Ecopetrol Sa · BVC:ECOPETROL
Ecopetrol Sa — Q2 2015 Earnings Presentation
13 slides from Ecopetrol Sa's earnings presentation, Aug 6, 2015
Slide 1: Operational and Financial Results 2Q-2015
Ecopetrol Corporate Group Operational and Financial Results 2Q-2015 August 6th 2015
Slide 2: Disclaimer
Disclaimer This document was prepared by Ecopetrol S.A. with the purpose of providing the market and interested parties certain financial and other information of the Company. This document may include strategy discussions and forward-looking statements regarding the probable development of Ecopetro
Slide 3: Management Participants
Management Participants Juan Carlos Echeverry Juan Pablo Ospina CEO VP of Commercial and Marketing Camilo Marulanda Magda Manosalva Executive VP CFO Héctor Manosalva Cesar Barco VP of Development and Production VP of Growth & Strategy (A) Orlando Diaz Alberto Vargas VP of Refining and Industrial Pro
Slide 4: Agenda
Agenda 1. Market Overview 2. 2Q-2015 Highlights 3. Operational Update 4. Financial Results 5. Outlook 3Q-2015 6. Q&A 4
Slide 5: Market Overview
Market Overview Oil Prices COP/USD Average* USD 120 BRENT $ 3.000 110 103 WTI 96 2,480 2,500 USD 100 97 $ 2.500 MAYA ECP BASKET 1,913 USD 80 $ 2.000 63 58 USD 60 55 55 53 $ 1.500 49 44 43 USD 40 $ 1.000 USD 20 $ 500 USD 0 $0 2T-2014 2Q-2014 1T-2015 1Q-2015 2T-2015 2Q-2015 2T-2014 2Q-2014 1T-2015 1Q-
Slide 6: Second Quarter Highlights
Second Quarter Highlights Upstream Midstream/Downstream Financials • Production increase of 5% • High gross refining • Net income * COP$1.5 vs. 2Q-2014 margin: US$17.2/Bl Tn and Ebitda of COP$ (+58% vs. 2Q-2014) 4.5 Tn • New water treatment facilities in Castilla (240 • Apiay-Monterrey pipeline • CO
Slide 7: Upstream Performance
Upstream Performance Ecopetrol + Net Interests* Production: (mboed) + 5% • Growth in Castilla and Chichimene as well 773 768 as higher availability in Caño Limón- 755 765 Coveñas. 734 52 51 53 51 49 • Reactivation of drilling activity in Rubiales 704 713 722 714 field. 685 • 80% progress in air inje
Slide 8: Midstream and Downstream Performance
Midstream and Downstream Performance Volumes Transported by Cenit (mbd) Midstream Crude Oil Products 1.274 1.229 1.156 1.229 • Higher availability of the Transandino 253 250 248 250 and Caño Limón - Coveñas systems. 1.021 979 908 979 • Increase in the volume of transported products to meet local dem
Slide 9: Income Statement Drivers (COP$Tn)
Income Statement Drivers (COP$Tn) Effect in 16,93 + 1.02 Δ 2Q 2014 – 2Q 2015 Net Income + 3.10 14,01 - 7.04 -2.92 (-) Total Sales 2Q-2014 Volumes Price FX 2Q-2015 10,60 + 0.45 + 1.07 + 0.38 - 0.20 9,42 Cost of - 2.88 -1.18 (+) Sales 2Q-2014 Volume Price FX Stocks Other 2Q-2015 1,42 1,04 - 0.26 Opera
Slide 10: Key Financial Results (COP$ Tn)
Key Financial Results (COP$ Tn) Margin % Δ 2Q 2014 – 2Q 2015 39% 6.5 32% 4.5 Ebitda and -$2.0 Ebitda Margin 2Q-2014 2Q-2015 5.0 2.8 Pre-Tax Income 2Q-2014 2Q-2015 -$2.2 2T-2014 2T-2015 2.2 1.1 Income Tax -$1.1 2T-2014 2Q-2014 2T-2015 2Q-2015 15% 2.6 Net Income* and 11% 1.5 Net Margin -$1.1 2T-2014 2
Slide 11: Variation of Net Income by Segment (COP$Tn)
Variation of Net Income by Segment (COP$Tn) E&P Refining & Petro. Transport Lower income due to Higher yield of mid- Increase in transported lower crude export distillates and better volumes and positive basket price. spread between FX effect. crude-product. 2,6 - 1.8 - 0.02 1,5 + 0.4 +0.3 2T-2014 2
Slide 12: Third Quarter Outlook
Third Quarter Outlook Upstream Midstream/Downstream Financials/Other • Two new recovery pilots and • General maintenance of a • Advance the divestment expansion of water injection crude unit (U200) in B/meja process of EEB and ISA. pilot in Chichimene. refinery. • New water disposal facilities • Exe
Slide 13: Q&A
Q&A 13