Aemetis, Inc · NASDAQ:AMTX
Aemetis — Investor Presentation (February 2023)
44 slides from Aemetis's investor presentation, Feb 10, 2023
Slide 1: Aemetis, Inc. (NASDAQ: AMTX)
Aemetis, Inc. (NASDAQ: AMTX) Leading the Production of Below Zero Carbon Intensity Renewable Natural Gas and Renewable Fuels For Airplanes, Trucks, Cars and Electric Vehicles February 10, 2023
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements, including statements regarding our assumptions, projections, expectations, targets, intentions or beliefs about future events or other statements that are not historical facts. Forward-looking statements in this presentation include,
Slide 3: Aemetis at a Glance
Aemetis at a Glance | An integrated energy transition platform Key Highlights ~$400mm market cap (NASDAQ: AMTx) Delta /American /Japan /airlines offtake $3.8 billion of Sustainable Aviation Fuel $1.2 billion of projects in development 2 operating biofuel plants (115 mgy) (planned SAF/RD biofuel plan
Slide 4: Third Generation Technology to Reverse Climate Change
Third Generation Technology to Reverse Climate Change 1st Generation Renewable Energy = Use the Sun’s energy Solar, Wind, Hydro and Nuclear do not absorb carbon from the atmosphere. These energy sources are slowing the rate of heating the Earth as coal and natural gas plants continue to operate glob
Slide 5: Federal: RFS Below Zero Carbon Intensity Market Opportunity
Federal: RFS Below Zero Carbon Intensity Market Opportunity Federal and California low carbon renewable fuel standards require oil refiners and other obligated parties to blend increasing amounts of renewable fuels into transportation fuel sold in the United States. Renewable fuels with “below z
Slide 6: State: California LCFS Below Zero Carbon Intensity Market Opportunity
State: California LCFS Below Zero Carbon Intensity Market Opportunity The 2007 Federal Energy Independence and Security Act states military, economic and environmental reasons for increasing renewable fuels to 36 billion gallons per year in the US. By 2024 when mandates are updated, the Californ
Slide 7: Highly Experienced Management and Board of Directors
Highly Experienced Management and Board of Directors Eric McAfee - Chairman of the Board and CEO Founder of Aemetis (NASDAQ: AMTX) and co-founder of $1.6 billion revenues Pacific Ethanol (Now NASDAQ: ALTO) Founding shareholder of oil production company Evolution Petroleum (NYSE: EPM) Founded e
Slide 8: Aemetis Circular Bioeconomy
Aemetis Circular Bioeconomy 8
Slide 9: Aemetis Expansion Plan Projections
Aemetis Expansion Plan Projections 2023 2024 2025 2026 2027 Total Dairy Renewable WCE 27,116 57,378 86,607 108,751 127,942 dRNG Production Volume 301,923 660,050 1,011,051 1,287,615 1,524,208 (MMBtu/Year) dRNG Sales Volume 22,184 586,629 1,017,651 1,378,167 1,567,927 (MMBtu/Year) India Biodiesel 26,
Slide 10: Aemetis Projected Revenue Growth by Business Unit
Aemetis Projected Revenue Growth by Business Unit 1. The information on this slide constitutes forward-looking statements. All projections are subject to change and based upon current expectations. 10
Slide 11: Aemetis Projected EBITDA Growth by Business Unit
Aemetis Projected EBITDA Growth by Business Unit 1. The information on this slide constitutes forward-looking statements. All projections are subject to change and based upon current expectations. 11
Slide 12: Revenue and Adjusted EBITDA Growth Plan
Revenue and Adjusted EBITDA Growth Plan Projected Consolidated Revenues and Adjusted EBITDA 1 1. The information on this slide constitutes forward-looking statements. All Revenues, Net Income, and Adjusted EBITDA projections are subject to change and based upon current expectations. 2. Adjusted EBIT
Slide 13: Net Income to EBITDA Reconciliation
Net Income to EBITDA Reconciliation Projected Consolidated Net Income to Adjusted EBITDA Reconciliation 1 1. The information on this slide constitutes forward-looking statements. All Revenues, Net Income, and Adjusted EBITDA projections are subject to change and based upon current expectations. 13
Slide 14: Aemetis Projected CAPEX and Monetized Tax Credits
Aemetis Projected CAPEX and Monetized Tax Credits IRA Tax Credits (in millions) 2023 2024 2025 2026 2027 California Ethanol 4.6 5.6 6.4 6.4 6.4 India Biodiesel & Glycerin - - - - - Dairy Renewable Natural Gas 37.7 18.7 98.2 123.3 132.1 Renewable Diesel/Sustainable Aviation Fuel - - 48.3 95.7 95.7 Ca
Slide 15: Aemetis Low Carbon Ethanol
Aemetis Low Carbon Ethanol: High octane, high oxygen, clean fuel for gasoline blending, aviation, trucking and ethanol fuel cell electric vehicles 15
Slide 16: Plan for Revenue and Earnings Growth: California Ethanol Plant
Plan for Revenue and Earnings Growth: California Ethanol Plant Ethanol Plant Upgrades To Reduce Carbon Intensity ZEBREXTM Mitsubishi ceramic membrane Solar Array with Battery Zero carbon dehydration system reduces petro natural gas Storage (2022) electricity use by 20% and replaces with electricity
Slide 17: Aemetis Biogas
Aemetis Biogas: Carbon Intensity Dairy Renewable Natural Gas for Trucks, Buses and Electric Vehicles 17
Slide 18: Plan for Revenue and Earnings Growth: Below Zero CI Dairy RNG Project
Plan for Revenue and Earnings Growth: Below Zero CI Dairy RNG Project1 Aemetis Dairy RNG Digesters, Pipeline, Gas Cleanup and Utility Interconnection Project Constructing biomethane digesters at dairies connected by pipeline to a gas cleanup and compression facility at existing Aemetis ethanol plant
Slide 19: Aemetis Biogas LLC – Dairy RNG Project Overview
Aemetis Biogas LLC – Dairy RNG Project Overview 30 Dairies Signed with 35 Year Leases or LOI’s Phase 1 - Completed • Anaerobic Digesters Capture Dairy Methane Gas; Pretreatment Units Remove Hydrogen Sulfide (H2S) Prior to Biogas Pipeline Injection 6 In Service Q1 2023 Phase 2 • 40 Mile Biogas Pressu
Slide 20: Sustainable Advantage in Below Zero Carbon Intensity Dairy RNG
Sustainable Advantage in Below Zero Carbon Intensity Dairy RNG Aemetis has established a significant competitive advantage with -426 CI dairy Renewable Natural Gas in CA − California passed Senate Bill 1383 to cause dairies to capture methane from dairy waste lagoons or buy LCFS credits to offset
Slide 21: Plan for Revenue and Earnings Growth: Below Zero CI Dairy RNG Project
Plan for Revenue and Earnings Growth: Below Zero CI Dairy RNG Project Dairy RNG Project Funding Plan Automatically-redeemed preferred equity for $30 million (funded under 2019 financing) $23 million of California grants awarded for digesters, gas cleanup and interconnect to utility pipeline Gr
Slide 22: Dairy Digester Biogas-to-RNG Process
Dairy Digester Biogas-to-RNG Process WATER REUSED FOR FLUSH / IRRIGATION WW STORAGE POND FLUSH LANES MANURE SCREEN SEPARATOR SAND LANE EFFLUENT RETURNED TO DAIRY BIOGAS UPGRADING BIOGAS PRETREATMENT SKID LAGOON DIGESTER FACILTY / UTILITY INTERCONNECTION 22
Slide 23: Biogas-to-RNG Plant Overview
Biogas-to-RNG Plant Overview Aemetis Central Dairy Digester Project produces biogas from manure feedstock from local dairies RNG Production by 2027 is scheduled to be more than 1.65 million MMBTU/year Estimated Carbon Intensity of –400 gCO2e/MJ 500+ LCFS credits generated from CARB Low Carbo
Slide 24: Aemetis Biogas-to-RNG Plant and PG&E Gas Pipeline Interconnect
Aemetis Biogas-to-RNG Plant and PG&E Gas Pipeline Interconnect 24
Slide 25: Aemetis “Carbon Zero” Renewable Fuels Plants
Aemetis “Carbon Zero” Renewable Fuels Plants: Renewable Jet/Diesel Fuel Produced with Carbon Sequestration and Zero Carbon Intensity Electricity 25
Slide 26: Riverbank, California Site
Riverbank, California Site Acquisition agreement for the 125-acre Riverbank Industrial Complex site was signed by Aemetis in December 2021 Former U.S. Army Ammunition Plant 125 acres of industrial and commercial land 710,000 s.f. of existing buildings Onsite railroad with 120 railcar stora
Slide 27: Sustainable Aviation Fuel and RD Plant - Riverbank, California Site
Sustainable Aviation Fuel and RD Plant - Riverbank, California Site 27
Slide 28: “Carbon Zero” Renewable Jet/Diesel Plants with Carbon Sequestration
“Carbon Zero” Renewable Jet/Diesel Plants with Carbon Sequestration Feedstock HydroFlex™ Renewable Fuels Non-Edible Oils (<35CI Score) Proven Renewable Technology • Distillers Corn Oil • Hydroprocessing • Tallow • Paraffin Isomerization Renewable SAF • Camelina/Carinata • Hydrocracking Renewable Die
Slide 29: Millions of Tons of Local Below Zero Carbon Intensity Hydrogen Feedstock
Millions of Tons of Local Below Zero Carbon Intensity Hydrogen Feedstock Biomass-to-Energy Plants Closing in California Biomass-to-Energy plants decreased from 33 plants to 5 plants Unable to compete with subsidized solar and wind energy More than 1.5 million acres of Almonds/Walnuts in Californ
Slide 30: Study Conclusions
UC Davis Feedstock Study Results Study Conclusions • Confirmed air emissions assumptions for carbon intensity score under LCFS • Confirmed biomass growth and availability • Projected feedstock pricing • 20-year guaranteed supply due to lifecycle of trees 30
Slide 31: Below Zero Carbon Intensity Feedstock Supply
Below Zero Carbon Intensity Feedstock Supply Negative carbon intensity feedstock supply of orchard waste wood in Central California Trucks moving waste wood are scheduled to use negative 426 carbon intensity, dairy Renewable Natural Gas from Aemetis Biogas project at low cost to trucking operato
Slide 32: Aemetis Carbon Capture
Aemetis Carbon Capture: Carbon Capture & Underground Sequestration (CSS) of CO2 for Renewable Fuels Plants and Other CO2 Sources in California 32
Slide 33: Aemetis Carbon Capture and Sequestration Projects in California
Aemetis Carbon Capture and Sequestration Projects in California Formerly an inland ocean now known as the Central Valley of California − Light green area shows shale geological storage containing saline water for CCS − Shale caprock layer at approximately 7,000 ft depth and basement layer below CO
Slide 34: Access to Permanent Geological Storage
Access to Permanent Geological Storage 34
Slide 35: Saline Storage Formations
Saline Storage Formations 35
Slide 36: Ethanol Plants are Largest Reduction in Costs = Highest Value CCS Projects
Ethanol Plants are Largest Reduction in Costs = Highest Value CCS Projects 36
Slide 37: Emission Comparison and Capture Cost
Emission Comparison and Capture Cost • Decreased Capture Cost with Pre- existing On Site CO2 Compression system • Inverse relationship between plant emissions and storage capability • Highest Emitters lack the geological positioning • Aemetis has ability to receive CO2 by rail and inject into well 3
Slide 38: Proximity to Other CO2 Sources
Proximity to Other CO2 Sources • The Aemetis CO2 Storage sites are located 90 miles directly east of 5 major oil refineries in the San Francisco Bay Area • Each SF Bay Area refinery emits approximately 800,0000 to 2,000,000 MT of CO2 per year • Total of ~ 5,000,000 MT of CO2 capture and storage need
Slide 39: Riverbank CO2 Unloading, Compression and Sequestration Site
Riverbank CO2 Unloading, Compression and Sequestration Site • Gaseous CO2 from SAF/RD plant (gas, 200KTY) • Liquid CO2 using RNG trucks sourced from other producers (800KTY) • Rail and Truck CO2 Unloading Facilities • CO2 Injection and Observation wells on- site • Control Room onsite 39
Slide 40: Aemetis Carbon Capture & Sequestration Project Leaders
Aemetis Carbon Capture & Sequestration Project Leaders Baker Hughes: Underground Engineering and Well Drilling • Leading natural gas and crude oil drilling company • $20 billion market value • Operates in 120+ countries • CCUS Technology Solutions include: • Pre-FEED and FEED consultation and projec
Slide 41: Riverbank CCS Project Milestones and Expected Timeline
Riverbank CCS Project Milestones and Expected Timeline: Characterization Well Permit • Access road and well pad complete • CalGEM permit (for characterization well) is expected Q1 2023 • All City permits complete Data Collection from Characterization Well • Drill 21-30 days to collect core sampl
Slide 42: Aemetis International
Aemetis International: India Distilled Biodiesel, Refined Glycerin and Refined Tallow Plant 42
Slide 43: 50 mgy Biodiesel/Glycerin/Tallow Refining Plant in Kakinada, India
50 mgy Biodiesel/Glycerin/Tallow Refining Plant in Kakinada, India India government oil marketing companies have adopted a cost-plus purchasing formula, significantly increasing the India market for biodiesel. 43
Slide 44: Aemetis, Inc. (NASDAQ: AMTX)
Aemetis, Inc. (NASDAQ: AMTX) Eric McAfee, Chairman/CEO eric.mcafee@aemetis.com