New Fortress Energy Inc. · NASDAQ:NFE
New Fortress Energy — Investor Presentation (September 2024)
34 slides from New Fortress Energy's investor presentation, Sep 5, 2024
Slide 1: September 2024
September 2024 NFE NewFortress energy
Slide 2: NFE Detailed Disclosure agenda
2. NFE Detailed Disclosure 3. Recent Material Developments 4. NFE Transition 5. Appendix
Slide 3: Overview
Overview * Brazil, Nicaragua & FLNG1 update
Slide 4: NFE Transition
3. Recent Material Developments 4. NFE Transition 5. Appendix
Slide 5: Expect steady remainder of 2024 and significant stability and growth
im created unce y expect steady remainder of 2024 & significant stability & growth = $1.4bn to $1.5bn') | AEBITDA Forecast?) Annual Margins Forecast®) 170 TBtu $7.00 Avg. Margin Forecast ~$1,200mm
Slide 6: NFE Detailed Disclosure: Adjusted EBITDA forecast
NFE Detailed Disclosure 20 so Se AEBIUD ANE 2023) USS aS eects dost RSE ree xt seve Jamaica $7 (+) M co $7 16 (+) Puerto Rico $7 53 (+) Nicaragua $1,175 Total Terminals (+) Incremental $100m Brazil (+) Incremental $125m Brazil] $1,300 (+) Market Sales (+) Ships $125 (-) SG&A? ($100) Total NFE
Slide 7: Free cash flow expected to increase; leverage to decrease
NFE Detailed Disclosure Fide Gach Flow expected toinersase eignificantlyt! Leverage expected to decrease substantially ant 2028 2026 Sata ($67) ($25) (-) Capex - Net”) ($1,000) ($25) (-) Debt Service® ($475) ($625) ($625) ($675) (-)Vessel Charter Payments”) ($125) ($125) ($175) ($175) (-) Ship Op. M
Slide 8: Brazil and Nicaragua expected to add AEBITDA
NFE Detailed Disclosure a aD FEMA ‘tain esigecls'S6Sohnin i st pl s we a: e g Brazil & Nicaragua are expecte a aga SOMES es cout Hew OUTROS EOE? Brazil + Nicaragua =| (a= $1.4bn | r - $1.3bn ie TEASE a me AEBITDA') PR Clim expected) PF Claim Adj. Brasil Nicaragua AEBITDA'
Slide 9: LNG supply and demand are growing and matched
NFE Detailed Disclosure LNG supply & demand are growing & matched + Our + We expect to have modest, long volumes to 2025 Demand'"4) Terminals ‘OnHand (4) Cargo Sales (long (4) Contract ton ee (+1 Contract (4) Ops/inventory (+) FLNGT Total Demand Total Supply ‘Supply On Hand (+) Contract A (+) Contra
Slide 10: Overview
1. Overview 2. NFE Detailed Disclosure 4. NFE Transition 5. Appendix
Slide 11: NFE is now a fully integrated, global power and LNG company
Recent Material Developments With the addition of Brazil, Nicaragua & FLNG1, NFE is now a fully integrated, global power & LNG company + Our business is simple - we deliver power & gas to customers in our market, and target + Our supply & demand for NFE has 7 terminals across 5 countries & owns, man
Slide 12: Three areas of focus for significant improvements in earnings profile
Recent Material Developments Three areas of focus that we believe will result in significant improvements in our earnings profile L 2. Brazil Nicaragua g 12
Slide 13: Brazil power plants
Recent Material Developments muocge Soe sa Meee tera aon 2 GW of power plants, de 5 2026 13
Slide 14: LNG terminals are the scarce resource for adding new power capacity in Brazil
Recent Material Developments LNG terminals are the scarce resource for adding new power capacity in Brazil NG import terminals are key to meet growing baseload demand29), pl he gas required for additional thermal capacity @© LNG Terminal Entey Point Barcarena, NFE @ NE Fermi — TAG Pipeline — 186 Pip
Slide 15: Brazil: 2025 expected developments
Recent Material Developments Brazil: 2025 expected developments Barcarena TGS 630 MW power plant 73% complete today Expected to be 100% complete by July 2025!) Norsk Hydro gas sales 100 MW power plant Up to ~30 TBtu / yr'14) Expected to be 100% complete by Q1 20259) 4S
Slide 16: Brazil: 2026 expected developments
Recent Material Developments Brazil: 2026 expected developments Barcarena 1,600 MW power plant 13% complete today Expected to be 100% complete by August 26 COD") 16
Slide 17: Nicaragua power plant with 25-year PPA
Recent Material Developments wer pl as 25-year PPA with Nicaragua government??4) g upside to export power & gas aragua AEBITDA Forecast of $175mm in AEBITDA in 2025 $250 $200 $150 $100 $5¢ N/A $0 2024 2026 17
Slide 18: Power plant 100% complete; terminal 95% complete
Recent Material Developments 300 MW power plant is 100% complete; terminal is 95% complete significant regional demand for gas & power 18
Slide 19: FLNG1 mechanically complete and operational
Recent Material Developments 2024 Mechanically complete Unit is operational & expect tu (1.4mm tonnes) production 19
Slide 20: FLNG1 timeline and estimated market value
Recent Material Developments July 19, 2024) August 9, 2024(26) August 31, 2024 Estimated market value: $3bn to $3.5bn'27) 20
Slide 21: Potential FLNG economics
Recent Material Developments Potential FLNG economics LNG is.expected to be in short supply through 2028" The estimated excess value to deliver in next 3 years compared to long-term contracts (HH + $2.50) is ~$1.2bn'27) * Construction costs are approximately $1500 to $1600/tonne or ~$2bn'? n(sum of
Slide 22: Overview
1. Overview 2. NFE Detailed Disclosure 3. Recent Material Developments 4. NFE Transition 5. Appendix 22
Slide 23: NFE Transition
NFE Transition NewFortress eneroy Upstream Infrastructure (FLNG1, FLNG2 & FLNG3) al high cash flow/low Swe capex downstream oucness eee t 5 nt pipeline of FLNG2 & FLNG3 are at compelling timelines & costs to develop jon is subject to the review & approval of NFE's Board of Directors. There can be no
Slide 24: NFE Transition: FTAI example
NFE Transition No better example of the potential benefit of this exists other than FTAI(29) FORTRESS TRANSPORTATION & INFRASTRUCTURE FTAI was formed in 1. Cash flow 2. Infrastructure © ju May 2015 with two distinct business lines Aircraft / engine Infrastructure leasing development g 24
Slide 25: Combined pre-spin FTAI Aviation and FTAI Infrastructure share price
– $20 $40 $60 $80 $100 $120 $140 M a y- 1 5 A u g -1 5 N o v- 1 5 F e b -1 6 M a y- 1 6 A u g -1 6 N o v- 1 6 F e b -1 7 M a y- 1 7 A u g -1 7 N o v- 1 7 F e b -1 8 M a y- 1 8 A u g -1 8 N o v- 1 8 F e b -1 9 M a y- 1 9 A u g -1 9 N o v- 1 9 F e b -2 0 M a y- 2 0 A u g -2 0 N o v- 2 0 F e b -2 1 M a
Slide 26: Overview
. Overview NFE Detailed Disclosure Recent Material Developments NFE Transition Appendix 26
Slide 27: Appendix: Adjusted EBITDA
Appendix Adjusted EBITDA (in thousands of U.S. dollars) FY 202: Net income $548,876 Add: Interest expense 277,842 ‘Add: Tax provision (benefit) 115,513 ‘Add: Depreciation and amortization 187,324 ‘Add: Asset impairment expense 10,958 Add: SG&A items excluded from Core SG&A 35,858 Add: Transaction an
Slide 28: Appendix: Adjusted EBITDA
Appendix Adjusted EBITDA (in thousands of U.S. dollars) Total Segment Operating Margin Less: Core SG&A Less: Pro rata share of Core SG&A from unconsolidated entities Less: Deferred earnings from contracted LNG sales Adjusted EBITDA (non-GAAP) FY 2023 $1,451,690 169,246 14 $1,282,430 Q1 2024 $384,260
Slide 29: Appendix: Adjusted EBITDA
Appendix Adjusted EBITDA (in thousands of U.S. dollars) FY'23 1 2024 Total Selling, general and administrative $205,104 $70,754 Core SG&A 169,246 44,112 SG&A items excluded from Core SG&A, 35,858, 26,642 2 2024 $70,578 38,190 32,388 29
Slide 30: Disclaimers
Disclaimers NO OFFER; NO RELIANCE. This Presentation is for informational purposes only and does not constitute an offer to sell, or a solicitation of an offer to buy, any security and may not be relied upon in connection with the purchase ‘or sale of any security. You should not rely on this Presen
Slide 31: Disclaimers
Disclaimers PAST PERFORMANCE. Our past performance is not a reliable indicator or indicative of future results and should not be relied upon for any reason. There can be no assurance that the future performance of the Company, or any project, investment or asset of the Company, will be profitable or
Slide 32: Endnotes
Endnotes "Adjusted EBITDA Forecast" for the second half of 2024 and full year 2024, 2025, 2026 and 2027 means our forward-looking target for Adjusted EBITDA for the relevant period and is based on the * Total Segment Operating Margin Forecast’ less Core SGA assumed to be at approximately $66 million
Slide 33: Endnotes
10. " 12. 13, 14, 15. 16, W. Endnotes "Adjusted EBITDA Forecest for Brazil" includes amounts related to an agreement that we have entered into to acquire a Power Purchase Agreement (“PPA”). The contractis subject to a number of closing conditions, including that regulators confirm the continued effe
Slide 34: Endnotes
21 22, 23, 24, 25, 26. 27 28. 29, Endnotes NFE has 7 terminals, some of which are still under development and not yet fully operational. GW means 1 billion watts. 9GW is based on management's estimate of the maximum amount of GW of power that the Company either owns, manages or supplies as of the da
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