29 slides from Channel Infrastructure Nz's shareholder meeting presentation, May 10, 2022
Slide 1: Annual Shareholders' Meeting 2022
Annual Shareholders’ Meeting 2022 10 May 2022
Slide 2: Agenda
Agenda • Chairman’s address • CEO’s address • Resolutions and voting • General business #
Slide 3: Chairman's address
Chairman’s address Simon Allen
Slide 4: Successful completion of Strategic Review
Successful completion of Strategic Review Strategic review commenced in April 2020 and officially launched as Channel infrastructure on 1 April 2022 Simplification of refinery, creating time for customer negotiations and planned transition Strong shareholder and lender support for terminal conve
Slide 5: Fundamental change in business and financial risk profiles
Fundamental change in business and financial risk profiles Significantly lower earnings volatility Lower operational risk and capital intensity Reduced energy cost and carbon exposure 8
Slide 6: A long-term sustainable operating model with strong aspirations for growth
A long-term sustainable operating model with strong aspirations for growth
Slide 7: Board refresh and Corporate Governance changes
Board refresh and Corporate Governance changes Simon Allen James Miller Anna Molloy Andrew Holmes Chairman Chairman-elect Director (appointed April 2022) Director (appointed April 2022) Lucy Nation Vanessa Stoddart Paul Zealand Lindis Jones Director Director Director Director • Completed Corporate G
Slide 8: CEO's address
SA Channel CEO’s address Naomi James
Slide 9: All key priorities achieved in 2021
All key priorities achieved in 2021 Safe and reliable operations throughout 2021 Turnaround 2021 executed safely, on time and within budget Maintain cash break-even operations at the Fee Floor Conclude import terminal negotiations with customers Progress required shareholder and lender app
Slide 10: 2021 Safety and Financial Highlights
2021 Safety and Financial Highlights Total Recordable Safety Cases: 0 Pipeline Throughput: 13.4 Mbbl 2020: 0 2020: 14.7 Mbbl EBITDA: $72.8m Capital Expenditure: $33.4m 2020: $50.4m 2020: $33.9m Net Debt: $183.6m Net Assets: $495.5m 2020: $231.3m 2020: $563.9m 8
Slide 11: Strong focus on stakeholder relationships
Strong focus on stakeholder relationships Active engagement across fuel security, Government domestic fuel stockholding, biofuels mandate and Marsden Point/Northland transition Working with local Iwi partners under new Iwi long-term relationship agreements New 35-year resource consent obtained for N
Slide 12: Conversion execution tracking to plan
Conversion execution tracking to plan Successfully commenced import terminal operations on 1 April 2022 Terminal conversion project Private storage • Tracking to plan with $20 million spent • Private storage tanks not requiring to 31 March conversion work in operation • Refinery shutdown completed s
Slide 13: Looking to the future with confidence with a sustainable business
Looking to the future with confidence with a sustainable business #
Slide 14: Critical infrastructure delivering stable earnings through long-term customer agreements
Critical infrastructure delivering stable earnings through long-term customer agreements and focused growth strategy Ownership of critical infrastructure Long-term customer contracts MARSDEN POINT TO AUCKLAND PIPELINE Projected stable earnings and cash flows Strong balance sheet Supporting
Slide 15: Earnings stability enables a focus on return to dividend payments
Earnings stability enables a focus on return to dividend payments Projected stable earnings and cashflows Indicative FY23 Financial metrics • Stable earnings and significant cash flow generation (in nominal terms, ($m) includes contracted private storage) • Benefit of significant tax losses Terminal
Slide 16: Retail bond launched
Retail bond launched • Channel Infrastructure NZ Limited launched a five-year unsecured, unsubordinated, fixed-rate retail bond offer of up to $100 million (with ability to accept over subscriptions of up to $25 million at our discretion) on 6 May 2022 with Debt Maturity Profile minimum coupon of 5.
Slide 17: Supporting New Zealand's decarbonisation
Supporting New Zealand’s decarbonisation First Sustainability Report issued April 2022, aligned to TCFD reporting standards Target to have at least 90% of employees Just Transition seeking new employment find new roles or are retrained within 6-months Net Zero Net Zero Scope 1 and 2 emissions by 203
Slide 18: Strong aspirations for growth with a focused growth strategy
Strong aspirations for growth with a focused growth strategy Well positioned to support New Zealand’s changing fuel needs • Strategic fuel storage Flexibly developing • Growth in electricity Marsden Point as an energy hub for the • Other imports north of New Zealand • Transition to imports, producti
Slide 19: Resolutions and Voting
Resolutions and Voting Simon Allen
Slide 20: How to Participate in Virtual Meetings
How to Participate in Virtual Meetings Shareholder & Proxyholder Q&A Participation Written Questions: Questions may be submitted ahead of the meeting. If you have a question to submit during the live meeting, please select the Q&A tab on the right half of your screen at anytime. Type your question i
Slide 21: Resolutions
Resolutions 1. Re-election of James Miller 2. Re-election of Paul Zealand 3. Election of Andrew Holmes 4. Election of Anna Molloy 5. Auditor’s Remuneration 6. Constitution
Slide 22: Resolution 1: Re-election of James Miller as Director
Resolution 1: Re-election of James Miller as Director That Mr. James Miller, who retires by rotation in accordance with clause 8.9 of the Constitution, be re-elected as a Director of the Company James Miller Director
Slide 23: Resolution 2: Re-election of Paul Zealand
Resolution 2: Re-election of Paul Zealand That Mr. Paul Zealand, who retires by rotation in accordance with clause 8.9 of the Constitution, be re-elected as a Director of the Company Paul Zealand Director
Slide 24: Resolution 3: Election of Andrew Holmes
Resolution 3: Election of Andrew Holmes That Mr. Andrew Holmes, who retires in accordance with clause 8.8 of the Constitution, be elected as a Director of the Company Andrew Holmes Director
Slide 25: Resolution 4: Election of Anna Molloy
Resolution 4: Election of Anna Molloy That Ms. Anna Molloy, who retires in accordance with clause 8.8 of the Constitution, be elected as a Director of the Company Anna Molloy Director
Slide 26: Resolution 5: Auditor's Remuneration
Resolution 5: Auditor’s Remuneration That Directors be authorised to fix the fees and expenses of EY as auditors to the Company for the financial year ending 31 December 2022.
Slide 27: Resolution 6: Constitution
Resolution 6: Constitution That the Constitution be revoked, and a new Constitution in the form presented at the Annual Meeting and signed by the Chairperson for the purpose of identification be adopted with effect from the date of this Annual Meeting.
Slide 28: Questions
op) Channel Infrastructure NZ Questions
Slide 29: This concludes the 2022 Annual Shareholders' Meeting
This concludes the 2022 Annual Shareholders’ Meeting. Thank you for attending!