Pbf Energy Inc. · NYSE:PBF
Pbf Energy — Morgan Stanley Refining Corporate Access Day (May 2016)
18 slides from Pbf Energy's conference presentation, May 12, 2016
Slide 1: PBF Energy Inc. (NYSE: PBF)
PBF Energy Inc. (NYSE: PBF) Morgan Stanley Refining Corporate Access Day May 12, 2016
Slide 2: Safe Harbor Statements
Safe Harbor Statements This presentation contains forward-looking statements made by PBF Energy Inc. (“PBF Energy”), the indirect parent of PBF Logistics LP (“PBFX” and together with PBF Energy, the “Companies”, or “PBF”), and their management teams. Such statements are based on current expectations
Slide 3: Investment Highlights
Investment Highlights Fourth largest independent refiner with significantly enhanced asset base 884,000 bpd of crude oil capacity across five refineries(1) Recent acquisition of Chalmette and pending Torrance acquisition demonstrate Enhanced Asset Base disciplined growth while maintaining bala
Slide 4: Attractive Asset Diversification
Attractive Asset Diversification Fourth largest independent refiner in Toledo PADD United States(1) 4 PADD PADD 2 5 Paulsboro Currently operates four oil refineries in PADD 1 Ohio, Delaware, New Jersey and Louisiana, Torrance Delaware City and has entered into an agreement to PADD 3 acquire an a
Slide 5: Coastal Refinery Complexity Advantage
Coastal Refinery Complexity Advantage Illustrative Heavy / Sour COGS Advantage Crude cost advantages for complex refineries like $10.00 Paulsboro, Delaware City and Chalmette translate to $9.00 ($0.75) increased profitability $8.00 Coking refineries, such as PBF’s three coastal $7.00 $6.00 ($4.5
Slide 6: Commercial Optimization
Commercial Optimization Crude sourcing flexibility and optionality Refining Group Crude Slate Breakdown 100% PBF uses its complex crude processing capacity to source lowest cost input slate 80% PBF is benefiting from the over-supply of 60% waterborne crude which is driving increased 40% compet
Slide 7: Sector-Leading Capacity Growth
Sector-Leading Capacity Growth Increased refining throughput capacity by over 60% in 12 months(1) Fourth largest and second most complex independent refining system in the U.S.(1) Exposure to West Coast, Gulf Coast, Mid-continent and East Coast markets(1) Increased scale provides commercial
Slide 8: Disciplined Growth Strategy
Disciplined Growth Strategy (1) $1,800 $1,600 $1,400 Refinery Cost, $/Complexity-Barrel $1,200 $1,000 $800 $600 $400 $200 $0 Denotes PBF Refinery ___________________________ 1. Pro forma for the expected Q2 2016 close of the Torrance Acquisition 8
Slide 9: Chalmette Refinery – PADD 3
Chalmette Refinery – PADD 3 189,000 bpd high-complexity, high-conversion refinery with Nelson Complexity of 12.7 Expands PBF’s existing commercial footprint Margin improvement opportunities associated with optimization of existing assets and restart of idled units Refined products include ga
Slide 10: Torrance Acquisition Highlights – PADD 5
Torrance Acquisition Highlights – PADD 5 $537.5 million purchase price for Torrance Refinery and associated logistics assets and is expected to close in Q2 2016 Assets to be acquired include 155,000 bpd high-complexity Torrance Refinery, multiple crude and product pipelines, two product terminal
Slide 11: Focus on Balance Sheet Strength
Focus on Balance Sheet Strength Available Liquidity ($mm) PBF maintains a strong balance sheet with significant liquidity $1,400 $1,200 Ability to withstand commodity price $1,200 fluctuations $1,000 Positioned for growth through $800 disciplined execution of strategic $600 acquisition strateg
Slide 12: PBFX is a Strategic and Valuable Partner to PBF
PBFX is a Strategic and Valuable Partner to PBF Summary of Executed Drop-Downs Stable cash flows supported predominantly by long- term, take-or-pay Minimum Volume Commitments Announcement Date Asset Projected Annual EBITDA ($mm) Gross Sale Price ($mm) No direct commodity exposure Delaware City 9
Slide 13: PBF Logistics Delivers Independent Growth
PBF Logistics Delivers Independent Growth Closed acquisition of East Coast Terminals from Plains All American at a pro forma EBITDA multiple of ~7x Purchase price of $100 million, plus an upfront capital investment of ~$5 million Unaffiliated third-party transaction introduces third- party bus
Slide 14: PBFX Delivers Strong Historical Distribution Growth
PBFX Delivers Strong Historical Distribution Growth 0.42 0.40 0.38 Distribution / LP Unit ($) 0.36 0.42 0.41 0.34 0.39 0.37 0.32 0.35 0.33 0.30 0.30* 0.30 (MQD) 0.28 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 *Represents the minimum quarterly distribution (MQD) for Q2-14, actual distribution of
Slide 15: Appendix
Appendix
Slide 16: Toledo Refinery – PADD 2
Toledo Refinery – PADD 2 170,000 bpd light, sweet crude refinery located on a 282- acre site near Toledo, Ohio 9.2 Nelson Complexity Refined products include a high percentage of gasoline and diesel (USLD) High-conversion refinery; ~88% distillate and gasoline yield High-value petrochemica
Slide 17: Delaware City Refinery – PADD 1
Delaware City Refinery – PADD 1 190,000 bpd refinery situated on a 5,000-acre site adjacent to the Delaware River 11.3 Nelson Complexity Refined products include gasoline, diesel (ULSD), heating oil, jet fuel, LPG’s, petrochemicals and petroleum coke Connected to major Northeast pipeline sys
Slide 18: Paulsboro Refinery – PADD 1
Paulsboro Refinery – PADD 1 180,000 bpd refinery located on 950 acres adjacent to the Delaware River Complex refinery; 13.2 Nelson Complexity Refined products include gasoline, jet fuel and heating oil, asphalt, as well as Group I lubricating oil Group I lubricant production of ~7,000 bpd; l
PBF Energy — Morgan Stanley Refining Corporate Access Day (May 2016) on 6ix