Slide 1: OCI N.V. Investor Presentation
OCI N.V. Investor Presentation May 2016
Slide 2: OCI N.V. Profile
OCI N.V. Profile Leading global natural gas-based fertilizer & chemicals producer ‒ Production facilities in the United States, the Netherlands, Egypt and Algeria complemented by global distribution network ‒ Top 5 five global nitrogen-based fertilizer producer: current total sellable fertilizer &
Slide 3: OCI's Asset Portfolio – Fertilizer & Chemicals
OCI’s Asset Portfolio – Fertilizer & Chemicals 6 Operating Facilities in 4 Countries and 2 Under Construction Iowa Fertilizer Co. (IFCo) BioMCN (Netherlands) OCI Nitrogen (Netherlands) Under construction 440 ktpa of methanol 1.45 mtpa of CAN (operational) 350 ktpa of sellable ammonia Plann
Slide 4: Fertilizer & Chemicals – Current and Future Capacity Additions
Fertilizer & Chemicals – Current and Future Capacity Additions Design Capacities¹ Total Total Fertilizer & ('000 metric tons) Ammonia Fertilizer Chemicals Plant Country Ownership2 Gross Net3 Urea UAN4 CAN For Sale Methanol Melamine5 DEF For Sale Egyptian Fertilizers Company Egypt 100% 800 - 1,550 -
Slide 5: Fertilizer Assets - Overview
Fertilizer Assets - Overview
Slide 6: OCI Nitrogen (Netherlands) - Superior Position in Europe
OCI Nitrogen (Netherlands) - Superior Position in Europe Location and Branded Product Mix Provide Competitive Advantage One of the largest global single sites o Highly integrated ammonia / nitrate production o On-site facilities / utilities shared with DSM, SABIC, Lanxess and others Located near
Slide 7: European Operations Benefit from Low Gas Price
European Operations Benefit from Low Gas Price Netherlands Natural Gas Spot Prices 2014 – 2016 YTD* 12 European natural gas prices have declined substantially $11.0/MMBtu 11 since 2013: 10 9 $ per MMBtu ‒ Netherlands TTF natural gas prices: Q4 2015 down 8 $4.1/MMBtu 14% on average compared to Q3 2
Slide 8: North American Producers Expected to Remain Highly Profitable
North American Producers Expected to Remain Highly Profitable IFCo - Optionality to Source Gas from Both Southern and Northern Markets Natural Gas Forward Curve for NYMEX Henry Hub has Decreased Significantly Since 2013 ($/MMBtu) $7.50 April 2013 $6.00 April 2015 $4.50 April 2016 $3.00 $1.50 2016 20
Slide 9: Producers in US Midwest Benefit from Significant Price Premium over Gulf Coast
Producers in US Midwest Benefit from Significant Price Premium over Gulf Coast IFCo is Direct Beneficiary UAN Pricing: Protective US Midwest Premium (US$ / st) 350 300 250 200 150 Existing nitrogen 100 production facility 50 0 New CF / OCI capacity Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Co
Slide 10: United States Expected to Remain Import market in Foreseeable Future
United States Expected to Remain Import market in Foreseeable Future OCI/CF Only Agri-Focused Expansions to Materialize Since 2012, at Least 24 new North American projects have been announced However, to date, only 3 new nitrogen fertilizer plants have proceeded to construction ‒ 17 projects can
Slide 11: IFCo – Greenfield Expansion Project
IFCo – Greenfield Expansion Project Overview Greenfield nitrogen fertilizer and industrial chemical production facility IFCo’s diversified nitrogen fertilizer product portfolio includes design capacities of 1.5 mt of UAN, 875 kt of ammonia and 420 kt of urea, in addition to 315 kt of diesel exha
Slide 12: IFCo – Construction Progress
IFCo – Construction Progress 12
Slide 13: IFCo – Construction Progress
IFCo – Construction Progress 13
Slide 14: Upside Potential from Egyptian Operations
Upside Potential from Egyptian Operations Improving Gas Supply in Egypt Upside Potential Egyptian government ramps up LNG imports Improved gas supply from November 2015 ‒ Lower global LNG pricing and availability of LNG ‒ EFC has been operating at utilization rates in excess of 80% in conducive
Slide 15: Sorfert Deleveraging Rapidly
Sorfert Deleveraging Rapidly Strong Cash Flow Generation Plant Overview Benefits from competitive low price long-term gas contract 1.26 mtpa urea and 1.8 mtpa gross ammonia export-focused Significant contributor to Consolidated Group EBITDA – expect production complex in Algeria first dividend
Slide 16: Methanol Assets - Overview
Methanol Assets - Overview OCI
Slide 17: Methanol – Robust Long-Term Demand Growth >6% Per Year Expected
Methanol – Robust Long-Term Demand Growth >6% Per Year Expected Methanol is one of the world’s most widely used industrial chemicals with diversity of applications – from paints and plastics, furniture and carpeting, to car parts and windshield wash fluid Historical demand growth has been robust
Slide 18: Methanol Demand Expected to Outstrip Supply Growth in the United States
Methanol Demand Expected to Outstrip Supply Growth in the United States In 2014, the U.S. imported approximately 4.8 million metric tons of methanol to meet its supply deficit (69% of consumption) U.S. methanol demand is expected to increase at a CAGR of 6.3% between 2015 and 2020, driven by GDP
Slide 19: OCI Partners
OCI Partners Facility Overview OCI’s facility near Beaumont, TX (“OCI Beaumont”) is an integrated methanol and ammonia facility strategically located on the Texas Gulf Coast OCI N.V. acquired the Beaumont plant from Eastman Chemical Company in May 2011. Previously the Beaumont plant was owned by
Slide 20: Natgasoline – Greenfield Scheduled for Completion in 2017
Natgasoline – Greenfield Scheduled for Completion in 2017 Natgasoline LLC Overview World scale greenfield methanol production complex currently under development, located in Beaumont, Texas Expected to produce approximately 1.75 million metric tons of methanol per year Well positioned in the U
Slide 21: Natgasoline – New Strategic Partner
Natgasoline – New Strategic Partner New 50% Strategic Partner: ‒ In April 2016, OCI and CEL entered into definitive agreements for an investment by CEL in a 50% stake in Natgasoline in participation with OCI CEL adds expertise across the value chain: ‒ One of the world’s largest merchant produce
Slide 22: Natgasoline LLC Aerial Site
Natgasoline LLC Aerial Site 22
Slide 23: Natgasoline LLC Site Photos
Natgasoline LLC Site Photos Reformer Box Erection Intermediate Methanol Storage Tanks Pipe Rack Erection Columns and ASU 23
Slide 24: BioMCN Unlocking Strategic Value
BioMCN Unlocking Strategic Value BioMCN Overview Strategic Location in The Netherlands OCI acquired BioMCN in June 2015 for EUR 15M BioMCN is one of Europe’s largest methanol producers and a pioneer in bio-methanol Consists of two plants, of which one operational (440 ktpa) and one mothballed
Slide 25: OCI N.V. History
OCI N.V. History OCI
Slide 26: Company History
Company History Established in the 1950s by Onsi Sawiris as a construction contractor in Egypt 1950 - Construction Present Developed into a leading industry player across the Middle East, Asia, USA and Europe 1996 - Developed cement group from a single production line in Egypt with capacity of
Slide 27: Listing Information
Listing Information OCI
Slide 28: OCI N.V. Listing Information
OCI N.V. Listing Information Listing Information Headquartered in Amsterdam, The Netherlands Trading on Euronext Amsterdam since 25 January 2013 (NYSE Euronext: OCI) Number of shares: 210,113,854 Demerger of Construction business effective 9 March 2015: ‒ $ 1.4 bn repayment of capital to OCI
Slide 29: Disclaimer
Disclaimer Forward Looking Statements Certain statements contained herein are “forward-looking statements”. These forward-looking statements address certain plans, activities or events which OCI expects will or may occur in the future and relate to, among other things, the business combination trans
Slide 30: Disclaimer
Disclaimer Important Additional Information and Where to Find It This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. In connection with the proposed transactions, the new holding company for the comb
Slide 31: For OCI N.V. investor relations enquiries contact
For OCI N.V. investor relations enquiries contact: Hans Zayed hans.zayed@oci.nl T +31 (0) 6 18 25 13 67 OCI N.V. corporate website: www.oci.nl