introduction to vantage drilling international october...
TRANSCRIPT
Introduction to Vantage Drilling International
27October2016
Strategic Overview
ExperiencedPeople
High Specification
Assets
Long-term Customer
Relationships
Financial Structure
Vantage was founded with avision of bringing the bestpeople together with a highspecification, modern fleet inthe offshore drilling industry.
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Company Highlights
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• Premium high-specification drilling units, including four jackups and three ultra-deepwater drillships.
• Our two jackups, the Aquamarine Driller and the Topaz Driller, are upgraded for HPHT work.
• Vantage’s modern rigs are capable of drilling to deeper depths and possess enhanced operational efficiency and technical capabilities, resulting in higher utilization, dayrates and margins.
Premium Fleet
• Successful track record of managing, constructing, marketing and operating offshore drilling units.
• In-house team of engineers and construction personnel overseeing complex construction projects.
• All newbuilds delivered on budget and on time.
• Jackup fleet operating productive time 99% .
• DP ship fleet operating productive time 97%.
• Excellent new build operating performance.
Proven Operational Track Record
• Carried out in house construction management of Vantage Fleet – 4 jack-ups and 3 drillships
• Completed significant a new-build project for the SeaDragon’s semisubmersibles and Aker Drilling (TO)’s drillships.
• Provided Management services for various Banks, Hedge Funds, Investment players.
• Providing construction management for 4 Oro Negro jackups and operations management for 2 jackups for Oro Negro.
• Providing construction management to Sonangol for two ultra-deepwater drillships.
• Provided Vantage with significant engineering expertise and experience in Korean, Chinese and Singaporean shipyards.
Construction Supervision and Management
Arrangements
Company Highlights (Cont.)
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• Management team with extensive experience; average of 29 years in the drilling industry.
• Includes international and domestic public company experience with industry-leading peers involving numerous acquisitions, debt and equity financings.
• Experienced operating personnel.
Experienced Management and Operational Team
(1) PVEP Phu Quy Petroleum Operating Co. Ltd. is a joint venture interest between PetroVietnam Exploration Production Corp. and Total E&P Vietnam.
Capital restructuring plan
• Completed its pre-packaged restructuring and recapitalization plan.
• Eliminated more than $1.5 billion of senior secured debt and most cash interest.
• Received $75 million in new exit financing.
• Strategically positioned for growth and taking advantage of down-turn opportunities.
• One of the strongest balance sheets in the industry. Positioned for the future.
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Through the eyes of our clients, employees, shareholders, service partners and the general public in all the countries we operate.
“ E X C E E D I N G E X P E C TAT I O N S ”
Our Vision
Core Values
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We are focused on our PEOPLE.
Through the success of our people ,
will come the success of our company and our clients.
P R O T E C T I N G People, the Environment and Equipment
E N H A N C I N G Value
O P E R A T I O N A L Excellence
P R O C E D U R A L Compliance
L E A D E R S H I P by Example
E T H I C A L Business Standards
“P E O P L E ”
Our People
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Experienced Management Team
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Years Experience Relevant Experience
Ihab Toma
CEO30 years
¡ Executive Vice President – Chief of Staff, Transocean (2012 – 2013)¡ Executive Vice President – Operations, Transocean (2011 – 2012)¡ Executive Vice President – Global Business, Transocean (2010 – 2011)¡ Senior Vice President – Marketing and Planning (2009 – 2010)¡ Various roles at Schlumberger (1986 – 2009)
Doug Halkett
COO33 years
¡ Division Manager in Northern Europe, Transocean (2004 – 2007) ¡ Operations manager in the Gulf of Mexico (2001 – 2003) and in the UK (1996 – 2001)¡ Various operations and business roles, Forasol-Foramer (1988 – 1996)
Tom Cimino
CFO25 years
¡ Chief Financial Officer, AEI Services, LLC (2012 – October 2016)¡ Vice President and Controller, AEI Services, LLC (2007 - 2012)¡ Director - Global Capital Markets Group at Pricewaterhouse Coopers (2003 - 2007)¡ Various roles at United States Securities and Exchange Commission, Adidas America and KPMG
Bill Thomson
Vice President Marketing and Business Development26 years
¡ VP Technical Services, Supply Chain and Projects (2008 – 2016)¡ Asset Operations Manager, Transocean’s UK fleet¡ Various roles in Engineering, Project Management, New Build Construction and Technical Support
Edward Brantley
CAO33 years
¡ Vice President & CAO, Transmeridian Exploration Incorporated (2005 – 2008)¡ Vice President, Treasurer & CAO, Pride International, Inc. (2000 – 2005)¡ Various management positions at Baker Hughes, Inc. (1989 – 2000)
Dave Weatherly
VP QHSE35 years ¡ Regional HSE and Security Manager, Tidewater (2003 – 2008)
¡ Previous experience in HSE with APG/Salamis JV, Houlder Marine, Deutag and KCA
Dallas Bozeman
Director of Special Projects32 years
¡ Director of Deepwater Operations (2011 - 2015)¡ General Manager, Operations Preparation, Seadrill (2007 – 2010)¡ Rig Manager and various operational roles, Transocean (1980 – 1985) (1997 – 2007)¡ Industrial Engineer, Hyster Forklifts (1985 – 1997)
Guy Dawson-Smith
Director of Operations29 years
¡ Director of Shallow Water Operations (2013 – 2015)¡ Director of Project Management (2008 – 2015)¡ Operations Integrity Manager – Transocean EAU Business Unit.¡ Various roles in Project Management, New Build Construction, Maintenance Management & Technical
Support.
Financial Strength
• Pro-active Capital Restructuring Plan– Removes near-term maturities– Reduces debt services
• Pro-active cost management and workforce reductions.
• Amended and extended Tungsten Explorer contract with Total E&P adding an additional two years of backlog.
• Added long term 18 month Contract with Total E&P in Middle East for the Emerald Driller.
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Debt Summary
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Principal Outstanding
Credit Agreement:$32.0 million Letter of Credit Facility -$ -$ bears interest @ 5.5%
2019 1st Lien Term Loan Facility 143.0$ Interest 10.0$ matures December 31, 2019, Amortization 1.4$ bears interest @ Libor + 6.5% 11.4$
10% Senior Secured Second Lien Notes 76.1$ Interest 7.6$ matures December 31, 2020,bears interest @ 10.0%
1%/12% Step-Up Senior Secured Third Lien 750.0$ -$ Convertible Notesmatures December 31, 2030,bears interest @ 1% for 4 years and then 12%to maturity; all interest is payable in-kind
Total 969.1$ 19.1$
Debt Service(in millions) Third Lien Convertible Notes
do not require any cash debt service prior to maturity.
These notes are convertible at the option of the holders for 3
years. Thereafter, they are convertible at the option of
the Board of Directors.
Ultra-PremiumMarinePacificClass375Jackups
The Vantage Fleet
Ultra-Deepwater10,000ft &12,000ft Drillships
PlatinumExplorer TitaniumExplorer TungstenExplorer
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EmeraldDriller SapphireDriller AquamarineDriller TopazDriller
Vantage Owned Rig Fleet – Jackups
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Shipyard Built PPL, Singapore
Shipyard Delivery December 2008
Design BMC 375 Pacific Class
Dimension 236 ft x 224 ft x 27.9 ft
Water Depth (Max) 375 ft
Drilling Depth (Max) 30,000 ft
Cantilever Reach 75 ft aft, 30’ transverse
Leg Length 506 ft
Spudcan Diameter 55.5 ft
Variable Deck Load (Operating) 7,497 kips
BOP 18-3/4”, 15M, Cameron BOP & 18-3/4” 10M Cameron Annular
Accommodation (Persons) 120
Emerald Driller
Sapphire Driller Shipyard Built PPL, Singapore
Shipyard Delivery July 2009
Design BMC 375 Pacific Class
Dimension 236 ft x 224 ft x 27.9 ft
Water Depth (Max) 375 ft
Drilling Depth (Max) 30,000 ft
Cantilever Reach 75 ft aft, 30’ transverse
Leg Length 506 ft
Spudcan Diameter 55.5 ft
Variable Deck Load (Operating) 7,497 kips
BOP 18-3/4”, 15M, Cameron BOP & 18-3/4” 10M Cameron Annular
Accommodation (Persons) 120
Vantage Owned Rig Fleet – Jackups (Cont.)
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Shipyard Built PPL, Singapore
Shipyard Delivery September 2009
Design BMC 375 Pacific Class
Dimension 236 ft x 224 ft x 27.9 ft
Water Depth (Max) 375 ft
Drilling Depth (Max) 30,000 ft
Cantilever Reach 75 ft aft, 30’ transverse
Leg Length 506 ft
Spudcan Diameter 55.7 ft
Variable Deck Load (Operating) 7,497 kips
BOP18-3/4”, 15M, Cameron BOP & 18-3/4” 10M Cameron Annular,
HPHT, H2S Rated
Accommodation (Persons) 120
Shipyard Built PPL, Singapore
Shipyard Delivery December 2009
Design BMC 375 Pacific Class
Dimension 236 ft x 224 ft x 27.9 ft
Water Depth (Max) 375 ft
Drilling Depth (Max) 30,000 ft
Cantilever Reach 75 ft aft, 30’ transverse
Leg Length 506 ft
Spudcan Diameter 55.5 ft
Variable Deck Load (Operating) 7,497 kips
BOP
18-3/4”, 15M, Cameron BOP & 18-3/4” 10M Cameron Annular, HPHT, H2S
Rated26-3/4”, 15M, QBOP & 18-3/4” 3M
Hydril 30” Annular
Accommodation (Persons) 120
Aquamarine Driller
Topaz Driller
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Water depth 375 ft - non harsh environment - upgradeable to 400 ft Ö
Larger Cantilever capacity (reach 75 ft x 30 ft load) than most designs Ö
Offset derrick provides greater equivalent cantilever capability Ö
Offline stand building capability Ö
Manual pipe handling (faster) Ö
Large deck area (9,700 ft2) with accommodation in front of forward leg Ö
Ability to jackup with full pre-load - reducing rig moving time Ö
Stronger legs than Mod V Bs (no rack chock required) - reduces punch through issues Ö
Lower spud can bearing pressure reduces leg penetration Ö
18 ¾” 15k BOP stack with integrated handling system Ö
High capacity, high efficiency Caterpillar 3516B Engines (5) and LV system arranged as a four (4) split system Ö
Premium drilling package including 3 x 2,200 HP high pressure mud pumps and integrated diverter Ö
Ability to transit with 300,000 lbs tubular racked in derrick Ö
Advantages of Baker Marine Pacific Class 375 Design
Ultra-Deepwater Bifurcation –Vantage Has High-Spec Drillships
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Platinum Explorer Titanium Explorer Tungsten Explorer
Derrick Load Paths –- 2x Activity- 1.5x Activity ü ü ü
Draw Works (HP) 4,500 6,000 9,000
Hook Load (Tons) 1,000 1,250 1,250
Heave Compensating Xmas Tree Crane (165 t)
Tripsaver ü
BOPS’s- Onboard- RAM’s (*planned)- API SP53/GOM
Compliant
15/6*
*planned for 2015
1 6
ü
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ü
Water Depth- Capable/Outfitted 10,000 / 10,000 12,000 / 10,000 12,000 / 10,000
Variable Load 20,000 MT 20,000 MT 20,000 MT
Accommodation (Beds) 180 180 200
Thrusters 6 x 4.6 Mw / DP3 6 x 5.5 Mw / DP3 6 x 5.5 Mw / DP3
Features
Notable Accomplishments Drilled well in ≈ 9,400 ft of water - Drilling well in 8,800 ft of water- >2 million lb casing load
Fastest shipyard delivery – 27 months from order
DSME Design – Platinum Explorer
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Drilling depth 40,000 ft Ö
Operates in up to 10,000 ft water depth, outfitted for 10,000 ft Ö
Large deck area & 20,000 mt variable deck load Ö
2 million lbs static hook load Ö
Multi-activity drill floor & Offline drill string & casing stand building lay down Ö
6 x 4.6 MW Rolls Royce Thrusters Ö
Aker Solutions Drilling Package Ø Top Drive - DDM 1000 shtØ Rotary Table - 60 ½ x 1000 shtØ Iron Roughnecks - 1 x HRN Online & 1 x Torque Master off line Ø Mud Pumps - 4 x Wirth 2,200 HPØ Drawworks - 4,500 HPØ Shale Shakers - 6 x DP 626
Ö
DP3 system Convert team triple redundant Ö
Xmas tree handling built into moonpool, 150 ton capacity Ö
5 ram Cameron 18 ¾” BOP with bottom ram a dual DP/ test ram10,000 ft Aker Clip Riser Ö
180 man accommodation Ö
20,000 bbl liquid mud system31,700 ft3 bulk mud storage Ö
3 x 85 mt & 1 x 50 mt Liebherr deck cranes Ö
DSME Design – Titanium Explorer
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Drilling depth 40,000 ft Ö
Operates in up to 12,000 ft water depth, outfitted for 10,000 ft Ö
Large deck area & 20,000 mt variable deck load Ö
2.5 million lbs static hook load Ö
Multi-activity drill floor & offline drill string & casing stand building lay down Ö
6 x 5.5 MW Rolls Royce Thrusters Ö
Aker Solutions Drilling Package Ø Top Drive- MDDM 1250 sht Ø Rotary Table - 60 ½ x 1250 shtØ Iron Roughnecks - 1 x HRN Online & 1 x Torque Master off line Ø Mud Pumps - 4 x Wirth 2,200 HP Ø Drawworks- 6,000 HPØ Shale Shakers - 6 x DP 626
Ö
DP3 system Convert team triple redundant Ö
Xmas tree handling built into moonpool, 150 ton capacity Ö
6 ram Cameron 18 3/4 “ BOP with 3 x Shear Rams - GOM compliant 12,000 ft Aker Clip Riser Ö
180 man accommodation Ö
20,000 bbl liquid mud system31,700 ft3 bulk mud storage Ö
3 x 85 mt & 1 x 50 mt Liebherr deck cranes Ö
DSME Design – Tungsten Explorer
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Drilling depth 40,000 ft Ö
Operates in up to 12,000 ft water depth, outfitted for 10,000 ft Ö
Large deck area & 20,000 mt variable deck load Ö
2.8 million lbs static hook load Ö
Multi-activity drill floor & Offline drill string & casing stand building lay down Ö
6 x 5.5 MW Rolls Royce Thrusters Ö
Aker Solutions Drilling Package Ø Top Drive - MDDM 1250 shtØ Rotary Table - 75 ½ x 1,250 shtØ Iron Roughnecks - 1 x HRN Online & 1 x Torque Master off line Ø Mud Pumps - 4 x Wirth 2,200 HP Ø Drawworks - 9,000 HPØ Shale shakers - 8 x DP 626
Ö
DP3 system Convert team triple redundant Ö
Xmas tree handling built into moonpool, 150 ton capacity Ö
6 ram Cameron 18 ¾” BOP with 3 x Shear Rams 10,000 ft Cameron Load King Riser 1,000 mt Trip Saver - riser hang off
Ö
200 man accommodation Ö
20,700 bbl liquid mud system28,600 ft3 bulk mud storage Ö
3 x 85 mt & 1 x 50 mt Liebherr deck cranes Ö
Current Worldwide Operations
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Vantage Regional Offices
Client: Warm stackedLabuan MalaysiaPlatinum Explorer
Client: Warm stackedPort Fourchon, South Africa
Titanium Explorer
Singapore
DubaiHouston
Client: Total CongoTungsten Explorer
Client: Warm stackedLabuan Malaysia
Topaz Driller
DSME Shipyard KoreaSonangol Drillships
Client: Warm stackedPointe-Noire Congo
Sapphire Driller
Current operations
Future operations
Client: Total E&P QatarEmerald Driller
Client: CPOC Malaysia/Thailand JDA
Aquamarine Driller
Fleet Status
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Customer Focus – Repeat Business
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National Oil Companies, Majors, Independents Operational excellence equals lower costs equals repeat business
Operations
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PEOPLE
• Competence Training Matrix for all job categories.
• Personnel trained on all the Rig Specific Equipment & Procedures.
• Operational and Safety Procedures in place and understood by crews.
• We hire drilling people with down hole knowledge.
Operations
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TECHNICAL• Onboard user friendly Maintenance & Procurement Tracking System.
• Technical & Operational back up in Vantage base offices.
• Fast response from Vantage and Vendors to any operational issues.
• Top quality capital spares.
• On board spare parts valued at around US$ 3.5 million (on Jackups) and US$ 12 million (on Drillships).
• Vendor agreements in place for fast timely supply of spares.
• Maintenance standards in line with highest industry standards and are simple and robust.
Management System Development
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Management System Structure
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Bringing together all of these basic elements of sound business management provides VANTAGE with a structured and disciplined approach to the way we manage all our business activities.
In the interest of being a premier service provider, VANTAGE has built it’s Management System following the ISM Code, ISO9001:2000, ISO 14001:2004 and OHSAS 18001:2007.
Client Relationships
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CLIENTS – KEEPING THEM HAPPY…….
• We must respect our Clients – at all levels
• Work with them not against them
• Build Personal Relationships at rig and shore base operations levels
• Make sure we reach and exceed their NPT targets
• Work with them to deliver superior performance on their wells
• Act as a Team with the Client
• Above all we have to KEEP IT SIMPLE
Why Choose Vantage
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Our people are focused on “Exceeding Expectations”
• We have a highly successful and proven management team with extensive
operating experience and expertise.
• We are focused on people, process and delivery.
• We have state of the art systems, policies and procedures.
• We have a strong safety culture.
• We have a new, modern and efficient rig fleet.
• We have new rigs being constructed at top class shipyards and
supervised by experienced project teams.
• We are here for the long term.
•We have the financial strength
Vantage Main Offices & Key Contacts
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Bill Thomson, Vice President Marketing and Business Development
Office: +1 281 404 4833 � Mobile: +1 281 414 5397
Email: [email protected]
Alisdair Semple, Director Marketing
Office: +65 6768 6035 � Mobile: +65 9295 9787
Email: [email protected]
Singapore Office
Telephone: +65 6768 6000 Facsimile: +65 6768 6001
Address: 72 Anson Road, #07-01 Anson House, Singapore 079911
Houston Office
Telephone: +1 281 404 4700 Facsimile: +1 281 404 4749
Address: 777 Post Oak Boulevard, Suite 800, Houston, Texas 77056, USA
Dubai Office
Telephone: +971 4 449 3400 Facsimile: +971 4 449 3401
Address: Media City, Business Central Towers, Block B, Office 2003, P.O. Box 282292, Dubai - UAE