Skip to main content Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited Investor Presentation | Shale Experts
Loading...
Pm

Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited

Santos Limited · Oct 14, 2019 · 25 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. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 1
    Acquisition of ConocoPhillips northern Australia interests 14 October 2019
  2. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 2
    1 Transaction overview 2 Investment highlights 3 Funding Appendix Santos Ltd 3
  3. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 3
    Investment highlights Santos to acquire ConocoPhillips interests in and operatorship of Darwin LNG, Bayu-Undan, Barossa and Poseidon for 1.39 billion plus a contingent 75 million on Barossa FID Fully aligned with Santos core asset growth…
  4. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 4
    Investment highlights Materially accretive and strategic growth acquisition EPS ACCRETION1 EBITDAX ACCRETION1 FCFBE OIL PRICE1 16% 19% 4/bbl 112% 2P + 2C INCREASE2 GEARING AT COMPLETION OPERATING CASH FLOW BEFORE SELL-DOWN3…
  5. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 5
    Strategically aligned acquisition Brownfield growth building on existing infrastructure positions Strategically + Fully aligned with Santos growth strategy to build on existing infrastructure positions around our core business aligned…
  6. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 6
    Fully aligned with Santos growth strategy 2018 production increase1,2 + Greater alignment and interest in a leading integrated LNG project mmboe Material, high +19 mmboe + Material increase in production, resources and EBITDAX…
  7. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 7
    Materially accretive transaction Financially compelling acquisition expected to deliver substantial accretion on all key metrics Strong + Increases 2018 pro-forma production by 25% to 94 mmboe1 production and + Increases 2018…
  8. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 8
    Transaction overview and financing Acquisition of + Santos has agreed to acquire ConocoPhillips interests in northern Australia for 1.39 billion payment at completion, with a further 75 million contingent on FID decision at Barossa…
  9. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 9
    1 Transaction overview 2 Investment highlights 3 Funding Appendix Santos Ltd 10
  10. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 10
    Portfolio of long-life production and development assets Full alignment with Santos strategy to become a leading domestic gas and LNG supplier with a portfolio of low-cost, long life assets Darwin LNG Bayu-Undan Barossa Poseidon…
  11. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 11
    Advances alignment and supports Barossa FID Santos is prepared to sell-down to 40-50% interest in Barossa and DLNG to increase partner alignment. SK E&S has signed an LOI to acquire 25% interest in Bayu-Undan and DLNG Current Pro-forma +…
  12. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 12
    Operatorship of strategically located LNG hub Northern Australia has the potential to become a major LNG hub for the long term, supported by Santos world class regional onshore and offshore gas resources and proximity to Asia Creation of…
  13. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 13
    Long-term LNG market dynamics remain favourable Prior to taking FID on Barossa, Santos intends to target contracting 60-80% of LNG volumes for 10+ years Global LNG supply / demand Mtpa + Underpins brownfield LNG development 600 +…
  14. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 14
    Value creation via synergies and operatorship Targeting synergies of 50 to 75 million per annum (pre-tax) + Targeting synergies of 50 to 75 million per annum (pre-tax) Removal of duplication Material Optimise operations across the…
  15. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 15
    Consistent with Santos strategy of upgrading portfolio Organic and inorganic growth strategy has materially improved our portfolio 80% core assets now 2018 pro-forma Santos today versus 2015 Santos operated production up 62%1 mmboe…
  16. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 16
    Fully aligned with Transform Build Grow Acquisition fully aligned with Santos strategy to leverage existing infrastructure positions around our core long-life natural gas assets + Execute and bring on-line growth opportunities across…
  17. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 17
    1 Transaction overview 2 Investment highlights 3 Funding Appendix Santos Ltd 18
  18. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 18
    Acquisition funding Acquisition fully funded from current cash and new committed debt + Net funding requirement is expected to be approximately 775-825 million, post the benefit of cash flows generated from the acquired business from…
  19. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 19
    Stable cash flows underpin strong de-leveraging and liquidity Targeting medium term gearing ratio of 25-30%, with sufficient flexibility to address all future capital expenditure requirements and maintain dividend policy Gearing post…
  20. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 20
    Pro-forma drawn debt maturity profile 750 million committed acquisition debt to be repaid with sell-down proceeds or refinanced post completion Pro-forma drawn debt maturity profile Pro-forma drawn debt maturity profile1 excluding PNG…
  21. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 21
    1 Transaction overview 2 Investment highlights 3 Funding Appendix Santos Ltd 22
  22. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 22
    Darwin LNG overview Darwin LNG is a world-class LNG facility (ConocoPhillips operated 56.9%, Santos 11.5%) + Darwin LNG is a 3.7 mtpa LNG facility located in Wickham Point in the city of Darwin, northern Australia + Joint venture…
  23. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 23
    Bayu-Undan overview Bayu-Undan is a mature gas-liquids project (ConocoPhillips operated 56.9%, Santos 11.5%) + 2018 production: 40 mmboe (gross) + Pro-forma 2018 year-end 2P reserves: 108 mmboe (gross), 74 mmboe (net) + Capacity 600…
  24. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 24
    Barossa Project overview Barossa project entered exclusive negotiations with the Darwin LNG JV for the supply of backfill gas + Material growth opportunity; pro-forma 2018 year-end 2C resource 799 mmboe (gross), 499 mmboe (net) Gas…
  25. Acquisition of ConocoPhillips Northern Australia Interests – Santos Limited – slide 25
    Greater Poseidon overview 40% operated position in a series of gas fields in the Browse Basin, 950km from Darwin + Current ownership: 40% ConocoPhillips (operator), 40% Origin, 20% PetroChina + Pro-forma 2018 year-end 2C resource of…

From the store

Browse maps, data & reports in the Shale Experts store