Turkiye Petrol Rafinerileri A.s. · BIST:TUPRS
Turkiye Petrol Rafinerileri A.s — Tüpraş — Investor Presentation (2022)
20 slides from Turkiye Petrol Rafinerileri A.s's investor presentation, 2022
Slide 1: Company Presentation 2022
Company Presentation 2022 Hizmete Özel / Confidential
Slide 2: Tüpraş History
Tüpraş History • As of 2022, Tüpraş is Turkey’s biggest industrial company and leading refiner. • Tüpraş privatization is the 2nd biggest privatization in Turkey with a price tag of 4.14 bn USD. • Tüpraş completed 7.1 bn USD of investments since takeover from privatization. ~1 bn USD RUP Commission
Slide 3: Tüpraş in Numbers
Tüpraş in Numbers Turkey’s total storage Largest One of the most %57 of capacity (with OPET) 7.1 bn $ complex refiners Industrial Company In of Turkey #1 in Investments Mediterranean Among biggestChemical & petroleum Europe’s 7th exporters Over the past 16 Region products exporters years World’s 30t
Slide 4: Tüpraş Shareholder Structure
Tüpraş Shareholder Structure Tüpraş is Turkey’s biggest industrial company and leading refiner. Koç Holding Aygaz Opet Koç Holding andGroup Other Koç Other Koç 77% 20% 3% 6.82% 6.83% Energy Investments Inc. (SPV) 46.4% 79.98% 41.7% Foreign Ownership 43%1 100% Free Float2 46.78% 100% 99.23% Domestic
Slide 5: Tüpraş' Assets & Distribution Network
Tüpraş’ Assets & Distribution Network İzmit Capacity: 11.3 mn t Nelson Compl.: 14.5 Storage: 3.0 mn m3 Kırıkkale Capacity: 5.4 mn t Nelson Compl.: 6.32 Storage: 1.3 mn m3 İzmir Capacity: 11.9 mn t Nelson Compl.: 7.66 Batman Storage: 2.5 mn m3 Capacity: 1.4 mn t Nelson Compl.: 1.8 Storage: 0.3 mn m3
Slide 6: Tüpraş Subsidiaries
Tüpraş Subsidiaries OPET - Distribution Tüpraş Share: 41.7% • 1,857 stations as of 31.12.2022. • As of December 2022 Market share: 18.9% in white products; 31.4% in black products Tüpraş Trading UK - Trading Tüpraş Share: 100% Over 8 million tons of product trade More than 10 million tons of spot cr
Slide 7: Tüpraş Subsidiaries
Tüpraş Subsidiaries DİTAŞ - Marine Transport Tüpraş Share: 79.98% • 4 Crude Oil Tanker: 470,067 DWT • 7 Product Tanker: 116,533 DWT • 4 Bitumen Tanker: 61,450 DWT Körfez Ulaştırma - Railway Transport Tüpraş Share: 100% • ~5% share in Turkish rail freight market • ~2.5 mn ton of product and semi-prod
Slide 8: Tüpraş Subsidiaries
Tüpraş Subsidiaries Entek Electricity Tüpraş’s Share : %99.23 • Entek’s installed power: 492 MW • 2 WPP with 116 MW capacity , 1 CCGT with 112 MW capacity, 8 Hydro Power Plants with total capacity of 264 MW. • Entek’s sales from production was 1.2 GWh, increased by 22% year on year in 2022 • EBITDA
Slide 9: Tüpraş Subsidiaries: Entek
Tüpraş Subsidiaries Entek - Electricity (Tüpraş Share: 99.23%) Entek’s Installed Capacity Production (000 MWh) 66 17.5 MW 112 MW MW 1,600 1,550 1,500 1,542 1,450 178 1,400 1,451 28 MW 1,350 16.4 MW 1,359 MW 1,300 1,341 1,250 24.4 MW 1,200 2019 2020 2021 2022 Natural Gas Combined Cycle Hydroelectric
Slide 10: Production Flow and Yield Breakdown
Tüpraş Production Flow and Yield Breakdown • Tüpraş has 30 million tons of production capacity • Tüpraş operates 4 refineries with an integrated system optimization program Flow Diagram # of Capacity Key Units Units (m3/d) LPG LPG, 3.5% MEROX CRUDE OIL 8 99,420 Gasoline Naphtha, VACUUM DIST. 8 42,75
Slide 11: Sales
Sales • Tüpraş generated 29.5 million tons of total sales in 2022. Total Sales Customer Groups 2022 mn tons 29.8 29.2 29.5 Other 27.6 9% International 4.2 24.5 sales 6.8 6.0 5.9 Jet 21% 4.7 12% Exports Bitumen 25.6 Total Sales, 5% 22.4 21.7 23.5 Domestic Sales 19.8 2022 29.5 mn tons 2018 2019 2020 2
Slide 12: Strategy
Strategy Hizmete Özel / Confidential
Slide 13: Turkey's Transportation Energy Demand
Turkey’s Transportation Energy Demand Company Hizmete Özel / Confidential Presentation Strategy www.tupras.com.tr 13
Slide 14: Strategic Transition Plan
Strategic Transition Plan 2022-2030 2031-2035 Capex EBITDA Capex EBITDA Sustainable Refining ~60% ~90% ~30% ~70% Sustainable Aviation Fuel Zero Carbon Electricity ~40% ~10% ~70% ~30% Green Hydrogen Base Year: 2017 27% %35 Scope 1&2 Emission Reduction Sustainable & Profitable Tüpraş 2035 Average EBIT
Slide 15: Strategic Transition Plan – Investment Areas
Strategic Transition Plan – Investment Areas SUSTAINABLE REFINING ZERO CARBON ELECTRICITY Energy Efficiency and Decarbonization Projects Integrating Zero Carbon Electricity to produce Green H2 • Remain as a Major EBITDA Contributor • Ensure affordable green H2 production, capturing • Improve energy
Slide 16: Strategic Transition Plan – Emission Reduction
Strategic Transition Plan – Emission Reduction EMISSION REDUCTION SCOPE 1 & 2 BASE YEAR SCOPE 1 + 2 7.3 MN TONNES -27% -35% -49% We will invest in energy efficiency & decarbonization Projects, green hydrogen & zero carbon electricity usage in refining to reduce scope 1 & 2 emissions -100% 2017 2030
Slide 17: Strategic Transition Plan - Financials
Strategic Transition Plan - Financials Will eliminate our scope 1 & 2 emissions by 2050 while executing our plan and achieving these results. We are $350mn average CAPEX until 2035, totaling $5 bn. sustainable ROACE will remain above 25% creating ~ $9bn total CF until 2035 and With ample CF, Net Deb
Slide 18: Strategic Transition Plan - Financials
Strategic Transition Plan - Financials Billion $ Sound Financial Plan • Superior EBITDA generation and disciplined capex plan leads to very low external funding requirement. • Strong FCF generation ensures strong dividend potential • 80% dividend payout on average according to our new business model
Slide 19: Digital Transformation
Digital Transformation Be Agile Design the Future 600 MN LINES OF DAILY DATA FROM 150K SENSORS DATA ANALYTICS CENTERS IN 2 UNIVERSITIES CONNECTED PEOPLE «E-PERMITS TO WORK» AT ALL LOCATIONS BY 2023 ARTIFICIAL INTELLIGENCE MODELS USE OF ROBOTIC TECHNOLOGIES CONNECTED CONNECTED DIGITAL OPERATIONS PROC
Slide 20: Hizmete Özel / Confidential
Hizmete Özel / Confidential