Oci Nv · EURONEXT:OCI
Oci Nv — Investor Presentation (February 2015)
28 slides from Oci Nv's investor presentation, February 2015
Slide 1: Fertilizer & Chemicals Overview
Fertilizer & Chemicals Overview February 2015
Slide 2: OCI N.V. Post-Demerger
OCI N.V. Post-Demerger Leading global natural gas-based fertilizer & chemicals producer: ‒ Global distribution, production facilities in The Netherlands, USA, Egypt and Algeria ‒ Top 5 five global nitrogen-based fertilizer producer - sellable capacity of c.7.5 mtpa at end-2014 Focus: Planned Dem
Slide 3: Transaction Structure Summary
Transaction Structure Summary Structural Overview Commentary Demerger of Orascom Construction (OC) from OCI N.V. Sawiris Family Free Float USD 1.4 billion repayment of capital to OCI N.V. shareholders 54% 46% OCI N.V. remains listed on Euronext Amsterdam and does not retain a shareholding in OC
Slide 4: Demerger Benefits
Demerger Benefits Demerger of Orascom Construction creates two separately-listed pure play companies offering distinct investment propositions: – OCI N.V.: global producer of natural gas-based fertilizers and chemicals – Orascom Construction: global engineering and construction group Benefits of t
Slide 5: Operating Production Facilities in 4 Countries and 2 Under Construction
5 Operating Production Facilities in 4 Countries and 2 Under Construction Iowa Fertilizer Co. (IFCo) OCI Nitrogen Netherlands Under construction 1.4 mtpa of CAN 350 ktpa of sellable ammonia Planned capacity: 250 ktpa of UAN − 185 ktpa of sellable ammonia 190 ktpa of melamine − 250 ktpa o
Slide 6: Global Distribution Network
Global Distribution Network Global distribution network with strong presence in Europe and strategic JVs in Brazil and the USA Majority of OCI sales direct to customers Sales to more than 35 countries Port access in Europe, US Gulf Coast, and North Africa Global warehousing capacity (ex. F
Slide 7: Pursuing a Growth Strategy
Pursuing a Growth Strategy Total Capacity on Track to Reach Almost 12 MTPA by end-2016 OCI Beaumont debottlenecking – expected completion Q1 2015 ‒ Expected increases of methanol and ammonia capacity by 25% and 15% respectively through debottlenecking project ‒ Plants have been shut down from Frid
Slide 8: Rapid Ramp-up of Production Capacity
Rapid Ramp-up of Production Capacity Production Capacity From Inception in Egypt to Completion of Current North American Greenfield Projects 14,000 1.3 mtpa 4.0 mtpa 7.5 mtpa 11.9 mtpa 12,000 Sellable production capacity ktpa 10,000 8,000 6,000 4,000 2,000 0 2008 2011 2014 2016 Urea Merchant ammonia
Slide 9: Organic Growth Initiatives in the United States: Iowa Fertilizer Company
Organic Growth Initiatives in the United States: Iowa Fertilizer Company Greenfield nitrogen fertilizer plant (ammonia, urea, UAN and DEF) Benefiting from first mover advantage in the US for greenfield plants Plant Strategic location: in the heart of US Midwest corn belt, Overview Broke grou
Slide 10: Barriers to Entry are High in North America
Barriers to Entry are High in North America Limited new nitrogen fertilizer capacity expected in North America Nitrogen facilities are time and capital intensive ‒ Capex for greenfield construction now up to US$ 3.0 billion or even higher, depending on size, capacity and financing of project ‒ Typ
Slide 11: Organic Growth Initiatives in the United States - OCI Beaumont Debottlenecking
Organic Growth Initiatives in the United States - OCI Beaumont Debottlenecking Largest integrated ammonia-methanol plant in North America Competitive location on Gulf Coast, strong ammonia / methanol economics in the US market and attractive natural gas feedstock costs Newly rehabilitated – fu
Slide 12: Organic Growth Initiatives in the United States - Natgasoline LLC
Organic Growth Initiatives in the United States - Natgasoline LLC Natgasoline LLC World scale greenfield methanol production complex currently under development Expected to produce approximately 1.75 million metric tons of methanol per year Located in Beaumont, Texas, on plot adjacent to OCI B
Slide 13: Lower Natural Gas Price Environment
Lower Natural Gas Price Environment Henry Hub (US$/MMBtu) TTF Netherlands (US$/MMBtu) 8.0 17.0 7.0 15.0 Average 2014 US$ 4.35 / MMBtu Average 2014 6.0 13.0 US$ 8.1 / MMBtu 5.0 11.0 4.0 9.0 3.0 7.0 US$ 2.65 / MMBtu 2.0 5.0 Jan-2013 Apr-2013 Jul-2013 Oct-2013 Jan-2014 Apr-2014 Jul-2014 Oct-2014 Jan-20
Slide 14: OCI Nitrogen – Decreasing Gas Feedstock Costs and High Nitrate Premium
OCI Nitrogen – Decreasing Gas Feedstock Costs and High Nitrate Premium CAN and UAN (EUR/tonne) Nitrate Premium (%) 300 60% 280 50% CAN and UAN in EUR/t 260 nitrate premium in % 40% 240 30% 220 200 20% 180 10% 160 0% 01/2013 04/2013 07/2013 10/2013 01/2014 04/2014 07/2014 10/2014 01/2015 CAN UAN TTF
Slide 15: Sorfert Algeria – Ramping Up to Full Utilization
Sorfert Algeria – Ramping Up to Full Utilization Globally cost competitive plant, major contributor to earnings growth OCI NV Consolidated Net Debt by Currency 30 Sep 2014 Ramping up successfully: USD Algerian 30% ‒ Product sales volumes improved significantly from the second into Dinar the third
Slide 16: Egypt – Addressing the Natural Gas Deficit
Egypt – Addressing the Natural Gas Deficit Natural gas imports EFC & EBIC: 19% of sellable capacity at end-2016 Natural gas deficit in Egypt in excess of 10% of total demand: Percentage of Total Capacity as of end-2016 Natgasoline Egyptian ‒ Priority for natural gas supply to electricity sector to
Slide 17: APPENDIX
APPENDIX OCI
Slide 18: OCI N.V. Pro Forma Financials
OCI N.V. Pro Forma Financials
Slide 19: OCI N.V. Fertilizer & Chemicals Pro Forma Income Statement
OCI N.V. Fertilizer & Chemicals Pro Forma Income Statement1) 2013 9M 2014 Revenue 2,545.9 1,998.9 Cost of construction and goods sold -1,750.5 -1,253.0 Gross Profit 795.4 745.9 Gross Profit Margin 31.2% 37.3% Selling, General, and Admin Expenses -232.4 -124.4 Other operating income (expenses) -67.6
Slide 20: OCI N.V. Fertilizer & Chemicals Pro Forma Balance Sheet - Assets
OCI N.V. Fertilizer & Chemicals Pro Forma Balance Sheet - Assets1) 31 Dec 2013 30 Sep 2014 ASSETS Non-current assets Property, plant and equipment (net) 3,866.2 3,621.5 Assets under construction 797.2 1,380.0 Payment for purchase of investments 0.0 0.0 Goodwill 959.4 939.5 Other intangible assets 4.
Slide 21: OCI N.V. Fertilizer & Chemicals Pro Forma Balance Sheet – Liabilities & Shareholders’ Equity
OCI N.V. Fertilizer & Chemicals Pro Forma Balance Sheet – Liabilities & Shareholders’ Equity1) 31 Dec 2013 30 Sep 2014 EQUITY Shareholders' equity Share capital 267.9 272.3 Legal reserve 0.0 0.0 Other reserves 1,529.4 1,567.2 Retained earnings 107.5 426.1 Cumulative adjustment on translation of fore
Slide 22: Overview Current and Future Production Capacities
Overview Current and Future Production Capacities
Slide 23: Expanding Our Globally Cost Competitive Product Portfolio
Expanding Our Globally Cost Competitive Product Portfolio Design Capacities¹ Total Ammonia Fertilizer Chemicals for sale Plant Country Gross Net⁶ Urea UAN⁷ CAN Methanol Melamine DEF for sale Egyptian Fertilizers Company² Egypt 800 - 1,550 - - 1,550 - - - 1,550 Egypt Basic Industries Corp. Egypt 730
Slide 24: Q3 and 9M 2014 Sales Volumes
Q3 and 9M 2014 Sales Volumes Product – Sales Volumes Q3 2014 Q2 2014 %Δ Q3 2013 %Δ 9M 2014 9M 2013 %Δ Granular Urea OCI Product Sold 382.3 315.7 21.1% 289.3 32.2% 1,127.7 563.9 100.0% Third Party Traded 5.0 0.9 nm 30.7 -83.7% 31.5 411.0 -92.3% Total Granular Urea 387.3 316.6 22.3% 320.0 21.0% 1,159.
Slide 25: Listing Information
Listing Information OCI
Slide 26: OCI N.V. Listing Information
OCI N.V. Listing Information Listing Information Trading on Euronext Amsterdam since 25 January 2013 (NYSE Euronext: OCI) Number of shares: 210,113,854 Market cap: EUR 6.5 billion as at 13 February 2015 Options trading: Euronext introduced options on OCI N.V. shares as of 13 December 2013
Slide 27: Disclaimer
Disclaimer NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION. THIS DOCUMENT IS NOT AN OFFER TO SELL SECURITIES OR THE SOLICITATION OF AN OFFER TO BUY SECURITIES IN
Slide 28: For OCI N.V. investor relations enquiries contact
For OCI N.V. investor relations enquiries contact: Hans Zayed [email protected] T +31 (0) 6 18 25 13 67 Erika Wakid [email protected] T +44 (0) 20 7297 8841 OCI N.V. corporate website: www.oci.nl