Investor presentation December 2014 - TAQA holder... · THIS PRESENTATION DOES NOT CONTAIN ALL OF THE INFORMATION THAT IS MATERIAL TO AN INVESTOR. This presentation has been prepared

Investor presentation

December 2014 Abu Dhabi National Energy Company PJSC (TAQA)

December 2014 Investor presentation www.taqaglobal.com 0

Disclaimer

THIS PRESENTATION IS NOT AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL SECURITIES. THIS PRESENTATION DOES NOT CONTAIN ALL OF THE

INFORMATION THAT IS MATERIAL TO AN INVESTOR.

This presentation has been prepared by Abu Dhabi National Energy Company P.J.S.C. ("TAQA"), is furnished on a confidential basis only for the use of the intended recipient and

only for discussion purposes. This presentation may not be taken away, reproduced (in whole or in part), distributed or transmitted to any other person without TAQA’s prior written

consent. If this presentation has been received in error it must be returned immediately to TAQA.

This document is not a prospectus for any securities and does not contain an offer to sell any securities. Investors should only subscribe for any securities on the basis of

information in the relevant prospectus and term sheet and not on the basis of any information provided herein. This presentation does not disclose all the risks and other significant

issues related to an investment in any securities/transaction. Before transacting, you should consider the suitability of the transaction to your particular circumstances and

independently review (with your professional advisers as necessary) the specific financial risks as well as the legal, regulatory, credit, tax and accounting consequences.

This presentation and the information contained herein are not for publication or distribution in the Unites States or to U.S. persons (within the meaning of Regulation S under the

United States Securities Act of 1933, as amended (the “Securities Act”)), Canada, Australia or Japan. The materials do not constitute an offer of securities for sale in the United

States, nor may any securities referred to herein be offered or sold in the United States or to, or for the benefit of U.S. persons absent registration or an applicable exemption from

registration as provided in the Securities Act, and the rules and regulations thereunder. There is no intention to register any portion of any offering referred to herein in the United

States or to conduct a public offering of securities in the United States and any securities will only be offered for sale to "qualified institutional buyers" (“QIBs”) as defined in, and

pursuant to, Rule 144A under the Securities Act and to persons other than U.S. persons investing in an "offshore transaction" under Regulation S under the Securities Act.

This communication is directed solely at (i) persons outside the United Kingdom, (ii) persons with professional experience in matters relating to investments falling within Article

19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the “Order”); or (ii) high net worth entities, and other persons to whom it may

lawfully be communicated, falling within Article 49(a) to (d) of the Order, all such persons in (i) to (iii) together being referred to as “relevant persons”. This presentation is

communicated only to relevant persons and must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this

presentation relates is available only to relevant persons and will be engaged in only with relevant persons.

The information contained in this presentation has been obtained from sources believed to be reliable but TAQA does not represent or warrant that it is accurate and complete. All

opinions and estimates included in this presentation are subject to change without notice. TAQA is under no obligation to update or keep current the information contained herein.

All projections, valuations and statistical analyses are provided to assist the recipient in the evaluation of the matters described herein and should not be relied upon as an accurate

prediction of future performance. No person shall have any right of action (except in case of fraud) against TAQA or any other person in relation to the accuracy or completeness of

the information contained in this presentation.

No action has been taken or will be taken that would permit a public offering of any securities in any jurisdiction in which action for that purpose is required. No offers, sales, resales

or delivery of any securities or distribution of any offering material relating to any such securities may be made in or from any jurisdiction except in circumstances which will result in

compliance with any applicable laws and regulations. This presentation may include forward-looking statements that reflect TAQA's intentions, beliefs or current expectations.

Forward-looking statements involve all matters that are not historical and can be identified by the use of forward-looking terminology, including the terms "may", "will", "would",

"should", "expect", "intend", "estimate", "anticipate", "believe" and similar expressions or their negatives. Such statements are made on the basis of assumptions and expectations

that TAQA currently believes are reasonable, but could prove to be wrong. These forward-looking statements are subject to risks, uncertainties and assumptions about TAQA and

its subsidiaries and investments. In light of these risks, uncertainties and assumptions, the events in the forward-looking statements may not occur. Neither TAQA nor any other

person undertakes to publicly update or revise any such forward-looking statement.

By attending the presentation to which this document relates or by accepting this document you will be taken to have represented, warranted and undertaken that (i) you are a QIB

or a relevant person (as defined above); (ii) you have read and agree to comply with the contents of this notice; and (iii) you will treat and safeguard as strictly private and

confidential all such information and take all reasonable steps to preserve such confidentiality.


I. Overview of Key Developments

December 2014 Investor

presentation

www.taqaglobal.com

9M 2014 Results – excellent operational performance

driving financial results

Robust operational performance

- Record oil and gas production

- Stable production in the Power and Water business

Underlying revenues* grew 14% to US$ 4.6 billion driven by:

- Record oil and gas production

- Strong UK North Sea performance – production up by 21 mboed (+54%)

- Stronger North American prices

Financial Results

- Strong operational cashflow – EBITDA of US$ 3.1 billion, up in 9M 2014 21% on prior period

- Net profit of US$ 169m, up from US$ 22m in 2013

Delivery of major growth projects on track

- Jorf Lasfar Power Plant Expansion Complete

- Takoradi Plant Expansion on Track

- Preliminary commercial operations at Bergermeer gas storage facility in the Netherlands

Increased focus on debt repayment and cost reduction

- Withdrawal from non-core projects

- General & Administrative (G&A) cost reduction by 9%

- Capex program reduced by US$300 million

* Excluding construction and fuel revenues


TAQA – Progress on key initiatives

UK North Sea New assets acquired from BP fully integrated and operations issue resolved – 2014

production 21 mboed (54%) higher YOY

Morocco Expansion program to increase capacity to 2,054 MW complete, commercial production

started in Q2 2014

India TAQA ended negotiations to acquire a 51% stake in two hydro power plants in India

Kurdistan

Region

Development of the TAQA-operated Atrush Block in the Kurdistan region of Iraq is on

schedule to produce first oil in 2015, targeting production of 30,000 barrels of oil per

day.

TAQA ended negotiations to acquire a 50% Power Plant in Sulaymaniah

Netherlands Preliminary commercial operations at Bergermeer gas storage started in April 2014.

Full commercial operations to start April 2015

Note: All $ figures calculated based on a foreign exchange rate of 3.673 AED = 1 $


II. TAQA - Strategy & Profile


presentation

www.taqaglobal.com

Overview of TAQA’s credit strengths

Solid financial

profile

Strong

relationship with

the Government of

Abu Dhabi

Focused strategy with

balanced portfolio of

assets

Prudent financial and

risk management

policy


Strong relationship with the Abu Dhabi Government

Ownership of strategic power & water assets in Abu Dhabi

Majority ownership of 8 IWPP that provide more than

95% of Abu Dhabi’s water and electricity needs

Active government oversight

74.4% indirectly owned by the Government of Abu Dhabi

All members of the board are Abu Dhabi government

employees

Ongoing oversight by the Debt Management Office of Abu

Dhabi

Clear statement of support from the Government

TAQA is one of four exclusively government supported GREs in Abu Dhabi

January 13, 2011, Department of Finance Statement: "Government policy remains that broad and ongoing

support will be offered exclusively to Mubadala, IPIC, TDIC and TAQA"

Financial Support Fund for Farm Owners in the Emirate of Abu Dhabi

Abu Dhabi Water and Electricity Authority

(ADWEA)

Government of Abu Dhabi

Oil & Gas Power & Water

Other Governmental Entities

Public Shareholders

100% 100% 100%

21.7% 52.4%

25.6%

0.4%

Tangible support from the Government

Transfer of 54% ownership in eight power & water plants in the UAE since 2005

Equity injection of US$ 740 million through subscription in convertible debenture offering in 2008

Transfer of Government stake in Sohar Aluminium smelter and a stake in Tesla motors

Change of Control Put Option upon the government’s ownership falling below 50%

Note: Securities and loans issued by TAQA are not guaranteed by the Government of Abu Dhabi. The Department of Finance of Abu Dhabi is the most senior authority over Abu Dhabi fiscal policies and the Abu Dhabi Executive Council is

the effective Government body of the Emirate of Abu Dhabi.


Focused strategy with balanced portfolio of assets

$32.5 billion of total assets as at 30 September 2014:

16,112 MW1 gross power generation capacity

Average technical availability of 92% in 9M 2014

2P reserves of 612 mmboe

Average daily production of 158.5 mboe in 9M 2014

UAE

• Power generation (12,494 MW)

• Water desalination (887 MIGD)

USA

• Power plant tolling agreement

• Wind power generation (205 MW

INDIA

• Power generation (250 MW)

• Hydro Power Generation (100MW) 3

SAUDI ARABIA


MOROCCO

• Power generation (2,056 MW)

GHANA


NORTH AMERICA

• Oil & gas exploration and

production

89.6 mboe/d

UNITED KINGDOM

• Oil & gas exploration and

production

61.1 mboe/d

• Pipelines

NETHERLANDS

• Oil and gas exploration and

production 7.8 mboe/d

• Bergermeer Gas Storage

IRAQ

• 39.9% interest in the Atrush

exploration block in the

Kurdistan region

Power & Water Assets

Oil & Gas Assets2

Investment focus to shift to IMENA

Organic growth supplemented by selective acquisitions

Divestment of non-core assets will be a priority

1 Excludes Sohar Aluminium plant 2 Average production for 9M 2014

3 Under construction


Solid financial profile

Stable and predictable Power & Water cash flows

Take or pay off-take agreements with government agencies

Limited exposure to cost volatility (costs/risks passed through to off-takers)

No exposure to demand volatility

Limited operating risk due to modern plants with high availability

Strong operating margin in the Oil and Gas business

Solid corporate credit ratings benefitting from government support

A3 (Stable) by Moody’s and A (Positive) by Standard & Poor’s

EBITDA by business stream1 9M 2014 Netback by geography (US$/boe)

1EBITDA by business stream does not add to consolidated EBITDA due to minor corporate expenses

($ millions)

December 2014 Investor presentation www.taqaglobal.com

1463

2193 1772 1833 1688

1461

1595

1801 1891

1464

0

500

1000

1500

2000

2500

3000

3500

4000

2010 2011 2012 2013 9M 2014

Oil & Gas Power & Water0 20 40 60 80 100 120

9M 14

9M 13

9M 14

9M 13

9M 14

9M 13

Nort

hA

meri

ca

UK

Neth

erl

an

ds

Operating costs Royalties Operating netback

9

Prudent financial and risk management policy

Over US$4.1 billion of unutilized bank lines and cash available as of 30 September 2014

Strong support from relationship banks

US$4.3 billion committed revolving bank lines underwritten by about 40 international and regional

middle eastern banks

Has historically managed debt maturity proactively to minimize refinancing risk

Has diversify sources of funding to protect from market volatility

Prudent risk management policies in place to manage interest rate, currency and commodity price volatility

The company is committed to achieving a stand alone investment grade credit rating

Debt coverage ratios Net Debt / Total Capital


7.2 x 6.5 x

5.3 x 5.8 x 5.8 x

4.8 x

2.2 x 2.8 x 3.1 x

2.6 x 3.0 x

3.6 x

.0 x

1.0 x

2.0 x

3.0 x

4.0 x

5.0 x

6.0 x

7.0 x

8.0 x

2009 2010 2011 2012 2013 9M 2014

Net debt/EBITDA EBITDA/net interest

81%

78% 77%

78%

82% 81%

70%

75%

80%

85%

90%

2009 2010 2011 2012 2013 9M 2014

10

11

Tight capex control leading to lower expenditure

• More focused capital investment strategy resulted in lower capex across the business

• Q4 capex expected to be high due to:

‒ Timing of project milestones in power programme

‒ North Sea rig scheduling

• Q4 capex is being reviewed in response to the evolving commodity price environment

• Overall capex is on a reducing trend as major projects complete

US$ millions 9M 2014

Actuals

2014

Forecast

2013

Actuals

Oil & Gas 956 1,459 1,700

- North America 274

- UK 424

- Netherlands 198

- Iraq 60

Power & Water 235 385 670

Total 1,200 1,853 2,370

11


Corporate Debt Management

• US$4.1 billion of liquidity available to fund contingencies

‒ US$0.8 billion of cash on hand

‒ US$3.3 billion of unutilised bank lines

• Of US$20.8 billion consolidated debt, US$11.4 billion is non-recourse project debt with scheduled repayment profile

• Remaining US$9.4 billion of corporate debt actively managed

‒ US$8.0 billion of outstanding bonds and US$1.4 billion

of bank loans as of 30 September 2014

‒ No near term refinancing's outstanding

$ millions

Corporate bonds maturity profile

Corporate RCF maturity profile $ millions

0

200

400

600

800

1,000

1,200

1,400

15 16 17 18 19 20 21 22 23 24 36

0

500

1000

1500

2000

2500

14 15 16 17

Undrawn Drawn


III. Asset Overview and Operational Update


presentation

www.taqaglobal.com

Power & Water Overview

1 One power plant is minority owned 2 Excludes Sohar aluminium plant

Offtake agreements with governmental agencies

Revenues are availability based

Contractual protection for cost risks including fuel price, operations & maintenance and financing costs

TAQA is in the top 10 global independent power producers

141 power plants in eight countries

Installed capacity base (gross) of 16,112 MW2 and 887 MIGD

Produce 95% of electricity and water for the Emirate of Abu Dhabi

Strong presence in MENA region

International industry partners

Modern plants with high availability

Well-diversified portfolio of modern assets

Stable revenues and returns through long-term offtake agreements


Power & Water – Portfolio of assets

Asset Ownership PWPA Termination Partners Gross Capacity

MW / MIGD

Taweelah A2 54% 2021 ADWEA, Marubeni, JGC 777 / 50

Taweelah A1 54% 2029 ADWEA, GDF Suez, TOTAL 1,600 / 84

Taweelah B 54% 2028 ADWEA, BTU, Marubeni, Powertek, JGC 2,000 / 163

Shuweihat S1 54% 2025 ADWEA, International Power, Sumitomo, 1,500 / 100

Umm al Nar 54% 2027 ADWEA, International Power, Mitsui & Co, TEPCO 2,256 / 160

Fujairah 1 54% 2029 ADWEA, SembCorp 861 / 100

Fujairah 2 54% 2031 ADWEA, International Power, Marubeni, 2,000 / 130

Shuweihat S2 54% 2036 ADWEA, GDF Suez, Marubeni 1,500 / 100

Domestic assets*

International assets

Asset Ownership PPA

Termination

Fuel Gross Capacity

Jorf Lasfar (Morocco) 85.8% 2027 Coal 2,056 MW

Neyveli (India) 99.9% 2032 Lignite 250 MW

Takoradi (Ghana) 90% 2034 Tri-fuel 220 MW

Red Oak (US) 85% of toll N/A Natural Gas 832 MW

Sohar (Oman) 40% N/A Natural Gas 1,000 MW

Jubail (Saudi Arabia) 25% N/A Natural Gas 260 MW

Himachal Pradesh

(India)

5% up to

100%

N/A

Hydro

100 MW (In

development)

*All Domestic power plants are designed to run on natural gas and heavy fuel

1 Excludes Sohar Aluminium

Current capacity (gross): 16,112 MW1 GWh

0

10000

20000

30000

40000

50000

60000

70000

80000

90000

2010 2011 2012 2013 H1 2014

Power Production (GWH) & Water Desalination (MIG)

Power Production (GWH) & Water Desalination (MIG)


Oil & Gas Overview

Focus on offshore oil production

Experienced offshore operator applying expertise in optimising production from existing developments

Operator of Brent pipeline system

Successful integration of the assets acquired from BP in the UK Central North Sea

Well positioned to leverage assets and seek new opportunities through infill drilling and near field exploration

Focus on onshore crude oil and natural gas production

Large land holdings in Canada with potential for unlocking additional oil & gas value

Substantial natural gas resources

Divesting non-core assets to fund asset acquisitions where valuations are more attractive

North America

UK

Focus on strategic energy infrastructure

Operator and 60% share in Bergermeer Gas Storage (BGS) $1bn development

The 4.1 bcm BGS facility will be one of the largest open access natural gas storage facilities in Europe

Operator of Alkmaar Peak Gas Installation (PGI) with 100% availability

Netherlands

53.2% (39.9% after government back-in) working interest and operator of the Atrush exploration block

Field development plan approved – first production expected in 2015

Iraq


Oil & Gas Overview (Cont’d)

North America UK Netherlands Iraq Total

Total 2P reserves mmboe 443.5 142.3 14.1 12.5 612.4

9M 2014 average production mboe/d 89.6 61.1 7.8 - 158.5

Netherlands

• Gas exploration and

production

• Bergermeer Gas

Storage Project

United Kingdom

• Oil & gas exploration

and production

• Pipelines

North America

• Oil & gas exploration

and production

• Gas storage

Iraq (Kurdistan)

• Development of the

Atrush block, with first

production expected in

2015


IV. Financial Overview


presentation

www.taqaglobal.com

Financial performance

($ millions)

Total sales revenue Total assets

EBITDA Profit for the period (attributable to owners of the parent)


5,103

5,613

5,087

5,639

4,800 5,000 5,200 5,400 5,600 5,800

9M 11

9M 12

9M 13

9M 14

306

189

22

169

0 100 200 300 400

9M 11

9M 12

9M 13

9M 14

31,092

31,219

30,152

32,484

28,000 29,000 30,000 31,000 32,000 33,000

9M 11

9M 12

9M 13

9M 14

2,905

2,683

2,505

3,117

0 1,000 2,000 3,000 4,000

9M 11

9M 12

9M 13

9M 14

19

Key ratios1

Record levels of EBITDA, driven by operational cashflow

Continued improvement in EBITDA related ratios in H1 2014

Greater reduction is required to achieve the objective of stand alone investment

grade rating

Description FY 2011 FY 2012 FY 2013 9M 2014

EBITDA Margin 58% 47% 52% 57%

Return on Equity 10% 8% (46%) 15%

Net Debt / Total Capital 77% 78% 82% 81%

EBITDA / Net Interest 3.1x 2.6x 3.0x 3.6

Net Debt / EBITDA 5.0x 5.8x 5.8x 4.8

1 For description of each ratio, see slide 30


Questions & Answers


V. Appendix


presentation

www.taqaglobal.com

Strong relationship with the Abu Dhabi Government

The largest and the wealthiest of the seven Emirates forming the UAE

Highest rated Middle Eastern sovereign

Oil and gas industry sector accounted for 56% of the Emirate of Abu Dhabi’s nominal GDP in 2012 or $140.1bn(1)

Produces 2.6 million barrels of oil per day and has approximately 94% of the UAE’s total oil reserves

The Emirate of Abu Dhabi’s oil reserves are expected to last more than 100 years(2)

Natural gas reserves – approximately 6,091 billion standard meters(2)

Economic Vision 2030: the government is implementing a long-term economic diversification strategy to create a modern, dynamic and productive economy

Annual Economic Growth and Oil Exports from 2010 to 2012

2010 2011 2012

Emirate of Abu Dhabi GDP at current prices ($ bn) 168.9 219.3 248.1

GDP at current prices Growth rate (%) 15.9 29.9 7.7

Average Price of Oil ($ Barrel)(1) 78.5 109.5 112.1

Source: Statistics Centre Abu Dhabi and Abu Dhabi National Oil Company

(1) Statistics Centre - Abu Dhabi (AED converted to $ at the rate of 3.675). Figures for 2012 are preliminary.

(2) ISTHMUS partners Abu Dhabi Investment Report dated March 2010 estimates that “Abu Dhabi reserves will last 150 years at current rate”

Saudi Arabia

Oman

Qatar Arabian Gulf

Abu Dhabi

Nominal GDP $ 248.1 billion

Estimated Total Population

(as of 2012) 2.3 million

Crude Oil Production 2.6 million bpd

(ADNOC)

Long term Credit Ratings (all

stable)

Moody’s S&P Fitch

Aa2 AA AA

Key Economic Figures as of 2012


Abu Dhabi Government Department of Finance

Press releases

Statement by the Department of Finance of the Government of Abu Dhabi relating to the announcement by Aldar of the 13th January 2011.

WAM ABU DHABI, Jan 13th, 2011 (WAM): The Government of Abu Dhabi has agreed to purchase several of Aldar's assets which have broad value for Abu Dhabi's economy. Furthermore, in a coordinated action, Mubadala Development Company has agreed to purchase a convertible bond of Aldar. The government acted because it believes that the asset purchase, in conjunction with Aldar's recognition of impairment and the convertible bond being placed with Mubadala, are measures that will help strengthen the company's capital structure, thereby allowing Aldar to achieve its objectives, including its participation in building the economy of Abu Dhabi. Chief among these benefits, Aldar will be able to continue to focus on its construction projects that are currently underway.

This purchase is consistent with past practice whereby the government has paid private companies for the construction of projects that are important for the development of Abu Dhabi's economy. This purchase does not signal a change of government policy towards Aldar, nor towards any other commercial enterprise. Government policy remains that broad and ongoing support will be offered exclusively to Mubadala, IPIC, TDIC, and TAQA

Abu Dhabi Government reaffirms sovereign support for its state-

owned enterprises

March 4 2010, Abu Dhabi, UAE: The government of Abu Dhabi has

noted the recent action taken by Moody’s Investors Service to

downgrade the ratings of several Abu Dhabi’s government-related

issuers. The government disagrees with the reasoning involved in a

number of Moody’s decisions, especially those concerning TDIC,

Mubadala, and IPIC.

The three companies TDIC, Mubadala, and IPIC are 100%

government owned and they each play a crucial role in the

government’s strategy for diversifying the economy. They are

irreplaceable.

There has been absolutely no change in any aspect of government

support for those three companies. The government continues to

support Taqa. Taqa is majority-owned by the government and

provides almost all of Abu Dhabi’s water and electricity supply. It

plays an important role in the Emirate’s energy policy.

The government controls the activities of these companies through

the Board of Director’s appointed by the government, each of which

includes key members of Abu Dhabi’s Executive Council - the

cabinet. Therefore, it is impossible to differentiate between the

government and any of these three entities in terms of credit risk. Not

only does the government back these entities, as Moody’s correctly

pointed out, fully and unconditionally, it has a strong fiscal position

and reserves that give it all the capacity needed to meet its

commitments to these companies from its own resources.


Overview of selected Abu Dhabi Government owned

entities

Government of Abu Dhabi

100% 100% 100% 100% 100% 74.4%

TAQA Mubadala TDIC IPIC ADIC ADNOC

Summary

Description

Essential energy &

water provider to

Abu Dhabi.

Focus outside UAE

in upstream Oil &

Gas and Power &

Water

Primary business

development &

operating company of

Abu Dhabi. Mandate

is to drive the

diversification and

development of the

Abu Dhabi economy

Developer of tourism

real estate assets

within Abu Dhabi. The

company is entrusted

with fulfilling the

Emirate’s ambitions of

becoming a global

tourist destination

Mandated to invest

globally across the

hydro carbon value

chain. Focuses

primarily on

downstream activities

Initially part of ADIA,

ADIC is now a

separate entity and

fulfills a similar role

although it has a

greater focus on

investments in the

Middle East region

Specialises in oil and

gas, energy, refining

and processing,

chemicals and

petrochemicals,

marine transportation

for the above,

distribution and

support services

within Abu Dhabi

Sector Focus

• Electricity &

water generation

• Oil & Gas

• Aerospace

• Energy

• Healthcare

• ICT

• Industry

• Infrastructure

• Mubadala Capital

• Real Estate &

Hospitality

• Semiconductors

• Services Ventures

• Tourism

Development

• Oil & Gas

• Petrochemicals

• Aabar holdings

• Private Equity

• Real Estate

• Infrastructure

• Oil

• Petrochemical

Ratings

Moody’s/

S&P/Fitch

A3/A

Aa3/AA/AA A1/AA/AA Aa3/AA/AA NR NR

Source: Zawya Dow Jones, Bloomberg, Moody’s, Standard & Poor’s, Fitch


26

Operational Data – Power & Water KPIs

November 2014 Investor presentation www.taqaglobal.com

Nine months ended September 30

2014 2013

UAE domestic plants

Power generation (GWh) 43,741 45,144

Water desalination (MIG) 192,020 186,808

Technical availability (%) 92.2% 90.5%

International plants

Power generation (GWh) 11,295 9,245

Technical availability (%) 87.0% 87.9%

26


27

Operational Data – Oil & Gas Pricing


Average Realised Prices


2014 2013

TAQA NORTH

Crude oil (US$/bbl) 82.54 81.37

Natural gas liquids (US$/bbl) 59.88 59.06

Natural gas (US$/mcf) 4.58 3.33

Average (US$/boe) 42.54 37.42

TAQA Bratani

Crude oil (US$/bbl) 108.38 110

Natural gas liquids (US$/bbl) 53.3 61.22


Average (US$/boe) 101.49 105.06

TAQA Energy

Crude oil (US$/bbl) 104.85 95.11


Average (US$/boe) 64.71 68.85

27


28

Operational Data – Oil & Gas Production

August 2014 Investor presentation www.taqaglobal.com

Average Production


2014 2013

North America

Crude oil (mbbls/day) 17.54 17.19

Natural gas liquids (mbbls/day) 11.85 12.01

Natural gas (mmcf/day) 361.37 349.75

Average (mboe/day) 89.63 87.50

United Kingdom


Natural gas liquids (mbbls/day) 0.81 0.75



The Netherlands




Total Production

Crude Oil (mbbls/day) 72.87 53.20

Natural Gas Liquids (mbbls/day) 12.66 12.76

Natural Gas (mmcf/day) 437.97 417.00


28


29

Operational Data – Oil & Gas Netbacks


Operating Netbacks Nine months ended September 30

2014 2013

North America

Gross price 42.54 37.42

Royalties 6.72 4.84

Net sales price 35.82 32.58

Operating costs 10.44 11.68

Operating netback 25.37 20.90

United Kingdom


Net sales 101.49 105.06



The Netherlands


Royalties 3.76 8.47

Net sales price 60.95 60.38



29


Calculation of key ratios

EBITDA Margin - calculated as EBITDA divided by total revenue

Return on Equity - calculated as profit attributable to equity holders of the parent divided by

equity attributable to equity holders of the parent

Net Debt/Total Capital - Net debt is calculated as total long-term debt (current and non-

current) less cash and cash equivalents. Total capital is calculated as net debt plus equity less

changes in the fair value of derivatives less changes in the fair value of available for sale

investments

EBITDA/Net Interest - Net interest comprises finance costs less interest income

Note: TAQA publishes its financial statements in AED. This presentation contains a conversion

of certain AED amounts into U.S. dollars at specified rates solely for the convenience of the

reader. These conversions should not be construed as representations that the AED amounts

actually represent such U.S. dollar amounts or could actually be converted into U.S. dollars at

the rate indicated. The dirham has been pegged to the U.S. dollar at a fixed exchange rate of

AED 3.6725 = $1.00 since 22 November 1980 and, unless otherwise indicated, U.S. dollar

amounts in this presentation have been converted from AED at this exchange rate.

November 2014 Investor presentation www.taqaglobal.com December 2014 Investor presentation

www.taqaglobal.com 30

Documents

Investor presentation December 2014 - TAQA holder... · THIS PRESENTATION DOES NOT CONTAIN ALL OF THE INFORMATION THAT IS MATERIAL TO AN INVESTOR. This presentation has been prepared