Aemetis, Inc · NASDAQ:AMTX
Aemetis — Investor Presentation (June 2015)
30 slides from Aemetis's investor presentation, June 2015
Slide 1: The Aemetis Biorefinery
The Aemetis Biorefinery (NASDAQ: AMTX) Advanced Renewable Fuels and Chemicals Produced by Conversion of Existing Biofuels Facilities June 2015
Slide 2: Disclaimer
Disclaimer Certain of the statements contained herein may be statements of future expectations and other forward-looking statements that are based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or event
Slide 3: Aemetis Mission
Aemetis Mission Aemetis is an international renewable fuels and biochemicals company using patented industrial biotechnology for the conversion of first- generation ethanol and biodiesel plants into advanced biorefineries Traditional Corn Ethanol and Advanced Biofuels Non-Food, Low Carbon, Less Vege
Slide 4: Aemetis Overview
Aemetis Overview Founded in 2006 by biofuels industry veteran (co-founder Pacific Ethanol and EPM) $208 million revenue and $30 million Adjusted EBITDA for 2014 Own/operate 60 million gallon Ethanol plant in California - Largest biofuels refinery in California Own/operate 50 million gallon Distilled
Slide 5: Management and Board of Directors
Management and Board of Directors Harold Sorgenti - Former President/CEO of ARCO Chemical Company (12 years including IPO) Board of John Block - Former Secretary of Agriculture from 1981-86 under President Reagan Directors Fran Barton - Former CFO of five high tech companies with revenues above $1 b
Slide 6: Investment Highlights
Investment Highlights Keyes 60 MGY gallon ethanol plant constructed in 2008 – Build Cost $145 million Strong Asset Values India 50 MGY biodiesel/glycerin plant constructed 2008 – Build Cost $22 million Favorable Demand / Current production capacity of advanced biofuels is below mandated levels Suppl
Slide 7: Industry Overview
Industry Overview _—= ©
Slide 8: The Increasing Renewable Fuel Standard Mandate
The Increasing Renewable Fuel Standard Mandate In order to meet the increasing Renewable Fuel Standard, obligated parties are required to blend greater amounts of ethanol “Conventional Biofuels” must reduce greenhouse gas emissions by 20% relative to gasoline or diesel and “Advanced Biofuels” must r
Slide 9: Ethanol in Demand in Export Markets
Ethanol in Demand in Export Markets 2013 U.S. Ethanol Exports (millions of gallons)(1) Canada 325 Europe 39 East Asia Middle 8 East 40 Mexico Jamaica Philippines 10 India 31 13 52 Africa 10 Brazil Peru 47 30 Rest of world = 15 1) Source: Renewable Fuels Association 9
Slide 10: India Biodiesel Market Expands from Cancellation of Diesel Subsidies
India Biodiesel Market Expands from Cancellation of Diesel Subsidies In October 2014, the India government eliminated about $10 billion of annual subsidies for diesel and other fuels, increasing the price of diesel and biodiesel in India to world market prices In January 2015, the India government a
Slide 11: India's Market Size and Diesel Consumption by Market Segment
India’ s Market Size and Diesel Consumption by Market Segment • India diesel market size is estimated to be 25 billion gallons as of 2014, 5x bigger than the gasoline market • India’s diesel consumption is 70% transport and 30% non-transport • $10 billion diesel subsidy was eliminated in October 201
Slide 12: Business Overview
Business Overview _——L_=—— ©
Slide 13: Roadmap for Product Revenues
3 year Roadmap for Product Revenues Current Future Volume Target Ethanol 90-95% 10-20% 100 mgy Improve margins by Cellulosic Ethanol addition Biodiesel 5-10% 25-35% 100 mgy Improve margins by deploying enzymatic process Renewable Jet 0% 45-65% 200 mgy and Diesel Aemetis is reducing ethanol industry
Slide 14: Growth Strategy: Three Major Renewable Fuel Markets
Growth Strategy: Three Major Renewable Fuel Markets Ethanol Plants Biodiesel Plants Jet/Diesel Plants • Steam Turbine (CHP) • Distilled Biodiesel • ChevronLummus/ARA • Advanced Clean-In-Place • Refined Glycerin global technology license • Liquid CO2/Dry Ice for 100% replacement, renewable jet/diesel
Slide 15: Plants Strategically Located to Serve Large Addressable Markets
Plants Strategically Located to Serve Large Addressable Markets Aemetis plants are strategically located to cost effectively serve three large target markets: renewable fuels, food & feed, and biochemicals Platform Products Market Size Aemetis Strategic Advantage California Biofuels Advanced Califor
Slide 16: California Ethanol Plant
California Ethanol Plant Designed by Praj Industries, an industry leading builder of more than 450 ethanol plants General Plant upgrade design and construction management by Aemetis engineering team Stabilized production capacity of more than 60 MGY, with permits allowing 75 MGY Products & Achieved
Slide 17: California Ethanol Plant
California Ethanol Plant 17
Slide 18: India Biodiesel Plant
India Biodiesel Plant General Built and 100% owned by Aemetis subsidiary Aemetis International 50 MGY nameplate biodiesel production capacity with refined glycerin unit Products & Revenues of $32 million in 2013, growing to about $170 million per year at full capacity Production Expansion to 100 MGY
Slide 19: India Biodiesel and Glycerin Plant
India Biodiesel and Glycerin Plant 19
Slide 20: New Markets Overview
New Markets Overview 20
Slide 21: Intellectual Property
Intellectual Property Aemetis operates an R&D lab in Maryland and holds nine granted biofuels technology patents 9 Exclusive Licenses Licensed Nine awarded patents on enzyme and Chevron Lummus / ARA Renewable microbe technology: Jet and Diesel Fuel: − Exclusive license to patented microbes to produc
Slide 22: World's First 100% Biofuels Jet Flight Segment
World’s First 100% Biofuels Jet Flight Segment October 2012: Flew world’s first flight with 100% biofuels segment Renewable Diesel and Jet Fuel Testing − Air Force Research Laboratory “Tier 3” Testing Complete − Producing 210,000 gallons of renewable CH crude for DLA/Navy Contract − Includes turbine
Slide 23: Aemetis Biorefinery: CH Jet/Diesel Technology Benefits
Aemetis Biorefinery: CH Jet/Diesel Technology Benefits ARA’s CH technology uses water as catalyst to convert vegetable and animal oils (triglycerides, esters, fatty acids) directly into hydrocarbons − Same hydrocarbon types as petroleum – distributed over entire boiling range Chevron Lummus Global’s
Slide 24: The Aemetis Jet/Diesel Biorefinery
The Aemetis Jet/Diesel Biorefinery The Aemetis Biorefinery converts distillers corn oil and other renewable oils into high value, 100% replacement, renewable jet fuel and diesel Renewable Diesel and Jet Fuel Facilities Built by Upgrade of Existing Plants − Upgrade existing plants at lower cost, with
Slide 25: Financial Overview
Financial Overview _—— ©
Slide 26: Aemetis Financial Performance
Aemetis Financial Performance Years Ended Dec. 31 ($ in thousands) Keyes Revenue 2013 2014 $209,965 Income Statement Revenues $177,514 $207,683 Cost of Goods Sold 159,220 170,539 Gross Profit $18,294 $37,144 Expenses SG&A $15,275 $12,595 R&D 539 459 Operating Income $2,480 $24,090 Adjusted EBITDA(1)
Slide 27: Long Term Industry Model (LTIM)
Long Term Industry Model (LTIM) LTIM Aemetis 2014 Revenue ($ in millions) 100% $208 Gross Margin 20-25% 18% Operating Income 15-20% 12% First generation ethanol in the U.S. is a maturing market generating cash flow to fund debt reduction and company growth Aemetis is launching higher-margin products
Slide 28: EB-5 Summary: $36 million of Sub-debt Funding at 3% Interest
EB-5 Summary: $36 million of Sub-debt Funding at 3% Interest Aemetis signed investors for $36 million of EB-5 sub-debt financing at 3% interest rate − Congress created the EB-5 program in 1990 to benefit the U.S. economy by attracting investments from qualified foreign investors through the US Custo
Slide 29: Investment Summary
Investment Summary Strong Long-term Demand for Biofuels Plants Strategically Located to Serve Large Markets Substantial Upside from Next Generation Technology Experienced Management Team 29
Slide 30: (NASDAQ: AMTX)
(NASDAQ: AMTX) Advanced Renewable Fuels and Chemicals Produced by Conversion of Existing Biofuels Facilities www.aemetis.com