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September 4, 2013
Pareto Securities 20th
Annual Oil & Offshore Conference
Mark L. MeySr. Vice President and CFO
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Forward Looking Statements
Statements contained in this report with respect to the future are forward-lookingstatements. These statements reflect management’s reasonable judgment with respectto future events. Forward-looking statements are subject to numerous risks,uncertainties and assumptions and actual results could differ materially from thoseanticipated as a result of various factors including: uncertainties related to the level ofactivity in offshore oil and gas exploration and development; oil and gas prices;competition and market conditions in the contract drilling industry; the risks inherent inthe construction of a rig; delays in the commencement of operations of a rig followingdelivery; our ability to enter into and the terms of future contracts; possible cancelation orsuspension of drilling contracts; the availability of qualified personnel; labor relations;operating hazards and risks; terrorism and political and other uncertainties inherent inforeign operations (including risks of war, civil disturbances, seizure or damage toequipment, and exchange and currency fluctuations); the impact of governmental andindustry laws and regulations; and environmental matters. These factors and others aredescribed and discussed in our most recently filed annual report on Form 10-K, in ourForms 10-Q for subsequent periods and in our other filings with the Securities andExchange Commission which are available on the SEC’s website at www.sec.gov. Eachforward looking statement speaks only as of the date of this presentation and weundertake no duty to update the content of this presentation or any forward-lookingstatement contained herein to conform the statement to actual results or to reflectchanges in our expectations.
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Overview & Strategy
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Transforming Atwood Oceanics
Multi-year investment in fleet modernization and expansion Delivering 6 UDW floater and 3 jackup newbuilds from 2011 through
2015 Will own youngest high-specification floater and jack-up fleets in the
industry
Industry-leading safety and reliability performance
Top-tier revenue efficiency, cost control and project management leads to: Best-in-class margins Superior shareholder returns
Growth is fully funded and sourced predominantly from operating cash flow Current contract backlog of $3.9 billion Retain substantial balance sheet flexibility
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$245Q1
$527
$651
$787
$253Q2
$273Q3
$288*Q4
$0
$200
$400
$600
$800
$1,000
$1,200
2008 2010 2012 2013
Note: Revenue and Net Income represented on fiscal year basis.Source: * IPREO Factset dated August 27, 2013
Steady Revenue and Earnings Growth2008-Present
$ Millions
$73Q1
$215
$257$272
$86Q2
$90Q3
$96*Q4
$0
$50
$100
$150
$200
$250
$300
$350
2008 2010 2012 2013
$ Millions
Revenue Net Income
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Shareholder Return: ATW Vs. Peers*
*As of August 28, 2013Source: FactSet
125.7%
-4.7%
26.3% 26.6%41.5% 47.4%
154.2%
-20%0%
20%40%60%80%
100%120%140%160%180%
ATW RIG NE DO RDC ESV SDRL
Total Shareholder Return: 3 Year Comparison
809.9%
52.8%118.7% 125.3% 133.8%
416.5%
0%100%200%300%400%500%600%700%800%900%
ATW RDC RIG ESV NE DO
Total Shareholder Return: 10 Year Comparison
4085.0%
745.7%290.9%
0%500%
1000%1500%2000%2500%3000%3500%4000%4500%
ATW NE RDC
Total Shareholder Return: 20 Year Comparison
25.0%
-4.6%
0.8%2.7% 2.9% 3.4%
20.5%
-10%
-5%
0%
5%
10%
15%
20%
25%
30%
ATW RIG ESV RDC NE DO SDRL
Total Shareholder Return: 1 Year Comparison
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Expanding our High Specification Rig FleetFive newbuilds delivered on budget and ahead of schedule
2011 2012 2013 2014 2015 Atwood Osprey
Atwood Orca
Atwood Mako
Atwood Manta
Atwood AdvantageAtwood Condor
CALENDAR YEAR
6 Ultra-Deepwater Floaters3 High-Spec Jackups
$4.5 Billion InvestmentProjected $57 million potential annual revenue per jackupProjected $200 million potential annual revenue per UDW$1.4 billion in potential total annual revenue from these 9 rigs
Atwood Achiever Atwood Admiral
Delivered and Working Under Construction; Contracted
Atwood Archer
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Improving Revenue Quality – 2011 vs. 2015
*Source: Atwood internal analysis (pro forma estimate for FY 2015)
10%
80%
10%
FY 2011 Revenue
Ultra Deepwater FloatersHigh Spec JackupsOther
17%
29%54%
FY 2015 Revenue*
Ultra Deepwater FloatersHigh Spec JackupsOther
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Fleet Transformation and Growth
Atwood’s fleet has a strong presence in Australia, Southeast Asia and West Africa
Houston, Texas
Headquarters UDW / DW Semisubmersibles
ATWOOD EAGLE
ATWOOD FALCON
ATWOOD HUNTER
ATWOOD OSPREY
ATWOOD CONDOR
VICKSBURG
ATWOOD BEACON
ATWOOD AURORA
Jack-ups
ATWOOD MANTA
ATWOOD ORCA
ATWOOD MAKO
Newbuild Drillships
ATWOOD ADVANTAGE
ATWOOD ACHIEVER
ATWOOD ADMIRAL
ATWOOD ARCHER
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Execution Performance
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Revenue Efficiency
Achieving Top-Tier Execution
Cost Control
ProjectManagement
Best-in-class Operating and Net Margins
Consistent, Superior Shareholder Returns
2011- Atwood Osprey2012- Atwood Mako- Atwood Condor2013- Atwood Manta- Atwood Orca2014- Atwood Advantage- Atwood Achiever2015- Atwood Admiral
Key Enablers- Centralized
maintenance and technical support
- Consistent standards and institutionalizing lessons learnt
- Common equipment across rigs and supplier consolidation
- Organic growth with proven rig designs and world-class shipyards
- Early capital project scoping and detailed project planning
- Experienced project management teams
Value Drivers
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1.05
0.80
0.68
0.0
0.2
0.4
0.6
0.8
1.0
1.2
2008 2010 2012
Continuous Safety Performance ImprovementFiscal Year 2008-Present
Total Recordable Incident Rate
Atwood Oceanics recognized as leading offshore driller for HSE in 2012*
0.26
0.18
0.06
0.00
0.05
0.10
0.15
0.20
0.25
0.30
0.35
0.40
2008 2010 2012
Lost Time Incident Rate
*Results from EnergyPoint Research customer satisfaction survey published February 20, 2013
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Signed Orca to initial 2-year contract in Thailand Jan 2013
Announced 1Q FY2013 results with 95% revenue efficiency Jan 2013
Delivered Atwood Orca 10 weeks ahead of schedule April 2013
Announced 2Q FY2013 results with record quarterly revenue May 2013
Agreed to repurchase 2 million shares from Helmerich & Payne May 2013
Signed Atwood Eagle to 2-year contract in Australia May 2013
Signed Atwood Condor to 39-month contract in the Gulf of Mexico June 2013
Signed Atwood Beacon to 2-year contract in Italy June 2013
Signed Atwood Achiever to 3-year contract in Morocco June 2013
Atwood Announces 4th Drillship the Atwood Archer June 2013
Announced 3Q FY2013 results with record quarterly revenue July 2013
Signed Atwood Manta to 2-year contract extension in Thailand August 2013
Major Accomplishments – Year to DatePartial Listing
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Contracting of the Vicksburg (early 2014 availability)
Delivery and start-up of the Atwood Advantage
Contracting of Atwood Admiral (2015 availability)
Calendar 2013 Priorities and Potential Catalysts
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Market Outlook and Contracts
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64 Recent Discoveries in Floater Water Depths*December 2011 to June 2013
Source: IHS-Petrodata
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12
4
7
5
5
12
107
9
* Water depths greater than 500 ft.
“GoldenTriangle”
Deepwater and ultra-deepwater prospectivity continues to be excellent
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Steady Floater Utilization – UDW Rigs “Sold Out”
Source: IHS-PetrodataNote: Contracted Utilization equals Working Rigs / Total Supply
80%82%84%86%88%90%92%94%96%98%100%
0
20
40
60
80
100
120
140
Util
izat
ion
Tota
l Sup
ply
Floater Utilization UDW (7500’+)
Total Supply 7500+
70%
75%
80%
85%
90%
95%
100%
150170190210230250270290310
Util
izat
ion
Tota
l Sup
ply
Floater Utilization by Category - >7,500’
Total Supply 5001-7500 3001-5000 <3000
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132
196
307
18
65%
70%
75%
80%
85%
90%
95%
100%
105%
0
80
160
240
320
400
480
Total Supply Total Contracted Utilization High Spec Contracted Utilization
Jackups: Dayrate and Utilization Improvement Even as Supply Grows
Source: IHS-PetrodataNote: Contracted Utilization equals Working Rigs / Total Supply
386
499
Worldwide Jackup Supply and Utilization
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Accelerating High Spec Jack-Up Dayrate OutlookBifurcation driving increased utilization and day rates
Jack-up tenders up significantly over the past 6 months
Driven by demand in the Middle East, SE Asia, Mexico, North Sea and IndiaMarket outlook for 2013 remains favorable
Overall contracted utilization rates for high spec rigs approximately 100%
Dayrates currently in the $165,000 to $195,000 range, depending on the geographic region and contract term
67 high specification rigs under construction 17 contracted
50 to be delivered over next 40 monthsMany older rigs are not likely to return to market
27 jack-up rigs permanently removed from the fleet in 2011 and 2012; compared to aggregate of 18 rigs for the previous 15 years ending 2010
Jack-up demand continues to shift toward newer, high-specification rigs
Source – IHS, ISI Group, Pareto Securities
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Atwood Fleet Contract Status(by calendar year)
Rig Class/Rig Customer2013 2014 2015 2016
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Ultra-Deepwater Drillships
Atwood Advantage Noble Energy $409K $584K
Atwood Achiever Kosmos Energy Delivery mid-2014 $463K $595K / $661K*
Atwood Admiral Available Delivery early 2015
Atwood Archer Available Delivery Late 2015Ultra-Deepwater Semisubs
Atwood Osprey Chevron $490K $470K
Atwood Condor Shell $514K $555K
Deepwater Semisubs
Atwood Eagle Woodside / BHP /Apache/Woodside $436K / $385K $460K
Atwood Falcon Apache $385K
Atwood Hunter Noble Energy/GEPetrol $435K/$510K $515K
Jack-UpsAtwood Aurora Glencore / Addax $155K $165K / $193K*
Atwood Beacon Shemen Oil / ENI $175K
Atwood Mako Salamander $145K $155K
Atwood Manta CEC International $145K $160K
Atwood Orca Mubadala Petroleum $160K
Vicksburg CEC International $105 / $115K
Contracted (current)Contracted (follow on work)ShipyardMobilization (as of 9/1/13)
Firm Term 26.7 Rig Years
Firm Revenue $3.9 Billion
* Rates shown are “exclusive of tax / inclusive of tax”
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Revenue Backlog Analysis
$96
$1,320 $1,194
$1,339
$-
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
2013 2014 2015 2016+
$389
$2,093
$1,466
($Millions)
($Millions)
Majors/Large NOCsLarge IndependentsSmall Independents
Total = $3.9 Billion
(as of 9/01/13)
Fiscal Year
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Financial Considerations
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30
945
509 514
30
724
509 514
221
0
100
200
300
400
500
600
700
800
900
1000
CAPEX Contracted CashflowDebt Uncontracted Cash Flow
1. Excludes $293 million of maintenance and other CAPEX and capital spares for 2013, 2014, 2015 and 20162. CAPEX for 2013 represents projections for remaining month for fiscal 2013
Future Capital Expenditures Fully Financed
($ millions)• $1.4 billion1 in remaining total capital expenditures as of September 1, 2013
• Approximately $2.0 billion in contracted after tax cash flow through 2016 is available to fund these expenditures
• With the exercise of the $200 million Credit Facility accordion, we are fully funded for all construction costs
• Credit metrics peak in mid-2014 with the delivery of the Atwood Achiever
• Debt-to-cap and debt to EBITDA ratios are maintained below 40% and 2.7 times, respectively
Fiscal Year
2014 2015 201620132
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$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
FY 2014 FY 2015 FY 2016 FY 2017
High-Spec Jackups Ultra-Deepwater
Earnings Growth Through Newbuild Rig Deliveries
* Comparison versus FY2012 earnings; EPS analysis excludes any increases in Operating or SG&A costs or interest expense during the 4 year period
Atwood MantaAtwood OrcaAtwood AdvantageAtwood Achiever
Atwood AchieverAtwood Admiral
Atwood AdmiralAtwood Archer
Assumptions:UDW Floaters – Dayrate of $600,000, operating cost of $190,000 (inflation-adjusted), revenue efficiency of 95% and a tax rate of 13%
High Specifications Jack-ups – Dayrate of $170,000,operating costs of $65,000 (inflation-adjusted), revenue efficiency of 95% and a tax rate of 13%
Atwood Archer
Potential Incremental $6.74 Earnings Per Share from Newbuild Rig Deliveries*
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Summary
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The Atwood Advantage
High-Quality Operating Fleet with Aggressive Growth Initiative
Strong Backlog with High Quality
Customers
Knowledgeable and Experienced
Management Team
Attractive Geographic
Diversity
Established Reputation for Safe
and Efficient Operations
Significant Liquidity and
Financial Flexibility
Industry-Leading Margins and Shareholder
Returns
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Thank You
www.atwd.comwww.atwd.com
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