INNOVATION TO EARNINGS Belgacem Chariag PRESIDENT, GLOBAL PRODUCTS AND SERVICES
FASTRAK REAL-TIME DATA REDUCES UNCERTAINTY EARLY, CLEAN UNCONTAMINATED FLUID SAMPLES CIRCULATING DURING SAMPLING ENSURES WELLBORE INTEGRITY
SHADOW FRAC PLUG ENABLES OPTIMIZED STIMULATION DESIGNS FOR OPTIMUM RECOVERY ACCELERATES TIME TO PRODUCTION OPENS NEW POSSIBILITIES FOR UNCONVENTIONAL WELLS
LOWER TERTIARY TODAY TOMORROW FUTURE Integrated upper ESPs capable of Selective access to five completions 30,000 BPD reservoir zones production capacity Dual ESPs for Selective production production boosting Integrated lower…
INNOVATION TO EARNINGS NPI FOR 2014 OPERATIONALIZING INNOVATION Accelerating time to market Fabric of interdependence 1B Discipline in commercialization NPI GROWTH YEAR ON YEAR 20% New Product Introduction revenue
VALUE CREATION Derek Mathieson CHIEF STRATEGY OFFICER
CREATING A SHARED PURPOSE
INTERDEPENDENCE TOP 20 CUSTOMERS STRATEGY SPEND GROWING 100B 5% Fundamental improvement in conversion efficiency from WELLS WELL SERVICES CAGR CAPEX THROUGH 2016 PRODUCTION GROWING A new wave of service solutions 65M boepd 1…
GLOBAL DEVELOPMENT INNOVATION LEADERSHIP SOLUTIONS FOCUS
STRATEGY IN ACTION WELLS PRODUCTION RECOVERY CONVENTIONAL MATURE MATURE TODAY UNCONVENTIONAL MATURE TODAY CGG ALLIANCE POSITIONING AKER SOLUTIONS DEEP WATER RESEARCH AND TODAY ALLIANCE INNOVATION POSITIONING
VALUE CREATION INTEGRATION Outcome-Based Workflow Solutions INNOVATION FROM COMMERCIAL INTEGRATION INTEGRATED FIELD PRODUCTS SERVICE VALUE SERVICE VALUE DEVELOPMENT AND SERVICES COMBINATIONS MULTIPLIERS PROJECT TURNKEY TEAMS…
VALUE CREATION INTEGRATION SVC3 SENTRYNET ProductionWave PRODUCTION OPTIMIZATION Production Solution FLOW Production Chemicals ASSURANCE WellLink Vision SVM PRODUCTIONWAVE FLEXPump Electrospeed SVC3 Advantage PRECISE…
VALUE CREATION DIFFERENTIATION STRATEGY DIFFERENTIATION 3iS IMPROVE Technology and performance, WELLS leadership in drilling and completions iNNOVATION OPTIMIZE High potential in production iNTERDEPENDENCE PRODUCTION solutions,…
VALUE CREATION Derek Mathieson CHIEF STRATEGY OFFICER
GEARED FOR GROWTH Art Soucy PRESIDENT, EUROPE/AFRICA/RUSSIA CASPIAN Tayo Akinokun PRESIDENT, AFRICA
REVENUE AND PROFIT UP GEARED FOR GROWTH CUSTOMERS INTERDEPENDENT
REVENUE AND PROFIT 1.80 UP 1.70 1.60 1.50 INDEXED GROWTH 1.40 GEARED FOR GROWTH 1.30 1.20 1.10 1.00 0.90 CUSTOMERS INTERDEPENDENT 0.80 2009 2010 2011 2012 2013 Production E&D Costs *Source: Baker Hughes
INTERDEPENDENCE CHANNELS TO MARKET LOWER COST 1B OPPORTUNITY SHORTER LEAD TIME LESS INVENTORY BETTER QUALITY
MARKETS MATURE EMERGING GROWING
AFRICA GROWTH ENGINE FOR EARC CUSTOMERS CHANGING INTERDEPENDENCE DIFFERENTIATING BAKER HUGHES WINNING
Be the largest driller in Africa by 2016 Outpace market growth by a wide margin over next 3 years Maintain and expand technology leadership
OUTLOOK GEARED FOR GROWTH 2016 CAGR 2016 REVENUE 10%+ 5B
OUTGROWING THE MARKET Khaled Nouh PRESIDENT, MIDDLE EAST/ASIA PACIFIC Scott Reeves PRESIDENT, RESERVOIR DEVELOPMENT SERVICES
OPPORTUNITIES UNCONVENTIONALS ON THE RISE SAUDI ARABIA SOUTH GHAWAR EMPTY QUARTER AUSTRALIA COOPER & CANNING GEORGINA CHINA SICHUAN, TARIM, ORDOS
CHINA CAPTURING THE GROWTH Junnger Songliao Ordos Tarim Bohai Sichuan WELLS PRODUCTION RECOVERY
REDEVELOPMENT REVIVING A MATURE FIELD
OUTLOOK OUTGROWING THE MARKET 2016 CAGR 2016 REVENUE 15%+ 6B+ WELLS PRODUCTION RECOVERY
FLEXIBILITY, AGILITY, AND WINNING Maria Claudia Borras PRESIDENT, LATIN AMERICA Federico Medrano MANAGING DIRECTOR, SOUTHERN CONE GEOMARKET
PROFIT UP GROWTH STEADY RISK MANAGED
INTERDEPENDENCE WINNING AGAINST THE MOST CHALLENGING ODDS 30% REDUCTION IN WELL CONSTRUCTION COST
UNCONVENTIONALS IN ARGENTINA START SOONER, RAMP UP FASTER +59% UNCONVENTIONAL GROWTH, 2013-2014
COMING UP NEW LOOKS FOR OLD FRIENDS OFFSHORE AND UNCONVENTIONALS ONSHORE FIELDS SOURCE: Google Earth
RISK LEVELS VARYING High Geopolitical Risk BUSINESS BLUEPRINT FLEXIBLE Low RISK MANAGED Low Technical and Commercial Risk* High * Defined as geologic/technical risk of economic hydrocarbons
OUTLOOK FLEXIBILITY, AGILITY, AND WINNING MEXICO diverse portfolio of companies 2016 ARGENTINA strong growth through efficiency OPERATING MARGIN BRAZIL perfect place for technology 17%+ ECUADOR relevant field development…
MARGIN EXPANSION Richard Williams PRESIDENT, NORTH AMERICA Douglas Stephens PRESIDENT, PRESSURE PUMPING
MARGINS FASTEST GROWING 15%+ DEEPWATER RISING SOLUTIONS IN DEMAND