Cmb.tech Nv · EURONEXT:CMBT
Cmb.tech Nv — Euronav — ITMMA (March 2011)
37 slides from Cmb.tech Nv's conference presentation, Mar 29, 2011
Slide 1: Presentation ITMMA, 29 March 2011
PRESENTATION ITMMA 29 MARCH 2011 1
Slide 2: Agenda
AGENDA 1. Key facts 2. Strategy 3. Market Demand Supply 4. Q&A 2
Slide 3: 1. Key Facts
1. Key Facts 3
Slide 4: Public company with solid reference shareholders
Public company with solid reference Shareholders EURONAV Stock Exchange: EURONEXT Ticker: EURN Bloomberg: EURN BB Reuters: EURN.BR SAVERYS – LIVANOS Free Float Families 36.36% 39.29% -- 20.97% Major shareholders 4
Slide 5: A Focused Fleet
A Focused Fleet Vessel Type Cargo intake / Euronav owned TC-IN World Fleet vessel (Weighted) FSO 3 m bls 2 x 50% n/a V-PLUS 3.2 m bls 1 0 2 VLCC 2 m bls 11 (2 CSR) 10 incl. JV 502 (weighted 10+ (2 x 1/2 in J/V) 5,55) New Building 2 m bls 1 VLCC SUEZMAX 1 m bls 20 (16 ice class) 0 363 New Building 1
Slide 6: 2. Strategy
2. Strategy 2. Strategy 6
Slide 7: A Balanced Strategy
A Balanced Strategy Year 2010 onhire days 1,899 days 14% 4,431 days 33% 7,100 days 53% fixed fixed-ps spot Break‐even OPEX VLCC $ 31,700 $ 10,200 Suezmax $ 24,000 $ 8,800 7
Slide 8: Newbuilding and Capex
Newbuilding and Capex NEWBUILDING CAPEX • 1 VLCC 2010: USD 52M – 3Q11 (remaining USD 20M) • 2 Suezmax 2011: USD 187M – 3Q12 2012: USD 60M – 3Q13 2013: USD 51M • 3 Suezmax in JV Total: USD 596M (excluding FSO conversion) – 3 in 2011 -> Financing fully secured until end 2011 (2 Suez + 1 VLCC) 8
Slide 9: Financing - Capital intensive Business
Financing- Capital intensive Business • Main Facility: USD 1.6B ¾ Maturity: 2013 ¾ Revolver of up to USD 488M • FSO Financing: USD 370M ¾ Maturity: 2017 • JV Vessels (2 Suezmax) ¾ Maturity: 2020 - 2021 ¾ All fully financed (pre and post delivery) • 2009 Facility: USD 300M ¾ Maturity: 2014 ¾ Covers N
Slide 10: Clients of Euronav
Clients of Euronav D> EXON Siaitp Gu>grul gSolyl TOTAL Saudi Aramco ConocoPhillips f Wy VALERO Shell bp Chevron <3 a . red Jj] PETROBRAS F cect 10
Slide 11: Spot Market, yes but in TI Pool
Spot Market, yes but in TI Pool • Increased access to information • Increased access to contracts (COA) • Increased access to private cargoes • Economies of scale • Greater flexibility (swap vessels) • Improved expertise through dedicated roles (demurrage,scheduling,…) • Global operation • Reduce th
Slide 12: Tankers International Pool
Tankers International Pool Euronav GC Tankers Reederei “Nord” Klaus E. Oldendorff Athenian Sea Oak Maritime (HK) Carriers Inc., Ltd. Overseas Shipholding Korea Line Group Corporation
Slide 13: Conversion into FSO
Conversion into FSO Type V-Plus Size: 442,893 dwt (FSO Asia) 441,655 dwt (FSO Africa) Owners: Joint venture between OSG and Euronav Storage capacity: 2,800,000 barrels per vessel Location: Al Shaheen Offshore Qatar (FSO Asia) Al Shaheen Offshore Qatar (FSO Africa) Lease period: 8 years until March 2
Slide 14: 3. The Market
3. The Market 14
Slide 15: World VLCC fleet earnings
World VLCC fleet earnings World Fleet VLCC Earnings (TCE) $160,000 Platts/BITR $140,000 TI VLCC Database TI Actual $120,000 $100,000 TCE $80,000 $60,000 $40,000 $20,000 $0 Jan 05 Jan 06 Jan 07 Jan 08 Jan 09 Jan 10 Jan 11 15
Slide 16: Demand
Demand 16
Slide 17: World oil production & demand
World oil production & demand World Oil Production in million bpd (Source - IEA) World Oil Demand in million bpd (Source - IEA) 90 90 Source: IEA Source: IEA 85 85 80 80 mbpd mbpd 75 75 70 70 65 65 1Q00 1Q01 1Q02 1Q03 1Q04 1Q05 1Q06 1Q07 1Q08 1Q09 1Q10 1Q00 1Q01 1Q02 1Q03 1Q04 1Q05 1Q06 1Q07 1Q08 1Q
Slide 18: World Oil Demand
World Oil Demand • Oil demand set to grow by 2%-3% between 2011 and 2015. • Oil demand fell 1.7% in 2009. • Demand increase mainly supported by Asia, Middle East and Latin America.
Slide 19: China Oil Statistics
China Oil Statistics EURO The ocean is our environment mbpd 2 2040 45 43 41 He) 37 315 China Crude Production (IEA Feb 2011) China -- 12 Month Average Production Forecast (Jun 10) Jan 07 Jan08 JanO09 Jan 10 Jan 11 Jan 12 Jan13 Jan 14 Jan 15 China Refining Additions (IEA June 2010) 0.80 -----2-2-2eee
Slide 20: Crude Production
Crude Production • Changes to production patterns will be positive for VLCC demand once oil demand recovers. – Longer tonne-miles
Slide 21: Crude Oil Price
$ibbl Crude Oil Price Crude Oil Price - Last 12 Months 120 - 110 -- 100 - 1 Mar 10 1 Jun 10 1 Sep 10 1 Dec 10 1 Mar 11 21
Slide 22: VLCC Storage
VLCC Storage VLCC Storage Seasonality (TUKA March 2011) 2009 2010 2011 t T T T t t t T t T T 1 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 22
Slide 23: OPEC Capacity on Call
mbpd OPEC Capacity on Call OPEC 12 Production (MEES Jan 11) Call on OPEC 2011 (IEA) BRO cn BOB qocccccccccccccccccccecesnescnttnnnsnnsnscscseeneneeeeeeeeeeeeeeececeeecenceeceeneeeeee 32.0 | i _ —Te CS OPEC 31.0 4 J _ Quota 30.0 .. 29.0 | 28.0 HITLHTTTATTT TAH TT eee 27.0 | HHI Hd 26.0 | LEAT Ee 25.0
Slide 24: Large Tanker Supply
Large Tanker Supply Supply 24
Slide 25: VLCC fleet development
VLCC fleet developement VLCC Fleet Development - Base Case Basts TUKA VLCC Database year start DH SH NBs TotalExt SHtoDH Growth Growth% 2006 467 304 1 18 2 0 16 34% 2007 483 322 161 29 22 4 v4 14% 2008 490 354 136 42 38 3 4 08% 2009 494 396 98 53 33 3 20 40% 2010 514 450 64 60 43 3 7 3.3% 2011 531 5
Slide 26: Suezmax fleet development
Suezmax fleet developement 26
Slide 27: Orderbook Delivery Schedule
Orderbook Delivery Schedule • TUKA cancellation and deferrals estimate.
Slide 28: Orderbook Delivery Schedule
Orderbook Delivery Schedule • Additional orders for delivery in 2013-14.
Slide 29: Scrapping
Scrapping URONAV The ocean is our environment VLCC Average Demolition Prices $/ldt $fldt Oct Sep Aug Jul Jun May Apr "92 "95 ‘98 ‘Ol ‘04 ‘o7 "10 Source: Clarkson Research Services Limited
Slide 30: Issues influencing Large Tanker Supply
Issues influencing Large Tanker Supply tanker market 30
Slide 31: Piracy
EURONAV The ocean is our environment [ / {— 4 PAKISTAN. Irene SL attacked Feb 9 SAUDI ée I ARABIA ee Back in season OC Avabion atmo Monthly attacks by Somali pirates =” = om m= 2008 = 2009 / af 7 1,000 nautical miles / from Somaii coast “ 7 / Attempted/actual a® Piracy attacks V2008 42010 @2011 Sour
Slide 32: North Africa-ME Unrest
North Africa-ME Unrest • Libya: 1.3 Mbls/day out of production • Same capacity has to come from somewhere else • Middle-East or West Africa 32
Slide 33: Japan Earthquake
Japan Earthquake • Japan is 3rd largest crude oil importer • 4.4 mbpd or 46% of Total Energy • Nuclear Energy was 11% of Total Energy -> additional Energy demand: * Short Term: Product + LNG * Mid Term: Crude for 300 kbpd 33
Slide 34: Thank you for listening
THANK YOU FOR LISTENING www.euronav.com 34
Slide 35: Key Figures 2004 - 2010
KEY FIGURES 2004 - 2010 In thousands of USD 31.12.2010 31.12.2009 31.12.2008 31.12.2007 31.12.2006 31.12.2005 REVENUES 525,075 467,844 858,983 563,136 688,855 587,511 EBITDA 260,298 195,265 658,769 344,027 431,965 372,383 EBIT 88,152 31,362 513,896 190,329 288,507 255,515 NET PROFIT 19,680 -17,614 4
Slide 36: Balance sheet 2004 - 2010
Balance sheet 2004 - 2010 In thousands of 31.12.2010 31.12.2009 31.12.2008 31.12.2007 31.12.2006 31.12.2005 USD ASSETS NON-CURRENT 2,337,131 2,500,550 2,278,551 2,091,158 2,165,302 2,003,205 ASSETS CURRENT 307,083 286,116 341,542 182,298 174,892 214,900 ASSETS TOTAL ASSETS 2,644,214 2,786,666 2,621,
Slide 37: Supply of ships in perspective
Supply of ships in perspective 37