Reservoir Cap Corp. · OTC:RSERF
Reservoir Cap — Reservoir Capital — Investor Presentation (May 2015)
33 slides from Reservoir Cap's investor presentation, May 2015
Slide 1: Reservoir Capital Corp.
Reservoir Capital Corp. TSX-V: REO www.reservoircapitalcorp.com May 2015
Slide 2: Forward Looking Statements
Reservoir Capital Forward Looking Statements This presentation contains forward-looking statements and factual information that are current as of the date the presentation was originally delivered. Reservoir Capital Corp., and its subsidiaries disclaim any intention or obligation to update or revise
Slide 3: Company Overview
Reservoir Capital Company Overview • Reservoir Capital is a renewable energy company with hydroelectric (HPP), geothermal (GPP), and waste to energy (WtE) projects in Europe • 80 MW of hydroelectric and geothermal projects under development in Serbia • Conversion of a 3.9 MW gas-fired plant to a Syn
Slide 4: Hydro Power & Europe
Reservoir Capital Hydro Power & Europe • Clean and renewable, consumes no raw materials • High capacity factors (45-55%) compared to wind and solar (20- 30%) • A safe and proven technology in use for over a century • Improves grid stability because of its flexibility and predictability • The EU has
Slide 5: WtE & Europe
Reservoir Capital WtE & Europe • WtE plants replace fossil fuels and allow for green energy generation from biogas Country # of W2E Plants • 520 WtE plants operational in Europe as of mid- / Waste treated in Mt 2013, treating ~95 Mt of municipal solid waste NOR and commercial waste per year 17 / 1.2
Slide 6: Brodarevo Hydro Projects
Brodarevo, Serbia Brodarevo Hydro Projects TSX-V: REO www.reservoircapitalcorp.com May 2015
Slide 7: Run-of-River Hydro Projects
Brodarevo Run-of-River Hydro Projects • Two Hydro Projects on the river Lim • 59.1 MW total capacity • Estimated capital investment € 146 million • Feasibility studies completed in June 2012 • Project permitting approaching completion For further information on our Feasibility Study please refer to
Slide 8: Projects Overview
Brodarevo Projects Overview TSX-V: REO For further information refer to our June 2012 News Release 8
Slide 9: Projects Overview
Brodarevo Projects Overview TSX-V: REO For further information refer to our June 2012 News Release 9
Slide 10: Projects Overview
Brodarevo Projects Overview Capacity Project MW Flow (m3/s) Head (m) GWh/year Capex (€) Factor Brodarevo 1 26.0 150.0 19.7 45% 103.4 71.8 M Brodarevo 2 33.1 150.0 24.7 46% 129.1 74.0 M For further information refer to our June 2012 News Release TSX-V: REO 10
Slide 11: Capital Costs
Brodarevo Capital Costs Hydro- Mechanical Electrical Working Civil Works mechanical Prime Costs Total Project Equipment Equipment Capital (€ 000) Equipment (€ 000) (€ 000) (€ 000) (€ 000) (€ 000) (€ 000) B1 19,134 5,184 8,151 12,250 26,358 711 71,787 B2 23,806 4,911 8,787 11,813 23,993 733 74,043 To
Slide 12: Breakdown of Capital Costs
Brodarevo Breakdown of Capital Costs Type of 1st Year 2nd Year 3rd Year 4th Year Total Works (€ 000) (€ 000) (€ 000) (€ 000) (€ 000) Civil Works 10,398 14,422 14,284 3,835 42,939 Equipment 10,339 14,684 14,272 8,801 51,096 Prime 44,385 2,082 2,131 1,753 50,351 Costs Working 0 0 733 711 1,444 Capital
Slide 13: Financial Analysis
Brodarevo Financial Analysis Unlevered After-Tax Financial Metric Brodarevo 1 Brodarevo 2 Combined Internal Rate of Return 13.14% 16.79% 15.07% Net Present Value @ 8% (€000) 34,507 63,869 98,657 Net Present Value @ 10% (€000) 17,411 41,215 58,797 NPV @ 8% NPV @ 10% Leveraged After-Tax Financial Metr
Slide 14: 3D View
Brodarevo 3D View Brodarevo 1 Brodarevo 2 Dam Location Dam Location TSX-V: REO 14
Slide 15: Advantages
Brodarevo Advantages • Brodarevo is a run-of-river project, with minimal social and environmental impacts, that will generate clean energy and promote sport and tourism in the Lim valley. • The projected €146m capital investment goes to one of the poorest regions of Serbia, with the majority spent w
Slide 16: Saxa Energy and Saxa Gres
Italy Saxa Energy and Saxa Gres TSX-V: REO www.reservoircapitalcorp.com May 2015
Slide 17: Saxa Deal
Saxa Assets Saxa Deal • To develop its renewable energy portfolio to include W2E, Reservoir has entered into a deal whereby Reservoir will acquire a 35% interest in Saxa Gres and a 65% interest in Saxa Saxa Energy Saxa Gres Energy (65%) (35%) • Saxa Gres has agreements to acquire and refinance the a
Slide 18: Facility Location
Saxa Projects Facility Location Project Location Project Location TSX-V: REO 18
Slide 19: Saxa Gres
Saxa Projects Saxa Gres Tile Factory: • Produces 180,000 m2 of tiles / year, tiles are sold at €13/m2 • Innovative technology allows Saxa Gres to sell tiles at a 30% discount to competitors due to decreased manufacturing and product costs Real Estate: • 30,000 m2 tile factory, 120,000 m2 of land, 30
Slide 20: Saxa Energy
Saxa Projects Saxa Energy • Reservoir has agreed to provide funding for feasibility studies assessing the acquisition of new equipment to generate biogas from municipal organic waste and the conversion of the existing power plant to run on this biogas • Once converted into a waste-to-energy operatio
Slide 21: Market Analysis - EU
Saxa Projects Market Analysis - EU Italy in comparison to its EU peer group Italy lags it’s peers in WtE waste treatment EU Waste Generation (kg per capita) Includes WtE plants TSX-V: REO 21
Slide 22: Market Analysis - Overview
Saxa Projects Market Analysis - Overview Demand remains stable, however capacity restrictions are forcing a shift to alternative waste disposal methods • Italy is under regulatory pressure to reduce the amount of waste being sent to land fills • EU mandate that by 2020 50% of municipal solid waste i
Slide 23: Market Analysis – Focus on Italy
Saxa Projects Market Analysis – Focus on Italy Project is in the Italian sweet spot WtE Plant Location • Plant location is in central Italy which has one of the lowest percentages of waste diverted from landfills but with one of the largest per capita productions of landfills • Location puts the WtE
Slide 24: Market Analysis – Regional Differences
Saxa Projects Market Analysis – Regional Differences The central advantage Mandate by 60 2020 • As of 2012, the central region Percentage of Waste Diverted from Landfills was at a landfill diversion rate of 50 32% 40 • Even with the lowest landfill diversion rates in the nation, the 30 central and s
Slide 25: Market Analysis – Waste Treatment Methods
Saxa Projects Market Analysis – Waste Treatment Methods Waste To Energy is a solution to meet the growing demands posed from increased landfill diversion • WtE is the trend within the Italian waste management Treatment method growth rates since 2006 sector, showing the strongest annual growth rates
Slide 26: Market Analysis – WtE Growth
Saxa Projects Market Analysis – WtE Growth Generation from WtE plants in Italy quadrupled in the WtE Growth in Italy decade from 2001 - 2011, projected to increase ~50% in 3 years from 2011 to 2014 10.5 >2 fold increase over past 5 years 9 7.5 MWh (000’s) 6 4.5 3 1.5 0 MW Thermal Generation MW Elect
Slide 27: Market Analysis - Fragmentation
Saxa Projects Market Analysis - Fragmentation The Italian waste market presents a high level of fragmentation • The main 9 operators handle only 7% of total volumes Other EU markets show a much higher degree of concentration among operators: France England Italy 7% 40% 40% 60% 60% 93% Veolia and Sit
Slide 28: The Saxa Advantage
Saxa Projects The Saxa Advantage Saxa Energy • The development of a WtE plant into the Reservoir Capital portfolio provides exposure to a booming waste sector within the EU • Italy currently lags the WtE capacity in comparison to its peers in the EU, however with 4 fold increase in energy generation
Slide 29: Corporate Structure
Reservoir Capital Corp. Corporate Structure TSX-V: REO www.reservoircapitalcorp.com May 2015
Slide 30: Capital Structure
Reservoir Capital Capital Structure TSX-V: REO Issued Shares 15,876,044 Share Price (May 21, 2015) 0.50 Market Capitalization $7.6 M Options 206,000 @34.60 (Expiry Jan. 20, 2016) 6,000 @13.00 (Expiry Oct. 26, 2016) 7,500 @12.00 (Expiry Feb. 08, 2017) 10,000 @6.00 (Expiry Sept. 07, 2017) 182,500 Warr
Slide 31: Management
Reservoir Capital Management • Miles Thompson, Executive Chairman – ex-Gold Fields, +25 years natural resource project management in oil & gas, mining and renewable energy in emerging markets. • Miljana Vidovic, President & CEO – ex-Manager Business Development for Tractebel Engineering (GDF Suez Gr
Slide 32: Independent Directors
Reservoir Capital Independent Directors • Lewis Reford, Lead Director – ex-Head JP Morgan Resource Banking, Director of several renewable energy companies. • Mike Brown, Director – ex-Development Manager Pacific Hydro, developed 600MW in Chile. • Winston Bennett, Director – VP Helios Energy Inc. a d
Slide 33: Contact
Reservoir Capital Contact Head Office: 501-543 Granville Street Vancouver, British Columbia Canada V6C 1X8 Phone: +1.604.662.8448 Fax: +1.604.688.1157 Vice President of Corporate Development: Christopher MacIntyre Suite 414, Sheraton Centre 100 Richmond Street West Toronto,Canada M5H 3K6 Phone: +1.4