2019 FIRST ***RF HALF new photo*** RESULTS 2019 FIRST HALF RESULTS AUGUST 2019 OIL SEARCH LIMITED ARBN 055 079 868 ASX: OSH PNGX: OSH US ADR: OISHY www.oilsearch.com
EMERGENCY EVACUATION 2019 FIRST HALF RESULTS 20 AUGUST 2019 PAGE 3
AGENDA PRESENTERS: PETER BOTTEN MANAGING DIRECTOR STEPHEN GARDINER CHIEF FINANCIAL OFFICER KEIRAN WULFF EVP & PRESIDENT ALASKA QUESTIONS: IAN MUNRO EVP, PORTFOLIO MANAGEMENT, GAS AND MARKETING DALE ROLLINS EVP & PRESIDENT…
2019 FIRST HALF HIGHLIGHTS Total production of 14.1 mmboe was 38% higher than 1H18, with PNG LNG producing at annualised rate of 8.6 MTPA for 1H19 Net profit after tax of US162 million, DPS of five US cents Final PNG LNG mid-term…
OSH SHARE PRICE IMPACTED BY PNG UNCERTAINTY 2019 FIRST HALF RESULTS 20 AUGUST 2019 PAGE 6
SAFETY PERFORMANCE BELOW TARGET, REMEDIATION PROGRAMME UNDERWAY TOTAL RECORDABLE INCIDENT RATE (TRIR) Increase in TRIR due to 3 2.6 2.5 incidents associated with 2.5 Per million hours remote seismic and 2.0 1.9 2 1.9 marine…
2019 FIRST HALF FINANCIAL OVERVIEW Sales volumes 37% higher, with 1H18 1H19 1H18 impacted by PNG earthquake Sales volume (mmboe) 13.4 9.8 +37% Net profit after tax of US161.9 million, 105% higher than 1H18 Net Profit after tax (USm)…
ROBUST LIQUIDITY POSITION SUPPORTED BY STRONG CASH FLOW GENERATION CASH FLOW WATERFALL (USM) Healthy operating cash flow 1500 underscored by strong PNG LNG production and LNG realised prices 1000 418 Investing cash outflows of US170…
UNIT PRODUCTION COST OF US12.97/BOE Lower unit production costs in 1H19 compared to 1H18 Higher production costs for 1H19: PNG LNG: higher maintenance activities and shared costs PNG Oil and Gas: ongoing earthquake remediation…
CAPITAL MANAGEMENT OSH share of LNG expansion and Alaskan oil development costs being matured, subject to timing of FEED entry, EPC contract awards and change in Alaskan development plan LNG expansion and Alaska to be funded 60-70%…
2019 FULL YEAR GUIDANCE1 Production 2019 Guidance Capital costs 2019 Guidance 2,3 Oil Search-operated 3.2 4.4 mmboe Exploration & Evaluation US290 340m Alaska Option Exercise US450m 2 PNG LNG Project 25 26 mmboe Repsol sell down…
2019 PNG OPTIMISATION ACTIVITIES EXPECTED TO BOOST OPERATED PRODUCTION FROM 4Q19 PNG LNG produced at annualised rate of 8.6 MTPA during 1H19. Strong performance given two week rate reduction for scheduled major Moran 4, 9 maintenance…
2019 FY PRODUCTION OUTLOOK Production 2019 Guidance1 OIL SEARCH NET PRODUCTION (MMBOE)1,2 2,3 Impacted by Oil Search-operated 3.2 4.4 mmboe 35 OSH-operated Feb-18 PNG LNG earthquake 28 31 PNG LNG Project . 30.25 30.31 LNG 110 115…
SUBSTANTIAL PROGRESS WAS MADE ON LNG EXPANSION IN EARLY 2019 After 12 months negotiation, Papua LNG Gas Agreement signed in April 2019 Papua LNG Gas Agreement delivers range of new benefits to Government and landowners, increasing…
READY TO ENTER FEED ONCE PAPUA LNG AND PNYANG GAS AGREEMENTS CONFIRMED In June, new PNG Government Existing 2 LNG Trains leadership team highlighted desire to review Papua LNG Gas Agreement Jetty In early August, Government indicated…
LNG MARKET UPDATE PNG LNG Contractual Commitments (MTPA) 15% increase in LNG demand in 1H19 vs 1H18. LNG demand expected to grow at 4.5% pa to 2030 Sinopec Spot price has softened due to unseasonably mild North Asian weather and…
SIGNIFICANT GAS DISCOVERY AT MURUK 2, NW OF HIDES Testing has confirmed gas with pressure data indicating reservoir continuity to Muruk 2 Muruk 1 ST3 PNG PPL 402 Extended well shut-in and pressure build-up PORT MORESBY phase…
PNG EXPLORATION PORTFOLIO OFFERS LONG-TERM GROWTH POTENTIAL Provisional interpretation of seismic over prospects in acreage around Papua LNG infrastructure has highlighted features potentially with similar characteristics to…
ALASKA: PROGRESS ON SECURING LEASES AND STRATEGIC ALIGNMENT Substantial progress made on securing PIKKA UNIT alignment to support Pikka development OSH 51% plan and longer term commercialisation strategy 2018 LEASES Exercised…
PIKKA UNIT DEVELOPMENT TECHNICAL WORK WELL ADVANCED NDA NDA Pipelines to CPF NDB NDB Pipelines to CPF NDA NDB NPF NDC NDC * - standalone CPF scenario Record of Decision for Pikka development received from US Corps…
INDICATIVE DEVELOPMENT TIMELINE FOR EARLY PRODUCTION IN 2022, FULL FIELD DEVELOPMENT IN 2024 2018 2019 2020 2021 2022 2023 2024 Early EPS tie to adjacent facility Production Appraisal FEED Main Full field Development Production…
2019/20 PROGRAMME FOCUSED ON MID- 2020 FID AND DEFINING RESOURCE BASE Expect to complete all activity for EPS FEED by year end: Cooperation negotiations Permitting Value engineering & cost Drilling completions Resource confirmation…
ORGANISATION REDESIGN BUILDING FOR THE FUTURE Organisation redesign initiated in 2H18, completed in June 2019 Lays foundation to drive production growth and deliver on major developments in PNG and Alaska, capable of more than…
FACILITATING SOCIO-ECONOMIC DEVELOPMENT KEY TO SUSTAINABLE OPERATIONS Continued social programmes directly and through Oil Search Foundation in 1H19, including earthquake-related public health, infrastructure programmes, womens…
SUMMARY Production outlook underscored by strong PNG LNG performance and recovery in operated production Approximately 90% of PNG LNG production volumes contracted, limiting exposure to spot LNG market Ready to enter FEED on LNG…
2019 FIRST HALF FINANCIAL PERFORMANCE USm 1H 2019 1H 2018 % Change Sales volume (mmboe) 13.4 9.8 +37% Revenue 776.9 557.8 +39% Production costs (183.2) (143.8) +28% Other operating costs (51.2) (55.0) -7% Other income 39.8 4.7 +747%…
2019 FIRST HALF FINANCIAL PERFORMANCE Net profit after tax of US161.9m, 104.6% higher NET PROFIT AFTER TAX (USM) than 2018: Revenue up 39.3% on higher LNG realised prices and 37.1% higher product sales Production costs up 27.5% driven…
FINANCIAL STATEMENT IMPACT USM IFRS 16 LEASES NPAT IMPACT New accounting standard adopted 1 January 2019 NPAT negative impact of US4.6 million due to recognition profile of financing charges Lower costs and higher capital…
PNG OPERATIONS KEY FIELDS Juha Muruk Hides Angore Pnyang Moran HGCP Agogo Kutubu Gobe Main SE Gobe Triceratops Kimu Elk/Antelope Barikewa Uramu Hagana OSH Operated OSH Non Operated Flinders OSH Application Oil…
ALASKA OPERATIONS KEY FIELDS 2019 FIRST HALF RESULTS 20 AUGUST 2019 PAGE 32
2019 FIRST HALF RESULTS OIL SEARCH LIMITED ARBN 055 079 868 ASX: OSH PNGX: OSH US ADR: OISHY www.oilsearch.com
Loading...
