Atlas Energy Solutions Inc. · NYSE:AESI
Atlas Energy Solutions — Investor Presentation (May 2023)
26 slides from Atlas Energy Solutions's investor presentation, May 9, 2023
Slide 1: Investor Presentation May 2023
Investor PresentationMay 2023 NYSE: AESI
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains “forward-looking statements” of Atlas Energy Solutions Inc. (“Atlas,” the “Company,” “AESI,” “we,” “us” or “our”) within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934,
Slide 3: Today's Presenters
3 Today’s Presenters John Turner – President & CFO 20+ years of experience in the energy industry CFO of BEXP (Non-Op), Mediterranean Resources; VP Finance of Brigham Exploration Company (NYSE: BEXP); investment banker at Prudential M.B.A. & B.B.A., McCombs School of Business at the University of Te
Slide 4: Atlas Energy Solutions at a Glance
Source: Bloomberg. Market data as of 05-May-2023. | (2) Resource life calculated as reserve life + resource life. Calculated as (reserves + resources) / 10mmtpy of annual production capacity. Annual production capacity is projected to increase to 15mmtpy of annual capacity by year-end 2023. 4 Atlas
Slide 5: Atlas Energy Solutions Q1 2023 Update
On-time & On-budget Planned in-service Q4 2023 Permian Sand Market Market pricing remains attractive with robust activity levels and growing demand Operators are signaling capex growth even at oil prices lower than today’s levels Permian is insulated from natural gas price weakness, 12-month WTI Str
Slide 6: Company Overview / Introduction
Company Overview / Introduction
Slide 7: Atlas is a Leading Pure-Play Permian Proppant and Logistics Provider
Source: Enverus, Baker Hughes. | (1) Represents planned Dune Express route based on secured rights-of-way and federal permits. | (2) Map reflects active horizontal rigs as of 21-Apr-2023. 7 Atlas is a Leading Pure-Play Permian Proppant and Logistics Provider Scaled Permian Assets to Service Entire P
Slide 8: Differentiated Logistics Offering, and Why it Matters
8 Drives significant future FCF growth potential; provides safety and emissions benefits What’s in Atlas’s Differentiated Logistics Offering, and Why it Matters Dune Express Fit-for-Purpose Wellsite Delivery Assets Atlas’s trucking fleet can handle comparably large payloads to drive efficiencies Fle
Slide 9: Atlas is expanding its basin leading production capacity
Source: Lium, Rystad, management estimates. | (1) Lium Local Sand Plants – Permian 1Q23. Estimated Permian Production capacity assumes competitor mines operate at 70% of nameplate capacity. Includes the addition of incremental nameplate capacity presently under construction. | (2) Lium and Rystad pr
Slide 10: Permian is the #1 Oil Basin; Efficiencies Drive Growing Proppant Demand
Bakken Eagle Ford Permian Niobrara Anadarko Other 10 Permian is the #1 Oil Basin; Efficiencies Drive Growing Proppant Demand (1) Per Lium, Rystad, Baker Hughes and EIA. 2023E and 2024E frac fleet and proppant demand forecast based on Lium and Rystad guidance. | (2) Area chart represents production b
Slide 11: Atlas Key Investment Highlights
wh Atlas Key Investment Highlights Energy Solutions
Slide 12: Industry Leading Sustainability, Financial Performance & Growth
Atlas has leading margin performance when compared to peers. See slide 11. | (2) Annualized. | (3) Non-GAAP financial measure. See Appendix for reconciliations of non-GAAP measures to the nearest GAAP measures. 12 Industry Leading Sustainability, Financial Performance & Growth (1) Growing Sales with
Slide 13: Atlas aims to deliver returns through a combination of growth and income
Source: Public Filings, Bloomberg Consensus data as of 05-May-2023. | Big Three Oilfield Services: SLB, BHI and HAL. | Equipment & Infra.: NOV, FTI, WHD and OII. | Chemical / Water / Proppant: CHX, SES, SOI, ARIS and SLCA. | Production & Field Services: USAC, AROC, XPRO, HLX and CLB. | Midstream: KM
Slide 14: Open Dunes Differentiate Atlas on Scale, Quality, Costs & Margins
14 Geology of open dunes differentiates Atlas Improved process yields relative to off-dune deposits enhances economics Better testing results on key quality metrics (crush, turbidity, etc.) Large, deep deposits with consistent reserve mix Costless Pecos Valley Aquifer provides unique dredging & wash
Slide 15: Atlas Plants Designed to Maximize Reliability and Efficiency
15 Atlas Plants Designed to Maximize Reliability and Efficiency High Quality, Differentiated Asset Base Only Permian mines with electric dredge; lower cost & emissions Advantaged, no cost, water access (Atlas recycles ~95% of water) Equipment redundancies maximize plant utilization, reliability Larg
Slide 16: Atlas Expects to Deliver Significant Logistics Efficiency Gains
Daily Proppant Delivery Capacity per Truck (Dune Express) 16 Atlas Expects to Deliver Significant Logistics Efficiency Gains Daily Proppant Delivery Capacity per Truck (Current) Source: Enverus, Management analysis and estimates. | (1) Represents planned Dune Express route based on secured rights-of
Slide 17: Conveyors are commonly used to transport bulk materials globally
Source: Company disclosures, Mindat Research, Mining Weekly, Conveyor Equipment Manufacturers Association, Western Sahara Resource Watch. 17 Conveyors are commonly used to transport bulk materials globally Selected Bulk Material Conveyor Systems Operating Around the World High Quality, Differentiate
Slide 18: General Contractor Approach & Experience Controls Costs and Ensures Timelines
18 Atlas General Contractor Approach & Experience Controls Costs and Ensures Timelines Dune Express is years in the making: Numerous project studies & surveys completed Detailed engineering plans laid out Key vendor relationships developed Right of way acquired All material permits, including key st
Slide 19: Management's E&P Background and Track Record of Value Creation
19 Note: Past performance by members of our management team, our directors or their respective affiliates may not be indicative of future performance. | Source: Bloomberg, public disclosures. | (1) Total return calculated as cumulative dividends plus stock price appreciation (IPO date through 28-Dec
Slide 20: Atlas Energy Solutions Investment Highlights
High Quality, Differentiated Asset Base with Unmatched Scale to Match Industry Needs Proven Team, Compelling Track Record, E&P Experience Strong Financial Performance, Exceptional Margins & Growth Profile at an Attractive Valuation Foundation of Mission Critical Proppant with Transformative Logistic
Slide 21: Appendix
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Slide 22: Atlas's Business is Inherently Different from Legacy Sand Providers
22 Atlas’s Business is Inherently Different from Legacy Sand Providers Atlas Advantage Underpinned by In-Basin + Just-in-Time Model Drives Efficiency + Profits Source: Union Pacific Calculator, Management’s internal analysis, based on results of study completed by Texas A&M Transportation Institute.
Slide 23: Reconciliation and Calculation of Non-GAAP Financial Measurements
Reconciliation and Calculation ofNon-GAAP Financial Measurements
Slide 24: Reconciliation and Calculation of Non-GAAP Financial Measurements
Positive working capital changes reflect capital expenditures in the current period that will be paid in a future period. Negative working capital changes reflect capital expenditures incurred in a prior period but paid during the period presented. 24 Reconciliation and Calculation of Non-GAAP Finan
Slide 25: Reconciliation and Calculation of Non-GAAP Financial Measurements
25 Reconciliation and Calculation of Non-GAAP Financial Measurements
Slide 26: Investor Relations Contact
Investor Relations Contact For more information, please visit our website at https://atlas.energy/ IR Contact: Kyle Turlington 5918 W Courtyard Drive, Suite #500; Austin, Texas 78730 (T) 512-220-1200 IR@atlas.energy NYSE: AESI
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