Dakota Plains — Investor Presentation (March 2015)
16 slides from Dakota Plains's investor presentation, Mar 16, 2015
Slide 1: Corporate Presentation March 16, 2015
WWW.DAKOTAPLAINS.COM WWW.DAKOTAPLAINS.COM NYSE MKT: DAKP NYSE MKT: DAKP CORPORATE PRESENTATION MARCH 16, 2015 CORPORATE PRESENTATION MARCH 16, 2015
Slide 2: Forward Looking Statements
Statements made by representatives of Dakota Plains Holdings, Inc. (“Dakota Plains”or the “Company”) during the course of this presentation that are not historical f acts, are forward-looking statements. These statements are based on certain assumptions and expectatio ns made by the Company which re
Slide 3: Business
3 BUSINESS Frac Sand Storage & Transloading Crude Oil Storage & Transloading Crude Oil Logistics & Transport Oil Outbound Oil Outbound Sand Inbound Sand Inbound
Slide 4: Transformation
TRANSFORMATIO N 2 Years Ago 2015 indirect investment in 350/50 JVs 0 operating control 26k b/d average throughput 4ladder tracks 0 crude oil storage $28m in debt at 12% 100%ownership and operating control >50k b/d average throughput 2loop tracks and 8ladder tracks 180k bbls crude oil storage; 270k b
Slide 5: Governance
5 GOVERNANCE ADAM KROLOFF CHAIRMAN OF THE BOARD GARY ALVORD LEAD INDEPENDENT DIRECTOR STEVEN BLANK INDEPENDENT DIRECTOR DAVID FELLON INDEPENDENT DIRECTOR CRAIG MCKENZIE CEO & EXECUTIVE DIRECTOR BOARD OF DIRECTORS GABE CLAYPOOL PRESIDENT & COO TIM BRADY CFO JIM THORNTON GENERAL COUNSEL MANAGEMENT Boa
Slide 6: Growth
66 GROWTH Phase 4 Phase 5 Phase 6 Phase 1 Phase 2 Phase 3 2010 2017E Tank #3 under construction; operational July 2015 $6m fully funded Loop Track #3 under evaluation $5m est. Tanks #4, #5, & loading expansion $25m est. Tank #6 & infrastructure $6m est. k b/d oil 20 40 80 160 Oil
Slide 7: Strategic Alternatives
STRATEGIC ALTERNATIVES Combination Acquisition Recapitalization Sale with other company or MLP of strategic & accretive assets (or company) of debt/equity/structure to buyer pending level of interest Phased expansions based on demand Oil Sand 2015 – 2017 Plan Opportunity Set Destination terminals Or
Slide 8: 4Q 2014 Results
4Q 2014 RESULTS 8 all results in $mm 4q 2014 4q 2013 Consolidated Net Income $ (0.9) $ 0.3 EBITDA $ 1.9 $ 0.1 Oil Transloading JV Revenue $ 7.7 $ 4.6 Income $ 2.5 $ 0.9 Sand Transloading JV (a) Revenue $ 0.6 Income $ 0.2 Discontinued Operations Income from Marketing JV $ 0.4 $ 1.4 Income from Trucki
Slide 9: FY 2014 Results
FY 2014 RESULTS 9 all results in $mm FY 2014 FY 2013 Consolidated Net Income $ (3.3) $ (1.7) EBITDA $ 3.4 $ 2.4 Oil Transloading JV Revenue $ 26.8 $ 17.5 Income $ 6.7 $ 4.3 Sand Transloading JV (a) Revenue $ 1.4 Income $ 0.4 Discontinued Operations Income from Marketing JV $ ( 0.4) $ 3.0 Income from
Slide 10: Rail vs. Pipe
10 RAIL VS. PIPE Sources: North Dakota Pipeline Authority (NDPA) with data through December 2014 and the Energy Information Administration (EIA) Brent/WTI spread $/bbl Brent/WTI spread $/bbl North Dakota production bbl/day Rail Volume 58% Pipeline Volume Pipeline Capacity
Slide 11: Operations
11 OPERATIONS 11
Slide 12: 2015 Pioneer Transloading Plan
12 k tons per month of frac sand Actual k b/d of crude oil 2014 2015 PIONEER TRANSLOADING PLAN ToP vol = 49.1 kbpd
Slide 13: Priorities
PRIORITIES Guidance Delivery Tank #3 Construction Operations Efficiency Throughput Contracts Debt Syndication Strategic Alternatives new customers and renewals with current customers bring outsourced operations in-house 57.5 k b/d oil; 97.5 k tons/q sand; $23.4 m EBITDA commission by July 2015 Strat
Slide 14: Appendix
14 APPENDIX
Slide 15: EBITDA Reconciliation - 4Q and FY 2014 Results
EBITDA RECONCILIATION-4Q AND FY 2014 RESULTS 15 2014 2013 2014 2013 2012 Net Income (Loss) 185,474$ 337,304$ 2,256,678$ (1,725,364)$ (2,000,670)$ Add Back: Income Tax Provision (Benefit) 287,155 228,000 (854,993) (1,054,000) (1,380,541) Depreciation and Amortization 1,103,066 47,623 4,332,900 179,54
Slide 16: EBITDA Reconciliation - 2015 Guidance
EBITDA RECONCILIATION-2015 GUIDANCE 16 (expressed in USD millions, unless otherwise indicated) Twelve Months Ended December 31, 2015 Net Income 8.5$ Add back: Interest Expense 7.6$ o/w Contingent payment interest 4.2$ Term loan and revolver interest 3.1$ Fees / amortization associated with loans 0.4
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