Slide 1: Corporate Presentation
CORPORATE PRESENTATION 2nd Quarter, 2021 August 10th, 2021
Slide 2: Forward Looking Information
FORWARD LOOKING INFORMATION 2 Cautionary Statement Regarding Forward-Looking Information Certain statements in this presentation may constitute "forward-looking information" or "forward-looking statements" which involve known and unknown risks, uncertainties and other factors which may cause the act
Slide 3: Operations and Finance in Brief
OPERATIONS AND FINANCE IN BRIEF 3 • A public forestry company operating a sawmill complex and biomass power plant in Mackenzie, BC. • As at June 30, 2021, we reported: o Unrestricted cash balances of $35.8 million o An ABL facility with $10 million of undrawn availability primarily supported by inve
Slide 4: Power Generation
POWER GENERATION 4 • Capacity is in excess of 230 gigawatt hours (GWh) of electricity per year, of which 200 GWh is sold under a fixed price contract to BC Hydro and 30 GWh is for internal consumption. • Electricity purchase agreement (EPA) and a related load displacement agreement (LDA) have been e
Slide 5: Lumber Manufacturing
LUMBER MANUFACTURING 5 • Operate a two-line sawmill complex equipped to handle large- and small-diameter logs with approximately 240 million board feet of lumber capacity on a two-shift annual basis. • Our main products are spruce, pine, fir (SPF) dimension lumber ranging in size from 2x4 to 2x10 in
Slide 6: Fibre, Residuals and People
FIBRE, RESIDUALS AND PEOPLE 6 • Our fiber sourcing includes access to a forest licence in the Mackenzie Timber Supply Area (TSA) with an allowable annual cut (AAC) of 632,500 cubic metres, and a 50% interest in a forest licence with an AAC of 300,000 cubic metres. • Fibre is the single largest input
Slide 7: Mackenzie Timber Supply Area
MACKENZIE TIMBER SUPPLY AREA 7 • Fourth largest TSA in the province, sparsely populated, situated in northeast BC, covering 6.4 million hectares. • The major tenure holders in the TSA are Canfor, BC Timber Sales, Conifex, and a company 50% owned by Conifex and Dunkley. • The largest body of water in
Slide 8: Mackenzie Timber Supply Area
MACKENZIE TIMBER SUPPLY AREA 8 • A Timber Supply Review is underway, and the Chief Forester expects to release a new AAC determination later in 2021. • We anticipate that the new AAC determination will continue to support sawlog harvest levels that exceed local sawlog consumption. • Most of the dead
Slide 9: Alignment with Stakeholder Objectives
ALIGNMENT WITH STAKEHOLDER OBJECTIVES 9 • The federal government has prioritized climate action and Indigenous peoples reconciliation. The province of BC has similar priorities. Conifex is doing its part to help governments achieve their objectives. • Since our inception as a public company, we have
Slide 10: Responsible ESG Practices
RESPONSIBLE ESG PRACTICES 10 ENVIRONMENTAL, SOCIAL & GOVERNANCE (ESG) CONSIDERATIONS https://www.conifex.com/main/sustainability/
Slide 11: Select Operating and Financial Information
SELECT OPERATING AND FINANCIAL INFORMATION 11 Continuing operations for the comparative periods primarily comprise operating results from our Mackenzie sawmill and power plant, and corporate costs.
Slide 12: Selected Financial Position Information
SELECTED FINANCIAL POSITION INFORMATION 12
Slide 13: Outlook for Second Half of 2021
OUTLOOK FOR SECOND HALF OF 2021 13 • Outlook for Power Generation o We anticipate power production will be maintained at targeted rates. • Outlook for Lumber o We anticipate an active summer logging program and increased sawlog availability will support higher production and shipments. o Unit log co
Slide 14: Conifex Leadership Team
CONIFEX LEADERSHIP TEAM 14 Ken Shields, Chairman Winny Tang, CFO Andrew McLellan, VP/GM Kristen Stinson, VP/GM & CEO Northern Operations Corporate Services For further Information, please contact: Investor Relations Communications & Public Affairs Winny Tang Kristen Stinson Chief Financial Officer V