Company Snapshot Building a leading oil-focused infrastructure business GEI 3.7B TSX LISTED MARKET CAPITALIZATION(1) 5.1B 15mm ENTERPRISE BARRELS OF VALUE(1) STORAGE(2) 1.0B S&P: BBB INFRASTRUCTURE CAPITAL DEPLOYED…
Oil Infrastructure Focused 75% of 2020E EBITDA from core Terminals & Pipelines and 80% Infrastructure 2020E EBITDA Breakout(1) OILSANDS 75% Terminals and Pipelines 80% Infrastructure EDMONTON TERMINAL 1.7 mmbbl existing…
Focused Strategy Premier oil infrastructure assets to underpin DCF per share and dividend growth Leverage Terminals Position Complementary Growth Terminals to represent 70% of Target deploying at least 200 300 EBITDA(1,2) Oil million…
Complete Transformation of Business Repositioned from diverse mix of business lines to focused energy infrastructure 2014(1,2) 2017(1,2) 2020E(2,3) 75% Terminals & 25% Terminals & Pipelines 55% Terminals & Pipelines Pipelines…
Hardisty Terminal Best-in-Class Connectivity Replicating Gibsons competitive position not possible and cost prohibitive Flexibility offered by Gibsons existing best-in-class connectivity provides a wide moat at Hardisty Key…
Hardisty Terminal Competitive Advantages Replicating Gibsons competitive position not possible and is cost prohibitive Located at the heart of the Hardisty footprint Land Position 240 acres of land holdings adjacent to existing tankage…
Hardisty Terminal Overview Continue to grow at Hardisty at an attractive 5x 7x EBITDA build multiple COLD LAKE N HARDISTY TOP OF THE HILL Gibson connection to HARDISTY EAST 180 mbbl/d rail facility WEST HARDISTY Additional…
DRU at Hardisty On-Strategy Infrastructure High-quality infrastructure project leveraging and extending Hardisty position 50%/50% joint venture between Gibson and U.S. Development Group (USD) First DRU in Agreement in place with…
DRU at Hardisty Full Market Access Solution Full market access solution to support construction of first DRU in Western Canada OIL SANDS 1 Bitumen production from the oil sands shipped as dilbit via pipelines to Gibsons Hardisty…
DRU Hardisty Location and Construction Potential mid-2021 in-service at a cost of 125mm to 175mm net to Gibson(1) Targeting in-service date as early as the second quarter of 2021 Total capital cost of the initial 50,000bbl/d phase, net…
Edmonton Terminal Edmonton Terminal an attractive cash flow stream, although smaller scale Edmonton Terminal benefits from advantageous positioning located next to two major refineries, access to both the CN and CP railway lines and…
U.S. Strategy Seek to establish a platform for long-term infrastructure growth in the U.S. CENTRAL BASIN Role in Portfolio PLATFORM ADDITIONAL LEG PLAINS BASIN N IN SERVICE Q3 2020 PIPELINE Long-term goal to create an WINK HUB PLAINS…
Marketing Capabilities Creates value for customers and drives volumes to Gibsons Infrastructure assets Refined Products leases the Moose Jaw Facility from the Refined Infrastructure segment, sourcing feedstocks and marketing the…
Segment Profit Outlook Infrastructure to grow to 80% of total segment profit by 2020E Significant growth in the core Infrastructure segment over time, with a 20% CAGR between 2011 and 2020E Infrastructure expected to generate 360 380…
Distributable Cash Flow Outlook Sustained growth in core Infrastructure driving meaningful per share growth Distributable Cash Flow With Illustrative Breakout By Business(1) (C millions) 400 Line of sight to delivering DCF 2.50 CAGR of…
Strong Financial Position Leverage and payout ratio currently below target ranges Obtained two Investment Grade ratings in 2019 New rating of BBB (low) with stable trend from DBRS Morningstar Upgraded to BBB- with stable outlook by…
Contract Quality & Balance Sheet Comparison Attractive contract quality and best-in-class leverage relative to peer group Proportion Take-or-Pay & Fee-for-Service(1) Net Debt / 2019A EBITDA(2) (%) (x) 100% 6.0x 80% 4.0x…
Governing Principles Committed to maintaining a strong financial position by managing to key targets Committed Target Performance High Quality 80% segment profit from take-or-pay and high- Contract Cash Flows 80% by 2020E(1)…
Funding Position Through 2020 Fully-funded for all sanctioned capital, with capacity to fund incremental growth 2020 Sources and Uses (1,2,3) (C millions) Further Capacity to 2020 Retained DCF Fund Capital in 2020+ Meaningfully…
Growth Capital Outlook Long-term target of 200 to 300 million of Infrastructure growth per year Contract Structure Investment Outlook Long-term take-or-pay and stable fee- 2 4 tanks per year Hardisty & based, with weighted average…
Long-Term Capital Allocation Priorities Near-term focus on remaining fully-funded; steady dividend growth longer-term Target payout ratio of 70% 80% over the long-term Fund Dividend Fund the Business Dividend to be fully covered…
Key Takeaways Continue to deliver on all facets of the strategy, with visibility to further growth Delivery Since January 2018 Investor Day Go Forward Deliverables Target investing 200mm 300mm per year Sanction 2 4 Tanks…
APPENDIX
2020 Capital Expenditure Budget Expected to be in the range of 275 million to 325 million Capital Outlook Expect to sanction 2 to 4 tanks a year on run-rate basis in current environment Expect 275 325 million of Growth Capital in 2020…
Capital Funding Approach and Maturity Profile Disciplined funding approach to ensure strong financial position Long-Term Funding Approach Maturity Profile (C millions) 800 Senior 750mm Credit Facility (60mm Drawn)(1) on 3.0x 3.5x…
Infrastructure Growth Capital Invested 1.75B in Infrastructure 2011-2020E, including 11.5 mmbbl of tankage Infrastructure Growth Capital Expenditure 2011A - 2020E (C millions) 2020E 300mm 243 221 219 229 184 147 101 62 41…
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