Exmar Nv · EURONEXT:EXM

Exmar Nv — Debt Investor Presentation (May 2017)

40 slides from Exmar Nv's debt investor presentation, May 2017

  1. Slide 1: Investor Meetings May 2017

    Investor Meetings May 2017 Innovation: Our Source of Energy

  2. Slide 2: Disclaimer and Important Information

    DISCLAIMER AND IMPORTANT INFORMATION About this presentation By attending a meeting where this presentation (the "Presentation") is presented, or by reading the Presentation slides, the reader or the recipient, as the case may be, (the "Recipient") agrees to be bound by the terms, conditions and lim

  3. Slide 3: Disclaimer and Important Information (cont'd)

    DISCLAIMER AND IMPORTANT INFORMATION (CONT’D) Forward looking statements This Presentation contains certain “forward-looking statements”. The Recipient is cautioned not to rely on these forward-looking statements. All statements, other than statements of historical facts, that address activities, ev

  4. Slide 4: Summary of key risk factors

    Summary of key risk factors A number of risk factors may adversely affect the Company and its subsidiaries (together the "Group"). This summary is intended to highlight some of those risks, but is not intended to be exhaustive. Reference is made to the Company's published 2016 annual report page 59-

  5. Slide 5: Summary of key risk factors (cont'd)

    Summary of key risk factors (cont’d) • Termination risk: The Group’s current contracts permit, and future contracts may permit, a customer to terminate their contract early subject to the payment of a termination fee, however such fee may not fully compensate the loss sustained by the Group. • Risks

  6. Slide 6: Executive Summary

    RES EXECUTIVE SUMMARY

  7. Slide 7: Executive Summary and Situation Overview

    EXECUTIVE SUMMARY AND SITUATION OVERVIEW  LPG fleet performing despite deteriorating market conditions due to solid contract portfolio with 1st LPG and LNG business class customers and operations areas performing  LNG shipping and LNG regasification fleet delivering steady results in accordance wi

  8. Slide 8: Investment Highlights

    INVESTMENT HIGHLIGHTS Industry leader  Innovator and world market leader in floating liquefaction (FLNG) and floating regasification (FSRU) within LNG and LPG  World class reference in LPG shipping with blue-chip customers shipping Strong cash flow  The Company’s LNG fleet has an average remainin

  9. Slide 9: Transaction Overview

    TRANSACTION OVERVIEW Issuer: EXMAR Netherlands BV Parent and Guarantor: EXMAR NV Issue Amount: Up to EUR 140 million (or equivalent in USD or NOK) Use of proceeds: The net proceeds shall be used to (i) refinance the Issuer’s NOK 1,000 million senior unsecured bond issue, and (ii) for general corpora

  10. Slide 10: EXMAR - overview

    > EXMAR - overview a

  11. Slide 11: EXMAR at a Glance

    EXMAR AT A GLANCE Key metrics (proportional consolidation) Fleet list (owned vessels) at 5th May 2017  Market capitalization: EUR ~340m  Revenue (2016): USD 278m 4  EBITDA (2016): USD 116.5m (*) 2  Total assets (2016): USD 1,326m  Equity ratio (2016): 32.6% 1  Net Debt / EBITDA (2016): 4.8x 1

  12. Slide 12: EXMAR Business Overview

    EXMAR BUSINESS OVERVIEW LNG LPG / NH3 Offshore Supporting Services EBITDA by segment (2016) 0% 1.6% 51% (*) including USD 14.3m non 48% cash profit  LNG transportation,  Niche position in LPG,  Provides innovative  In-house engineering liquefaction, storage and chemical gases and solutions in th

  13. Slide 13: EXMAR LNG - Creating value through the LNG value chain

    EXMAR LNG - Creating value through the LNG value chain

  14. Slide 14: EXMAR LNG Shipping & LNG Infrastructure

    EXMAR LNG SHIPPING & LNG INFRASTRUCTURE Business approach Key Financials1) Clients  Customized service with significant LNG (USDm) 2015 2016 Q1/2017 Turnover 88.7 91.5 18.7 added value EBITDA 39.4 59.4 9.7  Investments with long-term time- *REBITDA 53.1 50.4 9.7 charter contracts EBIT 20.9 41 5.0

  15. Slide 15: Innovating along the LNG value chain

    INNOVATING ALONG THE LNG VALUE CHAIN Power Plant © EXMAR, all rights reserved 15

  16. Slide 16: LNG Asset Overview

    LNG ASSET OVERVIEW Commitment overview of a diverse and high-quality portfolio  Existing LNG & FSRU fleet has an average remaining firm charter duration of ~ 10 years, generating an annual EBITDA of USD ~55m  EXCEL commenced a 3 months’ TC at the end of March with extension options until the end o

  17. Slide 17: FSRU Barge on a Stand Alone Basis

    FSRU BARGE ON A STAND ALONE BASIS Expected Delivery in Q3 2017, cost efficient and tailored Buffer storage of 26,230 m³, Proven technologies and low High availability for 20 years provide sufficient margin operational expenses continuous send out Newest technologies for power and Low permanent fixed

  18. Slide 18: EXMAR and Floating Regasification

    EXMAR AND FLOATING REGASIFICATION Established player always working on innovative solutions  Pioneered floating regasification solutions, introduced world’s first FSRU in 2005  Currently operating 10 FSRUs  1 barge-based FSRU under construction, still commercially available  Unrivalled track rec

  19. Slide 19: FSRU market outlook

    FSRU market outlook Limited new ordering and an increased LNG supply positive for the FSRU market  The FSRU orderbook is limited, with only four uncommitted FSRU fleet units scheduled to be delivered between 2017 and 2020 Höegh LNG Golar LNG  In 2016, six FSRU projects were awarded and three to si

  20. Slide 20: FLNG Developed by EXMAR

    FLNG DEVELOPED BY EXMAR Caribbean FLNG project  EXMAR to build, operate and maintain the world’s first Floating LNG (“FLNG”) unit  FLNG is cheap, fast and flexible way to monetize gas reserves  Export capacity: 0.5 MMt per year  Storage: 16,100 m3 + OPTION: Floating Storage Unit  Black & Veatch

  21. Slide 21: Caribbean FLNG – Current Status

    CARIBBEAN FLNG – CURRENT STATUS FLNG to be delivered in June / July 2017, financing secured and employment discussions in advanced stages  Delivery set to take place June / July 2017  The balance of the purchase price (USD ~200m) is due at delivery  Complementary support from Wison Shipyard has b

  22. Slide 22: FLNG – a promising market

    FLNG – a promising market Big potential for unlocking stranded gas reserves Arctic West Europe and  Remote locations Mediterranean Rim North America  Stranded gas  Unconventional gas South East Asia production  Stranded gas and rapidly Middle East growing consumption in cities  Significant rese

  23. Slide 23: EXMAR LPG: Innovation and Partnership

    EXMAR LPG: Innovation and Partnership

  24. Slide 24: EXMAR LPG Shipping

    EXMAR LPG SHIPPING Business approach Key Financials1) Clients  Niche position in LPG, ammonia and LPG (USDm) 2015 2016 Q1/2017 chemical gases transportation Turnover 124.5 109.4 22.5 EBITDA 51.3 56 8.5  Focus on midsize carriers *REBITDA 51.4 41.7 8.5  Long-term relationships with blue-chip EBIT

  25. Slide 25: EXMAR LPG Activities

    EXMAR LPG ACTIVITIES Owner/Operator of LPG carriers Fleet of 33 LPG carriers (owned and time-chartered)  Transportation of LPG, chemical gases and ammonia  21 LPG/NH³ midsize (28,000 - 38,000 m³) and 1 semi-ref LPG carrier  Flexible commercial proposition in JV with Teekay LNG Partners  Time-cha

  26. Slide 26: Highlights and Outlook

    Highlights and Outlook Midsize fleet  Pressure from the larger vessels’ segments combined with a steady flow of newbuilding deliveries explains the downward correction, which the Midsize segment has incurred since the beginning of the year. A certain floor on hire levels seems to have been reached

  27. Slide 27: LPG market outlook

    LPG market outlook MGC orderbook being absorbed and rates set for recovery  A high level of vessel deliveries have been putting pressure on MGC charter rates MGC rates. However, the orderbook relative to the existing fleet 1,200 has come down to around 20% after peaking at over 50% in early 1,000 2

  28. Slide 28: EXMAR Offshore - Finding the answer before the question's asked

    EXMAR OFFSHORE - Finding the answer before the question’s asked

  29. Slide 29: EXMAR Offshore

    EXMAR OFFSHORE Business approach Key Financials1) Clients  Provides engineering and design Offshore (USDm) 2015 2016 Q1/2017 Turnover 74.5 52.4 7.9 services, asset leasing and operating EBITDA 8.6 -0.8 -2.6 and management services REBITDA* 10.3 -1.7 -2.6  Cost effective approach with EBIT 4.4 -3.6

  30. Slide 30: EXMAR's Activities in the Offshore Sector

    EXMAR’s ACTIVITIES IN THE OFFSHORE SECTOR Build, own, operate model Services  Owned assets: 2 accommodation barges. Discussing  Pre-Operations Engineering consolidation opportunities  Marine and Maintenance Services  Development of FPSO’s and FSO’s  Operational Services  Development of semi-su

  31. Slide 31: Supporting Services - The power of innovation

    SUPPORTING SERVICES - The power of innovation

  32. Slide 32: EXMAR's Supporting Services

    EXMAR’s SUPPORTING SERVICES Key Financials1) EXMAR Shipmanagement Travel Plus Supporting Services 2015 2016 Q1/2017  Specialized in quality ship  Service-oriented travel agency based Turnover 49.2 46.3 10.3 management & related services to in Antwerp specialized in both in EBITDA 0.1 1.9 -0.9 asse

  33. Slide 33: Key Figures

    * See ee ‘—— A a na som fh’ i ae ays > “Ki \ uv a ft y ‘= | aie wes vet} Fe RES KEY FIGURES

  34. Slide 34: Committed Capex

    COMMITTED CAPEX CAPEX schedule  Caribbean FLNG  Total capex of USD ~300m  Remaining capex of USD ~200m due at delivery in June / July 2017  EXMAR has secured a long term post-delivery financing of the Caribbean FLNG with Bank of China and Deutsche Bank. Financing is not dependent on long-term em

  35. Slide 35: Debt Overview

    DEBT OVERVIEW  Strong track record with and backing from core shipping banks and Export Credit Agencies  The Group’s debt facilities amounted to USD ~780m end 2016, including the bond of NOK 1,000m (USD ~152m) expiring in July 2017. Several refinancing alternatives being explored  Balloon of Exce

  36. Slide 36: Debt Overview (main bank facilities)

    DEBT OVERVIEW (main bank facilities) Competitive financing with flexibility to distribute excess cash to parent company (USDm) Borrower Outstanding loan Annual principal Balloon and maturity Liquidity covenants (31/12/2016) repayment EXMAR LPG EXMAR 201.1 20.9 USD 110.7m in June 2021 Higher of USD 2

  37. Slide 37: EXMAR Cash Overview

    EXMAR CASH OVERVIEW Assuming full refinancing of NOK bond (equivalent of USD 150m) USDm 274 600 -352 Comments 550 500  Cash balance remains stable assuming full refinancing of 450 the NOK 1,000 bond (USD 152m) 400 350  Restricted Cash increases due to DSRA of CFLNG to be put 76 300 in place as lon

  38. Slide 38: Financial Highlights

    FINANCIAL HIGHLIGHTS Comments (In USD millions unless otherwise stated) 2015 2016 Q1/2017  LPG: Strong performance in 2016 in a weakening market, due to a solid contract portfolio. USD 14.3m non-cash profit recognized on the acquisition of 50% of the Operating Income 315.3 305.9 59.3 pressurized fl

  39. Slide 39: Outlook 2017

    OUTLOOK 2017 LNG  Delivery of the Caribbean FLNG in Q2 2017 and FSRU barge before year end. Discussions on employment are progressing but no revenue expected before early 2018  All LNG assets contracted on long term charters with the exception of the EXCEL LPG  Strong cover ratio of the fleet but

  40. Slide 40: Thank you for your attention

    Thank you for your attention © EXMAR, all rights reserved 40

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