Ratio Energies Limited Partnership · TASE:RATI
Ratio Energies Limited Partnership — Q1 2024 Earnings Presentation
17 slides from Ratio Energies Limited Partnership's earnings presentation, Jun 1, 2024
Slide 1: Ratio Energies Investors Presentation Q1 2024
RATIO ENERGIES Limited Partnership INVESTORS PRESENTATION Q1 2024
Slide 2: Disclaimer
DISCLAIMER This presentation was prepared by Ratio Energies – Limited Partnership (the “Partnership” or “Ratio”). It is not an offer to buy or sell securities of the Partnership, nor an invitation to receive such offers, and is designed for the provision of information only. The information used to
Slide 3: Entrepreneurial E&P player and prospect generator of Leviathan
Entrepreneurial E&P player and prospect generator of Leviathan FY 2023 Q1 2024 32 Years of Operations Revenue $362M $87M 15% Revenue from export 85% 92% 7.75 WI in Leviathan Project Gas sales 11 BCM 2.6 BCM RATI TLV Stock Exchange Average gas 7.75 Symbol price 6.1 6.2 $/mmbtu $/mmbtu Main TA-90 Inde
Slide 4: Our Assets, Our Partners
RATIO ENERGIES Our Assets Our Partners 15% Leviathan Field Leviathan Zone G Field 73 27 27 28 28 7.75 36 36 37 70 70 10%* 7.75 Zone G * The joint venture agreement with ENI includes an option for Ratio to increase its working interest up to 30% 4
Slide 5: Leviathan Project
LEVIATHAN Ownership PROJECT World-class asset; best-in-class operations and gas quality Operator 15% 15% 39.66% 40% Regional energy anchor with wide array World-class operator assuring the highest of opportunities for future developments standards of operations and unlocking opportunities 45% for fu
Slide 6: Leviathan Phase 1A: 3rd Gathering Line
LEVIATHAN PHASE 1A: Laying 3rd gathering line from Leviathan 3rd GATHERING reservoir to the production platform will bring capacity to 14 BCM/y LINE Increase production FID taken on June 2023 capacity to 14 BCM/y Revenue increase upon completion of 3rd GL ($M) < 30% 13.7 BCM Estimated project comple
Slide 7: Leviathan Expansion: Phase 1B
LEVIATHAN EXPANSION: PHASE 1B Increasing production capacity up to 21 BCM/y Approved development plan to increase production up to ~ 21 BCM/y 12 Current capacity BCM/y Working with Israel’s Ministry of Energy to secure additional export quotas 7.75 14 Near-term capacity BCM/y Mid-2025 Expected FID i
Slide 8: Midstream: Current and planned development projects
MIDSTREAM Current and planned development projects Turkey Capacity expansion by laying a new 1 EMG offshore pipeline between Ashdod and Ashkelon Doubling regional Increasing existing pipeline capacity for transmission 2 FAJR* transportation of incremental volumes to Egypt Cyprus capacity to meet 3 N
Slide 9: Leviathan Sales by Markets
LEVIATHAN SALES BY MARKETS Israel Leviathan sales by market (BCM/y) 7.75 • Israel gas demand forecast to grow ~50% by 2030 • Main drivers are growth in electricity demand and generation, coal phase out, and growing use of gas for transport and industry 11.4 11.0 10.7 • 8-10 new gas powered combined-
Slide 10: New Exploration Licences in Zone G
NEW EXPLORATION *10% LICENCES IN *75% ZONE G1 (Operator) Zone G 15% Partnership with industry leaders creates new growth opportunities * The joint venture agreement with ENI includes an option for Ratio to increase its working interest up to 30% Our Partners One of the global energy majors with Glob
Slide 11: Financial Results
FINANCIAL RESULTS
Slide 12: Q1 2024 Financial Metrics
Q1 2024 Revenue ($M) EBITDA ($M) FINANCIAL METRICS 64 56 Q1 2023 Q1 2024 93 87 Operating Cash Flow ($M) 57 30 Q1 2023 Q1 2024 Q1 2023 Q1 2024 Revenue mix 18% 8% Net Income ($M) Q1 2023 Q1 2024 33 31 82% 92% Export Markets Domestic Market Q1 2023 Q1 2024 12
Slide 13: FY 2023 Financial Metrics
FY 2023 Revenue ($M) EBITDA ($M) FINANCIAL METRICS 270 247 FY 2022 FY 2023 380 362 Operating Cash Flow ($M) 197 151 FY 2022 FY 2023 FY 2022 FY 2023 Revenue mix 15% Net Income ($M) 25% FY 2022 FY 2023 150 127 75% 85% Export Markets Domestic Market FY 2022 FY 2023 13
Slide 14: Robust & Steady Cash Flow from Phase 1A
ROBUST & Net Cash Flow Forecast from Phase 1A 2024 through 2030 (2P+2C)1 STEADY $M CASH FLOW 600 FROM 500 PHASE 1A 400 300 271 205 216 198 Allows sustainable 200 133 174 159 $ 1.4 B dividend, debt 100 Accumulated service, and - cash-flow future investments (100) (200) (300) (400) 2024 2025 2026 2027
Slide 15: Well-Capitalized and Maintains High Liquidity
WELL-CAPITALIZED AND MAINTAINS HIGH LIQUIDITY Debt service ability from current cash-flow Accumulated cash-flow after debt service (2024-2030, $M)1 Debt Structure (31.03.2024) Significant deleverage from start of production 800 $745M Principle – Senior debt Accumulated cash-flow Principle – Bonds af
Slide 16: Looking Ahead
LOOKING Maintaining momentum on Leviathan expansion alongside AHEAD efforts to secure increased export quotas Development of regional gas transmission systems capacity to maximize sales Commencing work with ENI and Dana Petroleum on new exploration licenses Ensuring financial and operational readine
Slide 17: Ratio Energies
RATIO ENERGIES LIMITED PARTNERHIP 85 Yehuda Ha’levi St. Tel-Aviv 6579614 Israel www.ratioenergies.com Alon Sela Head of Capital Markets +972 (03) 5661338 alon@ratioenergies.com
Ratio Energies Limited Partnership — Q1 2024 Earnings Presentation on 6ix