Apa Group · ASX:APA
Apa — Macquarie Australia Conference 2022
24 slides from Apa's conference presentation, May 5, 2022
Slide 1: APA Group: The critical role of gas in Australia's energy transition
APA Group The critical role of gas in Australia's energy transition Macquarie Australia Conference 5 May 2022
Slide 2: Disclaimer
disclaimer This presentation has been prepared by Australian Pipeline Limited (ACN 091 344 704) as responsible entity of the Australian performance to differ materially from such forward-looking statements, opinions and estimates. Pipeline Trust (ARSN 091 678 778) and APT Investment Trust (ARSN 115
Slide 3: Acknowledgement of Traditional Custodians
In the spirit of reconciliation APA acknowledges the Traditional Custodians of country throughout Australia and their connections to land, sea and community. We pay our respects to their elders past and present, and extend that respect to all Aboriginal and Torres Strait Islander Peoples today. APA
Slide 4: Our people are the key to our success
Our people are the key to our success APA Macquarie Conference May 2022 4
Slide 5: Well positioned to support a low emissions future
Well positioned to support a low emissions future APA Macquarie Conference May 2022 5
Slide 6: Transitioning Australia's energy system
Transitioning Australia’s energy system Australia’s emissions in 2021 by sector(1) National Electricity Market (NEM) generation mix(2) Waste Industrial Processes Gas 3% & product use 7% Hydro 15% 7% 33% Wind Fugitive 10% Electricity 10% 501 Mt CO2-e 203 TWh Agriculture & 1% LULUCF 11% Solar 65% Tran
Slide 7: Gas is an essential companion to renewables and a vital industrial energy source
Gas is an essential companion to renewables and a vital industrial energy source South Australia’s energy mix (1) East Coast Gas Consumption 2021(2) 14.4 TWh 14.9 TWh 6% 18% 18% Battery and other 30% Solar Wind 36% Gas 39% Coal 553 PJ Imports 31% 35% 47% 18% Power Generation 15% Industrial 8% Reside
Slide 8: APA is investing to support energy markets
APA is investing to support energy markets South West Pipeline Expansion East Coast Grid Expansion • Response to potential 2023 shortfall with • Increasing winter peak capacity up to 25% pipeline augmentation through two-staged expansion • Capital investment of ~$60m • Capital investment of ~$270m K
Slide 9: Expertise and experience in operating and developing energy infrastructure
Expertise and experience in operating and developing energy infrastructure Regulated/contracted Regulated/contracted Renewables Hydrogen gas infrastructure Electricity infrastructure & Firming Strong organic growth pipeline, now in excess of $1.4 billion(1) Notes: (1) As at 23 February 2022 APA Macq
Slide 10: Supporting our customers with their decarbonisation efforts
Supporting our customers with their decarbonisation efforts Mica Creek Solar Farm • 88MW solar farm backed by gas power generation; biggest off-grid solar in Australia • Capital investment ~$150m Gruyere Hybrid Energy Microgrid • Combined gas, renewable energy and battery storage energy solution • C
Slide 11: Opportunities in electricity transmission via renewable energy zones
Opportunities in electricity transmission via renewable energy zones REZ development 2049-50 122 GW 35 REZs $30+ B – Step Change scenario(4) additional VRE shortlisted across New transmission capacity by 2050(1) eastern Australia(2) investment(3) Renewable Energy Zones (REZ) REZ are resource areas f
Slide 12: Investment in future energy technologies
Investment in future energy technologies Parmelia Gas Pipeline Victorian Transmission Central Queensland Mid-West Blue H2 Hydrogen Project System Hydrogen Project & CCS Project • Proposed 100% hydrogen • Proposal to develop • Feasibility study into the • Feasibility study to identify conversion of a
Slide 13: Growth strategy aligned with Net Zero ambition
Growth strategy aligned with Net Zero ambition Net Zero 2050 • Progressing our ambition to achieve Net Zero operational emissions (Scope 1 and 2) by 2050 • Interim targets to be released during 2022 Net Zero ambition • Net Zero ambition embedded in our decision-making • A Climate Change Management P
Slide 14: Strategy and capability to be world class in energy solutions
Strategy and capability to be world class in energy solutions Leading energy Delivering on Attractive growth infrastructure our strategy opportunities company APA Macquarie Conference May 2022 14
Slide 15: Thank you
always apa Powering ahead Thank you
Slide 16: Appendix
Appendix APA Macquarie Conference May 2022 16
Slide 17: APA is a leading energy infrastructure business
APA is a leading energy infrastructure business Creating value for our Securityholders Diverse energy infrastructure portfolio and the Community • Developing and operating critical energy infrastructure Gas infrastructure Power Generation • Australia's largest gas pipeline owner and operator Transmi
Slide 18: Existing APA operational footprint diversified across a range of energy infrastructure assets
Existing APA operational footprint diversified across a range of energy infrastructure assets Assets and Investments Glossary GLOSSARY: AGP Amadeus Gas Pipeline BGP Bonaparte Gas Pipeline BWSF Badgingarra Wind and Solar Farms BWP Berwyndale Wallumbilla Pipeline CGP Carpentaria Gas Pipeline CRP Centr
Slide 19: Group structure
Group Structure Group structure Australian Pipeline Trust APT Investment Trust (APT) (APTIT) • APA Group is listed as a stapled structure on the Australian Securities Exchange (ASX:APA) Australian Pipeline Limited • APA is comprised of two registered managed investment schemes: (Responsible Entity)
Slide 20: Low risk business model
Energy Infrastructure revenue by Low risk business model • Solid risk management processes in place Revenue type 11.7% Capacity charge 2.3% Regulated • Continue to manage counterparty risks by: 8.9% ~87% Contracted fixed • Diversification of customers and industry exposures Take or Throughput & othe
Slide 21: 5 year normalised financials
5 year normalised financials Financial Performance 1H22 1H21 FY21 FY20(1) FY19(1) FY18(1) FY17 Revenue $m 1,384.4 1,295.0 2,605.3 2,590.6 2,452.2 2,386.7 2,326.4 Revenue excluding pass-through(2) $m 1,117.7 1,071.8 2,144.5 2,129.5 2,031.0 1,941.4 1,888.3 Underlying EBITDA(3) $m 859.8 822.8 1,633.0 1
Slide 22: Debt maturity profile
Debt maturity profile APA maintains diversity of funding sources and spread of maturities Undrawn committed facilities 536 AUD AUD DCM bonds(2) USD DCM bonds(3) 1,396 (USD 1,100) 1,140 (USD 886) 879 (USD 683) 1,104 1,018 925 500 770 738 379 (USD 300) 650 450 200 50 50 133 FY22 FY23 FY24 FY25 FY26 FY
Slide 23: APA Investor Morning: Friday 6 May 2022
APA Investor Morning: Friday 6 May 2022 Register for the in-person event or webcast here APA Macquarie Conference May 2022 23
Slide 24: For further information
For further information Kynwynn Strong General Manager, Investor Relations M: +61 410 481 383 E: kynwynn.strong@apa.com.au www.apa.com.au