Refining NZ successfully completes placement

refiningnz.com

NZX RELEASE
30 November 2021

Refining NZ announces successful completion of NZ$39.0 million Placement
The New Zealand Refining Company Limited (Refining NZ) (NZX:NZR) advises that it has successfully
completed a $39.0 million underwritten placement (Placement), which forms part of the equity raising
to fund growth through private storage services announced on 29 November 2021.
The Placement was underwritten at a floor price of $0.82 per share. The bookbuild was very well
supported and as a result the final placement price was set at $0.83 per share, representing a 5.7%
discount to the closing price of $0.88 on 26 November 2021. Through the allocation process, existing
institutional shareholders and large retail shareholders that participated through their financial
advisers were given priority to obtain a pro rata allocation. All other retail shareholders will have the
opportunity to take up additional shares through the Share Purchase Plan.
Naomi James, Refining NZ CEO, said “We are delighted with the outcome of the placement, which was
well supported by existing institutional and retail shareholders and we are also pleased to welcome a
number of new investors onto the register. This capital raising and support for the company provides
the funding for us to pursue complementary growth through private storage services which we expect
to deliver value for shareholders.”
Settlement and allotment of the new shares issued under the Placement is expected to occur on 2
December 2021.
The Placement was underwritten by Forsyth Barr Group Limited.
The Share Purchase Plan opens on 2 December 2021

The $5 million share purchase plan (SPP) component of the capital raising will open on 2 December
2021. The SPP is not underwritten. Eligible shareholders with a registered address in New Zealand on
the record date can apply for up to NZ$15,000 of new shares in Refining NZ. Shareholders can apply
online at www.shareoffer.co.nz/refiningnz until 5.00pm (NZ time) on 13 December 2021.
Record Date 26 November 2021
Announcement of capital raising 29 November 2021
Share Purchase Plan Opening Date 2 December 2021
Entitlement communications sent to eligible shareholders 2 December 2021
Share Purchase Plan Closing Date
5.00pm NZ time,
13 December 2021
Share Purchase Plan issue price announced 14 December 2021
Allotment of new shares under the Share Purchase Plan and
commencement of trading and quotation
17 December 2021

These dates are subject to change and are indicative only. Refining NZ reserves the right to alter these dates,
subject to applicable laws and the NZX Listing Rules. Refining NZ reserves the right to withdraw the SPP at any
time prior to the issue of the shares under the SPP at its absolute discretion.

For further information in respect of the Placement and SPP, please refer to the investor presentation
released to the NZX on 29 November 2021. The Explanatory Booklet, dated 5 July 2021, as updated

refiningnz.com

by the investor presentation, also contains details of Refining NZ’s conversion to an import terminal and
the risks associated with it.

- ENDS-

Authorised by:
Chris Bougen
General Counsel and Company Secretary


Media contact
Laura Malcolm
communications@refiningnz.com
+6421 02363 297


About Channel Infrastructure NZ
Channel Infrastructure’s vision is to be New Zealand’s leading independent fuel infrastructure
company. It will utilise the deep-water harbour and jetty infrastructure of Marsden Point to import
refined fuel, owned by its customers. Fuel will be stored at the Marsden Point site in existing tanks at
what will be the largest fuel terminal in New Zealand, with 180 million litres of shared capacity, plus
dedicated private storage and capacity to provide additional storage. Channel Infrastructure will
continue to provide quality fuel testing services both at the Marsden Point site and around New
Zealand, through its subsidiary, Independent Petroleum Laboratory Limited.    

Fuel from Marsden Point will be distributed on behalf of Channel Infrastructure’s customers primarily
to the Auckland and Northland markets, which make up around 40% of New Zealand’s fuel demand,
through the 170-kilometre Refinery to Auckland Pipeline (the RAP) and the truck loading facility (the
TLF) located adjacent to the Marsden Point site. 

Conversion to an import terminal will reduce the Company’s direct CO
2
emissions by almost one
million tonnes per annum, delivering around a third of the Governments’ first Emissions Reduction
Budget
1
. The RAP continues to provide the lowest carbon emissions option for delivering fuel to New
Zealand’s largest market – Auckland.

Refining NZ has been the country’s only oil refinery since it was established in 1961.  In response to a
significant decline in refining margins because of excess refining capacity in the Asian region, Refining
NZ initiated a strategic review of the business in April 2020, to determine the optimal future business
model and capital structure for the Company’s future.  This review included extensive engagement
with a range of stakeholders including customers and Government regarding potential options for
ongoing refinery operations and the potential conversion to import terminal operations.  
 
For more information on Channel Infrastructure, please visit: https://www.refiningnz.com/what-is-
channel-infrastructure/


1
Reference: Transitioning to a low-emissions and climate-resilient future: emissions reduction plan discussion document
(https://environment.govt.nz/publications/emissions-reduction-plan-discussion-document/). The Company’s emissions are
expected to reduce by c. 3.5MT over the 2022 -2025 budget period.

refiningnz.com
IMPORTANT INFORMATION
This announcement is not a product disclosure statement or offering document under New Zealand law or under
any other law. It is for information purposes only and does not constitute an offer, invitation or recommendation to
subscribe for, retain or purchase any securities in Refining NZ in any jurisdiction. This announcement does not
constitute financial advice and does not and will not form part of any contract for the acquisition of Refining NZ
securities.
This market announcement has been prepared for publication in New Zealand and may not be released to United
States wire services or distributed in the United States. This announcement does not constitute an offer to sell, or
a solicitation of an offer to buy, securities in the United States (or to, or for the account or benefit of, any person in
the United States) or any other jurisdiction. Any securities described in this announcement have not been, and will
not be, registered under the US Securities Act of 1933 and may not be offered or sold in the United States except
in transactions exempt from, or not subject to, registration under the US Securities Act and applicable US state
securities laws.
The information in this announcement is of general background and does not purport to be complete. It should be
read in conjunction with Refining NZ’s other market announcements lodged with NZX, in particular the Investor
Presentation, dated 29 November 2021, and the Explanatory Booklet, dated 5 July 2021 (as updated by the
Investor Presentation), which are available at www.nzx.com under the ticker code “NZR”. The disclaimers in the
‘Disclaimer and Important Information’ section of the Investor Presentation apply to this announcement.