Petronas Chemicals Group Bhd. · MYX:PCHEM
Petronas Chemicals Group Bhd — Shareholder Meeting (April 2022)
31 slides from Petronas Chemicals Group Bhd's shareholder meeting presentation, Apr 21, 2022
Slide 1: PETRONAS Chemicals Group Berhad Annual General Meeting
PETRONAS j, PETRONAS Chemicals Group Berhad i e4'Annual General “ eas : 2 Sustainability at the core Ms \ 21 April 2022 oO
Slide 2: Presentation Outline
Presentation Outline @ Business Environment @ 2021 A Record-Breaking Year ® 2022 Outlook
Slide 3: Business Environment
Business Environment
Slide 4: Global economy rebound
Global economy rebound GDP Growth Rate (% change) ASEAN-5 55 2017 2018 2019 Note: ASEAN-5 refers to Indonesia, Malaysia, the Philippines, Singapore, and Thailand Source: IMF
Slide 5: Brent Crude Oil and Petrochemical Prices
Brent Crude Oil and Petrochemical Prices Brent Crude Oil (USD/bb) 54 . Ethylene (USD/MT) 4 ggg Methanol (USD/MT) 337 Urea (USD/MT) 237 oe 2017 2018 Source: Platts, ICIS, IHS, Profercy, CRU, Argus
Slide 6: 2021 A Record-Breaking Year
2021 _A Record-Breaking Year
Slide 7: Sustainability at the Core of our business
Sustainability at the Core of our business Economic Environmental | Soci | Business Sustenance & Environment Stewardship & Social Green Initiatives Resource Efficiency Responsibility OE HSE & Operational Excellence co. GHG Emission Reduction Managing Human Rights Risk Energy Optimisation GE Growth D
Slide 8: Sustainability at the Core of our business
Sustainability at the Core of our business Business Sustenance & Green Initiatives OE HSE & Operational Excellence or Commercial Excellence GE Growth Delivery Excellence
Slide 9: HSE Excellence: Better than industry benchmark
HSE Excellence: Better than industry benchmark Safety Performance (Lost Time Injury Frequency) 0.06 2011 2012 2013 2014 2015 2017. 2018 2019 2020 2021
Slide 10: Plant Utilisation
Plant Utilisation 92% 92% 92% 94% 93% 90% World Class Production Volume (million tpa) 10.2) 104) 10.4) 10.7 9.2 | 85 78\ | 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Slide 11: Commercial Excellence: Exceed customer satisfaction
Commercial Excellence: Exceed customer satisfaction Order Fulfillment Reliability The decrease in 2021 is 97% due to a global shipping container shortage 87% 90% Industry Benchmark 2016 2017 2018 2019 2020 Customer Satisfaction Performance (score by customers) Business Sales Technical Support Produc
Slide 12: Commercial Excellence: Delivered new innovative products
Commercial Excellence: Delivered 16 new innovative products Ez & @ Ultra-High Purity Methanol (UHPM) For fuel cell applications in line with market demand for clean energy (2} Paddy Smart Farming with Blue Urea (AGRENAS — Stablilized Nitrogen Fertilizer) Smart farming solutions to improve paddy yiel
Slide 13: Growth Delivery Excellence: Future-proofing the business
Growth Delivery Excellence: Future-proofing the business 2-Pronged strategy Basic Petchem Specialty | Derivatives Chemicals we oS PCG Ma: g | Expanding Cash Core aa Generator Business 1. Sustain strength in basic petrochemicals 2. Selectively diversify into derivatives, specialty chemicals and solut
Slide 14: Pengerang Integrated Complex, Ethoxylates Plant, Nitrile Butadiene Latex Plant, Methanol Distribution
Pengerang Integrated Specialty Ethoxylates Plant* Nitrile Butadiene Latex Methanol Distribution in Complex Starting Up in Kertih Plant* in Pengerang Indonesia Note: *Sanctioned projects in execution
Slide 15: Growth Delivery Excellence: M&A - Strengthening specialty platform
Growth Delivery Excellence: M&A - Strengthening specialty platform Build Specialty Platform (M&A) 1st Platform : Silicone Next Platform >100 Segments and markets 3 Strategic Identified direction targets New Silicone Blending BRB Lube oil Additives and Facility in Pahang Chemical facilities
Slide 16: First drop of Bio-MEG; Specialty chemicals technology centre
First drop of Bio-Monoethylene Glycol Specialty chemicals technology centre (Bio-MEG)
Slide 17: Sustainability at the Core of our business
Sustainability at the Core of our business Environmental Environment Stewardship & Resource Efficiency (€0,) GHG Emission Reduction Energy Optimisation Waste Minimisation Water Conservation New Plastics Economy (NPE)
Slide 18: GHG emissions reduction efforts
é& ‘O24 | and Scope 2 ae emissions reduction efforts Bn) Increase Scope 1 Cc PCG baseline emissions Carbon capture & storage Scale up renewables and low carbon solutions Optimise the use of forest-based carbon offset
Slide 19: Energy, Waste & Water: Efficient resource utilisation
Energy, Waste & Water: Efficient resource utilisation Energy Intensity Hazardous Waste Reduction Generation 11% (is from baseline 2014 Freshwater Withdrawal Wastewater Discharge jes Intensity Intensity ~ tonne/kilotonne
Slide 20: New Plastics Economy: Fronting Circular Economy Initiatives
New Plastics Economy: Fronting Circular Economy Initiatives 5 ¢ 7 sae w 7] Plastic Waste To Circular Naphtha Recycling Plant Completed Detailed Feasibility Study Signed Memorandum of Understanding with waste management companies Completed process trial to convert plastic waste to naphtha at Melaka R
Slide 21: Sustainability at the Core of our business
Sustainability at the Core of our business Responsibility Managing Human Rights Risk Community Well-Being NPE Education and Clean Up
Slide 22: Managing Human Rights: Upholding our commitments
Managing Human Rights: Upholding our commitments Diversity & Inclusion Vaccine Administration ° Centre for employees’ >2 0) % vaccination Female Board Members & Senior Management Social Risk 100% « Assessment identified contractors attended PETRONAS Contractors Code of Conduct on Human Rights (CoCHR
Slide 23: Community Well-Being: Enriching lives
Community Well-Being: Enriching lives COVID 19 Relief Packages |~ Corporate social responsibility initiatives reach ~295,000 peone Y Plastic, Sustainability and You Education (PSYE) ecoCare Be Green Safe Handling of Chemicals at School (SHOC4School) , Our COVID-19 efforts helped > 18,000 community m
Slide 24: Sustainability at the Core of our business
Sustainability at the Core of our business (Chaim nce oO @ FTSE4Good and Dow Jones Sustainability Index (DJSI) benchmarking
Slide 25: DJSI: Global Top Ranking
DJSI: Global Top 10 Ranking @- Dow Jones Sustainability Indexes (DJS!) TOP 10 COMPANIES DJSI WORLD CHEMICALS INDUSTRY FTSE4GOOD BURSA MALAYSIA INDEX TOP QUARTILE Highest rating 4 stars KIAK
Slide 26: Record-breaking financial performance
Record-breaking financial performance O&D Price (USD/MT) F&M Price (USD/MT) EBITDA & PAT (RM billion) 2019 @EBITDA mPAT
Slide 27: Highest dividend payout
Highest dividend payout Dividend Payout Ratio (% PATANCI) Dividend Payout (RM billion) FY2021 Dividend (per ordinary share) a 2018 2019 2020 2021
Slide 28: 2022 Outlook
2022 Outlook
Slide 29: Global economy strengthen but remain uncertain
Global economy strengthen but remain uncertain Brent Crude Oil and Petrochemical Prices Brent Crude Oil (USD/bb)) Ethylene (USD/MT) Methanol (USD/MT) Urea (USD/MT) Q12021 Q2 2021 Q3 2021 Q4 2021 YTD Mar 2022 Source: Platts, ICIS, IHS, Profercy, CRU, Argus
Slide 30: Key Priorities for 2022
Key Priorities for 2022 conomic nvironmental Business Sustenance & Green Initiatives Sustain HSE Excellence Maximise value from Operational Excellence & Commercial Excellence Continue cost optimization Invest in low carbon emissions growth projects Environment Stewardship & Resource Efficiency = Exe
Slide 31: Thank you
PETRONAS Chemicals Group Berhad — Shareholder Meeting (April 2022) on 6ix