Miclyn Express Offshore Pareto Conference Presentation , 10-11 - PowerPoint PPT Presentation

Miclyn Express Offshore Pareto Conference Presentation , 10-11 September 2014 www.miclynexpressoffshore.com

Business Overview Core Segments Applications / User Vessels Industries Wide ranging applications across Offshore Support the entire upstream  MEO is a leading provider of Offshore Support Vessels with a Vessels (OSVs) offshore oil and gas strong presence across South East Asia, the Middle East and cycle Australia Offshore production  MEO charters a diverse portfolio of vessels to a wide range of support / customers operating across all phases of the offshore oil and gas Crewboats transportation of cycle, namely: exploration, development and production personnel and critical supplies  Headquartered in Singapore, MEO has been operating through predecessor entities since the 1970s Transportation of material for offshore  MEO has a proven track record of operational and safety Tugs & Barges development and civil excellence construction activities  MEO has long-standing customer relationships with a high degree Other Segments of repeat business  MEO’s operations are supported by a strong, experienced and incentivised management team leading a workforce of over 2,000 employees Coastal Survey Express Offshore Third Party Vessels Vessels Solutions (EOS) Strong fleet of 155 vessels, diversified geographically and across sectors 1 www.miclynexpressoffshore.com

Geographically Diversified Fleet  Superior services and operational excellence have cemented long-standing relationships with leading oil companies and service providers  Relationships enhanced through investment in support infrastructure which helps to minimize downtime and enhance fleet reliability Strong local presence through strategic support centres No. of Vessels (as of June 2014) Under SEA ME AUS construction Total OSV 25 6 1 5 37 Thailand South East Asia Crewboats 47 23 0 10 80 88 Vessels 60% of Total Fleet 16 10 8 - 34 Tugs & Barges Middle East Indonesia 39 Vessels 88 39 13 (1) 15 155 Total 30% of Total Fleet Note: (1) Includes 4 CSVs in Australia Singapore Qatar Brunei Malaysia Saudi Arabia Australia United Arab Emirates Australia (1) 13 Vessels 10% of Total Fleet Bangladesh Vessels Operating Support centers Training Centers Regional Offices 2 www.miclynexpressoffshore.com

Recognised Operator with a Blue Chip Client Base Infrastructure in key operating regions enhances our Strong relationships with blue chip clientele ability to service customers  Support bases in proximity to offshore fields in Indonesia Thailand, Malaysia, Saudi Arabia, Qatar, UAE and Australia  Dedicated training centers in Indonesia and Thailand to meet local crewing challenges  Closer regional interaction with customers Chevron best contractor awards Eleven awards Three awards One award to to Miclyn to Miclyn Micyln Express Express Express Offshore Offshore’s Offshore’s vessels One award for vessels vessels operating for best HAZOBS operating for > operating for >2 Chevron for >1 3 years without years without year without injury injury injury 3 www.miclynexpressoffshore.com

Business Strategy Continue to focus on shallow water operations, grow our business to be the provider of choice for our customers Focus on shallow water operations ● Well-positioned to benefit from shallow water offshore production growth ● Remain focused on South East Asia, Middle East and Australia, selectively enter into adjacent markets should opportunities arise A disciplined Vessel renewal and fleet expansion investment strategy to meet identified customer demand ● Minimum IRR of 15% on an unleveraged basis ● Construct or purchase young OSVs and crewboat with a payback period of not more than five years vessels based on identified customer demand in for new investments long-term charters ● Low asset concentration risk Strengthen and grow Emphasis on safety, reliability and customer relationships operational excellence ● ● Leverage relationships with core customers to Apply operational best practices and maintain cross-sell opportunities and expand relationships leading safety standards and procedures 4 www.miclynexpressoffshore.com

Safety Is Our Number 1 Priority MEO boasts an enviable Health and Safety track record. The company accomplished 15+ million man hours without Loss Time Injury (LTI) in 2013, a truly world class performance statistic Truly world class safety statistics  Robust systems and process embedded in MEO’s culture:  Top core value  Dedicated and passionate HSQE team, stationed locally within each operating region 15+ million  Top down approach; top man hours management actively engages with crews and contractors on a regular without basis LTI (1)  Job card system empowers all employees to stop work that they deem to be unsafe  Constantly shaping new and innovative campaigns to improve and deliver sustainable, safe operations Note: (1) As of FY2013A 5 www.miclynexpressoffshore.com

Highlights of last 12 months  Success in lifting forward orderbook from ~US$500m to ~US$750m  New appointment of Mr Venkatraman Sheshashayee (“Shesh”, ex Jaya) as Deputy CEO  Chevron award for two 85tn BP AHTS in Thailand (4+3 years), extension of strong relationship  Multiple contract wins in Kingdom of Saudi Arabia (crewboats and security vessels)  Entry into Brunei market with multi-vessels tender win for Brunei Shell Petroleum  Continued fleet expansion program, 21 vessels under construction  Growing number of contract backed capital deployment opportunities  Acquisition of Uniwise Towage in Thailand  Company delisted from ASX by CHAMP, Headland Capital and Management  Debut SGD 200m Bond raised to fund privatisation  USD 315m bilateral facility raised with DBS  Sale of Shipyard, non-core asset 6 www.miclynexpressoffshore.com

Strong Earnings Growth in past 5 years 90 160.0 84 84 80 80 80 140.0 71 70 120.0 60 Utilisation (%) 100.0 101.0 96.8 50 89.2 US$m 80.0 40 72.0 60.0 30 55.3 40.0 20 20.0 10 0 0.0 FY10 FY11 FY12 FY13 FY14 EBITDA (pre disposals) Utilisation 7 www.miclynexpressoffshore.com

Contracted Revenue with High Earnings Visibility Long term contracts across the fleet provide high degree of earnings visibility ● 70% of our charter contracts are 1 year or longer with extension options ● Average length of contracts is 3.4 years for OSVs and 3.7 years for crewboats ● Chevron, Saudi Aramco and the PTT Group are MEO’s legacy customers for 15 to 30 years ● Contracted revenues and tenor of charters reflect customers’ perception of the quality and utility of our fleet ● Total contracted and options backlog of US$209m for FY 2015 Tenor of Vessel Charter Contracts (1) 40 Total Contracted Revenues and Options Backlog: US$730m (2) 35 36 Number of Contracts 30 27 27 25 7 11 20 15 12 11 11 11 10 6 16 7 1 5 9 5 5 0 <3 months 3 months - 1 years 1 - 3 years 3 - 6 years > 6 years Contract US$3.1m US$15.5m US$63.4m US$324.0m US$42.0m Value Total Others Tugs and Barges Note: (1) Only includes contracts of core businesses, data as of 30 June 2014; (2) Total contracted revenues backlog include US$277m from core businesses and US$40m from other businesses. Total extension options backlog include US$122m from core businesses and US$14m from other businesses. 8 www.miclynexpressoffshore.com

Well Funded, Strong Cash Delivery Ability to service new debt package and fund growth 500.0 FY14 FY13 335.3 317.1 450.0 Net Debt (US$m) 373.8 199.3 400.0 3.9 1 2.5 2 Net Debt / EBITDA 350.0 300.0 148.9 139.2 Gearing (%) 3 47.3% 34.3% 250.0  Loan package refinanced by DBS; 200.0 6.8 18.9 150.0  US$150m Term Loan 6.9 68.7 70.2 26.0 100.0  US$100m RCF 16.6 50.0 0.2 19.3 1.7 14.6  US$ 50m CAPEX facility (undrawn) -  US$15m FX/BG facilities  Minority shareholders bought out with proceeds of S$200m bond raising  S$200m bond hedged to US$ (US$159m equivalent)  Acquisition of Uniwise Towage for US$18.9m  Further investment in new vessels against disciplined investment criteria (minimum 15% unlevered IRR)  Strong contract backlog (>US$700m) to support future operating cashflows; ability to service debt and continue investment in new assets Note: 1 FY14 EBITDA, excluding the impact of one-off adjustments relating to privatisation and disposal of shipyard 2 FY13 EBITDA, excluding the US$4.6m Iran provision 9 www.miclynexpressoffshore.com 3 Net Debt / (Net Debt + Equity )

Summary Clear strategy for future growth Solid execution capability Well positioned in a growing industry Attractive pipeline of opportunities Strong balance sheet Financial capacity to fund growth Proven Operational Excellence 10 www.miclynexpressoffshore.com