Delek Us Holdings, Inc. · NYSE:DK
Delek Us — Investor Presentation (November 2012)
22 slides from Delek Us's investor presentation, Nov 13, 2012
Slide 1: Investor Presentation November 2012
Investor Presentation November 2012
Slide 2: Safe Harbor Provision
Safe Harbor Provision 2 Delek US Holdings is traded on the New York Stock Exchange in the United States under the symbol “DK” and, as such, is governed by the rules and regulations of the United States Securities and Exchange Commission. This presentation may contain forward-looking statements that
Slide 3: Integrated Downstream Energy Company
Integrated Downstream Energy Company(1) Breadth of Exposure Across Refining, Wholesale Marketing and Retail Distribution Operates 140,000 BPD of combined refined production capacity in Texas and Arkansas Refining Segment ) Owned crude/product terminals and pipeline assets in Texas, Arkansas and Tenn
Slide 4: Recent Financial Performance
$158.3 $16.9 $62.1 $85.3 $164.3 $46.2 $67.8 $100.3 $214.3 FY 2011 Q1 Q2 Q3 YTD 2011 2012 Recent Financial Performance 4 (1) Represents net income from continuing operations; YTD as of September 30 (2) Delek US assumed operational control of the El Dorado refinery and related assets through the acqui
Slide 5: Refining Segment Operational Update
Refining Segment Operational Update
Slide 6: Longview and Rail Support Crude Slate Flexibility for Refining System
Longview and Rail Support Crude Slate Flexibility for Refining System 6 Focused On Increasing Refining System Access to Cost-Advantaged Feedstocks Introduced rail into El Dorado Capacity up to 18,000 bpd
Slide 7: Year-over-Year Improvement in Refining Economics
$17.54 $23.14 $30.80 $30.23 $24.52 $23.87 $25.42 $29.96 $31.02 $26.85 $0.00 $5.00 $10.00 $15.00 $20.00 $25.00 $30.00 $35.00 Q1 Q2 Q3 October YTD 2011 2012 +$2.33/bbl on a y/y basis 54,407 60,032 47,452 55,317 58,461 127,784 145,878 146,190 134,017 127,097 130,346 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4
Slide 8: Favorable Refining Economics Continue Into 4Q12
($30.00) ($20.00) ($10.00) $0.00 $10.00 $20.00 $30.00 $40.00 Ja n -1 0 Fe b -1 0 M ar -1 0 A p r- 1 0 M ay -1 0 Ju n -1 0 Ju l- 1 0 A u g- 1 0 Se p -1 0 Oct -1 0 N o v- 1 0 D e c- 1 0 Ja n -1 1 Fe b -1 1 M ar -1 1 A p r- 1 1 M ay -1 1 Ju n -1 1 Ju l- 1 1 A u g- 1 1 Se p -1 1 Oct -1 1 N o v- 1 1 D e
Slide 9: Crude Slate Transition at El Dorado Underway
Crude Slate Transition at El Dorado Underway 9 Historically processed local Arkansas, domestic offshore and foreign crude oils El Dorado Has A Diverse Crude Slate Ability to displace expensive foreign and GC crudes with discounted local, inland crudes Supplying More WTI-Linked Barrels We Anticipate
Slide 10: Improved Access to Rail Supplied Crude to El Dorado
Improved Access to Rail Supplied Crude to El Dorado 10 Including Bakken, Canada, Eagle Ford, and Cushing Access to addition types of crude Allows increased throughput to above 70,000 bpd at the El Dorado Refinery Expected increase in Q4 total throughput Rail capabilities improve access to more econo
Slide 11: Access To Lower Cost Crude at Tyler Refinery
Access To Lower Cost Crude at Tyler Refinery 11 Processes primarily West Texas Intermediate and East Texas crude oils On a blended basis, Tyler is purchasing crude at $2.37/bbl above WTI in 3Q12 Tyler Crude Costs Near Parity with WTI Tyler Refinery Enjoys An Advantaged Crude Slate – Anticipate More
Slide 12: Identified Quick-Hit Capital Projects
Identified “Quick-Hit” Capital Projects 12 Completed Low-Cost, High-Return Capital Projects at Tyler and El Dorado LSR/Sat Gas Project (LSR) -El Dorado Scope: Improve liquid recovery of Butane & Propane at El Dorado Cost: $14.5 million Anticipated Return: $15-18 million contribution margin ann
Slide 13: Retail Segment Operational Update
Retail Segment Operational Update
Slide 14: Growth In Same-Store Sales
Growth In Same-Store Sales Key Factors That Drive Same-Store Sales Relevant Factors: Location, size, appeal, offering, affordability, people Same-Store Merchandise Sales ) Relevant Factors: Commodity prices, weather, empl oyment, supply disruptions Same-Store Gallons Sold 14 Consistent Growth In Sam
Slide 15: Store Reimaging & New Construction Initiatives
Store Reimaging & New Construction Initiatives(1) Reimaging and Construction Update Approximately 182 stores have been built or reimaged since 2006 Multi-Year Store Enhancement Initiative ) Long-term target of at least 8-12 new large-format builds per annum Multi-Year New Store Construction Plan 15
Slide 16: Marketing Segment Operational Update
Marketing Segment Operational Update
Slide 17: Midstream Assets Generate Consistent Results
$23.3 $23.7 $24.8 $26.2 $20.2 $25.3 2008 2009 2010 2011 YTD 2011 YTD 2012 16,557 13,378 14,354 15,595 15,546 21,573 2008 2009 2010 2011 YTD 2011 YTD 2012 Midstream Assets Generate Consistent Results Wholesale Marketing In West Texas Owned (San Angelo, Abilene, Tyler); Third-Party (Aledo, Odessa, Big
Slide 18: Completed IPO of Logistics Assets on November 7, 2012
Completed IPO of Logistics Assets on November 7, 2012 18 (1) Tyler, TX and El Dorado, AR refineries are not be included in the MLP • Approximately 200 miles of transportation pipelines and a 600 mile crude oil gathering system, in addition to associated storage facilities with 1.4 million barrels of
Slide 19: Appendix Additional Data
Appendix Additional Data
Slide 20: Differential Between Midland and Cushing Sourced WTI
($7.00) ($6.00) ($5.00) ($4.00) ($3.00) ($2.00) ($1.00) $0.00 WTI Midland vs. WTI Cushing 20 Differential Between Midland and Cushing Sourced WTI (1) Source: Argus 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12
Slide 21: Historical and Projected Capital Spending
$42.3 $36.0 $82.7 $14.5 $45.0 $50.4 2010 (A) 2011 (A) 2012 (E) Refining Retail, Marketing and Other Historical and Projected Capital Spending 21 2010: $56.8 mm 2011: $81.0 mm 2012 (E): $133.1 mm Estimate includes a full- year of capital spending at Lion Oil Company
Slide 22: Investor Relations Contact
Investor Relations Contact: Assi Ginzburg Keith Johnson Executive Vice President Vice President of Investor Relations 615-224-1158 615-435-1366
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