CHI presentation to Bell Potter Conference

New Zealand's leading
fuel infrastructure
company
Bell Potter Conference
15 September 2022

2
• This presentation contains forward looking statements concerning the
financial condition, results and operations of Channel Infrastructure NZ Limited
(hereafter referred to as “CHI”).
• Forward looking statements are subject to the risks and uncertainties
associated with the fuels supply environment, including price and foreign
currency fluctuations, regulatory changes, environmental factors, production
results, demand for CHI’s products or services and other conditions. Forward
looking statements are based on management’s current expectations and
assumptions and involve known and unknown risks and uncertainties that
could cause actual results, performance or events to differ materially from
those expressed or implied in these statements.
• Forward looking statements include among other things, statements
concerning the potential exposure of CHI to market risk and statements
expressing management’s expectations, beliefs, estimates, forecasts,
projections and assumptions. Forward looking statements are identified by the
use of terms and phrases such as “anticipate”, “believe”, “could”, “estimate”,
“expect”, “goals”, “intend”, “may”, “objectives”, “outlook”, “plan”, “probably”,
“project”, “risks”, “seek”, “should”, “target”, “will” and similar terms and phrases.
• Readers should not place undue reliance on forward looking statements.
Forward looking statements should be read in conjunction with CHI’s financial
statements released with this presentation. This presentation is for information
purposes only and does not constitute legal, financial, tax, financial product
advice or investment advice or a recommendation to acquire CHI’s securities
and has been prepared without taking into account the objectives, financial
situation or needs of individuals. Before making an investment decision, you
should consider the appropriateness of the information having regard to your
own objectives, financial situation and needs and consult an NZX Firm or
solicitor, accountant or other professional adviser if necessary.
• In light of these risks, results could differ materially from those stated, implied
or inferred from the forward-looking statements contained in this
announcement. CHI does not guarantee future performance and past
performance information is for illustrative purposes only. To the maximum
extent permitted by law, the directors of CHI, CHI and any of its related bodies
corporate and affiliates, and their officers, partners, employees, agents,
associates and advisers do not make any representation or warranty, express
or implied, as to accuracy, reliability or completeness of the information in this
presentation, or likelihood of fulfilment of any forward-looking statement or any
event or results expressed or implied in any forward-looking statement, and
disclaim all responsibility and liability for these forward-looking statements
(including, without limitation, liability for negligence).
• Except as required by law or regulation (including the NZX Listing Rules), CHI
undertakes no obligation to provide any additional or updated information
whether as a result of new information, future events or results or otherwise.
• Forward looking figures in this presentation are unaudited and may include
non-GAAP financial measures and information. Not all of the financial
information (including any non-GAAP information) will have been prepared in
accordance with, nor is it intended to comply with: (i) the financial or other
reporting requirements of any regulatory body; or (ii) the accounting principles
generally accepted in New Zealand or any other jurisdiction with IFRS. Some
figures may be rounded, and so actual calculation of the figures may differ
from the figures in this presentation. Non-GAAP financial information does not
have a standardisedmeaning prescribed by GAAP and therefore may not be
comparable to similar financial information presented by other entities. Non-
GAAP financial information in this presentation is not audited or reviewed.
• Each forward-looking statement speaks only as of the date of this
presentation.
Important Information

Own critical
infrastructure –jetties
on the deep-water
harbour,
storage tanks, and
the 170-kilometre
pipeline from Marsden
Point to Auckland
Receive, store, test
and distribute transport
fuels owned byour
customers to the
Northland and Auckland
markets(40% of
NZliquidfuel demand)
Long-term contracts
with NZ’s largest fuel
companies (bp, Mobil
and Z Energy)
Only supply route for jet
fuel to Auckland
International Airport
(80% of NZ jet fuel
demand)
c3 billion litresof fuel
throughput annually,
more than the 10
terminals in the next 3
largest ports in
NZ,combined
Only location capable of
transporting liquid fuels
by pipeline to Auckland
at one-tenth of
emissions compared to
road transport
Majority owned by
institutional and retail
investors, with fuel
companies owning 35%
shareholding
Transformed from
Refining NZ to Channel
Infrastructure on 1 April
2022. Fundamental
reset in what we do,
financial and risk profile
Listed on the NZX under
ticker code ‘CHI’ with
market capitalization of
c$500m
Who we are
3

Ownershipof critical infrastructure
Long-termcustomer contracts
Projected stable earnings andcash flows
Strong balance sheet
Supporting New Zealand’s decarbonisation
Focused growth strategy
Long-term sustainable business model with a focused growth strategy
4

[1] Based on Hale & Twomey’s forecast, issued in January 2021, which includes New Zealand’s
commitment to netzerogreenhouse gas emissions by 2050. The Hale & Twomey forecasts are for fossil
fuels only and make no assumptions on biofuel substitution. Demand scenario includes some supply from
Wiri into the Waikato.
Critical infrastructure supplying the Auckland and Northland markets
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•New Zealand’s largest transport fuels storage
•c180ML of shared capacity and c100ML of
contracted additional, dedicated private storage
•Potential 50-70ML of further strategic storage and
additional storage requirements from biofuels
mandate
•Supplies all of the jet fuel distributed to Auckland
International Airport
•39% increase in jet fuel demand in 5 years pre-
COVID, driven by growth in passenger numbers and
trends towards long-haul flights and premium
seats
•Potential for stronger than expected jet fuel growth,
subject to aviation capacity
•Strong growth in jet fuel as borders reopened from
February 2022
•Near 60% increase in Auckland jet fuel
demand sinceFebruary 2022
•Air NZ expect flying capacity between 75-
80% next 12 months
•Jet fuel expected to underpin long-term asset utilisation,
with long-haul aviation requiring a sustainable aviation
fuel solution to decarbonise
[1]

-
20
40
60
80
100
120
Fixed FeeTake-or-payPrivate Storage
Long-term contracts underpinning revenue certainty and providing inflation protection
$45m
fixed fee
$40m
fixed fee
$100m TOP
$90m TOP
$65m TOP
Private Storage
6
Fixed Fee and Take-or-pay Fee (before annual price indexation adjustments) ($m)
$35m
fixed fee
•10-year customer contracts with fixed and
minimum fee components, and third-party access
to unutilisedcapacity after 1 April
2025,incentivising utilisation
•Higher take-or-pay commitments ($90-100m pa
‘real’ over the first 6 years) and ‘fixed’ private
storage revenue, support debt funding of
conversion project costs and allow for recovery in
jet demand from COVID impacts
•Expected average revenue from terminal and
private storage services of c.$105m p.a. (‘real’)
over the initial 10-year contract term
•All fees subject to Producer’s Price Index (PPI)
indexation which provides protection in an
inflationary environment
First right of
renewal
Second right
of renewal
End of
TSA

($m)
Terminal and other revenue
[1]
116 –120
Operating costs
[2]
36 –40
Normalised EBITDA
[3]
76 –84
Depreciation32
Financing costs
[4]
15 –18
Income tax payableNil
Projected stable earnings and cash flows
Indicative FY23 Financial metrics
(in nominal terms, includes contracted private storage)
•FY23 EBITDA now expected to be at the top end of guidance
range
•9 months PPI to June 2022 of 6.6% implies additional
c.$7m in revenue for FY23
•Contracted private storage expected at $9m annualized
revenue (pre-PPI adjustment) by mid-2023
•Looking to reduce electricity costs over time through work to
reset transmission and distribution costs and RFI for a long-term
electricity supply
•Terminal capital expenditure
[5]
expected to be in the range of
$5-12 million per annum over the initial contract term (including
private storage)
•Successful bond issue in H1, and bank refinancing well underway
presenting opportunity to reduce financing costs
•Significant benefit of tax losses, with c.$467m available at 30
June 2022
[1] Revenue includes terminal fees, private storage fees, revenue from Wiri terminal lease (expiring
in 2025) and revenue from laboratory testing services (IPL)
[2] Operating costs exclude one-off conversion costs
[3] Normalised EBITDA excludes one-off conversion costs
[4] Based on current financing arrangements, hedged positions and current 90-day bank bill rate
[5] Import terminal capital expenditure over the initial 10-year contract term, excluding growth and
one-off conversion capital expenditure
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Criteria for investment:
•above WACC return on
investment
•customer contracts that
provide revenue certainty
Target leverage of 3-4
times EBITDA
Shadow BBB+ rating
Circa $300m target net
debt based on current
asset/earnings base
Dividend Policy of 60-70% of
free cash flow(excludes
growth capex)
[1]
Strong cash flow in H1
increases confidence in return
to dividends for FY22
•FCF from May and June of
c.$9m equate to FY22 dividend
of c.6cps at mid-point of pay-
out range
•FY23 guidance implies an
indicative dividend range $30 -
$40m (8–11 cps)
Long-term contracts
delivering strong cash
flow
Returns to shareholders
Deleveraging
Focused growth
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Strong balance sheet with capital allocation framework to deliver growth and dividends
[1] The Board has reconfirmed a dividend policy pay-out of 60-70% of Free Cash Flow (being adjusted net cash generated from operations less maintenance capex). The Board reserves the right to adjust the payout ratio
or expected timing for the recommencement of dividends should the timing, costs or revenue associated with the conversion (including new services such as Private Storage Services) or the import terminal business
change. The dividend policy will be subject to the Board’s due consideration of the Company’s medium term asset investment programme, a sustainable financial structure for Channel Infrastructure (recognisingthe
targeted investment grade rating) and the risks from short and medium term-economic and market conditions and estimated financial performance. It is the intention of the Board to attach imputation credits to
dividends to the extent that they are available. Subject to Net Debt to 12-month rolling normalized EBITDA (being EBITDA excluding one-off conversion costs) reducing to below 4.5x times at the time of dividend
payment and following the dividend distribution

Energy transition means more fuel choices and
infrastructure required
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Focused growth strategy, supporting NZ decarbonisation
Petrol
Diesel
Jet fuel
Sustainable aviation fuel
Renewable gasoline
Renewable diesel
Hydrogen
Renewable electricity
TODAY
Hydrogen
Sustainable
aviation fuel
Growth in
other terminal
infrastructure
Long-term renewable
electricity supply
•Maranga Ra solar project
Expanding the
Marsden Point terminal
•Other products
•Biofuels imports
•Domestic stockholding for
fuel security
2035
Petrol
Diesel
Jet fuel

Significant capacity available to grow and diversify revenue in short and long term
10
c.30%
Tank
capacity
c.35%
Jetty
capacity
c.65%
Pipeline
capacity
280ML
terminal
storage
capacity
One-third
of land
used
NZ’s
largest
fuel
laboratory
IPL