Exploration Overview Sustaining E&P long term growth

Transcription

1 Exploration Overview Sustaining E&P long term growth Sanford Bernstein Conference

2 Disclaimer ALL RIGHTS ARE RESERVED REPSOL, S.A Repsol, S.A. is the exclusive owner of this document. No part of this document may be reproduced (including photocopying), stored, duplicated, copied, distributed or introduced into a retrieval system of any nature or transmitted in any form or by any means without the prior written permission of Repsol, S.A. This document does not constitute an offer or invitation to purchase or subscribe shares, in accordance with the provisions of the Spanish Securities Market Law (Law 24/1988, of July 28, as amended and restated) and its implementing regulations. In addition, this document does not constitute an offer of purchase, sale or exchange, nor a request for an offer of purchase, sale or exchange of securities in any other jurisdiction. This document mentions resources which do not constitute proved reserves and will be recognized as such when they comply with the formal conditions required by the U.S. Securities and Exchange Commission (SEC). This document contains statements that Repsol believes constitute forward-looking statements which may include statements regarding the intent, belief, or current expectations of Repsol and its management, including statements with respect to trends affecting Repsol s financial condition, financial ratios, results of operations, business, strategy, geographic concentration, production volume and reserves, capital expenditures, costs savings, investments and dividend payout policies. These forward-looking statements may also include assumptions regarding future economic and other conditions, such as future crude oil and other prices, refining and marketing margins and exchange rates and are generally identified by the words expects, anticipates, forecasts, believes, estimates, notices and similar expressions. These statements are not guarantees of future performance, prices, margins, exchange rates or other events and are subject to material risks, uncertainties, changes and other factors which may be beyond Repsol s control or may be difficult to predict. Within those risks are those factors and circumstances described in the filings made by Repsol and its affiliates with the Comisión Nacional del Mercado de Valores in Spain, the Comisión Nacional de Valores in Argentina, the Securities and Exchange Commission in the United States and with any other supervisory authority of those markets where the securities issued by Repsol and/or its affiliates are listed. Repsol does not undertake to publicly update or revise these forward-looking statements even if experience or future changes make it clear that the projected performance, conditions or events expressed or implied therein will not be realized. The information contained in the document has not been verified or revised by the Auditors of Repsol. 2

3 Current geographical deployment to lever growth USA (Alaska) Norway Russia Canada Ireland USA. Colombia Cuba Venezuela Brazil Peru Bolivia Guyana Suriname España Rumania Bulgaria Portugal Tunisia Iraq Morocco Algeria Libya Mauritania Sierra Leone Eq. Guinea Liberia Angola Namibia Iran Saudi Arabia Oman Indonesia Australia Countries with current Exploration activity Countries exited or being exited Countries recently entered 3

4 Is it working? % RRR> % Exploration Capex: USD 1.0bn/year Including drilling, G&A and G&G 2012: U$S 0.9bn 2013(expected): U$S 1.2bn Additions to Proven Reserves: +200/250 Mboe # Wells/year: % focused on liquids 2012: (E): 29 Contract application and movements of resources to reserves 2012: 323 Mboe 2013(today): +300Mboe Contingent resources/year: +300/350 Mboe Success ratio: 20-25% WI resources evaluated/year (unrisked): +1,500 Mboe 2012: 1,140 Mboe 2013(E): 1,599 Mboe *Subject to audit from Resources Control Group 4

5 Mboe Mboe RRR (%) 2012: Notable improvement in reserve replacement, without exhausting contingent resources bank % % % % Proved Net Incorporation (MBOE) RRR(%) 80 80% 40 40% % Contingent Resources 3C (Mboe) Contingent Resources 3C (Mboe) Contingent Resources (M

6 Countries with drilling activity during 2013 & 2014 Alaska Norway Russia Louisiana GoM Offshore Canada Ireland Spain Portugal Algeria Libya Rumania Iraq Nicaragua Offshore Colombia Mauritania Liberia Indonesia Brazil Angola Namibia Operated Operated & non operated Non Operated 6

7 Good and bad news up to date USA (Alaska) Norway Russia Canada Ireland USA. España Portugal Morocco Algeria Rumania Bulgaria Tunisia Iraq Libya Nicaragua Venezuela Colombia Guyana Mauritania Sierra Leone Peru Brazil Liberia Angola Indonesia Bolivia Namibia Australia Positive Negative During the first half of 2013, 12 exploration wells and one appraisal were completed. Nine of these wells have had positive results: USA, Brazil, Colombia, Algeria and Russia DG E&P. DE EXPLORACIÓN. Abril

8 2014: Main lines of activity 2014 is a year of definition for West Africa (Namibia, Angola, Liberia, Mauritania), Campos Basin 33 (Brazil), Libya, Algeria, Russia and USA (Alaska) 2014 would also be opening some new grounds for Repsol with drilling in: Kurdistan, Canada, Colombia offshore, Romania and additional activity in Norway In total, around 35 exploration and appraisal wells Compañía. Dirección que ha elaborado el documento. dd/mm/aaaa. 8

9 Namibia, Licencia 0010 Repsol: 44% (Operador), Neptune/Tower: 30%, Arcadia: 26% Welwitschia-1 Repsol Exploración África. Septiembre 2013

10 Angola activity B35/11(Op. ENI (30%) Sonangol P.P (45%) - Repsol (25%) 1 st Phase Commitments : km2 of 3D seismic 2. 2 (two) Pre-Salt Wells B37/11 (Op. COP (30%) Sonangol P.P (30%)- Repsol) (20%) 1 st Phase Commitments : km2 of 3D seismic 2. 2 (two) Pre-Salt Wells CAMEIA-1 and 2 AZUL-1 Recent discoveries B22/11 (Op. Repsol (30%) Sonangol P.P (50%) Statoil (20%) 1 st Phase Commitments : km2 of 3D seismic 2. 2 (two) Pre-Salt Wells Eni, CoPh and Repsol will drill the 1st phase wells in 2014/

11 Repsol in Liberia y Sierra Leona LB-16, LB17 (3225(6375 Km 2, Km2) 3150 Km 2 ) SL-07B-11 (5093 Km 2 ) Anadarko 55% W.I. (Op.) Repsol: 25% W.I. Tullow: 20% W.I. LB-15 (2533 Km2) Anadarko 47,5% W.I. (Op.) Repsol: 27,5% W.I. Tullow: 25% W.I. LB-10 (3440 Km2) Anadarko 80% W.I. Repsol: 10% W.I. Mitsubishi: 10% W.I. Two wells before end of phase Repsol Exploración África. Septiembre 2013

12 2014 activity Pao de Açúcar 2 Seat 2 Lebre Sagitario Pao de Açúcar 3 Rig Ocean Mylos dedicated to the block Campos 33 in 2013

13 Libya & Algeria - activity Initiated drilling campaign with 15 commitment over 3D seismic Two discoveries one dry well to date Initiated in 2012 a 5 well drilling campaign with success, completed in 2013 with positive results. Entered a second phase Block SEI Repsol: 52.5% (Operator) Enel: 27.5 GdF-Suez: 20% 13

14 Algeria. SE Illizi Block - TDE1 Well SE Illizi Block: Repsol 52,5 % (Operator) ENEL 27,5% GdF 20,0% TDE is a relevant result for this block, as the premises for entering this acreage were based on the successful testing of this well and the volumes associated with it. Main flow by choke of 64/64 : Flow pressure on surface: 992 psi Gas rate : m 3 /d Condensate rate: 210 Bbl/day DG E&P. DE EXPLORACIÓN. Abril

15 Russia & 2014 activity in W Siberia Karabashky We have reported 2 discoveries 2013/2014 will see drilling to extend and appraise in blocks 1, 2 &3, in parallel with new seismic in all 7 blocks Kumolsky To complete 2012/2013 seismic Salymsky 6&7 New seismic (500 km 2D) 15

16 Alaska North Slope: Location Map Winter drilling campaign 2012/ mi Repsol Acreage 2011/2012 Campaign 2012/2013 Campaign Q-4 Q-6 Q-1 Q-3 Q-5 K-1 DG E&P. DE EXPLORACIÓN. Abril

17 Winter 2013/2014 Campaign Q-4 Q-6 Q-1 Qugruk 7 Qugruk 5 Q-3 Tuttu-1 K-1 Repsol Acreage 2013/2014 Campaign 2012/2013 Campaign 2011/2012 Campaign

18 Kurdistan & 2014 activity Kurdistan Qala Dze PSC 100% Repsol working interest 80% Repsol Net interest 20% KRG carried interest Area: 1852km 2 Currently farming down to 40% net Qamchuqa Sarmord Chia Gara Spud date for first well September Piramagrun PSC 100% Repsol working interest 80% Repsol Net interest 20% KRG carried interest Area: 901km 2 Currently farming down to 40% net Suleymaniya 18

19 Canada & 2014 activity Margaree Next Bid Round Block HIBERNIA FIELD Estimates of Recoverable Reserves: 1395MMBOE (PP) ASTER K-93 HEBRON/BEN NEVIS Estimates of Recoverable Reserves: 581 MMBOE TERRANOVA FIELD Estimates of Recoverable Reserves: 419MMBOE (PP) WHITE ROSE FIELD Estimates of Recoverable Reserves: 317MMBOE (PP) EL 1110 HUSKY (OP) 40% SUNCOR 40% REPSOL 20%

20 Western Caribbean Carbonates Venture 20

21 Norway & 2014 activity 2008 Prequalification of Repsol as Operator on NCS First award: PL512 (Det norske Op.) APA Awarded PL541 (Op.) and PL557 (APA09) Farm-in into PL356 (Det norske Op.) Opening of office in Oslo 2011 Awarded PL589 (APA10) Farm-in into PL529 (ENI Op.), Farm-in into PL530 (GdF Op.) Farm-in into PL531 (Repsol Op.) Well Heilo (PL530), Barents Sea (Dry) 2012 Awarded PL640, PL642 (Op.), PL557B, PL644, PL658 (APA11) Well Ulvetanna (PL356), North Sea (Dry) 2013 Awarded PL704, PL705 (Op.), PL711 (Op.), PL721 (Round 22) Farm-in into PL628 (Statoil Op.) Relinquished PL licenses as per August /14 Five firm wells: Darwin (PL531), Barents Sea (1 st Repsol op. well) (Dry) Bønna (PL529), Barents Sea Brattholmen (PL541), North Sea (2 nd Repsol op. well) Tastaveden (PL628), North Sea Imsa (PL589), Norwegian Sea 21

22 GOM Buckskin Appraisal Project (CVX) Buckskin Appraisal #2 ST&+ Leon Project (REP) Leon #1 Well (Jan May 2014) Repsol (Op) Santander / Key Largo (MOC)?? Key Largo #1 Well Net Repsol (40%) 22

23 Spain & 2014 activity Looking forward to the possibility of unlocking Spain s most significant prospectivity -Spanish Territorial Waters between Morocco and the Canary Islands is one of the next frontiers in Atlantic Exploration Planning and spudding of the two commited wells is forecasted for 2014 into

24 Exploration Overview Sustaining E&P long term growth Sanford Bernstein Conference