Site visit 30 November 2015 ENSCO 140 & 141 www.lamprell.com - PowerPoint PPT Presentation

Site visit 30 November 2015 ENSCO 140 & 141 www.lamprell.com

Disclaimer This presentation contains certain forward-looking statements relating to the business, financial performance and results of the Company and/ or the industry in which it operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words “believes”, “expects, “predicts”, ”intends”, “projects”, “plans” “estimates”, “aims”, “foresees”, anticipates”, “targets” and similar expressions. The forward-looking statements, contained in this document, including assumptions, opinions and views of the Company or cited from third party sources are solely opinions and forecasts which are uncertain and subject to risks. A multitude of factors can cause actual events to differ significantly from any anticipated development. Neither the Company nor any of its officers or employees guarantees that the assumptions underlying such forward-looking statements are free from errors nor does any of the foregoing accept any responsibility for the future accuracy of the opinions expressed in this document or the actual occurrence of the forecasted developments. No representation or warranty (express or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and, accordingly, neither the Company nor any of its subsidiary undertakings nor any such person’s officers or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. www.lamprell.com 1

Agenda 1 Welcome to Lamprell 2 Operations (part 1) and recent improvements in Hamriyah 3 Business development and marketing 4 Operations (part 2) and recent improvements in Jebel Ali 5 Strategy and current trading 6 Appendices www.lamprell.com 2

Welcome to Lamprell Jim Moffat, CEO MIS Arabia

Welcome to Lamprell Your hosts today Jim Moffat, CEO Tony Wright, CFO Niall O’Connell, COO Karl Roberts, CCO Further information  The information pack: Lamprell Times, photos, plan and itinerary  Available for Q&A over dinner www.lamprell.com 4

Programme Schedule for the day 9.00 – 9.45: Welcome to Lamprell (Jim Moffat) 9.45 – 10.30: Overview of operations in Hamriyah, recent improvements (Niall O’Connell) 10.30 – 10.45: Safety induction for Hamriyah 10.45 – 12.30: Hamriyah yard visit 12.30 – 1.00: Lunch and Q&A 1.00 – 2.00 Travel to Jebel Ali 2.00 – 2.25: Marketing and business development (Karl Roberts) 2.25 – 3.15: Overview of operations in Jebel Ali (Niall O’Connell) 3.15 – 3.30: Safety induction for Jebel Ali 3.30 – 4.30: Jebel Ali yard visit 4.30 – 5.00: Wrap Up & Q&A 5.00: Depart 6.30 – Pick-up for dinner 7.30: Dinner www.lamprell.com 5

Safety moment – heat stress • Drink plenty of water throughout the day • Do not stay in direct sunshine for long periods • Observe urine colouring • Wear light coloured, loose fitting clothing • Avoid liquid that contains alcohol or large amounts of sugar – they cause you to lose more body fluid • Never leave anyone in a closed, parked vehicle • Look out for friends/family/colleagues to see signs of heat stress • NO WATER NO WORK – if you see a yard worker without water, stop him TAKE SAFETY AT WORK, HOME www.lamprell.com 6

Safety awareness www.lamprell.com 7

Focus on world-class safety Strong foundation for remaining competitive  Renewed focus on safety: management, campaigns, culture  Safety as a competitive advantage (clients, labour, cost) 0.63 Total Number of DAFWC & Recordable Incidents 0.55 TRIFR Target FY 2014 0.48 0.55 0.44 0.42 Incident Frequency Rates 0.39 0.35 0.33 0.32 0.31 0.27 0.27 0.28 0.31 0.29 0.33 0.33 0.32 0.32 0.31 0.27 0.28 0.29 TRIFR Target FY 2015 3 0.22 1 1 0 2 0 1 1 0.05 0.07 0.08 0.06 0.06 0 7 1 0.02 0.02 0.02 0.03 0.03 0.05 0.05 0.05 0.05 0.06 1 1 0.04 0.03 0.04 0.05 0.03 0.04 6 0 0 0 3 5 5 5 1 0.06 0.06 4 4 4 4 0 0 0 0 3 3 3 3 3 0 2 2 2 2 2 0 0 1 1 0 DAFWC TRC TRIR Target TRIR Actual DAFWC Actual www.lamprell.com 8

Values & Strengths HSSE Mind Set: We deliver world class World class safety standards and leave safety nothing to chance so everyone goes home Integrity: Team Work: Strategic First class safely We conduct We will strive to work location quality our business honesty, Together and believe with professional Great teams achieve COMPETITIVE integrity, fairness Incredible things. Lamprell’s SOLUTIONS and transparency FOR Key COMPLEX Strong Strengths PROJECTS Focus on Accountability: Customer Drive: management We deliver Building customer client & highly skilled, what we say trust is key to satisfaction low cost we will our business workforce Fiscal Responsibility: We are all accountable Commitment to ensure that we achieve to reliability the most cost effective solutions www.lamprell.com 9

Driving excellence at all levels Best practices in business  Project Compass  Online Business Code of Conduct launched  Treasury award Employees :  Launch of Lamprell’s new in-house employee health and wellness site  HR Employee Engagement survey  Daman Corporate Health Award PRODUCTIVITY IMPROVEMENTS ACROSS THE GROUP www.lamprell.com 10

Workforce Workforce demographics  Yard Core Workforce…………………..4,333 Age Demographics (Total  Yard O & M resources ………………...1,249 Workforce)  Yard Labour Supply resources……… .2,188 5% 4%  Total Active Yard Workforce…………...7,770  O&M externally seconded……………….601 18%  40% Admin Payroll in core business……….1,433 33%  Admin Payroll in Service entities……….174 < 25 26-35 36-45 46-55 56-65 >65 TOTAL WORKFORCE…………………….9,978 Further information www.lamprell.com 11

Wellness Campaigns & Employee Engagement Health Awareness Campaign Football Tournament Yard Christmas party February 2015 January 2015 December 2014 Women's Wellness Campaign Cricket Tournament Bowling Tournament March 2015 April 2015 May 2015 www.lamprell.com 12

Keeping employees active and engaged www.lamprell.com 13

Operations (part 1) Niall O’Connell, COO NDC 8

Key facts Strong position  Approximately 10,000 people employed across facilities; three categories of workforce  Primary facilities: Hamriyah and Jebel Ali  Total surface: 899,000 m2 with 2 km of quayside  Limited number of comparable competitors  Regional position is an advantage, particularly in the current market www.lamprell.com 15

Other Group Businesses Synergies and complementary services  LRS  Sunbelt  E&C  O&M www.lamprell.com 16

Hamriyah Yard UAE Land (m 2 ) UAE Quayside (m) No. of Workforce 1,400 365,000 4,600 17 www.lamprell.com

Hamriyah Yard Major execution centre of: Procurement Engineering Finance Information HR & Technology Admin 18 www.lamprell.com

New Build Jackup Rigs - Hamriyah Established, Reliable and Proven builder of state of the art drilling rigs • Regional market leader for the construction of new build jackup drilling rigs • Highly sophisticated engineering capabilities, custom-built construction and load-out facilities Specialised expertise • 35 years’ experience in the jackup business • In-house expertise across all disciplines to deliver in today’s demanding market Solutions to meet client needs • Committed to on-time delivery, achieving world class HSE and quality standards • Highly competitive edge for the complete package www.lamprell.com PEMSA HAFFAR 2 ENSCO 140 www.lamprell.com 19 19 www.lamprell.com

Efficiency and productivity improvements Major changes on organisation, infrastructure and operations   Back to basics: Project Evolution - Hamriyah: • Organisational streamlining • Semi-automatic welding • Change in operational structure: • 3D robotic beam cutting line • Overheads reduction • Installation of new cranes • Reporting lines • Air & gas supply • Schedule Management • Panel line / T-master • Procurement synergies • In-house scaffolding in Jebel Ali • Customer service culture • Yard transporter delivered • Return to operational excellence • Layout improvement • Completion of legacy projects • Procurement initiatives • Culture of continuous improvement • Blasting and painting process • Training • SEWA connection – Hamriyah Savings on track Committed to date:$50m Payback within 3-4 years of full run-rate www.lamprell.com 20

Today you will see Large scale construction www.lamprell.com 21

Today you will see High Grade Welding www.lamprell.com 22

Today you will see Major Panel line 23 www.lamprell.com

Today you will see High class Electrical & Instrumentation performance www.lamprell.com 24

Today you might see Major lifts www.lamprell.com 25

Business development and marketing Karl Roberts, CCO Petrofac UZ750 26 www.lamprell.com