Par Pacific Holdings, Inc. Common Stock · NYSE:PARR
Par Pacific Holdings, Inc. Common Stock — Investor Presentation (March 2016)
28 slides from Par Pacific Holdings, Inc. Common Stock's investor presentation, Mar 3, 2016
Slide 1: Investor Presentation March 2016
Investor Presentation March 2016
Slide 2: Forward-Looking Statements / Disclaimers
2 Forward-Looking Statements / Disclaimers The information contained in this presentation has been prepared to assist you in making your own evaluation of the company and does not purport to contain all of the information you may consider important. Any estimates or projections with respect to futur
Slide 3: Company Overview
® Par Pacific Company Overview
Slide 4: Largest and Most Complex Refiner in Niche Hawaii Market
4 Largest and Most Complex(1) Refiner in Niche Hawaii Market Crude capacity of 94,000 barrels per day 50% distillate yield configuration Flexibility to utilize a wide range of crude blends Our Business Platforms Integrated Network of Logistics Assets 5.4 million barrels of storage capacity w
Slide 5: Company Timeline
5 9/25/2013: Restart of Kapolei Refinery. Renamed Hawaii Independent Energy 9/1/2012: Delta Petroleum emerged from Chapter 11. Company is renamed Par Petroleum Piceance Energy dba Laramie Energy joint venture initiated Company Timeline 2012 Emerging as Par 2013 Building the Foundation 2014 Tra
Slide 6: Growth Opportunity Framework
6 Growth Opportunity Framework Tier 1 • Refining • Marketing • Midstream & downstream logistics Tier 2 • E&P with Laramie tie-in • Upstream logistics • Gathering systems • Gas processing • Chemical / process businesses Tier 3 • E&P w/o Laramie tie-in • Oilfield services • Power generation • Non-oil
Slide 7: Business Platform Overview
® Par Pacific Business Platform Overview
Slide 8: Hawaii Refinery Overview
8 Refining Unit Capacity (MBPD) Crude Unit 94 Vacuum Distillation Unit 40 Hydrocracker 18 Catalytic Reformer 13 Visbreaker 11 Hydrogen Plant (MMCFD) 18 Naphtha Hydrotreater 13 Cogeneration Turbine Unit 20 MW Hawaii Refinery Overview Asset Highlights Largest and most complex refinery in Hawaii Ne
Slide 9: Logistics System Overview
9 30,000 Bbls 185,000 Bbls 138,000 Bbls 135,000 Bbls 12,000 Bbls Hawaiian Assets MapAsset Highlights Logistics System Overview Integrated system enhances flexibility and profitability Difficult to replicate asset base Multiple advantages from Single Point Mooring Additional uptime from wind
Slide 10: Retail Network Overview
10 $35,470 $38,909 33,000 34,000 35,000 36,000 37,000 38,000 39,000 40,000 2014 2015 49,484 50,283 49,000 49,500 50,000 50,500 2014 2015 Same Store Growth (FY2014 vs. FY2015)(1) Retail Network Overview Asset Highlights Extensive footprint across five islands Mid Pac acquisition significantly exp
Slide 11: Ongoing Refinery Optimization Opportunities
11 Ongoing Refinery Optimization Opportunities Opportunity to meaningfully increase system volumes and enhance profitability Total Sales VolumeOn-Island Sales Volume Throughput Volume On-island demand is the primary constraint for refinery utilization Enhancing on-island sales improves margin fr
Slide 12: Well Positioned to Benefit from Commodity Flows
12 Well Positioned to Benefit from Commodity Flows Crude slate and sourcing flexibility provide a competitive advantage Located at the crossroads of changing crude flows from West to East Crude sourcing network provides ability to change crude slate based on regional differentials ______________
Slide 13: Historical Crack Spread and Differential
13 -2 0 2 4 6 8 10 $12 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 Historical Crack Spread and Differential Mid Pacific Crude Blend 4-1-2-1 Mid Pacific Crack Spread 80% Singapore, 20% San Francisco ____________________ (1) Company calculation based on a rolling three-year average for the 4-1-2
Slide 14: Leader in Niche Hawaiian Market
14 Leader in Niche Hawaiian Market Air Travel(2) ____________________ (1) Source: DBEDT; EIA, including military demand per Par Pacific estimates, assuming Par Pacific throughput at 75MBD. (2) Source: Number of visitors per DBEDT. Refined Product Demand(1) Par Refinery Yield 20152014 Shortage of ava
Slide 15: Laramie Energy Overview
15 Experienced management team that has drilled over 300 wells in the basin with a 99% success rate Drilling and completion (“D&C”) costs reduced from $1.8MM to approximately $1MM Closed acquisition of additional Piceance Basin assets March 1, 2016 JV agreement with Wexpro further improves e
Slide 16: Laramie Energy 2016 Development Program
16 Backlog in excess of 64 drilled, uncompleted wells as of year end Deliver reduced D&C costs and lease operating expense (“LOE”) through water handling infrastructure investment Continue to innovate and drive efficiencies in capital and operating cost profile 2016 Plan Summary Laramie Energy
Slide 17: Financial Overview
® Par Pacific Financial Overview
Slide 18: Summary Financial Results
18 Adjusted EBITDA Net Debt Production Cost per Barrel(1) ($ in millions) ($ in millions) ____________________ Note: Adjusted EBITDA and Cash Flow are non-GAAP financial measures. (1) Production costs before DD&A expense per barrel is calculated by dividing all direct production costs by total refin
Slide 19: Capitalization and Maturity Profile
19 Capitalization and Maturity Profile ($ in millions) Capitalization Maturity Profile $60 $11 $11 $11 $11 $11 $55 $5 0 10 20 30 40 50 60 70 80 2016 2017 2018 2019 2020 Thereafter Par Term Loan Retail Term Loan Retail Revolver (undrawn) $71 $48 $16 ($ in millions) Cash & Cash Equivalents Debt: Par T
Slide 20: Net Operating Loss Carryforward
20 Net Operating Loss Carryforward Differentiated Asset Relative to Peers Potential to Enhance Cash Flow with Growth Provides a Competitive Advantage for Growth Opportunities $1.4 billion NOL generates potentially significant value for Par Selected Benefits Illustrative Value to Par ($ in millions)
Slide 21: Par Pacific Summary
21 Par Pacific Summary Refining – Largest & most complex refinery in Hawaii with distillate focused yield Logistics – Integrated and difficult to replicate asset base, resulting in stable consistent value Retail – Competitive position within a strong niche market, delivering robust on-island s
Slide 22: Flexible Capital Structure and Liquidity
22 • Flexible Capital Structure • Conservative Access to Liquidity • Profitability Throughout Cycles • Utilize Capital Markets Opportunistically Conservative Capital Structure Minimal near-term maturities enhances flexibility Low financial leverage positions Par Pacific for future growth opportu
Slide 23: Summary
23 Constructive Market Environment Experienced Management Team and Board Significant Financial Flexibility Identified Growth Opportunities High Quality Asset Base in Niche Market Summary
Slide 24: Contact Information
24 Contact Information Par Pacific Holdings, Inc. (NYSE MKT: PARR) 800 Gessner Road, Suite 875 Houston, TX 77024 (281) 899-4800 www.parpacific.com Christine Thorp Director, Investor Relations cthorp@parpacific.com (832) 916-3396
Slide 25: Appendix
® Par Pacific Appendix
Slide 26: Capitalization Detail
26 Capitalization Detail ____________________ Note: 1. Excludes $36MM related to J Aron Supply and Offtake Financing Agreement facility ($ in millions) Facility Borrower Amount Outstanding (12/31/2015) Undrawn Amount Amortization Maturity Interest Rate Term Loan Par $60.1 - NA 7/11/2018 10.00% (12.0
Slide 27: Non-GAAP Financials: Adjusted EBITDA Reconciliation and Cash Flow Data
27 Non-GAAP Financials Adjusted EBITDA Reconciliation and Cash Flow Data (1) (in thousands) (1) We believe the non-GAAP financial metrics used herein, including Adjusted EBITDA and Adjusted Net Income, are useful supplemental financial measures to assess, among other things: the financial performanc
Slide 28: Non-GAAP Financials: Adjusted EBITDA by Segment Reconciliation
28 Non-GAAP Financials Adjusted EBITDA by Segment Reconciliation(1) (in thousands) (1) We believe the non-GAAP financial metric used herein, Adjusted EBITDA by Segment, is a useful supplemental financial measure to assess, among other things, the financial performance of our segments without regard
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