Tidewater Midstream & Infrastructure Ltd. · TSX:TWM
Tidewater Midstream & Infrastructure — Investor Presentation (October 2015)
18 slides from Tidewater Midstream & Infrastructure's investor presentation, Oct 19, 2015
Slide 1: Tidewater Midstream and Infrastructure Ltd.
@ TIDEWATER Midstream and Infrastructure Lid.
Slide 2: Forward Looking Information Advisory
Forward Looking Information Advisory In the interests of providing Tidewater Midstream and Infrastructure Ltd. (“Tidewater” or the “Corporation”) shareholders and potential investors with information regarding Tidewater, including management’s assessment of future plans and operations relating to th
Slide 3: Tidewater Summary
Tidewater Summary Track Record of Success Proven team can leverage upstream and downstream relationships and partner with producers to share upside with NGL pricing while securing take-or-pay or reserve dedication volume contracts Former Predator Midstream management and board of directors (so
Slide 4: Commitment To The NGL Value Chain And Execution Of Business Plan
Commitment To The NGL Value Chain And Execution Of Business Plan Tidewater will aggressively grow its NGL business through both organic opportunities as well as acquisitions P Closed initial public offering April 2015 P Closed significant equity offering to capitalize Tidewater June 2015 P C
Slide 5: Tidewater Is A High Growth Midstream Company
Tidewater Is A High Growth Midstream Company NGL Connectivity Strategy Key NGL/gas infrastructure and gas Acquire Strategic plants with proximity to multiple 1 Contracted transportation options, coupled with Infrastructure take-or-pay and/or reserve dedication agreement Any and all acquisitions
Slide 6: Board & Management Has A Strong Track Record
Board & Management Has A Strong Track Record Energetic and motivated team, which has previously achieved 20 fold returns in prior companies; most recently, Predator Midstream Ltd. (crude-by-rail) and Predator Oil Ltd. (upstream oil)1 Team Member Position Background Founding CEO of Predator Oil L
Slide 7: Predator Midstream Ltd. Case Study
Predator Midstream Ltd. Case Study Prior entity of Tidewater team demonstrated exceptional returns while earning an outstanding reputation with producers and customers Q1 2013: July 2013: January 2014: March 2014: Developed and Moved 5,000 bbls/d As a result of Moving 15,000 bbls/d honed in-house of
Slide 8: Strategic Acquisition Of A Deep Cut Gas Processing Facility
Strategic Acquisition Of A Deep Cut Gas Processing Facility In July 2015, Tidewater closed the acquisition of a 63% operated working interest in a deep cut gas processing facility (BRC) in the West Pembina region of Alberta, including related pipelines for $180 MM The West Pembina region is a pr
Slide 9: Drilling Activity Continues In Close Proximity To The BRC
Drilling Activity Continues In Close Proximity To The BRC Tidewater’s Brazeau River Complex is located in an attractive area with significant low- risk, multi-zone, liquids-rich targets with favourable economics in the current commodity price complex Well licensing remains active in proximity to
Slide 10: BRC Acquisition Investment Highlights
BRC Acquisition Investment Highlights ~C$28 MM of EBITDA with enhancement potential through optimization and growth Strong Cash Flow ~70% of facility EBITDA contracted under take-or-pay contracts ranging from 3 to Profile 10 years backed by credible counterparties / producers Acquisition at 6.
Slide 11: West Pembina (BRC) Strong Area Production Growth
West Pembina (BRC) Strong Area Production Growth 230 wells were drilled in 2014 which increased area production additions by 25% year-over-year Though gas production in the area has historically come primarily from the Cardium, year-over-year growth of 25% has largely come from the Mannville pla
Slide 12: Production in West Pembina Continues to Grow From Diverse Producer Group
Production in West Pembina Continues to Grow From Diverse Producer Group Liquids rich gas production by large producers driving strong demand for deep cut facilities 15+ producers have active operations in the area No single producer dominance Area Production Profile – Top 15 Producers1 1,200
Slide 13: Third Acquisition Creates Second Core Area in Western Canada
Third Acquisition Creates Second Core Area in One of the Most Active Areas in Western Canada Included with acquisition are interests in 3 gas processing facilities, ~250 km of pipelines and 6 compression facilities 6x EBITDA multiple on acquisition of which 80% of related EBITDA will be supporte
Slide 14: Tidewater Corporate Profile
Tidewater Corporate Profile Stock Symbol TSXV: TWM Common Shares Outstanding 174.7 million Options and RSU‘s 3.8 million Insider Ownership (Fully Diluted) ~5.3% Market Capitalization(1) $246 million Current Net Debt ($2) million Enterprise Value $244 million Annual Dividend $0.04/sh. Current Yield(1
Slide 15: Tidewater Midstream Trading Comparables
Tidewater Midstream Trading Comparables Tidewater Midstream Trading Comparables 4 Share Market Enterprise EV/EBITDA Price/ '16E Payout Dividend Debt/ Credit Company 1 1,2 2,3 2016E Book 4 Yield Total Cap. Rating Price Cap. Value Ratio (C$/Sh.) (C$MM) (C$MM) (x) (x) (%) (%) (%) Enbridge Income Fund H
Slide 16: Rights of Action for Damages or Rescission
Rights of Action for Damages or Rescission The following statutory rights of action for damages or rescission will only apply to a purchaser of securities of Tidewater in the event that this corporate presentation is deemed to be an offering memorandum pursuant to applicable securities legislation i
Slide 17: Rights of Action for Damages or Rescission
Rights of Action for Damages or Rescission Such rights of rescission and damages are subject to certain limitations including the following: (a) if the purchaser elects to exercise its right of rescission against the issuer, it shall have no right of action for damages against that party; (b) in an
Slide 18: Notice to Investors
Notice to Investors All purchasers of securities will be required to execute a subscription agreement, which will contain representations, warranties, covenants and acknowledgments of the purchasers required by the relevant regulatory authorities, Tidewater and any agents or underwriters under the o
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