Share Fair Presentation AECC, Aberdeen, 11th November 2008 ...

Share Fair Presentation
AECC, Aberdeen, 11 th November 2008
Dorothy Daldry
Phil Dymond

Working towards full compliance with the Supply Chain
Code of Practice to…
Improve performance
Eliminate unnecessary costs
Add value
Boost competitiveness
In support of the Code,
our preferred suppliers
are registered with FPAL.
For more information or to
register your company go
to www.FPAL.com

Agenda
• Company overview - globally and regionally
• How to do business with ConocoPhillips
• Indicative future requirements
• Contacts

Company Profile
• An international, integrated energy company
• Worldwide, ConocoPhillips is the fifth largest
refiner and the sixth largest reserves holder of
non-government controlled companies.
• Operates in nearly 40 countries
• Approximately 33,000 employees worldwide.

Worldwide Exploration and Production

$ Billions
9.7
ConocoPhillips’ Capital Program
Historical investment activity and 2008 projection
11.9
16.4
12.9
15.3
2004 2005 2006* 2007 2008
*Excludes purchase price for Burlington Resources, but includes
its capital program from purchase date of March 31, 2006 forward
R&M
13%
Other
3%
2008
E&P
84%

The SPIRIT of Performance
Our Purpose Use our pioneering spirit to responsibly
deliver energy to the world
Our Values
Safety
People
Integrity
Responsibility
Innovation
Teamwork

Safety and Environment
• At ConocoPhillips, our work is
never so urgent or important
that we cannot take time to do it
safely.
• Measurable safety, health and
environmental objectives are set
for all our operations and we
continually strive to improve
performance.
• The environment we operate in
makes committing to sustainable
development an essential strategy
for ConocoPhillips.

Sustainable Development
ConocoPhillips’ commitment
to sustainable development
stems from our fundamental
intent to thrive as an
enterprise and to contribute
to a better world long into the
future.

2007 Production
• These graphs show the Global
E&P Production (1880mboed,
including Syncrude) and Proved
Reserves (10.6bboe) (both
including LUKOIL) for 2007.
(figs from 2007 Annual Report)
11%
13%
5% 6%
16%
2007 E&P Production
29%
20%
2007 Proved Reserves (Including LUKOIL)
28%
9%
5%
1%
6%
22%
19%
10%
U.S. Lower 48
Europe
Alaska
Canada
Asia-Pacific
Equity Affiliates
Middle East & Africa
U.S. Lower 48
Europe
Alaska
Canada
Asia-Pacific
Equity Affiliates
Middle East & Africa
Russia & Caspian

North Sea Business Unit
• Norway Key Facts:
– Employees: approx 1,900
• UK Key Facts
– Employees: approx 1,000
(Aberdeen, Theddlethorpe,
Teesside)

UK Operations
Central North Sea Southern North Sea East Irish Sea
Britannia * LOGGS Millom and Dalton
Britannia Satellites V-Fields Calder
J-Block (Judy/Joanne/Jade) Saturn Unit Area Darwen & Crossans
MacCulloch Victor Asland & Hodder
Viking
Caister
Boulton
CMS III
Munro
Kelvin
Harrison
Murdoch
Onshore Terminals Non-Operated Assets
Rivers Gas Terminal Alba
Teesside Oil Terminal Clair
Theddlethorpe Gas Terminal
* Britannia Operator Limited, a joint venture between ConocoPhillips and Chevron

Norway operations
COP Operated Partner Operated
Ekofisk Statfjord
Eldfisk Heidrun
Embla Huldra
Tor Troll
Visund
Grane
Oseberg

North Sea Projects in Execution
- Britannia additional accommodation Installation 2009
- Judy additional accommodation Installation 2009
- Ekofisk Cessation Phase II Ongoing
- Ekofisk Life Of Field Seismic (LOFS) Internal approvals
- Viking Transmission System (VTS) Replacement 2009 undertaking
- Ekofisk Interim Accommodation (Jacktel) Ongoing
- Ekofisk Structural Strengthening Ongoing

Supplier Registration
• ConocoPhillips NSBU will only work with suppliers
registered within FPAL and/or Achilles.
• Because ConocoPhillips NSBU operates in both
UK and Norway, registration in both will ensure
maximum visibility of your company for both areas.

NSBU Procurement Principles
• Comply with EU/Norway/UK Procurement
Regulations (objective, transparent, non-
discriminatory)
• Use Oil & Gas Directory registered suppliers
(FPAL & Achilles)
• Competitive bidding is our preferred approach
• Tendering through electronic medium is favoured
• Bid evaluation is value based
• Use Contract Management Plans reflecting value,
risk and contract complexity
• Access opportunities for regional and global
leverage.

NSBU Procurement Activity 2007
• Total procurement spend (*) of some $2.5 billion
(invoiced)
– 86% on services
– 14% on materials and supplies
• Used some 3,567 suppliers
– 113 of these represented 80% of total spend
• Over 700 active contracts at year end.
• Around 89,000 material purchase orders issued.
(*) covers operations and maintenance, well operations, logistics and capital
projects

Indicative Forward Plans
The information provided is offered in the
spirit of the Supply Chain Code of Practice to
give an indication of potential future
opportunities. Such opportunities remain
subject to further study and internal and
partner approvals.

Potential Contracting 2009
Well Operations
Expiry
• Drilling rigs Ongoing
• Various Drilling Services Thru 2009
• Cementing Services Q1 2009
• Provision of Coiled Tubing Services Q1/2 2009
• Completion Services Q2 2009
• Slickline/Wireline Services Q3/4 2009
• Wellheads / Xmas trees Q4 2009

Potential Contracting 2009
Operations and Maintenance
Expiry
• MRO (Teesside) Q1 2009
• Emergency Rapid Response Vessels Q2 2009
• Tank Re-suspensions (Teesside) Q3 2009
• Electrical Consumables Q3 2009
• Platform Supply Vessels Q3 2009
• Tank Cleaning (Teesside) Q4 2009
Over 100 contracts expiring in 2009 in NSBU Region

ConocoPhillips North Sea BU Contacts
Nils Svanberg – NSBU Procurement Manager
Jens Melhus – NSBU Capital Projects Procurement Manager
Russell Watt – UK Procurement Manager
Tove Nina Klemmetsrud – Transactional Services Manager
John Rait – Contracting Manager
Dave Wallace – GEA Project Procurement &Contract Manager