Crown LNG Holdings Limited · OTC:CGBSF
Crown LNG — SPAC Merger (August 2023)
41 slides from Crown LNG's SPAC merger presentation, Aug 3, 2023
Slide 1: Investor Presentation August 2023
Investor Presentation August 2023 Rendering of GBS regas terminal
Slide 2: Disclaimer
Disclai m er 2 About this Presentation This presentation relates to a proposed business combination (the “Business Combination”) between Crown LNG Holdings Limited (“PubCo”), which will be a holding company of Crown LNG Holding AS (the “Company”) and Catcha Investment Corp (“Catcha”). The informatio
Slide 3: Disclaimer (cont.)
Disclaimer (cont.) 3 These forward - looking statements are based upon estimates and assumptions that, while considered reasonable by Catcha and its management, and PubCo and the Target Companies and their management, as the case may be, are inherently uncertain. Factors that may cause actual result
Slide 4: Contents
Con t ents Introduction 1. Our Market Opportunity 2. Our Projects 3. Transaction Overview 4. 4
Slide 5: Unique Opportunity to Invest in LNG Demand Growth Globally
Unique Opportunity to Invest in LNG Demand Growth Globally Description Key Terms Crown LNG Holding AS, a UK - incorporated company Leading provider of all - weather LNG terminals infrastructure solutions Target Company: Catcha Investment Corp (NYSE American: CHAA) New economy focused SPAC focused on
Slide 6: Executive Summary Highlights
Executive Summary Highlights Offshore LNG Infrastructure Pioneer Leading provider of all - weather LNG liquefaction and regasification terminals infrastructure solutions Macro Tailwinds Accelerating LNG Demand Globally Dramatic increase in transition fuel demand and energy security concerns are driv
Slide 7: Crown LNG Execution Team
Crown LNG Execution Team ▪ ▪ Co - founded Catcha Group in 1999 ▪ Founded and taken 5 digital business from their early stages to IPO in Australia and Southeast Asia Recognized for the Global Leader of Tomorrow award by the World Economic Forum and Asia’s Best Young Entrepreneur by Bloomberg Business
Slide 8: Vision and Mission
Vision: Enhancing energy security & supporting a responsible green energy transition Mission: To provide offshore LNG critical infrastructure suitable for year - round operations in any harsh weather location Note(s): Photo depicted represents a frame extracted from third - party GBS facility video
Slide 9: Contents
Con t ents Introduction 1. Our Market Opportunity 2. Our Projects 3. Transaction Overview 4. 9
Slide 10: Why Natural Gas Now?
Why Natural Gas Now? L i m i t ed con t a m i na ti on risk to soil or water sources (6) Easy to transport in pipelines, ships and tankers (2) 1/10 th Emissions from natural gas power vs. coal - fired plants (4) 50% Lower CO2 emissions than anthracite coal (5) 7 Q u adr i l l i o n Cubic feet of abu
Slide 11: Where Crown Fits in the LNG Value Chain
Where Crown Fits in the LNG Value Chain PRODUCTION T R A N SP OR T A T ION CONSUMPTION LIQUEFACTION REGASIFICATION 1 2 Natural gas is cooled ( - 162 ƒ C) for transportation by ship Liquid natural gas is turned back into gas and piped to consumers and business Crown LNG Helps Enable Critical Access t
Slide 12: Offshore LNG Technology Overview
Source(s): (1) Based on management estimates; (2) Based on established design requirement in Crown’s Design Basis î CAPEX intensive î Material land acquisition required î Higher offtake threshold to secure financing î Long build time î Safety concerns especially in populated areas î Immobile x Lower
Slide 13: Massive Addressable Market for Crown
Massive Addressable Market for Crown Argentina Gulf of Mexico Mauritania / Senegal Timor Leste Sierra Leone Pakistan Bangladesh Myanmar Chin a Tai w a n Dominican Republic St. Johns / Halifax Canada Sc otl and India A ruba Ni c aragua Togo Andaman and Nicobar Islands Tan z a ni a Namibia The GBS sol
Slide 14: GBS – Proven Design Based on Years of Aker Experience
1977 GBS – Proven Design Based on 50 Years of Aker Experience 50 - Year GBS Track Record Includes Prominent Offshore Oil and Gas Projects (3) : Superior Bottom - fixed solution replaces floating and land - based alternatives Stable 97%+ LNG infrastructure uptime even in extreme weather conditions (1
Slide 15: Crown is Uniquely Positioned Relative to Existing LNG Infrastructure Players
Crown is Uniquely Positioned Relative to Existing LNG Infrastructure Players Protected Conditions Floating - Based Gr a v it y - Ba s e d All Weather Conditions Liquefaction Regasification ▪ Adriatic LNG in Italy was the 1 st (and only) offshore GBS for LNG, completed in 2009 (1) ▪ Owned by SNAM, Ex
Slide 16: Industry-Leading Partners
Industry - Leading Partners EPCIC CONTRACTOR Leading global EPCIC provider of off - shore energy installations for more than 50 years, with 23 GBS built in offshore environments to date (1) Global leader in innovative technologies and lifecycle solutions for the marine and energy markets; has delive
Slide 17: EPCIC Partners, Contracts and Counterparties Enhance Bankability
EPCIC Partners, Contracts and Counterparties Enhance Bankability Sub - Con tra c to r Rega s if i c at i o n Development Partner Sub - Contractor Power & Electricals Contracts Structured for Bankability Illustrative Potential Customers Leading EPCIC Players in the Offshore, LNG and Power Sectors Blu
Slide 18: Contents
Con t ents Introduction 1. Our Market Opportunity 2. Our Projects 3. Transaction Overview 4. 18
Slide 19: Diversified Project Pipeline
N e w foundl a nd, Canada Vung Tau, Vietnam Grangemouth, United Kingdom Kakinada, India Installation GBLNG GBSRU FSRU GBSRU Q4’2032 Q2’2030 Q1’2027 Q1’2028 First Gas 9.0 MTPA 10.0 MTPA 5.0 MTPA 7.2 MTPA Expected Capacity $8,000M - $9,000M $1,200M - $1,300M $542M $1,047M CAPEX * Q1’2028 Q4’2026 Q3’20
Slide 20: Kakinada Development Update
Kakinada Development Update Source(s): (1) Petroleum and Natural Gas Regulatory Board (PNGRB) “Natural Gas Pipelines Network in India” as of 3/31/2022; (2) National Centers for Environmental Information “Annual 2022 Tropical Cyclones Report” as of 1/2023; (3) Invest India “Oil & Gas” as of 7/28/2023
Slide 21: Kakinada Key Preparations to FID
Kakinada Key Preparations to FID Location Approval & Licenses Engineering Customers ▪ Exact location has been identified, 19Km offshore from Kakinada, along with pipeline route to Land Fall Point ▪ Gas distribution infrastructure in place via two pipelines: GAIL’s local pipeline and Brookfield’s Eas
Slide 22: Kakinada - Illustrative Timeline to First Gas
Kakinada - Illustrative Timeline to First Gas First Gas ▪ Front End Engineering Development (FEED) ▪ Seabed survey ▪ EPCIC con tract w ith A ke r ▪ Detailed Engineering ▪ Purchase orders C o nstruction ▪ GBS structure construction ▪ LNG tank installations Engineering and Procurement Transaction Clos
Slide 23: Illustrative Revenue Model for Kakinada
Illustrative Revenue Model for Kakinada ▪ Currently in advanced discussion with several leading Indian re - gas customers, with Terminal Use Agreements (TUAs) expected to be executed before FID, consistent with industry practice ▪ Diversified contract tenures, with different customer segment targets
Slide 24: Grangemouth Development Update
Grangemouth Development Update Natural Gas Infrastructure of Scotland Crown’s Market Opportunity ▪ UK is striving for energy independence and diversification post - Brexit and the Ukraine war ▪ UK relies heavily on pipeline imports with only three operational LNG import terminals ▪ LNG imports incre
Slide 25: Grangemouth Key Preparations to FID
Grangemouth Key Preparations to FID Location Approval & Licenses Engineering Customers ▪ Entered exclusivity agreement with GBTron for use of the site ▪ Scottish Gas Networks grid access less than 7 miles from anchorage location ▪ National gas grid access within 10 miles of port ▪ All year access to
Slide 26: Grangemouth - Illustrative Timeline to First Gas
Transaction Close Expected FID 2023 2024 Grangemouth - Illustrative Timeline to First Gas First Gas ▪ Search for LNG/C Candidates ▪ Sales and Purchase Agreement (SPA) ▪ Pre - FEED LNG/C conversion ▪ Contract for regas system ▪ Equity and debt construction financing ▪ LNG/C availability and conversio
Slide 27: Grangemouth – Illustrative Revenue Model
Target Custo m er Segment Term Years Volume MTPA / % Total Tolling Charge $USD / MMBtu (1) Timing of Revenues T ol l ing R e v en u es Per Annum $USD Grangemouth – Illustrative Revenue Model ▪ Clear visibility over demand pipeline – In discussions with the Scottish Government over a guaranteed offta
Slide 28: Near-Term: Vung Tau Development
Near - Term: Vung Tau Development 28 Source(s): (1) WorldData “Typhoons in Vietnam” as of 7/26/2023; (2) U.S. Embassy & Consulate in Vietnam “Typhoon and Tropical Cyclone Seasons in Vietnam” as of 7/26/2023; (3) Wikipedia “Typhoon Noru” as of 7/26/2023; (4) Reuters “Vietnam bets big on LNG, South Ch
Slide 29: Near-Term: Newfoundland Development
Near - Term: Newfoundland Development Source(s): (1) Fraser Institute “Canada’s lost LNG opportunities due to dearth of export facilities” as of 3/4/2022; (2) EnergyNow “How Canada Can Help With the World’s Growing LNG Shortage” as of 7/5/2022 Natural Gas Infrastructure of Eastern Canada Crown’s Mar
Slide 30: Contents
Con t ents Introduction 1. Our market Opportunity 2. Our Projects 3. Transaction Overview 4. 30
Slide 31: Transaction Overview
Pro Forma Ownership Pro Forma Valuation Transaction Overview Valuation ▪ $685M enterprise value to market ▪ Implied pro - forma market capitalization of $725M Financing ▪ Transaction expected to provide gross proceeds of up to approximately $50M to Crown LNG ▪ $40M of cash held on the pro - forma ba
Slide 32: Transaction Expected to Fully Fund Both Anchor Projects to FID
Transaction Expected to Fully Fund Both Anchor Projects to FID Overview of Pro Forma Listed Group Operating Structure ASSETS CROWN ENTITIES CROWN LNG AS NORWAY C R O W N L N G INDIA A S NORWAY 95 . 86% VUNG TAO PROJECT Vietnam Regas Terminal SCOTLAND PROJECT United Kingdom FSRU NEWFOUNDLAND PROJECT
Slide 33: Breakout of Anchor Project Costs
Transaction Expected to Fully Fund Both Anchor Projects to FID Breakout of Anchor Project Costs ($M) Total Grangemouth Kakinada Project Costs to FID $22.9 $2.4 $20.5 Technical Development including Seabed Survey $9.7 $3.0 $6.8 General & Administrative $7.0 $0.4 $6.5 Project Team and Related Costs $3
Slide 34: Crown – Illustrative Financial Assumptions
Crown – Illustrative Financial Assumptions FID Economics Post First - Gas Run Rate EBITDA (Margin) Utilization Rate (MTPA) Revenue FID All - In Crown PF Construction Costs Debt/Funding Ownership Post Project Equity Raise To FID 7.2 $286M $265M MTPA (93%) 80% $1,047B Debt 75% 20% Equity $34M 3.0 $166
Slide 35: Determining a Fair Valuation Range for Crown
8.0x - 10.0x 35. 2 x 10. 3 x 10. 1 x 9.9x 7. 1 x 6. 3 x 5. 8 x 5. 3 x NM Median: 8.5x Determining a Fair Valuation Range for Crown 2024E Forward EBITDA Multiples for Comparable Companies C Q P LNG 2028E Source(s): FactSet as of 7/20/2023 Note(s): Crown multiples based off 2028E run - rate EBITDA 35
Slide 36: Illustrative Valuation Framework For Crown LNG
$562 $602 $1,469 $ 1 ,9 5 9 $ 3 ,1 5 9 $685 $804 $844 $2 , 062 $ 2 ,7 4 9 $ 3 ,9 4 9 Enterprise Value Enterprise Value Range 2023 PF Equity Value 2027 Crown's Sha re Equi ty Value ( 75 % ) 2027 Fully Distributed Equity Va l u e 2 0 28 E EBIT DA at 8.0x - 10.0x Summary of Approach Illustrative Valuat
Slide 37: Many Successful Precedents Of Energy Transition De-SPAC Listings
Many Successful Precedents Of Energy Transition De - SPAC Listings 37 Source(s): (1) Based on management estimates; (2) NET Power “NET Power PIPE Presentation” as of 12/2022; (3) SPAC Research as of 7/24/2023; (4) Factset as of 7/24/2023; (5) NuScale Power “NET Power PIPE Presentation” as of 5/2023;
Slide 38: Why Crown?
Why Crown? Offshore LNG Infrastructure Pioneer Leading provider of all - weather LNG liquefaction and regasification terminals infrastructure solutions Macro Tailwinds Accelerating LNG Demand Globally Dramatic increase in transition fuel demand and energy security concerns are driving need for LNG i
Slide 39: Risk Factors
Catcha Investment Corp (“Catcha”), a Cayman Islands exempted company with limited liability, entered into a Business Combination Agreement (the “Business Combination Agreement”) with Crown LNG Holdings AS, a private limited liability company incorporated under the laws of Norway (the “Company”), Cro
Slide 40: Risk Factors (cont.)
Risk Factors (cont.) 40 ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Crown is subject to competition in all of its markets from competitors, most of whom have significantly greater resources, technology, relationships or expertise. ▪ A failure to implement its growth strategy may adversely affect Crown’s business. ▪ Cro
Slide 41: Risk Factors (cont.)
Risk Factors (cont.) 41 ▪ ▪ ▪ ▪ ▪ Because PubCo is incorporated in Jersey, Channel Islands, you may face difficulties in protecting your interests, and your ability to protect your rights through the U.S. federal courts may be limited. ▪ It may be difficult to enforce a U.S. judgment against PubCo o