24 Nov

Investor Strategy Day Presentation

24 November 2021 The Manager Market Announcements Office Australian Securities Exchange Electronic lodgment Investor Strategy Day Presentation The attached presentation will be presented today at Viva Energy’s Investor Strategy Day. Authorised for release by: the Company Secretary Julia Kagan Company Secretary Viva Energy Australia Leveraging our Diversity 24 November 2021 Important notice and disclaimer 2 Viva Energy Group Limited Investor Strategy Day 2021 This presentation has been prepared by Viva Energy Group Limited, ACN 626 661 032 (“ Company ” or “ Viva Energy ”). The information provided in this presentation should be considered together with the financial statements, ASX announcements and other information available on the Viva Energy website www.vivaenergy.com.au . The information in this presentation is in summary form and does not purport to be complete. This presentation is for information purposes only, is of a general nature, does not constitute financial advice, nor is it intended to constitute legal, tax or accounting advice or opinion. It does not constitute in any jurisdiction, whether in Australia or elsewhere, an invitation to apply for or purchase securities of Viva Energy or any other financial product. The distribution of this presentation outside Australia may be restricted by law. Any recipient of this presentation outside Australia must seek advice on and observe any such restrictions. This presentation has been prepared without taking into account the investment objectives, financial situation or particular needs of any particular person. Investors must rely on their own examination of Viva Energy, including the merits and risks involved. Each person should consult a professional investment adviser before making any decision regarding a financial product. In preparing this presentation the authors have relied upon and assumed, without independent verification, the accuracy and completeness of all information available from public sources or which has otherwise been reviewed in preparation of the presentation. All reasonable care has been taken in preparing the information and assumptions contained in this presentation, however no representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this presentation. The information contained in this presentation is current as at the date of this presentation (save where a different date is indicated, in which case the information is current to that date) and is subject to change without notice. Past performance is not a reliable indicator of future performance. Neither Viva Energy nor any of its associates, related entities or directors, give any warranty as to the accuracy, reliability or completeness of the information contained in this presentation. Except to the extent liability under any applicable laws cannot be excluded and subject to any continuing obligations under the ASX listing rules, Viva Energy and its associates, related entities, directors, employees and consultants do not accept and expressly disclaim any liability for any loss or damage (whether direct, indirect, consequential or otherwise) arising from the use of, or reliance on, anything contained in or omitted from this presentation. Any forward - looking statements or statements about ‘future’ matters, including projections, guidance on future revenues, earnings and estimates, reflect Viva Energy’s intent, belief or expectations as at the date of this presentation. Such statements are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance. Forward - looking statements involve known and unknown risks, uncertainties and other factors that may cause Viva Energy’s actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward - looking statements. Such prospective financial information contained within this presentation may be unreliable given the circumstances and the underlying assumptions to this information may materially change in the future. Any forward - looking statements, opinions and estimates in this presentation are based on assumptions and contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations of current market conditions. You should rely on your own independent assessment of any information, statements or representations contained in this presentation and any reliance on information in this presentation will be entirely at your own risk. This presentation may not be reproduced or published, in whole or in part, for any purpose without the prior written permission of Viva Energy. Viva Energy is a Shell Licensee and uses Shell trademarks under licence. The views expressed in this release or statement, are made by Viva Energy and are not made on behalf of, nor do they necessarily reflect the views of, any company of the Shell Group of companies. Acknowledgment of Country We acknowledge and pay respect to the past, present and future Traditional Custodians and Elders of this nation and the continuation of cultural, spiritual and educational practices of Aboriginal and Torres Strait Islander people. We particularly pay respects to the traditional custodians of the land, across the nation where we conduct business. 3 3 Viva Energy Group Limited Investor Strategy Day 2021 Viva Energy Executive Team Lachlan Pfeiffer Chief Business Development and Sustainability Officer Scott Wyatt Chief Executive Officer Jevan Bouzo Chief Operating and Financial Officer Amanda Fleming Chief People & Technology Officer Denis Urtizberea Executive General Manager Commercial Megan Foster Executive General Manager Retail Dale Cooper Executive General Manager Refining 4 Viva Energy Group Limited Investor Strategy Day 2021 Investor strategy day agenda Time Topic Presenter 1 9:00 – 9:20 Overview and Strategic Objectives Scott Wyatt 2 9:20 – 9:40 Fuel and Convenience Megan Foster 3 9:40 – 10:00 Commercial and Industrial Denis Urtizberea 10:00 – 10:45 Q&A / Break 4 10:45 – 11:05 Energy and Infrastructure Dale Cooper 5 11:05 – 11:25 New Energies and Sustainability Lachlan Pfeiffer 6 11:25 – 11:35 Capital Management Jevan Bouzo 11:35 – 12:00 Conclusion / Q&A Scott Wyatt 5 5 Viva Energy Group Limited Investor Strategy Day 2021 Overview Scott Wyatt 6 7 Viva Energy Group Limited Investor Strategy Day 2021 Retail Commercial Energy Hub Well positioned to outperform in our traditional business and capture growth from evolving consumer convenience and mobility needs A unique, diverse and resilient set of businesses which provide many different growth pathways in commercial and industrial sectors More sustainable and reliable cashflows with opportunities to leverage our strategic infrastructure to develop new energy markets Levering our Diversification for Growth Investor day objective To share our confidence in the long - term outlook and growth opportunities for our businesses Safety performance Maintained strong safety performance and focus on people throughout the pandemic • Geelong Refinery recorded one API Tier 1 and two API Tier 2 process safety incidents in 2021 Total Recordable Injury Frequency Rate 2 Process safety events 1 * Rolling twelve months to end 3Q 2021. 1. Process safety events measured as Tier 1 or 2 incidents as defined by the American Petroleum Institute. Excludes Liberty Oil bus iness. 2. Number of injuries requiring medical treatment beyond first aid or work restrictions per million hours worked (employees and con tractors). Excludes Liberty Oil Holdings. 3. As at 15 th November 2021. 4 2 3 3 2018 2019 2020 3Q21* 94% 77% First Dose Fully Vaccinated Vaccination rates 3 5.8 4.6 3.6 6.3 2018 2019 2020 3Q21* • Increased exposure from higher levels of construction and maintenance activity • Focus on improving manual handling techniques and risk management in routine operational tasks • 95% of employees believe that their team is committed to always operating safely • High levels of voluntary vaccination across the workforce • Strong compliance with government and workplace mandatory vaccination • Programs in place to support mental health and wellbeing during lockdowns 8 Viva Energy Group Limited Investor Strategy Day 2021 Company overview Viva Energy is a diversified Retail, Commercial and Energy business Coles Express Dealer Owned Retail Shell V - Power Shell Card Fly Buys Liberty Convenience Highlights • ~25% fuels market share 1 • National infrastructure with strategic positions in Victoria and New South Wales • Nationwide network of more than 1,300 retail fuel and convenience sites • Diversified Commercial customer portfolio with long - standing relationships • Represented at more than 50 airports and airfields across Australia • Development of Geelong Energy Hub to pursue new energy opportunities • Strategic partnerships with Vitol, Shell, Coles, Liberty and key customers 1. Australian Petroleum Statistics – Issue 301, August 2021. 1H 2021 Sales Volume 6.7 BL EBITDA (RC) $256.3m NPAT (RC) $111.9m Cashflow $144.0m 9 9 Viva Energy Group Limited Investor Strategy Day 2021 Aviation Marine Commercial Specialties Resources Lubricants Transport and Agriculture Refining Specialties Energy Hub LNG Terminal Hydrogen Bio and Recycling Strategic Storage Strategic positioning Viva Energy has unique positions which underpin the strength of our core businesses Retail Commercial Energy Hub • Strategic position in one of country’s largest and fastest growing markets (Victoria) • Refinery and associated infrastructure are regarded an asset of national strategic significance • Fuel Security Package (FSP) underpins future refining earnings until 2028 - 30 1 , while retaining exposure to upside • Leveraging position to develop new opportunities such as LNG, strategic storage and hydrogen • Strong market positions in key segments • Diversification provides resilience to sector cycles and broader growth opportunities • Trusted energy partner and long - standing customer relationships • Nationwide supply chain backed by international capability of Vitol • Integrated value with refining across a broad range of specialty products • Largest single branded fuel and convenience network (Shell and Coles Express) • Differentiated fuel and convenience offer through Liberty Convenience partnership • Efficient and competitive retail operating platforms (Coles Express, Liberty Convenience and Owner Dealer) • Opportunities to transition to fully controlled convenience retail platforms (Coles Express in 2029, and Liberty Convenience in 2025) 10 Viva Energy Group Limited Investor Strategy Day 2021 1. In our Fuel Security Services Payment (FSSP) Application, Viva Energy has applied for a commitment period end date of 30 June 2028 (subject to government approval), to coincide with the 4 - year RCCU/HFA turnaround scheduled for completion in 2025. Infrastructure Viva Energy has nationwide supply chain capability supported internationally by Vitol, one of the world’s largest independent energy trading companies Highlights • More than 1,100ML oil and fuel storage capacity 1 • Ownership of major pipelines servicing Melbourne and Sydney markets • Import capability at more than 20 locations around Australia • Operating presence at more than 50 airports and airfields across the country • Mix of own and hired carrier delivery fleet capability Supply chain network • Revenue of US$140 billion in 2020, currently trading over 7 million barrels of crude oil and products per day on average 2 • Long term agreement for supply of refined products, crudes and refinery feedstock • Competitive, cost effective and reliable crude and product supply as a result of Vitol's global capabilities and scale • Strategic and ongoing product supply relationship with flexibility to respond to dynamic market conditions 11 Viva Energy Group Limited Investor Strategy Day 2021 Leasehold terminal Refinery Freehold terminal Terminals not operated by Viva Energy Australia Inland depots Viva Energy operated/customer owned depot Viva Energy operated/customer owned terminal Bitumen facilities Gladstone Mackay Darwin Broome King Bay Esperance Adelaide Weipa Parker Point Port Lincoln Townsville Sydney Kalgoorlie Newcastle Tom Price Depot West Angelas Depot Paraburdoo Depot Mt Isa North Fremantle Cairns Gore Bay Port Botany Clyde Cocos Islands Pinkenba Hobart Devonport Newport Geelong Note: leasehold terminals refers to land only, excludes tanks and other improvements 1. Includes Viva Energy owned terminals only and is based on Gross Capacity. Excludes third party owned terminals that are leased or accessed by Viva Energy at Weipa, Dampier, Hobart. 2. Vitol website Underlying free cash flow Strong and consistent cash flows supports attractive dividend profile going forward 0 20 40 60 80 100 120 140 160 180 200 2018 2019 2020 1H2021 $M • Strong cash generating Retail Fuels and Marketing business • 2020 cash flow impacted by COVID - 19 impacts to Refining • Government Fuel Security Services Payment (FSSP) underpins lower refining volatility from 2021 onwards • Strong recovery expected following end of travel restrictions • Strong cash flow underpins attractive dividend profile and excess free cash to invest in growth opportunities Group Underlying free cash flow 12 Viva Energy Group Limited Investor Strategy Day 2021 COVID - 19 disruption Capital management Strong record of returning cash to investors through dividends, capital returns and on - market buy - backs 0 50 100 150 200 250 300 350 400 450 500 2018 2019 2020 1H2021 $M Dividend Capital Management Capital management 13 Viva Energy Group Limited Investor Strategy Day 2021 1. 1H21 includes $100M capital return which was completed in October 2021 and $40M on - market buyback which has commenced. 1 Capital returns • Active management of portfolio resulted in divestment of stake in Waypoint REIT • Company has returned over $950M to shareholders by way of capital returns, dividends and on - market buy backs over last four years • Consider additional returns to shareholders to maintain efficient capital structure going forward Dividend policy • Aligned with financial performance of each business • Return 50% to 70% of Retail, Fuels and Marketing NPAT (RC) • Return 50% to 70% of Refining NPAT (RC), on an annual basis • Aims to deliver more consistent dividends based on the profitability of Retail and Commercial Strategic Objectives Scott Wyatt 14 Australian fuel market Fuel demand expected to recover over next two years and remain an important part of the Australian transport fuel mix through the next decade Strategic implications • Traditional fuel demand expected to remain strong through rest of the decade under all scenarios • Petrol demand likely to be most impacted from introduction of electric vehicles • Diesel and Jet demand expected to be less impacted due to continued economic growth and fewer substitution options • Potential for lower demand to be offset by increasing margins and broader volume/margin optimisation strategies • Lower demand will impact least efficient operators with lower exposure to non - fuels income • Opportunities for market share growth for most efficient and diversified operators 15 Viva Energy Group Limited Investor Strategy Day 2021 Fuel demand scenarios House view Viva Energy’s diversified businesses are well positioned for an evolving energy market Scenario GDP Growth Intervention Decarbonisation High High Minimal Slow Base 1 Stable Moderate Moderate Low Low Accelerated Rapid 1. Base case fuel demand scenario reflective of Federal Governments’ Future Fuels and Vehicles Strategy – 9 November 2021 0 10 20 30 40 50 60 Billion Litres Actual Low Base High Transition and growth strategy Our strategy is to develop and maximize the value of three discrete and unique businesses, with significant low - carbon growth potential Fuel and Convenience Retailer leverage network strength and acquire convenience capability Retail Network and Branded Fuels Supplier Commercial and Industrial Services and Solutions leverage b2b capability and customer relationships Commercial Fuels, Lubricants and Specialties Supplier Energy and Infrastructure leverage strategic infrastructure and internal energy capability Oil Refiner and Importer Retail Commercial Energy Hub • Renegotiated Alliance agreement to fully control fuel offer • Established Liberty Convenience business to provide additional retail and convenience growth pathway • Secured future rights to take full control of Alliance and Liberty Convenience businesses 1 • Contracts to operate major customer fuel facilities and on - ground technical support • Established Carbon Solutions business. Launched Carbon Neutral Jet fuel, and supplied first carbon neutral flight • Partnered with Hyzon and customers to deploy Hydrogen fuelled electric vehicles in heavy vehicle segment • Partnered with WAGA for potential biomethane offtake as part of lower - carbon product suite • Secured contract with Government to operate Geelong Refinery until at least mid 2028 2 , and construct strategic diesel fuel storage 3 • Refining margin volatility risk reduced through FSSP, with opportunity for upside outperformance • Leading LNG Terminal in Victoria with other projects in progress to create an Energy Hub at Geelong 1. Coles Express in 2029 and Liberty Convenience in 2025. 2. In our Fuel Security Services Payment (FSSP) Application, Viva Energy has applied for a commitment period end date of 30 June 20 28 (subject to government approval), 3. Application has been approved and we are progressing the Grant Agreement but it is not complete yet Early foundations 16 Viva Energy Group Limited Investor Strategy Day 2021 Today Future Pathway Strategic approach We will continue to deliver reliable and attractive cashflow by maintaining discipline in our core business while progressing a focused diversification and extension strategy 17 Viva Energy Group Limited Investor Strategy Day 2021 Deploy portion of excess balance sheet capacity to develop new earnings streams at attractive returns • Maintain operating and capital efficiency • Optimise sales and margin opportunities • Build brand and customer preference • Profitably grow market share Outperform in our core businesses Leverage diversity to develop new growth pathways Acquire capability to accelerate proven opportunities • Convenience offer development • Geelong Energy Hub projects • Integration of new energies • Commercial and Carbon Solutions Estimated >$50M EBITDA pa from new earnings streams over next 3 to 5 years People strategy We have a strategy to achieve higher performance through an innovative approach to our people which we call “The Viva Way” 18 Viva Energy Group Limited Investor Strategy Day 2021 Fuel and Convenience Megan Foster 19 Fuel and Convenience overview Viva Energy has the largest single branded Company Controlled network in Australia 716 92 Shell Coles Express Ampol 7-Eleven Euro Garages United BP Puma On The Run Liberty Fuel and Convenience Network Company Controlled Sites 1 1. Source: Informed Sources, 2020 AACS State of Industry Report and Ampol 2021 Half Year Results Presentation. “Company Controlled Sites” refer to sites where Company has control of retail fuel board price. Highlights • Largest single branded fuel and convenience network (Shell Coles Express) • Differentiated fuel and convenience offer through Liberty Convenience joint venture • Efficient and competitive retail operating platforms, with best - in - class retail operator in Coles • Strong loyalty and digital offers 20 Viva Energy Group Limited Investor Strategy Day 2021 Coles Express Dealer Owned Retail Shell V - Power Shell Card Fly Buys Liberty Convenience Strategic approach Viva Energy aims to become a leading fuel and convenience retailer 21 Viva Energy Group Limited Investor Strategy Day 2021 • Improve network efficiency • Grow convenience sales • Extend and improve network • Grow premium preference and share Outperform in our core businesses Leverage capability to develop new growth pathways Acquire capability to accelerate proven opportunities Fuel and Convenience Retailer • Hydrogen for heavy vehicles • Electric Vehicle Recharging • Retail Convenience adjacencies • Liberty acquisition (from 2025) • Coles Express (Alliance concludes 2029) Retail platforms Dual brand and targeted platforms with partners providing differentiated offer, with strategic step in points to take full control of convenience businesses Coles Express Liberty Convenience Owner Dealer 22 Viva Energy Group Limited Investor Strategy Day 2021 • Largest single branded fuel and convenience network • Leverages partnership and customers of Coles • Access to largest loyalty program in Australia (Fly Buys) • Viva Energy holds property head leases and sub - leases/licenses to Coles Express • Viva Energy sets pump price and captures full retail margin • Coles Express operates site, earns commission on fuel sales and pays royalty to Viva Energy on convenience sales • Alliance agreement ends in 2029 Focus Operating Model 716 sites • Regional and highway focussed with large format convenience store • Providing network growth towards goal of 150 sites by end 2024 • Value led independent brand • Viva Energy holds property head leases and sub - leases to Liberty Convenience • Liberty Convenience sets pump price and captures full retail margin • Viva Energy earns wholesale margin on fuel sales • 50% Joint venture with rights to fully acquire business from 2025 Focus Operating Model • Family - owned businesses with local focus • Operating under Shell or Liberty brands • Supports nationwide network coverage • Expanding Shell V - Power availability • Business owner operates sites and captures all income streams • Viva Energy earns wholesale margin on fuel sales under contracted supply agreement Focus Operating Model 92 sites 524 sites Retail fuel market Pre - COVID fuel demand growth led by diesel and increased car ownership, with Viva Energy growing share of key segments CAGR (Pre - COVID): ~ 2% 0% 5% 10% 15% 20% 25% 2018 2019 2020 1H21 Alliance Other Channels Premium Petrol Market share 1 Retail fuel demand 1 1. Australian Petroleum Statistics and ABS: Motor Vehicle Census 2. AIP. Industry fuel margin (cpl) is the National Average Price less National Average Terminal Gate Price (TGP). Assumes a 60:4 0 average of gasoline to diesel retail fuel margins. CAGR: 3.6% Retail fuel margins 2 • Retail fuel demand supported by increasing car ownership • Diesel growth supported by road freight transport • Robust retail fuel margin which have shown sustained growth over time • Stable Alliance market share with growth from Liberty Convenience adding 92 sites since 2018 23 Viva Energy Group Limited Investor Strategy Day 2021 - 5 10 15 20 25 - 5 10 15 20 25 30 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 YTD Million Vehicles Billion Litres Petrol Diesel Vehicles 5 7 9 11 13 15 17 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Q3 CPL Convenience market Convenience is delivering consistent and attractive growth in line with broader food and grocery market, with Alliance outperforming 0 2 4 6 8 10 85 90 95 100 105 110 115 120 2014 2015 2016 2017 2018 2019 2020 Convenience ($B) Grocery ($B) Total grocery market (LHS) Convenience market (RHS) CAGR: 3.2% Australian convenience market 1 10.5% 11.0% 11.5% 12.0% 12.5% 13.0% 13.5% 0 200 400 600 800 1,000 1,200 1,400 FY15 FY16 FY17 FY18 FY19 FY20 FY21 $M Alliance sales (LHS) Market share (RHS) CAGR: 5.3% 1. Australasian Association of Convenience State of the Industry Reports 2014 - 2020. IBIS World Supermarkets and Grocery Stores in Australia (financial year) 2. Sources: Coles FY21, FY20 and FY19 investor presentations. Note that Coles reports on a June year end financial calendar. Wesfarmers FY18, FY17 and FY16 Annual Reports 3. Market share calculated based on Coles convenience sales (financial year) over total convenience market sales (calendar year). Alliance convenience sales 2,3 Australian convenience market trends 1 • Stronger convenience growth in 2020 driven by trend to shop locally during the pandemic • Food & beverage market grew 4.5% in 2020 supported by strong growth in food - to - go and take - home food segments • High frequency visits (2.5 times per week for shop) across market • Items in basket improved to 2.1 items with average transaction value of $10.4, up 8.4% in 2020 • Access to convenience market provides attractive growth opportunity in medium term 24 Viva Energy Group Limited Investor Strategy Day 2021 Convenience market landscape Retail fuel and convenience sites are well placed to further extend and grow broader destination and on - road convenience offers to support growth Energy • Premium petrol and diesel remain key growth segments • Fast charging will be an important part of the offer in time • Hydrogen refuelling potential at selected highway service centres On Road • Larger stores required to support broader offer • Space and offer to support longer ‘dwell time’ • Compelling food and beverage offers will be critical Destination • Leverage location and accessibility of network • Emerging markets for growth and optimisation • Partnerships help accelerate offer and capability 25 Viva Energy Group Limited Investor Strategy Day 2021 Maingrade Premium Diesel Recharging Hydrogen Convenience Tobacco Beverages Snacks Food to Go Merchandise Groceries Dine In Food Parcel Pickup Postal and Banking Vehicle Services Loyalty and digital Our loyalty ecosystem supports a broader convenience offer with further potential for digital enablement 26 Viva Energy Group Limited Investor Strategy Day 2021 Flybuys • 8.6m members 1 , 20 partners 2 , >1000 rewards 2 • Supports fuel & convenience offer through joint offers with other business partners • Leveraging partners’ marketing channels to access a wider customer base Loyalty Shell Card • Drive B2B volumes into our Retail network by growing and transforming Shell Card business • Strengthen Card loyalty through 3rd party partnership value - adds • Digital offers targeted by purchasing patterns Partnerships • Drive supermarket loyalty, additional instore spend at Coles Express • Accelerate partnership platform by building long - term strategic alliances with organisations and their membership bases to provide digital offers Select Flybuys partners Select Viva Energy partners 1. Australian Financial Review – 29 September 2020, Flybuys unpacks new data division 2. Flybuys website Marketing and sponsorships Building and leveraging our brand to reach broader audiences through marketing and sponsorship programs A globally recognised brand 27 Viva Energy Group Limited Investor Strategy Day 2021 Coles Express store refresh Investment in brand and premium fuel offer Investment in sponsorships Network refreshment Network refreshment is underway to support changing customer needs and further development of offering Larger forecourts with improved diesel offering Larger stores with fresh food at seating 28 Viva Energy Group Limited Investor Strategy Day 2021 Coles Express store refresh Adjacencies to drive ‘destination’ visits Network strategy Network growth will support opportunities to rationalise older and poorer performing sites over time Review on lease expiry ~90% before 2030 Network growth Lift network performance through fuel and shop offers and redevelopment Sales performance Network distribution by fuel volume 29 Viva Energy Group Limited Investor Strategy Day 2021 • Focused on closing network gaps and lifting convenience offer • Larger stores and improved diesel offerings • Skew towards regional and highway locations • Build with strong fuel and convenience offer, ability to support new energies and growth beyond current convenience offer • Aim to lift network efficiency over time • Exit poorer performing sites on lease expiry • Consider other platform options such as Owner Dealer • Sales volume to be recovered from network growth Growth Rationalisation Financial performance Retail business has a proven track record of strong and consistent cash generation with a broad range of growth opportunities 198.6 149.3 235.4 116.7 45.9 18.0 19.0 14.3 152.7 131.3 216.4 102.4 0 50 100 150 200 250 2018 2019 2020 1H21 $M EBITDA Capex Cash contribution 30 Viva Energy Group Limited Investor Strategy Day 2021 Highlights • Robust fuel demand with opportunities for market share growth • Growing retail fuel margins supporting long term expansion • Superior brand and network platforms which provide growth optionality • Convenience store sales growing between 3.5% and 5.5% 1 • Relatively low levels of annual capital required • Proven strong, consistent cash generation capability • Dividends paid at 50% to 70% of Retail, Fuels and Marketing NPAT 1. Refer slide 24 Strategic priorities Retail strategic priorities focus on transitioning to a fully integrated convenience retailer by the end of the decade 31 Viva Energy Group Limited Investor Strategy Day 2021 Recovery • Maintain fuel market share within the Alliance and grow sales as market recovers • Maintain strong volume/margin focus while demand continues to be impacted by lockdowns • Reassess Alliance potential to reach 70+ MLPW as country re - opens consistently Growth Sustainability • Introduce electric vehicle recharging stations as commercial opportunities materialise • Progress Hydrogen fuel cell EV’s to prove concept and build heavy vehicle offer • Potential development of rooftop solar to support renewable energy consumption. Acquire residual through green electricity markets • Potential carbon offsets for retail fuel offering • Continued expansion of the Liberty Convenience network with goal of 150 sites by end of 2024 • Lift performance of Coles Express network through improved offers and store refreshment • Exit poorer performing network at lease renewals • Continue extension of premium fuels availability across the Shell branded network • Assess opportunities to take full control of platforms as partnership agreements expire Commercial and Industrial Denis Urtizberea 32 1. Length of relationship since initial contract. 33 Viva Energy Group Limited Investor Strategy Day 2021 Commercial and Industrial overview Viva Energy is a trusted partner to many of the country’s largest commercial and industrial businesses Highlights • Leading market positions in more segments than our traditional competitors • Diversification provides resilience to sector cycles and broader growth opportunities • Trusted energy partner and long - standing customer relationships • Nationwide supply chain backed by international capability of Vitol • Integrated value with refining across a broad range of specialty products Length of relationships Top 20 Customers 1 0 5 10 15 20 25 30 Years + Aviation Marine Commercial Specialties Resources Lubricants Transport and Agriculture 34 Viva Energy Group Limited Investor Strategy Day 2021 • Value led recovery of aviation and cruise sectors • Expand regional coverage in transport and agriculture sector • Leverage infrastructure position and optimise supply chain costs Outperform in our core businesses Leverage capability to develop new growth pathways Acquire capability to accelerate proven opportunities Commercial and Industrial Solutions and Services • Expand commercial services offering beyond resource and transport customers • Develop and extend carbon solutions offer • Develop hydrogen fuel offering • Acquire adjacent commercial businesses Strategic approach Viva Energy aims to provide a complete fuel and service offering to our commercial customers 1 Resources Market leading supplier of fuels, lubricants and associated services to the mining sector Gladstone ? Mackay ? Darwin ? Broome ? King Bay ? Esperance Adelaide Weipa ? Parker Point Port Lincoln ? Townsville Sydney • National supply chain servicing all key mining regions across Australia • Strategic partnerships with Vitol and Shell for world class technical and supply chain capability of fuels and lubricants • “On the ground” capability to provide end - to - end solutions and technical support • Highest safety and environmental standards aligned with customer expectations Resources supply chain ? Kalgoorlie ? Newcastle Tom Price West Angelas Paraburdoo Mt Isa Perth Coastal storage Coastal customer storage 1,000 1,200 1,400 1,600 1,800 FY17 FY18 FY19 FY20 FY21 Key commodity production (BT) 1,2 CAGR (pre - COVID): 2.6% 1. “BT” Billion of tonnes 2. Department of Industry, Science, Energy and Resources: Selected commodities: Coal, Aluminium, Copper, Gold, Iron Ore, Lead, Nickel, Silver, Steel, Tin and Zinc Inland customer storage Inland storage 35 Viva Energy Group Limited Investor Strategy Day 2021 1 Marine Market leading supplier of marine fuels and lubricants across Australia • Market leading position through nationwide network of marine refuelling locations • A reliable supplier of very low sulphur marine fuel oil (VLSFO) • Superior capability in Sydney Harbour • Primary supplier of Marine Fuels to the Australian Defence Force, operating HMAS Cairns under long - term agreement • Potential to support transition to LNG refuelling from Geelong Energy Hub 6.5 7 7.5 8 8.5 FY15 FY16 FY17 FY18 FY19 Containers exchanged (millions) 1 1. Department of Infrastructure, Transport, Regional Development and Communications: Selected Australian ports CAGR: 3.6% ? HMAS Cairns Gladstone ? Mackay ? Cairns ? Darwin ? Broome ? Esperance Adelaide Weipa ? Hobart Port Lincoln ? Devonport Perth ? Townsville Sydney Oil and Gas Cruise & Container Refinery Storage Marine Barge Melbourne Geelong Portland Brisbane Newcastle ? King Bay Customer storage 36 Viva Energy Group Limited Investor Strategy Day 2021 Marine network 1 Aviation Market - leading network across Australia, including all major international airports • Servicing more than 50 airports and airfields across the country • Geelong Refinery the only manufacturer of Avgas in Australia • Commercial Into - Plane refuelling service at all major airports • Premium Jet Valet refuelling and Fuel2Sky card providing faster and convenient refuelling • First company in Australia to launch Carbon Neutral Jet A - 1 to help customers reduce emissions CAGR (Pre - COVID): 2.2% 1. Australian Petroleum Statistics Ballina Perth Jandakot Barrow Island Cocos Island Cape Preston Boolgeeda Paraburdoo Broome Karratha Kununurra Argyle Tennant Creek Alice Springs Yulara Darwin Katherine Gove Jabiru Weipa Cairns Mt Isa Townsville Proserpine Mackay Moranbah Emerald Rockhampton Gladstone Maroochydore Brisbane Archerfield Caboolture Charleville Coober Pedy Prominent Hill Adelaide Sydney Woolongong Bankstown Canberra Moorabbin Melbourne Essendon Avalon Armidale Tamworth Dubbo Bourke International/Domestic Domestic Refinery Geelong 37 Viva Energy Group Limited Investor Strategy Day 2021 Aviation network - 2.0 4.0 6.0 8.0 10.0 2016 2017 2018 2019 2020 1H21 Australian Jet Fuel Sales (BL) 1 1 Specialties Only manufacturer of bitumen and hydrocarbon solvents in Australia • Strategically located supply chain across major population centres in the East Coast • Only manufacturer of bitumen and hydrocarbon solvents in Australia • Surplus refining capability provides opportunity to grow both refining and marketing earnings • Import capability to South Australia, Sydney, Brisbane and Townsville • Long term relationships with key construction companies and chemicals resellers 1. IBIS World: Construction in Australia Report 360 380 400 420 440 460 FY20 FY21 FY22 FY23 FY24 FY25 FY26 Australian construction market ($B) 1 Post - COVID CAGR: 2.5% Adelaide ? Townsville Sydney Refinery Chemicals Storage Melbourne Geelong Brisbane Darwin Perth Bitumen Storage 38 Viva Energy Group Limited Investor Strategy Day 2021 Bitumen & chemicals supply chain Agriculture and regional Australia Local capability combined with nationwide refuelling network to support regional markets across the country • Nationwide network and strategic partnerships with local distributors supporting regional markets across Australia • Company owned transport fleet supporting direct delivery and responsive to customer needs • Access to the Shell and Liberty branded networks through Shell Card for customer on - road refuelling requirements • Local sales force which are part of the community to build strong relationships with customers 650 700 750 800 850 FY16 FY17 FY18 FY19 FY20 FY21 Domestic freight task (Billion tonne KMS) 1 1. IBIS World: Domestic Freight Task Report CAGR: 2.7% 39 Viva Energy Group Limited Investor Strategy Day 2021 Liberty Wholesale depots Gladstone Bowen Regency Park Port Lincoln Innisfail Katherine Port Augusta Merredin Corrigin Katanning Albany Kalgoorlie Albert Bourke Coonabarabran Dubbo Griffith Warren Benalla Horsham Biloela Emerald Goondiwindi Meandarra Miles Richmond Rockhampton Liberty inland depots Carbon solutions Building commercial opportunities with customers seeking to reduce their emissions 40 Viva Energy Group Limited Investor Strategy Day 2021 Plastics Recycling Integrated offer with existing fuel contracts Pathway to lower - carbon outcomes Bio - Crudes Access to latest technology Up - to - date carbon markets expertise Bio - Methane Certified Carbon Neutral fuels Processing and supply chain advantages Renewable Diesel Carbon analysis and certification Auditing and compliance Strategic Energy Provider Technology Lower Carbon Fuels Trusted Adviser • Leverage existing customer relationships and capabilities to support them in reducing their carbon intensity and emissions • Maintain long - term commercial relationships while building earnings from emerging energies and low carbon options • Over time build scale and demonstrated competence to command relevant position in emerging markets Early progress • Certification for Carbon Neutral Jet A - 1 fuel under the Climate Active on 1 July 2021 • Alliance Airlines flight QQ7242 was refuelled with carbon neutral product supplied by Viva Energy • Developing suite of certified carbon neutral fuels • Integrated bio - fuels offer • LNG development opportunities • Hydrogen and EV technology opportunities • WAGA Energy alliance to develop bio - gas opportunities Customer proposition 1 Financial performance Commercial business has a proven track record of strong and consistent cash generation with a broad range of growth opportunities Highlights • 2021 seeing strong performance, returning to growth post - pandemic with further recovery • ~40% 2 of earnings from products and services other than Jet and Diesel with opportunities to grow non - fuels businesses • ~90% of Commercial earnings under a contractual arrangement with spot sales generally across Transport and Marine sectors • Strong and consistent cash generation capability which has been resilient to impacts of COVID - 19 • Dividends paid at 50% to 70% of Retail, Fuels and Marketing NPAT 243.4 186.2 156.4 105.9 80.9 55 23 6.5 162.5 131.2 133.4 99.4 0 50 100 150 200 250 300 2018 2019 2020 1H21 $M EBITDA Capex Cash contribution 1. All supply chain capex has been allocated to Commercial noting that one - off conversion costs for the Clyde conversion in 2018 was excluded ($30m) 2. Based on 2020 Underlying EBITDA (RC) under new segmentation 41 Viva Energy Group Limited Investor Strategy Day 2021 1 Strategic priorities Commercial strategic priorities focus on leveraging our strong customer relationships and diversified sector exposure to create new growth pathways 42 Viva Energy Group Limited Investor Strategy Day 2021 Recovery • Target profitable growth in Aviation as domestic and international borders reopen • Retain strategic position in Sydney Harbour to benefit from recovery in Cruise sector • Government infrastructure investment creates potential growth in key commercial sectors Growth Sustainability • Continue to develop lower carbon and carbon offset products to support customer reduction of hard to abate energies • Support customers management of energy usage to improve efficiency and reduce consumption • Progress the development of Hydrogen, LNG and BEV solutions for heavy vehicle transport, marine and mining industries • Continued expansion of the Liberty Wholesale business to increase share of regional markets • Grow markets and product range to support increased production of specialty products at Geelong Refinery • Continue to expand range of products and services to support customer solutions business • Expand Aviation network to close gaps and continue to improve coverage for customers Energy and Infrastructure Dale Cooper 43 Energy Hub overview Geelong Energy Hub seeks to leverage the strategic position and capability we have in Victoria 44 Viva Energy Group Limited Investor Strategy Day 2021 Highlights • Strategic position in one of country’s largest and strongest growing markets (Victoria) • Refinery and associated infrastructure are regarded as an asset of national strategic significance • Fuel Security Package (FSP) underpins future refining earnings until 2028 - 30 while retaining exposure to upside • Leveraging position to develop other opportunities such as LNG, strategic storage and emerging energies Refining Specialties Energy Hub LNG Terminal Hydrogen Bio and Recycling Strategic Storage Plastics Recycling Nationally strategic asset underpinned by Government Fuel Security Package Bio - Crudes Strategically located crude oil and refined product storage to support national strategic reserves Bio - Methane Leading natural gas import project to meet expected shortfall in Victoria from mid 2020’s Renewable Diesel Commercialising hydrogen for heavy vehicles for east coast network Refining Strategic Storage Gas Terminal Hydrogen Strategic approach Viva Energy aims to develop a diverse low - carbon energy and infrastructure portfolio 45 Viva Energy Group Limited Investor Strategy Day 2021 • Improve productivity and reliability • Optimise infrastructure support from Federal Government Outperform in our core businesses Leverage capability to develop new growth pathways Acquire capability to accelerate proven opportunities Energy and Infrastructure • Development of LNG terminal • Development of additional strategic diesel storage at Geelong Refinery • Partner with key technology and customer participants • Development of Hydrogen refuelling operations Geelong Refinery Geelong Refinery has several unique advantages which helps compete with regional refiners Local crude sourcing 13% 34% 38% 34% 2018 2019 2020 1H21 Specialties contribution to Geelong Refining Margin Production slate Freight advantages 37% 36% 32% 36% 38% 39% 41% 43% 11% 12% 4% 3% 14% 14% 23% 17% 2018 2019 2020 1H21 Gasoline Diesel Jet Other 1.0 2.0 3.0 4.0 5.0 6.0 2018 2019 2020 2021 Refined product freight index Crude freight index US$/bbl 46 Viva Energy Group Limited Investor Strategy Day 2021 • High proportion of crude diet sourced domestically • Operational flexibility to process wide range of feedstocks • Only Australian manufacturer of specialty products: ? Avgas ? Bitumen ? Chemicals • Refinery configuration provides competitive advantage • Flexible product slate for changing fuel demands • Product and crude freight differential benefits Geelong • Freight economics due to distance from key trading hub (Singapore) 8% 15% 36% 21% 2018 2019 2020 1H21 Fuel Security Services Payment (FSSP) Protects earnings during periods of low refining margins providing for more certain and reliable cashflow 0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.0 18.0 20.0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 GRM Margin Marker Collar Cap No FSSP Variable FSSP Full FSSP Historical actual Geelong Refining Margin (GRM) and FSSP Margin Marker (A$/bbl) 1. Assumes crude intake of more than 40MBBL’s per annum 47 Viva Energy Group Limited Investor Strategy Day 2021 ? No FSSP received when r egional refining margins are above Geelong’s all - in cash breakeven margin (Margin Marker) ? Opportunity to o utperform through lower crude acquisition costs, lower energy costs, higher specialties production, operating cost reduction, and improved productivity ? Every A$1/BBL above Geelong’s breakeven margin delivers over A$40M per annum cash earnings 1 ? FSSP is payable when the Margin Marker falls below A$10.20/bbl (proxy for Geelong all in cash breakeven level) ? The support escalates in a linear fashion from 0 cents per litre (cpl) to 1.8 cpl (or A$0.0/bbl to A$2.90/bbl) until the support caps at the Margin Marker level of A$7.30/bbl ? Geelong breakeven margin is effectively reduced by A1.8cpl or A$2.90/BBL High Refining Margin Low Refining Margin Gas Terminal Project: East Coast gas demand A growing shortfall for Natural Gas on the East Coast of Australia Project opportunity • Federal government has identified security of gas supply as a critical issue for the economy • Forecast gas market supply deficit driven largely by Victorian demand against significant forecast decreases in production from Gippsland Basin Joint Venture • Liquified Natural Gas (LNG) Import Terminal(s) identified as a key strategy to meet gas supply shortfall from the mid 2020s 1 • Viva Energy’s Gas Terminal project positioned to be the largest and most flexible source of additional gas for Victoria 1: Source: Australian Energy Market Operator Gas Statement of Opportunity 2021 48 Viva Energy Group Limited Investor Strategy Day 2021 Gas Terminal Project: project highlights Viva Energy’s Gas Terminal Project is best placed and leading project in Victoria Project highlights • Geelong provides the most efficient gateway for gas into the Victorian Transmission System • Proximity to demand provides advantaged cost of gas, avoiding pipeline costs associated with competing projects • Project partners with substantial international experience in LNG regasification terminals • Integration with the refinery provides for low environmental impact • Most advanced Victorian project, targeting Final Investment Decision (FID) in 3Q 2022 and construction and installation for gas supply from mid 2020’s 49 Viva Energy Group Limited Investor Strategy Day 2021 Gas Terminal Project: commercial model Viva Energy aims to primarily be an infrastructure owner and operator, but a range of additional energy projects and business extensions have been identified Gas Terminal Project Gas Storage LNG Marine Bunkering LNG for Transport Gas to Power Generation Gas Marketing Lower Emissions Pathway for Marine On demand Generation Peaking Capacity Transport solutions Wholesale / Retail Supply Commercial model • Combination of typical mid - stream infrastructure style returns and significant upside optionality via direct participation in the gas market • Project returns expected to be largely underwritten via long term take - or - pay capacity rights model with existing and/or prospective market participants • Potential for Viva Energy to take capacity in the terminal to service own gas demand and to participate in downstream markets • Further value optimisation potential from ancillary projects 50 Viva Energy Group Limited Investor Strategy Day 2021 Strategic priorities Refining business is well positioned for recovery in refining margins and additional income streams from new Energy Hub projects 51 Viva Energy Group Limited Investor Strategy Day 2021 Recovery • Improvement in Geelong Refining Margins as regional and global fuel demand recovers, with support from FSSP when margins are weak • Maximise production following completion of major maintenance and recovery of Victorian fuel demand • Continue development of strategic storage ahead of Minimum Stockholding Obligations to optimise supply chain Growth Sustainability • Geelong Refinery compliant with Ultra Low Sulphur Gasoline requirements by end 2024 • Further expansion of the Geelong Energy Hub, exploring emerging energy opportunities • Longer term refining viability to be re - assessed in conjunction with the conclusion of the Fuel Security Package in 2028 - 2030 • Productivity and site efficiency improvements through the use of technology and improved reliability • Increased production of specialty products to capture latent value of underutilised units • Improvements in crude and energy costs • Gas Terminal project expected to commence with earnings contribution from mid 2020’s New Energies and Sustainability Lachlan Pfeiffer 52 Sustainability Approach We aim to support our customers to reduce their emissions, pursue opportunities in emerging and transition energies, and reduce our own emissions to net zero Carbon Solutions Business Carbon Intensity Reductions Bundled Low Carbon Energies with Traditional Fuels Technology Development and Deployment New Energy Development Energy Efficiency Projects Renewable and Low Carbon Energy Options to repurpose refinery over long - term Viva Energy Emissions Partner • As trusted supplier, assist our customers to reduce their carbon intensity • Carbon neutral fuels, bio fuels, bio - methane and LNG, hydrogen for transport, EVs • Reduced carbon intensity of energy use Develop • Commercialise and bring offers to market • Grow hydrogen and EVs • Carbon offset management and generation Deploy • Achieve net - zero by 2030 in our non - refining businesses • 10% reduced energy emissions at Refinery • Net Zero Gas Terminal Project from construction and through operating life • Achieve group - wide net zero by 2050 53 Viva Energy Group Limited Investor Strategy Day 2021 Energy transition We have identified a range of emerging opportunities in line with our core strategic capabilities Strategic Capability Battery Electric Vehicle (BEV) Hydrogen Fuel Cell Electric Vehicle (HFCEV) LNG Bio Waste Recycling Carbon Offsets Retail (On - Road) • Fast charging • Superior customer experience • Convenience offer • Truckstop network • On - Site H 2 production • Satellite H 2 distribution • Light commercial • E10 • Carbon offset fuels Commercial (Fleet and Equipment) • Charging - as - a - Service • People and goods – mover segments • Home base production • Home base refuelling • Fleet leasing • Home base refuelling • Marine refuelling • Bio - Diesel • Sustainable Jet Fuel • Bio - methane • Carbon offset fuels • Carbon Solutions Energy (Production and Supply) • Energy systems model for least - cost electricity input • H 2 production • Natural gas storage • Natural gas supply • Gas power generation • Refining feedstock • Refining feedstock • Recycled plastics 5 - 6 trial sites H 2 refueling & HYZON alliance Geelong LNG import project Bio blending in VIC, NSW, South East QLD WAGA green gas Recycled plastics feedstocks Carbon Neutral Jet A - 1 Early progress 54 Viva Energy Group Limited Investor Strategy Day 2021 Battery electric vehicles Electric mobility is an evolving market which will mature through 2030’s and take off thereafter Drivers • Lower operating cost favours high mileage applications • Cheaper and more convenient to charge while parked at home or work • Battery cost reduction, more and better vehicles will drive growth Constraints • Total cost of ownership parity anticipated around 2025 • Battery energy density favours smaller vehicles or more regular charging • Infrastructure supply and roll - out • Inconsistent policy environment Market characteristics • Nascent fragmented EV charging market, largely supported by Government programs • Competition for real estate and customer ownership ahead of mainstream market adoption from 2025 • As charging is commoditised, customer experience and relationship will dictate market share Our approach • Superior network: enhance our retail network with reliable, user - friendly charging solutions at the best locations, supported by convenience offer • Value: target most valuable segments with tailored solutions, service bundling and effective channels • Deployment: optimised for efficient network expansion • Loyalty and fuel card : protect and enhance our offer across retail and commercial segments • Commercial: commercial fleet and corporate opportunities, providing infrastructure and operations • Capital discipline: opportunity requiring capital discipline with long term view • Partnership ecosystem: channel agreements, technology providers and for energy supply 55 Viva Energy Group Limited Investor Strategy Day 2021 Our approach • Customers: bring existing customers on the hydrogen mobility journey with initial hydrogen deployment opportunities, and a pathway to grow through a fleet expansion – integrated to an existing traditional fuels offer • Early mover advantage: focusing on early - stage opportunity to position as leading distribution and refuelling offer and credible partner of choice • Supply: agnostic to hydrogen generation and delivery method, the goal is to build demand through market growth, bring TCO close to ICE 2 and over time this should reduce hydrogen supply costs • Distribution and logistics: leverage capability and supply chain expertise to delivery network refuelling offer • Network: leveraging existing national footprint and large terminal footprints near HV infrastructure Drivers • High energy density supports long distance and heavy freight • Refuelling supports high availability and utilisation applications • Replicates current driving behaviours and refuelling experience Constraints • TCO 1 equivalence anticipated 2030+ • Dispensed cost of hydrogen remains above existing fuels • Limited selection or models of vehicles in Australia • Reaching technology readiness, further development to commercial readiness Market characteristics • Nascent market, but with high growth potential in long term given size of commercial road transport marketplace • Strong Government support at Federal and State levels • Substantial and complex distribution and logistics exercise in refuelling, complimenting existing capabilities • Higher capital investment 56 Viva Energy Group Limited Investor Strategy Day 2021 Hydrogen fuel cell electric vehicles HFCEV is a nascent yet emerging market with strong long - term growth potential 1. Total Cost of Ownership 2. Internal combustion engine Hydrogen refuelling Working in partnership with OEM’s, customers, and planning to build hydrogen supply chain capability, Viva Energy is well placed to commercialise hydrogen in heavy transport applications Market opportunity • Back - to - base commercial refueling case - study assessment • Focus on delivery of vehicles into Australian market, supported by commercial - scale refueling infrastructure • Working with OEMs and commercial partners to understand and remove barriers for vehicle operators to deploy, test and gain understanding • Exploring options for hydrogen procurement or production at our facilities using green energy Vehicle OEM’s Refuelling Infrastructure Hydrogen Production Fleet Operators 1. Australian Market Hydrogen Study – 24 May 2021 – CEFC, Australian government and Advisian Hyzon and other OEM’s Viva Energy commercial and retail locations Viva Energy and commercial production Viva Energy existing and potential customers 57 Viva Energy Group Limited Investor Strategy Day 2021 Bio - Fuels and Waste recycling Opportunities will evolve to leverage our refining and supply chain capability to partner with others to participate in the circular economy Source: Company estimates, CSIRO ‘Advanced recycling technologies to address Australia’s plastic waste’ – August 2021 Opportunity • By 2030, waste - to - energy could be ~2 - 5% of Australian diesel demand • Offers near to mid - term growth potential, and product suite for customers seeking lower - carbon intensity • Refining capability to process new bio and synthetic feedstocks provides advantaged position • Blending capability and retail network provide offtake outlets • Advanced plastics recycling contributes to circular economy and is a potentially large - scale opportunity • Biomethane alliance with WAGA Energy 58 Viva Energy Group Limited Investor Strategy Day 2021 Bio - Methane Cost competitive low carbon Bio - Crudes Recovering energy from waste Plastics Recycling Capturing value - add from the circular economy Renewable Diesel Developing co - processing capability at Geelong Novel Biofuels Investing to bring lower cost low carbon fuels to market 59 Viva Energy Group Limited Investor Strategy Day 2021 Strategic Priorities Our plan to support the energy transition journey Electric Vehicle Charging Optimising our retail convenience network Hydrogen Refuelling Heavy vehicle transport (Buses and Trucks) Emissions Reduction Support our business customers Low Sulphur Petrol Lower sulphur Euro6 vehicles Transition Energies Bio - fuels, green gas and waste recycling Energy Security Leverage infrastructure to support energy security and transition Emissions Targets Targeting Net Zero in our non - refining operations and 10% reduction in refining emissions intensity by 2030, with an ambition for Net Zero by 2050 for all operations ~1,378 kt CO 2 - e 1 10% reduced emissions intensity 3 Net Zero 1. Scope 1 & 2 “operational” emissions in FY19 base year. “KT” is thousand tonnes 2. These projects may increase aggregate refinery emissions intensity, but have broader emissions and environmental net benefits 3. Scope 1 & 2 emissions per Energy Content of Products (t CO 2 - e / TJ) ~52 kt CO 2 - e 1 Net Zero renewable purchasing and generation energy efficiency projects carbon offset projects operational optimization energy efficiency projects ultra - low sulphur petrol upgrade 2 circular economy and bio - feedstocks 2 bio - fuels processing waste energy reprocessing energy import/export facility renewable and low emissions energy inputs carbon offset projects Retail, Fuels and Marketing Refining 2020 2030 2050 Fuel Security Commitment Period Refining Transition and Repurposing 60 Viva Energy Group Limited Investor Strategy Day 2021 Emissions reduction measures There is a clear pathway to achieving Net Zero in our non - refining operations 61 Viva Energy Group Limited Investor Strategy Day 2021 Net Zero Carbon Emissions 1 Lower electricity grid emissions as more renewable generation “Offset” residual emissions through carbon project investment Renewable electricity PPAs / certificates Behind the meter renewables such as on - site solar Energy efficiency through optimisation and projects at operations 1. Note: contribution levels shown are estimates for each enabler, and are illustrative. Viva’s actual Net Zero pathway may v ary Refining emissions Refining operations will remain energy and emission intensive over our commitment period, with transition requiring re - purposing and re - use of site over the period out to 2050 Geelong Refinery 2030: 10% decrease in emissions intensity 2050: Net zero • Geelong Refinery is committed to the Government’s Fuel Security Package for the next 7 years (to mid 2028), and is recognized as an energy intensive and trade exposed (EITE) facility • The most impactful contribution to emissions reduction the Refinery can make over time will be producing lower carbon intensive products for the market and allowing our customers to reduce their overall emissions • Gas Terminal Project Scope 1 and 2 emissions will be net zero from construction, and for its operational lifetime – it will be offset with credible carbon units • Our first of many meaningful steps to improve Geelong’s emission intensity out to current horizon of 2030 • A combination of energy efficiency projects, grid decarbonization, and improved efficiencies • Compliance with ultra - low sulphur petrol specifications adds processing units, and increases energy use and emissions at the refinery, but provides wider air quality and vehicle emissions benefits • Refining’s role in energy market will adapt over time and we expect this will mean repurposing of Geelong and its processing capability by 2050 • Opportunities exist in additional bio and waste processing but these technologies remain difficult to scale and commericalise • Our aim is to maintain energy security, and progress the facility to net zero over time as the energy market evolves 62 Viva Energy Group Limited Investor Strategy Day 2021 Capital Management Jevan Bouzo 63 Capital management framework Viva Energy will maintain a disciplined approach to capital management Underlying capital expenditure Invest in existing businesses to mainting current earnings - maintenance capital. Underlying earnings Free Cash Flow Balance Sheet Distributions to shareholders Target payout ratio of 50% to 70% NPAT Material investments Larger investments in new business or growth opportunities at returns in excess of WACC Growing a sustainable business with strong shareholder returns Growing the business 30% to 50% of FCF retained for growth and new energies opportunities Returns to shareholders Capital returns / share buy - backs to maintain an efficient capital structure Underpinned by a disciplined approach to capital management 64 Viva Energy Group Limited Investor Strategy Day 2021 Retail, Fuels and Marketing Underlying earnings and maintenance capital Retail, Fuels and Marketing 2018 2019 2020 1H21 Underlying EBITDA (RC) 1 437 324 382 218 Depreciation and Amortisation (67) (88) (96) (54) Finance Costs (33) (29) (19) (5) Underlying Profit before tax (RC) 2 337 207 267 159 Tax (101) (62) (80) (48) Underlying NPAT (RC) 2 236 145 187 111 Add back depreciation 67 88 96 54 Underlying Capex (125) (72) (36) (21) Underlying Free Cash Flow 2 178 161 247 144 Pro - forma Dividend 3 142 87 112 67 FCF retained 36 74 135 78 $210m Underlying Free Cash Flow Average per year ($125m) Dividends (~60%) Surplus free cash flow (for growth or capital management) $85m 65 Viva Energy Group Limited Investor Strategy Day 2021 1. EBITDA as per new segmentation reporting adopted at 1H2021. 2. Underlying results adjusted to exclude asset sales and profits from associates no longer held 3. Represents the dividends that would have been historically declared had the Group’s revised policy applied, assuming a 60% payout ratio in line with midpoint of target range Refining FSSP underpins expenditure profile for commitment period to end 1H28 with upside from stronger margins Annualised capital spend of ~$110m 1 over life of Fuel Security Services Payment Commitment 1. After applying recovery of 50% Government grant towards Ultra Low Sulphur Gasoline upgrade. Forecast capital expenditure for all major maintenance and compliance costs may differ from actual costs when incurred. The Company will provide an updated estimated range closer to the date of planned incurred spend. 2022 2023 2024 2025 2026 2027 1H28 ~$60M per annum RCCU/HFA ~ $110M CDU4 ~ $75M ULSG U pgrades ~$250M (up to $125M Government Contribution) Major Maintenance Compliance Commitment Other Maintenance Heavy investment period ($500m) will be managed through existing working capital facilities 66 Viva Energy Group Limited Investor Strategy Day 2021 Government FSSP is intended to provide support and recover operating expenditure along with average annualised capital spend when regional refinery margins are lower than the marker set within the mechanism Geelong Refining Margin / FSSP Operating Expenditure FSSP at A$10.20/ bbl to A$7.30/ bbl with GRM potential above Refinery operating expenditure Balance sheet and target gearing A disciplined approach to deploying our excess cash and balance sheet capacity • Existing business opportunities with short paybacks and returns well above WACC • Growth in non - fuel (convenience retail, commercial solutions and some new energies) with returns at or above WACC • Long term innovation and energy transition with minimal short - term return (below WACC) but large long term upside potential Growth • Strong focus on free cash flow per share and return on capital employed as well as strategic fit and our ability to leverage the Company’s existing expertise Acquisitions • Excess funds may be returned to shareholders from time to time to ensure the Company maintains an efficient capital structure Capital Management Post Dividend Free Cash Flow Balance Sheet Balance Sheet Target Gearing • Target long term gearing based on Net Debt / Underlying EBITDA (RC) of 1.0x – 1.5x, approximately $500M to $750M of capacity 1 • Working capital facility not included in target gearing and will be reported as part of net working capital • Target gearing range relates to term debt which can better align with duration of new growth opportunities • Strong focus on free cash flow per share and return on capital employed when considering new opportunities 67 Viva Energy Group Limited Investor Strategy Day 2021 1. Based on average Underlying EBITDA (RC) for the period 2018 to 1H21, excluding refining EBITDA in 2020 Why invest in us • Retail Fuels and Marketing is a strong cash generating business with leading positions in the Australian transport energy market and supported by advantaged infrastructure positions • Strong ability to grow earnings in the core business with exposure to diverse range of energy and non - energy segments • Meaningfully participate in energy transition to deliver new earnings opportunities • Key role in supporting energy security under contract with the Federal Government and lower levels of volatility in Refining • Strong balance sheet capacity to support meaningful earnings growth, targeting >$50M EBITDA p.a. from new earnings streams over next 3 to 5 years • Track record of disciplined capital management and investment to drive commercial returns • Attractive shareholder returns and cash flow generation supports attractive dividend profile and cash retained for growth opportunities Fuel and Convenience Retailer • largest single branded and operated network of convenience sites meeting the needs of people on the move Commercial and Industrial • energy solutions and services to a diverse range of commercial and industrial segments Energy and Infrastructure • quality energy and infrastructure assets servicing Australia’s major energy markets 68 Viva Energy Group Limited Investor Strategy Day 2021 ? ? ? ? ? ? ? Conclusion / Q&A Scott Wyatt 69

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