Pbf Energy Inc. · NYSE:PBF
Pbf Energy — Investor Presentation (June 2019)
17 slides from Pbf Energy's investor presentation, June 2019
Slide 1: PBF Energy Inc.
PBF Energy Inc. June 2019 1
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”, or “Partnership”, and together with PBF Energy, the “Companies”, or “PBF”), and their management teams. Such statements are based on c
Slide 3: PBF – Investment Overview
PBF – Investment Overview Geographically diverse, high-complexity five-refinery system Pure-play Refiner Crude and feedstock optionality provides access to advantaged North with Attractive American and international feedstocks Asset Base Strategic partnership with PBF Logistics (NYSE:PBFX) T
Slide 4: Environmental, Social, Governance
Environmental, Social, Governance Providing a wide variety of clean fuels and raw materials to multiple industries across the United States and internationally Commitment from the Board and the entire organization to run our facilities safely, reliably and environmentally responsibly Pursuing
Slide 5: Attractive Asset Diversification and Growth
Attractive Asset Diversification and Growth PBF's core strategy is to operate safely, Martinez (1) Toledo reliably and environmentally responsibly PADD 4 Pursue disciplined growth through PADD 5 PADD Paulsboro 2 strategic acquisitions and development of PADD 1 organic projects Delaware City PADD
Slide 6: Martinez Refinery Acquisition Highlights
Martinez Refinery Acquisition Highlights Martinez is a premier West Coast refinery with dual-coking, high-conversion operations and a Nelson Complexity of 16.1 Significantly accretive to earnings with an expected acquisition cost of $900 million to $1 billion with a pro forma historical annual E
Slide 7: Attractive Purchase Price
Attractive Purchase Price $ per Complexity Barrel PBF acquisitions completed at an Versus recent acquisition average of average of $225/complexity barrel(1) $595/complexity barrel $2,131 $978 $806 $712 $534 $336 $396 $411 $233 $298 $196 $188 $170 $102 $152 $134 $122 Source: Citi Research and company
Slide 8: PBF’s Martinez Potential Earnings Power
PBF’s Martinez Potential Earnings Power Historical Pro Forma EBITDA(1) $275 - $375 million West Coast Operational and other synergies(2) $125 million $1,929 IMO-driven Benefits(3) $100 - $200 million Significant and sustainable free cash flow(1) generation driven by: • Resilient earnings power • M
Slide 9: Mid-Continent and East Coast Refining Operations
Mid-Continent and East Coast Refining Operations Toledo, Ohio • Processes WTI-based light crude oil and advantaged Mid-Continent Canadian syncrude which produces a high-value clean product yield including gasoline, ultra-low sulfur diesel and a variety of petrochemicals including nonene, xylene, t
Slide 10: Chalmette Refinery – Focus on Optimization
Chalmette Refinery – Focus on Optimization Continuing to enhance the asset and commercial flexibility Invested ~$100 million in margin improvement projects • Restarted idled reformer, hydrotreater and light-ends recovery plant • Upgrades unfinished naphtha to high- value clean products • Complet
Slide 11: Torrance Refinery – Focus on Reliability
Torrance Refinery – Focus on Reliability Focus on stable and reliable operations Reliability improvements have driven increased profitability and operating expense reductions Margin enhancement • Increased rack throughput to approximately 70% of gasoline yield • Optimizing distillate margin co
Slide 12: PBFX is a Strategic Growth Partner
PBFX is a Strategic Growth Partner Since inception, PBFX has delivered over 200% Mid-Continent Assets Knoxville Terminals EBITDA growth Toledo Storage Facility Toledo LPG Truck Rack • Since 2015, ~65% of growth from third-party Toledo Truck Terminal Toledo Terminal acquisitions and organ
Slide 13: IMO is a Differentiator for PBF – Rewards Complexity
IMO is a Differentiator for PBF – Rewards Complexity International Maritime Organization (IMO) low-sulfur-fuels requirements Coking Capacity(1) scheduled to take effect January 1, 2020 (percentage of crude throughput) 25% Complexity and conversion capacity will be beneficiaries 20% PBF has no
Slide 14: Appendix
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Slide 15: Martinez Refinery Transaction Summary
Martinez Refinery Transaction Summary Cascading upfront consideration based on the date of closing: • $1.0 billion closing on or before October 1 • $990 million closing on November 1 • $980 million closing on December 1 • $970 million closing on January 1 • $900 million closing on April 1 or there
Slide 16: Martinez Refinery Asset Overview
Martinez Refinery Asset Overview Martinez Refinery Indicative Inputs • Heavy: 85% - 90% • Light/Medium: 5% - 10% • Other: 5% - 10% • Average crude API: 20 degrees - TAN: 2.7 Martinez Refinery Indicative Yields • Gasoline: 55% – 60% • Distillate: 35% – 40% (approximately 2/3 Jet, 1/3 CARB Diesel)
Slide 17: Non-GAAP Financial Measures
Non-GAAP Financial Measures EBITDA - Our management uses EBITDA (earnings before interest, income taxes, depreciation and amortization) as a measure of operating performance to assist in comparing performance from period to period on a consistent basis and to readily view operating trends, as a meas