Karratha & Districts Chamber of Commerce & Industry Taking advantage of operations and maintenance opportunities in the oil and gas industry

Transcription

1 Karratha & Districts Chamber of Commerce & Industry Taking advantage of operations and maintenance opportunities in the oil and gas industry 12 th August 2014

2 AGENDA Opening address John Lally, KDCCI Setting the scene Phil Kemp, Business Foundations Pre-Workshop Survey Results Contractor's perspective Gary Bawden, Svitzer Contractor's perspective Toby Edmunds, Toxfree Accessing O&M opportunities on O&G projects Daniel Holbrook, ICN 5pm Coffee/Tea break Introduction to The West Pilbara Business Support Program Entrepreneurs Infrastructure Program Don Geare, EIP Efic Leela Hanson, Efic Business Foundations Phil Kemp, Business Foundations Q&A session 7:00pm Networking

3 Opportunities in Operations and Maintenance Opportunities in the Operations and Maintenance phase present tremendous opportunity for local companies. Estimated A$3-4 billion annual expenditure Project life extends over many years

4 SME OPPORTUNITY GUIDE Australian LNG Operations and Maintenance contracting activities

5 AGENDA Opening address John Lally, KDCCI Setting the scene Phil Kemp, Business Foundations Pre-Workshop Survey Results Contractor's perspective Gary Bawden, Svitzer Contractor's perspective Toby Edmunds, Toxfree Accessing O&M opportunities on O&G projects Daniel Holbrook, ICN 5pm Coffee/Tea break Introduction to The West Pilbara Business Support Program Entrepreneurs Infrastructure Program Don Geare, EIP Efic Leela Hanson, Efic Business Foundations Phil Kemp, Business Foundations Q&A session 7:00pm Networking

6 CHEVRON-OPERATED GORGON & WHEATSTONE PROJECTS ICN PRESENTATION Karratha, 12 th August 2014 Onslow, 13 th August 2014

7 QUICK FACTS SVITZER was established by Emil Z. Svitzer in SVITZER became part of the A.P.Moller Maersk Group in We operate a fleet of around 550 vessels with additional ~40 on order. Our turnover was USD 890 million in We employ around 4,700 staff in ~35 countries. Our organisation consists of 6 towage regions and 2 divisions. Head Office in Copenhagen.

8 WORLDWIDEOPERATIONS

9 FUNCTIONAL AREAS MOORING SERVICES HARBOUR TOWAGE MARINE SALVAGE TERMINAL TOWAGE OCEAN TOWAGE EMERGENCY RESPONSE

10 SVITZER AUSTRALIAN OPERATIONS 2007 acquired ADSTEAM renamed SVITZER Australia Ship towage in 35 ports in Australia Largest employer of Australian maritime labour employees Operates 160 vessels, of which over half are tugs Pursuing opportunities Marine Services to the oil and gas industry in the Asia Pacific area

11 SVITZER AUSTRALIA MAP OF COVERAGE NORTHERN TERRITORY WESTERN AUSTRALIA Koolan Island Cockatoo Island Gorgon Project Pluto LNG NWS LNG Wheatstone Project Onslow Geraldton Fremantle Kwinana Bunbury Albany Bayu Undan FPSO Darwin LNG Darwin SOUTH AUSTRALIA Weipa QUEENSLAND Cairns Mourilyan Lucinda Bowen Abbot Point Mackay Bundaberg Brisbane NEW SOUTH WALES Newcastle Sydney (Port Jackson & Port Botany) Thevenard Port Bonython Project Magnet Port Kembla Port Lincoln Whyalla Port Giles Port Pirie Eden Ardrossan VICTORIA Port Adelaide Melbourne Geelong Hastings/Westernport

12 CHEVRON OPERATED GORGON & WHEATSTONE PROJECT VESSELS ASD TUGS LOA 33.3M BEAM 13.0M DRAFT 5.8M SPEED 12.0kts BOLLARD PULL 75 MT (Gorgon) BOLLARD PULL 80 MT (Wheatstone) DRIVE ENGINES CLASS ACCOM Diesel / Electric 2 x Wartsila 1800 kw 1 x Wartsila 1600 kw Lloyds 10 Crew OP. MANNING 1 x Master 1 x C. Engineer 1 x IR OPERATIONAL UNITS 8

13 CHEVRON OPERATED GORGON & WHEATSTONE PROJECT VESSELS Pilot Boat LOA 17.5m Beam 5.4m Draft 1.4m Crew 2 Pilots 4 Engines 2 x Cummins Speed > 25kts Hull GRP Units 2

14 CHEVRON-OPERATED GORGON PROJECT HIGHLIGHTS PROJECT NAME LOCATION CAPACITY Chevron-operated Gorgon Project Barrow Island. 15.6MTPA PROJECT START MID 2015 SHAREHOLDERS Chevron (47.3%) Shell (25%) ExxonMobil (25%) Osaka Gas (1.25%) Tokyo Gas (1.0%) Chubu Electric Power (0.417%) Photos sourced: Chevron Australia website VESSELS CAPITAL INVESTMENT 4 X 75BP ASD TUGS 1 X PILOT BOAT >A$ 70M PILBARA EXPENDITURE Est A$600K / yr Photos sourced: Chevron Australia website

15 CHEVRON-OPERATED WHEATSTONE PROJECT HIGHLIGHTS Project Name: Location: Capacity: Chevron-operated Wheatstone Project Ashburton North, WA 8.9 MTPA Joint Venture Participants: Chevron (64.14%) Kuwait Foreign Petroleum Exploration Co (13.4%) Apache Corporation (13%) Kyushu Electric Power Co (1.46%) PE Wheatstone P/L, part owned by TEPCO (8.0) Photos sourced: Chevron Australia website Equipment: Capital Investment: Pilbara Expenditure: 4 x 80BP ASD Tugs 1x Pilot Boat(s) > A$ 70m Est $ 600K / yr Photos sourced: Chevron Australia website

16 POTENTIAL LOCAL SUPPLY OPPORTUNITIES CLEANING PRODUCTS AND CONSUMABLES OFFICE SUPPLIES PPE SAFETY EQUIPMENT SUPPLY AND SERVICING RIGGING ROPES AND MOORINGS SUPPLY AND SERVICING CREW TRANSFERS / TRANSPORT EQUIPMENT AND VESSEL MAINTENANCE SUPPORT SHIPS CHANDLERY GENERAL HARDWARE

17 SVITZER S PURCHASING POLICY Svitzer accredited to ISO 9001:2008 all orders must conform to the requirements of the Svitzer Australia Quality and Safety Management System. Contractors to be registered on approved supplier list reviewed biannually. Subject to audits. Compliance with Environmental Standards Reliable

18 Introduction to LNG Toby Edmunds General Manager ICN WORKSHOP

19 Toxfree One of the largest industrial service and waste management businesses in Australia 60 strategically located operations throughout Australia Employs over 1300 people nationally Diverse range of industrial and waste services to all market sectors

20 Toxfree Vision Simply stated: Exceeding client expectations with no harm to people; No harm to the environment; and No harm to resources.

21 Toxfree Commitment to the Pilbara Well represented in the Pilbara region. Can do solution innovators. Commitment to Indigenous Engagement and development. Focus on safety, service delivery, sustainable waste management practices, treatment licenses and technologies. QUEST.

22 Our track record Sites and Employees Revenue A$MM ,045 FY09 FY10 FY11 FY12 FY13 Sites Employees 56 1,200 1, FY09 FY10 FY11 FY12 FY13 FY14 1st Half 2nd Half CAGR 34.0% * * Underlying EBITDA and EBIT Underlying EPS * and DPS A$MM 58 Cents/Share FY09 FY10 FY11 FY12 FY13 EBIT EBITDA FY09 FY10 FY11 FY12 FY13 DPS EPS *Non-IFRS Financial Information

23 A Diversified Business Revenue by Market Sector and Geography Estimated on FY2014 forecasts Manufacturing 12% Oil and Gas 22% Victoria 10% Tas, ACT and SA 4% Government 17% Mining 14% New South Wales 4% Western Australia & Northern Territory 49% Commercial 25% Infrastructure 10% Queensland 33% Over 85% of revenue is generated from producing assets Over 40% of revenue is leveraged to the broader Australian Economy

24 Current LNG Contracts Toll Energy - Total Waste Management - Gorgon Project, Barrow Island Waste Management Services including hire and maintenance of bins (Onshore and Offshore), management of recyclable and non-recyclable (hazardous and non-hazardous) wastes and quarantine management. Includes associated upstream activities at Perth and Dampier Supply Bases Since 2009 Apache Energy Waste Management Services North West Shelf Waste Management Services including general, recyclable, hazardous waste collection and disposal, industrial tank cleaning and vacuum loading. Includes Varanus Island Since 2010 APLNG Waste Management Services Curtis Island, Gladstone Waste Management Services including general, recyclable, hazardous waste collection and disposal, industrial tank cleaning and vacuum loading. Since 2011

25 Current LNG Work Thiess Preferred Supplier, Waste Services National Woodside Energy Industrial Services and Marine Tank Cleaning Greater Western Flank Drilling Campaign, Okha FPSO Santos - Waste Services and Marine Tank Cleaning Services Dampier, Onslow Shell Australia Waste Services and Marine Tank Cleaning Services Dampier, Broome, Darwin Inpex - Waste Services and Marine Tank Cleaning Services Dampier, Broome, Darwin BHP - Waste Services Dampier, Onslow

26 Highlights Gorgon Project and Rio Tinto contracts leading Safety Management with 1,650 days+ / 4 Years Lost Time Injury (LTI) free; Strong local content for Australian Industry Participation with 3 WA vendors outgrowing their premises to support Toxfree; 6 local Chevron environmental awards, plus Australian Business Award (sustainability); Asset Management 20,000 rotable assets quarantined with Zero Non-Conformance; Sustainable Waste Management practices with 30,000 tonnes of waste reused or recycled diverted from landfill; Award of the Chevron ABU Waste Management Contract; Awards of Rio Tinto Pilbara and Dampier Salt Contracts; Employment of Thalanyji trainees; and FMG contract reaching 40% Aboriginal content.

27 Working with the LNG Sector Our impression Opportunities Detailed and robust systems and procedures; Numerous departments and personnel movements; Highly regulated, high visibility; Constant change. Efficient, professional, can-do service Licensing and insurances; Adaptable, flexible, knowledgeable; Transparent and reliable; Efficient, innovative, solution provider. Rewarding Scale and scope of work; Scale of networks.

28 Questions Toby Edmunds General Manager Mobile: