SPECTRA ENERGY CORP SPECTRA ENERGY PARTNERS. Jefferies 2013 Global Energy Conference

Transcription

1 SPECTRA ENERGY CORP SPECTRA ENERGY PARTNERS Jefferies 2013 Global Energy Conference November 13, 2013

2 Safe Harbor Statement Some of the statements in this document concerning future company performance by Spectra Energy and Spectra Energy Partners will be forwardlooking within the meanings of the securities laws. Actual results may materially differ from those discussed in these forward-looking statements, and you should refer to the additional information contained in Spectra Energy s and Spectra Energy Partners annual reports on Form 10-K and other filings made with the SEC concerning factors that could cause those results to be different than contemplated in today's discussion. Reg G Disclosure In addition, today s discussion includes certain non-gaap financial measures as defined under SEC Regulation G. A reconciliation of those measures to the most directly comparable GAAP measures is available at spectraenergy.com and spectraenergypartners.com. Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 2

3 Our Strong Portfolio of Assets Natural Gas Transmission Pipe: 19,000 mi Natural Gas Storage Capacity: 300+ Bcf Natural Gas Gathering Pipe: 68,000 mi Crude Transmission Pipe: 1,700 mi NGL Transmission Pipe: 1,800 mi SE Gas Processing Capacity: 3.7 Bcf/d 3Q13 DCP Gathered and Processed: 6.6 Tbtu/d 3Q13 DCP NGLs Produced: 442 MBbl/d Distribution Pipe: 39,000 mi Union Gas Retail Customers: 1.4 million Gas storage facility Gas processing plant Propane terminal NGL storage Shale gas formations Crude storage Major oil pipeline terminal Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 3

4 Spectra Energy Asset Structure Reporting Segment Assets in Segment NYSE: SE Spectra Energy Partners NYSE: SEP Distribution Gas Transportation & Storage Algonquin Gas Transmission Big Sandy Pipeline Bobcat Gas Storage East Tennessee Natural Gas Market Hub Partners Ozark Gas Transmission Liquids Express-Platte Pipeline System Southern Hills Pipeline (33%) Sand Hills Pipeline (33%) Union Gas Saltville Gas Storage Texas Eastern Transmission Maritimes & Northeast, US (78%) Gulfstream Natural Gas (50%) Southeast Supply Header (50%) Steckman Ridge (50%) Western Canada Transmission & Processing BC Pipeline Gathering & Processing Natural Gas Liquids Maritimes & Northeast Canada (78%) Field Services DCP Midstream (50%) DCP Midstream Partners NYSE: DPM Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 4

5 Doing what we said we d do WHAT WE SAID $ EPS Guidance TSR Attractive Total Shareholder Return MLP Leverage MLP Structure $25B Growth Projects by End of Decade WHAT WE DID Stronger than expected results from Express-Platte Empress results better than anticipated Overcoming commodity headwinds Continue to deliver attractive total shareholder return 9% SE dividend and SEP distribution growth through 2015 SE: annual increases from $0.08 to $0.12 SEP: will increase $0.03/qtr in 1Q14 & $0.01/qtr thereafter Ongoing consideration of value-enhancing structures Advanced MLP dropdown strategy Drop-down complete, forming one of the largest fee-based MLPs with an enterprise value = ~$20 billion Optimal alignment to support growth Significant GP cash flow growth increasing from $40 million in 2013e to $225 million by 2015e Half of $25 billion secured or placed into service DCP placed almost $2 billion into service with $2 billion in execution Express-Platte acquisition providing significant growth opportunities Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 5

6 Momentum Driven by Growth Projects Since 1Q13, achieved significant progress by placing into service or commercially securing half of $25+ billion in growth projects In execution* $6 Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 6 $28 $26 $24 $22 $20 $18 $16 $14 Advanced $12 development *Note: More detailed project descriptions can be found in appendix On the horizon $10 $8 $4 In service $2 $0 ~$7+B ~$10-11B ~$5B $3+B 1Q13 $25+B ~$8+B ~$6B ~$7B ~$6B 3Q13 Union Gas Gulf Coast LNG DCP and Western Canada G&P Renaissance DCP and Western Canada G&P NEXUS BC LNG Sabal Trail AIM TEAM 2014 Gulf Markets OPEN Dawn-Parkway DCP G&P Kingsport NJ-NY Expansion DCP G&P Express-Platte acquisition Sand Hills & Southern Hills

7 Progress on Projects in Advanced Development BC - LNG Front-end engineering and design phase underway; FID W. Canada G&P Ongoing Montney growth; longer term, LNG exports drive G&P growth Express-Platte Broad range of expansion opportunities under evaluation NEXUS Working with partners to move this cross-border project into execution Gulf Coast Several projects in development related to LNG exports & industrial infrastructure Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 7

8 Financial Flexibility to Efficiently Fund $25+ Billion in Growth Projects ~$7B WESTERN CANADA $1+B $2+B CRUDE/LIQUIDS DISTRIBUTION In Service In Execution Advanced Development On the Horizon $6B FIELD SERVICES U.S. TRANSMISSION ~$10B SE Financed SEP Financed DCP Financed Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 8

9 We are Moving Ahead, Gaining Momentum WHAT WE HAVE ALREADY ACCOMPLISHED IN 2013 ~$6B Projects Placed In-Service ~$7B Projects Secured ~$20B MLP Structure In Place ONGOING FOCUS ON VALUE CREATION BY: Building out our current slate of secured projects and continued operational excellence Signing new customer contracts for additional natural gas, NGL, & crude infrastructure Realizing new opportunities through the full utilization of our financial structure Moving Ahead, Gaining Momentum Jefferies 2013 Global Energy Conference 9

10