slide1 n.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
October, 2012 PowerPoint Presentation
Download Presentation
October, 2012

Loading in 2 Seconds...

play fullscreen
1 / 12

October, 2012 - PowerPoint PPT Presentation


  • 205 Views
  • Uploaded on

Investor Days October 1-3, 2012 General Corporate Overview. October, 2012. 1. Forward Looking Statement Disclaimer.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'October, 2012' - oriole


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
slide1

Investor Days

October 1-3, 2012

General Corporate Overview

October, 2012

1

slide2

Forward Looking Statement Disclaimer

Certain statements and information included in this presentation constitute “forward–looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on certain assumptions and analyses made by the Company’s management in light of its experience and its perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. These statements involve known and unknown risks and uncertainties, some of which are outlined in the Company’s most recent 10-K and subsequent 10-Qs, which may cause the actual performance of Flotek to be materially different from any future results expressed or implied in this presentation and the forward-looking statements. Flotek undertakes no obligation to update any of its forward-looking statements for any reason.

slide3

The Flotek Oilfield Technology Portfolio

  • Flotek is a Houston-based oilfield services company with focus on value-added drilling, completion and production products. We deliver our services through a network of field offices in key basins across North America and through strategic partnerships internationally.
  • Chemical Technologies and Related Logistics Services add value in the drilling, completion and production stages of oil and gas wells.
  • Drilling Technologies provide solutions during the drilling stage of oil and gas wells from motors and actuated tools to our best-in-class Teledrift technologies.

Artificial Lift Technologies address a number of production challenges for oil and gas companies

  • Our diverse mix of products and services touch every stage of the life cycle of a well. And, while each technology requires unique technical expertise, all of our technologies share a commitment to our vision to provide best-in-class technology, cutting-edge innovation to address the ever-changing challenges of our customers and exceptional customer service.
slide4

Key Technology Drivers: Specialty Chemicals

  • Continued trend toward unconventional resources plays in North America and in international markets.
  • New product innovations: Research & development commitment leading to the “next generation” Complex Nanofluids (CnF) and other “on demand” chemistry solutions.
  • New markets: Liquids growth, enhanced oil recovery applications and basin-specific solutions.
  • International markets: Continued growth from Basin Supply partnership and additional opportunities.
  • Marketing penetration to both service companies and E&P end-users that convey compelling economic benefits of CnF.
  • Environmental focus: Flotek filed first patent on environmentally friendly products in 2003.
  • Commitment to Research: Creating durable client relationships.
slide5

Key Technology Drivers: Drilling Tools

  • Downhole tool growth in key regions including Oklahoma and Eagle Ford
  • Improvement in market share and pricing in drilling motors – focus on key regions including Barnett, Bakken & Eagle Ford.
  • Teledrift focus: Continued growth in domestic markets. Pricing strength in Permian Basin. Remote technology should enhance Teledrift pricing and market share
  • International expansion. Focus on Saudi Arabia and Middle East, Central & South America, Russian Federation.
  • Technology Focus: Remote view of Teledrift results.
slide6

Key Technology Drivers: Artificial Lift

  • Key customer relationships in Powder River CBM. Flotek improved key customer relationships in 2010 which provided additional service revenue in 2011 even as natural gas prices tumbled..
  • We have made significant progress in growing our oil exposure:
      • Successful installation of Petrovalvein the Niobrara with mainstream participants. Repeat business beginning to build.
      • ESP brand recognition growing. We are competing for major ESP jobs with gross margins in the 50% range.
      • New significant customer in the Bakken establishes new territory for Flotek.
  • International sales of Petrovalve provide significant upside.
slide7

2012 Business Objectives

  • Continued focus on improved marketing efforts
      • Key objective to reach ultimate beneficiaries of property CnF chemistries. Combination of working with service companies and working independent of service companies to sell E&P companies on economic benefits of CnF.
      • Increased emphasis on “depth” of relationships along with “breadth” of relationships. “Is Flotek in your well” provides multiple touch point opportunities.
  • Introduce the “next generation” of CnF chemistry technologies to the market.
  • Continue to focus on more balanced revenue mix: liquids vs. natural gas. Continued to build a “hydrocarbon agnostic” suite of leading-edge, proprietary technologies.
  • Continue to pursue international opportunities through partnerships, established relationships and key agents.
  • Opportunities for Flotek chemical technologies to be utilized in Enhanced Oil Recovery (EOR).
  • Consider prudent opportunities to deploy cash balances to enhance long-term growth.
slide8

Flotek’s Focus: A Deleveraging Oilfield Technology Growth Story

  • Flotek continues to further deleverage its balance sheet providing the company the ability to both address its obligations and fund its current growth from internally generated capital.
  • In the first six months of 2012, Flotek has reduced its debt by $51 million.
  • Since March, 2009, Flotek has reduced debt by $99 million or 64%.
  • At the same time, Flotekcontinues to increase its cash flow generation.
  • Flotek’s cash balances have increased from just $600,000 on March 31, 2009 to $19 million as of August 7, 2012.
  • During the second quarter, Flotek used cash on hand to repurchase $15 million of convertible notes and paid $4 million in federal and state taxes.
  • In August, made tax and interest payments. Cash remains strong.

Reduction in Debt PLUS Acceleration of Cash EQUALSFlotek’s Powerful Engine for Future Growth

slide12

Investor Days

October 1-3, 2012

September, 2012

12