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Second Quarter 2016 Results Paris, July 28, 2016

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Page 1: Second Quarter 2016 Results Click to edit ... - Technip FMC

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Second Quarter 2016 Results

Paris, July 28, 2016

Page 2: Second Quarter 2016 Results Click to edit ... - Technip FMC

Safe Harbor

his presentation contains both historical and forward-looking statements. These forward-looking statements are not based onhistorical facts, but rather reflect our current expectations concerning future results and events and generally may be identified by theuse of forward-looking words such as “believe”, “aim”, “expect”, “anticipate”, “intend”, “foresee”, “likely”, “should”, “planned”, “may”,“estimates”, “potential” or other similar words. Similarly, statements that describe our objectives, plans or goals are or may beforward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties and other factors thatmay cause our actual results, performance or achievements to differ materially from the anticipated results, performance orachievements expressed or implied by these forward-looking statements. Risks that could cause actual results to differ materially fromthe results anticipated in the forward-looking statements include, among other things: our ability to successfully continue to originateand execute large services contracts, and construction and project risks generally; the level of production-related capital expenditurein the oil and gas industry as well as other industries; currency fluctuations; interest rate fluctuations; raw material, especially steel aswell as maritime freight price fluctuations; the timing of development of energy resources; armed conflict or political instability in theArabian-Persian Gulf, Africa or other regions; the strength of competition; control of costs and expenses; the reduced availability ofgovernment-sponsored export financing; losses in one or more of our large contracts; U.S. legislation relating to investments in Iran orelsewhere where we seek to do business; changes in tax legislation, rules, regulation or enforcement; intensified price pressure by ourcompetitors; severe weather conditions; our ability to successfully keep pace with technology changes; our ability to attract and retainqualified personnel; the evolution, interpretation and uniform application and enforcement of International Financial ReportingStandards, IFRS, according to which we prepare our financial statements as of January 1, 2005; political and social stability indeveloping countries; competition; supply chain bottlenecks; the ability of our subcontractors to attract skilled labor; the fact that ouroperations may cause the discharge of hazardous substances, leading to significant environmental remediation costs; our ability tomanage and mitigate logistical challenges due to underdeveloped infrastructure in some countries where we are performing projects.Some of these risk factors are set forth and discussed in more detail in our Annual Report. Should one of these known or unknownrisks materialize, or should our underlying assumptions prove incorrect, our future results could be adversely affected, causing theseresults to differ materially from those expressed in our forward-looking statements. These factors are not necessarily all of theimportant factors that could cause our actual results to differ materially from those expressed in any of our forward-looking statements.Other unknown or unpredictable factors also could have material adverse effects on our future results. The forward-looking statementsincluded in this release are made only as of the date of this release. We cannot assure you that projected results or events will beachieved. We do not intend, and do not assume any obligation to update any industry information or forward looking information setforth in this release to reflect subsequent events or circumstances.

****This presentation does not constitute an offer or invitation to purchase any securities of Technip in the United States or any otherjurisdiction. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Theinformation contained in this presentation may not be relied upon in deciding whether or not to acquire Technip securities.This presentation is being furnished to you solely for your information, and it may not be reproduced, redistributed or published,directly or indirectly, in whole or in part, to any other person. Non-compliance with these restrictions may result in the violation of legalrestrictions of the United States or of other jurisdictions.

****

T

2Q 2016 Results2

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2Q 2016 Results3

2Q 2016 Highlights

COST STRUCTURE

BALANCE SHEET

BROAD-BASED OFFER

CLIENT INSIGHT

Solid project execution marked by multiple offshore campaigns and as-expected module deliveries to Yamal LNG project

Cost reduction ahead of schedule with €900 million to be delivered in 2016

Diversified order intake of €1.5 billion showcasing projects combining early-involvement, large EPC, technologies and PLSV renewal

Solid balance sheet maintained with record net cash at €2.2 billion

Technip and FMC Technologies combination progressing wellCOMBINATION

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Selective Bidding to Support Profitability

2Q 2016 Results4(1) Adjusted Underlying Operating Income from Recurring Activities after Income/(Loss) of Equity Affiliates

€2.8 billion

AdjustedRevenue

AdjustedOIFRA(1)

€260 million€1.5 billionOrder Intake

€2.2 billionNet Cash

Onshore / Offshore Subsea Group

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§ Client: Mellitah Oil & Gas

§ Major natural gas field development in Mediterranean Sea

§ Client: Woodside

§ Large subsea EPIC(1)

contract for the development of the Greater Enfield Project located in Western Australia

§ Client: GazpromNeft

§ Significant project management, design & EPCm(2) contract for the construction of a new Crude Distillation Unit in Russia

2Q 2016 Results5

Current Order Intake Showcases Technip’s Differentiation

Bahr Essalam(in 2Q16)

Greater Enfield (in 3Q16)

Omsk Refinery(in 2Q16)

High number of own vessel days and third party vesselsin 2017 and 2018

Utilization of Asia Pacific vessels and manufacturing plants

Sustained man-hours from 2016 to 2018

(1) Engineering, Procurement, Installation and Pre-commissioning (2) Engineering, Procurement and Construction management

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2Q 2016 Operational and Financial Highlights

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2Q 2016 Results7

Solid P&L Performance

2Q Revenue

§ Subsea (12)%§ 77% vessel utilization mainly due to

vessel dry-dock§ Onshore/offshore (7)% § No significant milestones

§ Foreign exchange €(166) million out of €(285) million revenue decrease

1H 15(1) 1H16(1)Y-o-Y

€ million 2Q 15(1) 2Q 16(1)Y-o-Y

Change Change

5,982 5,575 (7)% Revenue 3,098 2,813 (9)%

597 629 5% Underlying EBITDA(2) 353 324 (8)%

10.0% 11.3% 131bp EBITDA Margin 11.4% 11.5% 14bp

453 496 9% Underlying OIFRA(3) 282 260 (8)%

7.6% 8.9% 133bp Operating Margin 9.1% 9.2% 15bp

2Q OIFRA(3)

§ Subsea at €200 million§ Margin sustained at 14.6%

§ Onshore/Offshore recovering to €74 million§ Margin at 5.1%

§ SG&A reduced by 14% YoY

(1) Adjusted figures(2) Adjusted OIFRA after Income / (Loss) of Equity Affiliates excluding exceptional items, depreciation and amortization(3) Adjusted OIFRA after Income / (Loss) of Equity Affiliates excluding exceptional items

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Margins Performance 2015-2016 Year-to-date

2Q 2016 Results8

(1) Adjusted Underlying Operating Income from Recurring Activities after Income/(Loss) of Equity Affiliates

AdjustedOIFRA margin(1)

Subsea

AdjustedOIFRA margin(1)

Onshore/Offshore

1.5%

3.4%

4.8%4.1%

5.1% 5.1%

1Q15 2Q15 3Q15 4Q15 1Q16 2Q16

12.8%

16.1%15.0%

13.7% 13.1%14.6%

1Q15 2Q15 3Q15 4Q15 1Q16 2Q16

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1,987

149

114

154(30)

(101)

(81)

2,192

Adjusted netcash March

2016

Cash fromoperations

Netconstruction

contracts

Other workingcapital

Net capex Dividend Others Adjusted netcash June

2016

2Q 2016 Results9

Strong Cash Flow Conversion

Adjusted Net Cash Bridge€ million

Net cash of €2.2 billion end of June 2016

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2Q 2016 Results10

Cost Reduction Plan: Focus on SG&A and Fleet

FleetSG&A(1)

€ million

1911 10 10 9

3

5 4 4 6

5

5 5 4 3

9

65 5 2

2013 2014 2015 1H 2016 2017

Wholly-ownedJointly-ownedLeasedUnder construction

36

2724 23

20

345326 310

271

1H13 1H14 1H15 1H16

€(74) million

# of vessels

(1) Selling, General and Administrative costs

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4.79

(0.27)

4.52

(0.63)

3.89

~(0.10)

~3.79

2Q 2016 Results11

Cost Reduction Delivery Ahead of Schedule: €900 million to be Achieved in 2016

2016Objective(*)20152014

Baseline (*)

2015 cost

savings

2016cost

savings

€ billion €900 million

Total accumulated cost savingsCost Reduction Plan Highlights

§ Cost reduction charges: § €57 million in 2Q16§ Sale of activities in Germany and Korea

§ Cost reduction savings:§ Fleet streamlined to 23 vessels§ SG&A down 14% compared to 2Q15

and down 12% compared to 1H15

§ Good visibility over 2H16 cost base

(*) At constant 2015 Foreign Exchange rate

2017Objective(*)

Over€1 billion

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2Q 2016 Results

Backlog and Contracted Work Provides Visibility in 2017 and Beyond

Subsea€5.9 billion

€2.2 billion €2.2 billion €1.5 billion

2018 & beyond2017

Onshore & Offshore€7.7 billion

2016 (6 months) 2018 & beyond2017

2Q 2016 Order Intake: €754 million

2Q 2016 Order Intake: €728 million

Non-backlog elements

€2.2 billion

2016 (6 months)

12

€2.6 billion €3.3 billion €1.8 billion

Note: for detailed scheduling please refer to page 4 of 2Q16 Press Release

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2Q 2016 Results13

2016 Objectives Upgraded

Onshore / Offshore

Subsea

§ Adjusted revenue between €4.7 and €5.0 billion

§ Adjusted operating income from recurring activities(1) around €680 million (previously between €640 and €680 million)

§ Adjusted revenue between €5.7 and €6.0 billion

§ Adjusted operating income from recurring activities(1) around €280 million (previously between €240 and €280 million)

(1) Adjusted Operating Income from Recurring Activities after Income/(Loss) of Equity Affiliates

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Update on Technip in the Current Market Environment

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2Q 2016 Results15

Yamal Project Progress Update

Module delivery accelerating

Construction progress in Sabetta, Russia

§ 27 modules delivered at site as of today§ Site preparation ready for installation of Train 1 modules§ Two biggest process modules installed, hook-up work started§ Jetty bridges delivered and last jetty modules on their way§ Close to 8,000 people mobilized at site

§ 48 modules sailed away from Asian yards since beginning 2016§ Peak of module delivery in July and August 2016§ 13 module carriers and 16 pipe rack carriers operating § Both transit routes being used: Western route and Bering strait

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2Q 2016 Results16

West African Projects Driving Multiple Activities

§Main offshore campaigns spread from late 2014 to 2016§Main Technip vessels: G1200, Skandi

Africa, Deep Pioneer, Orelia

Moho Nord, Congo

§ Offshore campaign to start late 2016 until 2018§Main Technip vessels: Deep Blue,

Skandi Africa, North Sea Atlantic

Kaombo, Angola

Technip Umbilicals IncUmbilical supply

Technip Umbilicals LtdUmbilical supply

Dande SpoolbaseFabrication andspooling of rigid pipe

AngoflexUmbilical supply

Flexi France Flexible supply

Pori YardConstruction

Around 40 vessels mobilized on Technip’s West African projects including 5 Technip vessels in 2Q16

§Main offshore campaigns spread from 2015 to 2016§Main Technip vessels: Deep Energy,

Deep Pioneer

TEN, Ghana

Evanton SpoolbaseFabrication andspooling of rigid pipe

§ Main offshore campaigns spread from 2014 to 2016 § Main Technip vessels: Deep Pioneer,

Deep Orient, Deep Energy, Olympic Challenger, Skandi Achiever

Block 15/06, Angola

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2Q 2016 Results17

DOWNSTREAMRESILIENCE

LIBRA & OTHER PRE-SALTDEVELOPMENTS

TIE-BACKOPPORTUNITIES

GAS & DOWNSTREAMFOCUS

LNG DEVELOPMENTS

CONTINUINGLNG DEVELOPMENT

TIE-BACKOPPORTUNITIES

(1) FEED: Front-End Engineering and Design

DOWNSTREAMRESILIENCE

REFINING AND PETCHEMGREENFIELD & BROWNFIELDOPPORTUNITIES

Unique Onshore Technologies and Expertise Reduce Cost

of Project by 30%+

Best-in-class Offer for Key Developments

DifferentiatingAssets

Market Outlook: Where is Technip Focused Today

Unique FEED(1)

Know-how to Engage Early

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2Q 2016 Results18

Technip and FMC Technologies to Combine

SurfaceGlobal product and service platform§ Enhanced offering in North America§ Strengthened international presence

Products: best-in-class equipment and systems provider§ Leading and highly complementary equipment offering ; scaling up

best-in-class technology through enhanced R&D

Projects: Unique capabilities throughout project life-cycle § From concept to project delivery and beyond ; setting new project

economic standardsSubsea

Services: enhanced service proposition § Leveraging FMC Technologies’ leading solutions to service a larger

installed base; expanding scope of service offering

Onshore / Offshore

Strong midstream/downstream footprint§ Leveraging further on Technip’s engineering capabilities§ From concept to technology to project delivery

Builds a comprehensive and flexible offering across each market from concept to project delivery and beyond

Driving change by redefining the production and transformation of Oil & Gas

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19

Good Progress on Technip and FMC Technologies Merger Process

May 19, 2016Combination announcement

Q2 2016

June 27, 2016Early conclusion of US antitrust review

June 16, 2016Work council approvals

Early 2017Expected

combination completion

June 30, 2016Merger integration principles and organization

June 16, 2016BCA signing

June 22, 2016Senior leadership

team announcement

2Q 2016 Results

70 days

July 28, 2016

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§ Client: Mellitah Oil & Gas, a consortium between National Oil Corporation and ENI

§ Major natural gas field development tied back to the Sabrathaplatform in the Central Mediterranean Sea

§ Operations to be performed from Malta

Leveraging our Broad-based Solutions: Mellitah, Bahr Essalam

2Q 2016 Results20

Project Overview

SUBSEA ONSHORE / OFFSHORE

Engineering and Design

Engineering, Procurement, Installation,

CommissioningProcurement Installation

Ties-in, diving and installation

campaigns using Technip's vessels

Overall design and detailed engineering

Provision of a gas gathering system, including subsea

isolation valve

Revamping of existing infrastructure and project

management

Vessel utilization and backlog visibility up to 2H 2018

TEC(1)

Equipment Supply

Pipelines and umbilicalsfabrication

(1) Technology, Equipment & Consulting

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2Q 2016 Results21

Integrated Solutions: A Proven Model

§ Design, EPCI(1) and commissioning of flexibles and umbilical

SUBSEA ONSHORE / OFFSHORE

Jangkrik, ENI, Indonesia

§ EPC(2) of onshore gas treatment plant

§ Design and installation of flexibles

SUBSEA ONSHORE / OFFSHORE

Juniper, BP, Trinidad & Tobago

§ EPC(2) of topside and jacket

§ Transportation, installation and pre-commissioning of pipelines

SUBSEA ONSHORE / OFFSHORE

Malikai, Shell, Malaysia

§ EPC(2) of Tension Leg Platform

(1) Engineering, Procurement, Construction and Installation(2) Engineering, Procurement and Construction(3) Pipeline End Termination(4) Engineering, Procurement, and Construction management

§ Design and EPCI(1) of flexible and flowlines

SUBSEA ONSHORE / OFFSHORE

Prelude FLNG, Shell, Australia

§ Design and EPC(2) of Floating Liquefied Natural Gas facility

TECHNOLOGY, EQUIPMENT & CONSULTING

§ Fabrication of flexibles and umbilical

TECHNOLOGY, EQUIPMENT & CONSULTING

§ FEED and detailed engineering work involving Genesis§ Fabrication of flexibles flowlines

TECHNOLOGY, EQUIPMENT & CONSULTING

§ Fabrication of pipelines

TECHNOLOGY, EQUIPMENT & CONSULTING

§ FEED§ Fabrication of rigid flowline, PLETs(3),

flowline appurtenances and rigid spools

ONSHORE / OFFSHORE

Ethane Cracker, Sasol, USA

§ EPCm(4) of a world scale ethane cracker and derivatives complex

TECHNOLOGY, EQUIPMENT & CONSULTING

§ Engineering and procurement for eight proprietary USC® furnaces

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2Q 2016 Results

Adapt to Resist and Shape the Future

LEADERSHIPFOCUS LEADERSHIPFOCUS

COST STRUCTURE

BALANCE SHEET Solid partner for long term projects

Protect profitability and cashflow

BROAD-BASED OFFER Secure and expand addressable market

Design & deliver economically viable projectsCLIENT INSIGHT

22

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Annex

23

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Technip: World Leader Bringing Innovative Solutions to the Energy Industry§ A world leader in project management, engineering and construction for oil & gas,

chemicals and energy companies§ ~32,500 people in 45 countries§ 2015 Adjusted Revenue: €12 billion; Adjusted OIFRA(1): €802 million

24

§ Financials§ 2015 Adjusted Revenue: €6,333 million§ Underlying Adjusted OIFRA(2): €218 million§ Negative capital employed

§ Segment activity / Know-how§ Preliminary studies to detail design§ Project management: engineering, procurement,

construction § Technology supply and project management

§ Financials§ 2015 Adjusted Revenue: €5,876 million§ Adjusted OIFRA(1): €851 million§ Positive capital employed

§ Segment activity / Know-how§ Subsea field architecture & integrated subsea design§ Manufacturing, Spooling & Installation pipelines§ Project management: engineering, procurement,

construction, logistics and installation using our high-end fleet

Onshore/Offshore

Deepwater infield lines

Ultra-deep water infield lines Deep-to-shore

Subsea

(1)Adjusted operating income from recurring activities after Income/(Loss) of Equity Affiliates(2) Adjusted operating income from recurring activities after Income/(Loss) of Equity Affiliates excluding exceptional items 2Q 2016 Results

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(1) Former Duco

Evanton

Orkanger

Flexibras:Vitória

Flexibras:Açu

Macaé

Port of Angra

Pori

Asiaflex Products:Tanjung Langsat Batam

Flexi France: Le Trait

Perth

Angoflex: Lobito

Dande

Technip Umbilicals(1) Inc:Houston

Mobile

Houston

Kuala Lumpur

Rome

London

4 Flexible Pipe Plants

4 Umbilicals Plants

4 Spoolbases

1 Construction Yard

4 Logistic Bases

Regional Headquarters

Operating Centers

Technip Umbilicals(1) Ltd: Newcastle

Global Business with Unique Worldwide Footprint

Calgary

Claremont

WeymouthBoston

Port-Of-SpainCaracas

Bogota

Ciudad del CarmenMexico City

Accra Lagos

LisbonBarcelona

Warsaw

St. Petersburg

Moscow

Lyon

Cairo

Athens

New Delhi

Mumbai

Chennai

Abu DhabiAl-Khobar

Doha

Kuwait

Seoul

Shanghai

Jakarta

Balikpapan

BangkokRayong

Ho Chi Minh City

St. John’s

Singapore

Milton Keynes

Aberdeen Oslo

Rio de Janeiro

MarseilleParis Frankfurt

Zoetermeer

Luanda

Stavanger

25 2Q 2016 Results

BAVIT

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Onshore / Offshore Projects Technology, Equipment and Consulting

§ Engineering Procurement Construction

§ Engineering Procurement Construction Installation, using Technip vessels

§ Inspection Repair Maintenance

Subsea Projects

§ Vessel chartering§ Manufacturing § Project Management Consultancy§ Conceptual studies and FEED§ Life of field conception§ Technologies / Licensing

§ Engineering Services§ Engineering Procurement§ Engineering Procurement

Construction § Engineering Procurement &

Construction Management§ Maintenance

Fully Integrated Business Model

26 2Q 2016 Results

Financials2015 Revenue(1): ~€2,600 million2015 EBITDA(2): ~€380 million

(1) Adjusted Revenue(2) Adjusted Operating Income from Recurring Activities after Income/(loss) of Equity Affiliates excluding Depreciation and Amortization

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The LNG industry’s longest-serving turnkey contractor

Global leader in the design and supply of hydrogen plant

50 years of experience in the oil refining sector

Largest cracking furnaces in the world (Yansab, KSA)

One of four ethylene licensors worldwide

One of the few with extensive experience in large scale GTL facilities

World leading technologies for Sulfuric, Phosphoric, Ammonia, Urea, Nitric acid and Ammonium Nitrate

Technip Onshore Capabilities

27

Solid Reputation

§ Mining and Metals§ Infrastructures§ Renewable Activities§ Life Sciences§ Nuclear

§ LNG(1)

§ NGL(2)

§ GTL(3)

§ Gas Treatment

§ Ethylene§ Polyolefins§ Aromatics§ Fertilizers

§ Clean Fuels§ Grassroots§ Heavy Oil§ Upgraders§ Hydrogen

OthersGas Monetization Petrochemicals Refining

Full Range of Expertise

2Q 2016 Results

Jinxi fertilizer plant, China

Midor refinery, Egypt

(1) Liquified Natural Gas(2) Natural Gas Liquids(3) Gas-to-liquid

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2Q 2016 Results

Broad Capabilities Combining Know-how, Technology and Performance

Unique Offering

(1) Export Credit Agency

FLNG leader: integrating onshore, offshore and

subseaFPSO player: combining

offshore and subsea capabilities

Proprietary equipment

S&W market leader in North America

Projects in 75 countries

Present in 45 countries close to our clients

ECA(1) and project financing capabilities

Strong licensing partnerships

Project management capabilities

3 R&D Centers

GE Digital partnership

Best in-class technologies:

Hummingbird, ZimmerFirst class alliances: Sasol, Air Products,

ExxonMobil

LNG Pioneer: 6 largest LNG trains in the world

Front-runner in modularization

30+ grassroots refineries

SPAR leadership

Geographic Footprint

Integrated model

Services

Technology

Greenfield and brownfield expertise

28

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A Unique and Customized Product Range to Match Offshore Client Needs

§ Leader in FLNG§ Combination of Onshore

and Offshore technologies§ Shell Prelude FLNG§ Petronas FLNG Satu

Floating PlatformsFLNG Semi-Submersible Spar TLPFPSO

§ Delivered some of the world’s largest FPSOs§ Total Akpo FPSO§ Inpex Ichthys FPSO§ Petrobras P58/P62/P70/P76

Fixed PlatformsConventional Jackets Self- installing Platforms

(TPG 500) Artificial IslandsGravity Base Substructures (GBS)

§ Leader in Spar design & delivery§ Statoil Aasta Hansteen first

Spar within the Arctic Circle§ Shell Perdido: the world’s

deepest production Spar

§ Designed its own semi-submersible platform§ Petrobras P52/P51/P56

§ Delivering our first TLP in Malaysia§ Shell Malikai§ CNOOC Liuhua

§ Small and large conventional platforms with topsides installation by heavy lift vessel, floatover or crane§ CTOC Cakerawala and Exxon Mobil

East Area both with 18,000t topsides§ RWE Cavendish

§ Designed the 3 largest self-installing TPG 500 production jack-up platforms in the world§ Harding§ Elgin § Shah Deniz

§ Designed GBS platforms with floatover topsides§ Petronas Turkmenistan block 1§ Chevron Wheatstone

§ Designed facilities located on artificial islands in the Middle East and shallow water ice-prone areas § Total Kalamkas Sea Project

Concept Study§ Yamal LNG - Large onshore

modules using offshore concepts

29 2Q 2016 Results

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FLNG Leader with First Mover AdvantageShell Prelude FLNG Petronas FLNG Satu

Project status:§ Construction ongoing in Korea§ Hull steel cut in October 2012§ Launched hull in November 2013§ First Topside installed in 2014§ Turret mooring system and 135 meter flare

installed onto hull in 2015§ Furnace commissioning 2Q16

Project status:§ Execution started in June 2012§ Hull steel cut in June 2013§ Launched hull on April 7, 2014§ First topside installed September 2014§ Naming ceremony on March 4th, 2016§ Successful sail away on May14th, 2016§ Mooring chains connection, final positioning and

riser installation completed

Unique combination of Technip’s technologies and know-how from all of our business segments

§ LNG capacity: 3.6 mtpa§ Field: Prelude, Western Australia

§ LNG capacity: 1.2 mtpa§ Field: Offshore Malaysia

30 2Q 2016 Results

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§ Prelude FLNG, EPCI, Australia§ Yamal LNG, EPC, Russia§ Petronas FLNG Satu, Engineering, Malaysia

§ Burgas Refinery, EPC, Bulgaria§ RAPID, UIO (4), Malaysia§ MIDOR Refinery, Early Works, Egypt

Onshore/Offshore: Diversified Projects and Worldwide Footprint

Gas MonetizationGas treatmentLNG(1)

FLNG(2)

GTL(3)

RefiningHydrogenClean fuelsHeavy oil upgraders

PetrochemicalsEthylenePolyolefinsAromaticsFertilizers

What we do Example of projects

Yamal LNG, Russia

Yemen LNG, Yemen

§ (1) Liquefied Natural Gas§ (2) Floating Liquefied Natural Gas§ (3) Gas-to-Liquids§ (4) Utilities, Interconnecting and Offsites

§ Braskem Ethylene XXI, EPC, Mexico§ CPChem Polyethylene plants, EPC, USA § Sasol Ethane Cracker, EPCm, USA§ Phu My Ammonia plant, EPC, Vietnam§ Unipetrol Polyethylene plant, EPC, Czech Republic§ DUSLO Ammonia plant, EPC, Slovakia

Jubail, Saudi Arabia

31 As of June 30, 20162Q 2016 Results

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Technology, Equipment and Consulting

32

A competitive differentiation in winning EPC(I) projects

An alternative to EPC(I) projects

Added-value throughout the project life-cycle

Different risk profile

Enabling technologies to unlock complex/marginal field developments

What they bring

§ Sustained investments in 2015: €86 million

§ Innovation Technology Centers in France and Brazil

§ FMC Technologies § RPS Group§ Sasol GTL(1)

§ Badger - ExxonMobil§ PTA Alliance – BP

§ Stone & Webster Process Technology

§ Zimmer § Marine Offshore

§ Asiaflex plant§ Açu plant§ Le Trait upgrade§ Newcastle upgrade§ Brazilian PLSVs

R&DPartnerships Acquisitions Capex

How we built these businesses

(1) Gas-To-Liquids

2Q 2016 Results

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Integrated Subsea Solutions at Conceptual Stage

Integrated Subsea DesignSubsea Field Architecture

Providing independent subsea architecture development and component

selection

Umbilicals(Power & control)

Electrically Trace Heated Pipe-in-

pipe

In-line Monitoring Technologies

Integrated Production

Bundle

Proprietary Technologies

Integrating Technip subsea proprietary technologies and offshore platform

know-how with third party processing equipment to provide innovative

development

(1) (2)

§ Integrated concept selection phase of FEED, combining industry-leading technologies

§ Innovative technology solutions from Subsea Tree to Floater

§ Pre-FEED and FEED§ Offshore field development studies § Innovative technology solutions for

platform and subsea challenges

Improving equipment and installation converge in subsea architecture

33 2Q 2016 Results

(1) Genesis Oil & Gas Consultants, a wholly owned & fully independent subsidiary of Technip(2) Forsys Subsea, a 50/50 JV of Technip and FMC Technologies

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34

Sustained R&D Investments Examples of Subsea Technologies

€ million

0

15

30

45

60

75

90

2010 2011 2012 2013 2014 2015

§ Electrically Trace Heated Pipe-in-Pipe

§ DIESTA: Dual enhanced heat transfer surfaces for tubes in air fin coolers

§ Swirl Flow Tube technology

Examples of Process Technologies

§ Al Cable Power Umbilical

Technology: A Clear Market Differentiator

€86 million of R&D in 2015

2Q 2016 Results

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§ Licensed proprietary technologies chosen at early stage of projects

Process Design / Engineering Proprietary Equipment Licenses

§ Design, supply and installation of critical proprietary equipment

§ Process design packages / engineering to guarantee plantperformance

§ Assistance to plant start-up and follow-up during plant production

~US$50 million*<US$5 million* <US$50 million*

* Project size order of magnitude

Offering three types of services

Technip Process Technology Diversifies Revenue Streams

35 2Q 2016 Results

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§ Kochi, Hydrogen reformer, India§ Qingdao plant, EBSM(2), China§ Sasol Lake Charles Ethane cracker, USA§ Unipetrol Polyethylene plant, Czech Republic§ SP Olefins Ethylene plant, China§ Glogow I Copper Smelter Optimization Project, Poland§ Air Products Hydrogen plant in Baytown, USA

§ RAPID, Malaysia§ Trans Adriatic Pipeline, European Market§ Basra Refinery, Iraq

Broad Offer of Technology, Equipment and Consulting Solutions

Equipment Supply

Early Involvement

PMC(1)

Technology and Licensing

(1) Project Management Consultancy(2) Ethylbenzene Styrene Monomer(3) Purified Terephthalic Acid

What we do Example of on-going projects

§ Libra and Lula Alto pre-salt flexible supply, Brazil§ Block 15/06 East Hub umbilical supply, Angola

§ Shell frame agreement§ Forsys FEEDs§ Genesis

Flexibras, Brazil

Refinery unit

36 As of June 30, 20162Q 2016 Results

Le Trait, France

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Integrated approach including sub-surface expertise with RPS Group

Strategic Alliances and Partnerships to Reinforce our Position

Partnership withfor pipeline welding

Heerema’s vessel Aegir

Exclusive alliance with

Mobile spoolbase, USA

Alliance with Heeremafor ultra-deepwater

2Q 2016 Results37

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Deep Arctic

Wellservicer

Orelia

Olympic Challenger

(1) As of June 30, 2016 - fleet of 18 vessels excluding 5 under construction: 4 PLSVs in Brazil, Deep Explorer (DSV) (2) Photo by Bjørn Ottosen, courtesy of North Sea Shipping

Wholly-owned/controlled LeasedJointly-owned

S-Lay Heavy Lift Global 1200

Global 1201

Diving Multi Support Vessel

4 vessels

Flexible Lay &

Construction

Deep Orient

Deep Pioneer

North Sea Atlantic

North Sea Giant

Skandi Africa

Coral Do Atlantico

Estrela Do Mar

Skandi Niteroi

Skandi Vitoria

(2)

Rigid ReelLay & J-Lay

Apache IIDeep BlueDeep Energy3 vessels2 vessels

9 vessels

High Performing Fleet(1) Per Type of Vessel

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Flexibility in Fleet Management

39 2Q 2016 Results

Divested -8 -2

Total Fleet

Leased

Jointly-owned

36

19

5

27 20-2124

Wholly-owned 11 10 9

5 5 5 3-4

201520142013 2016-2017

4 63

9 6 5 2Under Construction

New

New +2 +2

Divested -1 -1

New +1 (Skandi Africa)+1

+1 (Deep Arctic)

-1

+1 (Deep Explorer)

-2

-1-2

Divested

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§ Bahr Essalam, Mediterranean Sea § Quad 204, Scotland§ Moho Nord, Congo§ Juniper, Trinidad and Tobago§ Jangkrik, Indonesia§ Edradour, Shetlands§ Johan Sverdrup and Oseberg Vestflanken, Norway

Subsea: Multiple Projects Filling Plant & Assets Utilization

Frontier ProjectsUltra-deep water

First Class Partnerships

Vertical integrationFEEDManufacturingEPC(I)

What we do Example of on-going EPCI projects

§ Stones, GoM§ Odd Job, GoM§ South Santa Cruz and Barataria fields, GoM

§ TEN, Ghana (with )§ Kaombo, Angola (Alliance with )

Flexible reeling, Angola

Skandi Vitoria, Brazil

Deep Blue, Evanton

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Deepwater infield linesUltra-deep water infield lines (Very high tensions: alliance with Heerema)

Deep-to-shore

S-Lay

HeavyLift

Subsea Heavy

Lift

J-Lay &

Reel-Lay

J-Lay &

Reel-Lay

Broad Execution Capabilities in Subsea

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Backlog of €13.5 billion diversified by geography and by market split

* Includes subsea & offshore

As of June 30, 2016

Worldwide Presence across Multiple Markets Addressing all Clients

2Q 2016 Results42

Europe / Russia / Central Asia

55%

Africa16%

Americas17%

Asia Pacific9%

Middle East3%

Others1%

Refining / Heavy Oil / Petrochems

13%

Gas / LNGL / FLNG36%

Shallow Water*

25%

Deepwater >1,000 meters*

25%

As of June 30, 2016

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(1) Backlog as of June 30, 2016. Long term charters not included, reflects the new application of IFRS 10, 11 & 12

Pursue a Balance of Contract Sizes(1)

2Q 2016 Results43

Subsea Onshore & Offshore

§ €7.7 billion backlog

§ Largest projects:§ Yamal LNG, Russia§ Umm Lulu offshore facilities, UAE

§ 7 projects in €100 - 300 million§ Martin Linge platform, Norway§ Duslo ammonia plant, Slovakia§ Sasol ethane cracker EPCm, USA§ Unipetrol polyethylene plant, Czech

Republic§ Juniper field, Trinidad & Tobago

§ 22 projects in €10 - 100 million§ CHS hydrogen plant, USA§ Phu My ammonia plant, Vietnam

§ €5.9 billion backlog

§ Largest projects:§ Kaombo, Angola§ Jangkrik, Indonesia§ Moho Nord, Congo§ Bahr Essalam, Mediterranean Sea

§ 9 projects in €100 - 300 million§ Edradour, Scotland § Mariscal Sucre Dragon APS, Venezuela§ Block 15/06, Angola§ Lula Alto, Brazil§ Prelude FLNG, Australia

§ ~45 projects in €10 - 100 million§ T.E.N., Ghana§ Quad 204, UK

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March 31, June 30,2016 2016

Fixed Assets 6,394.2 6,363.8

Construction Contracts – Amounts in Assets 699.1 647.8

Other Assets 3,904.2 4,127.4

Cash & Cash Equivalents 4,319.5 4,495.0

Total Assets 15,317.0 15,634.0

Shareholders’ Equity 4,656.0 4,723.8

Construction Contracts – Amounts in Liabilities 2,020.6 2,036.0

Financial Debts 2,332.6 2,303.5

Other Liabilities 6,307.8 6,570.7

Total Shareholders’ Equity & Liabilities 15,317.0 15,634.0

€ million

Adjusted Consolidated Statement of Financial Position

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Technip: Long Term Partner(1)

§ Sasol Front-end engineering services for future Sasol GTL projects

§ Air Products 20-year milestone of the longest and most productive global hydrogen alliance supporting the oil and gas industry

§ ExxonMobilCreation of a JV. Badger Licensing LLC to offer technology in the area of phenolics to produce cumene and bisphenol-A (BPA) and in the area of styrenics to produce ethylbenzene and styrene

§ MMHELong-term strategic collaboration to work jointly on onshore and offshore projects, designing and building offshore platforms, exchanging expertise and developing technology

§ COOECCombines the know-how, technical resources, complementary assets, commercial and financial capabilities of both companies to target deepwater EPCI SURF projects in China

§ HQCTwo joint ventures to improve access to the European and Chinese procurement markets

§ HeeremaAlliance through combination of unique assets and engineering resources to help clients best address the fast growing subsea ultra-deepwater market

§ ShellAgreement to enhance collaboration on the design, engineering, procurement, construction and installation of future FLNG facilities

§ BP Long-standing agreement in the purified terephthalic acid domain. Also the exclusive provider of the Inside Battery Limit FEED to BP for third-party licensing

(1) Multitude of other partnerships and alliances apart from the ones listed above

§ FMC TechnologiesAgreement to form an exclusive alliance and to launch Forsys Subsea, a 50/50 joint venture that will unite the skills and capabilities of two subsea industry leaders

§ SerimaxA strategic partnership to invest in joint R&D programs and innovative reel-lay welding solutions to meet the growing technical challenges of projects

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§ 1st office founded in 1995§ Engineering & project management centers§ Spoolbase: Dande, Angola

§ Umbilical manufacturing plant: Angoflex, Lobito, Angola

§ Strong national content§ Ultra-deep water projects requiring technical innovation

Assets & Activities

§ GirRI Phase 1 and 2, Angola§ Egina flexible pipe supply, Nigeria§ Moho Nord, Congo§ T.E.N., Ghana§ Block 15/06, Angola§ Kaombo, Angola§ Bahr Essalam, Mediterranean Sea

Key Projects

Dande spoolbase, Angola

Angoflex, Lobito

Accra Lagos

Dande

LuandaAngoflex: LobitoOperating centers

Spoolbase

Umbilicals Plant

Technip in Africa

As of June 30, 201646 2Q 2016 Results

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Perth

Bangkok

Shanghai

Singapore

Jakarta

BalikpapanBatam

New Delhi

Mumbai

Chennai

Seoul

Rayong

Ho Chi Minh City

AsiaflexProducts:

Tanjung Langsat

Kuala Lumpur

§ Founded in 1982§ Successful partnerships and alliances with COOEC, HQC & MMHE§ Engineering & project management centers§ Flexible/umbilical manufacturing plant: Asiaflex, Tanjung Langsat,

Malaysia, 1st and only one in Asia§ Logistic base: Batam, Indonesia§ Fabrication yard: MHB(1), Malaysia, with solid platform track record§ Vessels: G1201(2), Deep Orient

Assets & Activities

(1) MHB: Malaysia Marine and Heavy Engineering Holdings Berhad of which Technip holds 8.5%(2) Operating partly in Asia Pacific

§ Prelude FLNG, Australia § Wheatstone, Australia§ Block SK 316, Malaysia§ Jangkrik, Indonesia§ RAPID, Malaysia§ Bangka, Indonesia§ Phu My Ammonia plant, Vietnam§ Layang, Malaysia§ Petronas FLNG Satu, Malaysia§ SP Olefins Ethylene plant, China

Key Projects

Prelude FLNG, Australia

Regional Headquarters

Logistic Base

Umbilicals plant

Operating centers

Flexible Pipe Plants

Asiaflex, Malaysia

Technip in Asia Pacific

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Abu Dhabi, UAE

Al-KhobarDoha

Abu Dhabi

Kuwait

§ Halobutyl elastomer plant, Saudi Arabia

§ Umm Lulu package 2, UAE

§ FMB platforms, Qatar

§ Nasr Phase II Full Field Development, UAE

§ Basra Refinery Upgrading Project, Iraq

§ STAR Reformer Supply, Turkey

§ Saudi Kayan Petrochemical Complex, Saudi Arabia

Key Projects

§ Founded in 1984§ Engineering & project management centers§ Wide range of services: from conceptual and

feasibility studies to lump-sum turnkey projects

§ Construction methods center & supervision hub

Assets & Activities

Operating centers

Technip in Middle East

Yemen LNG, Yemen

ADMA-OPCO, UAE

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§ Sasol ethane cracker, Louisiana, USA

§ CPChem, Polyethylene Plants, Texas, USA

§ Juniper, Trinidad and Tobago

§ Blind Faith 2, US Gulf of Mexico

§ Odd Job Deepwater Project, US Gulf of Mexico

§ CHS Laurel Hydrogen Plant, Montana, USA

§ South Santa Cruz and Barataria, US Gulf of Mexico

§ Air Products Hydrogen plant, Baytown, USA

Key Projects BostonWeymouth

Calgary

Claremont

Mexico City Ciudad delCarmen

HoustonMobileTechnip Umbilicals Inc

Regional Headquarters

Spoolbase

Umbilicals plant

Operating centers

Lucius Spar, US Gulf of Mexico

Mobile spoolbase, Alabama

Technip Umbilicals plant, Texas

(1) Including Canada

Technip in North America(1)

§ Founded in 1971§ Engineering & project management centers with

Subsea, and Onshore/Offshore capabilities§ Spoolbase§Mobile, Alabama

§ Umbilicals plant §Technip Umbilicals Inc, Channelview, Texas

§ Vessels: Deep Blue

Assets & Activities

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Spoolbases

Construction yard

Umbilicals plant

§ Åsgard Subsea Compression, Norway

§ Edradour & Glenlivet, Scotland

§ Kraken, Scotland

§ Valdemar & Roar Gas Lift, Denmark

§ Quad 204, Scotland

§ Johan Sverdrup & Oseberg Vestflanken, Norway

Key Projects

§ 1st office founded in 1978§ Engineering & project management centers§ Spoolbases§ Orkanger, Norway§ Evanton, Scotland

§ Steel tube/thermoplastic umbilical plant § Technip Umbilicals Ltd, Newcastle, UK

§ Yard: Pori, Finland, specialized in Spar platforms fabrication

§ Vessels:

Assets & Activities

Apache II Deep Arctic Deep EnergyRegional HeadquarterOperating centers

St. John’s

Evanton

London

Pori

Oslo

Orkanger

Stavanger

Milton Keynes

AberdeenTechnip Umbilicals Ltd: Newcastle

Technip in North Sea Canada

Spoolbases

Evanton spoolbase, Scotland Newcastle plant, UK

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§ Flexible pipe supply for ultra-deep pre-salt developments: Sapinhoá & Lula Nordeste, Iracema Sul, Sapinhoá Norte & I5, IracemaNorte, Lula Alto, Libra EWT(2)

Key Projects

(1) including four under construction & four Brazilian-flagged(2) Extended well test

Flexibras:Vitória

Flexibras:Açu

MacaéPort of Angra

Rio de Janeiro

Regional Headquarters

Port and Logistic bases

Manufacturing plants (flexible pipelines)

Flexibras, Brazil

Açu, Brazil

Technip in Brazil

~40 years

Skandi Vitoria, Brazil

51 As of June 30, 2016

§ Founded in 1977§ Exceeds national content requirements§ Operational discipline§ Flexible supply expertise§ Wide range of assets: § High-end manufacturing plants: Vitória and

Açu (world’s most technologically advanced plant)

§ 9 Flexible Pipelay vessels (PLSVs) on long-term charters(1)

§ Commitment to R&D: taking pre-salt development further

§ Vertical integration: providing supply chain & logistic solutions

Assets & Activities

2Q 2016 Results

BAVIT

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52

Shareholding Structure, May 2016 (November 2015)

Listed on Euronext Paris

North America27.3% / (37.3%)

Treasury Shares0.6% / (0.7%)

Employees2.8% / (1.7%)

IFP Energies Nouvelles2.3% / (2.4%)

Rest of World*19.0% / (19.0%)

French Institutional Investors10.4% / (9.5%)

Individual Shareholders7.2% / (9.1%)

Others12.3% / (4.7%)

UK & Ireland13.0% / (10.4%)

BPI5.0% / (5.3%)

Source: Nasdaq, Shareholder Analysis, May 2016

* Andorra, Australia, Austria, Bahrain, Belgium, China, Croatia, Cyprus, Denmark, Finland, Germany, Greece, Hong Kong SAR, Ireland, Italy, Japan, Korea, Rep. (South), Kuwait, Liechtenstein, Luxembourg, Malaysia, Monaco, Netherlands, Norway, Portugal, Saudi Arabia, Singapore, Slovenia, South Africa, Spain, Sweden, Switzerland, Taiwan and United Arab Emirates

2Q 2016 Results2Q 2016 Results

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Bloomberg: TEC FP Reuters: TECF.PA SEDOL: 4874160

OTC ADR ISIN: US8785462099OTCQX: TKPPY

Convertible Bonds:OCEANE 2011 ISIN: FR0011163864

ISIN: FR0000131708

Technip’s Share Information

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§ Bloomberg ticker: TKPPY§ CUSIP: 878546209 § OTC ADR ISIN: US8785462099§ ADR ratio: 1 ORD: 4 ADRs

§ Depositary bank: § Citibank Shareholder Services

§ Depositary bank contacts:§ ADR broker helpline:

§ London: +44 207 547 [email protected]

§ New York: +1 212 723 4483 [email protected]

§ ADR website: https://www.citiadr.idmanagedsolutions.com/stocks§ Depositary bank’s local custodian: Citibank International Limited

§ Technip has a sponsored Level 1 ADR

54 2Q 2016 Results