// // Teekay Group Citi MLP Conference - Aug 21/22, 2013 TEEKAY OFFSHORE
Teekay Group Corporate Structure GP TEEKAY CORP. (“ Teekay Parent”) NYSE: TK Project Market Cap: $2.7b Developer Asset manager and project developer General Partner / controlling shareholder of daughter companies Fleet size: 4 owned conventional tankers and 5 FPSO units Current Yield: 3% 25% Economic MLPs CONTROL CONTROL CONTROL Ownership / 53% Voting 37% Ownership 30% Ownership (incl. 2% GP interest) (incl. 2% GP interest) TEEKAY LNG TEEKAY OFFSHORE TEEKAY PARTNERS L.P. PARTNERS L.P. TANKERS LTD. NYSE: TGP NYSE: TOO NYSE: TNK • • • Market Cap: $3.0b Market Cap: $2.7b Market Cap: $227m Asset • • • MLP focused on gas MLP focused on offshore C-Corp focused on Owners projects projects conventional tankers • • • Fleet size: 74 vessels Fleet size: 52 vessels Fleet size: 33 vessels Current Yield: 6% Current Yield: 7% Current Yield: 4% 10 – 25 year fixed-rate 3 - 10 year fixed-rate Spot / short-term charters (0 – 3 years) contracts contracts Note: Market capitalization and current yields based on August 14, 2013 closing prices. TEEKAY CORPORATION 2
Teekay Offshore Partners TEEKAY OFFSHORE
Forward Looking Statements This presentation contains forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) which reflect management‟s current views with respect to certain future events and performance, including statements regarding: the expected contribution of recent acquisitions, vessel deliveries and new contracts to cash flow growth; the timing of the Voyageur Spirit achieving final acceptance and commencing full operations under the E.ON contract; the timing of the Lambada Spirit shuttle tanker commencing its contract with BG; the timing of the HiLoad DP unit commencing its 10-year time-charter contract with Petroleo Brasileiro SA; the potential for the Partnership to acquire future HiLoad projects developed by Remora, including development of the next generation HiLoad DP units with BG Brasil; the timing of and cost of converting the Navion Clipper into an FSO unit and the timing of the commencement of its 10-year charter contract with Salamander; the timing of and cost of converting the Randgrid into an FSO unit and the timing of the commencement of the commencement of its 3-year charter contract with Statoil; the potential for Teekay Corporation to offer additional vessels to the Partnership and the Partnership‟s acquisition of any such vessels, including the Petrojarl Foinaven , the Hummingbird Spirit and the newbuilding FPSO unit that will service the Knarr field under contract with BG Norge Limited; the timing of delivery of vessels under construction or conversion; and the potential for the Partnership to acquire other vessels or offshore projects from Teekay Corporation or directly from third parties. The following factors are among those that could cause actual results to differ materially from the forward-looking statements, which involve risks and uncertainties, and that should be considered in evaluating any such statement: vessel operations and oil production volumes; the inability of the Voyageur Spirit FPSO to complete the repair of its compressors, achieve full production and receive final acceptance by E.ON during August 2013; the potential for the loss of revenue under the charter with E.ON from the date of acquisition until final acceptance exceeds Teekay Corporation‟s maximum indemnification of $54 million; significant changes in oil prices; variations in expected levels of field maintenance; increased operating expenses; different-than-expected levels of oil production in the North Sea and Brazil offshore fields; potential early termination of contracts; potential delays to the commencement of the BG shuttle tanker time-charters; failure of Teekay Corporation to offer to the Partnership additional vessels; the inability of the joint venture between Teekay Corporation and Odebrecht to secure new Brazil FPSO projects that may be offered for sale to the Partnership; the inability of Remora to develop future HiLoad DP units; failure to obtain required approvals by the Conflicts Committee of Teekay Offshore‟s general partner to approve the acquisition of vessels offered from Teekay Corporation, or third parties; the Partnership‟s ability to raise adequate financing to purchase additional assets; delays in vessel deliveries or conversions; and other factors discussed in Teekay Offshore‟s filings from time to time with the SEC, including its Report on Form 20-F for the fiscal year ended December 31, 2012. The Partnership expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Partnership‟s expectations with respect thereto or any change in events, conditions or circumstances on which any such statement is based. TEEKAY OFFSHORE 4
Investment Highlights • Stable Diversified portfolio of fee-based contracts with major oil companies Operating • $5.1 billion of forward fee-based revenues (weighted avg. Model contract duration of over 5 years, excluding extension options) • A market leader in harsh weather FPSO operations Leading Market • World‟s largest owner and operator of dynamically positioned Positions shuttle tanker tonnage Strong • High E&P spending driving record number of planned Offshore Industry Oil projects Fundamentals • Organic Growth: Four advanced shuttle tanker newbuildings (2013), Remora HiLoad DP unit ○ Visible Growth (2013), Salamander FSO unit (2014), Gina Krog FSO unit (2017) and presently bidding on or engaged in 3 new FPSO FEED (Front-end Engineering and Opportunities Design) studies • Growth Provided through Sponsor, Teekay Corp. (NYSE: TK): Up to five FPSO units potentially available for purchase in the future ○ TEEKAY OFFSHORE 5
Teekay Offshore at a Glance • Provider of offshore oil solutions, including floating production, storage and transportation services under long-term, fee-based contracts to primarily investment grade customers • Contracts not linked to, or exposed to commodity prices • Common units listed on the NYSE (TOO) with a market cap. of $2.7bn* • Structured as a Master Limited Partnership – But, treated as a C-corp for U.S. federal income tax purposes (LP investors receive Form 1099 s vs. K-1s) * Market capitalization based on August 14, 2013 closing prices. TEEKAY OFFSHORE 6
Market Leader in Core Segments Control Approximately Number of Shuttle Tankers 45% 36 2 26 of the World‟s 4 Shuttle Tanker Fleet* 34 9 5 22 4 7 2 2 2 Teekay Knutsen Transpetro Viken / AET Offshore NYK PJMR Existing Newbuildings on Order 15 Leading Position in 14 Teekay Offshore 3 11 Leased FPSOs 10 Teekay Corp 2 Globally 5 6 5 14 12 2 9 5 5 4 SBM BW MODEC Teekay Bumi Bluewater Offshore Offshore / Armada Teekay Source: Clarkson Research Services, Platou, Fearnley, Company Websites, Industry Sources. ** Corp * Based on total tonnage. ** including one unit currently on-order TEEKAY OFFSHORE 7
Teekay Offshore – Linking Rig to Refinery Teekay Offshore‟s role in Leading indicators for Teekay Offshore‟s business the offshore oil value chain Floating Pipelines Oil Production Oil Storage Shuttle Tankers FPSOs FSOs 6 FSOs with oil 5 FPSOs capable 36 shuttle tankers 1 storage capacity of of producing transporting over 3.3 over 5.0 million bbls 222,000 bbls/day million bbls/day Ability to bundle services for customers (1) Includes 2 shuttle tankers scheduled for delivery in September 2013 and November 2013 TEEKAY OFFSHORE 8
Expertise in Deepwater and Harsh Environments North Sea • 17 shuttle tankers owned, 4 in-chartered • 2 FPSOs + 5 owned by Sponsor Brazil • 15 shuttle tankers owned • 2 FPSOs + 50% interest in 1 FPSO unit TEEKAY OFFSHORE 9
Attractive Portfolio of Fee-based Contracts • Substantial portfolio of long-term, fee-based contracts with high quality oil and gas companies – Total forward fee-based revenues of $5.1 billion – Weighted average remaining contract life of over 5.0 years Shuttle Tankers FPSO Units FSO Units Conventional Tankers # of units 36 5 6 5 Average 4.9 years 5.6 years 5.5 years 4.0 years Contract Life Forward $2.6 bn $1.9 bn $0.4 bn $0.2 bn Revenues High Quality Customers TEEKAY OFFSHORE 10
Recent Developments Completed the Voyageur Spirit FPSO acquisition for $540m FPSOs Completed acquisition of a 50% interest in the Cidade de Itajai FPSO for $204m Took delivery of the Samba Spirit and Lambada Spirit shuttle tankers in Shuttle May and Jun 2013, respectively Tankers Remaining 2 BG shuttle tankers delivering between Sep and Nov 2013 Signed 3-year contract (plus extension options) with Statoil to convert an existing shuttle tanker ( Randgrid ) to an FSO unit in May 2013 FSOs Signed 10-year contract with Salamander Energy to convert an existing shuttle tanker ( Navion Clipper ) to an FSO unit in May 2013 Currently involved in three front end engineering and design ( FEED ) studies for potential new FPSO projects FEED Studies Signed agreement to complete a FEED study to develop the next generation of Remora DP HiLoad offtake units TEEKAY OFFSHORE 11
Recommend
More recommend
