Delek Group. Leading Israeli Independent E&P. October DELEK GROUP LTD > Expanding, Empowering

Transcription

1 Delek Group October 2017 Leading Israeli Independent E&P 1

2 Disclaimer This presentation has been prepared by Delek Group Ltd ( Delek or the Group ) and is provided to you solely for your information and is not to be copied or distributed to any other person. This presentation does not purport to be all-inclusive or to contain all of the information that may be relevant in making any decision concerning an investment in the securities of the Delek Group or any company in the Group. No representation or warranty, express or implied, is made by any person as to the accuracy or completeness of any of the information contained herein. In particular, no representation or warranty is given as to the achievement or reasonableness of any forecasts about the future prospects of the Delek Group or any company in the Group. This presentation does not constitute an offer or invitation to purchase or subscribe for any securities, and neither this presentation nor anything contained herein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. 2 2

3 Leading the East Med. Energy Revolution Top Tel Aviv listed Company $2.0bn market cap, part of the TA 35 index Long term track record of growth and attractive dividend policy Issued ~NIS 3.25 billion in dividends in last 6 years Transforming Levant Basin into a Natural Gas Export Hub World-class portfolio of E&P assets with 40 TCF of natural gas in 8 consecutive discoveries Significant Potential from Unexplored Acreage Extensive 3D Seismic Surveying in Israel & Cyprus to Capture Additional Gas & Oil Resources 3 3

4 Delek Group s Strategy Turning into an International E&P Maintaining financial strength Dividend Yield Expanding Delek investors base 4 4

5 Delek Group E&P with International Operations North Sea East Med. North America 5 5

6 Delek Group Divestment and Restructuring Process Delek Group Today 27% Delek Group 88.2% 12% 61% Delek Energy 7.8% 54.1% E&P in East Med E&P International Non-core Assets E&P 73% Delek Drilling 6 6

7 Daily Production (NET WI) Delek Group 2017E Production (boe/d) Tamar (post sale of 5.55% of Tamar) 25,392 Ithaca Energy 15,000 Total Net to Delek Group 40,392 * Based on the DCF model as published in the Company s 2016 Annual Report, Tamar NSAI report as of (and post the sale of 60% out of 9.25%), 7 and Ithaca s Production Guidance for 2017 (as published in H results) 7

8 8 8

9 Delek Group E&P with International Operations Ithaca s takeover Ongoing cash flow generation Operational E&P Capabilities Delek Group will no longer depend on solely 3rd party operators Low production cost unit outlook in 2017 of $19/boe Reservoirs with future potential Geographical Diversification to the Group Proven Track Record in Assets Dev. Proven Experience in Offshore Drilling Additional Steps : Acquisition of 15.4% of Faroe Petroleum Successful bid for exploration license in Canada Block 7 (WI of 70%) Scanning Additional opportunities in North America (GOM) 9 9

10 Production Cost Per Barrel - Ithaca $24 Financing - $4 G&A - $1 Opex - $

11 Ithaca GSA Cost effective Expansion 11 11

12 Delek Group Share Buy Back Plan On October 24, 2017, the Company s Board of Directors approved a share buy back plan at the amount of up to NIS 100 million for a period ending on December 31, The Board of Directors of Delek Group believes, at this time, that the purchasing of its own shares represents a good economic and business opportunity. Up to date the company purchased approx. NIS 30 million 12 12

13 Thank you Leading Israeli Independent E&P 13