Tidewater Renewables Ltd. · TSX:LCFS
Tidewater Renewables — Investor Presentation (June 2023)
24 slides from Tidewater Renewables's investor presentation, June 2023
Slide 1: Tidewater Renewables Ltd. Investor Presentation
Tidewater Renewables Ltd. Investor Presentation June 2023
Slide 2: Disclaimers
Disclaimers ADVISORIES AND CAUTIONARY STATEMENTS CAUTIONARY NOTE: This presentation includes forward-looking statements or information (collectively referred to herein as “forward looking statements”) within the meaning of applicable securities legislation. The information contained in this document
Slide 3: Disclaimers (Continued)
Disclaimers (Continued) USE OF NON-GAAP MEASURES: Throughout this presentation and in other materials disclosed by the Company, Tidewater uses a number of financial measures when assessing its results and measuring overall performance. The intent of non- GAAP measures and ratios is to provide additi
Slide 4: Tidewater Renewables Overview
Tidewater Renewables Overview CORPORATE SNAPSHOT Investment Highlights Capitalization Share Price1 ($/sh) $7.05 ✓ Renewables business with significant Shares Outstanding2 (MM) 34.7 government support, strong economics on projects and contracted cash flow Market Capitalization ($MM) $245 ✓ Focused on
Slide 5: Tidewater Renewables Ltd. Asset Map
Tidewater Renewables Ltd. A CANADIAN ENERGY TRANSITION LEADER WITH A FOCUS ON RENEWABLE FUELS Tidewater Renewables Asset Map ▪ Tidewater Renewables is an energy transition company 1 2 3 4 Prince George Brazeau River Ram River Rimrock RNG focused on the production of low carbon intensity fuels Existi
Slide 6: Tidewater Renewables Business Model is Underpinned by 3 Products
Tidewater Renewables Business Model is Underpinned by 3 Products NEW ENERGY TRANSITION PLATFORM CATERS TO A GROWING GLOBAL DEMAND BASE Multi-faceted green energy platform with Renewable Diesel Near-Term1,2 Long-Term1,2 strong ESG attributes 13.4B Gallons 18.0B Gallons ✓ Deliver Carbon Intensity ("CI
Slide 7: Tidewater Renewables Overview: Business Overview
Tidewater Renewables Overview BUSINESS OVERVIEW Existing Business + Funded Growth Future Growth ▪ Portfolio of assets currently operating, near completion or ▪ Significant future growth opportunities significantly progressed/de-risked 1 1 Base Business Base Business Growth ▪ Acquisition of existing
Slide 8: Renewable Diesel Refinery and Associated Renewable Hydrogen
Renewable Diesel Refinery and Associated Renewable Hydrogen PROJECT OVERVIEW: FLAGSHIP ASSET RECEIVED FID WITH CONSTRUCTION COMMENCED IN Q3 2021 Renewable Diesel Refinery co-located at the Prince George Refinery ▪ Utilizes renewable feedstocks to produce Renewable Diesel ▪ Project includes an over-b
Slide 9: Renewable Natural Gas Partnership and Rimrock Cattle Company
Renewable Natural Gas Partnership and Rimrock Cattle Company TRANSACTION SUMMARY On April 4, 2022, Tidewater Renewables Ltd. (“TWR”) (TSX: LCFS) entered into a strategic renewable natural gas partnership (the “RNG Partnership”) with Rimrock RNG Inc. (“Rimrock RNG”) and a Joint Venture Investment in
Slide 10: Renewable Natural Gas Partnership and Rimrock Cattle Company: Strategic Benefits
Renewable Natural Gas Partnership and Rimrock Cattle Company STRATEGIC BENEFITS Material government support and expected investment grade offtakes deliver contracted cash flow base with strong rates of return Project sequencing will allow future projects to be self-funded via prior asset cash fl
Slide 11: Inaugural RNG Facility
Inaugural RNG Facility ASSET SUMMARY ▪ Project Overview ✓ Subject to regulatory approvals, the RNG Partnership plans to begin construction on their first Alberta-based RNG Facility located in Foothills County near High River, Alberta (the “RNG Facility”) ✓ All projects are expected to attract materi
Slide 12: Growth Opportunities Beyond 2023
Growth Opportunities Beyond 2023 PROJECT PIPELINE WITH MATERIAL ADDITIONAL GROWTH OPPORTUNITIES Renewable Diesel Business Unit - Other Potential Growth Projects Hydrogen Business Unit - Other Potential Growth Projects Renewable Diesel Project #2 / Sustainable Aviation Fuel Renewable Hydrogen Project
Slide 13: Investment Highlights
Investment Highlights MULTIFACETED GREEN ENERGY PLATFORM PROVIDING LOW CARBON INTENSITY FUELS Renewables Business with Significant Government Support, Strong Economics on Projects and Contracted Cash Flow ▪ Anticipate receipt of approximately $168 million in government funding through multiple agree
Slide 14: Tidewater Renewables Leadership Team
Tidewater Renewables Leadership Team SUCCESSFUL TRACK RECORD OF EXECUTING LARGE SCALE PROJECTS Tidewater Renewables Reduces Corporate G&A via a Shared Services Agreement with Tidewater Midstream ▪ Shared services to cover accounting, financial, tax, legal, office administration, IT, human resources
Slide 15: Board of Directors of Tidewater Renewables
Board of Directors of Tidewater Renewables EXPERIENCED BOARD OF DIRECTORS WITH INDEPENDENCE FROM TIDEWATER MIDSTREAM ▪ Chairman and Interim CEO of Tidewater as of November 2022 Robert Colcleugh, MBA ▪ Board of Director of Tidewater Midstream since May 2017 Chairman, and Interim ▪ Former CEO of Beyon
Slide 16: Appendix: Supplemental Information
Appendix: Supplemental Information 16
Slide 17: Co-Processing Project Overview
Co-Processing Project Overview CO-PROCESSING PROJECTS Co-Processing Projects utilize existing refinery process units to blend in biogenic feedstocks and produce renewable products ▪ Canola Co-Processing: Project blends canola oil as feedstock directly into the Unifiner at PGR to produce renewable di
Slide 18: Global Commodity Forecast
Global Commodity Forecast MARKET FUNDAMENTALS SUPPORTING EMERGING RENEWABLE VERTICALS Renewable Diesel Hydrogen Renewable Natural Gas ▪ Advantages over biofuel and identical properties ▪ Involves the processing, storage and/or ▪ Involves projects that capture gas from to fossil fuel based diesel tra
Slide 19: Renewable Diesel Overview
Renewable Diesel Overview LIFE-CYCLE CARBON INTENSITY Conventional TWR HDRD Diesel Baseline Canola Oil Soy Oil Corn Oil UCO Tallow Total Life-Cycle Carbon Intensity (g CO2 eq/MJ) 81.86 10 16 17 8 14 % Reduction Compared to Conventional Diesel n.a. (88%) (80%) (79%) (91%) (83%) In fact, by just filli
Slide 20: Carbon Reduction Credits Overview
Carbon Reduction Credits Overview Canada United States CFS RIN Clean Fuel Standard (“CFS”) – initiated by the Canadian federal government Renewable Identification Numbers (“RIN”) – issued by the U.S. to pursue a Canada-wide clean fuel standard and slated to come into effect in Environmental Protecti
Slide 21: Canadian Clean Fuel Standard (CFS)
Canadian Clean Fuel Standard (CFS) The CFS will be implemented in July 2023 to reduce the carbon intensity (CI) of fuels Canada CFS CI Reduction Requirements1 across the country. Credit creation from low CI fuel projects began in June 2022, establishing a modest credit bank prior to the coming-to-fo
Slide 22: BC Low Carbon Fuel Standard (BC LCFS)
BC Low Carbon Fuel Standard (BC LCFS) The BC-LCFS was originally introduced in 2010 to reduce the carbon intensity (CI) of BC LCFS Credit Price History1 – C$/Credit fuels used in the province1 Year Minimum2 Average2 Maximum ▪ Applies to all fuels used for transportation in BC except for fuel used by
Slide 23: California Low Carbon Fuel Standard (CA LCFS)
California Low Carbon Fuel Standard (CA LCFS) The CA LCFS is the first state-level low-carbon initiative aimed at CA LCFS Credit Price History – US$/Credit encouraging the use and production of low-carbon fuels Year Minimum Average Maximum ▪ Required producers of petroleum-based fuels to reduce CI o
Slide 24: Review of HDRD Prices Across Different Market
Review of HDRD Prices Across Different Market ▪ Total renewable diesel sale values (comprised of the diesel sale price and government incentives that producers receive) in California, Oregon and BC are currently $7.49, $7.71 and $7.44 US/gallon, respectively ▪ BC fuel buyers must pay an equivalent p
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