Pareto Oil & Offshore conference Jan Arve Haugan, President & CEO Holmenkollen Park Hotel, 10 September Eldfisk topside leaving Stord, Norway

Transcription

1 Pareto Oil & Offshore conference Jan Arve Haugan, President & CEO Holmenkollen Park Hotel, 10 September 2014 Eldfisk topside leaving Stord, Norway

2 HSSE our licence to operate 2

3 A Norwegian-based market leader JACKETS CONCRETE TOPSIDE & FLOATERS ONSHORE Global leader in marine concrete structures European leader in steel jackets Substructures Steel jackets CONDEEP TM GBS Steel structures Floating concepts Piping technology LNG terminals employees in 8 countries Revenues of ~USD 2 billion (2013) Order backlog of USD 3.4 billion (30 June 2014) Leading EPC contractor to the North Sea market Topsides Floating platforms Leading Norwegian EPC contractor for onshore plants Upstream plants Treatment facilities 3

4 Opportunities: Two years of improvements are yielding results 4

5 Increasing competitive power for new contracts Internal improvements Jackets (ready) Procurement bulk material (ready) Engineering (ongoing) Topsides, floaters, onshore (ongoing) Concrete Solutions (ongoing) Targeting 15 % cost reductions 15 % Improvements together with partners and customers Strategic partnership and engineering JV with COOEC (ready) Project JVs with KBR, Kiewit etc. (ready) Global delivery models (ongoing) Simpler platform concepts (ongoing) Current cost Improvement Future cost 5

6 International delivery model Subcontractors in Poland 6

7 Our competitive edge: Expertise - Execution model - Cost control - Predictability CLAIR GUDRUN RIDGE EDVARD GRIEG FEED E Engineering P Procurement C Construction Hook-up & completion MARTIN LINGE ELDFISK 7

8 Balanced portfolio of on-going projects Solid platform for new contracts Asta Hansteen: Services for inshore and offshore hook-up and commissioning Johan Sverdrup: Jackets EPC Eldfisk 2/7S: EPC for topsides as well as cffshore hook-up and commissioning assistance Hebron: Detailed engineering, procurement, construction and installation (EPCI) of GBS Edvard Grieg: EPC for topsides as well as cffshore hook-up and commissioning assistance Nyhamna: EPCM onshore contract 8

9 Johan Sverdrup Letter of Intent for 2 jackets Project start-up: Q Final contracts : Q4 14 (RP) and Q2 15 (DP) Assembly start at Verdal in Q Peak manning in 2017: 350 people Deliveries: summer 2017 (RP) & spring 2018 (DP) Joint venture with KBR Established for delivering EPC bids for platform topsides Proposals to be based on efficient delivery model and strong HSSE focus Kvaerner will be leading partner with majority interest in the JV Riser platform (RP) Drilling platform (DP) Illustration: Statoil 9

10 Strategic development : a wide range of successful project deliveries Downstream businesses sold, full focus on upstream oil and gas Improvement initiatives throughout the value chain to improve competitiveness Kvaerner position: recognised for predictable deliveries of demanding projects June 2014: Jackets proved its competitiveness with award of frame agreement and LoI for two Johan Sverdrup steel jackets September 2014: exploring new strategic opportunities to enable further development of Kvaerner Consideration of further improvement initiatives, new industrial partnerships or changes to ownership structures and further streamlining of products and services Several market opportunities 10

11 Q&A 11

12 Copyright and disclaimer Copyright Copyright of all published material including photographs, drawings and images in this document remains vested in Kvaerner and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any form nor used in any manner without express prior permission and applicable acknowledgements. No trademark, copyright or other notice shall be altered or removed from any reproduction. Disclaimer This Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this Presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Kværner ASA and Kværner ASA s (including subsidiaries and affiliates) lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as expects, believes, estimates or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Kvaerner s businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the Presentation. Although Kværner ASA believes that its expectations and the Presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the Presentation. Kværner ASA is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Presentation, and neither Kværner ASA nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use. 12