Investor Presentaiton
DE-RISKING AND DIVERSIFYING THE BUSINESS
Gas development reduces exposure to oil price volatility, increasing the visibility and profitability of revenues
sepat
eplet
plat
ASSURING OIL
REVENUES
seplat
› Operate mature, de-risked,
low-cost fields
> Addition of OML 40 adds
production and export routes
not dependent on Trans
Forcados pipeline
› Increased focus on improving
uptime and efficiency
› Drilling programme focused
on high return wells
DIVERSIFYING
EXPORT ROUTES
> Imminent Amukpe-Escravos
pipeline significantly
de-risks exports from
OMLS 4,38 & 41
> Mostly buried pipeline will
reduce losses from
vandalism
> Potential for offshore FPSO
route linking Amukpe-
Escravos to OML 40 export
route, to reduce handling
charges and losses
GAS OPPORTUNITY
WILL DRIVE GROWTH
> Massive opportunity for
Oben and ANOH to serve
growing domestic market
> Increasing contribution of
gas to Group revenue and
profitability
› Gas prices not linked to oil
price, reducing volatility of
Group cash flows
› Gas pipelines less prone to
damage
> High drop-through of cash
from gas revenues
PRUDENT CAPITAL
MANAGEMENT
> Flexible capex can be
dialed up or down to align
with prevailing conditions
and future needs
> Focus capex on highest-
return prospects
> Well-managed balance
sheet, not over-levered
> Limited debt servicing
required in 2020 & 2021
> Solid credit rating, able to
tap markets when
appropriate
FINANCIALSTRENGTH
EVEN AT LOW PRICE
› Significant cash balance of
$343m available
> Hedged 1.5MMbbls per
quarter at $45 for
>
Q1-Q3 2020 and 2.0MMbbls
for Q4 2020 (1.5MMbbl @
$30 and 0.5MMbbl @ $35),
plus 1.0MMbbl @ $30 for Q1
2021
Low-cost producer with unit
cost of production at
$7.60/boe in H1 2020
> Profitable at lower oil prices
› Robust business continuity
plan proven during pandemic
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SEPLAT PETROLEUM DEVELOPMENT COMPANY PLC | INVESTOR PRESENTATIONView entire presentation