Investor Presentaiton
New Strategic Positioning, Focused on Expanding Maha's Footprint and Maximizing Shareholder Returns
For future M&A opportunities, Brazil presents an attractive free cash flow per barrel
The new direction comes with key near term workstreams and priorities, including:
||
Improvement of Maha's current capital structure,
strengthening the balance sheet and cash position
Optimization of CAPEX and OPEX to capture enhanced
returns for deployed capital
III
Analysis of asset portfolio optimization, including
divestments and new developments / M&A
•
THE NEW STRATEGIC POSITIONING CONTAIN M&A FOCUSED GROWTH IN ORDER TO
MAXIMIZE RETURNS TO SHAREHOLDERS
Maha will look for accretive opportunities, paying attractive entry multiples (EV/2P;
P/NAV; EV/EBITDA)
• The company is set to focus on mature fields to diversify its current production profile
.
•
Current pipeline includes I) Conclusion of divestment of Maha Brazil; II) Potential
divestment US assets and III) Conclusion of business combination with DBO Energy
Conclusion of Oman farmout and Joint Operational agreement, bringing a local partner
with expertise and de-risking the project
Brazil continues to be an attractive option for future M&A's
18.8%
12.5%
10.0%
5.0%
onshore offshore onshore offshore
1) Up to 7,5%
20.0%
16.5%
12.5%
11.3%
10.0% 10.0%
30.0%
27.5%
(*)
Brazilian royalties'
rate leads to higher
free cash flow
generation compared
to other countries
Other upsides:
In some Brazilian
states there are
incentives programs
such as SUDENE that
can reduce up to 75%
the income tax rate
8
Source: ANP 2021, The Law Library of Congress, Global Legal Research Center
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