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Hunting Manufactures and distributes products that enable the extraction of oil and gas
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Hunting PLCGlobal Footprint
2
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2009 Corporate Highlights
3
� Completed three acquisitions £47.3m
� Sale of Hunting Energy France £11.1m
� Year end net cash £365.0m
� Free cash flow in the year £39.5m
� Dividend year on year + 6%
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2009 Results Summary
2009
£m
2008
£m
Change
%
Revenue 359.9 418.5 -14
EBITDA 50.6 75.7 -33
Profit from operations 35.8 58.8 -39
Finance income (expense) 1.8 (3.4)
Profit before tax 38.5 56.6 -32
Effective tax rate 32% 33%
Basic EPS 17.7p 26.4p -33
Dividend 10.5p 9.9p +6
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Segmental Results
5
2009 2008
Revenue
£m
Profit
from
Operations
£m
Margin
%
Revenue
£m
Profit
from
Operations
£m
Margin
%
Hunting Energy Services
Well Construction 77.9 3.3 4 112.0 13.5 12
Well Completion 176.2 20.3 12 189.8 26.6 14
Well Intervention 29.4 4.0 14 23.3 4.6 20
Exploration and Production 5.6 0.3 5 14.8 5.9 40
289.1 27.9 10 339.9 50.6 15
Gibson Shipbrokers 20.8 0.7 3 31.2 6.9 22
Field Aviation 50.0 7.2 14 47.4 1.3 3
359.9 35.8 10 418.5 58.8 14
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Exceptional Items
6
£m
Continuing
Release of warranty provision 1.5
Additional leasehold property provision (0.9)
0.6
Discontinued
Gain on disposal of Hunting Energy France 2.9
Additional Gibson Energy sale proceeds 17.6
Gibson Energy indemnity and tax provisions (16.6)
3.9
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Balance Sheet
7
2009
£m
2008
£m
Total assets 817.7 874.2
Total liabilities (255.9) (316.9)
Net assets 561.8 557.3
Net cash 365.0 372.3
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Capital Expenditure
8
2009
£m
2008
£m
Hunting Energy Services
Well Construction 9.1 13.6
Well Completion 8.3 10.9
Well Intervention 1.8 0.8
Exploration & Production 1.9 8.8
Others 0.5 0.7
21.6 34.8
Split:
Replacement 9.9 24.2
New Business 11.7 10.6
21.6 34.8
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Acquisitions Update
� Three acquisitions completed in the period
• NCC for £31.8m
• PT SMB Industri for £6.3m
• Welltonic for £9.2m
� Good pipeline of companies still being assessed
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Capital Expenditures
� Wuxi, China
• Cost : $10 million
• SQ/FT : 300,000
• Completion Date: Q2 2010
� Conroe, Texas
• Cost : $4.5 million
• SQ/FT : 36,000
• Completion Date : Q2 2010
� Casper, Wyoming
• Cost : $9 million
• SQ/FT : 60,000
• Completion Date : Q3 2010
10
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Capital Expenditures (continued)
� Houma, Louisiana “Mega Center”
• Cost : $50 million
• SQ/FT : 250,000
• Completion Date : 2011
� Aberdeen, Scotland
• Cost : $30 million
• Consolidation and expansion
• Completion Date : Q1 2012
11
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Cash Flow
12
2009
£m
2008
£m
EBITDA 50.6 75.7
Working Capital 11.9 (15.7)
Others (6.1) (1.9)
Capital expenditure - replacement (9.9) (24.2)
Interest and tax (7.0) (9.5)
FREE CASH FLOW 39.5 24.4
Capital expenditure - growth (11.7) (10.6)
Acquisitions (44.4) (1.6)
Disposals 24.0 524.4
Dividends (13.8) (11.3)
Other (3.8) (2.5)
Discontinued Operations 2.9 (11.3)
(Decrease)/Increase in net cash (7.3) 511.5
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Hunting EnergyWell Construction
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Hunting Energy Services Well Construction
14
Profit from Operations £m
2006 2007 2008 2009
8.0 8.1 13.5 3.3
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Unconventional Gas Land Rigs Deepwater
+
Well ConstructionProduct Integration Points
15
OCTG Premium ConnectionsDrilling Tools
Mud Motors
Drill Collars
Shock Tools
Carbon
Alloy
Chrome
SEAL-LOCK
TKC
Licensed Threads
APRS
+
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Well ConstructionProducts
� Mud Motors: Hunting’s mud motors
decrease the time it takes to drill wells
utilising state of the art technology to
manage hydraulics in a means to
increase drill bit speed
� Annular Pressure Relief System:
Hunting’s APRS system provides our
customers with additional insurance
against casing collapse and loss of
well in deepwater applications
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Well ConstructionProducts
� Non-Magnetic Drill Collars:
Allow directional drilling
operations to have accurate
information from sensors
located close to the drill bit
� WEDGE-LOCK: Hunting’s
newest premium connection
provides superior capabilities in
deviated and directional drilling
applications
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Hunting EnergyWell Completion
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Hunting locations for Shale and Tight Gas plays
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Hunting Energy ServicesWell Completion
20
Profit from Operations £m
2006 2007 2008 2009
20.0 30.0 26.6 20.3
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Well CompletionProduct Integration Points
Unconventional Gas Land Rigs Deepwater
SpecialtyThreading
TubularSystems
AccessoryManufacturing
Completion Accessories
Assembly
Print Part Work
Polished Bore Receptacles
SEAL-LOCKTKCLicensed ThreadsAPI
Deepwater Facilities
Managed Inventory
Completion Design
Thread Protection
21
+ +
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Well CompletionProducts
� Completion Accessories: Hunting’s global manufacturing
footprint provides products and
services assisting in the
completion of wells
• Proprietary products
• OEM Equipment
� Polished Boring: Hunting
provides the market products
which have the inside diameter
bored and polished for flow
maximisation in highly critical
applications
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Well CompletionProducts
� Premium Tubing: Hunting’s
global footprint provides the
marketplace with tubing
connections which have
engineered gas tight seal
designs
• TKC
• SEAL-LOCK
• 2-Step
� Advanced Tubular Systems: Hunting provides the market
with environmentally sound
running, storage compounds
and thread protectors
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Hunting EnergyWell Intervention
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Hunting Energy ServicesWell Intervention
25
Profit from Operations £m
2006 2007 2008 2009
3.6 4.1 4.6 4.0
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Well InterventionProduct Integration
Work Over Coiled Tubing Subsea
Thru-Tubing Tools Subsea Manufacturing
Pressure Control Equip
OEM Tools
E-Line Tools
Slickline Tools
Coiled Tubing Tools
Coiled Tubing Motors
Chemical Injection System
Hydraulic Valves
Hydraulic Couplings
Weldment Services
26
++
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Well InterventionProducts
� Pressure Control Equipment: Hunting provides the market
with a highly technical and
innovative line of products and
services in support of wellhead
control and management
� Downhole Tools: Hunting
provides specialty tools for
Slickline and Wireline
applications as an OEM for
major Oilfield Service
companies to the global market.
Specialty or “print part” work is
provided for close tolerance
highly technical manufacturing
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Well Intervention ProductsHunting Subsea
� Chemical Injection System: Hunting provides a positive
displacement metering system with
a maximum working pressure of
17,500 PSI. This cost effective,
reliable system will redefine flow
measurement accuracy
� Specialty Valves: Hunting
provides a series of highly
engineered patented valves to
ensure positive pressure in the
umbilical line or back pressure at
the blow out preventer
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Thru-Tubing TechnologyHunting-Welltonic
Thru-Tubing Specialists
� Coiled tubing tools Design,
manufacture and sales of
specialist and custom designed
tools to companies worldwide.
This covers an extensive range
of intervention equipment from
mud motors, tubular severance
and perforating products to
fishing tools.
� Coiled tubing Services Advanced services from the in-
house design and engineering
team for well intervention and
workover operations, enhanced
by on location sales support,
inventory management and
rentals.29
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Gibson Shipbrokers
� Core activities remain focused on the shipping of energy
� Selective recruitment to continue purposeful global expansion
30
Profit from Operations £m
2006 2007 2008 2009
2.9 2.9 6.9 0.7
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Others
� Hunting Exploration and Production
� Field Aviation
31
Profit from Operations £m
2006 2007 2008 2009
1.8 4.4 5.9 0.3
Profit from Operations £m
2006 2007 2008 2009
4.2 (0.3) 1.3 7.2
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US Spot Oil Price(US$ / bbl)
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World Oil Demand(mbpd)
33
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Offshore Capital Spending
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Operational / Acquisition Strategy
35
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Hunting Energy ServicesStrategy
� Hunting Subsea – emphasis on ultra deep water High Pressure
High Temperature
� Capitalise on Premium Connection Position
� Expand Global Footprint
� Continued Development of Well Intervention Platform
� Acquisitions which Complement Existing Operations and
Products
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