Borouge Plc · ADX:BOROUGE
Borouge — Shareholder Meeting (April 2025)
14 slides from Borouge's shareholder meeting presentation, Apr 7, 2025
Slide 1: Annual General Meeting: Update on All-share Combination of Borouge / Borealis and Acquisition of Nova Chemicals
Annual General Meeting Update on All-share Combination of Borouge / Borealis and Acquisition of Nova Chemicals Prepared and presented by ADNOC 7th April 2025
Slide 2: Disclaimer
DISCLAIMER THIS PRESENTATION, ITS CONTENTS AND ANY INFORMATION PROVIDED AT THIS PRESENTATION ARE STRICTLY CONFIDENTIAL AND ARE NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, SOUTH AFRICA, JAPAN OR AUSTRALIA OR ANY OTHER
Slide 3: Speakers
Speakers Tatiana Hetal Klaus Volochkovich Patel Froehlich Senior Manager President of Global Chief Investment Investor relations Chemicals Officer ADNOC XRG ADNOC 33
Slide 4: Borouge to Become a Global Leader, Well-Diversified Across Key Demand Markets
Borouge to Become a Global Leader, Well-Diversified Across Key Demand Markets Extensive Geographic Presence and Reach, a Global Champion Access to global polyolefins demand in all 3 major consumption areas 0.6 Technology powerhouse with 1.6 0.8 > 16,500 patents and 7 R&D 0.1 centres 0.8 1.0 0.6 0.9
Slide 5: Significant Upside from Beginning Cycle Recovery Driving Volumes and Margin
Significant Upside from Beginning Cycle Recovery Driving Volumes and Margin L5Y prices have not reflected typical cycle L5Y cash margins below 2013-19 average Industry tailwinds emerging Index prices (US$ per metric ton) Cash margins (US$ per metric ton) Analyst estimated EBITDA for select peers (US
Slide 6: Benefits for Shareholders
Benefits for Shareholders BGI is set to be a larger, stronger, growth-orientated company that is focused on delivering superior total shareholder returns Immediate Growth Dividend Yield Cash Earnings B4 at Cost Increase of nameplate Minimum dividend of 16.2 Cash earnings per share Transfer of B4 at
Slide 7: Substantial TTC EBITDA Growth from Multiple Initiatives
Substantial TTC EBITDA Growth from Multiple Initiatives 90% of Expected Increase is from New Projects, Efficiency Program and Synergies; 10% Only Relies on Market Normalization Expected Through-the-Cycle EBITDA Borouge & Borealis Nova Chemicals Borouge, Borealis & Nova Chemicals EBITDA Breakdown ($b
Slide 8: Borealis - First Quartile Crackers With Feedstock Flexibility and Competitive PO Plants
Borealis - First Quartile Crackers With Feedstock Flexibility and Competitive PO Plants High Feedstock Flexibility of Crackers Net Cash Margin • Advantages of Borealis assets (Amongst European peers, olefins(1)) - Nordic crackers – flexibility of feedstocks, combined with access to sea and storage 2
Slide 9: Borealis – Highly Competitive in Specialty Products Segment with Resilient Margins
Borealis – Highly Competitive in Specialty Products Segment with Resilient Margins End-Use Industries Specialty Products Consumer products Energy Mobility Superior High customization properties (e.g., potential due to One of the exceptional multi- modal leading suppliers purity, durability, Borstar®
Slide 10: Best-in-Class and Resilient Margins
Best-in-Class and Resilient Margins Superior Average Margin vs. Select Peers(1)… …Demonstrating Resilience Through-the-Cycle (2020A – 2024E Average EBITDA Margin) (2020A – 2024E Average EBITDA Margin Range) 35% 36% 26% 23% 31% 22% Peer Avg.: 16% 28% 19% 15% 23% 13% 19% 7% 19% 13% 16% 13% 12% 10% 9%
Slide 11: Borouge Group International Net Debt
Borouge Group International Net Debt Net Debt Evolution B4 recontribution by end of 2026, with • 2020A-24A Average EBITDA (excluding B4) is $4.5bn / flexibility retained on timing and funding • TTC EBITDA post-synergies (including B4) is expected to be $7bn+ to ensure accretion Potential stock issua
Slide 12: Significant Identified Potential Synergies of c.$500m p.a.
Significant Identified Potential Synergies of c.$500m p.a. 25-Year Track Record of Strategic Cooperation Between ADNOC and OMV will Ensure Smooth Synergy Realisation Synergies Drivers Synergy Implementation Plan Agreed Between ADNOC & OMV Improved geographical sales coverage Cross-selling opportunit
Slide 13: Governance Structure
Governance Structure Borouge Group International will be headquartered and domiciled in Austria with regional headquarters in ✓ the UAE and will be listed on the ADX(1) Equal governance rights between ADNOC and OMV. Supervisory Board comprising equal representatives ✓ from each shareholder(2); with
Slide 14: Globally Diversified Revenue and Production Base Already Demonstrate Benefits
Globally Diversified Revenue and Production Base Already Demonstrate Benefits Less Exposure to Single Market and Ability to Serve Customers through On-the-Ground Production Base Alleviates Impact of US “Reciprocal” Tariffs Complementary Revenue Base Revenue by Geography (Polyolefins, 2024A) Middle E