.A) 23 billion market cap (1) 27 billion enterprise value (1) Growth + Dividend value proposition Strong…
Strategic Building Blocks Near-term Mid-term Long-term 0 2 years 3 5 years 5+ years Upstream Acquisitions Asia Pacific Oil Sands Oil Sands Atlantic Region Regenerate the Western Canada and Heavy Oil foundation Value…
2011 Performance Production Proven Reserve Replacement Ratio 350 9% increase 200 300 (mboe/day) 312.5 170% 174% (%) 150 287.1 250 200 100 2010 2011 2010 2011F Netbacks Return on Capital Employed 350 15 5.4…
2012 - Building on Established Momentum Capital Expenditures (billions) Production (mboe/day) 5 4.7 4.7 350 2012 Guidance 300 290 315 mboe/day 94 -102 4 Acquistions 101 250 Western Canada 3 Heavy Oil 200 Natural…
Financial Strategy Provide adequate liquidity and financial flexibility to fund growth Investment in growth pillars Foundation provides cash flow for growth pillars Growth pillars cash flow, when operational, reinvested into…
Mitigating Risk in a Volatile Time Strategy 70% oil weighted 30% of oil production Brent priced Integrated business reduces exposure to changing differentials Pipeline access to US to transport products to market Minimal 2012 CAPEX…
Financing Sources Cash on Balance Sheet 1.8 billion of cash and cash equivalents as of December 31, 2011 Credit Facilities 3.3 billion unused committed term credit facilities as of December 31, 2011 Preferred Equity 300 million…
Foundation - Western Canada Maintain production at existing levels Resource plays Reinforce key technical and execution skills Exploit plays on existing land base Build material position in emerging oil and gas resource plays…
Transitioning to Oil & Liquids Rich Resource Plays Anticipated Western Canada Production Shift Conventional Resource Plays & EOR 2016 2015 2014 2013 2012 Blue denotes Husky land 11
Foundation - Heavy Oil Pikes Peak South and Paradise Thermal Property Size Anticipated Timeline Hill expected start-up in 2012 Bolney / Celtic 11,000 bbls/day Producing Targeted to increase sustainable Pikes Peak 7,500 bbls/day…
Growth - Asia Pacific Build a sustainable, growth-oriented, material oil and gas business Execute Liwan 3-1 and Liuhua 34-2 developments on time and on budget Delineate and develop Liuhua 29-1 field and Madura Strait gas field…
Growth - Oil Sands Execute Sunrise Phase 1 on time and on budget Advance early engineering for Sunrise Phase 2 Design Basis Memorandum (DBM) and Front-End Engineering and Design (FEED) Commercialize strong resource position…
Growth - Atlantic Region Execute successful offstation program Test and evaluate West White Rose Pilot as foundation for the White Rose Expansion Project West White Rose production Well head / drilling platform will reduce F & D…
Commercializing the Strategy Commercial Producing Development Delineate/De-Risk Prospect Inventory Western Canada Conventional Oil & Gas Duvernay Horn River Ansell Cardium Rainbow Muskwa Viking Montney NWT Canol Oungre Bakken…
On Course Strategy is clear Executing against the strategy Targets are being achieved Balanced growth with strong dividend yield (4 - 5% yield) Building on established momentum 17
Advisories In addition, statements relating to reserves and resources are deemed to be forward-looking statements as they involve the implied assessment based on certain estimates and assumptions that the reserves or resources described…
Advisories Non-GAAP Measures This document contains the term return on capital employed (ROCE) which measures the return earned on long-term capital sources such as long term liabilities and shareholder equity. ROCE is presented in…
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