company presentation · 2020-06-01 · company presentation 19 april 2018. disclaimer important:...

Consolidated Energy Limited (“CEL”)

Company Presentation

19 April 2018

Disclaimer

IMPORTANT: This document is for informational purposes only. This document is not intended to form the basis of any investment decision and should not be

considered as a recommendation by Consolidated Energy AG (the “Company”) or any other person in relation to the Company. This document does not constitute

an offer to sell, a solicitation of an offer of the sale or purchase of securities or an invitation to purchase or tender for the Company. Securities of the Company shall

not be offered or sold, in any jurisdiction in which such an offer, solicitation or sale would be unlawful.

Certain information in this document is based on management estimates. Such estimates have been made in good faith and represent the current beliefs of

management. Management believes that such estimates are founded on reasonable grounds. However, by their nature, estimates may not be correct or complete.

Accordingly, no representation or warranty (express or implied) is given that such estimates are correct or complete.

This document includes 'forward-looking statements'. Forward-looking statements are all statements which do not describe facts of the past but contain the words

"believe", "estimate", "expect", "anticipate", "assume", "plan", "intend", "could", and words of similar meaning. These forward-looking statements are subject to

inherent risks and uncertainties since they relate to future events and are based on current assumptions and estimates of the Company, which might not occur at all

or occur not as assumed. They therefore do not constitute a guarantee for the occurrence of future results or performances of the Company. The actual financial

position and the actual results of the Company as well as the overall economic development and the regulatory environment may differ materially from the

expectations which are assumed explicitly or implicitly in the forward-looking statements and do not comply to them. Therefore, investors are warned to base their

investment decisions with respect to the Company on the forward-looking statements mentioned in this document.

Agenda

Company OverviewII

Key HighlightsIII

Financial OverviewIV

Recent DevelopmentsI

CEL’s Key Recent Developments

4

• FY 2017 adj. EBITDA of $325MM up 26% from FY 2016 adj. EBITDA of $258MM

• 2H 2017 methanol production up 21.8% from 1H 2017

• Average Q1 2018 U.S. contract prices $477/t up 24% from Q4 2017

• Q1 2018 methanol production volume slightly ahead of Q4 2017

2017 Full Year

Performance and Q1

2018 Trading Update

• Recent CNC long-term contract signed

• Overall situation is expected to recover further during 2018 through various supply sources

• Next to CEL’s parent owned/MHTL’s exclusively dedicated gas field DeNovo, the T&T gas undersupply situation

will be relieved via numerous exploration fields coming onstream 2018 as well as 2019ff

Trinidadian Gas

Production Recovery

on Track

• Refinancing is de-risking refinancing risk at CEL level for next 7 years with reset maturity profile

• Overall cost of capital will decrease further, with a total asset base of $5.5bn

Refinancing De-risking

CEL Maturity Profile

• 97.5% project completion with funded investments of $1,736MM as of 28/02/2018

• Natgasoline on track to start production of 1.75MM metric tons of methanol per year during Q2 2018

• Potential incremental $300MM to group EBITDA(1) p.a.

Natgasoline Update

5

1

2

3

Notes:

(1) Assuming full facility capacity (5,000 metric tons/day or 1.75MM metric tons/year), a methanol price (U.S. contract price) of $420/metric ton, an EBITDA margin of approximately

40% and excluding any non-recurring costs and expenses related to the construction of the Natgasoline facility

• CEL group shipping lease commitments were transferred outside of the group

• Release of operating lease commitments of approximately $894MM as per 31.12.2017

Rating and Capital

Structure

Improvement4

5

Trading Update

Q4 2017 Operational Highlights

Production Volumes

• Methanol production volumes up

in Q4 2017 49% from Q4 2016 but

still reduced due to overall natural

gas curtailments

• Q1 2018 volumes slightly ahead of

Q4 2017

• Stable production in fertilizer

plants despite a negative impact

due to a plant incident in Q4 2017

now resolved

Price

• Methanol Q1 2018 prices were up

on average 24% from Q4 2017

• UAN Q1 2018 prices increased by

14% on average from Q4 2017

• Q4 2017 Ammonia prices up on

average 51% from Q3 2017

MHTL Methanol Production (metric tons)

MHTL AUM (1) Production (metric tons)

U.S. Methanol Price (in $/metric ton)

UAN (2) Price (in $/metric ton)

N2000/CNC Ammonia Production (metric tons)

157 150 154138 141

159 165 170

150129

141 141

94

155 165139

0

50

100

150

200

Q1

16'

Q2

16'

Q3

16'

Q4

16'

Q1

17'

Q2

17'

Q3

17'

Q4

17'

N2000 CNC

Ammonia Price (in $/metric ton)

284 274

216184

265 263

175

264

0

100

200

300

400

Q1

16'

Q2

16'

Q3

16'

Q4

16'

Q1

17'

Q2

17'

Q3

17'

Q4

17' Notes:

(1) AUM stands for ammonia, UAN, and melamine

(2) UAN stands for urea ammonium nitrate

883

694

486 483582 585

700 721

0

250

500

750

1,000

Q1

16'

Q2

16'

Q3

16'

Q4

16'

Q1

17'

Q2

17'

Q3

17'

Q4

17'

+3%

257 237 267 309424

415

370

384

477

0

250

500

750

Q1

16'

Q2

16'

Q3

16'

Q4

16'

Q1

17'

Q2

17'

Q3

17'

Q4

17'

Q1

18'

+24%

542482

332

499 488 489 471

328

0

200

400

600

Q1

16'

Q2

16'

Q3

16'

Q4

16'

Q1

17'

Q2

17'

Q3

17'

Q4

17'

-30%

166 170 137 139 155 154 129 149170

-50

50

150

250

Q1

16'

Q2

16'

Q3

16'

Q4

16'

Q1

17'

Q2

17'

Q3

17'

Q4

17'

Q1

18'

+14%

+51%

1

Q4 2017 Operational Numbers Demonstrate Strong Recovery, Robust Q1 2018 Prices and Production Volumes Up

Source: MHTL Monthly Management Reports


Source: CNC/N200 Monthly Management ReportsSource: CNC/N200 Monthly Management Reports



6

Pricing Update: Strong Recovery in Methanol Prices

Long Term Methanol Price Development (2008-current) Current Pricing Environment

0

100

200

300

400

500

600

700

800

900

20

08

-01

20

08

-04

20

08

-07

20

08

-10

20

09

-01

20

09

-04

20

09

-07

20

09

-10

20

10

-01

20

10

-04

20

10

-07

20

10

-10

20

11

-01

20

11

-04

20

11

-07

20

11

-10

20

12

-01

20

12

-04

20

12

-07

20

12

-10

20

13

-01

20

13

-04

20

13

-07

20

13

-10

20

14

-01

20

14

-04

20

14

-07

20

14

-10

20

15

-01

20

15

-04

20

15

-07

20

15

-10

20

16

-01

20

16

-04

20

16

-07

20

16

-10

20

17

-01

20

17

-04

20

17

-07

20

17

-10

20

18

-01

Methanol, Contract-Net Transaction, FOB Houston, TX, US$ per Metric Ton (converted)

Methanol, Spot, Average, FOB Houston, TX, US$ per Metric Ton (converted)

Source:

(1) Third Party Database as of April 2018

1

2018 Prices vs. 2017 Prices Up

• Posted contract price is

$495/metric ton in March 2018

• Prices are on average up 28%

since beginning of Q4 2017

• Q1 2018 average contract price

is $477/metric ton

• Prices have continued to

increase significantly since

December 2017 and are

currently around the

$500/metric ton level and

market sentiment remains

strong for Q2 2018 and further

into 2018

• Only significant methanol

supply expansion to come

online in the Atlantic Basin in

2018 is CEL’s Natgasoline project

Gas Supply in Trinidad in Recovery

7

Testified By Long-Term Gas Contract Renewal April 1, 2018

2

CNC and NGC Joint Press Release April 2, 2018 CEL Relationship with National Gas Company

• CEL has been in negotiations with the National Gas

Company in Trinidad and Tobago since 2016 over the

extension of a number of gas supply contracts with

various affiliates

1

First Long Term Contract Negotiated in Trinidad

• CEL believes this is the first long term contract signed

since 2013

• The underlying floating price contract which provides a

hedge in low ammonia price environments continues

2

All Contracts in Place with “natural hedge” pricing mechanics

• CEL and affiliates have 5 separate contracts with NGC

across the Trinidad & Tobago Point Lisas Estate

• All contracts have favourable pricing mechanics allowing

CEL to have a “natural hedge” in place as demonstrated in the 2009 and 2016 EBITDA with average realized

methanol price around or below $ 200/metric ton

3

New CNC contract important proof point for CEL relationship with National Gas Company

First long term contract signed since 2013

2,017 1,964 1,943 1,759 1,723 1,794 1,642 1,576 1,166

1,712 1,667 1,830

1,647 1,754 1,594 1,697

967 1,422

3,729 3,631

3,773

3,406 3,476 3,388 3,339

2,543 2,588

2,884

0.0%

4.4%

0.0%

10.0%

6.2%8.1%

8.7%

29.0%

14.7%

0%

5%

10%

15%

20%

25%

30%

35%

0

1,000

2,000

3,000

4,000

5,000

6,000

2009 2010 2011 2012 2013 2014 2015 2016 2017 Run-Rate

1H Production 2H Production Undersupply as % of capacity

Production Recovery Through Improved Gas Supply

MHTL Historical Methanol Production Volume (kMT) vs. Gas undersupply as % of total capacity

DeNovo

supply

~800k p.a.

Recovery

Nameplate Capacity

No Supply Issues Gas Supply Curtailed 5-15% Worst

Potential

Juniper

supply

Notes:

(1) Run rate based from Q4 2017 production

(2) CEL is able to restart one of the two “on hold” plants within a week8

Run-rate Q4 2017 methanol production above FY 2017. Proman owned/MHTL exclusively dedicated gas field DeNovo will add ~800k

metric tons p.a., returning MHTL methanol production levels to normal

Gas Supply Recovery expected in 2018ff

2

Start up of TTMC1

and CMC facilities

with approx. 1MM

metric tons(2)

‘000

met

ric to

ns p

.a.

(1)

Project Progress

• Natgasoline project is 97.5% complete as of 28/02/2018

• World class facility with a nameplate capacity of 1.75MM

metric tons p.a.

• Only new capacity expected in the Atlantic Basin to come

online in 2018

Site Pictures

Site

April 2018

Site

April 2018

Notes:

(1) Thereof $19MM restricted cash under existing tax-exempt bonds

(2) Assuming full facility capacity (5,000 metric tons/day or 1.75MM metric tons/year), a methanol price (U.S. contract price) of $420/metric ton, an

EBITDA margin of approximately 40% and excluding any non-recurring costs and expenses related to the construction of the Natgasoline facility

9

Relative Weight Q4 2017 Cumulative

Engineering 4.6% 0.2% 99.8%

Procurement 44.1% 0.0% 100.0%

Construction 51.3% 7.1% 95.1%

Overall 100% 6.5% 97.5%

Funding

• 97.5% project completion with funded investments of $1,736MM as

of 28/02/2018

• CEL equity invested to 31/12/2017 ($MM):

• Natgasoline is estimated to contribute a potential incremental

$300MM to group EBITDA(2) p.a. with production expected to

commence in Q2 2018

Equity invested 650Cash at

Natgasoline (1)28

Equity Q1 2018 ~0

Total CEL Equity in Natgasoline 650

Natgasoline Capacity Added to CEL in Q2 2018Natgasoline potential incremental EBITDA of $300MM p.a.(2)

3

Natgasoline Production Ramp-Up

• Auxiliary Boiler Commissioned January 14th 2018

• All utilities in service January 19th 2018

• Steam supplied to Air Liquide February 18th 2018

• Air Liquid start Air Separation Unit March 9th 2018

• Reformed Catalyst Loaded April 8th 2018

• Mechanical Completion certificate issued April 18th 2018

✓ Major milestone effectively marking the end of construction and handover of the plant to the operating team for final commissioning and start-up for first production

Remaining in the coming weeks to Start ProductionMajor Milestones Already Finalised

Proman Team CEL Reference Plant Production Start Ramp-Ups (Actual Production in % of Nameplate Capacity)

Source:

Proman production data 10

81.8%91.6%

64.9%

77.3%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

CNC

2002

N2000

2004

M5000

2005

AUM

2009Production From Plant Start Up for the First 90 Days

ø1st 90 Days Production 78.9%

Production Start Year

• Complete catalyst loading

• Alignment and coupling of synthesis compressor and turbine

• Reformer refractory dry out

• Catalyst reduction

• Oxygen available from Air Liquide’s Air Separation Unit

• FIRST methanol production

✓ Senior operators have been onsite for the past 18months including Proman / CEL senior leadershipto assist with start up

3

Natgasoline potential incremental EBITDA of $300MM p.a.(1)

Notes:

(1) Assuming full facility capacity (5,000 metric tons/day or 1.75MM metric tons/year), a methanol price (U.S. contract price) of $420/metric ton,

an EBITDA margin of approximately 40% and excluding any non-recurring costs and expenses related to the construction of the Natgasoline facility

Natgasoline Capacity Added to CEL in Q2 2018

11

3

Natgasoline potential incremental EBITDA of $300MM p.a.

Mechanical Completion – April 2018

Strong Increase in Asset Base with NatgasolineStrong Increase in Asset Base Despite Stable Debt Levels

3,753 3,675

5,429 5,533

717349 586 543

1,2501,250

1,250 1,299

253 253

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

Total

Assets

Financial

Debt

Total

Assets

Financial

Debt

Total

Assets

Financial

Debt

Total

Assets

Financial

Debt

CEL Group MHTL CEL (BBS) G2X / Natgas

1,967

At initial bond launch (pro forma)(30/06/2014)

31/12/2015

1,599

2,089

52%

Debt/Total Assets

44%

Debt/Total Assets

39%

Debt/Total Assets

Notes:

(1) Natgasoline Shareholder Loans of $321MM (PIK non-cash bearing unsecured interest debt held by CEL and OCI) not included

(2) Pro-rata production capacity of total 7.8MM metric tons x applied $1,100/metric ton replacement value based on average Natgasoline and BLF total EPC costs; 7.8MM metric tons derived from

5.2 MM metric tons of methanol (4.1MM MHTL+26.08%x1.1MM OMC+ 50% 1.75MM metric tons Natgasoline) + 2.6MM metric tons fertilizer (2.2MM metric tons MHTL fertilizer

+ 30% each CNC/N2000 x 0.7MM metric tons

2,095

Total Assets and Financial Debt Over Time - CEL Group(1)

Due to CEL’s ability to invest into Natgasoline with a strong discount to the invested equity, the overall asset base situation improved

significantly for CEL bondholders with the overall debt/total assets ratio having improved

31/12/2016 31/12/2017

3

8,577 Replacement

Value(2)

38%/24%

Debt/Total Assets

Stable Total Debt +6% // Debt/Total Assets (14% points)

12

$‘00

0

Shipping vessel leases previously held by MHTL have been assigned as of 31 March 2018 releasing MHTL of operating lease

commitments of approx. $894MM (see below note of the CEL FY 2017 Financial Statement)

Third-party contracts with Mitsui OSK Lines have been assigned from MHTL to outside the CEL Group credit

• The new Proman affiliate will not only provide shipping services to CEL Group companies incl. MHTL but have other third-party

customers

• Therefore all contracts will be made at arms-length

• Proman affiliate takes the long-term risk with the leases, CEL Group companies receive very short term contracts and can

change to third party-shipping vessel contracts as well

• Irrespective of S&P’s “group methodology,” Mitsui OSK will have no recourse to CEL Group

CEL/MHTL will benefit from the new shipping arrangements operationally

• Next to complete transfer of debt MHTL will have overall lower logistics and operating costs. Less commitments, less cost =

benefit!

• Freight costs are reduced for CEL Group producers by improved utilization of fleet via increased sub-charters to third party

customers

13

1

2

3

13

4 Transfer of Shipping Leases Outside CEL GroupRationalised CEL/MHTL Balance Sheet Exposure

Effective March 31, 2018

Current Refinancing De-risks CEL Maturity Profile

14

Current Capital Structure

Notes:

(1) New PIK shareholder loan (50% OCI/50% Proman) replacing existing Promissory Notes around 24 April 2018 with existing maturity 2021 kept in place

(2) Assumed 5 years extension of MHTL revolver in conjunction with refinancing into CEF revolver

300 283 253

499

300

500321

0

200

400

600

800

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032

CEF Fixed Rate Notes

6.75%

MHTL Revolver

Natgas PIK

CEF Floating

Notes


6.875%Natgas

Tax Exempt Bonds

MHTL TLB

Revised Capital Structure Illustrative

253

525

300

500

321

0

200

400

600

800

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032

New CEF TLB

NatgasPIK(1)

CEF Floating

Notes


6.875%Natgas

Tax Exempt Bonds

Illustrative CEF

Unsecured

Potential Refinancing CEL Group

Potential New Issuance CEL GroupNo Single Year With More than $500MM

Repayment

Pushing Out Total $1.1bn of $2.4bn CEL Consolidated Debt against a Total Asset Base of $5.5bn

550

5

New CEF RCF(2)

Agenda

Company OverviewII

Key HighlightsIII



CEL History – Growing Leading PlatformGrowing Into the World’s Largest Methanol Producer and Marketing Company

16

Building and owning Trinidad methanol Acquiring full control Current U.S. Activity

• First plant with Proman as joint sponsor (CMC) is completed in 1993

Growing the business

• Proman completes 4th Trinidadian methanol plant in 1998

• Trinidadian company (MHTL) formed in 1999 to hold 4 methanol plants

• CEL formed in 2003 to consolidate 43% MHTL stake of Proman, Helm and

Ferrostaal

Building world’s largest standalone methanol plant• CEL/MHTL’s M5000 plant completed starts production in 2005

• Proman and Helm acquiring

Ferrostaal's CEL stake in 2012

• CEL (CH) ownership 75%(1)

Proman, 25%(2) Helm

• CEL (Barbados) buys remaining

57% stake in MHTL, resulting in

full control of asset in 2014

Initial U.S. expansion

• CEL subsidiary G2X acquires

controlling 50% stake in

Natgasoline in 2016 for

$630MM

• Largest methanol plant

in US expected to be

producing in Q2 2018

• Potential to roll-out 2nd

shovel ready and fully

permitted US project Big

Lake Fuels (BLF) on

which preliminary

ground works have been

completed

>10MM

metric tons(kt)

0

2,000

4,000

6,000

8,000

10,000

Annual Methanol Capacity ('000 metric tons) Annual Fertilizer Capacity ('000 metric tons)

Growth through partnership model M&A expansion US expansion

Notes:

(1) -1 share

(2) +1 share

Diversified Production with Recent Growth in the U.S.Overview of Fully Invested Asset Base

Country Trinidad Oman United States United States Trinidad

CEL

Shareholding100% 26%

50%

controlling68% 30% / 30%

Production

Capacity p.a.

4.1MM methanol

2.2MM fertilizer1.1MM methanol 1.8MM methanol

0.1 MM methanol+

1.4MM methanol

project(1)

1.3MM ammonia

7.0MM methanol

2.2MM fertilizer

1.3MM ammonia

= 10.5MM metric

tons vs.

Methanex 9.3MM

metric tons

Group Shareholder

Split

OMC Total

CEL

30.0%

Proman

30.3%

Others

39.7%

CEL

30.0%

Proman

27.2%

Others

42.8%

CEL

26.1%

Others

73.9%

CNC N2000

17

CNC / N2000

G2X

50.0%

OCI

50.0%

10.5MM metric tons producer

Long-term strategy implemented with focus on U.S. capacity addition:

Globally diversified, integrated producer of more than 10MM metric tons of methanol, fertilizer and ammonia/nitrogen

CEL

100.0%

31 2 4 5 6

CEL

67.7%

Others

32.3%

G2XNatgasolineOMCMHTL

Notes:

(1) Big Lake Fuels project “on hold” at present

http://www.ttmethanol.com/

MHTL Natural Gas Supply Contracts

MHTL customers

Price

Formula

Take or pay contracts

The price formula linked to end product

pricing allows MHTL to have a “natural hedge” in place as demonstrated in the 2009 and 2016 EBITDA with average

realized methanol price around or below $

200/t

Long Term Natural Gas Contracts

• CEL’s major production feedstock is natural gas (ca. 60-75% of COGS)

• The National Gas Company of Trinidad and Tobago Limited (NGC) is a state-

owned company that aggregates natural gas from upstream producers (e.g.,

BP) and enters into back-to-back contracts with customers like MHTL

• NGC contracts provide a natural hedge as they are linked to prices of end

products

• Methanol gas prices are based on contract and spots prices in the markets

MHTL serves less discounts and freight / shipping costs

• Fertilizer gas prices based on published ammonia market prices (average of

FOB Caribbean price with gas used downstream (for melamine and UAN

production) at a discount)

• CEL and its affiliates have five separate contracts with NGC. The most

recent renewal was signed on April 1, 2018 for CNC

18

Incremental Gas Supply in Trinidad and Tobago

Natural Gas Supply vs. Demand (MMCFD): CEL Modified Numbers

0

250

500

750

1,000

1,250

1,500

1,750

2,000

2,250

2,500

2,750

3,000

3,250

3,500

3,750

4,000

4,250

4,500

4,750

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Source:

Wood Mackenzie, Including Company Estimates,

Trinidad Express – March 2017

Block 5(c) Starfish (Shell) Dragon (Shell) DeNovo (Proman)

• Gas production dominated by BP (55%) and Shell (20%) who own a majority of natural gas acreage. Decline in production 2010-2016 due to:

• BP’s production decline as a result of a lack of investment in exploration and drilling from 2010 (post Macondo) to 2015/2016 – Planning $5bn of

investment in following 5 years

• Shell’s investment decline is due to liquidity challenges experienced by BG (Shell acquired BG (Operator until the acquisition) in Feb. 2016) and

the pending completion of the Shell acquisition resulted in a lack of investment in Trinidad & Tobago together with a significant cost overrun on a

development asset (Starfish in 2015)

• In addition to Proman’s owned/MHTL’s exclusively dedicated gas field DeNovo, the T&T gas undersupply situation will be relieved via numerous

exploration fields coming onstream in 2018 and 2019ff

Gas Supply above historical highs until 2023

BPTT

CEL Estimates

New BP Supply

19

Oman Methanol Company Shareholder Structure

CEL Strategic Stakes

• OMC is a Joint Venture between Oman Methanol Holding

Company LLC, a subsidiary of Omar Zawawi Establishment

and Methanol Holdings International Ltd. (MHIL)

• OMC operates a world scale methanol plant at the Sohar

Industrial Port in Oman

• OMC was founded in 2004 and the methanol plant started

production on 1st September 2007

(1)

• Headquartered in the Point Lisas Industrial Estate in

Trinidad, West Indies

• Caribbean Nitrogen Company Limited (CNC) owns an

ammonia facility

• The CNC plant was commissioned in 2002 and has the

capacity to produce 650,000 metric tons of ammonia p.a.

and a storage capacity of 80,000 metric tons

Caribbean Nitrogen Company Shareholder Structure

Nitrogen 2000 Shareholder Structure

• Nitrogen (2000) Unlimited is located in the Point Lisas

Industrial Estate in Trinidad and owns an ammonia facility

• The Nitrogen 2000 plant was commissioned in 2004 and has

the capacity to produce 650,000 metric tons p.a. and

storage capacity 80,000 metric tons

• N2000 was in operation for four and a half (4.5) years

before the first turnaround (TAR) in 2009

61

18

41

2015 2016 2017

Cash Dividends to CEL ($MM)

MHIL

60.0%

EOG

Resources

11.85%

CEL

30.00%Koch

Industries

27.87%

Process

Energy

30.28%

EOG

Resources

10.00%

CEL

30.00%Koch

Industries

32.80%

Process

Energy

27.20%

Oman

Methanol

Holding

Company

LLC 40.0%

2017 Dividend Increase

Stronger dividends through higher

production volumes in 2H 2017 and better

Methanol prices

Notes:

(1) Economic stake calculated via CEL’s 43.47% stake in Methanol Holdings International Ltd (MHIL) and its 60% stake in Oman Methanol Company LLC, on calculated through basis 26.08%

20

Agenda

Company OverviewII

Key HighlightsIII



Key Highlights

22

Global Methanol and Fertilizer Producer with Dominant Market Share1

Broad Diversification of Revenue and Customers2

Favourable Production, Demand and Pricing Outlook3

Strong Competitive Cost Advantage4

Strong Free Cash Flow and Deleveraging expected post completion of Natgasoline5

High Barriers to Entry for capacity additions6

Highly Supportive Strategic Shareholders7

Dominant Market Shares across Products1

23

0% 3% 6% 9% 12% 15% 18%

Petronas

Mitsubishi

Shenhua

Sinopec

MGC

Yankuang

Zagros (Iran)

Sabic

CEL

Methanex

Notes:

(1) Including OMC and Natgasoline production volumes, excluding China Demand, (2) Defined as US, Canada and Trinidad, (3) Ammonia (4) Including

50% share of Point Lisas JV (50:50 CF / Koch), (5) Assuming 100% consolidation in the minority stakes in each of the assets from CNC and N2000; Total capacity of 2.1MM metric tons per year

(6) Including 49% share of Tringen JV with Trinidad government and excluding BASF JV project commissioning in 2017

Source: Third party data 2017 Source: Third party data 2017

Estimated Global Merchant Market Share for Methanol Estimated Global(2) Merchant Market Share for Fertilizer(3)

6%

8%

10%

28%

29%

0% 5% 10% 15% 20% 25% 30% 35% 40%

Yara

CEL

Koch

Nutrien

CF Industries(1)

(4)

(6)

(5)

Broad Diversification of Revenue and Customers2

24

Trinidad 66%US 21%

Oman 13%

2017 Volume by producing region(1) 2017 Methanol Sales by end markets and customers

US

53%Europe

38%

Others

9%

By region(2)

US clients

2017 Volume by product(1)

Methanol

65%

Fertilizer

35%

Notes:

(1) Includes expected Natgasoline at full production

(2) Illustrative: Trinidad Methanol Production (MHTL)

Hexion

22%

Dow Corning

15%

BASF

11%

Koch

11%

BP North

America

8%

Others

34%

25

Favorable Production and Demand Outlook

Worldwide Methanol Demand Growth (‘000s metric tons) – Market Study(2)

3

• Projected 5% CAGR for four

years to 2020, driven by MTO

demand

• Historical growth rates of 7%

CAGR

Source:

(2) Third Party Report 2017

CEL Asset Production(1) (MM metric tons per year)

4.3 4.4 3.6 3.75.1

6.9

2.8 3.13.0 3.0

3.5

3.57.1 7.56.6 6.6

8.6

10.4

0

3

5

8

10

2014 2015 2016 2017 Full Capacity

(current)

Full Capacity

(incl. Natgas)Methanol Fertilizer

Start of 1.75MM

methanol

production

during Q2 2018

Historical ProductionCapacity

Notes:

(1) Based on CEL pro 100% MHTL stake and assumes 100% OMC Production and 68% stake in G2X

26

Methanol is a $400/metric ton Product

Last 10 Years Historical Price Distribution (2008-current)

Source:

(1) Third party data as of February 2018

97.5%

84.3%

62.0%

19.8%

0%

20%

40%

60%

80%

100%

120%

Above 200 Above 300 Above 400 Above 500

Historical distribution of methanol prices within a tight range above $400/metric ton guaranteeing strong contribution for CEL’saverage cash cost below $200/metric ton

Median

$435

3

Q1 2018 Methanol Pricing at $495/metric ton

0

50

100

150

200

250

300

350

400

450

500

0 10,000 20,000 30,000 40,000 50,000 60,000 70,000

Attractive Assets with Cost Advantage

27

All CEL Methanol Plants are Positioned Within 1st Quartile of the Global Methanol Cost Curve

Global Methanol Cost Curve (methanol cash costs per ton)

$ 7 per mmBTU gas costs

(hypothetical/unhedged)

$ 4 per mmBTU gas costs

(hypothetical/unhedged)

CEL plants below $200/metric ton cash costs

$ 434 per metric ton (methanol FOB

Houston average spot Feb-18)

4

China, RussiaExports, Germany, India, E. Europe

Eq. Guinea, Indonesia, Iran,Malaysia, Methanex Plants, Oman, Qatar, Saudi, Trinidad (MHTL), Venezuela, USA (G2X)

($ per metric ton)

2018E China

Total Demand

Cumulative available capacity (‘000 metric tons)

As historically proven CEL is clearly positioned within the lowest 1st quartile on the cost curve

Source:

MMSA April 2018

$ 495 per metric ton (methanol FOB

Houston average Contract Mar-18)

76.8%64.6%

2008 2009

28

Cost Advantage Example: 2009 Case Study4

Commentary

• During 2009 MHTL’s methanol production rate was above

93%

• In 2009 the industry however

faced production rates of

below 65%

• In the downturn of the

commodity cycle MHTL was

able to achieve one of the

highest production rates in the

industry, while other players

had to leave the market

because they were high cost

producers

MHTL Methanol Capacity Utilization(1)

87.4%93.2%

2008 2009

Worldwide Methanol Production(1)

(2)

Notes:

(1) From Methanol Market Report, CMAI 2008 and 2009

(2) Without scheduled turnaround downtime. 2008 capacity utilisation was 75.5% including the turnaround downtime

Higher Cost Producers Reduced Utilisation Rates in 2009 Crisis while MHTL was Fully Producing

Proven Ability to Manage Debt and Meet Obligations of Long Term Debt Partners

29

5

Total Debt Reduction from FY 2005 until FY 2017

Track record of reducing MHTL debt by $1bn or around 3.0x EBITDA multiple points within 7 years

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Total

Debt/EBITDA1.9x 1.1x 2.5x 4.9x 5.7x 3.4x 2.0x 2.2x 2.2x 1.6x 1.0x 2.4x 2.0x

Net

Debt/EBITDA1.4x 0.7x 2.1x 3.8x 4.4x 2.6x 1.1x 1.6x 1.7x 1.0x 0.8x 2.3x 1.8x

115 145 158

346 364 332

511

293170 217

66 26 56

343 270

876

1,155 1,163

1,057 694

723

650396

283

560 486

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Cash Net Debt

458 414

1,035

1,501 1,527

1,389

1,205

1,016

819

613

349

Trin

ida

d P

rod

uct

ion

(M

HT

L) O

nly

586 543

Strong Proven Deleveraging: MHTL Example

Despite announcements, significant barriers to entry for

greenfield methanol and fertilizer projects include:

Leading Player in a Market with Significant Barriers to Entry

1. Securing EPC Contract. Very difficult to source economic,

truly fixed price EPC needed for financing with capex inflation

across US

• Projects announced with $1.5-2bn cost routinely end

up at $2.5-3.5bn once full EPC price obtained. At that

point, or shortly after, projects are often cancelled

2. Time and Capital Intensive. Project financing can be difficult

to source given long time frame of 5+ years for facility to be

operational and uncertainty on off-take pricing

• Raising very risky development capital of c.$50MM+ is

difficult. However, once spent, does not mean project

will continue because debt/equity providers wary of

“spending good money after bad”

3. Early Mover’s Advantage. Early mover’s advantage as each successive greenfield methanol facility will have less incentive

to build capacity, particularly as import deficit shrinks

4. CEL Advanced Project Development. Includes BLF plant with

1.4MM of annual production, with only a 40 month build and

commissioning time when funded

Feasibility Study

Despite announcements, significant barriers to entry for

greenfield methanol projects include:

Front End Engineering Design and

Final Investment Decision

EPC & Commissioning

Performance Testing &

Commercial Operations

6 -18 Months

6 – 36

Months

36 – 42

Months

3 – 6 MonthsT

ime

Fra

me

5+

Ye

ars

Source:

Argus JJ&A Report – October 2015; Nexant Independent Engineer’s Report – April 2016; CEL

30

6 High Barriers to Entry

Highly Supportive ShareholdersProven Commitment by the two Strategic Shareholders Proman and Helm

31

7

Strategic Shareholders Recent Equity Injection and Development

• Proman is headquartered in Switzerland with main operations in the

USA, Germany, Trinidad and Oman

• Leading EPC services contractor for, and owner of, methanol, ammonia

& ammonia based plants

• Proman has completed the construction of 8 methanol plants all on

time and at or below budget

• Proman has a 75% (-1 Share) ownership in CEL. Strategic management

for CEL lies with CEL shareholders Proman and the remaining 25% (+1

Share) holder Helm

• Proman and Helm cover the entire value chain across the products for

CEL:

✓ Operations (IPSL), Maintenance (Proman), Marketing (SCC, CPC, Helm)

• CEL shareholders have completed Natgasoline funding

after having taken the opportunity to invest $250MM

core equity during Q4 2016 into CEL and another

$75MM in Q2 2017 and Q3 2017

• CEL asset base has increased significantly with the

Natgasoline acquisition

Approx. 1,500 Employees#1 or #2 market share in

methanol markets

Selling into all global markets$1.3bn Net revenues and

EBITDA margins > 27%

Approx. $6.1bn

Total Assets

~ $350MM cash

~6.0MM metric tons p.a.

methanol and 3.0MM metric

tons p.a. fertilizer capacity

Proman Group: Key Facts in FY 2017

I. Project

Development

II.

Contracting

III. Gas

ProductionIV.

Production

V.

Marketing

& Services

Integrated Business Model Across the Value Chain

Since 1990 Proman has built 39% of the

total installed JM(1) capacity ex China

Others

61%

Proman

39%

Competitors (e.g. Methanex)

EPC Market Share(1)

Notes:

(1) Based on Licenses from JM = Johnson Matthey Catalysts Plc (Leading Licensor)

Agenda

Company OverviewII

Key HighlightsIII



CEL’s Resilient EBITDA MarginsProfitability Through Commodity Cycles due to Cost Advantage

33

Avg. MHTL

Methanol

Market Price

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

294 392 456 509 242 350 418 431 515 517 388 268 310

Constant EBITDA margins during recent lows of > 30% validating the natural hedge of the business model

572.5

991.7

1,270.5 1,287.6

792.2

1,162.2

1,727.7

1,522.51,610.4

1,562.8

1,294.2

830.5

1,191.6

257.2

428.6 456.7

330.1 300.8

485.5

716.4

553.6466.8 453.9

412.8

257.5324.6

45%43%

36%

26%

38%

42% 41%

36%

29% 29%

32% 31%

27%

0%

10%

20%

30%

40%

50%

-

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Gross Revenues ($MM) Adj. EBITDA ($MM) Adj. EBITDA Margin

Natural Hedge Resulting in High Operating Margins and Free Cash Flow

2017

34

CEL and MHTL Q4 2017Review of Q4 2017 Financials

Key Financial Figures Q4 2017 and FY 2016 (in $MM) Net Debt Position (in $MM)

FY 2016 FY 2017 Q4 2016 Q4 2017

CEL (MHTL + Stakes)

Gross Revenues 815.4 1,153.3 206.7 298.9

MHTL EBITDA(1) 239.3 283.2 44.2 86.8

Cash Dividends from Stakes (2) 18.1 41.4 1.0 18.6

CEL Adj. EBITDA(3) 257.5 324.6 45.2 105.4

Average Methanol Price 268 398 309 384

FY 2016 FY 2017

CEL Group(4)

MHTL Secured Debt (Revolver + TLB) 585.7 542.8

Natgasoline Secured Debt

(Tax-Exempt Bonds)252.9 252.9

CEL Bonds 1,250.0 1,298.8

Total Financial Debt(5) 2,088.6 2,094.5

Cash (CEL Group) 224.9 44.6

Cash (MHTL) 26.0 56.4

Cash (G2X Group) 64.4 89.3

Consolidated Cash(6) 315.3 190.3

CEL Group Net Debt 1,773.3 1,904.2

LTM Adj. EBITDA(3) 257.5 324.6

CEL Group Ratios

Total Debt / Adj. LTM EBITDA(3) 8.1x 6.5x/3.4x(7)

Net Debt / Adj. LTM EBITDA(3) 6.9x 5.9x/3.0x(7)

Notes:

(1) MHTL Operating profit plus Depreciation (excludes extraordinary and non-recurring items of $ 73.5MM for Q4 2016) and $7.5MM adjustments in Q4 2017

(2) Paid cash dividends to CEL from N2000 (defined as proceeds from reduction in investments in associated companies)

(3) Adj. EBITDA CEL: MHTL + Dividend from Stakes, G2X expenses not included in adj. EBITDA definition

(4) CEL Group includes CEL (CH), CEL (Barbados), OPAG and CEF

(5) Excludes $6MM of reserve-based lending, $1MM mortgage and Natgasoline PIK Loan of CEL carrying amount $321MM (PIK non-cash bearing unsecured interest debt)

(6) Including restricted cash of Natgasoline

(7) Includes estimated Natgasoline potential incremental EBITDA of $300MM, assuming full facility capacity (5,000 metric tons/day or 1.75MM metric tons/year), a methanol price (U.S. contract price)

of $420/metric ton, an EBITDA margin of approximately 40% and excluding any non-recurring costs and expenses related to the construction of the Natgasoline facility

35

Assets ($MM) FY 2016 FY 2017

Property, plant & equipment 3,566 3,718

Goodwill 515 515

Other intangibles 54 36

Other non-current assets 622 587

Inventory 128 125

Trade receivables 224 321

Other current receivables and current assets 5 40

Cash and Cash equivalents(1) 315 190

Total Assets 5,429 5,533

Equity and Liabilities ($MM) FY 2016 FY 2017

Total borrowings (Incl. PIK Loan) (2) 2,333 2,391

Provisions 386 389

Deferred tax liabilities 422 384

Other non current liabilities 2 2

Trade payables 111 221

Other current liabilities 1 26

Shareholders equity & non controlling interest 2,174 2,118

Total equity & liabilities 5,429 5,533

Comments

• Further increase in asset base through expansion with Natgasoline in

only 19 months from first investment until production commences

• Net debt of $1,904MM in FY 2017 with over $190MM of cash and

cash equivalents – net debt position temporarily increased for

Natgasoline expansion; leverage multiples post production start in line

with previous levels

Net Debt / Adj. EBITDA (x) (3)

3.4x

6.9x5.9x

3.0x

0.0x

5.0x

10.0x

FY 2015 FY 2016 FY 2017 PF 2017

1

1

1

2

2

2

Notes:

(1) Includes $112MM of marketable securities and $45MM of restricted cash at Natgasoline

(2) Borrowings presented based on carrying value on balance sheet and includes PIK Loan of CEL and Reserve Based Lending

(3) Excludes $6MM of reserve-based lending, $1MM mortgage and Natgasoline PIK Loan of CEL carrying amount $321MM (PIK non-cash bearing unsecured interest debt)

(4) Includes estimated Natgasoline potential incremental EBITDA of $300MM, assuming full facility capacity (5,000 metric tons/day or 1.75MM metric tons/year),

a methanol price (U.S. contract price) of $420/metric ton, an EBITDA margin of approximately 40% and excluding any non-recurring costs and expenses related to the construction of the Natgasoline facility

Balance SheetAcquisition of Natgasoline Temporarily Increased Net Debt Position

(4)

Natgas Expansion

CEL’s Financial Policy

36

CEL is committed to maintaining a prudent and conservative financial policy with strong liquidity and a moderate leverage profile

throughout the methanol business cycle and additional Natgasoline EBITDA expected to start Q2 2018

• Total Leverage (Total Debt / Adj. EBITDA): Company is expected to return to below maximum 4.0x with

completion of Natgasoline from Q2 2018 onwards with target range ~2.0x and a Total Asset Base of $5.5bn

• Total Net Leverage (Total Net Debt / Adj. EBITDA): Company is expected to return to to below maximum 3.0x

with completion of Natgasoline from 2Q 2018 onwards with target ~1.5x

Leverage profile

• CEL had $190MM of cash on hand as of 31/12/2017

• Operating Cash flow is primary source of liquidity

• $200MM of operating cash flow in trough markets in 2016 and 2017 for MHTL only with significant upside

in today’s pricing and production environment

• MHTL Maintenance capex on average around $80MM p.a.

• Natgasoline is estimated to contribute a potential incremental $200MM to group operating cash flow(1) p.a.

Liquidity

• No significant expansion capex required for Natgasoline(2)

• Dividends: Strictly in line with dividend baskets. No dividend for 2018Capital investments

• De-facto hedging on majority of producing assets via gas price formula and price-related expensesHedging

Notes:

(1) Assuming full facility capacity (5,000 metric tons/day or 1.75MM metric tons/year), a methanol price (U.S. contract price) of $420/metric ton, an EBITDA margin of approximately 40% and

excluding any non-recurring costs and expenses related to the construction of the Natgasoline facility

(2) $25MM of committed contingency still unfunded (thereof 50% CEL commitment)

Appendix

CEL – History

38

1994

• The Trinidad & Tobago Methanol Company divested significant stake to Ferrostaal,

Proman and Helm

1996

• The TTMC II Methanol plant commenced production (Methanol production

capacity increased to 1.6MM metric tons p.a.)

1997

1999

• Production start

• TTMC formed

• CMC plant with CL Financial, Ferrostaal and Proman

1984-1994 Trinidad established as methanol producer

• Remaining shares of Trinidad & Tobago Methanol Company were acquired by CL

Financial, Ferrostaal, Proman and Helm

• Divestiture to Ferrostaal, Proman and Helm

• TTMC II Plant commenced production

• MHTL formation

1994-1999 Expanding the business

2005 World’s largest stand alone methanol plant constructed

• MHTL was formed to consolidate shareholding and overall management

1993

• The CMC Methanol Plant commenced production with first private sector venture

sponsors CL Financial, Ferrostaal and Proman

1988

• The Trinidad & Tobago Methanol Company was established as an independent

state-owned enterprise

1984

• Production reached in Trinidad’s first methanol plant TTMC I (production capacity - 400,000 metric tons p.a.) with methanol shipments in May 1984

2003

• MHTL group restructuring - Consolidated Energy Limited is formed between

Ferrostaal, Helm and Proman

2005• M5000 plant completed. Still largest stand alone methanol plant in the world

2010• AUM Project is completed allowing MHTL to diversify into fertilizers and melamine

• CEL acquired Ferrostaal’s stake (resulting in 75 (-1 share) /25

(+1 share) shareholding in CEL between Proman and Helm)

• In 2014 CEL acquired CL Financial stake resulting in 100%

ownership

Majority Buyout MHTL

1998

• MIV Methanol plant commenced operations (capacity above 2MM metric tons

p.a.)

2012• Proman and Helm acquire all of Ferrostaal’s interest in CEL

• CL Financial collapsed which led to governmental control of

CL Financial’s shares in MHTL

2009 Financial Crisis

2009• CL Financial collapses which leads to governmental control of CL Financial´s shares

• Through the utilization of purge gases from the other

methanol plants, it increased its production capacity by

5,400 metric tons of methanol per day

1

2

3

5

4

• Investment in the U.S. into G2X for further growth and

diversification. The Natgasoline plant will be largest

methanol plant in the U.S. with 1.75MM metric tons / year

U.S. Expansion with Natgasoline6

2014• CEL’s 56.6% buyout from CL Financial

2016• Investment in largest U.S. methanol plant Natgasoline expected production in Q2

2018

CEL Organisational Structure

Proman Holding AG(Switzerland)

Consolidated

Energy AG(Switzerland)

75% -1 share 25% +1 share

Helm AG(Germany)

N2000(Trinidad)

Methanol Holdings

(Trinidad) Limited (Trinidad)

Consolidated Energy

Finance(Lux)

CNC(Trinidad)

100% 100%

30%

30%

Restricted Group

OPAG

(Barbados)

Consolidated

Energy Limited

(Barbados)

100%

100%

OMC(Oman)

26.08%

G2X Group

(incl. Pampa, TRDC)(USA)

Natgasoline LLC(USA)

67.7%

50%

”Stakes”

CEL is a Multi-Asset, Global and Diversified Producer of Methanol, UAN, Ammonia and Melamine

CEL Group Structure

HoldingOperations

(Consolidated)

Operations

(Minority Stakes)Finance (Bonds)

DeNovo (Gas Supply)

(Trinidad)

90%

39

FS Petrochemicals

Ltd.

(St Kitts)

100%

Notes:

(1) As of 31.12.2017

Worldwide Operations

CEL Today – Global Operations and Services

40Notes:

(1) 50% stake in project

(2) Current ownership as of 31.12.2017

G2X (68% Ownership(2))

• G2X represents CEL's U.S. hub

• Existing methanol production

(Pampa Fuels) and future

methanol project (Big Lake Fuels)

• Cost-advantageous proprietary

supply of natural gas via G2X

Resources

N2000 (30% Ownership)

• Ammonia plant and

storage facility in

Trinidad

• 700k metric tons

annual production

capacity

CNC (30% Ownership)

• Ammonia plant and

storage facility in

Trinidad

• 700k metric tons annual

production capacity

OMC (26% Ownership)

• JV with Oman Methanol Holding

Company in Sohar, Oman

• Strategic minority stake with

option to majority

• 1.1MM metric tons annual

production capacity

Natgasoline (50% Ownership) (1)

• 1.75MM metric tons/year methanol plant in

construction with production start expected

for Q4 2017

• Largest and most profitable U.S. methanol

plant upon start of production

Legend:

Houston, TX

Beaumont, TX

Trinidad

Oman

Storage

Product Flow

MHTL (100% Ownership)

• 2nd largest producer of methanol in the

world

• 4.1MM metric tons methanol via 5

plants

• 700k metric tons anhydrous ammonia

• 1.5MM metric tons UAN

• 60k metric tons melamine

Methanol Has a Broad Set of Applications

41

2016 Global Methanol Demand by Derivative

Formaldehyde

28.2%

DMT

0.6%

Acetic Acid

8.9%

MTBE/TAME

11.1%Methyl

Methacrylate

1.9%

Gasoline

Blending

9.5%

Biodiesel

3.8%

Dimethyl

Ether

8.4%

Methylamines

3.1%

Chlorometha

nes

2.2%

MTO/MTP

12.4%

CTO/CTP

0.0%

Solvents

4.2%

Source:

Third party data – Jan 2017

Note:

DMT: Dimethyl terephthalate; MTBE: Methyl tert-butyl ether; TAME: tert-amyl methyl ether;

MTO/MTP: Methanol to Olefins/Propylene; CTO/CTP: Coal to Olefins/Propylene;

How CEL Products Fit Together

42

Air

(source of nitrogen)

Ammonia Urea

UAN

(Urea Ammonium

Nitrate)

Melamine

Synthesis gas Methanol

Durable resins and

plastics, car paints

Intermediate

chemical for broad

variety of uses

Fertilizer

Natural gas

Water

Fertilizer

Notes:

(1) CEL’s production outputs marked in green

43

MHTL’s Methanol Complex MHTL Methanol Production

CEL – Production and Distribution Overview

Plant Year

commissioned

Annual Capacity

(Metric Tons)

TTMC I 1984 480,000

CMC 1993 525,000

TTMC II 1996 575,000

MIV 1998 575,000

M5000 2005 1,890,000

MHTL’s AUM Complex MHTL Fertilizer Products

• Melamine: 60,000 metric tons p.a.

• Urea Ammonium Nitrate 32 % Solution

(UAN-32): 1.5MM metric tons p.a.

• Ammonia 647,500 metric tons p.a. (intermediate product used as

feedstock)

• Dedicated fleet of fourteen ocean-going vessels, some of which possess capacity in excess of 48,000 DWT with twelve contracted via Proman

Shipping AG

• Owns and operates storage facilities located near its production facilities in Trinidad and some additional storage in North America, South America

and Europe

Distribution Infrastructure

Overview of Trinidad and Tobago

T&T Key Facts:

• Trinidad and Tobago is an established petroleum economy with a

significant petrochemical industry

• Leading petroleum producer (34% of GDP) and largest natural

gas producer in South and Central America since 2009

• Significant gas reserves and resources

12.9 TCF of proven reserves

12.0 TCF of probable and possible reserves

31.2 TCF of exploration resources

• One of the largest exporter of methanol and ammonia in the

world

• Regional financial centre with a stable economic climate

• Credit rating of BBB+ (S&P)

Location Map

GDP Split (2016)

44

Capital Port of Spain

Population (2016) 1.37MM

Political system Parliamentary Democracy

GDP (2016) $ 21bn

Country credit rating (2017) Ba1-Stable (Moody’s) BBB+ Stable (S&P)

Rank for GDP per capita (PPP) 44th globally

Stable Economy with a Worldclass Petroleum Industry

Point

Lisas

Port of Spain

Figure 1: T&T location (Zoom Out) Figure 2: T&T location (Zoom In)

Petroleum Industry

34%

Transport and Storage

1%

Manufacturing

5%

Services

60%

Total GDP: $ 21bn

$ 7.1bn

T&T has a hydrocarbon resource dependent economy with the Oil & Gas

sector accounting for approximately 34% of GDP

T&T: Established Energy Producer

45

• Several IOCs present in T&T with

active upstream operations – BP,

BHP Billiton, Shell, Repsol, Perenco,

Chevron and EOG Resources with

BP’s Trinidad operation accounting for 20% of BP’s global gas production

• 8 of the world’s top 10 oilfield services companies have operations

in T&T

• Leading downstream players present

in T&T – Atlantic LNG, Proman,

Methanex, PCS Nitrogen, Yara,

Mitsubishi and Koch Industries

• Phoenix Park Gas Processors Limited

(PPGPL) is one of the largest natural

gas liquids processing complexes in

the Western Hemisphere with a

processing capacity of almost 2

BCFD, and an output capacity of

70,000 bbl/d of NGL

Energy Map of Trinidad and Tobago

Ammonia # 1

Methanol # 1

LNG # 6

Energy Map of Trinidad & Tobago Presence of Major Energy Players

Gasfield(s)

Venezuela gasfield(s)

Oilfield(s)

Global Export Ranking

Current Demand 4,402 MMCFD

2017 Production 3,366 MMCFD



Natural Gas Landscape

MHTL Production & Sales Figures 2015/ 2016/ 2017

Quarterly MD&A Methanol Operations

Q4 2017 with strong production

increase compared to first two

quarters in 2017

1

METHANOL OPERATIONS 2015 2016 2017

Q1 Q2 Q3 Q4(1) Q1 Q2 Q3 Q4(2) Q1 Q2 Q3 Q4(3)

Weighted Average Methanol Market

Price$/MT 406 419 392 327 257 237 267 309 424 415 370 384

Production kMT 830 812 820 877 883 694 486 483 582 585 700 721

Sales kMT 853 801 771 855 828 832 548 555 761 646 752 706

Gross Revenues $MM 254 230 240 219 158 142 120 156 251 205 212 249

Net Revenues $MM 223 203 214 182 119 100 90 122 220 173 180 207

Gross Profit $MM 57 45 75 50 16 (1) 2 82 32 23 48 76

EBITDA $MM 75 57 87 64 31 14 17 113(2) 51 40 66 94

MHTL methanol operations with strongly recovered methanol EBITDA

2

Prices remained just below the $

400/MT mark but getting firmer

46

2

1

3

3

Notes:

(1) Q4 2015 financial figures adjusted to incorporate year end audit adjustments

(2) Q4 2016 financial figures adjusted to incorporate year end audit adjustments. Q4 2016 included $75.3MM of release of provisions

(3) Q4 2017 financial figures adjusted to incorporate year end audit adjustments. Q4 2017 included $7.5MM adjustments due to one-off costs and release of provisions

Strong EBITDA in Q4 2017 due to

increased production volumes as

well as sales volumes and increased

prices

AUM OPERATIONS 2015 2016 2017

Q1 Q2 Q3 Q4(1) Q1 Q2 Q3 Q4(1) Q1 Q2 Q3 Q4(1)

Weighted Average UAN Market Price $/MT 256 225 212 203 166 170 137 139 155 154 129 149

UAN Production kMT 359 335 356 335 371 320 214 331 333 345 339 255

UAN Sales kMT 398 306 303 385 361 341 208 331 352 325 348 278

AUM Gross Revenues $MM 127 73 74 78 68 64 49 58 67 64 56 49

AUM Net Revenues $MM 111 57 62 62 52 46 37 43 50 48 41 33

AUM Gross Profit $MM 9 (9) (2) (29) (6) (9) (22) (9) (7) (10) (13) (27)

AUM EBITDA $MM 33 14 21 1 18 14 10 22 18 15 13 (7)

Quarterly MD&A AUM Operations

3

2 Low UAN production for the 4th quarter due to

now resolved plant incident, with

corresponding temporary reduction in sales

MHTL Production & Sales Figures 2015/ 2016/ 2017

1 UAN prices slightly increased in the

course of Q4 2017

47

2

1

3

MHTL AUM operations with continued solid performance, despite low market price environment

Notes:

(1) Q4 2015, Q4 2016 and Q4 2017 financial figures adjusted to incorporate year end audit adjustments

Negative EBITDA due to lower

production and repair costs

48

Financial Reconciliation

EBITDA Bridge and Reconciliation Commentary

FY

2016

FY

2017

In USD MM

CEL Stated EBITDA (as per Financial Statements) 215.3 218.5

Less: Share of Profit from Associates (Non-Cash) (10.5) (31.2)

Add: Net Other Expenses (Admin. & Acquisitions Related) 35.0 95.9

Consolidated Asset EBITDA (MHTL) 239.8 283.2

Add: Dividends Received from JV Stakes (Cash) 18.1 41.4

CEL Adj. EBITDA

(Consolidated Asset EBITDA +

Cash Dividends from JVs)

257.9 324.6

• Includes G2X startup expenses,

acquisition related costs and

TRDC loss from sale

• Includes Dividends Received and

Proceeds from Reduction in

Investments in Associated

Companies

FY

2016

FY

2017

In USD MM

MHTL Operating Profit (as per Financial Statements) 55.3 104.0

MHTL Depreciation (as per Financial Statements) 184.5 171.6

MHTL EBITDA 239.8 275.6

1

2

1

2

49

Balance Sheet Reconciliation

FY

2016

FY

2017

CEL in USD MM

Cash 258.0 171.5

Restricted Cash 28.3 18.8

Quoted debt security 29.0 0.0

Consolidated Cash 315.3 190.3

FY

2016

FY

2017

MHTL in USD MM

7 year secured term loan (TLB) – Fair Value 300.1 288.6

Discount 20.8 16.6

7 year secured term loan (TLB) – Carrying Amount 279.3 272.0

Revolving credit facility 293.3 260.0

MHTL Secured Debt (Revolver + TLB) 572.6 542.8

FY

2016

FY

2017

CEL in USD MM

Total Notes in issue 1,231.4 1,279.2

Discount on Senior Fixed Rate Notes and Issuance Costs 18.6 19.6

CEL Bond 1,250.0 1,298.8

• As shown in the Financial

Statements

1

1

1

1

1

1

1

Key Balance Sheet Items Reconciliation Commentary

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