Par Pacific Holdings, Inc. Common Stock · NYSE:PARR

Par Pacific Holdings, Inc. Common Stock — Investor Presentation (February 2023)

28 slides from Par Pacific Holdings, Inc. Common Stock's investor presentation, February 2023

  1. Slide 1: Investor Presentation February 2023

    INVESTOR PRESENTATION I FEBRUARY 2023

  2. Slide 2: Forward-Looking Statements / Disclaimers

    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 future

  3. Slide 3: Company Highlights

    Company Highlights • Rapidly growing owner & operator of essential energy infrastructure • Integrated logistics network with 13 MMbbls of storage 1, and marine, rail and pipeline assets • Par Pacific refining capacity expected to increase to 218,000 bpd after Billings acquisition • Peer-group leadin

  4. Slide 4: History of Successful Acquisitions

    History of Successful Acquisitions Seattle WA REFINING & NW RETAIL 31 2018 / 2022 LOGISTICS WA Spokane 2019 Portland MT ND MT REFINING Billings OR & LOGISTICS Boise 2023 1 ID SD 11 Kauai Rapid City HI RETAIL WY Oahu 2013 / 2015 WY REFINING & HI REFINING & Refinery Retail Locations Molokai LOGISTICS

  5. Slide 5: Attractive Relative Valuation

    Attractive Relative Valuation 2/10/23 2022 2023 2022 P/E 2023 P/E Peer Comparison Share Price Adj. EPS 1 Adj. EPS 2 Multiple Multiple ($/sh) ($/sh) ($/sh) Par Pacific $28.24 $7.93 $5.36 3.6x 5.3x HF Sinclair $55.43 $14.96 $9.81 3.7x 5.7x Delek $26.86 $5.67 $4.21 4.7x 6.4x CVR $34.36 $6.04 $3.48 5.7x

  6. Slide 6: Refining Overview

    Refining Overview Refining Segment Highlights Refinery Crude Capacity Mbpd • Focus on process safety, environmental compliance and Hawaii 94 operational reliability Washington 42 • System-wide crude capacity expected to increase to 218,000 bpd post-closing of Billings Acquisition Wyoming 19 • Throug

  7. Slide 7: Distillate-Oriented Yield Profile

    Distillate-Oriented Yield Profile Distillate Cracks ($/bbl) Advantaged Distillate Yield % 1 49% 41% 40% 40% 35% Par Pacific System-wide Yield 1 49% Distillates & Low Sulfur Fuel Oil 16% Asphalt, VGO & Other 6 1. Par Pacific system-wide and distillate yields based on 2022 yield for Hawaii, Washington

  8. Slide 8: Multimodal Logistics System

    Multimodal Logistics System Western Canada Kauai Seattle WA REFINERY Oahu WA Spokane HI REFINERY Molokai Maui Bakken Portland MT ND Global Crude Sourcing Billings OR Boise Domestic Hawaii ID SD Rapid City WY WY REFINERY Asset Detail 1 Hawaii (2) Wyoming Washington Billings (4) Par Pacific Storage Ca

  9. Slide 9: Leading Retail Position in Attractive Markets

    Leading Retail Position in Attractive Markets Hawaii Retail • 90 locations across four islands • 34 company-operated convenience stores • Scarcity of land, high real estate costs and logistics complexity strengthen competitive position • Dual-branded retail network to attract and retain broad custom

  10. Slide 10: Stable Contribution from Retail and Logistics Segments

    Stable Contribution from Retail and Logistics Segments Trending Retail & Logistics Adj. EBITDA ($MM) $167 33 $135 $135 - - $122 $121 - - 76 74 74 57 73 59 65 60 60 47 2019 2020 2021 2022 2022 PF * Retail Logistics Billings Logistics Targeted gross term debt of $500-600 million fully supported by the

  11. Slide 11: Capital Expenditure and Turnaround Summary

    Capital Expenditure and Turnaround Summary $113 $94 $83 $10 $50 $60-70 $30 $55 $19 $20 $39 $18 $9 $45 $45 $29 $29 $36 2019 2020 2021 2022 2023 Guidance Maintenance, Regulatory, and IT Growth Turnaround Turnaround Estimated Outlay Cycle Last Turnaround Hawaii $40 million 3-5 years Q3 2020 Washington

  12. Slide 12: Energy Transition Strategy

    Energy Transition Strategy Leverage local resources and policies to meet local needs Short Term Renewable Opportunities Washington Co-feed Project Hawaiian Airlines Alliance • Opportunity to invest a small amount of capital and co-feed low carbon • Announced alliance with Hawaiian Airlines to explor

  13. Slide 13: Consistently Improving Credit Metrics

    Consistently Improving Credit Metrics $643 LTM Consolidated Adj. EBITDA 1 $ millions $340 $265 $126 $100 $29 $(53) $ millions 12/31/2019 6/30/2020 12/31/2020 6/30/2021 12/31/2021 6/30/2022 12/31/2022 Total Secured Debt $ 586 $ 690 $ 683 $ 588 $ 580 $ 532 $ 515 Total Unsecured Debt 49 49 49 - - - - T

  14. Slide 14: Midcycle Earnings Uplift

    Midcycle Earnings Uplift Par Pacific Billings Assets Par Pacific $ millions Midcycle 1 Midcycle 1 Pro-Forma Refining 230 75 305 Logistics 80 35 115 Retail 50 - 50 Corporate & Other (60) - (60) Expected Synergies 2 - 30 30 Adjusted EBITDA $ 300 $ 140 $ 440 Normalized Maintenance & 60 35 95 Turnaround

  15. Slide 15: Company Highlights

    Company Highlights 1 Growth Profile Underpinned by Successful Acquisitions 2 Upcoming Strategic and Accretive Acquisition of Billings Assets 3 Portfolio of Valuable Opportunities to Drive Future Growth 4 Downside Protection from Diversified Businesses 5 Federal Tax Attributes Enhance Free Cash Flow

  16. Slide 16: Appendix

    Appendix 15

  17. Slide 17: Singapore 3.1.2 Crack Spread

    Singapore 3.1.2 Crack Spread $40 Singapore 3.1.2 Crack $35 5-Yr Average $30 $25 5-Yr Average 1 = $11.32 $20 $15 $10 $5 $0 ($5) 4Q 19 1Q 20 2Q 20 3Q 20 4Q 20 1Q 21 2Q 21 3Q 21 4Q 21 1Q 22 2Q 22 3Q 22 4Q 22 ($/bbl) Singapore 3.1.2 Crack $12.12 $8.11 ($0.14) $1.92 $2.63 $3.80 $4.38 $6.20 $10.49 $16.21

  18. Slide 18: Wyoming 3.2.1 Crack Spread

    Wyoming 3.2.1 Crack Spread $60 Wyoming 3.2.1 Crack 5-Yr Average 1 = $27.18 $50 5-Yr Average $40 $30 $20 $10 $0 4Q 19 1Q 20 2Q 20 3Q 20 4Q 20 1Q 21 2Q 21 3Q 21 4Q 21 1Q 22 2Q 22 3Q 22 4Q 22 ($/bbl) Wyoming 3.2.1 Crack $28.26 $15.86 $17.39 $19.63 $18.45 $20.97 $30.04 $41.78 $23.67 $26.53 $54.55 $45.78

  19. Slide 19: Pacific Northwest 5.2.2.1 Crack Spread

    Pacific Northwest 5.2.2.1 Crack Spread $50 Pacific Northwest 5.2.2.1 $45 5-Yr Average $40 $35 5-Yr Average 1 = $17.88 $30 $25 $20 $15 $10 $5 $0 4Q 19 1Q 20 2Q 20 3Q 20 4Q 20 1Q 21 2Q 21 3Q 21 4Q 21 1Q 22 2Q 22 3Q 22 4Q 22 ($/bbl) Pacific Northwest 5.2.2.1 $16.58 $13.24 $11.92 $9.39 $11.26 $11.46 $16

  20. Slide 20: Corporate Structure

    Corporate Structure Par Pacific Holdings Inc. NYSE: PARR ABL Revolver due 2/2/2025 1 $281 MM 7.75% Senior Secured Notes due 12/15/2025 $203 MM L + 6.75% Term Par Petroleum, LLC Loan B due 1/11/2026 $31 MM 12.875% Senior Secured Notes due 1/15/2026 Hermes Laramie Energy, Supply and Offtake Par Hawaii

  21. Slide 21: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Par Pacific Billings Assets Par Pacific Pro $ million’s Midcycle Midcycle 2 Forma Net Income $165 $95 $260 Add: Depreciation and 100 45 145 amortization expense Add: Interest Expense 35 - 35 Add: Income Tax Expense - - - Adjusted EBITDA 1,3 $300 $140 $440 1. Midcycle Adju

  22. Slide 22: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Twelve Months Ended Consolidated Adjusted EBITDA and Adjusted Net Income Reconciliation (1) ($ in thousands) 2019 2020 2021 2022 Net income (loss) $ 40,809 $ (409,086) $ (81,297) $ 364,189 Adjustments to Net Income (loss): Inventory valuation adjustment 19,436 9,994 31,84

  23. Slide 23: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Consolidated Adjusted EBITDA by Segment Reconciliation (1) For the twelve months ended December 31, 2022 ($ in thousands) Corporate and Refining Logistics Retail Other Operating income (loss) $ 401,901 $ 54,049 $ 49,238 $ (67,285) Adjustments to operating income (loss): D

  24. Slide 24: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Consolidated Adjusted EBITDA by Segment Reconciliation (1) For the twelve months ended December 31, 2021 ($ in thousands) Corporate and Refining Logistics Retail Other Operating income (loss) $ (88,799) $ 51,159 $ 81,249 $ (51,228) Adjustments to operating income (loss):

  25. Slide 25: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Consolidated Adjusted EBITDA by Segment Reconciliation (1) For the twelve months ended December 31, 2020 ($ in thousands) Corporate and Refining Logistics Retail Other Operating income (loss) $ (331,826) $ 35,044 $ 24,211 $ (45,427) Adjustments to operating income (loss):

  26. Slide 26: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Consolidated Adjusted EBITDA by Segment Reconciliation (1) For the twelve months ended December 31, 2019 ($ in thousands) Corporate and Refining Logistics Retail Other Operating income (loss) $ 93,781 $ 59,075 $ 49,245 $ (54,121) Adjustments to operating income (loss): De

  27. Slide 27: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Consolidated Adjusted EBITDA and Adjusted Net Income Reconciliation (1) For the trailing sixteen quarters ended Q4 2022 ($ in thousands) Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Net income (loss) $ (83

  28. Slide 28: Non-GAAP Financial Measures

    Non-GAAP Financial Measures Diluted Adjusted Net Income per Share for the Twelve Months Ended (in thousands, except per share amounts) 2019 2020 2021 2022 Adjusted Net Income (Loss) 96,311 (216,237) (36,133) $ 474,668 Undistributed Adjusted Net Income allocated to participating securities (1) 1,033

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