Strategy and Business Model

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Strategy and Business Model

Strategy and Business Model

Genel is a socially responsible oil producer with an asset portfolio that positions us well for a future of fewer and better natural resources projects.

Our strategy is focused on building reliable and repeatable cash flows, as we strive to deliver on our ambition of being a world-class creator of shareholder value, fulfilling our goal of being a socially responsible contributor to the global energy mix.

A clear strategy

Genel’s strategy is focused on building a resilient long-term business that delivers consistent investor returns

Resilient cash-generative production

Maximising cash generation from our existing production business

Investment in new cash flows

Diversifying and expanding our production business through investment of cash on the right opportunities

Strong balance sheet

Our focus now is about putting our balance sheet to work in order to add future cash flows that support the re-establishment of a dividend programme

SUPPORTED BY A BUSINESS MODEL RESILIENT BY DESIGN

Financial discipline

Targeted investment development of opportunities with high potential, with capex appropriate to the external environment
Strict criteria for the addition of new assets via M&A

Low-cost production

Low-cost, cash-generative assets

Downside risk mitigation

Resilient to low oil price, flexible capex program
Prioritise capital allocation to assets with near term cash generation
Model that optimises capital exposure and payback

Capital returns

Aiming to support a material, sustainable, and progressive dividend

OUR VALUE LIFE CYCLE

Growing our resource base

Increasing reserves and resources through cost-effective development and appraisal campaigns, and acquisitions

Finance and portfolio management

Manage financial and business assets to provide flexibility in our capital structure in order to invest in growth and support a sustainable dividend

Development and production

Safely and efficiently deliver development projects that then generate material cash flows, for the benefit of both Genel and the communities in which we operate

THE VALUE WE CREATE

Direct and indirect impacts:

Value for wider stakeholders (employees, suppliers and contractors, customers, the public)

Our business activities generate income for employers and revenue for suppliers

free cash flow in 2022

$ 0 million

Dividend and share value

We aim to create shareholder value through the development of assets, generation of free cash flow, and the re-establishment of a material and sustainable dividend

dividends paid in 2022

$ 0 million

Contribution to local economy

We are a key contributor to the Kurdistan Region of Iraq

social investment in the KRI

$ 0 million

Providing direct economic benefit to local communities

Genel has focused on boosting local employment opportunities and building a supply chain with local companies

local employment at Taq Taq

0 %

Direct community development programmes

Genel aims to ensure that activities directly beneﬁt the local communities in which we operate

local people received support from our medical team in 2019

Underpinned by

Socially responsible business practices

Acting with integrity and respect to support and sustain the communities in which we operate has always been central to Genel’s success. Key values guide our actions and we are committed to having the people, delivering the right actions, in the right way.

Risk management

Genel brings the same rigour to organisational risk management processes as we do to health, safety and the environment.

Strong corporate governance practices

Robust corporate governance is proven to provide benefits to a business and value to shareholders, and Genel has a strong Board overseeing all key business aspects.