Genel Energy PLC · LSE:GENL
Genel Energy — H1 2014 Earnings Presentation
18 slides from Genel Energy's earnings presentation, Aug 5, 2014
Slide 1: H1 2014 Results
4) Genel Energy H1 2014 Results 5 August 2014
Slide 2: Disclaimer
DISCLAIMER These materials are being supplied to you by Genel Energy plc (the “Company”) solely for your information and for use at this presentation. All numbers and charts included in this presentation are from Company data unless specified otherwise. These materials may not be reproduced in any f
Slide 3: 2014 Half Year Highlights
2014 HALF YEAR HIGHLIGHTS Production Net working interest production averaged 63,000 boepd in H1 2014, up c.50%, and 82,000 boepd in May and June Gross production in May and June averaged 111,000 bopd from Taq Taq and 118,000 bopd from Tawke Pipeline exports First exports from the KRG via
Slide 4: Political Momentum Accelerating
POLITICAL MOMENTUM ACCELERATING Politics Political landscape in Iraq reshaped by ISIS Progress continues to be made on the formation of the Iraqi Government Turkey continues to provide unwavering support to the KRG Kurdistan on track to budgetary independence Operations Operations in K
Slide 5: Key Milestones to Sustainable Pipeline Exports
KEY MILESTONES TO SUSTAINABLE PIPELINE EXPORTS Nov-13: KRG/Turkey sign bilateral Energy Agreement Dec-13: KRI-Turkey oil pipeline completed Dec-13: First oil through KRI-Turkey pipeline Mar-14: Ramp-up of export volumes via KRI-Turkey pipeline infrastructure, currently at c.125,000 bopd Ma
Slide 6: H1 2014 Income Statement
H1 2014 INCOME STATEMENT $m H1 2014 H1 2013 YoY Significant production growth Average production (bbl/d) 63,000 41,500 52% Increased volumes due to exports via KRI-Turkey pipeline, trucked exports and strong domestic demand Revenue 192 161 20% Price realisations remain solid: Taq Taq truck e
Slide 7: Production and Sales
PRODUCTION AND SALES 100 Net Genel Production (kboepd) Net Genel Revenues ($m) 80 $500-$600m(2) H1 average: 63kboepd 60 40 c.145 kboepd 20 capacity Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 following Taq Taq 348 and Tawke Unrecognised 60-70 capacity revenue: upgrade c.$40m kboepd 63 192 44 161 42 H1
Slide 8: Capex
CAPEX H1 2014 capex Split $101m KRI development H2 2014 Capital Projects: $80m KRI exploration and appraisal Taq Taq CPF-II and $128m Africa exploration additional production wells $2m other Tawke production facilities, additional production wells Taq Taq CPF-II $550-$600m and export p
Slide 9: Cash Flow H1 2014
CASH FLOW H1 2014 $101m KRI development $500m senior $80m KRI exploration and unsecured bonds Net cash of appraisal due 2019, priced at $483m $2m other 7.5% in May 2014 1,200 500 4 26 1,000 974 115 182 800 700 128 600 $m 400 Cap Juby, Hagar Qim, Nour exploration 200 drilling, Ethiopia seismic acquis
Slide 10: KRI Oil
KRI OIL Taq Taq First deviated well TT-23 spudded in Q2 2014, first horizontal well TT-24 to spud in Q4 2014 Vertical development well TT-27 spudded in Q2 2014, TT-28 to spud in Q3 2014 Side-track of TT-22 (Taq Taq Deep) as a producer in Q3 2014 Completion of CPF II by the end of Q1 2015 t
Slide 11: KRI Gas
KRI GAS Export gas: Miran and Bina Bawi KRG exercised its back-in right for 25% in Miran in February 2014 Miran West-5 appraisal well results expected in Q3 2014 and well test to commence in Q4 2014 Gas sales offtake agreement with KRG for Miran and Bina Bawi expected to be signed by year-en
Slide 12: 2014 Exploration Programme
2014 EXPLORATION PROGRAMME Working Well/prospect Location H1 2014 H2 2014 interest Taq Taq Deep 44% KRI KRI Peshkabir-2 25% KRI Cap Juby 37.5% Morocco Hagar Qim 75% Malta (Area 4 Tertiary) Africa Dilolo 7.5% Angola (Block 39) Nour 60% Morocco (Sidi Moussa) Jacare 7.5% Angola (Block 38) 12
Slide 13: Summary & Outlook
SUMMARY & OUTLOOK Recent changes to political landscape in Iraq strengthen the KRG’s hand Politics Progress continues to be made on the formation of the Iraqi Government Significant production growth of > 50% in H1 2014 Oil 2014 production guidance maintained at 60-70,000 boepd Achieved fi
Slide 14: Appendix
Appendix 14
Slide 15: 2014 Activity by Quarter
2014 ACTIVITY BY QUARTER Q1 Q2 Q3 Q4 Politics & Commissioning of KRI- Ramp-up of export volumes via KRI-Turkey pipeline infrastructure Infrastructure Turkey export pipeline infrastructure Tawke-24 and 26 Taq Taq-23 first deviated well Taq Taq-28 vertical well spuds Tawke production capac
Slide 16: Regional Pipeline Infrastructure
REGIONAL PIPELINE INFRASTRUCTURE KRI/KRG controlled territory New KRI export pipeline Iraq – Turkey pipeline – Iraq section Iraq – Turkey pipeline – Turkish section 16
Slide 17: Genel Energy KRI Licenses
GENEL ENERGY KRI LICENSES Tawke Processing Capacity 708 200 mmbbls kbopd2 355 100 23 mmbbls 1,2 kbopd mmbbls 2P CR PR End-13 End-14 Ber Bahr 50 Dohuk mmbbls CR Bina Bawi 52 29 849 mmbbls mmboe mmbbls 2P CR CR Taq Taq Processing Capacity 579 200 mmbbls 120 kbopd kbopd 2P End-13 H1-15 Miran 845 696 mm
Slide 18: Africa Exploration
AFRICA EXPLORATION NORTH ATLANTIC OCEAN Mir Left Sidi Moussa Juby Maritime Area 4 MOROCCO Morocco Malta 3 licences, 12,761km2 combined 1 licence, 5,715km2 Juby Maritime (37.5% W.I.) Area 4 (75% W.I.) Sidi Moussa (60% W.I.) Mir Left (75% W.I.) ATLANTIC CÔTE D’IVOIRE OCEAN Luanda Odewayne San