This document contains the chairman's address and managing director's address from Santos Ltd's 2015 Annual General Meeting. The chairman discusses the volatility in oil prices in 2014 and Santos' actions to reduce costs and strengthen its balance sheet in response. He expresses confidence in Santos' strategy of supplying gas to Asia. The managing director reviews Santos' operational performance in 2014 and discusses its progress on LNG projects that are diversifying revenues. He commits to further cost reductions and emphasizes Santos is on track to become cash flow positive.
M&A activity in the o&g industry is at its lowest point in years. The number of deals in the first half of 2016 was 198, an "extremely low" number compared to what it has been in past years.
Nach einem eher verhaltenen Jahr 2013 nahmen 2014 M&A-Transaktionen in der Öl- und Gasindustrie deutlich zu. Angesichts des weiter sinkenden Ölpreises und der Entscheidung der OPEC gegen eine Drosselung der Fördermengen werden 2015 noch intensivere M&A-Aktivitäten in der gesamten Wertschöpfungskette stattfinden. Diese strategischen Deals sind für die Unternehmen wichtig, um Wertzuwächse zu erzielen, sich für kommende Marktturbulenzen zu rüsten und die Wettbewerbslandschaft zu ihren Gunsten zu formen.
The document summarizes an oil and gas mergers and acquisitions report from Deloitte for the first half of 2014. Some key points:
- While the total number of deals dipped slightly, the value of deals increased 38% due to several large transactions. The US and Canada accounted for 61% of deals.
- Exploration and production deal value increased over 90% due to continued focus on North American shale plays, though deal count rose only slightly. Producers are optimizing portfolios and focusing on highest-return assets.
- Rising costs are squeezing margins for producers, though efficiencies are improving production costs. Increased regulations and restrictions could further impact the industry.
Capital Power April Investor PresentationCapital Power
Capital Power is an independent power producer with over 3,100 MW of generation capacity across Canada and the US. They have a well-positioned fleet mix including gas, wind and coal assets. Capital Power has a proven track record of operational excellence with high plant availability. They also have a strong financial position and investment grade credit ratings. Capital Power is well positioned to deliver consistent dividend growth going forward as they expand their contracted cash flows.
This document analyzes Northern Oil & Gas for 2015. It estimates the company's extraction and development costs per barrel of oil equivalent to be $25.61. It calculates the company's weighted average cost of capital to be 9.62% based on its capital structure. The document also estimates the company can earn a pre-tax profit of $13.39 per barrel at current oil and gas prices, above its cost of capital, allowing it to potentially create value for shareholders.
Zambia imports all of its petroleum needs as it has no domestic crude oil reserves. Fuel prices in Zambia are regulated and determined using a cost-plus pricing model. This model takes into account all costs of procuring feedstock and ensures full cost recovery. Fuel consumption in Zambia averages around 52 million liters per month and is projected to grow 40% annually. Recent declines in global oil prices have led to drops in domestic fuel prices in Zambia. However, prices are expected to rise 5-7% until the end of 2015.
In May 2013, the Namibian Government announced that oil had been discovered in the Walvis Bay Basin. Although millions of dollars have been spent in exploration drilling, there is no oil production to date.
Although this marks the beginning of the Namibian Oil industry, the country does not officially have any petrol reserves on its soil and has to import all petroleum demand in refined form from neighbouring South Africa. .
Due to the fact that the Country does not have connections to regional petroleum pipes, it also has to depend entirely on South Arica regarding its route and supply source perspective. This has created a challenge to secure a more cost effective alternative fuel supply
The survey found:
- Executives expressed a pronounced lack of confidence in the Canadian economy, with a 20-point drop in those expecting growth. This is tied to low oil prices, with few expecting prices over $50/barrel until end of 2015.
- Opinions were split on whether Canada is in a recession, but most agree any growth will be slow. The outlook is most pessimistic for Alberta and oil/gas companies.
- Executives think the economy should be the top election issue and support monetary or fiscal stimulus. However, opinions were divided on government spending restraint versus stimulus.
- Most support the Bank of Canada's interest rate cut but some worry it encourages debt. F
M&A activity in the o&g industry is at its lowest point in years. The number of deals in the first half of 2016 was 198, an "extremely low" number compared to what it has been in past years.
Nach einem eher verhaltenen Jahr 2013 nahmen 2014 M&A-Transaktionen in der Öl- und Gasindustrie deutlich zu. Angesichts des weiter sinkenden Ölpreises und der Entscheidung der OPEC gegen eine Drosselung der Fördermengen werden 2015 noch intensivere M&A-Aktivitäten in der gesamten Wertschöpfungskette stattfinden. Diese strategischen Deals sind für die Unternehmen wichtig, um Wertzuwächse zu erzielen, sich für kommende Marktturbulenzen zu rüsten und die Wettbewerbslandschaft zu ihren Gunsten zu formen.
The document summarizes an oil and gas mergers and acquisitions report from Deloitte for the first half of 2014. Some key points:
- While the total number of deals dipped slightly, the value of deals increased 38% due to several large transactions. The US and Canada accounted for 61% of deals.
- Exploration and production deal value increased over 90% due to continued focus on North American shale plays, though deal count rose only slightly. Producers are optimizing portfolios and focusing on highest-return assets.
- Rising costs are squeezing margins for producers, though efficiencies are improving production costs. Increased regulations and restrictions could further impact the industry.
Capital Power April Investor PresentationCapital Power
Capital Power is an independent power producer with over 3,100 MW of generation capacity across Canada and the US. They have a well-positioned fleet mix including gas, wind and coal assets. Capital Power has a proven track record of operational excellence with high plant availability. They also have a strong financial position and investment grade credit ratings. Capital Power is well positioned to deliver consistent dividend growth going forward as they expand their contracted cash flows.
This document analyzes Northern Oil & Gas for 2015. It estimates the company's extraction and development costs per barrel of oil equivalent to be $25.61. It calculates the company's weighted average cost of capital to be 9.62% based on its capital structure. The document also estimates the company can earn a pre-tax profit of $13.39 per barrel at current oil and gas prices, above its cost of capital, allowing it to potentially create value for shareholders.
Zambia imports all of its petroleum needs as it has no domestic crude oil reserves. Fuel prices in Zambia are regulated and determined using a cost-plus pricing model. This model takes into account all costs of procuring feedstock and ensures full cost recovery. Fuel consumption in Zambia averages around 52 million liters per month and is projected to grow 40% annually. Recent declines in global oil prices have led to drops in domestic fuel prices in Zambia. However, prices are expected to rise 5-7% until the end of 2015.
In May 2013, the Namibian Government announced that oil had been discovered in the Walvis Bay Basin. Although millions of dollars have been spent in exploration drilling, there is no oil production to date.
Although this marks the beginning of the Namibian Oil industry, the country does not officially have any petrol reserves on its soil and has to import all petroleum demand in refined form from neighbouring South Africa. .
Due to the fact that the Country does not have connections to regional petroleum pipes, it also has to depend entirely on South Arica regarding its route and supply source perspective. This has created a challenge to secure a more cost effective alternative fuel supply
The survey found:
- Executives expressed a pronounced lack of confidence in the Canadian economy, with a 20-point drop in those expecting growth. This is tied to low oil prices, with few expecting prices over $50/barrel until end of 2015.
- Opinions were split on whether Canada is in a recession, but most agree any growth will be slow. The outlook is most pessimistic for Alberta and oil/gas companies.
- Executives think the economy should be the top election issue and support monetary or fiscal stimulus. However, opinions were divided on government spending restraint versus stimulus.
- Most support the Bank of Canada's interest rate cut but some worry it encourages debt. F
Preso q4 2017 financial results presentation final.compressedasanko6699
The document provides operating and financial results for Asanko Gold for Q4 and full year 2017. Some key highlights include:
- Gold production of 205,047oz for the year, within amended guidance range.
- All-in sustaining costs of $1,007/oz, above guidance due to higher pre-stripping costs.
- Net income before taxes of $30.7M for the year, up from $2016.
- $54.6M in cash and working capital at the end of the year.
- Signed a term sheet to defer repayment of debt principal by up to 3 years to enable construction of a conveyor in 2019.
1) Pakistan Petroleum Ltd (PPL) is Pakistan's oldest oil and gas company, incorporated in 1950. It has experienced fluctuating but overall increasing profits in recent years due to changes in oil prices and production volumes.
2) PPL has made several new discoveries that are expected to boost production and profits in the coming years, including in the Gambat South and Hadi blocks. Revising the pricing mechanism for gas in the Sui field could also substantially improve PPL's earnings.
3) Pakistan relies heavily on oil and gas, which make up 80% of its energy needs. While domestic production has remained flat, demand has grown, forcing increased reliance on imports. The government is working on new
Global Economic Outlook for Ethanol Producerskcoemkt
The document provides an overview of the global economic outlook for ethanol producers. It discusses factors such as crude oil and corn prices, US and global ethanol supply and demand fundamentals, export market conditions in countries like Canada and Brazil, and seasonal price trends for ethanol. It analyzes how economic conditions in key countries may impact their ethanol imports. The outlook suggests ethanol inventories may increase in early 2015 unless production rises or exports are stronger than expected.
Energy Industry Report: Energy Perspectives - January 2015Duff & Phelps
This edition of Energy Perspectives provides a recap of industry activity in 2014. Despite fairly consistent falling crude oil prices over the past six months, the industry experienced a record number of oilfield (OFS) M&A transactions for the fourth year in a row, achieving 329 announced transactions in 2014. For more detail on recent OFS trends, public comps and deal activity, read the report.
This document provides contact information for Devon Energy's investor relations team. It also contains standard legal disclaimers about forward-looking statements and the use of non-GAAP financial measures in company presentations. The rest of the document summarizes Devon's operations and financial position, highlighting its high-quality asset portfolio including top positions in the STACK and Delaware Basin plays, significant financial strength following asset sales, and a focus on capital discipline and returns.
- Seplat reported Q4 and full year 2014 results in line with expectations, with revenues of $775 million.
- The analyst has lowered their target price for Seplat shares from N771 to N756 due to higher operational risks on the Trans Forcados Pipeline and a slightly lower production forecast.
- Production guidance for 2015 is 32-36 thousand barrels of oil equivalent per day, with the startup of a new gas facility expected to increase gas volumes.
The document summarizes the performance of two investment strategies in April - Touch Tech and Refineries. Touch Tech added nearly 4% led by a short position in Amazon.com (AMZN) that profited 2.3%. Refineries added 3% with broad gains. The worst performers were Alternative Asset Managers and Shipping, each losing around 1.3%. Looking ahead, the author expects policies to reduce pollution in China to impact steel production and iron ore prices.
Goldman' Schawtz on FICC Trading. Very confident and skilful. Goldman Sachs has done the break down business by business and client by client. The bank has realized that they must be 'less Hedge Funds' and less 'NY-centric'. This is not a departure from the traditional market-making, it's more bi-directional targeting FICC <--Sales--> New Clients
I see no compromise possible.
GS has to wage a thermo nuclear war, retain the most Aggressive / fire the laggers in the cocoon.
WS pitch. Gives clarity on FICC From 05' to 09' industry wallet has doubled- GS is no. 1 but topped at 19%. Goldman FICC has maintained its 1st rank but both its share and revenues since have dropped ~50%.
S&P Equity Research is positive on the global energy sector and overweight the sector. They expect oil prices to rise in 2011-2012 due to improving global economic growth. For China, they forecast GDP growth of 9.4% in 2011 and 9.3% in 2012. They recommend PetroChina and CNOOC Ltd due to their upside from higher oil prices, but note Sinopec faces cost pressures. Risks include a slowdown in demand growth or higher than expected costs for companies.
This document provides a summary of Teranga Gold Corporation's Q1 2013 operational results conference call. The summary includes:
- Q1 2013 production was 68,301 ounces, a 63% increase over Q1 2012, with lower cash costs of $535/oz due to higher grades and throughput.
- A $50 million equipment financing facility with Macquarie was finalized to replace an existing lease and fund equipment purchases.
- An agreement was reached with the Senegalese government establishing a long-term partnership and resolving tax issues.
- 2013 guidance is reiterated with production of 190,000-210,000 ounces and cash costs of $650-700/oz, focusing on generating free cash flow.
This document provides an overview and outlook of the global ethanol market in 2015:
- The global ethanol market is transitioning from a surplus in 2014 to a deficit in 2015 as production growth slows but consumption continues to rise.
- The US remains the dominant exporter but production is driven by margins, which are currently at low levels. Exports are growing while imports fade.
- Brazil's demand is growing but production is steady, leading exports to fade and imports to grow.
- The EU market is shrinking as production faces pressure from declining demand and rising input costs. Exports are growing while imports fade.
- Asia Pacific remains a deficit region with demand growing faster than production, making it reliant on imports
2017 Trafigura interim report period ended 31 march 2017GE 94
The interim report summarizes Trafigura Group's financial performance for the period ended March 31, 2017. Key highlights include a 53% increase in revenue to $67.3 billion compared to the same period last year. Gross profit increased 6% to $1.237.9 million. Total assets increased 20% to $49.3 billion. The report also notes Trafigura was able to enhance its access to liquidity and reduce its leverage ratio from 1.48x to 1.14x, while continuing to invest in infrastructure assets.
This document provides contact information for Devon Energy's investor relations team. It also includes standard legal disclaimers about forward-looking statements, non-GAAP financial measures, and SEC definitions. The rest of the document summarizes Devon's asset portfolio and operating strategy, highlights successful well results and cost savings, and discusses two of Devon's key resource plays, STACK and the Meramec, in more detail.
Keynote: Navigating Turbulent Waters - An Assessment & Outlook for the O&G In...WorkforceNEXT
The document provides an assessment and outlook of the oil and gas industry given the recent downturn in oil prices. It notes that oil markets were imbalanced by just 1-2% but prices fell over 60%. The US drilling industry is experiencing the worst downturn ever with over 100,000 layoffs reported across the industry so far. The recovery is expected to be U-shaped rather than V-shaped as the supply-driven collapse will require a supply-side solution. Key trends discussed include ongoing workforce reductions, international markets holding up better than the US, and companies with high debt levels facing financial hardship.
- The document discusses AES Corporation's guidance for 2015-2018, including expectations for average annual growth rates and capital allocation plans.
- AES is lowering its 2016-2018 adjusted EPS outlook due to macroeconomic headwinds like currency fluctuations and commodity prices, but still expects strong growth in proportional free cash flow.
- The company expects to allocate $2.6 billion in discretionary cash through 2018 to investments, debt repayment, dividends, and share repurchases while maintaining a quarterly dividend of $0.10 per share with 10% annual growth.
Sunoco LP is transitioning its business model away from directly operating convenience stores to focus on fuel logistics and distribution. It is divesting the majority of its company-operated retail operations to 7-Eleven through a $3.3 billion sale expected to close in January 2018. It is also converting its 207 West Texas sites to a commission agent model. This transformation is laying the foundation for improved financial metrics through significantly reduced operating and capital expenses and a portfolio of stable income streams from the 7-Eleven agreement and other fuel distribution channels.
This presentation provides an overview of TransAlta Corporation, a power generator and marketer. Key points include:
- TransAlta has over 100 years of experience and a diversified portfolio of over 9,000 MW of generation capacity across Canada, the US, and Australia.
- The company has a proven track record of growth, having added over 1,700 MW since 2005, and sees potential for further expansion in strong markets.
- TransAlta aims to deliver shareholder value through a combination of dividend yield and growth. The company expects to generate $40-60 million in additional annual EBITDA through initiatives like the recently acquired Solomon Power Project in Australia.
- Significant upside is expected
GT - Growth strategy: Perspectives from financial executivesGrant Thornton
We’ve all heard the expression “grow or die,” but how are financial executives thinking about their own companies’ growth? A joint report by FEI Canada and Grant Thornton LLP that seeks to answer this question.
Grant Thornton - Survey of Upstream U.S. Energy Companies 2012Grant Thornton
The document provides a summary of the 2012 Grant Thornton LLP Survey of Upstream U.S. Energy Companies. Some of the key findings from the survey include:
1) Respondents expect natural gas prices to average $3.91/Mcf in 2012 and crude oil prices to average $93.14/barrel, with price volatility remaining a top concern.
2) Over 60% of respondents plan to increase domestic capital expenditures in 2012, though willingness to acquire reserves at higher prices declined slightly.
3) Employment in the oil and gas industry is expected to increase in 2012, with over 70% of companies anticipating higher employment levels and difficulties hiring technical staff.
4)
This document discusses global marketing communication strategies used by Apple Inc., including advertising, public relations, sales promotion, personal selling, direct marketing, product placement, and event sponsorship.
Presentation given at CLSA investors' forum in Hong KongSantos Ltd
This document provides a summary of Santos' 2014 CLSA Investors' Forum presentation. Some key points:
- Santos is Australia's leading domestic gas producer and a top-25 ASX listed company, with production of 140,000 boe/d.
- Three major projects were delivered successfully in 2014 - PNG LNG ahead of schedule, Peluang in Indonesia ahead of schedule, and Dua in Vietnam on schedule. The GLNG project in Australia is over 85% complete and on track to start up in 2015.
- Strong Asian demand is expected to drive significant growth in LNG demand and provide opportunities for new supply projects like Santos' GLNG.
- Santos' dividend was increased
Preso q4 2017 financial results presentation final.compressedasanko6699
The document provides operating and financial results for Asanko Gold for Q4 and full year 2017. Some key highlights include:
- Gold production of 205,047oz for the year, within amended guidance range.
- All-in sustaining costs of $1,007/oz, above guidance due to higher pre-stripping costs.
- Net income before taxes of $30.7M for the year, up from $2016.
- $54.6M in cash and working capital at the end of the year.
- Signed a term sheet to defer repayment of debt principal by up to 3 years to enable construction of a conveyor in 2019.
1) Pakistan Petroleum Ltd (PPL) is Pakistan's oldest oil and gas company, incorporated in 1950. It has experienced fluctuating but overall increasing profits in recent years due to changes in oil prices and production volumes.
2) PPL has made several new discoveries that are expected to boost production and profits in the coming years, including in the Gambat South and Hadi blocks. Revising the pricing mechanism for gas in the Sui field could also substantially improve PPL's earnings.
3) Pakistan relies heavily on oil and gas, which make up 80% of its energy needs. While domestic production has remained flat, demand has grown, forcing increased reliance on imports. The government is working on new
Global Economic Outlook for Ethanol Producerskcoemkt
The document provides an overview of the global economic outlook for ethanol producers. It discusses factors such as crude oil and corn prices, US and global ethanol supply and demand fundamentals, export market conditions in countries like Canada and Brazil, and seasonal price trends for ethanol. It analyzes how economic conditions in key countries may impact their ethanol imports. The outlook suggests ethanol inventories may increase in early 2015 unless production rises or exports are stronger than expected.
Energy Industry Report: Energy Perspectives - January 2015Duff & Phelps
This edition of Energy Perspectives provides a recap of industry activity in 2014. Despite fairly consistent falling crude oil prices over the past six months, the industry experienced a record number of oilfield (OFS) M&A transactions for the fourth year in a row, achieving 329 announced transactions in 2014. For more detail on recent OFS trends, public comps and deal activity, read the report.
This document provides contact information for Devon Energy's investor relations team. It also contains standard legal disclaimers about forward-looking statements and the use of non-GAAP financial measures in company presentations. The rest of the document summarizes Devon's operations and financial position, highlighting its high-quality asset portfolio including top positions in the STACK and Delaware Basin plays, significant financial strength following asset sales, and a focus on capital discipline and returns.
- Seplat reported Q4 and full year 2014 results in line with expectations, with revenues of $775 million.
- The analyst has lowered their target price for Seplat shares from N771 to N756 due to higher operational risks on the Trans Forcados Pipeline and a slightly lower production forecast.
- Production guidance for 2015 is 32-36 thousand barrels of oil equivalent per day, with the startup of a new gas facility expected to increase gas volumes.
The document summarizes the performance of two investment strategies in April - Touch Tech and Refineries. Touch Tech added nearly 4% led by a short position in Amazon.com (AMZN) that profited 2.3%. Refineries added 3% with broad gains. The worst performers were Alternative Asset Managers and Shipping, each losing around 1.3%. Looking ahead, the author expects policies to reduce pollution in China to impact steel production and iron ore prices.
Goldman' Schawtz on FICC Trading. Very confident and skilful. Goldman Sachs has done the break down business by business and client by client. The bank has realized that they must be 'less Hedge Funds' and less 'NY-centric'. This is not a departure from the traditional market-making, it's more bi-directional targeting FICC <--Sales--> New Clients
I see no compromise possible.
GS has to wage a thermo nuclear war, retain the most Aggressive / fire the laggers in the cocoon.
WS pitch. Gives clarity on FICC From 05' to 09' industry wallet has doubled- GS is no. 1 but topped at 19%. Goldman FICC has maintained its 1st rank but both its share and revenues since have dropped ~50%.
S&P Equity Research is positive on the global energy sector and overweight the sector. They expect oil prices to rise in 2011-2012 due to improving global economic growth. For China, they forecast GDP growth of 9.4% in 2011 and 9.3% in 2012. They recommend PetroChina and CNOOC Ltd due to their upside from higher oil prices, but note Sinopec faces cost pressures. Risks include a slowdown in demand growth or higher than expected costs for companies.
This document provides a summary of Teranga Gold Corporation's Q1 2013 operational results conference call. The summary includes:
- Q1 2013 production was 68,301 ounces, a 63% increase over Q1 2012, with lower cash costs of $535/oz due to higher grades and throughput.
- A $50 million equipment financing facility with Macquarie was finalized to replace an existing lease and fund equipment purchases.
- An agreement was reached with the Senegalese government establishing a long-term partnership and resolving tax issues.
- 2013 guidance is reiterated with production of 190,000-210,000 ounces and cash costs of $650-700/oz, focusing on generating free cash flow.
This document provides an overview and outlook of the global ethanol market in 2015:
- The global ethanol market is transitioning from a surplus in 2014 to a deficit in 2015 as production growth slows but consumption continues to rise.
- The US remains the dominant exporter but production is driven by margins, which are currently at low levels. Exports are growing while imports fade.
- Brazil's demand is growing but production is steady, leading exports to fade and imports to grow.
- The EU market is shrinking as production faces pressure from declining demand and rising input costs. Exports are growing while imports fade.
- Asia Pacific remains a deficit region with demand growing faster than production, making it reliant on imports
2017 Trafigura interim report period ended 31 march 2017GE 94
The interim report summarizes Trafigura Group's financial performance for the period ended March 31, 2017. Key highlights include a 53% increase in revenue to $67.3 billion compared to the same period last year. Gross profit increased 6% to $1.237.9 million. Total assets increased 20% to $49.3 billion. The report also notes Trafigura was able to enhance its access to liquidity and reduce its leverage ratio from 1.48x to 1.14x, while continuing to invest in infrastructure assets.
This document provides contact information for Devon Energy's investor relations team. It also includes standard legal disclaimers about forward-looking statements, non-GAAP financial measures, and SEC definitions. The rest of the document summarizes Devon's asset portfolio and operating strategy, highlights successful well results and cost savings, and discusses two of Devon's key resource plays, STACK and the Meramec, in more detail.
Keynote: Navigating Turbulent Waters - An Assessment & Outlook for the O&G In...WorkforceNEXT
The document provides an assessment and outlook of the oil and gas industry given the recent downturn in oil prices. It notes that oil markets were imbalanced by just 1-2% but prices fell over 60%. The US drilling industry is experiencing the worst downturn ever with over 100,000 layoffs reported across the industry so far. The recovery is expected to be U-shaped rather than V-shaped as the supply-driven collapse will require a supply-side solution. Key trends discussed include ongoing workforce reductions, international markets holding up better than the US, and companies with high debt levels facing financial hardship.
- The document discusses AES Corporation's guidance for 2015-2018, including expectations for average annual growth rates and capital allocation plans.
- AES is lowering its 2016-2018 adjusted EPS outlook due to macroeconomic headwinds like currency fluctuations and commodity prices, but still expects strong growth in proportional free cash flow.
- The company expects to allocate $2.6 billion in discretionary cash through 2018 to investments, debt repayment, dividends, and share repurchases while maintaining a quarterly dividend of $0.10 per share with 10% annual growth.
Sunoco LP is transitioning its business model away from directly operating convenience stores to focus on fuel logistics and distribution. It is divesting the majority of its company-operated retail operations to 7-Eleven through a $3.3 billion sale expected to close in January 2018. It is also converting its 207 West Texas sites to a commission agent model. This transformation is laying the foundation for improved financial metrics through significantly reduced operating and capital expenses and a portfolio of stable income streams from the 7-Eleven agreement and other fuel distribution channels.
This presentation provides an overview of TransAlta Corporation, a power generator and marketer. Key points include:
- TransAlta has over 100 years of experience and a diversified portfolio of over 9,000 MW of generation capacity across Canada, the US, and Australia.
- The company has a proven track record of growth, having added over 1,700 MW since 2005, and sees potential for further expansion in strong markets.
- TransAlta aims to deliver shareholder value through a combination of dividend yield and growth. The company expects to generate $40-60 million in additional annual EBITDA through initiatives like the recently acquired Solomon Power Project in Australia.
- Significant upside is expected
GT - Growth strategy: Perspectives from financial executivesGrant Thornton
We’ve all heard the expression “grow or die,” but how are financial executives thinking about their own companies’ growth? A joint report by FEI Canada and Grant Thornton LLP that seeks to answer this question.
Grant Thornton - Survey of Upstream U.S. Energy Companies 2012Grant Thornton
The document provides a summary of the 2012 Grant Thornton LLP Survey of Upstream U.S. Energy Companies. Some of the key findings from the survey include:
1) Respondents expect natural gas prices to average $3.91/Mcf in 2012 and crude oil prices to average $93.14/barrel, with price volatility remaining a top concern.
2) Over 60% of respondents plan to increase domestic capital expenditures in 2012, though willingness to acquire reserves at higher prices declined slightly.
3) Employment in the oil and gas industry is expected to increase in 2012, with over 70% of companies anticipating higher employment levels and difficulties hiring technical staff.
4)
This document discusses global marketing communication strategies used by Apple Inc., including advertising, public relations, sales promotion, personal selling, direct marketing, product placement, and event sponsorship.
Presentation given at CLSA investors' forum in Hong KongSantos Ltd
This document provides a summary of Santos' 2014 CLSA Investors' Forum presentation. Some key points:
- Santos is Australia's leading domestic gas producer and a top-25 ASX listed company, with production of 140,000 boe/d.
- Three major projects were delivered successfully in 2014 - PNG LNG ahead of schedule, Peluang in Indonesia ahead of schedule, and Dua in Vietnam on schedule. The GLNG project in Australia is over 85% complete and on track to start up in 2015.
- Strong Asian demand is expected to drive significant growth in LNG demand and provide opportunities for new supply projects like Santos' GLNG.
- Santos' dividend was increased
Liquefied natural gas (LNG) is natural gas that has been cooled to -161°C to become a liquid, reducing its volume by 600 times to enable transportation. Australia has several LNG projects under development that will cost $200 billion and create 100,000 jobs. LNG exports are expected to increase significantly, boosting export revenue and taxes which can fund major infrastructure projects. LNG is safe to transport and burns cleaner than coal.
This document discusses various global marketing communication strategies including advertising, public relations, sales promotion, personal selling, direct marketing, and product placement. It provides company profiles of Apple Inc. and PT. Indofood as examples and discusses how different communication strategies can be used together in an integrated marketing approach.
Hydraulic fracturing, or fracking, is used
to increase the flow of oil or natural
gas from a well. It has been used safely
around the world since 1949 in over two
and a half million wells.
Santos has used fracking to produce
oil and gas in South Australia and
Queensland for nearly 50 years. It has
also been used in other industries to
increase the flow of water wells or
to clean up hazardous waste sites4.
In over 60 years of operations, there
has not been one proven case of water
contamination as a result of fracking.
Studies in the United States, United
Kingdom and here in Australia have
concluded that fracking can be
undertaken safely.
The document summarizes Santos' 2014 Investor Seminar, which provided updates on their GLNG upstream project. The GLNG project is 90% complete and on track to deliver first LNG in mid-2015 within budget. Well performance at Fairview and Roma fields has exceeded expectations, with field capacity expected to reach 500 TJ/day. Gas hub construction is finished and commissioning is advancing. The project remains on schedule and within budget for first LNG in the second half of 2015.
This document outlines the key elements of global marketing communication including advertising, public relations, sales promotion, personal selling, direct marketing, and product placement. These marketing communication tools are used to promote companies and their products or services to both public and business audiences on a global scale. Effective use of these strategies helps companies share their message and build relationships with customers worldwide.
Natural gas is an abundant Australian
energy resource which has been used
in our country for over 100 years. It is
a naturally occurring compound made
up of mainly methane. Odourless and
colourless, it is found in different types
of rocks, including sandstones, coal
seams and shale.
Natural gas has the lowest carbon
intensity among fossil fuels, emitting
less carbon dioxide (CO2) per unit of
energy generated. It burns cleanly and
efficiently, with very few non-carbon
emissions.
In 2012, the oil and gas industry
contributed $29.4 billion to the
economy including approximately
$8.8 billion in income tax, corporate
tax and resource royalties.5
Santos GLNG alone will generate
billions of dollars in royalties and
taxes for Queenslanders for decades
to come. That means more money
for Queensland schools, roads
and hospitals.
In New South Wales, the Narrabri
Gas Project is expected to contribute
over $1.6 billion in royalties to the
State over the life of the project,
helping to deliver hospitals, schools,
roads, police services, public transport
and other state-based infrastructure
and public services.
This document is Santos Ltd's Third Quarter Activities Report for the period ending 30 September 2014. It reports that Santos achieved its highest quarterly production in seven years of 14.0 million barrels of oil equivalent. Key activities included PNG LNG reaching full production capacity and progress on the GLNG project, which remains on budget and on track to deliver first LNG in 2015. It provides details on Santos' production and sales by product and region for the quarter, nine months year-to-date, and maintains 2014 guidance.
The document summarizes Santos' graduate and vacation programs. The 12-week vacation program provides projects, field visits, presentations, and exposure to oil and gas for undergraduates. The graduate program includes orientation, rotations through different roles with support and mentoring, and prioritizes vacation program students. Santos offers opportunities in geoscience, engineering, and other roles. Benefits include a great culture, technical development, and the ability to see projects through from exploration to production. Profile summaries are provided for graduates who have progressed in roles like reservoir engineering, completions, and geology.
200215 Santos 2014 full year results presentationSantos Ltd
Santos today announced a 2014 underlying net profit of $533 million, up 6 per cent on the previous year.
Full-year highlights
•Production up 6% to 54.1 mmboe
•Sales revenue up 12% to $4 billion
•EBITDAX up 8% to $2,153 million
•Operating cash flow up 13% to $1,843 million
•PNG LNG start-up ahead of schedule with the project shipping 55 LNG cargoes in the year
•GLNG more than 90% complete and on track for first LNG in the second half of 2015, within budget
•Final dividend maintained at 15 cents per share, bringing the full-year dividend to 35 cents per share, up 5 cents
La agricultura ecológica trata de que las personas busquen soluciones a sus problemas a partir de recursos que tienen a su alcance, de los conocimientos que han adquirido a lo largo de su vida
Fourth quarter production of 15.1 mmboe - 15% higher than the corresponding quarter - brought full-year production to 54.1 mmboe. This was a 6 per cent increase on the previous year and within the company’s guidance range of 53-55 mmboe.
“Notwithstanding the fall in oil prices, Santos has delivered growth in full-year and quarterly production, and record sales revenue,” Santos Managing Director and Chief Executive Officer David Knox said.
“These results affirm the strength of Santos’ underlying business, the transformation of our operations and the positioning of the company as a major player in the Asian LNG market.”
“We look forward to further growth in 2015 with the start-up of GLNG in the second half of this year.”
Santos reported higher second quarter production and sales volumes compared to the previous corresponding period. Production was up 12% and sales volumes were up 4%. Capital expenditure decreased significantly by 65% for the quarter. Santos maintained its full year 2015 guidance despite lower realized oil prices negatively impacting revenue, which was down 19% for the quarter. The company continues to reduce costs and its GLNG project remains on track to begin LNG exports by the end of the third quarter.
Pwc report- Oil and gas industry-Sept-2014Santos Ltd
Australia’s oil and gas industry plays an important role in the prosperity of Australia’s economy through its value-add, employment, scale of technology, and tax contribution.
To understand its relative contribution to the Australian economy, APPEA has engaged PwC to prepare a policy paper that examines the economic importance of the oil and gas industry to the Australian economy and national incomes.
Los ácidos húmicos y fúlvicos son el resultado del proceso de descomposición de la materia orgánica, la parte más selecta para ser asimilada por las plantas.
Santos operates three producing gas assets in Indonesia and is developing a fourth. It produces gas from the Oyong, Wortel and Maleo fields offshore East Java, which is piped to shore. It also produces oil from the Oyong field, which is exported via an offshore facility. Santos is working to develop the Ande-Ande Lumut oil field in the Northwest Natuna PSC, with plans for a wellhead platform and FPSO to produce an estimated 40,000 barrels of oil per day. The company employs over 200 people in its Indonesian operations.
CF Industries had a strategically strong year in 2015. They executed on their strategy of reducing costs and maximizing prices to generate cash flow and shareholder returns. Key accomplishments included making progress on $4.6 billion in expansion projects, acquiring the remaining 50% of their UK joint venture, and entering agreements to combine with OCI NV and form a strategic venture with CHS Inc. Looking ahead to 2016, CF Industries is focused on completing their expansion projects and initiatives to deliver growth and value to shareholders.
Petroleum Executive of the Year Keynote, by H.E. Khalid Al-FalihEnergy Intelligence
37th Oil & Money Conference
www.oilandmoney.com
For more information news@oilandmoney.net
Keynote by H.E. Khalid Al-Falih, Minister for Energy, Industry and Mineral Resources, Kingdom of Saudi Arabia and Chairman of the Board of Directors - Saudi Aramco
OCI reported financial results for fiscal year 2014 with increased revenues and earnings. Revenues grew 8% to $2.7 billion on higher product volumes, while EBITDA excluding one-time items increased 23% to $833 million. The company realized strong performance from its new Sorfert Algeria plant and Dutch operations. OCI focused on projects in the US, completing a debottlenecking project and continuing construction of a new Iowa fertilizer plant and Texas methanol facility. Management expects these projects to significantly increase production capacity by 2017. Favorable exchange rates and low natural gas prices are expected to benefit OCI's performance in 2015 as its expansion program progresses.
Trafigura Group Pte. Ltd. reported financial and business highlights for the six-month period ended 31 March 2016. Group revenue was $44.1 billion, down from $48.2 billion in the prior year period. Gross profit was $1,172.9 million, down from $1,514.6 million in 2015. Oil and petroleum products accounted for 62% of revenue while metals and minerals accounted for 38%. The company saw a continuation of strong trading performance and growth in traded volumes. Key industrial assets also transitioned from construction to commercial operations during the period.
The annual report summarizes the 2014-15 season as a ground breaking year for Westland Milk Products. Key highlights included establishing the company's first offshore entity in China, beginning construction of a new UHT facility, and value added products contributing 19.6 cents to the payout. The Chairman's report notes that it was a challenging year due to low global dairy prices, but that the company remains focused on its strategy of adding value to milk and reducing reliance on commodities. This strategic shift is aimed at ensuring a sustainable, profitable future for shareholders.
The document provides an overview and summary of AES Corporation's first quarter 2016 financial review. Some key points:
- Adjusted EPS decreased from $0.25 to $0.13 primarily due to foreign currency devaluations, lower power prices in the US and expiration of a power purchase agreement in Brazil.
- Proportional free cash flow was $253 million, in line with 2015 levels, with lower margins in the US, Brazil and Europe offset by higher collections in Brazil and the US.
- AES is on track to achieve its $150 million, 3-year cost reduction program and sees growth driven by its $7.5 billion construction program through 2018.
The AES Corporation released its first quarter 2016 financial review which included the following key points:
- Adjusted EPS decreased from $0.25 to $0.13 primarily due to foreign currency devaluations, lower power prices in the US and Brazil, and a higher quarterly tax rate.
- Proportional free cash flow was $253 million, in line with 2015 levels, with decreases in the US, Andes, Europe, and MCAC SBUs offset by increases in Brazil and Asia.
- The company is on track to achieve its $150 million, 3-year cost reduction program and its $7.5 billion construction program is advancing on schedule and will be the major driver of future
The document provides an overview of AES Corporation's fourth quarter and full year 2016 financial results. Some key points:
- AES delivered on its 2016 guidance and made progress reducing costs and exiting non-core assets.
- It expects to complete $3.4 billion worth of power projects under construction by 2019.
- AES aims to achieve $350 million in annual cost savings by 2018 and an additional $50 million by 2020 through its Performance Excellence program.
- For 2017, AES expects to deliver 8-10% average annual growth in free cash flow, adjusted EPS, and shareholder dividends through 2020.
Oil and Gas Job Search presenteert samen met Hays de Oil & Gas Global Salary Guide, een toonaangevend rapport over salarissen, secundaire arbeidsvoorwaarden en het aannemen van nieuwe medewerkers. Met zo’n 24.000 deelnemers verdeeld over 53 landen in 24 verschillende takken binnen de olie- en gassector biedt de Hays Global Salary Guide u inzicht en advies en helpt u met uw recruitmentplannen voor 2014.
Lees hoe salarissen afgelopen jaar per regio, niveau en specialisme zijn veranderd.Experts geven hun visie op de onderzoeksresultaten en op hoe dit een positief effect op uw organisatie kan hebben. Lees hoe u uw arbeidsvoorwaarden kunt afstemmen op de behoeften van werknemers binnen de Oil & Gas sector
PVA is an E&P company focused on transitioning from natural gas to oil production through development of its Eagle Ford Shale position. It has grown its Eagle Ford acreage and is seeing strong production and reserve growth from its Eagle Ford drilling program. PVA is also taking steps to improve its financial liquidity by selling non-core assets and reducing capital spending and dividends. Its strategy is focused on continued expansion of its Eagle Ford drilling inventory and reserves to grow its oil and liquids production and cash flows.
This investor presentation provides an overview of Penn Virginia Corporation (PVA):
1) PVA has transitioned to focus on oil and liquids-rich plays like the Eagle Ford Shale, growing oil production over 250% since 2010.
2) The company is executing a strategy of continued drilling in the Eagle Ford with an inventory of up to 250 well locations, while maintaining gas assets for potential future price recovery.
3) Challenges include the capital intensity of the industry and building financial liquidity, which PVA is addressing through asset sales and reducing spending and dividends.
This document is CLP Holdings Limited's annual report for 2008. It provides an overview of the company's financial performance, business activities, and outlook. The report discusses the challenges posed by the economic slowdown but notes that CLP was still able to deliver earnings of HK$10.4 billion, close to the previous year's level, thanks to the resilience of its business model. It also explains the company's approach to financial reporting and provides analyses of key aspects of its financial statements such as assets, liabilities, earnings, and cash flows.
ACC401 Week 3 Assignment 1 1
ACC401 Week 3 Assignment 1 6
Business Acquisitions
ACC401 Advanced Accounting I
Pacific Gas and Electric Company is a publically traded company, a subsidiary of the larger Pacific Gas and Electric Corporation. The company was established in 1905, in central California (Pacific Gas and Electric Company, 2015). The company deals majorly with sales and delivery of natural gas and electricity. The company has grown a great deal and as at December 31st, 2014, the company had an employee count of 22,569. This is a testament to the productivity of the company. The financial statement of the year indicates that the company is at a high place and may, in fact, be able to expand its operations and diversify in their product line. In a situation as unique as this, the company may as well look into different opportunities in the energy industry (United States Securities and Exchange Commission, 2014).
In the last five, years, the company has come to grow its operating revenue by over twenty percent. This is an indication of the company’s potential performance if the productive nature is to be transferred to different markets. The company has maintained a steady and very strategic pace in its productivity and overall organizational growth. The energy industry has experienced some difficult economic times in the last five years but the Pacific Gas and Electricity Company has managed to strategize their operations in such a way that realizes organizational growth regardless of the economic atmosphere. The company is therefore in a position to consider a significant move in the energy industry that would result in the expansion of the company (United States Securities and Exchange Commission. 2014).
The company, as mentioned, has capitalized on making profits from the sale and delivery of natural gas and electricity. This is two of the most valuable and profitable commodities in the world today. The market for the products it sales is, therefore, a highly profitable venture. The company has not majored in the manufacture or production of the products it sells. It has for a long time experienced limited exponential growth due to this fact. It is because of this that there is a need for the company to set up a plan to expand to other markets. It is important to note that with the company track record and the need to develop, it would be invaluable if the company leveraged its position for economic gain.
The company recorded a net income amount of 1.4 billion (United States Securities and Exchange Commission). 2014. This is as small number compared to the tens of billions that other energy companies have come to return annually. The advancement of the organization would demand that the stakeholders limit the drawings that are made at the end of the year. Several other cuts will be necessary if the plan will realize the eventual growth of the company. It is important that the company limit its controlling inte.
Phillips 66 Partners reported $1.8 billion in adjusted EBITDA and $1.1 billion in capital expenditures for the first quarter of 2015. The company acquired interests in three pipeline assets for $1.1 billion, which are expected to generate $115 million in EBITDA for 2015. Phillips 66 Partners also announced $275 million in organic growth projects, focused on expanding its Bakken and Eagle Ford midstream infrastructure.
Sysco reported results for its second quarter of fiscal year 2017. Net earnings increased 1% and adjusted operating income rose 27.7% due to contributions from the Brakes acquisition. Gross profit growth of 19.2% outpaced operating expense growth of 17.1% due to disciplined case growth, supply chain cost leverage, and expense management. The company raised its three-year adjusted operating income target to $600-650 million due to solid execution of its strategic plan and performance in the first half of the fiscal year.
This document is the 2015 annual report for LyondellBasell, one of the world's largest plastics, chemicals and refining companies. The summary is:
1) In 2015, LyondellBasell achieved record financial results including $8.1 billion in EBITDA and $4.4 billion in income from continuing operations, despite challenges in the energy sector.
2) Operations performed strongly with improved safety and reliability. Expansion projects in the US increased ethylene capacity and positioned the company for long-term growth.
3) The company returned over $6 billion to shareholders through dividends and share repurchases, placing it among the top performers in the S&P 500 for share
This transcript summarizes the Q1 2008 earnings call for Spectra Energy Corp. In the call, Fred Fowler, the President and CEO, and Greg Ebel, the CFO, discussed Spectra Energy's strong financial results for Q1 2008. They announced two value-enhancing initiatives - a plan to repurchase up to $600 million of Spectra Energy shares, and a recommendation to increase the quarterly dividend from $0.23 to $0.25 per share. Fowler and Ebel believe these moves will reward investors and illustrate the company's underlying value and earnings potential. They also discussed segment results, capital expansion plans, credit metrics, and an outlook for continued strong performance in 2008.
- PVA is a small-cap E&P company focused on oil and liquids-rich plays like the Eagle Ford Shale, with excellent drilling results to date in the Eagle Ford
- PVA is executing a strategy to transition from natural gas to oil and liquids, through its Eagle Ford position and other oil-focused assets
- Key catalysts for PVA include further exploratory success in the Eagle Ford, increasing Eagle Ford production and margins, and selling its Granite Wash assets to boost liquidity
Sunoco LP provided an investor presentation that included the following key points:
1. The presentation included forward-looking statements and non-GAAP financial measures with required reconciliations.
2. Sunoco executed a business transformation that divested retail sites and refinanced debt to improve its financial profile and leverage targets.
3. Going forward, Sunoco expects a lean cost structure from its fuel distribution business with stable income streams from fuel sales and rental income. It aims to grow through organic expansion and acquisitions while maintaining disciplined financial policies.
The document is a speech given by the CEO of Santos Ltd at an oil and gas conference in the Northern Territory of Australia. The key points are:
1) Santos has a long history in the Northern Territory and sees it as core to their future as a natural gas company.
2) Natural gas has an important role to play in meeting growing global energy demand while reducing emissions compared to coal. The Northern Territory contains a large unconventional shale gas resource that could supply domestic and export markets.
3) However, exploration and development of onshore gas in Australia faces challenges from activism leading to bans and moratoriums. This restricts supply and contributes to rising domestic gas prices, posing economic issues.
Santos has outlined its new strategy to drive sustainable shareholder value by becoming a low-cost, reliable
and high performance business.
Speaking at the company’s Investor Day in Sydney, Santos Managing Director and Chief Executive Officer
Kevin Gallagher said Santos will implement a disciplined, three-phase strategy to drive shareholder value.
• Transform: Simplify the business to focus on five core, long-life natural gas assets: Cooper Basin; GLNG;
PNG; Northern Australia, and Western Australia Gas. The remaining assets will be packaged and run
separately for value as a standalone business.
• Build: Progress growth opportunities across higher margin conventional assets and maximise production
across operated assets. Open infrastructure and facilities to increase throughput and drive down unit
costs.
• Grow: Develop focused exploration strategy and capability, and identify additional gas supply to drive
long-term value from the five core, long-life natural gas assets.
Edith Emily Dornwell was the first woman in Australia to graduate with a science degree, the first woman to graduate from the University of Adelaide and the first person to graduate from the University of Adelaide in 1885 with first class Honours in physics and physiology.
The internship initiative has been developed by the Office for Women within the Department for Communities and Social Inclusion, with funding from the Department of State Development’s Office of Science, Technology and Research.
Shale gas is natural gas. It is found
in hard, dense underground rocks
called shale (in the past shale was
called slate). Shale gas is odourless,
colourless and mostly methane,
exactly the same as natural gas used
in homes and businesses.
Shale gas was first extracted in the
United States in 1821, but it is only
in the last decade that advances in
technology have made production
viable on a large scale. As a result, shale
gas has grown from 1 per cent of the
United States’ natural gas production
in 2000 to over 26% today.*
The United States Energy Information
Administration has estimated that
Australia could have 437 trillion
cubic feet of recoverable shale gas,
the equivalent of over 200 years of
production at current rates.
Coal seam gas (CSG) is a type of natural gas found trapped within underground coal seams. CSG makes up over 87% of eastern Australia's gas reserves and is an important source of energy, supplying over 1 million homes and powering over 90% of Queensland's gas supply. CSG is extracted through drilling wells into coal seams hundreds of meters below ground, and removing the water that traps the gas, allowing the methane to be captured and distributed through pipelines. The CSG industry provides economic benefits through job creation and supporting regional communities, while gas is a lower emissions fuel than coal when used for electricity generation. Strict regulation aims to ensure CSG extraction is conducted safely and sustainably.
A 41.9 meter bicycle was constructed through a collaboration between Santos Ltd and the University of South Australia in an attempt to break the Guinness World Record. Second year mechanical engineering students at the University designed the bike, which consists of six 6-meter sections plus detachable front and rear sections. On January 17th, the bike will attempt to travel 100 meters unaided to break the current record of 35.79 meters. The project provided valuable experience for the engineering students and showcased the industry collaboration between Santos and the University.
This nine-day event brings top UCI WorldTour professional cycling teams to race on the streets of Adelaide and regional South Australia each January. Up for grabs are important UCI points and the Santos Ochre Leader’s Jersey.
Australian oil and gas exploration and production company Santos has entered into a partnership with OzHarvest which will bring the food rescue group to Western Australia for the first time.
OzHarvest collects surplus food from all types of providers (including fruit and vegetable markets, supermarkets, hotels, wholesalers, farmers, corporate events, catering companies,restaurants) and delivers that food free of charge to charity clients.
With its headquarters in Sydney, OzHarvest has operations in Brisbane, Gold Coast, Newcastle, Melbourne and Adelaide, and is now coming to Perth.
Santos Chairman, Ken Borda, today announced the appointment of Yasmin Allen to the Santos Board as an independent non-executive director, effective 22 October 2014.
UnityNet World Environment Day Abraham Project 2024 Press ReleaseLHelferty
June 12, 2024 UnityNet International (#UNI) World Environment Day Abraham Project 2024 Press Release from Markham / Mississauga, Ontario in the, Greater Tkaronto Bioregion, Canada in the North American Great Lakes Watersheds of North America (Turtle Island).
Cleades Robinson, a respected leader in Philadelphia's police force, is known for his diplomatic and tactful approach, fostering a strong community rapport.
Methanex is the world's largest producer and supplier of methanol. We create value through our leadership in the global production, marketing and delivery of methanol to customers. View our latest Investor Presentation for more details.
ZKsync airdrop of 3.6 billion ZK tokens is scheduled by ZKsync for next week.pdfSOFTTECHHUB
The world of blockchain and decentralized technologies is about to witness a groundbreaking event. ZKsync, the pioneering Ethereum Layer 2 network, has announced the highly anticipated airdrop of its native token, ZK. This move marks a significant milestone in the protocol's journey, empowering the community to take the reins and shape the future of this revolutionary ecosystem.
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1. Santos Ltd
ABN 80 007 550 923
Ground Floor, Santos Centre
60 Flinders Street
Adelaide South Australia 5000
GPO Box 2455
Adelaide South Australia 5001
Direct: + 61 8 8116 5000
Facsimile: + 61 8 8116 5623
TO: ASX Market Announcements
FROM: Company Secretary
DATE: 30 April 2015
SUBJECT: 2015 Annual General Meeting
Please find attached the Chairman, Managing Director and Chief Executive Officer, and
Chairman-Elect’s addresses to the 2015 Annual General Meeting held in Adelaide today.
David Lim
Company Secretary
2. CHAIRMAN’S ADDRESS
Ladies and gentleman, 2014 was a year of rapid change and great contrast.
We started the year with confidence in the overall state of the world's economies and
global commodity prices. This confidence was further reflected in the sheer progress
made by our company both at home and abroad as we continued to deliver key
growth projects.
The year ended with considerable uncertainty across our industry. This uncertainty
was reflected in the significant fall in the Santos share price, and we have continued
to see considerable volatility and uncertainty in the oil price since the beginning of
2015.
The Board and I are all shareholders and we are acutely aware of the impact of the
price decline on all of our shareholders. While it does not mitigate the impact of the
share price decline, it is important to explain the full context of this change.
Santos' business is commodities based. The commodities we sell – oil, LNG and
gas - are priced against similar commodities in global markets. In recent times there
has been significant downward pressure on the oil price.
This downward pressure has been triggered by a number of forces:
• The growth in production of shale oil in the US - which has led to a sharp
increase in the global supply of oil;
• The geopolitical environment has and remains turbulent; and
• Very significantly for oil prices, there has been a material change in OPEC oil
supply behaviour.
These downward forces on the price of oil rapidly affected the price we receive for oil
and LNG.
Not only are prices significantly down - they are also increasingly volatile.
On page 47 of your Annual Report which is available at today’s meeting, you will see
a chart of the oil price over the last 5 years. The extended period of stability,
compared to recent volatility, is clear.
Ultimately price weakness and volatility translates to lower sales revenues and cash
flow for oil and gas producers. These forces are reflected in our share price today.
While we clearly cannot control the price of oil, we were cognizant that global
pressures were building towards the end of last year, and took appropriate measures
to address the situation, and we have continued to respond appropriately.
We ensured the company’s balance sheet remained strong and today have
approximately A$2.6 billion in available liquidity to meet the company’s current
operating and growth commitments.
3. We also cut capital expenditure for 2015 by 44% - that’s around one and a half billion
dollars.
Production expenditure has been reduced as well. Across the business we are
driving efficiencies and eliminating costs. As a result, we are forecasting at least a
10% reduction in production costs this year. And in December we put in place a $1
billion bi-lateral debt facility which we can draw upon if required to further support our
liquidity profile, and act as a further buffer.
In addition to these proactive responses, the company’s diverse portfolio of assets
will also play an important role. Our asset base is capable of providing healthy
returns in a range of oil price scenarios. This demonstrates the strength a diverse
portfolio can provide.
The Board and management are working hard to ensure that the company’s entire
suite of assets is performing well, delivering their highest production levels in five
years.
The Board’s confidence in the long-term return potential of our assets has been
endorsed by two recent and significant transactions.
The global Shell / BG merger this month has been driven by a long-term view of the
role of LNG as a transitional fuel for advanced and emerging economies.
It further validates Santos’ growth strategy in the LNG sector, and the company’s
confidence in the long-term revenue streams that will be realised from assets such
as PNG LNG and GLNG.
The multi-billion dollar acquisition of Apache’s Australian assets by the private equity
funds of Macquarie Capital and Brookfield Asset Management, also supports the
position Santos has taken in Western Australia’s domestic energy sector. That deal
gives the buyers a 55% share in two significant gas hubs supplying the West
Australian market. And Santos owns the other 45%.
The valuation in both these transactions reflect long-term confidence in oil, LNG and
gas prices.
Your Board believes that as a result of the actions we have taken, Santos is well
prepared to meet the likely challenges of the changed oil price environment – both
operationally and financially.
This brings me to our strategic setting.
The long-term history of the oil price shows not only considerable volatility, but the
capacity of the oil price to recover after steep downward pressure.
This long-term history, together with our outlook for oil supply and prices, reinforces
our confidence in the strategy that Santos has put in place and progressed over
recent years.
4. This strategy recognises the opportunity presented by the rapidly growing demand
for energy across Asia. Becoming a regional energy player, supplying oil, but
particularly LNG, to Asian markets remains a key underpinning for this company’s
future.
By 2030, the global population is forecast to grow by another 1.3 billion people. This
will drive a 50% increase in energy demand over the next 15 years – a great deal of
it in Asia.
It's worth noting that today around 1.3 billion people in the world are currently without
electricity.
Santos has significant onshore gas resources on the East Coast of Australia, but
domestic gas demand was, and will remain, insufficient to justify development of this
vast resource. The price we could obtain in the domestic market would not provide
the company with an appropriate level of return for developing these resources.
As a result, the growth in energy demand in Asia remains a key medium to long term
opportunity for Santos - and for that matter also for Australia and PNG, which have
abundant resources but comparatively small population and industry bases.
Indeed in May of last year, PNG LNG exported its first LNG cargo ahead of
schedule. We have since shipped a further 87 cargoes. This is a significant
achievement for the project and for Santos, marking a considerable increase in the
company’s LNG production and cash flows.
This year, our GLNG project is expected to produce first LNG around the end of the
third quarter – a milestone that signals a change in the company that will ultimately
bring our LNG exports to over 3 million tonnes of LNG per annum, from just 300,000
tonnes in 2013. This will be the company’s most important milestone in realising the
strategy we embarked on a decade ago.
The Board’s confidence in the company’s strategy is founded on the progress the
company has made to date and bolstered by our views on:
• The long-term strength of Asia’s economies;
• The corresponding growth in energy demand and specifically LNG demand that
this is creating;
• The quality of our reserves and resources that we will seek to unlock to meet that
growing demand; and
• The experience and technical skills of the team at Santos.
It is the combination of these factors that will ensure that Santos is able to deliver
improving returns to shareholders.
I want to now address the topic of dividends.
When we announced the adoption of a progressive dividend policy last year…we
made it clear that when we determine the dividend it is necessary that the Board
strike a balance between higher dividends; the level of funding the company
5. requires; the appropriate levels of gearing - as well as the ongoing investment
required to operate our projects and deliver future growth.
With the start-up of PNG LNG in the first-half of 2014 and receipt of first cash from
the project, we were pleased to announce a 33% increase in the interim dividend
from 15 cents per share to 20 cents per share, fully franked.
In light of the current oil price environment, the Board elected to maintain a cautious
approach and set the final dividend at 15 cents per share, fully franked. This is the
responsible course of action and a decision that allows us to remain well-funded to
continue with the execution of our strategy.
In terms of the business going forward, the Board has adopted a cautious and
conservative approach for the oil price outlook and our budget and business plans
reflect this.
This outlook for oil prices was recognised in a non-cash impairment of approximately
$1.6 billion after tax, which David will refer to in his address. It is worth noting that
this impairment has not impacted Santos’ investment grade credit rating.
It should be recognised that as a result of our actions the full-year 2014 dividend was
increased to 35 cents per share, up 17% on the prior year.
Both the interim and final dividend were also fully franked - increasing the returns
available to shareholders and distributing more franking credits to shareholders.
When I addressed you at our Annual General Meeting last year I stressed the
importance of our retail shareholder base. Our retail shareholder base has grown by
30% to around 150,000 individual and family shareholders today. We believe this is
a reflection of the confidence our retail shareholders have in the company’s
prospects for long-term growth and overall shareholder returns.
Ladies and Gentleman, the final item I wish to address is my retirement as Chairman
and member of the Board which I announced in March this year.
It has been a great privilege to serve as Chairman for the past two years, and as a
Board Member for more than eight years. Over this time I have seen the company
transform into the internationally relevant energy company it is today.
My decision to retire from the Board is based on a decision to lighten the overall level
of board responsibilities that I have.
After 8 years with the company, and in the knowledge that we have a strong and
experienced Board I am pleased to hand over to Mr Peter Coates, who will resume
the role of Chairman from the end of the meeting. Many of you will know that Peter
previously served as Chairman from 2009 until 2013.
I also wish to welcome Yasmin Allen to the Board. Yasmin was appointed to the
Board in October last year. She has more than 20 years’ experience in finance and
6. investment banking and brings extensive governance, leadership and risk
management skills to the table.
Yasmin is also a Director of Insurance Australia Group Limited, Cochlear Limited and
ASX Limited.
In conclusion, I would like to thank my fellow Board Members for their counsel and
support, and all of the Santos team for their dedication and hard work.
The Board acknowledges the impact of the share price decline on all shareholders
and shareholder disappointment in the share price.
And the Board remains resolute in the delivery of our strategy and in delivering
shareholder returns.
I now ask David Knox to present his operational review before we commence the
formal business of the meeting. Thank you.
MANAGING DIRECTOR AND CHIEF EXECUTIVE OFFICER’S ADDRESS
Thank you Ken and good morning everyone.
Ken has made clear this morning that in the face of a rapidly changing oil price
environment from the end of 2014. Santos has reacted effectively.
We have substantially reduced capital and operational spend and materially
strengthened the Company’s balance sheet:
• Capex has been cut by 44% compared to last year;
• Operational spend will be at least 10% lower this year; and
• Our balance sheet has been reinforced through a $1 billion bilateral loan facility.
Your Board and senior management have extensive experience in the oil and gas
and resources industries. We are adapting to the current cycle by reducing our
spending controlling what we can and, I believe, doing it well.
The sharply changed conditions in global energy markets in recent months have
rightly been the focus of news about our sector.
In this climate we should not forget the sound operational performance Santos
achieved in 2014 so I want to take you through the highlights of that performance
this morning.
Excellent safety outcomes underpin good operational performance.
Strong safety performance at a time of very high activity is especially important for
our people and the successful delivery of our projects.
In 2014, Santos employees and contractors collectively worked for over 45 million
hours and we again reduced the total recordable injury case frequency.
7. This is an important indicator of safety awareness and performance because it
includes even the most minor injuries. It is the litmus test for company-wide attitudes
towards safe work practices.
The lost time injury frequency rate – this is when someone misses a day or more
from work because of an injury – also stayed at the lowest levels in the company’s
history.
This is an encouraging achievement, especially from our teams in the field.
I'm pleased to say that to date there has not been a Lost Time Injury this year. I
believe it demonstrates how safety is embedded in everything we do.
I'm now going to talk about our financial performance.
The net loss of $935 million for 2014 came as a result of the steep falls in global oil
prices and the markedly changed global supply dynamics from the end of the year.
Ken explained these to you earlier.
The net loss was incurred because of $1.6 billion in non-cash impairment charges.
As you know, they do not impact our investment grade credit rating or any of our
debt facilities.
When you look underneath those non-cash, balance sheet items the numbers show
a continued sound operating and financial performance.
Sales revenues were up 12% from the previous year and surpassed $4 billion for the
first time in the company’s history.
Underlying profit in 2014 was up 6% on the previous year, at more than half a billion
dollars.
LNG revenues more than doubled during 2014.
This is an important point.
The LNG strategy that we have been developing over the past seven years through
projects such as Darwin LNG, PNG LNG and GLNG…is beginning to transform the
Company’s revenues and cash flows.
The 2014 result reflects the start-up of PNG LNG and the strong continued
operational performance from Darwin LNG.
In 2015, at a widely forecast average oil price of US$60 per barrel, we expect to be
free cash flow positive in the fourth quarter.
With GLNG also operational and shipping LNG cargoes we will be free cash flow
positive - after capital expenditure - for the full year in 2016 using the same oil price
assumptions.
8. This is clearly a substantial improvement in the Company’s cash flow outlook despite
the lower oil price environment that we are currently working within.
Ken has again clearly shown in his address this morning that our strategic setting to
become a key energy supplier and partner to Asia remains the right path and we are
making great progress in that direction.
But I want to assure you that neither the Board nor management plan to simply rely
on our strategy or our assumptions or the capex and operating cost reductions that
we have made to date.
I am committed to driving further efficiencies and relentlessly reducing costs right
across the business. It is mine and this company’s intention to ensure that this
approach is embedded within our operations and that we are seen as a successful,
low cost producer amongst our global peers.
In 2014, we saw quarter on quarter increases in production, and we ended the year
24% higher than where we started.
In fact, we delivered our highest annual production levels since 2009.
This reflects both the successful start-up of production from PNG LNG and the
higher Cooper production.
On the topic of PNG LNG, I recall at last year’s meeting I mentioned that the first
cargo was being loaded.
Since then the project has delivered 87 cargoes to our customers in Asia.
This is an outstanding achievement underpinning a strong long-term cash flow
stream for the company.
As I have said before, we are confident that PNG LNG production can be expanded
beyond the current scope adding to the cash flow outlook.
While it remains too early to say exactly how and when that expansion will be
achieved as an existing infrastructure owner and the holder of prospective acreage,
Santos is very well placed to benefit from any expansion that may take place.
The successful ramp-up of PNG LNG capped off a positive year in terms of project
delivery for Santos.
We also added two more assets to our portfolio – being Peluang in Indonesia and
the Dua field in Vietnam.
All three projects were delivered on or before schedule, and on budget.
This is further evidence of our strong track record on project delivery and our
relentless focus on costs.
9. On the screens you can see footage of progress at GLNG. Around the end of the
third quarter of this year we expect to produce the first LNG.
GLNG is our most ambitious project to date. This is the final pillar of our
transformation strategy which began in 2008.
I very recently visited both the upstream facilities and the LNG plant on Curtis Island
and the pictures behind me don’t fully show how advanced this project truly is today.
In short:
• The upstream production hubs are complete and are ready to go.
• The 420 kilometre pipeline is complete; and
• We are in the very final stages of construction and commissioning on Curtis
Island.
We are clearly on track to meet our completion target date, within the US$18.5 billion
budget.
Furthermore, our upstream fields are performing better than expected which -
combined with gas from third parties – will comfortably meet the requirement to fill
train 1 and ramp-up train 2 on target.
We are very comfortable that we also have sufficient gas resources to fill both our
trains for 20 years.
This project is a game-changer for Santos.
It underpins our strategy and once operational will confirm our position as a leading
supplier of LNG into the Asian gas market with three operating LNG projects.
All three projects are backed by long-term off-take agreements to high quality Asian
buyers. Darwin LNG, PNG LNG and GLNG will provide the company with strong
cash flows for decades to come.
While accessing the Asian market is an important strategic achievement in itself, I
think one thing not fully appreciated is the important role that GLNG has played in
unlocking our vast resources in Australia.
GLNG has facilitated the development of our coal seam gas fields in Queensland but
it has also been an essential catalyst for the development of our wider east coast
resources.
It has exposed the Cooper Basin to new markets which has made continued
development of the Cooper viable. This would not have been the case without
GLNG.
If Santos had remained as heavily focused on the domestic market as it was just 10
years ago, those resources would not be commercially viable today.
10. In fact, the Cooper’s new lease of life was very clearly evident in 2014 with increases
in both oil and gas production.
Higher gas prices lead to higher investment and ultimately production. And that is
what is happening in the Cooper today.
In the current climate our focus is on maximising efficiencies and operating only the
best wells to ensure our investment continues at a pace consistent with prevailing
market conditions.
We are scaling back our unconventional program in the short term.
However we have seen some very promising results from the 12 unconventional
wells that have been drilled, so this will be a very exciting opportunity for us in the
medium to long-term as the oil supply and price environment steadies and ultimately
improves.
We have also been focusing on applying technology to create efficiencies in drilling
operations.
One example is what you can see on the screens behind me.
This is the Ensign rig which has the remarkable ability to actually pick itself up and
walk to each drilling location on a pad.
This innovative technology not only delivers meaningful time and therefore cost
savings but also substantially improves safety in the field.
Turning to exploration, our organic growth as a company has been aided in the past
12 months thanks to some good exploration and appraisal success in our Western
Australian, Northern Territory and our Asian acreage.
I'm pleased to say the recent Bestari discovery, which occurred earlier this month
came as we made our first entry into Malaysian waters.
In Western Australia, the Lasseter discovery came off the back of the Crown
discovery in 2012. We are excited to see the extent of the very high quality
sandstone reservoirs that we have found in both of these wells.
In the Bonaparte Basin off the Northern Territory earlier this year we announced the
further success with the Barossa appraisal program.
The result at Barossa 3 confirmed a much larger and better quality resource than
was originally anticipated.
Overall, the Barossa success to date strengthens the field’s position as a key
contributor to the long-term gas supply for Darwin LNG.
In closing, notwithstanding the impact of the changed oil price environment, there is
a lot to be excited about when you look at the Santos story going forward.
11. As I have shown you, we are transitioning from the focus of a high capital spend
phase to a period of operations, focused on cost control and strong and stable cash
flow.
Looking to the future as Ken highlighted by 2030 the world is going to need 50 per
cent more energy driven by a population growth of 1.3 billion people.
This is a fundamental driver of demand for energy from all sources known to
mankind, from fossil fuel to renewables.
It underpins the medium to long-term fundamentals for the energy sector –
particularly in this region and particularly for gas which on any reasonable
assessment is an essential energy source for a cleaner world environment.
That is why our portfolio of assets has us well positioned.
As we complete our major investment program, we have increasing flexibility and
capability to focus on delivering growth in shareholder value.
Now before I finish, I did want to congratulate Ken on his retirement and thank him
for his leadership and outstanding contribution to the company over the past 8 years.
Ken’s contribution to Santos has been outstanding throughout his time on the Board,
and for me in particular, his two years as Chairman.
I am forever grateful for his wise counsel and leadership and wish him and his wife,
Karen, all the best for the future.
CHAIRMAN-ELECT ADDRESS
Good morning ladies, gentlemen, shareholders.
It is a great honour to be addressing this meeting again.
I am going to focus my short address today on the areas which I see as a priority for
me as Chairman and for the entire Board as we continue to oversee the company’s
work to deliver and grow long-term shareholder value.
Firstly, we will work to ensure that Santos’ share price more appropriately reflects the
strong fundamentals and the positive value that the Board absolutely believes is
inherent in the company.
I understand that the current volatile oil price has created some uncertainty for
shareholders – both retail shareholders and our larger institutional shareholders.
However a greater recognition is needed on the value of the assets that Santos
control, the value of the infrastructure that we have built, the value of the contracts
we have put in place, and the considerable strength of the long-term energy demand
in our region.
12. As incoming Chairman, I will devote my absolute attention to ensuring that the
investments we have made and the returns they are capable of producing - are truly
understood and reflected in the share price.
Secondly, while today’s low oil price is a setback, it does create an opportunity which
must not be missed, and we will capitalise on this opportunity to ensure the
organisation is competitively positioned for the future. We will use this low point in
the cycle to drive down costs and improve productivity.
We have already rebalanced our capital program and we have made good progress
with our cost reduction, something both Ken Borda and David Knox have talked
about today.
The next step as David emphasised in his address, is to drive productivity across the
entire organisation. The Board is intent on ensuring Santos emerges from today’s oil
price challenge as a more productive, agile and leaner business - a business that is
not only viable at US$55 oil, but is competitive in any oil price environment. This will
require a culture change within the organisation. It will require different decision
making processes, and different ways of doing things. And this is something that the
CEO and executive are focused on delivering.
Finally, I would like to make it clear that the Board remains confident in the path that
we have chosen and the strategy that we have adopted. We believe we have the
right strategy, the right access to resources, and the right team in place.
Before we end today’s proceedings I would like to acknowledge Ken Borda.
Ken, it has been both a great pleasure and a privilege to work with you over your
time as a Non-executive Director and as Santos’ Chairman. On behalf of the Board, I
would like to extend our thanks to you for your commitment and enormous
contribution to our company.
Fellow shareholders, I thank you for your commitment to Santos and for your time
today. I will be joining you in the foyer for refreshments following this meeting, and
would be very pleased to answer any questions you may have at that time.
Thank you.