2. DISCLAIMER
This document contains statements and information about the Company that reflect the current views and/or expectations of the
Company and its management with regard to its business plans. These include all statements containing forecasts and projections
or that indicate or imply future results, performance or achievements, which may include such words as "believe", "predict",
"expect", "contemplate", "will probably result", or any other words or expressions of similar meaning. Such statements are subject
to a series of risks, uncertainties and assumptions. Readers are warned that several important factors may lead actual results to
significantly diverge from the plans, targets, expectations, estimates and intentions expressed herein. Under no circumstances
shall the Company or its directors, officers, representatives or employees be liable to any third parties (including investors) should
they make decisions, investments or business acts based on information and statements presented herein, nor shall the Company
be liable for any indirect damages, loss of profit, or similar consequences thereof. The Company does not intend to provide
shareholders with any revised versions of the statements or analysis of differences between the statements and actual results.
Investors should thoroughly analyze the Reference Form of OSX, available on the Company´s website, including the risk factors
identified therein. This presentation does not contain all the necessary information for a complete investment assessment on the
Company. Investors shall produce their own assessments, including the associated risks, before making an investment decision.
1
3. AGENDA
Introduction
Product Portfolio
Shipbuilding Unit (UCN)
Order book
Development plan
Next Milestones
2
5. OSX - Profile
Integrated supplier of equipment Organizational Structure
and services for the exploration
and production of oil and gas.
Publicly held Company, listed on
the Novo Mercado, BM&FBovespa´s
highest standard of corporate
governance, with R$ 2.4 billion
raised at the IPO in March 2010.
Enjoys a very favorable market
scenario given strong expansion of
the oil and gas industry in Brazil,
products and services demanded
by OGX and local content rule
implemented by ANP. Exploration and Production Equipment (E&P)
Build Acquire and Operate
Charter Tripulate and
Maintain
Offshore oil and gas industry (O&G)
4
6. OSX – History
• Acquisiton of 2 • OGX order for 3 new
VLCCs to be FPSOs
converted into • FPSO OSX-3 contract
FPSOs OSX-4 and • FPSO OSX-2 with Modec
OSX-5 contract with SBM
• Beginning of GDR • Issuance of the
Level I Program Installation License
for UCN Açu
• Hiring of Credit
• IPO: R$ 2.4 billion • UCN Açu Financing
Suisse as Market
• Strategic Maker - FMM
Cooperation 3T11
Agreement with • Issuance of the
OGX Preliminary
License for UCN
• Technical Açu
Cooperation
Agreement with • LOI with Techint,
Hyundai WHPs 1 and 2
• OSX-1 Leasing • OSX-1 2T11
Contract Financing
• Beginning of
the licensing
• Acquisition of 1T11
process at
FPSO OSX-1
UCN Açu
OSX´s
4T10
Creation
3T10
2T10
1T10
3T09 4T09
5
7. OSX - Pillars
Strong Demand from • 48 units of offshore E&P equipment = US$ 30 billion
OGX • Upside potential with expansion of OGX´s exploratory campaign
Attractive Market • Expected increase of oil and gas resources to 100 billion boe
Conditions in Brazil • Announced investments of US$ 140 billion
• Approximately 70% of local content required in equipment and
Local Content
services for the offshore O&G industry
Requirement
• Key for Brazil´s job creation and economic development
Strategic Partnership • World shipbuilding leader
with Hyundai Heavy • State-of-the-art technology and transfer of know-how
Industries • More than 38 years of experience
Training (Naval • Partnerships with technical schools and universities
• Absorption of Korean technology
Technology Institute -
• Qualification of 7,800 people by the end of 2013
ITN)
• Contract signed with Firjan in July 2011
Incentivized and
• More than 30 years experience, on average, in the E&P sector
Experienced
• US$ 30 bn in projects and more than 50,000 people under management
Management Team
6
9. Portfolio
FPSO TLWP
• Floating Production Storage and • Tension-Leg Wellhead Platform
Offloading platform
• Suited for deep water
• Hull: conversion of oil tanker or new-build
WHP TANKERS
• Navigation transportation unit
• Wellhead Platform or fixed drilling
and production platform • Demand for long course navigation units,
cabotage, relievers and production platforms
• Suited for shallow-water
DRILLSHIPS
• Drilling unit for exploration
• Heavily demanded in ultra-deep water
8
10. FPSO Construction
Floating, Production, Storage and Offloading platforms
Floating unit used by the industry to produce, store and transfer oil
Construction
Based on a new hull or on the conversion of an existing oil carrier
Construction Phases
1) Conversion
1 2
Definition: Preparation and overhaul of a VLCC to receive the modules for
processing oil and gas.
2
2) Integration
Definition: Assembly and commissioning of a set of modules aboard the 3
converted hull.
3
3) FPSO ready to process oil
9
11. WHP Construction
Wellhead Platform
Fixed platform anchored to the seabed, appropriate for water depths under 300m.
Construction Phases
1) Steel tubes gathered in a structure forming the face of the jackets. 1 4
2) By joining the faces, the jacket 1 is built. In parallel the topside +
drilling package is built.
3) After the jacket is built and ready, it is shifted to a barge, known as the
2 load-out process, so that the jacket may be transported to the 3
installation place.
4) The installation barge has a tilting system that launches the jacket into 2
the sea and with a naval crane it is placed in the correct vertical position.
5) The Topside + Drilling Package 3 arrives at the installation place
on a barge. There are two installation options, lifting and float-over.
6) With the topside + drilling package on the jacket, the WHP 4 is fully
built and the tests of commissioning begins. This step consists the end
of the installation and equipment on board.
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13. UCN – Licensing Schedule
EIA/RIMA Installation License
Presentation (LI) Issuance
Jan-11 Fev-11 Jul-11
Oct-10 Jun-11
Preliminary License
Public (LP) Issuance Beginning of
Meetings Construction
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14. UCN – CONSTRUCTION: CAPEX
Capex Distribution / Year:
Total Capex
US$ 1.7 billion
Capex Distribution by Activity (million):
OSX LLX
Dredging and Engineering US$ 212 US$ 90
Break Water US$ 135 US$ 129
Quay US$ 262 -
Merchant Marine
Buildings US$ 339 - Fund
Dry Dock US$ 133 - ≈ (80% of the total)
Roads and Paving US$ 146 -
Equipment and Others US$ 487 -
Total: US$ 1,933 US$ 1,714 US$ 219
13
15. UCN Financing: Merchant Marine Fund
Financing approved by the board of directors of
the merchant marine fund
Credit facility may reach R$ 2.7 billion
Total tenor range from 18 to 20 years with a
grace period of up to 3 years and interest rates
that vary in between US$ + 2% to US$ 4% per year
Lending Agents: BNDES, Caixa Econômica
Federal, Banco do Brasil, BNB and Banco da
Amazônia
14
16. UCN – Construction: Schedule of the packages
Receipt of
Packages Contracting Mobilization
Proposals
Installation License
Vegetation Supression March-11 2Q11
Issuance
Ground preparation May-11 3Q11 3Q11
North Quay and WHP area June-11 3Q11 4Q11
Drydock June-11 3Q11 4Q11
South Quay and Respective Retro Area June-11 3Q11 4Q11
Industrial Buildings April-11 3Q11 4Q11
Utilities and Infrastructure May-11 3Q11 3Q11
Administrative Buildings (LEED) July-11 1Q12 1Q12
Administrative Buildings (Non LEED) Sepetember-11 4Q11 1Q12
Electromechanic Assembling August-11 1Q12 2Q12
Support December-10 2Q11 2Q11
Contractor houses April-11 3Q11 3Q11
15
19. UCN – Occupation of slots by WHPS
Slot Delivery Beginning of Assembling Delivery by the UCN
Area 1: 4Q12 4Q12 WHP-3: 3Q13 *
Area 1: 4Q12 4Q12 WHP-4: 4Q13 *
Area 1: 4Q12 4Q12 WHP-5: 4Q13 *
Area 1: 4Q12 4Q12 WHP-6: 4Q13 *
Area 2: 1Q13 1Q13 WHP-7: 1Q14 *
Area 2: 1Q13 1Q13 WHP-8: 2Q14 *
Area 2: 1Q13 1Q13 WHP-9: 3Q14 *
* Subject to new
orders from OGX
Area 1
Area 2
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22. Firm order book – Status
Equipment Status
Final customization phase at Singapore. Sail Away Ceremony, August
FPSO OSX-1
13th
FPSO OSX-2 Contract signed with SBM Offshore. Delivery by the shipyard in 2Q13
FPSO OSX-3 Contract signed with Modec. Delivery by the shipyard in 3Q13
FPSO OSX-4
and Vessels acquired. First FPSOs to be integrated at the UCN
FPSO OSX-5
WHP-1
Contract signed with Techint. Equipment to be constructed at the site in
and
Pontal do Paraná
WHP-2
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24. Project Accelerators
1. Equipment Standardization
Reduce delivery timetable through long-term agreements with suppliers
Standardize 70% of main equipment
Key Systems 1 Other Systems
Water injection Water harvesting
Cargo handling 1 Compressed air
Gas compression 2 Fire Fighting System
Energy generator 2 Tubing and Accessories
Supervisory System Oil processing
Anchoring System 3 Treatment of produced water
Offloading System 3
23
25. Project Accelerators
2. OSX Flex Engineering
Process oils of different characteristics (different API degree, gas/oil ratio, water/oil ratio)
Flex engineering used from FPSO OSX-2 onwards
24
26. Project Accelerators
3. WHP´s Standardization
Optimization of assembly and construction
Designed to operate in a range of water depths
4. Sister Vessels
Reduction in project timeframe and conversion costs
Accelerate the learning curve both in operation and
maintenance
FPSOs OSX-4 and OSX-5
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27. ITN – Naval Technology Institute
Mission
As a leading institution specialized in naval training in Brazil, provide OSX Brazil with
personnel, technology and innovative solutions for its products and processes in the areas
of shipbuilding and offshore operations
Main Objectives
Training of workers (superior, technical and basic levels)
Development of innovative engineering projects
Mobilization of suppliers (new equipment and/or materials)
Absorption of technology (agreement with Hyundai)
Partnerships with reference institutions (companies and universities)
26
28. ITN – Naval Technology Institute
Phase I - Objectives
Qualification of up to 3,100 technical personnel in 23 functions (welders, assemblers,
electricians and mechanics, among others) through the end of 2012
Utilization of facilities and instructors from SENAI
Scholarships that provide financial assistance, food and transportation
Beginning of classes scheduled for 4Q11
Estimated budget: R$ 12.7 million
SENAI Campos SENAI São João da Barra SENAI Macaé
Phase I – Qualification and Training
Contract OSX & FIRJAN
- Qualification of personnel for the UCN
Technology Cooperation Agreement OSX & HYUNDAI
- Training program designed for technical and supervisory roles
27
29. ITN – Naval Technology Institute
Phase I – Recruiting Areas
Aprox. Work
City Population
distance force
São João da Barra 20 KM 6,000 33,000
Campos 40 KM 92,000 460,000
Radius Up to 50 KM 98,000 493,000
Quissamã 75 KM 3,000 20,000
São Francisco 95 KM 3,000 41,000
São Fidelis 100 KM 5,000 37,000
Macaé 130 KM 113,000 206,000
Radius 2 Up to 150 KM 222,000 797,000
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30. ITN – Naval Technology Institute
Phase II – On the Job training
Proposed activities:
Training, technical assistance and operation supervision with Hyundai:
- 40 specialists from Hyundai in Brazil for 5 years
- 50 employees from the UCN at Hyundai shipyard in Ulsan, Korea
(4 groups: Aug. 2012 through April 2014)
Implementation of the ITN at UCN Açu
- Approximate area of 1,800 m2 Bibliotecas Salas de aula
- Offices, laboratories, classrooms, auditorium, library
Implementation of systems that simulate operations of offshore units
Sala de simulação
29
31. ITN – Naval Technology Institute
Phase III – Strengthening of the Supply Chain
Proposed action:
Identify, together with the procurement department, potential suppliers to develop new
material, equipment and innovative work methods that are of interest of OSX.
Phase IV – Technology Innovation
Proposed action:
Establish partnerships with academic institutions, both Brazilian and international, in
order to develop and assimilate technology
30
34. Next milestones
Arrival of FPSO OSX-1 in Brazil and first oil
Conclusion of financing for FPSO OSX-2
Financing for FPSO OSX-3, WHP-1 and WHP-2
Beginning of Construction WHP-1 and WHP-2
Contract for engineering of FPSOs OSX-4 and OSX-5
OGX orders
Orders from other clients
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