MEDCOENERGI. Investor Update. PT Medco Energi Internasional Tbk.

Transcription

1 MEDCOENERGI Investor Update PT Medco Energi Internasional Tbk. Singapore, September, 25 Broadening the Horizons

2 Disclaimer This document contains certain financial conditions and results of operation, and may also contain certain projections, plans, strategies, policies and objectives of the Company, which could be treated as forward looking statements within the meaning of applicable law. Forwards looking statements, by their nature, involve risks and uncertainties that could cause actual results and development to differ materially from those expressed or implied in these statements. PT MEDCO ENERGI INTERNASIONAL TBK. does not guarantee that any action, which should have been taken in reliance on this document will bring specific results as expected.

3 Company Overview Strategic assets spread across Indonesia 1H5 Revenue Contributions 16.7% 72.6% 9.1% 1.6% Drilling Exploration & Production Methanol Power E&P Oil and Gas focused company, supported by onshore and offshore drilling operations, expanding to power opportunities. Medco (MEDC) is listed in JSX. Gross 1P reserve MMBOE (59% oil, 41% gas) Gross 2P reserve 574. MMBOE (35% oil, 65% gas) Medco s Oil and Gas assets in Indonesia are strategically located to supply gas demand.

4 1H5 Operational Highlights OPERATION HIGHLIGHTS 1H5 1H4 % Oil PRODUCTION / BOPD 59,748 56,2 6.3 Gas Sales /MMCFD TOTAL Oil and Gas production (BOEPD) 85,48 72, Offshore Rig Utilization / % 1 1 Onshore Rig Utilization / % Methanol Production / MT 111,79 11,886 1 Methanol Sales / MT 11,963 17,794 3 Crude Price, USD/barrel Gas Price, USD/mmbtu Methanol Price, USD/MT LPG Delivered / MT* 15,25 4, * Started production in March 24

5 1H5 Financial Results (in million US$) Revenues Net Income Cash & Equivalents H5 1H4 1H5 1H4 1H5 1H4

6 Oil and Gas Assets Snapshot Langsa US Gulf of Mexico Libya Asahan Kakap Bengara Tarakan Simenggaris Nunukan SUMATRA Kampar Merangin KALIMANTAN Samboja Sanga Sanga Senoro-Toili SULAWESI Yapen Rimau SS Extension Lematang Jakarta JAVA Tuban Madura Jeruk PAPUA Brantas Medco Energi s E&P assets: 11 producing blocks 7 exploration blocks 1 development block Major assets are: Rimau, SS Extension and Kampar (oil production) Kakap and Brantas (gas production) Senoro Toili and Lematang (gas reserves) Production Development Exploration Headquarter Diversified block portfolio with strategic locations next to Java, a, Sumatra and Singapore

7 Reserve Replacements Strategy Implementation Exploration Primary Indonesia focus Disciplined approach to exploration focus on: Best prospects Near existing fields Strategic alliance with foreign partners From 25-27, plan to drill 6 exploration wells 43 wildcats and 17 delineation wells Target 7 Indonesian exploration & 4 production blocks, and Libya Acquisitions Indonesia focus Balanced mix of producing and exploration assets Leverage Indonesia network and market intelligence and experience to acquire new blocks

8 Senoro-Toili Development Numerous Developments on Senoro Tiaka oil field started producing 1,4 BOPD, expected production rate 4, BOPD Over 2.5 tcf (2P total, 53 mmboe) of natural gas under marketing Significant progress in 25 June: Exclusivity agreement to sale to mini-lng project of a Australian-listed company (12 mmcfd) May: Development plan approved in 25 for up to 23 mmcfd (Phase I) March: Binding-HOA to supply Ammonia Plant (13 mmcfd), Panca Amara Utama Other options for Phase II MOU with PGN for East Java, CNG, (1 mmcfd) CNG to Bali IPP (1 mmcfd) Direct sales to Inco & Antam Mines (up to ~2 mmcfd of demand)

9 Libya Update Oil Upside Medco signed an Exploration and Production Sharing Agreement ( EPSA ) with Libya s National Oil Company for Area 47 6,182 sq kilometer area in the Ghadames Basin, Northwest Libya Effective March 12, 25 Medco 5% and Verenex 5% 2D & 3D seismic is expected to start in 25, and drilling commences in 26 Significant oil upside: discoveries of 2 oil fields, approximately total of 6 million barrels

10 Offering Summary Issuer PT Medco Energi Internasional Tbk Offering Size Approximately US$3 million with over-allotment option Type of Security Secondary common shares directly or in the form of global depository shares Each GDS will represent 5 common shares Selling Shareholder Encore International Limited Offering Structure Listing Lock-up Period Joint Bookrunners Europe/Asia: Reg S US: 144A (QIBs only) Domestic: Institutional Luxembourg Stock Exchange IOB System of the London Stock Exchange PORTAL Market of NASDAQ 9 days Merrill Lynch International Credit Suisse First Boston UOB

11 Offering Summary Demand & Allocation Breakdown Largest Corporate equity issuance in Indonesia since the crisis Total gross order of US$ 846 million (3-times oversubscribe), involving 119 investors from: USA 39% Asia 31% Europe 25% Approximately 25% investors are first-timers in Indonesia

12 Ownership Structure 6.8% Treasury Shares ENCORE (Densico) 5.7% Public 42.5% Note: as of August 31, 25

13 Exploration with Strategic Partners (Higher Risk) Planned Exploration Program (Lower Risk) Comprehensive Growth Strategy Medco s Existing: Reserves Exploration acreage Planned Organic Growth (PUD + P2) Producing Assets + EOR

14 Supplements

15 Financial Highlights 1H5 FINANCIAL HIGHLIGHTS (in million USD) 1H5 1H4 % Revenue Gross Profit Income from Operations Net Income EPS (USD/share) Equity Total Assets 1,42.2 1,

16 E & P Reserves and Production Gross Reserves (MMBOE) Average daily production (MBOEPD) MMBOE 25 X 8 MBOEPD 1 USD/bbl H4 1H5 Oil Gas Reserve life ratio Oil Production Gas Sales Oil Price Source: Gaffney Cline & Associates (1 January 25) and in-house estimates

17 Revenue Growth Despite oil price volatility, Medco grew its revenues by diversification of its assets Revenues Revenue Contribution US$ MM US$/bbl US$ MM E&P Drilling Methanol Power H4 1H H4 1H5 Revenues Oil Price

18 EBITDA Growth EBITDA EBITDA 1H5 US$ mm 52.2% 47.3% 46.7% % Margin % 57% Drilling 14.% Methanol 2.9% E&P 81.8% Electric Power.2% Others 1.1% US$168 mm H4 1H5

19 Net Profit and Dividends Net Profit Dividend Payouts 9. US$ MM 6% % 46.6% 47.% 5.% 6. 4% 4.% % % 2. 1% H4 1H5 % Note: Dividend payout ratio above bars Exchange rate in 2 and 21 used was 1US$ = Rp8,42

20 Strong asset growth In US$MM 1,6 1,4 1,2 1, Assets, 3yr CAGR 37% Equity, 3yr CAGR 7% H4 1H5

21 Contacts Company address: PT Medco Energi Internasional Tbk. Graha Niaga Building Floor 16th Jl. Sudirman 58 Jakarta 1219 Indonesia. P F Investor Relations: Gamala Katoppo M Website: