Pbf Energy Inc. · NYSE:PBF
Pbf Energy — Merger or Acquisition (October 2015)
14 slides from Pbf Energy's merger presentation, Oct 1, 2015
Slide 1: Acquisition of ExxonMobil's Torrance Refinery
PBF Energy (NYSE: PBF) Acquisition of ExxonMobil’s Torrance Refinery October 1, 2015
Slide 2: Safe Harbor Statement
2 Safe Harbor Statement Statements in this presentation relating to future plans, results, performance, expectations, achievements and the like are considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements inc
Slide 3: Acquisition Highlights
3 Acquisition Highlights Further demonstrates PBF’s growth and diversification strategies Announced acquisitions of Torrance and Chalmette refineries represent 60% increase in refining capacity above current levels Provides geographic diversification into PADD 5 Immediately accretive to earn
Slide 4: Transaction Overview
4 Transaction Overview Assets to be acquired include: 155,000 bpd Torrance Refinery, Nelson Complexity Index 14.9 High-conversion refinery with the ability to process low API, high TAN and high Sulfur crudes Multiple crude and product pipelines Two product terminals ~8.6 million barrel s
Slide 5: Financial Overview
5 Financial Overview $537.5 million purchase price for Torrance Refinery and associated logistics assets Purchase funded with a combination of cash, debt and equity Net working capital of approximately $200 million, based on $50 per barrel crude oil Immediately accretive transaction Expect
Slide 6: PBF's Growing Logistics Drop-Down Inventory
6 PBF’s Growing Logistics Drop-Down Inventory Addition of Torrance related logistics assets increases drop-down EBITDA inventory by more than $50 million to $280 million Backlog increase bolsters 15% distribution growth CAGR for PBF Logistics Asset Service Description M-1, M-55 and M-70 Pipeline
Slide 7: Attractive Purchase Price
7 Attractive Purchase Price $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 R e fi n e ry Co st , $ /Com p le x it y -B a rr e l Denotes PBF Refinery
Slide 8: PBF's Expected EBITDA Growth
8 PBF’s Expected EBITDA Growth Chalmette Assumptions(3) Benchmark Crack ~LLS 3/2/1 @ $11 per barrel Reference Crude Differential ~$3.50 per barrel under LLS Throughput ~150,000 – 170,000 bpd ___________________________ 1) Adjusted 2016 consensus research estimates as of 6/30/15 excluding Chalmette R
Slide 9: PBF's Growing Industry Position
9 PBF’s Growing Industry Position 2,540 2,231 1,644 917 884 443 210 185 151 140 74 VLO PSX MPC TSO PBF* HFC ALJ CVI WNR DK NTI Total Throughput Capacity (kbpd) Weighted Average Nelson Complexity: 12.4 11.0 11.7 10.2 12.2 12.1 11.5 9.5 9.5 8.5 11.5 High-quality, diversified asset base with a weight
Slide 10: PBF's Diversified and Growing Refining System
10 PBF’s Diversified and Growing Refining System ___________________________ 1. Assuming successful close of the announced transactions to acquire Chalmette Refining, LLC and the Torrance Refinery Paulsboro Toledo Chalmette Torrance 884,000 barrels per day of throughput capacity in four PADDs(1) PAD
Slide 11: Appendix
Appendix
Slide 12: EBITDA Reconciliation and Non-GAAP Financial Measures
12 $ in millions (except where noted) PBF Energy Base Case Consensus Estimate Chalmette Projected Torrance Projected Pro Forma PBF Energy Net Income $320 $126 $195 $641 Add: Depreciation and amortization expense 200 15 30 245 Add: Interest expense 105 35 25 165 Add: Income tax expense @ 40% rate 225
Slide 13: Torrance Aerial
13 Torrance Aerial Valero St. Charles Motiva Norco Motiva Convent Motiva Convent Marathon Garyville Motiva Convent Valero St. Charles Motiva Norco Phillips 66 Alliance
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