Green Plains, Inc. · NASDAQ:GPRE
Green Plains — 6th Annual ROTH London Conference 2020
18 slides from Green Plains's conference presentation, Jun 24, 2020
Slide 1: ROTH London Conference Investor Presentation
ROTH London Conference Investor Presentation June 2020
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements that reflect management’s current views of company performance, industry conditions and future economic environment. These statements are based on assumptions and various factors that are subject to risks and uncertaint
Slide 3: Reinventing Green Plains
Reinventing Green Plains Refining our Platform – Building for Growth Deleveraged our platform through Portfolio 1 Optimization; improving operating costs and carbon footprint through Project 24 Focusing on growing demand in the global 2 protein market and value added ingredients Executing on our Tot
Slide 4: Why Green Plains?
Why Green Plains? Strong • Tremendous base platform of assets built up over the past 13 years from which Asset Base to build Green Plains 2.0 from Proven Track • Seasoned management team with strong proven track record of managing risk Record and allocating capital in various cycles Financial • Stro
Slide 5: Green Plains Today
Green Plains Today Strategically Located Assets 13 Sustainable biorefineries $2.4 Billion revenue in 2019 11 Millions tons of corn processed annually 1.1 Billion gallons biofuel production capacity 2.9 Million grains tons of distillers 300 Million pounds of corn oil Transform Toward high value, high
Slide 6: Transforming Green Plains
Transforming Green Plains • Concluded Portfolio Optimization & Strengthened our Balance Sheet – Realized ~ $780 million in proceeds from asset sales over previous six quarters – Debt reduced or deconsolidated by nearly $1 billion – Continue to have strong liquidity position with over $205 million in
Slide 7: Total Transformation Plan
Total Transformation Plan • Our processing plants as biorefineries Green Plains 1.0 Green Plains 2.0 – Use mechanical and enzymatic Products per bushel Products per bushel processes to “crack” a commodity into its most valuable components ~ 2.9 gallons Ethanol ~ 2.9 gallons of biofuel & industrial a
Slide 8: Total Transformation - Project 24
Total Transformation - Project 24 • Project 24 captures our goal to be at or below $0.24 per gallon of operating expenses across the platform Wood River OPEX per Gallon (Illustrative Example) • Developed an exclusive partnership with $0.35 $0.32 ICM for technology that will drive $0.30 operational c
Slide 9: Sustainability in What We Do
Sustainability in What We Do World class provider of Transforming capabilities and expanding impact sustainable, high protein and novel feed ingredients, and low carbon, closed loop and sustainable biofuels Help meet global renewable transportation fuel needs Provide less expensive, renewable biofue
Slide 10: Thesis – World Protein Demand is Growing
Thesis – World Protein Demand is Growing • World demand in protein is growing across every major sector driven by population growth, 2018 economics and availability ASF 338 • Increase protein production 2012 Drought 317 329 332 without acreage expansion Impact 293 302 279 • Installed Fluid-Quip Proc
Slide 11: Potential for Higher Margins Enhance Opportunity
Potential for Higher Margins Enhance Opportunity J-Curve of Protein Opportunity Gen II Developments • Global demand for analogues that meet specific dietary needs will increase Fishmeal Analogue • Driven by economics, protein 60% Protein $1,200/Ton accessibility, political pressure and $0.57/Gallon
Slide 12: Partnerships that Further Enhance Values
Partnerships that Further Enhance Values • Exclusive partnership with Novozymes – Provides expertise through enzyme and yeast technology – Further enhances value by producing feeds that exceed 50% protein content • Syngenta’s Enogen® corn technology improves efficiency of our biorefineries and reduc
Slide 13: Significant Margin Potential Exists From Project and High-Protein Technology
Significant Margin Potential Exists From Project 24 and High-Protein Technology $350 $290 Improvement $300 $230 Improvement $60 $250 $150 (in millions) $200 $150 $150 $150 $100 $80 $50 $80 $80 $0 -$14 -$14 -$14 -$50 LTM Adjusted Project 24 High-Protein Total Pro-Forma High-Protein EBITDA 03/31/20 Te
Slide 14: Tailwinds in Washington Regulatory Policy
Tailwinds in Washington Regulatory Policy 2020 Renewable Volume Obligations EPA Delivers On President Trump’s Promise To Allow Year-Round Sale Of E15 Gasoline And Improve • 15 billion gallons = 15 billion gallons Transparency In Renewable Fuel Markets • Continue to watch EPA after 10th Circuit (WASH
Slide 15: Tailwinds Driving Demand Through Higher Blends
Tailwinds Driving Demand Through Higher Blends ▪ E15 sold in 30 states at 2,180 retail stations as of May, 20201 ▪ Expect 2,350 sites by the end of 20201 ▪ $100s of millions of USDA infrastructure funding to accelerate rollout ▪ EPA reviewing E15 through E10 infrastructure and labeling ▪ Automakers
Slide 16: Tailwinds Expanding Export Markets
Tailwinds Expanding Export Markets Biofuel Exports Biofuel Exports 2,000 (million gallons) • Cleaner air, higher octane 1,500 • Anticipate 1.1 - 1.5 billion gallons of exports in 2020 without China demand 1,000 • Brazil and Canada accounted for ~45% 500 of exports - 2016 2017 2018 2019 2020 Est • Ch
Slide 17: In Closing
In Closing 1 Tremendous base platform to build upon for creating Green Plains 2.0 2 Seasoned management with proven track record to manage risk and allocate capital 3 Strong balance sheet with ample liquidity and numerous levers to manage volatility 4 Executing on Project 24 to reduce operating expe
Slide 18: Green Plains Inc.
Green Plains Inc. | NASDAQ: GPRE | www.gpreinc.com Green Plains Partners LP | NASDAQ: GPP | www.greenplainspartners.com
Green Plains — 6th Annual ROTH London Conference 2020 on 6ix