Regen Iii Corp · TSXV:GIII
Regen Iii — Investor Presentation (August 2024)
20 slides from Regen Iii's investor presentation, August 2024
Slide 1: Revolutionizing the recycling of Used Motor Oil
Revolutionizing the recycling of Used Motor Oil. INVESTOR PRESENTATION - AUGUST 2024 TSXV: GIII | OTCQB: ISRJF | FSE: PN4 USD unless otherwise noted
Slide 2: Forward Looking Statements & Non-GAAP Financial Measures
Forward Looking Statements & Non-GAAP Financial Measures Forward Looking Statements Notice to Readers and Market Data This presentation contains forward looking statements that reflect management’s expectations regarding the future growth, results of operations, performance (both operational and fin
Slide 3: Investment Highlights
Investment Highlights ReGen III is a cleantech company commercializing disruptive, Highly Attractive Investment Attributes patented technology to upcycle Used Motor Oil (“UMO”) into high-value Group III base oils, used in the production of Growing Market synthetic-grade lubricants with Domestic Prod
Slide 4: Base Oils Keep Our World Moving
Base Oils Keep Our World Moving ▪ Major industries across the globe rely on lubricants for Average Base Oil Price ($US/gallon)2 productivity, protection and reliability ▪ Automotive engine oils typically consist of 85% base oil $3.81 and 15% additives1 $2.56 $2.57 ▪ Additives wear out but base oils
Slide 5: Addressing Key Sustainability Problems in the Lubricant Market
Addressing Key Sustainability Problems in the Lubricant Market Environmental Damage / Waste Outdated Processes Supply Chain Risks Nearly 800 million gallons/year1 of used Existing re-refineries are not designed to North America is largely dependent on motor oil (UMO) are burned or produce Group III
Slide 6: The UMO Lifecycle and ReGen's Proprietary Process
The UMO Lifecycle and ReGen’s Proprietary Process The ReGenTM Process ~58% of UMO Generated ▪ Removes additives and contaminants from UMO is currently burned or and yields Group II+ and dumped1,2 Group III base oils ▪ Produces industry- leading yields of high- Just 1 gallon of oil value Group III ba
Slide 7: The ReGen Patented Re-Refining Process
The ReGen Patented Re-Refining Process ReGen III’s patented re-refining process is designed to reduce costs while generating higher Group III base oil yields compared to traditional two-stage processes ReGen Process Differentiator 1 2 3 UMO Contaminant Molecular Molecular Readily available feedstock
Slide 8: Group III: $10 Billion Global Market with Key Tailwinds
Group III: $10 Billion1,3 Global Market with 3 Key Tailwinds Growing Demand for Circular Materials ▪ Driven by recycling and re-refining mandates, emission disclosure requirements, and emission reduction targets Shift to Synthetic Lubricants ▪ Due to superior fuel economy, engine longevity, and perf
Slide 9: Strong Project Economics
Strong Project Economics Group III Premium Pricing Generates Superior Revenue and Profit Potential1 ReGen Incremental Margin US$/Gallon Incremental Margin vs. Group II Production (per Gallon of Base Oil) vs. Group II Re-refining Group III Base Oil Price Project Revenue (per Gallon of Base Oil) Opera
Slide 10: The ReGen Advantage
The ReGen Advantage Sustainable & Circular Industry-Leading Economics 99.7% Less Toxic1 >53% Group III Yield to the environment Compared with 2% average yield 50%+ Price Premium5 82% CO2e Reduction1 Group III vs Group II base oil relative to production and burning of UMO >3x the Margins6 of re-refin
Slide 11: Texas Project Summary
Texas Project Summary Project Summary ▪ Leveraging industry-proven technologies and the Company’s unique, patented re-refining process, ReGen III is developing a 5,600 bpd UMO re-refinery in the Galveston Bay area in Texas City, TX ▪ The Texas Facility is designed to produce: ‐ 3,000 bpd Group III ‐
Slide 12: Industry-Proven Technologies and Extensive Patent Portfolio
Industry-Proven Technologies and Extensive Patent Portfolio Technology Validated by Design Pilot Tested Extensive Patent World-Class Partners and Validated Portfolio MARCH 2009 2005 - 2009 6,000-Hour Pilot Test, 5 bpd1 2013 - 2014 Incremental Pilot MARCH 2014 Testing2 32 Issued or Pending Patents 20
Slide 13: Texas City Site Offers Strategic Benefits
Texas City Site Offers Strategic Benefits ▪ Site situated in Galveston Texas City Area Plan Tanks Road Bay Planned tanks Rail ▪ Partnering with Advario to develop Texas Facility infrastructure ▪ Advario to provide ~10 acres and design, develop, and maintain external logistical assets C E F G ▪ Strat
Slide 14: Milestones & Pending Catalysts
Milestones & Pending Catalysts 1 Offtake 2 Financing ▪ 1st offtake LOI received ▪ National Bank Financial and Raymond James engaged to co-lead M&A and ▪ Multiple parties under NDA and project-level financing interested in offtake and/or strategic investment ▪ U.S. Department of Energy (“DOE”) ▪ Addi
Slide 15: Future Target Markets
Future Target Markets Build & Own Robust Global Market for Sustainable Group III Base Oils Outright ▪ Global Group III market of over 100,000 bpd;1 minimal supply of re-refined Group III: 1,400 bpd globally, 400 Plant, equipment and bpd in North America2 business ▪ Scope 3 targets established: Of 16
Slide 16: Investment Summary
Investment Summary Disruptive Recycling Technology with Exceptional Economics Proven Processes Generating Exceptional Yields Strong Project Economics • Group III base oil yield of 53% provides competitive advantage • Long-term, robust margins and cash flows compared to traditional methods that produ
Slide 17: Experienced Leadership Team
Experienced Leadership Team Gregory Clarkes Mark Redcliffe Tom Lawlor Chief Executive Officer President Chief Operating Officer ▪ 30+ years of leadership ▪ 20+ years of securities and ▪ 25+ years of leadership experience experience across private and venture banking experience in project management
Slide 18: Board of Directors
Board of Directors Gregory Clarkes Larry Van Hatten Bob Rennie Chair Lead Director Director ▪ 30+ years of leadership ▪ Former Partner at Ernst & ▪ Founder and executive director of experience across private and Young LLP, leading its Rennie Group, offering specialized public companies Vancouver Ass
Slide 19: Capital Structure
Capital Structure Analyst Coverage Shares Outstanding 118.4M Market Capitalization $30.8 M Brent Watson F/D Shares Outstanding 140.5 M Cormark Securities Inc. bwatson@cormark.com Insider Ownership 20.7% 52-Week Range $0.24 - 0.51/sh *as of July 31, 2024 As of Exercise Price Range W. Avg W. Avg Life
Slide 20: Contact Us
TSXV: GIII | OTCQB: ISRJF | FSE: PN4 Contact Us Investor & Media Inquiries Corporate Inquiries Jamie Frawley Kimberly Hedlin, CPA, CMA 416-268-9432 Vice President, Corporate Finance investors@regeniii.com (403) 921-9012 info@regeniii.com REGENIII.COM TSXV: GIII | OTCQB: ISRJF | FSE: PN4 20