Pbf Energy Inc. · NYSE:PBF
Pbf Energy — Investor Presentation (May 2023)
23 slides from Pbf Energy's investor presentation, May 2023
Slide 1: PBF Energy Investor Presentation
PBF Energy Investor Presentation May 2023 1
Slide 2: Forward-looking statements
Statements in this presentation relating to future plans, results, performance, expectations, achievements and the like are considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown r
Slide 3: Hydrocarbon Refining Provides the Building Blocks of Everyday Life
Hydrocarbon Refining Provides the Building Blocks of Everyday Life Major petrochemicals derived from oil and natural gas are essential to the manufacturing of +6,000 products we use and depend on every day 3 Source: U.S Department of Energy https://www.energy.gov/fecm/downloads/infographic-products-
Slide 4: PBF – Building a Stronger Future
PBF – Building a Stronger Future Independent Established Disciplined Future refiner with investment capital growth attractive asset track record allocation opportunities base Demonstrated history of Maintain conservative Refining, logistics, Geographically diverse, focused investing in margin- balan
Slide 5: Advancing Our ESG Journey
Advancing Our ESG Journey Our mission is to safely and environmentally responsibly provide a wide variety of clean fuels and raw materials to multiple industries across the U.S. and internationally Committed to: Actively pursuing: ▪ Running safe, reliable and ▪ Development of renewable and environme
Slide 6: Attractive Asset Diversification and Growth
Attractive Asset Diversification and Growth Toledo PADD 5 PADD 4 Paulsboro PADD 2 PADD 1 Martinez Delaware City ▪ PBF's core strategy is to operate safely, reliably and environmentally responsibly Torrance PADD 3 ▪ Diversified, high-complexity asset base with 12.7 Nelson Complexity ▪ Focus on core b
Slide 7: PBF System
PBF System Other 14% Heavy Crude 32% Heavy Crude Light Crude 18% Medium Crude Light Crude Other Medium Crude 36% East Coast Mid-Continent Gulf Coast West Coast 3% 20% 22% 17% 14% 13% 36% 8% 19% 61% 29% 40% 68% 50% 7
Slide 8: PBF System
PBF System Other 17% Chemicals 1% Lubes Gasoline 1% Gasoline Distillate 46% Lubes Chemicals Other Distillate 35% East Coast Mid-Continent Gulf Coast West Coast 5% 10% 15% 20% 20% 1% 1% 39% 44% 2% 51% 32% 56% 36% 37% 36% 8
Slide 9: Strategic diversification and partnership opportunities to expand renewables
Strategic diversification and partnership opportunities to expand renewables ▪ St. Bernard Renewables LLC established in 2022 (“SBR”) ▪ Definitive agreement to form strategic partnership with Eni* • 50-50 joint venture with Eni contributing capital, to PBF, totaling $835 million and up to an additio
Slide 10: Opportunity to develop clean energy hub at strategic east coast location
Opportunity to develop clean energy hub at strategic east coast location ▪ Part of MACH2 (“Mid-Atlantic Clean Hydrogen Hub”) a broad consortium exploring the development of a clean energy and logistics hub on 2,500 acres adjacent to PBF’s Delaware City refinery, supporting the community, state and r
Slide 11: | PBF (Fax:)
| PBF (Fax:)
Slide 12: Net Debt to Net Capitalization
Net Debt to Net Capitalization* 60% 50% 40% 30% 20% 10% 0% -10% ▪ PBF’s ongoing fiscal discipline strengthened the balance sheet and sets the foundation for future opportunities and shareholder returns ▪ PBF reduced debt by more than $2.8 billion since Q1-22 ▪ At 3/31/23, PBF had cash in excess of d
Slide 13: Path to Increased Value – Capitalizing on Strong Market Dynamics
Path to Increased Value – Capitalizing on Strong Market Dynamics 4 5 3 Diversify Increase 2 Consolidate and pursue growth shareholder returns structure opportunities Continue 1 to de-lever by reducing total debt Operate refineries reliably to generate cash COMPLETE IN PROGRESS ONGOING 13
Slide 14: Slide 14
Slide 15: Refining rationalization and improving demand
▪ Domestic refining rationalization has reduced U.S. domestic refining capacity by more than 1 million barrels per day ▪ Demand is improving with U.S. vehicle-miles traveled approaching pre-pandemic trends and jet fuel demand continuing to recover ▪ Clean product stocks are trending near or below 5-
Slide 16: Following the Pandemic, Vehicle-Miles Traveled in the U.S. Resumed an Upward Growth Trend
Following the Pandemic, Vehicle-Miles Traveled in the U.S. Resumed an Upward Growth Trend VMT (seasonally-adjusted) 3.3 3.2 3.1 Miles (billions) 3.0 2.9 2.8 2.7 16 Source: Bloomberg
Slide 17: Air Traveler Numbers Exceeding Pre-Pandemic Levels
Air Traveler Numbers Exceeding Pre-Pandemic Levels TSA Checkpoint Flow 3,000,000 2,500,000 2,000,000 Passengers 1,500,000 1,000,000 500,000 - Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2023 2022 2021 2019 17 Source: Bloomberg
Slide 18: DOE Inventory Levels Remain Below Average Ranges
DOE Inventory Levels Remain Below Average Ranges Crude Stocks (x.SPR) Finished Gas Stocks 550,000 30,000 530,000 28,000 510,000 26,000 490,000 24,000 470,000 22,000 BBLs (M) BBLs (M) 450,000 20,000 430,000 18,000 410,000 16,000 390,000 14,000 370,000 12,000 350,000 10,000 Jan Feb Mar Apr May Jun Jul
Slide 19: Key Products Days of Forward Cover Are In-line with Historical Averages
Key Products Days of Forward Cover Are In-line with Historical Averages at High Industry Utilization Days of Gasoline Cover 50 45 40 Days 35 30 25 20 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Days of Distillate Cover 55 50 45 40 Days 35 30 25 20 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Slide 20: Regional RIN-Adjusted Crack Spreads Trend Elevated
Regional RIN-Adjusted Crack Spreads Trend Elevated East Coast 2:1:1 Chicago 4:3:1 80 60 70 50 60 40 50 30 ($/bbl) ($/bbl) 40 20 30 10 20 - 10 (10) - (20) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Gulf Coast 2:1:1 West Coast 4:3:1 60 120 50 100 80
Slide 21: Appendix
Slide 22: EBITDA definition
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 measure for planning and forecas
Slide 23: Indicative calculation of regional refining benchmarks
▪ Indicative calculation of regional refining benchmarks(1) in dollars per barrel: • East Coast • Dated Brent (NYH) 2-1-1 • Calculated as: (1*RBOB) + (1*ULSD) – (2*Dated Brent) • Mid-Continent • WTI (Chicago) 4-3-1 • Calculated as: (3*CBOB) + (0.5*ULSD) + (0.5*GC Jet) – (4*WTI) • Gulf Coast • LLS (G