BW Energy

Trading update Q1 2020 - Seite 2

REVISED DEVELOPMENT PLANS AND OUTLOOK

The Company has proactively taken steps to maintain a flexible financial position. BW Energy’s total capital spending program for 2020 has been reduced from USD 250 million to USD 115 million, of which USD 49 million was expensed in the first quarter.

As a result, the Dussafu production projection for 2020 has been lowered to 15,000 - 16,500 bbls/day (gross) based on four producing wells, compared to an average of 11,800 bbls/day achieved in 2019. Operating expenditure per barrel is expected to decrease to approximately USD 16-18 per barrel, compared to USD 21 per in 2019.

Drilling of the DTM-6H well was completed in March. The installation program to connect the well to the FPSO has been rescheduled as the COVID-19 restrictions on international travel limits the movement of essential personnel, subcontractors and equipment to and from several countries, including Gabon. The Company has for the same reason suspended drilling and connection of the planned DTM-7H well and the subsequent exploration well.

The Ruche project has also been deferred until efficient project execution can be assured.

The Maromba project has been refocused on activities required to progress on government approvals and optimisation of the field development plan with respect to investment, operational costs, and schedule.

A conference call followed by Q&A will be hosted by CEO Carl K. Arnet, CFO Knut R. Sæthre and COO Lin G. Espey today at 14:00 CEST.

Conference call information:

To dial in to the conference call where the first quarter results and Q&A will be hosted, please dial in to one of the following numbers:

Norway: [phone]

France: [phone]

Singapore: [phone]

United Kingdom: [phone]

United States: [phone]

You can also follow the presentation via webcast with supporting slides, available on: 

https://bwe.eventcdn.net/2020q1/

Please note, that if you follow the webcast via the above URL, you will experience a 30 second delay compared to the main conference call.

For further information, please contact:
Knut R. Sæthre, CFO BW Energy, [phone]
[e-mail]

About BW Energy:
BW Energy is a growth E&P company with a differentiated strategy targeting proven offshore oil and gas reservoirs through low risk phased developments. The Company has access to existing FPSOs to reduce time to first oil and cashflow with lower investments than traditional offshore developments. The main assets are 73.5% of the producing Dussafu Marine Permit offshore Gabon and a 95% interest in the Maromba field in Brazil, both operated by the Company. Total net 2P+2C reserves are 247 million barrels at the start of 2020 and gross average production from Dussafu was 11,779 bbls/day in 2019.

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

 

Attachment

• 2020 Q1 Presentation