Statoil Supplier Days 2017 2012-10-24
Shaping competitive solutions together Margareth Øvrum, EVP Technology, projects and drilling 2012-10-24
Lifting weights all summer! Aasta Hansteen Njord Cat J Oseberg Vestflanken Hywind Johan Sverdrup Mariner
Safety Integrated in everything I do applicable to all I AM SAFETY I always put safety and security first and understand my risks. Safety and security is what I do every day. I am a role model for safety and security. I am accountable, visible and engaged!
USD-17/bbl Increasing value through sustainable improvements Development break-even major project decisions 2015-17 1) 80 60 40 35 30 25 20 15 10 5 0 Development CAPEX, recoverable resources and NPV 1) -43% 2000 1800 +12% 1600 1400 1200 1000 800 600 400 200 0 Category CAPEX 1 Category 2 Recoverable Category 1 Category resources 2 30 25 20 15 10 5 0 +12% Category NPV 1 a.t. Category 2) 2 40 Average break-even price project portfolio 3) Average break-even price next generation portfolio 4) 20 0 2013 70 USD/bbl CMU 2016 41 USD/bbl Current 27 USD/bbl Current CMU 2016 2013 1) Johan Castberg, Johan Sverdrup phase 1, Johan Sverdrup phase 2, Oseberg Vestflanken, Peregrino Phase II, Snorre Expansion, Utgard and Trestakk. CAPEX and KPIs from 1Q2013 used with exception of newer projects. 2) Oil and gas price assumptions reduced by 20-30% in same period 3) Statoil operated projects, planned for sanction within 2022. Volume weighted. 4) Statoil- and partner-operated projects, sanctioned since 2015 or planned for sanction, with start-up by 2022. Volume weighted.
Activity outlook Torger Rød, SVP Project development
Prerequisites for the future SSU & Quality; Climate and low carbon Continuous improvement Collaborate
World class project portfolio and exploration plan Statoil projects sanctioned in 2016/17 Project opportunities Long term opportunities Oseberg Vestflanken II Peregrino II Johan Sverdrup Future Johan Castberg Barents Subsea tie-backs Bay du Nord Brazil Tanzania Renewables 2017 Exploration Drilling Plan Byrding Utgard Snorre Expansion Askeladd Njord Future & Bauge Trestakk Troll Future Krafla/Askja
Njord Field Development 20 additional years in operation! Njord A Njord Bravo Njord SURF/Marine Bauge tie-back to Njord Fenja tie-back to Njord 10 Classification: Internal 2012-10-24 Statoil ASA
16 11 Classification: mars 2017 Internal Johan Castberg Statoil ASA 240 km Northwest of Hammerfest 2017: Investment Decision and PDO 2022: First oil Field resources 450-650 mn boe
Snorre Expansion project six templates, each with 4 wells, with tie- back to SNA
Johan Sverdrup Phase 2 Recoverable Reserves (exp. values) Oil 502 MMBOE (100%) PDO Phase 1 Concept Selection DG2 Concept selection revisit DG3/PDO approval DG4 Jan 2015 Nov 2015 March 2017 Aug 2017 Sep 2018/ Feb 2019 Q4 2022
Askeladd Troll Phase 3 Phased subsea development 3 wells in first phase (Nord, Sør and Gamma) Subsea facilities 2 templates (Nord and Sør) Tie-back to Snøhvit PLEM (42 km distance). Snøhvit PLEM to Melkøya (143 km distance) 5 spare slots for future options Phased subsea development Max. 50 MSm 3 /d capacity 2 subsea templates, 8 wells Gas pipeline to Troll A Troll A modifications 14 Classification: Internal 12 Statoil juni ASA 2017
Transformation through collaboration Pål Eitrheim, Chief procurement officer 2012-10-24
Oil and gas industry Adjusting to new realities 100 90 80 70 60 50 40 30 Mobile rigs no. Cost (IHS) O&G investments Oil price 20 10 0 2014 2015 2016 2017
Competition and collaboration In very challenging markets
Suppliers critical to NCS value creation Norwegian suppliers have improved competitiveness Internal vs. supplier expenditures Statoil procurement 2016, NOK billions Norwegian supplier spend up 14 % 1H-2017 NOK 151 Billion 90 80 70 60 50 40 30 20 10 Procurement International Procurement Norway 0 H1 2016 H1 2017 Procurement International Procurement Norway
How we work Steps in the procurement process Corporate strategy Category strategy Specific strategy incl. pre-qualification Invitation to tender Evaluation and Award Supplier follow-up Long term strategy Demand management Market knowledge Experience transfer Contract-specific strategy Market screening Pre-qualification Familiarization meetings Estimate & benchmarking Project experience transfer Request and contract documents Dialogue and clarifications with supplier Bid evaluation Negotiations Clarifications Contract awards Supplier performance Contract administration Change orders Evaluation of options Requirements and guaranties Lessons learned Supplier list
How to become a supplier Supplier Portal www.statoil.com 10 Statoil supplier days in 2017 Hammerfest Harstad Sandnessjøen Kristiansund Stjørdal Bergen Florø Stavanger Oslo Kristiansand
From project to procurement Award date Johan Castberg 2017 2018 Q3 Q4 Q1 Q2 Q3 Q4 Hull & LQ EPC Turret SPS Flexible risers Umbilical Topside and Integration Marine Installation H1 2019 H2 Snorre exp. Flexible risers SPS Umbilical Marine Installation Askeladd Subsea Umbilical Marine operations Troll Future Topside modifications Subsea & Marine Transport & Installation Johan Sverdrup 2 Power from shore, power cable RP modification P2 jacket P2 topside Transport & Installation Subsea and Marine
Selected upcoming procurements Strategy and pre-qualification phase Invitation to Tender submitted to market Evaluation and negotiation ongoing Awarded Rig Visund Nord IOR Maintenance and services pump (Award Q4-17) Global advertising, design, media services (Award Q4-17) Drilling & Well services & equipment NCS (Award Q1-18) Rig to Snorre Exp. (Award Q4-17) Rig Aasta Hansteen Electro materials (Award Q4-17) Maintenance of valves (Award Q4-17) Valves <4" (Award Q4-17) PSV Vessels for NCS LWI 2020 (Award Q2-18) IMR Vessel (Award Q1-18) Rig Brazil