Channel Infrastructure NZ Limited/Announcement

FY22 Financial Results

Full Year Results23 February 2023CHIEnergy

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NZX RELEASE

24 February 2023
New business model delivers first profit and dividend for shareholders
Channel Infrastructure (CHI), New Zealand’s largest fuel infrastructure business based at Marsden Point in
Northland, has today released its financial results for the twelve-months ended 31 December 2022 (FY
2022).
Highlights
• Safely and successfully transitioned from refinery to terminal operations on 1 April 2022
• Conversion project remains to plan and to budget - with some 65% of the budget either spent or
committed, the project is significantly de-risked
• Reset cost of funding with successful retail bond issue completed in May 2022 and bank
refinancing completed in November 2022
• Transition to import terminal delivers first profit in three years
• New fuel demand outlook confirms stronger demand forecast for Channel Infrastructure over the
long term
• Return to dividends for shareholders, with a fully imputed final dividend of 5 cents per share and a
fully imputed special dividend of 2 cents per share (for 9 months of terminal operations)
Key Financial Results, including for the 9 months of import terminal operations

FY 2022
Continuing operations
EBITDA $57.5m
Net Profit before tax $23.1m
Dividend declared – final 5 cps
Dividend declared – special 2 cps
Discontinued operations
EBITDA $24.0m
Net Profit before tax $2.4m

Commenting, Chair James Miller said: “During 2022 we successfully reset to our new sustainable business
model, as New Zealand’s leading fuel infrastructure company. As a result, we have today reported the
Company’s first profit in over three years and recommenced a dividend for shareholders. With the
successful refinancing of debt lowering our cost of funding, the Company is well placed for the many
opportunities that exist for future growth.”

Commenting, CEO Naomi James said: “I’m proud that we have delivered in full on our commitments in
2022 and have successfully transitioned to our new business model, safely and to budget, while also
supporting our workforce through significant changes. We now have a company with a long-term
sustainable business model and a focused growth strategy.”
“The successful transformation of this business, the results we achieved in 2022, and the sustainable
business model we now have in place would not have been possible without the hard work and dedication
of the entire Marsden Point team. It has been a privilege to lead such a team over the last three years, and
I know that under Rob’s leadership the Channel Infrastructure team will continue to work hard to make the
most of the exciting growth opportunities ahead.”
Incoming CEO Rob Buchanan said “It will be my first priority to continue our focus on the safe, resilient and
efficient operation of the terminal, while delivering on the strategy already set out for the company, seeking
to grow shareholder value through continuing to optimise and grow our business following the
commencement of import terminal operations last year. The importance of Channel’s critical fuel
infrastructure has never been clearer, with the latest outlook for stronger future fuel demand and the New
Zealand Government’s package of fuel security measures requiring additional fuel storage, which presents
a great opportunity for our business. We have a big and exciting year ahead as we look to seize the
compelling opportunities ahead of us, and deliver further shareholder value from our Marsden Point site.”
Successful nine months of import terminal operations and new business model in place
On 1 April 2022, the business safely and successfully transitioned from refinery to terminal operations.
Channel Infrastructure has successfully completed nine months of terminal operations with 56 import
shipments discharged and over 2.2b litres of terminal throughput. With the closure of the refinery,
Channel’s Scope 1 and 2 CO2 emissions have reduced by over 98% and we received the first shipment of
sustainable aviation fuel through Marsden Point.
Through 2022, aviation demand had recovered to 70% of pre-COVID levels prior to the most recent weather
impacts. Diesel demand has remained strong and petrol demand recovered through the year as COVID
restrictions were lifted.
Channel Infrastructure successfully lowered its cost of funding, reflecting the reset of its business model to
an infrastructure company with stable earnings and cashflows, with the refinancing of the bank debt in
November 2022, together with the Retail Bond offer in May 2022.
The conversion project continues to track to plan and to budget, with project spend until the end of
December 2022 of $114 million. With some 65% of the budget either spent or committed, the project is now
significantly de-risked.
In addition to 180m litres of shared terminal capacity, over half of the almost 100m litres of contracted
private storage has now been commissioned, with the remainder anticipated to be available around mid-
2023. Additional terminal storage was contracted in the second half of the year, which is expected to deliver
c$25m of additional revenue over 5 years.
Focused on delivering Growth Opportunities with stronger fuel demand outlook
In November, the New Zealand government announced its package of fuel security measures, and detailed
policy design is currently underway focused on increasing the amount of fuels held in country to support
greater fuel supply chain resilience. With its tank capacity and pipeline direct to Auckland, Marsden Point
is well placed to support the incoming minimum Domestic Stockholding Obligation (DSO) and 70m litre
domestic diesel fuel reserve announced by Government to ensure New Zealand’s fuel security.
With more clarity around the COVID-19 recovery, late last year Channel Infrastructure sought to update its
future fuel demand outlooks prepared by fuel industry experts Hale & Twomey. The throughput of

Channel’s facilities is expected to change over time to meet changing consumer demands, with the shift to
electric vehicles, biofuels and continuing growth in aviation. With the latest update showing stronger
demand for jet fuel and diesel, this outlook confirms a clear path for long term utilisation of Channel’s jetties,
tanks, and pipeline direct to Auckland to supply increasingly renewable jet fuel and diesel to Auckland and
Northland, long in the future.
Commenting, Naomi James said: “Improving supply chain resilience is a priority for New Zealand. With jet
fuel demand forecast to recover from COVID impacts more quickly than previously expected, and to
continue to grow, it is critical for Government and industry to work together to implement the Government’s
fuel security package and address the outstanding recommendations of the 2017 RAP disruption incident”.
First Channel dividend will be paid less than a year after conversion
With a strong normalised Free Cash Flows and net debt to EBITDA ratio within the targeted range, the
Board today declared its first dividend as Channel Infrastructure. The Board have declared a fully imputed
dividend at 70% pay-out applied for 9 months of terminal operations, resulting in a fully imputed final
dividend of 5 cents and a fully imputed special dividend of 2 cents per share. The dividend declared implies
an annualised dividend yield of 6.5%. The dividend will be paid on 20 March 2023, with a record date of 10
March 2023.

Upgraded FY23 guidance provided in November 2022 confirmed
With funding costs reset and largely hedged in 2023 and long-term contracts indexed to PPI, Channel
Infrastructure is protected and benefits in the current inflationary environment. PPI indexation on revenue
is more than offsetting the inflationary impacts in the cost base, and with additional private storage
contracted, in November last year Channel upgraded its 2023 financial guidance. For 2023 revenue is
expected in the range of $125 million to $128 million and EBITDA guidance of $82 - $86 million, with an
indicative dividend range of 9 – 11 cents per share.

Conference Call
Channel Infrastructure’s Chief Executive Officer, Naomi James, Chief Financial Officer, Jarek Dobrowolski
and Incoming Chief Executive Officer Rob Buchanan, will give a presentation on the company's financial
and operational performance for FY2022 via a teleconference commencing on Friday 24 February at
11:30am NZT. Participants need to pre-register for the conference by navigating to this Link.

- ENDS -

Authorised by:

Chris Bougen
General Counsel and Company Secretary

Contact details
Investor Relations contact:
Anna Bonney
investorrelations@channelnz.com

Media contact:
Laura Malcolm
communications@channelnz.com
+64 21 02363 297

About Channel Infrastructure NZ
Channel Infrastructure is New Zealand’s leading fuel infrastructure company.
Channel Infrastructure owns critical infrastructure, supplying the Northland and Auckland markets, which
make up 40% of New Zealand’s liquid fuel demand and all of the jet fuel to Auckland International Airport.
Utilising the deep-water harbour and jetty infrastructure at Marsden Point, as well as 280-million litres of
storage tanks and the 170-kilometre pipeline from Marsden Point to Auckland, we receive, store, test and
distribute fuel owned by our customers. Channel Infrastructure’s wholly-owned subsidiary, Independent
Petroleum Laboratory Limited, provides fuel quality testing services at Marsden Point and around New
Zealand.
Channel Infrastructure is well positioned to support New Zealand’s changing future fuel needs, with growth
opportunities at the Marsden Point site including additional fuel storage to support fuel security, renewable
electricity supply through the Maranga Ra solar project, and work underway with customers and partners
on biofuel and hydrogen opportunities.
For more information on Channel Infrastructure, please visit: www.channelnz.com

---

Financial Results
For the 12 months ended
31 December2022
24 February 2023

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 ofterms 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 otherprofessional
adviser if necessary.
•In light ofthese 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 ofthe 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
announcement, 24 February 2023.
Important Information

Safely and successfully transitioned from refinery to terminal operations, with56import
shipmentsdischarged andover 2.2b litres of terminalthroughput
Conversion projectremainsto plan and budget -with 65% now spent orcommitted,
the project is significantly de-risked
New fuel demand outlook confirms stronger demand forecast for our infrastructure over the
long-term
Reset cost of funding with successful retail bond issuecompleted in May 2022 andbank
refinancing completed inNovember
Transition to import terminal delivers first profit in three years of $17m from continuing
operations (9 months of terminal operations)
Return to dividends for shareholders, with a fully imputed final dividend of5cents per share
and a fully imputed special dividend of 2 cps
3
Delivering on our strategy
3

Highlights and
Operating Update
Naomi James
Chief Executive Officer

5
All 2022 key priorities delivered
5

Strongsafety performancemaintainedPlanned workforce transition Significantly reduced environmental impact
•Zero Tier 1 or Tier 2 process safety incidents in 2022
throughrefinery decommissioning
•Small number of recordable injuries,which did not
involve significant harm,through significant
decommissioning and conversionprojectactivity
•Leading indicators actively monitored through
transition
•135employees at the end of 2022 (2021: 294),with
refinery decommissioning team to exitin 2023
•Key talent retained and increased genderdiversity
with23% women (up from 18%)
•97% of employees who have exited have found next
opportunitywithin 6 months
•Reduction in site emissions (Scope 1 & 2) by98%
(>1million tonnesof CO
2
per annum)
•Over 1,250 tonnesof decommissioning
wastematerials recycled
•30% reduction in legacy groundwater contamination
in the past 6 years
Strong safety and environmental record continues through transition
6
[1] Tier 1 Process Safety Event (API 754) –A tier 1 Process Safety Event (PSE) is an unplanned or uncontrolled release of any material, including non-toxic and non-flammable, from a process which results in one or more of the following: A LTI and/or fatality;A fire or explosion
resulting in greater than or equal to $100,000 of direct cost to the company; A release of material greater than the threshold quantities given in Table 1 of API 754 in any one-hour period; An officially declared community evacuation or community shelter-in-place
[2] Tier 2 Process Safety Event (API 754) –A tier 2 Process Safety Event (PSE) is an unplanned or uncontrolled release of any material, including non-toxic and non-flammable, from a process which results in one or more of the following: A recordable injury; A fire or explosion
resulting in greater than or equal to $2,500 of direct cost to the company; A release of material greater than the threshold quantities given in Table 2 of API 754 in any one-hour period
[3] TRIF –Total Recordable Injury Frequency per 200,000 hours (rolling 12-monthly average)
[4] NZ Business Leaders Health & Safety Forum Benchmark (injuries per 200,000 hrs)
Workforcetransition
0
2
4
6
20182019202020212022CONCAWE
Benchmark
2020
Health & Safety Performance
Tier 2 [2]Tier 1 [1]
TRIF [3]Benchmark [4]
0
125
250
375
500
2019202020212022
(Simplification)
(Refinery
closure)
0
200
400
600
800
1,000
1,200
1,400
2019202020212022Q4 '22
Annualised
CO
2
emissions (ktCO
2
)
Scope 1
Scope 2
(Simplification)
(Refinery
Closure)

7
Limited impacts from Cyclone Gabrielle
7
•Site well prepared ahead of arrival of Cyclone Gabrielle
•Stormwater systems have managed intensive periods of rainfall in recent months
•Coastal boundary and seawall resilient to storm surges –further review of coastal erosion management strategies planned for
this year following recent coastal erosion survey
•No significant impacts to terminal or decommissioned refinery assets
•Pipeline operations continued through cyclone event and import operations have resumed since
•Assessing schedule impacts to crude tank conversions from minor damage to roofing under construction, delays caused by
road closures
•Aerial inspections of the Marsden Point to Auckland pipeline undertaken following both the Auckland anniversary day floods
and Cyclone Gabrielle to identify areas at risk of land instability –physical inspections and remediation being undertaken where
needed
•Work to assess site resilience to extreme 4 degree warming scenario planned for 2023 to ensure robust long-term Asset
Management Plans are in place

Material progress made towards climate change targets
8
TARGET
Just Transition
At least 90% of employees
seeking new employment
find new roles, or have been
retrained, within 6 months
•Extensive program of workforce transition support
•97% of staff who left in 2022 have found their next opportunity
•Additional (decommissioning and transition-related) staff due to exit in 2023, with transition
support planned
97%
of employees in new
roles or retraining
within 6 months
Net Zero
Net Zero Scope 1 and 2
emissions by 2030
•Scope 1 and 2 emissions have reduced from 1,257,173 tonnesCO
2
in 2019 to 284,261 tonnes
CO
2
in 2022 andc.20,000tonnes(annualised) in Q4 2022-equivalent to a 98%reduction in
emissions following refineryclosure (over 1 million tonnesCO
2
p.a.)
•Almost 90% reduction in electricity consumption and no natural gas requirements -reducing
thermal generation demand
•Electricity RFI undertaken to explore long-term renewable electricity supply
98%
reduction in
Scope 1&2 emissions
>1MT CO
2
p.a.
Customer scope 3
emissions
Our infrastructure is
utilisedto support the
decarbonisationof the
transport sector and facilitate
Scope 3 emissions reduction
by 2030
•First SAF import received through Marsden Point in September 2022
•Hale & Twomey long-term fuel forecasts updated to include biofuels volumes for the first time
•FFIgreen hydrogen study investigating e-SAF production at Marsden Point
New Zealand’s first
shipment of Sustainable
Aviation Fuel delivered
through Marsden Point
PROGRESS TO DATE

Strong recovery from COVID fuel demand impacts through 2022
9
•Jet demand recovered to 70% of
pre-COVID levels prior to most
recent weather impact
•Diesel demand remained strong
throughout 2022
•Improving petrol demand as COVID
restrictions liftedand people return
tothe office
[1] Rolling 28-day average. Excludes Coastal Shipping volumes
1

0ML
100ML
200ML
300ML
Pre-conversionPost-conversion
Marsden Point fuel storage capacity (ML)
Shared
terminal
capacity
Private storage
commissioned
Private storage
underway
May 2022
Increasing assetutilisationand storage capacity as demand recovers
10
•Welcomed the largest refined product ship to ever be received in
New Zealand -STI LILY (LR2 vessel) capable of handling up to 120ML
•Terminal conversion delivering increased fuel storage capacity –
significant freight benefit for customers through terminal ullage
•Rigorous testing processes at Marsden Point identified off-spec
jetimport cargo in December, ensuring this fuel was not distributed
alongthe supply chain and limiting broader impacts
86% increase
•56 import shipments discharged at Marsden Point since
1 April 2022
•Product delivered to the Auckland and Northlandmarkets
inQ4 2022 up11% on previous quarter –highest since Q1 2020
•Significant pipeline capacity available to meet recoveringand
growing demand, with seasonal Q4 2022 utilisation at 78%
139
146
200
244
264
275
264
275
222
257
258
280
Pipeline and TLF volumes (ML)
JetDieselPetrol

-
50
100
150
FY21-FY22FY23FY24 - FY27FY32-34
$m
SpentCommittedRemaining
May 2022
Conversion project tracking to budget
11
•$114m project spend to the end of 2022
•Project is now significantly de-risked with c$143m (65% of
budget
[1]
) spent or committed/contracted
•Refinery decommissioning and workforce transition are now
substantially complete
•Successfully managed supply chain and inflation pressures with
limited draw on the contingency
•c.$30m spend moved from 2022 to 2023 (undrawn contingency
and some terminal upgrade workrescheduled to 2023)
Conversion cost phasing
Terminal conversion: $200-220m
Demolition (expected 10 years+): c.$50m
Allocation of Conversion Budget ($200 -$220m)
Shutdown & Decommissioning
Business &
Workforce Transition
Terminal Upgrade Projects
[1] Conversion project budget (opexand capex) of $200 to $220 million.

Shutdown and
Decommissioning
•Permanent decommissioning of refinery largely complete
•Waste equipment and materials removed for recycling,
re-use or appropriate disposal
•Cleaning of tanks for terminal operation
•Completed the first exports of residual crude and
inventory
•Final checks and handover of decommissioned plant
•Implement monitoring and inspection of
decommissioned facilities for 10-year period
•Complete cleaning of decommissioned tanks and
associated piping
•Export of remaining crude and inventory
•Siteclean up(other facilities)
Business &
Workforce
Transition
•Terminal staff transitioned to new contract terms and
conditions
•Extensive transition program to support exiting staff,
including career counselling and retraining
•Transitioned to simpler terminal IT systems (finance,
maintenance, inventory management, compliance)
•Fixed-term decommissioning staff exiting through
H1 2023
•Exiting staff will continue to have access to extensive
transition programmefor support in finding new roles
•Legacy refinery IT systems & infrastructure being
progressively shut down
Terminal Upgrade
Projects
•Upgrade of safety systems, control system and installation
of additive dosing facilities
•Reconfiguration of jetty facilities to provide greater
flexibility
•All shared storage commissioned
•Complete site utilities modifications
•Upgrade of tank fire fighting and secondary
containment systems
12
Conversion project well progressed
COMPLETED TO DATESTILL TO COME
Spent and committed
Remaining to be spent
Spent and committed
Remaining to be spent
Spent and committed
Remaining to be spent

May 2022
Over half of private storage commissioned, with new contracts adding additional revenue
13
•Over half of original contracted private storage commissioned with
c55ML of capacity available to date
•Two crude tank conversions, delivering a further c.45ML of
capacity,now well advanced
•Geodesic dome roofs under construction on site
•Tanksdue to be commissioned around mid-2023
•Assessing schedule impacts from supply chain disruptions,
abnormal levels of wet weather and Cyclone Gabrielle disruptions
•Contracted additional terminal storage during H2 2022
•Capital works (tank and linework modifications) with
anestimated cost of $7m
•New contract expected to deliver c.$25m of additional terminal
revenue over next 5 years-with c.$4m in 2023
Growth capex phasing
Private storage: $45-50m
Additional terminal capacity: c$7m
-
10
20
30
40
FY21-FY22FY23FY24 - FY27
$m
SpentCommittedRemaining

Jarek Dobrowolski
Chief Financial Officer
Financial Update

Transition to import terminal delivers first profit in three years of $17m
(from continuing operations)
Strong EBITDA margin from continuing operations of 65%, demonstrating improved financial
performance under the new operating model
Net assets up 5% from $1.33 to $1.39 per share
Successful retail bond issuecompleted in May 2022 andbank refinancing completed in
November2022 to reset cost of funding
Upgraded EBITDA guidance provided in November 2022 following PPI release and additional
terminal revenue contracted
With Net Debt to EBITDA
[1]
of 3.4x and strong cash flow generation, the Board recommenced
dividends with a fully imputed final dividend of 5 cents per share and a fully imputed special
dividend of 2 cps
1
5
Financial Highlights
15
[1] Based on annualisedreported EBITDA for 9 months of terminal operations

Import terminal delivers strong profit
Debt Maturity Profile
16
•Strong revenue delivered for 9 months of terminal operations, including $75m
[2]
terminal fees from new Terminal Services Agreements
•Operating costs reset for terminal business
•Strong EBITDA from ContinuingOperations of $57.5m
•Lower ongoing depreciation following the terminal asset useful lives’ review
•97% of end of year net debt fixed providing funding cost certainty
•Loss from discontinued operations reflective of the refinery run-down and conversion
costs
[1] The results from continuing operations include revenue from 9 months of terminal operations, and the associated operating costs,
as well as the results of Independent Petroleum Laboratory for the full financial year.
[2] Equivalent to take-or-pay fee under the Terminal Services Agreements of $100m p.a. (pre-indexation), pro-rated to 9 months.
Year ending 31 December 2022
[1]
($m)
Revenue88.2
Operating costs(30.7)
EBITDA57.5
Depreciation(24.6)
Financing costs (9.8)
Net profit before tax23.1
Income tax(6.5)
Net profit after tax from continuing operations16.6
Net loss from discontinued operations(4.6)
Net profit after tax12.0

33.9
36.4
5.0
2.7
4.5
5.7
Terminal fees - fixed
Terminal fees - variable
Terminal - Take-or-Pay top up
Private storage
Wiri lease
Laboratory testing and other
Revenue largely fixed with inflationary protections
Debt Maturity Profile
17
•Take-or-Pay commitments ($75m for 9 months) underpinned revenue while jet demand
continues to recover
•Take-or-Pay top up of $5m for 2022 –take-or-pay volume equivalent toc2.5 billion
litresfor 9 months (or 12% increase in 2022 volumes)
•Together with private storage fees and Wiri lease
[2]
, 94% of total revenue was fixed or
underpinned by Take-or-Pay commitments in FY22
•Almost 90% of FY22 revenue subject to PPI indexation in 2023
Revenue
[1]
(continuing operations)
($m)
[1] Includes revenue from import terminal fees and Wiri land and terminal lease income is for the period from 1 April to 31 December 2022,
and the revenue from laboratory testing is for the full financial year
[2] Wiri lease of $6m p.a. continues until February 2025 when the lease expires
Take-or-Pay &
fixed revenue

Electricity costs
•Electricity consumption reduced through transition:
•consumption of 25GWh over 9 months from 1 April to 31 December 2022
•c.$120/MWh fully hedged cost of supply in 2022
•Transmission and distribution chargesyet to reset fromrefinery levels –$4m
paid from 1 April to 31 December 2022
•Electricity supply for 2023 fully contracted at $215/MWh, and for 2024 c.2/3
hedged at c.$145/MWh
•Site derating confirmed in principle and awaiting new cost allocation ahead of 1 April
Other costs
•Labourcosts reflect c.70 import terminal staff and laboratory employees
[2]
•Inflationary pressures on labourand contractor costs (1/3 of total opex) managed
well
•Administration and other costs (including corporate and governance, insurance, rates,
facilities management, IT) are largely fixed and independent of activity levels or
terminal volumes
Operating costs reset for simpler terminal operation
18
Operating costs
[1]
(continuing operations)
($m)
[1] Includes operating costs of import terminal operations for the period from 1 April to 31 December 2022, and the costs of laboratory testing is for the full financial year
[2] Note, employees involved in refinery decommissioning and transition are included in conversion costs (refer to ‘Discontinuedoperations’and Provisions notes in the financial statements)
7.4
8.0
11.5
3.9
Energy and utility costs
Salaries, wages and benefits
Administration and other costs
Materials and contractor payments

Leverage remains within the targeted range
19
Net debt movement
•Strong cash flows generated from operations, funded more than 3/4
of conversion spend
•Net debt increased to $257m as expected with the conversion spend,
including $14m spent on closing out platinum leases in December 2022
•c.50% of $14m funding cost in FY22 related to bank interest cost and line fees
•Leverage at 3.4x
[4]
as at31 December, within the targeted range 3-4x
•Gearing at 33%
[5]
(vs covenants 55%)
[1] Includes operating and capital conversion costs (but excludes private storage capex which is included in growth capex).
[2] Platinum leases close-out, with recovery and sale of platinum expected to occur within 12 to 24 months.
[3] Includes $8m relating to continuing operations and $5.4m relating to discontinued operations, and excludes non-cash
financing costs (i.e.accrued interest and facility fees, discounting unwinding).
[4] Leverage calculated as Net Debt as at31 December 2022 to the annualisedEBITDA from continuing operations.
[5] Gearing calculated as Net Debt to Net Debt plus Equity as at31 December 2022.
257
82
184
102
14
10
15
14
-
50
100
150
200
250
300
Net Debt
FY21
Net Debt
FY22
Operating
Cashflow
Stay-in-
business
capex
Conversion
costs
[1]
Net
financing
[3]
Growth
capex
Platinum
[2]

•Diversified funding sources and extended tenor
•Successful $100m unsecured retail bonds issued in May2022
•Refinanced $205m of bank debt, achieving tenor spread across 3-5 years and a
reduction in bank funding cost
•Debt facilities of $380m withsignificant liquidity headroom available ($123m as at31
December 2022) –together with operating cash flows, this provides sufficient capacity
to fund the remainder of conversion costs and investment in private storage
•Expected debt will peak at around $70m to $90m above 31 December 2022 level in next
12-18 months
•97% of end of year net debt was fixed, with significant hedge protection in the following
years
•Cost of higher drawn debt in 2023 will be mostly offset by lower bank margins and lower
undrawn line fees
•Weighted average debt maturity (WADM) of c.3.5 years
[2]
Debt maturity profile as at 31 December 2022
20
[1] Nominal interest rate, excluding the amortisationof upfront bank fees and bond issuance costs.
Bank nominal interest rate represents a combination of bank margin and swap rate (note, drawn facilities
in excess of fixed debt are subject to floating interest rates, i.e.Bank Bill Rate).
[2] WADM calculated on the assumption that the subordinated notes are paid at their reset in March 2024.
Debt hedge
Successful reset in funding structure and costs
-
25
50
75
100
125
150
175
20242025202620272034
$M
Bank debtSubordinated notesRetail bonds
Subordinated
notes -
reset date
Subordinated
notes -maturity
date
5.1% p.a.
[1]
5.8% p.a.
[1]
3.5% p.a.
[1]
-
25
50
75
100
125
150
175
200
225
250
275
Jan 22Jul 22Jan 23Jul 23Jan 24Jul 24Jan 25Jul 25Jan 26Jul 26Jan 27Jul 27
$M
Subordinated notesRetail bondsInterest rate swaps

Previous
($m)
Updated
Nov ‘22
($m)
Terminal and other revenue116-120125-128
Operating costs36-4041-44
EBITDA76-8482-86
Depreciation3234-35
Financing costs
[2]
15-18c.16
Income tax payableNilNil
Stay-in-business capex
[3]
-c.8-10
Indicative Normalised Free Cash Flow46-6456-60
Indicativedividend range8 -11 cps9 -11 cps
FY23 EBITDA guidance range upgraded in November 2022
Indicative FY23 Financial metrics
[1]
21
[1] Guidance is for terminal operations (classified as continuing operations) and excludes discontinued operations
(i.e.one-off conversion cost opexand capex of $200-220 million), private storage capex ($45-50 million) and
additional terminal storage ($7m), with no change in guidance for these projects. Guidance also excludes any opex
and capex associated with new growth opportunities.
[2] Based on expected average level of borrowings of c.$300 million in FY23, debt hedge profile (refer previous page)
and current Bank Bill Rate (BKBM) for unhedged debt. Excludes capitalisedinterest, amortisationof upfront bank
fees and issue costs, and other non-cash financing costs (i.e.unwinding of interest associated with provisions)
[3] Previous capex guidance of $5-12m reflected a range of capex expected across the initial 10-year contract term and
excluded growth and one-off conversion capital expenditure
[4] Based on contracted electricity supply at an average cost of $215/MWh and assuming transmission and distribution
costs of $4m
[6] Includes Wiri assets’ depreciation of c$6m p.a. until early 2025.
FY23 guidance upgraded in November 2022
[1]
:
•$106.3m terminaltake or payfees,expect to remain atToPlevelsbased on forecast
aviation capacity
•Revenue reflects expected commissioning of remaining privatestorage tanks
(aroundmid-2023), additional terminal fees contracted andthe PPI impacts on
take-or-pay fees
•Operating and capital expenditure
[3]
guidance reflects expected higher electricity
prices
[4]
, anticipated activity and resourcing requirements and cost inflation
•Overall EBITDA uplift due to additional revenue contracted and inflationary value
accretion
•Depreciation
[5]
guidance also updated to reflect continuinginvestment in terminal
upgrades and private storagecapacity
•Financing costs
[2]
updated post the debt refinancing activities, equivalent to an
effective interest rate across all debt of c.5% to 5.5%

Strategy Update and
Outlook
Naomi James
Chief Executive Officer

Strategic priorities materially progressed in 2022
23
Leverage Existing CapabilityTransform to Deliver ValuePosition for Future Growth
Safe, reliable,
low-cost
operations
•Revised Safety Case for new
import terminal accepted by
WorkSafe
•New operating procedures and
management system changesin
placefor terminal business
model
Competitive
cost of capital
•Successful $100m inaugural bond
issued byChannel Infrastructure
•Completed bank refinancing with
significant capacity offered and a
reset in the cost of debt
•New Capital Allocation Framework
adopted to deliver both dividends
and growth with a focuson
increasing shareholder value
Support lower
carbon fuels
transition
•First Sustainability Report
published aligned to TCFD
reporting standards available on
our website (channelnz.com)
•New Zealand's first shipment of
SAF received through Marsden
Point
High
performance
culture
•Terminal organisationand
management team in place
•Strong capability retained for
terminal business and projects
Realise
Infrastructure
Value
•Refinery closure safely completed
to plan, conversion projects
progressing to plan and budget
•Operating under new Terminal
Services Agreements since 1 April
2022
Grow and
Diversify
•Private storage contracts
signed with approx. $9 million
p.a. revenue (in real terms) over
10 years
•Additional terminal storage
revenue contracted in H2 2022
with approx. $25 million revenue
expected over 5 years
•Over halfof private storage
capacitycommissioned

Strategic focus and priorities for 2023
24
Leverage Existing CapabilityTransform to Deliver ValuePosition for Future Growth
Safe, reliable,
low-cost
operations
•New long-term Asset
Management Plans in place to
manage investment across
thelife of our assets
Competitive
cost of capital
•Review options for $75m
subordinated notes due for renewal
in March 2024
•Release legacy value through sale
of surplus assets and inventory
Support lower
carbon fuels
transition
•Fortescue Future Industries (FFI)
to complete study of the potential
for hydrogen/ eSAFproduction
at Marsden Point
•Continue to assess SAF options
for Marsden Point
High
performance
culture
•Terminal operations and
Information Technology systems
simplified with new systems and
processes embedded and
effective
•Continueto build terminal culture
and capability
Realise
Infrastructure
Value
•Remaining private
storageandother contracted
capacitybroughtonline
•Complete refinery facility
decommissioning toplan and
budget
Grow and
Diversify
•UtiliseMarsden Point facilities
tosupport Government’s
70MLdomestic diesel fuel
reserveand minimum Domestic
Stockholding Obligation (DSO)
•Reduce electricity costs
throughlong-term supply
•Work withCustomers and
Government to improve fuel
resilience, aheadof expected
strong growthinjetfuel demand

Hale & Twomey fuel demand outlook updated with more detailed, bottom-up modelling
25
•Hale & Twomey long-term fuel
outlook
[1]
updated (last outlook
January2021
[2]
)
•First update since COVID recovery
pathwayhas become more clear
•Jet fuel forecastsutilisedlong-
termpassenger number forecasts developed
byDKMA
[3]
for Auckland International Airport
•Diesel forecasts have been
modelledseparately for each consumption
sector(Agriculture, Industrial,
Commercial,Residential, Transport &
Internationalshipping)
•Petrol forecasts have been modelled
byvehicle type (light passenger,
lightcommercial, motorbike, heavy transport
&buses) to more accurately
forecastelectrification shift based on
vehicleturnover rates and electrification
trends andfeasibility
•Biofuel volumes included for the first time
[1] Hale & Twomey modelling for petrol and diesel focused on NZ demand, whereas modelling for jet demand focused on Auckland consumption only (extrapolated to obtain NZ demand)
[2] 2023 forecast includes assumed SAF volumes, these were excluded in 2021 outlook
[3] DKMA: global airport market research consultancy
[4] From the scenarios’ dataset for the Commission's advice on NZ ETS settings for 2023-2027
[4]
[4]

Stronger demand expected for Channel’s infrastructure over the long term
26
•Updated Hale & Twomey fuel outlook confirms a
faster jet fuel demand recovery, and materially
higher jet and diesel demand over the long-term
•Strong growth in demand for jet fuel is
expected to continue reaching pre-COVID
levels by 2026
•Diesel substitution likely to take longer
than previously expected in some sectors
•Petrol demand declines as previously
forecast as light vehicle fleet electrifies
•Terminal revenue now estimated above Take-or-
Pay in 2025 as terminal volumes rise above c.3.4
billion litres, with every 0.1 billion litres volume
increasing revenue by c.$1.6m p.a. (pre-inflation)
•Existing Marsden Point to Auckland pipeline
capacity is sufficient to meet projected demand,
with growth in aviation fuels offset by decline in
land fuels
•Increasing volume of renewable fuels expected
through Channel’s infrastructure as biodiesel and
SAF
[1]
–which can utilise existing infrastructure –
enter the fuel mix
[1] The ‘Indicative renewables portion’ includes biodiesel volume
impact if a mandate was to be implemented as initially proposed
(now rescinded), and indicative SAF volumes (not provided by H&T)
aligned with Air NZ targets (10% by 2030, and along with zero-
emission aircraft contribute to 70% emission reductions by 2050)
[2] 2023 forecast includes assumed SAF volumes, these were
excluded in 2021 outlook.
[2]

Slower diesel substitution forecast
25
Petrol
•Hale & Twomey outlook for petrol demand to peak in near-term -reflecting increasing
electrification of the Light Vehicle fleet, and a gradual shift in travel behaviour
•Recent government incentives delivering faster electrification of light vehicle fleet
than previously anticipated. Outlook assumes electrification rate consistent with 2022
CCC modelling
•Marsden Point volumes anticipated to be c.5% higher if ethanol not utilisedin supply
mix
[1]
Diesel
•Hale & Twomey outlook for higher near-term and longer tail of demand for diesel than
previous outlook (2021)
•slower transition than petrol –electrification to commence in the light vehicle
fleet (utesand vans), followed by light trucks and buses
•diesel substitution more challenging in agriculture, fishing & forestry and heavy
transport sectors
•Biodiesel substitution possible -with second generation biodiesel utilisingexisting
infrastructure
[2]
.
[1] Modelling assumption: biofuels obligation implemented (mandate currently rescinded, but improved transport intensity
target remains) with ethanol blended at 10% into regular petrol, bypassing Channel’s infrastructure
[2] Modelling assumption: biofuels obligation implemented with renewable diesel blended into pool, utilisingexisting
infrastructure

Faster than expected recovery in jet fuel
28
•Initial recovery in demand more than just a temporary release
of ‘pent up travel demand’ from closed borders:
•near doubling
[1]
in Auckland jet fuel demand as borders
reopened from February 2022
•Auckland International Airport expects recovery in
passenger numbers to pre-COVID levels by 2025
•Aligned with Hale & Twomey, who expect jet demand to
return to pre-COVID levels by 2026, with lag reflecting
fleet fuel efficiency improvements
•Forecasts assume 25% of regional jet demand to be electric
by 2040, 10% of short-haul demand to be met by hydrogen by
2050 –limited impact on total jet fuel demand, which is driven
by long-haul and extra-long-haul flights
•SAF
[2]
identified as the primary solution for decarbonising
aviation –interchangeable with fossil jet and utilisingsame
infrastructure
[1] December 2022 vs. January-March 2022
[2] IndicativeSAF volumes (not provided by H&T) aligned with Air NZ targets (10% by 2030, and
along with zero-emission aircraft contribute to 70% emission reductions by 2050)
[3] 2023 forecast includes assumed SAF volumes, these were excluded in 2021 outlook.
[3]

Improving supply chain resilience is a priority for New Zealand
29
•Minimum domestic stockholding obligation (DSO) proposed by
NZ Government has a key role to play in improving resilience
•Fuel storage capacity has increased through transition from
refinery to import supply chain
•Marsden Point fuel storage capacity is higher today
than whenoperating as a refinery -65% increase in
diesel, 40% increase in jet
•More jet storage capacitywill be available once
additional contractedprivate storage is commissioned
later this year, with capacity to addmore
•With strong jet recovery from COVID impacts underway,
addressing 2019 RAP inquiry recommendations is now a
priority
•Recommendations sitting with Channel –to improve
surveillance along the pipeline and improve
communication with landowners, neighboursand the
community -have been completed

•In November 2022, the NZ Government announced its final resiliency
plan designed to ensure fuel supply resilience by holding more stocks
onshore
•Government procurement of 70ML strategic diesel reserve
•Minimum onshore fuel stockholding obligation for fuel
wholesalers
•MBIE currently consulting with industry on the final policy design, and
have issued RFI for 70ML Diesel reserve (storage and stock) that
Government intends to procure
•Marsden Point is ideally placed to support fuel resilience measures:
•working with government on accelerating the establishment of
70ML domestic dieselfuel reserve –timing & cost advantage
from existing tank capacity and high throughput terminal (enables
product turnover)
•potential need for increased storage capacity to meet minimum
stockholding policy and provide a resilient supply chain for
growing jet fuel demand
•Over 400MLof unutilisedtank capacity available at Marsden Point
Government fuel security measures represent a significant opportunity
30
c.40%
Tank
capacity
c.35%
Jetty
capacity
c.75%
Pipeline
capacity
Current Terminal Capacity Utilisation

•RFI undertaken seeking proposals for long-term supply
•Range of offers received –from physical supply, development of
Maranga Ra solar project, through to fully off-grid options
•Competitive interest for the provision of a long-term grid supplied
fixed price variable volume contract
•Expecting to determine optimal electricity supply strategy and
undertake a formal RFP to conclude arrangements during 2023
•Targeting $2+ million pa reduction in electricity costs (vs 2023)
•Focused on transmission and distribution cost savings opportunities
•De-rating of Marsden Point site confirmed by Transpowerin
principle, with new allocation of transmission costs to be
confirmed before 1 April (built into FY23 cost guidance)
•Reviewing all options to reduce costs including Transpower
revaluation of oversized connection assets, prudent discount
application and/or by-pass
RFI process has identified options for long-term electricity supply
31

Delivering to shareholders
•Dividend recommenced less than a year post-conversion –ahead of indications at the time of the August 2021
shareholder vote
•Strength of cash flows, de-risked conversion project, refinanced debt facilities and leverage within the targeted
range provided Board with confidence in returning to dividends from FY22
•Board approved Dividend policy (a pay-out of 60-70% of normalised Free Cash Flows, being adjusted for net cash
generated from operations less maintenance capex, excluding conversion costs and growth capex)
[1]
•Declared a fully imputed dividend (at top end of pay-out of 70% applied for 9 months of terminal operations) of:
•Final dividend of 5 cents,
•Special dividend of 2 cents.
•Implied (annualised) dividend yield of 6.5%
[2]
as at31 December 2022
•Dividend payable on 20 March 2023, with record date on 10 March 2023
•FY23 guidance implies anindicative dividend range of 9–11 cps, with targeted 40:60 split between interim and
final dividend
[1] The dividend policy is 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.
[2]Based on a dividend declared and annualised, and share price as at31 December 2022 of $1.43 per share
32

CEO transition
•CEO transition began November 2022 following the successful transition
to Channel Infrastructure
•Rob Buchanan will become CEO on 6 March 2023
•Rob Buchanan joined the team on 31 January 2023, with Naomi James
departing the company on 1 April 2023
33

3
4
2023 priorities
34
Safe, reliable, and cost-efficient terminal operation and maintenance
On-budget and on-time completion of the remaining conversion project works
Work with Customers and Government to improve supply chain resilience
Deliver on near-term growth opportunities (strategic diesel reserve, DSO, electricity)
Deliver increasing returns to shareholders through dividends in an inflationary environment

Q&A

Appendices

Continuing operations –H1 vs H2
Debt Maturity Profile
38
Year ending 31 December 2022
[1]
($m)
H1H2FY22
Revenue29.8 58.4 88.2
Operating costs(10.1)(20.6)(30.7)
EBITDA19.7 37.8 57.5
Depreciation(8.3)(16.3)(24.6)
Financing costs (3.6)(6.2)(9.8)
Net profit before tax7.8 15.3 23.1
Income tax(2.2)(4.3)(6.5)
Net profit after tax from continuing operations5.6 11.0 16.6
Net profit/(loss) after tax from discontinued
operations
11.6 (16.2)(4.6)
Net profit/(loss) after tax17.2 (5.2)12.0
[1] Results of continuing operations include revenue from import terminal fees and Wiri land and terminal lease income is for the period
from 1 April to 31 December 2022 and the revenue from laboratory testing is for the full financial year, and the associated operating costs.

Discontinued operations
Debt Maturity Profile
39
•Revenue received under Processing Agreements which concluded end March 2022:
•$47m processing fees
•$6mpipeline fees
•$17m of other refining income (including sulphur, natural gas and carbon
pass-through, Wiri income and other revenue)
•FY22 operating costs include $8m sulphur, natural gas and carbon pass-through
costs
•Conversion costs
[1]
include ongoing conversion costs offset by impact of discount
rate change on provisions
•Impairment / revaluation of assets (non-cash) reflects adjustment to residual values
as at31 December 2022
•Net finance costs includes non-cash conversion provision discount unwinding and
bank and subordinated notes interest cost for the three months to 31 March 2022
Year ending 31 December 2022
($m)
($m)
Revenue70.0
Operating costs(46.0)
EBITDA24.0
Depreciation and disposal costs(7.9)
Conversion costs
[1]
(3.0)
Impairment / revaluation of assets (5.0)
Net finance costs(5.7)
Net profit before tax2.4
Income tax(7.0)
Net loss after tax(4.6)
[1] Note that conversion costs have been largely provided for in the financial year 2021, with ongoing income statement impacts from costs not eligible for recognition as a liability
(noting that these costs are all within the overall conversion project budget of $200 to $220 million) and discount rate changes.

---

A business
transformed
Annual
Report
2022

Welcome To This Report
Annual Report Overview
This 2022 Annual Report outlines the operational
and financial
performance of Channel Infrastructure
NZ Limited, with the results reflecting the continuing
operations of the fuels' import terminal for the
nine months ended 31 December 2022 and the
discontinued operations of the refinery for the three
months ended 31 March 2022 . The transition to a
new business model during the 2022 year limits the
comparability of the current financial results with the
previous corresponding period. This Annual Report also
includes an overview of the Company’s Strategy and
Corporate Governance Framework and includes the
annual Remuneration Report.
In this report, references to “Channel Infrastructure”, the
“C
ompany”, the “Group”, “we”, “us”, “our” refer to Channel
Infrastructure NZ Limited (NZX: CHI), unless otherwise
stated. All dollar figures are in New Zealand (NZ) dollars
unless otherwise stated.
Channel Infrastructure has used non-GAAP (Generally
Accept
ed Accounting Principles) measures when
discussing financial performance in this report. The
directors and management believe that these measures
provide useful information as they are used internally to
evaluate business performance, to establish operational
goals and to allocate resources. Non-GAAP measures
are not prepared in accordance with New Zealand
International Financial Reporting Standards (NZ IFRS)
and are not uniformly defined, therefore the non-GAAP
measur
es reported in this document may not be
comparable with those that other companies report
and should not be viewed in isolation or considered
as a substitute for measures reported by Channel
Infrastructure in accordance with NZ IFRS. The non-GAAP
measures Channel Infrastructure has used are EBITDA,
EBITDA margin and Normalised Free Cash Flow (FCF).
The definitions of these can be found on page 104 of
this report.
Reporting Suite
The 2022 Annual Report is published in conjunction
with the 20
22 Sustainability Report which provides
information on our approach, progress and performance
in relation to Channel Infrastructure’s most material
environmental, social and governance (ESG) issues.
The Sustainability Report has been prepared having
regard to relevant climate and ESG reporting standards
including the recommendations of the Taskforce on
Climate-related Financial Disclosures (TCFD) and the
Global Reporting Initiative Standard (GRI): Core Option
and is also prepared in accordance with the NZX
Corporate Governance Code and ESG Guidance Note.
This Annual Report, the 2022 Sustainability Report and
Channel Infras
tructure’s Governance Statement together
form an integrated suite of reports and should be read
in conjunction with each other, and where possible, we
have drawn links between each. They are all available
for download at: www.channelnz.com, along with several
underlying documents and policies referred to throughout
this report.
Directors' Statement
The Directors are pleased to present Channel
Infras
tructure NZ Limited’s Annual Report and Financial
Statements for the year ended 31 December 2022.
This Annual Report is dated 23 February 2023 and is
signed on behalf o
f the Board by:
JB Miller
Chair of the Board
AM Molloy
Chair, Audit and
Finance Commit
tee

Feedback
As always, we welcome your feedback on this
r
epor
t. Please send any comments or suggestions
to investorrelations@channelnz.com
.
2
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Contents
About Us
4
2022 Highlights
8
Numbers at a Glance
10
Letter from the Chair
12
Letter from the CEO
16
Letter from the Incoming CEO
20
Our Strategy
22
Board of Directors
28
Corporate Leadership Team
30
Financial Commentary
36
Governance
44
Remuneration Report
48
Shareholder and Bondholder Information
56
Statutory Disclosures
62
Consolidated Financial Report
64
Glossary
104
Corporate Directory
105
3
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

About Us
WIRI FUEL TERMINAL
*
IMPORT TERMINAL SYSTEM (ITS)
Channel Infrastructure receives imported
refined fuel, owned by our customers to
supply 40% of NZ’s transport fuels.
Our Import Terminal handles
more transport fuels than the
10 terminals in the next three
largest ports in New Zealand,
combined.
Two deep water jetties capable of
berthing extra large refined fuel
transport ships (40% larger than
vessels at other NZ ports).
Marsden Point to Auckland
pipeline can transport
10 million litres of fuel per day.
Our pipeline is the
lowest-carbon supply route for
fuels to Auckland, with
one-tenth of the emissions
compared to the alternative
transportation via road.
170KM PIPELINE
Channel Infrastructure is New Zealand’s leading fuel
infrastructure company, based at Marsden Point in Northland.
We own and operate infrastructure essential to the supply of
transport fuels to Northland and New Zealand's largest fuel
market, Auckland.
OVERSEAS
REFINERIES
Transport fuels refined
overseas and imported
by our customers into
Marsden Point.
MARSDEN POINT
Throughput: Each year we
handle enough fuel to fill over
28,300 planes to LA.
More than 3 billion litres
of transport fuels annually.
280 million litres
of product storage.
New Zealand’s largest fuel testing
laboratory, IPL, a subsidiary of
Channel Infrastructure.
PETROL AND DIESEL
Distribution to Northland via
Truck Loading Facility.*
Our pipeline also supplies petrol and
diesel direct to Auckland, New Zealand's
largest market, keeping Aotearoa moving.
PETROL AND DIESEL
Channel Infrastructure is the only supply route
for jet fuel directly to Auckland International
Airport, which consumes 80% of New Zealand’s
jet fuel demand.
JET FUEL TO AUCKLAND
INTERNATIONAL AIRPORT
Long-term customer contracts,
with strong credit counterparts
bp, Mobil and Z Energy
(100% owned by Ampol).
Contracts with a fixed and variable fee structure
which both incentivises utilisation and protects
us from significant market disruptions.
PPI indexation of all terminal
fees which protects us in an
inflationary environment.
A COMPANY WITH A STRONG BALANCE SHEET, STABLE EARNINGS AND CASHFLOWS
SUPPLY INTO NORTHLAND
OUR CRITICAL INFRASTRUCTURE
SUPPLY INTO AUCKLAND
Marsden Point
Auckland
LARGEST FUEL TERMINAL IN NEW ZEALAND
Auckland’s fuel storage
facility with truck loading
facilities and a pipeline to
fuel storage at Auckland
International Airport.
*Not included in
Channel Infrastructure
import terminal system
4
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

About Us
WIRI FUEL TERMINAL
*
IMPORT TERMINAL SYSTEM (ITS)
Channel Infrastructure receives imported
refined fuel, owned by our customers to
supply 40% of NZ’s transport fuels.
Our Import Terminal handles
more transport fuels than the
10 terminals in the next three
largest ports in New Zealand,
combined.
Two deep water jetties capable of
berthing extra large refined fuel
transport ships (40% larger than
vessels at other NZ ports).
Marsden Point to Auckland
pipeline can transport
10 million litres of fuel per day.
Our pipeline is the
lowest-carbon supply route for
fuels to Auckland, with
one-tenth of the emissions
compared to the alternative
transportation via road.
170KM PIPELINE
Channel Infrastructure is New Zealand’s leading fuel
infrastructure company, based at Marsden Point in Northland.
We own and operate infrastructure essential to the supply of
transport fuels to Northland and New Zealand's largest fuel
market, Auckland.
OVERSEAS
REFINERIES
Transport fuels refined
overseas and imported
by our customers into
Marsden Point.
MARSDEN POINT
Throughput: Each year we
handle enough fuel to fill over
28,300 planes to LA.
More than 3 billion litres
of transport fuels annually.
280 million litres
of product storage.
New Zealand’s largest fuel testing
laboratory, IPL, a subsidiary of
Channel Infrastructure.
PETROL AND DIESEL
Distribution to Northland via
Truck Loading Facility.*
Our pipeline also supplies petrol and
diesel direct to Auckland, New Zealand's
largest market, keeping Aotearoa moving.
PETROL AND DIESEL
Channel Infrastructure is the only supply route
for jet fuel directly to Auckland International
Airport, which consumes 80% of New Zealand’s
jet fuel demand.
JET FUEL TO AUCKLAND
INTERNATIONAL AIRPORT
Long-term customer contracts,
with strong credit counterparts
bp, Mobil and Z Energy
(100% owned by Ampol).
Contracts with a fixed and variable fee structure
which both incentivises utilisation and protects
us from significant market disruptions.
PPI indexation of all terminal
fees which protects us in an
inflationary environment.
A COMPANY WITH A STRONG BALANCE SHEET, STABLE EARNINGS AND CASHFLOWS
SUPPLY INTO NORTHLAND
OUR CRITICAL INFRASTRUCTURE
SUPPLY INTO AUCKLAND
Marsden Point
Auckland
LARGEST FUEL TERMINAL IN NEW ZEALAND
Auckland’s fuel storage
facility with truck loading
facilities and a pipeline to
fuel storage at Auckland
International Airport.
*Not included in
Channel Infrastructure
import terminal system
5
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Long-term
renewable
electricity supply
Maranga Rā solar
project
Growth in
other terminal
infrastructure
Hydrogen
Sustainable
aviation fuel
Using less than
50% land and tank
capacity
35 year consents
for industrial site
operations
Large-scale
electricity and gas
connections
Deep-harbour
and jetty access
Proximity to
Auckland
177 ha of land
c. 400 million litres
unutilised tank
capacity
Sufficient pipeline capacity to
meet projected future demand.
CAPACITY FOR GROWTH
Import Terminal System and
Contracted Storage
Available for Redevelopment
Potential Renewable
Redevelopment
Proposed Maranga Rā
Solar Farm
JETTIES
NORTHPORT
MARSDEN POINT TO
AUCKLAND PIPELINE
POTENTIAL
RENEWABLE
DEVELOPMENT
OFFICES
OFFICES
PROPOSED
MARANGA RĀ
SOLAR
FARM
Significant land, tanks and facilities available for repurposing
MARSDEN POINT TODAYA GROWING RANGE OF TRANSPORT FUELS AND ENERGY CHOICES REQUIRES
INFRASTRUCTURE TO SUPPORT MORE RENEWABLE, SECURE TRANSPORT ENERGY.
The transition from refinery to import terminal operations has already delivered a
significant reduction in carbon emissions for New Zealand, and the future growth
opportunities that we are actively investigating will both grow and diversify our
earnings and support New Zealand’s transition to low-carbon fuels.
2035
Jet fuel
Diesel
Petrol
Marine fuel
Sustainable aviation fuel
Renewable gasoline
Renewable diesel
Hydrogen
Renewable electricity
As a provider of critical infrastructure, we have a focussed
growth strategy that will enable us to realise shareholder value
and support New Zealand's wider decarbonisation ambitions.
TO DAY
Jet fuel
Diesel
Petrol
Marine fuel
Expanding the Marsden
Point terminal
• NZ Government 70mL
domestic diesel reserve
• Minimum domestic
stockholding obligation
• Biofuel imports
• Other products
6
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Long-term
renewable
electricity supply
Maranga Rā solar
project
Growth in
other terminal
infrastructure
Hydrogen
Sustainable
aviation fuel
Using less than
50% land and tank
capacity
35 year consents
for industrial site
operations
Large-scale
electricity and gas
connections
Deep-harbour
and jetty access
Proximity to
Auckland
177 ha of land
c. 400 million litres
unutilised tank
capacity
Sufficient pipeline capacity to
meet projected future demand.
CAPACITY FOR GROWTH
Import Terminal System and
Contracted Storage
Available for Redevelopment
Potential Renewable
Redevelopment
Proposed Maranga Rā
Solar Farm
JETTIES
NORTHPORT
MARSDEN POINT TO
AUCKLAND PIPELINE
POTENTIAL
RENEWABLE
DEVELOPMENT
OFFICES
OFFICES
PROPOSED
MARANGA RĀ
SOLAR
FARM
Significant land, tanks and facilities available for repurposing
MARSDEN POINT TODAYA GROWING RANGE OF TRANSPORT FUELS AND ENERGY CHOICES REQUIRES
INFRASTRUCTURE TO SUPPORT MORE RENEWABLE, SECURE TRANSPORT ENERGY.
The transition from refinery to import terminal operations has already delivered a
significant reduction in carbon emissions for New Zealand, and the future growth
opportunities that we are actively investigating will both grow and diversify our
earnings and support New Zealand’s transition to low-carbon fuels.
FUTURE
Jet fuel
Diesel
Petrol
Marine fuel
Sustainable aviation fuel
Renewable gasoline
Renewable diesel
Hydrogen
Renewable electricity
As a provider of critical infrastructure, we have a focussed
growth strategy that will enable us to realise shareholder value
and support New Zealand's wider decarbonisation ambitions.
TO DAY
Jet fuel
Diesel
Petrol
Marine fuel
Expanding the Marsden
Point terminal
• NZ Government 70mL
domestic diesel reserve
• Minimum domestic
stockholding obligation
• Biofuel imports
• Other products
7
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Realising value of infrastructure
Available capacity
c.230ML
storage including
55ML private storage
commissioned
First profit in over
3 years
$17M
net profit after tax
(continuing operations)
-600
-400
-200
0
200
20182019202020212022
Net Profit After Tax
2022 Highlights
Nine months of terminal operations
Safe & reliable
Safely
transitioned

from refining to
import terminal
operations from
1 April
1.8
TRCF
(2021: 0)
56
Ships discharged
0
Tier 1 or 2 process
safety incidents
(2021: 2)
First year of sustainable earnings delivered
as a stable infrastructure company
8
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Sustainable
> 98%
Reduction in Scope 1&2
emissions following
refinery closure
>1MT CO2
per annum
97%
Of employees impacted
by the transition, in new
roles or retraining within
6 months
New Zealand’s
first shipment
of Sustainable
Aviation Fuel
delivered through
Marsden Point
Our transformational change in 2022 has set our business up
for a long-term sustainable future, with stronger than expected
growth in jet fuel demand underpinning the long-term utilisation
of our infrastructure.
Keeping Aotearoa moving
2,215ML
Delivered to market
from Marsden Point
Teminal in 9 months
to end of 2022
591ML
62% PCP
826ML
6% PCP
798ML
17% PCP
JET FUEL
DIESEL
PETROL
Pipeline utilisation
70%
Highest jet fuel demand since 2019
9
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Numbers at a Glance
Nine months of terminal operations
Sustainable financial performance
Strong cashflow and balance sheet
EBITDA
$57M
94%
Underpinned by
fixed or ‘take or
pay’ fees
88%
subject to
indexation
$88M
Terminal revenue
EBITDA MARGIN
65%
3.4
x EBITDA
97%
Debt fixed or
hedged
$257M
As at 31 December
2022
Net debtNet assets
$1.39
Per share
up 5%
Leverage
10
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Delivering to shareholders
The strong EBITDA margin and cashflow generation has given the
Board confidence to recommence dividend payments.
Final DividendSpecial Dividend
5
CPS Fully imputed
2
CPS Fully imputed
6.5%
Annualised Dividend Yield
11
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

James Miller
Chairman
Letter from
the Chair
12
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

During 2022 we successfully reset to our new
sustainable business model, as New Zealand’s
leading fuel infrastructure company. As a result
of our transition, the Company has reported a
profit and declared our
first
dividend to shareholders.
2022 was a year of huge change for our business, as we
deliver
ed on the outcomes of the 2020 Strategic Review,
safely transitioning from refinery to terminal operations.
Channel Infrastructure is a company that now has a
long-term sustainable business model, which can deliver
stable earnings with a focussed growth strategy to
continue to grow shareholder value.
We play a critical role in New Zealand’s fuels
infras
tructure supply chain, providing New Zealand’s
largest transport fuels storage capacity, and the only
supply route for jet fuel to Auckland International
Airport. The long-term contracts that we have
negotiated with strong credit counterparts, give us stable
earnings and strong Free Cash Flows. With our funding
costs now reset and terminal revenue indexed at PPI,
we are strongly placed in the current environment to
deliver strong and stable earnings and cash flow from
our business, underpinning our return to dividends this
year. Our change in operations has been supported
by our customers bp, Mobil, and Z Energy (100 per cent
owned by Ampol), and we are thankful for their support
as we worked together to make this major change in New
Zealand’s fuel supply chain.
Transition to a new Chief Executive
Officer following the business transition to
Channel Infr
astructure
Naomi James was appointed at the start of 2020 to
re
set the business on a path to deliver sustainable
returns to shareholders. Having successfully completed
the transition from Refining NZ to Channel Infrastructure,
in November last year the Board began the transition
from Naomi’s transformation-focused leadership to Rob
Buchanan. Rob has deep experience in the energy
and infrastructure sector and will continue to execute
and deliver on Channel Infrastructure’s strategy and
plan to drive the business forward. Rob’s extensive
experience and leadership style is ideal to continue
Channel Infrastructure’s journey to become a world-class
operator of terminal and pipeline assets, and position the
company to prosper in a decarbonising world.
13
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Naomi's leadership during the most difficult time in the
company’
s history was nothing short of first-class. I join
the entire Board in thanking Naomi for her dedication,
perseverance, and leadership of the company over the
past three years. Naomi joined us at a time of immense
uncertainty for the business. With her leadership,
the company undertook a comprehensive strategic
review to determine a long-term sustainable business
model, and successfully delivered the transformation to
Channel Infrastructure. Naomi leaves us with a long-
term sustainable business model in place, a range of
exciting growth opportunities ahead, and a talented and
committed team at Marsden Point.
Rob joined the team on 31 January 2023, and will take
o
ver as CEO from 6 March 2023. Following a hand-over
period, Naomi will depart the company on 1 April 2023.
A new business model requires different
skills at the Board table
Reflecting the Board’s commitment to strong and
e
ffective governance, we undertook a Corporate
Go
vernance Review in 2022 to update the company’s
corporate governance model, structures, and processes
to reflect
the transition to Channel Infrastructure and an
import terminal business.
With a different
business, also came the need for a new
set of skills around the Board table. Our Board requires
a focus on deep capability as a public company as well
as strategic experience in the fuel industry. Reflecting
this, we saw John Bourke, who brought particular refining
expertise to the Board, resign from the Board at the
Annual Shareholders Meeting. Following the completion
of the Corporate Governance Review, Simon Allen
stepped down as Chair from 1 July 2022. As the new
Chair, I want to take this opportunity to thank Simon
for leading the company through its fundamental reset
and John for the insights and experience he brought to
the Refining NZ Board as the company safely shut down
refining operations and converted to the import terminal.
In April 2022, we were joined by Andy Holmes, who has
ext
ensive fuel sector experience, and Anna Molloy, who
brings finance and audit experience to the Board. I am
confident we have a strong and capable Board who
have the right skill set to support our management team
and drive our strategy forward – seizing the growth
opportunities before us, providing the infrastructure to
support New Zealand’s decarbonisation, and lowering
our cost of capital.
Following on from the Corporate Governance Review, we
engaged Pr
opero Consulting in late 2022 to undertake
an evaluation review of the Board. This Propero review
provided valuable insights and recommended actions
as we continually strive for improvement in governance
performance and outcomes.
Increasing shareholder value,
re
commencing dividends and focused
growth opportunities
During 2022 we announced our capital allocation
frame
work to grow shareholder value by delivering
both dividends and growth. With the stability that now
comes from our long-term contracts, and the confidence
the transition is running to plan, we have returned to
dividends with a policy of paying out 60 to 70 per
cent of normalised Free Cash Flows. This leaves us with
30 to 40 per cent for deleveraging and growth. We
have declared our first dividend as Channel Infrastructure
being a fully imputed final dividend of 5 cents per share
and a fully imputed special dividend of 2 cents per share,
representing a pay-out at the top end of the dividend
policy range. The dividend will be paid on 20 March 2023,
with a record date on 10 March 2023.
With the refinancing
of our bank debt in November
2022, together with the Retail Bond offer in May
2022, we have been successful in lowering our cost
of funding, reflecting the reset of our business model
to an infrastructure company with stable earnings and
cash flows. This refinancing programme has established
Channel Infrastructure’s strong presence in both bank
and bond markets, which will support future growth
plans and provide opportunity to continue to lower the
Company’s cost of capital.
Channel Infrastructure is
a company that now has
a long-term sustainable
business model, which can
deliver stable earnings with
a focused growth strategy to
continue to grow shareholder
value.
14
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

The Board and Management are also focussed on
gro
wing shareholder value through the delivery of growth
opportunities. We have already contracted private
storage that is expected to deliver c. $9 million (real)
per year over the 10-year contract term, and additional
terminal storage revenue was contracted in late 2022
and is expected to deliver c.$25 million of additional
revenue over the next five years. Furthermore, we are
progressing our plans to reduce electricity costs through
long-term supply, and to use our Marsden Point site
to support the Government’s planned 70 million litre
strategic diesel reserve.
Our strategy is clear, and we are excited by the future
opportunitie
s for growth that utilise the highly strategic
assets and infrastructure of our business, in the near to
medium term.
Well-placed in the current
inflationary environment
W
ith our funding costs reset and our long-term contracts
index
ed to PPI, we are protected and benefit
in
the current inflationary environment. PPI indexation on
re
venue is more than offsetting the inflationary impacts
we are seeing in our cost base. The continued execution
of our growth strategy including the contracting of
additional terminal storage, allowed us to update our
detailed 2023 financial guidance in November last year.
For 2023, we are expecting revenue in the range of
$125 - $128 million (previous guidance: $116 - $120 million)
and EBITDA guidance increased from $76 - $84 million to
$82 - $86 million, increasing the indicative dividend range
from 8 –11 cents per share to 9 –11 cents per share.
Thank you shareholders
Your Board appreciates the continued support of
shar
eholders' throughout the Strategic Review and reset
of the fundamentals of this business.
With this period of change now behind us, and
the recommencement o
f dividends, we would like
to acknowledge shareholders patience and support
through this time and to thank you for your loyalty.
In a year when the NZX50G
index declined 12%, it was
extremely pleasing that our
new business model and
delivery of strategic initiatives
resulted in a 52% share price
increase in 2022, following
the 71% increase in 2021. We
can now look to the future with
confidence.
15
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Naomi James
Chief Executive Officer
Letter from
the CEO
16
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

I’m proud that we have delivered on our commitments to
you in 2
022 and have successfully transitioned to our new
business model, safely and to budget, while also supporting our
workforce through significant change. We now have a company
with a long-
term sustainable business model and a focussed
growth strategy.
When I joined the business in 2020, we had a huge
challenge ahead of us as w
e embarked on the Strategic
Review to determine the best way forward for the
business. The Refining NZ business model was no longer
a sustainable option. This was evident through the
period of historically low refining margins, with structural
challenges to the competitiveness of the refinery
compared to newer and larger Asian refineries, high costs
of operating in New Zealand (including high electricity,
gas and carbon costs) and the strong preference of
our customers to move to a more competitive import
supply chain.
Not only did we successfully complete the extremely
challenging and complex job t
o transition from Refining
NZ to Channel Infrastructure, but we now have a long-
term sustainable business model in place, alongside a
range of exciting growth opportunities ahead. With this
significant transformation complete and a clear strategy
in place, now is the right time to transition to a new CEO
with deep experience in the energy and infrastructure
sector to take the new business forward. I am excited to
be shortly handing over to Rob Buchanan, on 6 March
2023. I know Rob well, and I know he will be a good
fit
to take the business forward and to seize the growth
opportunities ahead of this great company.
New business model delivers
impro
ved financial performance
Revenue from continuing operations was $88 million
reflecting the
first nine months of terminal operations. On
1 April 2022, the long-term Terminal Services Agreements
with customers bp, Mobil and Z Energy commenced, with
fixed and minimum fee components, which supports debt
funding of the conversion costs and allows time for a
recovery in jet fuel demand from COVID-19 impacts. The
strength of these contracts is reflected in the fact that 94
per cent of total revenue from continuing operations was
fixed or underpinned by “take-or-pay” fees and almost
90 per cent of revenue was subject to annual PPI-based
indexation. Channel Infrastructure has delivered its first
profit of $17 million in three years from continuing
operations, reflecting the improved financial profile of
the business. The strong EBITDA margin of 65 per cent
and strong cash flow generation have given the Board
confidence to now recommence dividend payments.
17
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Successful nine months of import
terminal oper
ations
Channel Infrastructure successfully completed nine
months of t
erminal operations. Imported fuel of 2,215ML
has flowed through our terminal infrastructure in its
first nine months of operation and been delivered to
Auckland and Northland markets as planned.
I’m proud to say that we are well-progressed with
completion o
f conversion project works. Following many
months of extensive planning and preparation, our
capable team safely ran the refinery to shutdown,
transitioned to import terminal operations and
collaborated with customers to establish new ways of
working while also supporting our staff and community
through this significant change. Now, almost a year
on, we remain on plan and to budget and with some
65 per cent of the budget either spent or committed,
the project is significantly de-risked. While works remain
ongoing on site, the most
significant activity will conclude
mid-2023 with the commissioning of remaining private
storage capacity.
Undertaking this highly complex transition safely and to
plan is a credit t
o our entire team at Marsden Point and
something we are all very proud of.
In late December, rigorous testing processes at Marsden
Point
identified an off-specification jet import cargo and
ensured this fuel was not distributed further along the
supply chain. This incident highlighted the importance
of there being minimum stocks in country at any time
to provide an adequate buffer to potential supply
disruptions. We continue to work with our customers and
Government on steps to improve supply chain resilience.
Environmental & social responsibility
Our 2022 Sustainability Report provides an update on
how w
e are making significant progress against all of the
ambitious sustainability targets we set for ourselves and
what our future priorities will continue to be. We have
delivered on our commitment to significantly reduce our
direct emissions. We are also supporting our customers,
who can now access lower carbon fuel options, to bring
down their emissions. Throughout we have been working
hard to ensure the highly skilled and dedicated workforce
who were impacted by our transformation had access
to the support they need for their own transition to new
opportunities outside of the business. I am proud that
following an extensive programme of workforce transition
support, 97 per cent of those who have left the business
have been supported into their next opportunity.
Growth opportunities
As an infrastructure provider, Channel Infrastructure has
a critical role t
o play in New Zealand’s energy transition
and our new business model has already opened up a
number of growth opportunities.
As of today, we have commissioned over half of our
exis
ting private storage commitments, with the rest
set to come online later this year which will increase
fuel storage capacity at Marsden Point by 45 million
litres. This important work is offering customers more
opportunity for onshore fuel storage, which is critical to
building New Zealand’s supply chain resilience.
The New Zealand Government has now commenced an
RFI to s
eek proposals for a 70ML domestic diesel fuel
reserve for New Zealand, providing further opportunity
to make use of the significant unutilised storage
capacity that exists at Marsden Point. The New Zealand
Government is also working on the implementation of a
new minimum Domestic Stockholding Obligation (DSO)
for the fuel industry, which we anticipate will generate
additional storage requirements. Our work to secure
affordable, long-term electricity supply for Marsden Point
and explore the potential for future sustainable aviation
fuel and hydrogen production is also progressing.
With more clarity around the COVID-19 recovery, late
last y
ear we began the process of updating our fuel
demand forecasts. The updated Hale & Twomey fuel
outlook, outlined in more detail in our Sustainability
Report, confirms a faster jet fuel recovery and more
persistent jet and diesel demand than previous forecasts.
Terminal revenue is now estimated to be above take-
or-pay levels from 2025 as terminal volumes rise above
c.3.4 billion litres. Every additional 100 million litres of
throughput increases revenue by an estimated $1.6 million
per annum (pre-inflation).
18
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

The updated fuel demand outlook includes biofuels
for the
first time and an updated assessment of the
decarbonisation pathway for fuel. Petrol demand is
expected to peak and start to decline in the near-
term with more electric vehicles and use of biofuels.
Diesel will transition more slowly, with a gradual increase
in biofuels and the electrification of light commercial
vehicles and buses, with the transition of heavy transport
to electric and hydrogen expected to take longer. The
decarbonisation of the aviation industry is expected to
largely be driven by the gradual substitution of petroleum
jet fuel with Sustainable Aviation Fuel. Importantly,
second-generation renewable fuels, including SAF and
biodiesel, are drop-in fuels that can be handled by
Channel’s existing infrastructure, and the changes in
expected fuel demand mean that over time, the volume
of renewable fuels being handled through Channel’s
infrastructure is expected to grow and make up an
increasing proportion of our throughput.
As you have seen over the last three years, the team
at Mars
den Point are highly capable and dedicated,
and I know that under Rob Buchanan's leadership of the
business, they will work hard to make the most of the
growth opportunities ahead of this company.
Thank you
As my time with this great business draws to a close,
I want t
o pay tribute and thank the many partners,
stakeholders, shareholders, lenders and customers who
have been on this journey of transformation with us. Your
support has been critical to making this transition
a success.
I want to thank and acknowledge our Board for their
const
ant support and guidance for me over the last few
years. I especially want to thank everyone working at
Marsden Point, both past and present, for their work in
helping to transform Channel Infrastructure and to set up
this business for a strong and exciting future ahead. I am
proud to have worked alongside all of you, thank you.

The successful transformation
of this business, the results we
achieved in 2022, and
the sustainable business model
we now have in place would not
have been possible without
the hard work and dedication
of the entire Marsden Point
team, who have given this
business their all each and
every day.
19
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Rob Buchanan
Incoming Chief
Executive Officer
Letter from the
Incoming CEO
20
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

I am delighted to be joining Channel Infrastructure
at this important time.
Since joining at the end of January 2023, I have been
impre
ssed with the clear vision and the highly capable
team at Channel Infrastructure, who are working hard to
deliver on our plans for the future. The business is in great
shape, and it’s a real tribute to our outgoing CEO, Naomi
James, and the wider team at Channel Infrastructure,
who have worked hard to transform the company during
an extremely challenging period of time.
Going forward, I’m delighted to be working alongside the
team at Mar
sden Point, as we leverage the company’s
highly strategic and critical infrastructure in order to
capture the significant opportunities ahead of us.
It will be my first
priority to continue our focus on
safe, resilient and efficient operation of the terminal
while delivering on the strategy already set out for
the company, seeking to grow shareholder value
through continuing to optimise our business following
the commencement of import terminal operations last
year, while delivering on our aspiration to be a world-
class terminal.
Our business plays a critical role in New Zealand’s
fuels infras
tructure supply chain, providing New Zealand’s
largest transport fuels storage capacity, and the only
supply route for jet fuel to Auckland Airport. We are
committed to supporting our customers and the New
Zealand Government with domestic fuel storage which
provides a buffer in the event of supply chain disruptions.
In addition to this we will begin the next phase of
Channel Infras
tructure’s growth plans, looking to support
both the integrity of New Zealand’s fuel security of supply
and the decarbonisation of the fuels' supply chain.
The opportunities for Channel Infrastructure to leverage
its unique and highly s
trategic asset base as New
Zealand navigates the energy transition are significant
– and I’m really excited to be part of bringing our plans
to fruition in coming years.
We have a big and exciting year ahead as we look
to s
eize the compelling opportunities ahead of us, and
deliver further shareholder value from our Marsden Point
site. I am looking forward to meeting you at our
upcoming Annual Shareholders' Meeting in April.
21
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

We are here to keep Aotearoa
New Zealand’s economy moving
through an era of change, and
as New Zealand moves towards
a lower-carbon future, our
infrastructure will be essential as
New Zealand’s fuel and energy
needs evolve.
Our Strategy
22
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

New Zealand’s leading fuel infrastructure company
OUR VISION
Delivering infrastructure to sustainably meet
New Zealand’s transport energy needs
OUR PURPOSE
Strategic framework
Figure 1: Channel Infrastructure NZ Limited’s Strategic Framework
OUR VALUES
One TeamHonesty
Innovation
Care
OUR STRATEGIC PRIORITIES
Safe, reliable, low
cost operations
High performance
culture
Competitive cost
of capital
Realise
infrastructure
value
Support lower
carbon fuels
transition
Grow and
diversify
Strong safety
systems and
culture
Continuous
improvement
Asset
management
Strong
performance
management
Change-ready
Future focused
More reliable
dividend payout
Diversify access to
capital markets
Leverage the
balance sheet
Realise value
of existing
infrastructure
through import
terminal
conversion
Leverage existing
infrastructure
Marsden Point
energy hub
Strategic storage
Repurposing
Marsden Point site
Supply chain
optimisation
Leverage existing capabilitiesTransform to deliver valuePosition for future growth
23
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Strategic Priorities
To achieve our vision, we have a strong plan to leverage
our exis
ting capabilities through the delivery of safe,
reliable, low-cost operations and by embedding a high-
performance culture.
As a business, we are transforming to deliver value
by oper
ating with a competitive cost of capital while
realising the full value of our infrastructure. And, we are
positioning for future growth.
We are committed to using Channel Infrastructure’s highly
str
ategic assets and transport energy infrastructure, to
support resilient and secure fuel supply for New Zealand
now, and into the future as fuel needs change.
Our Capital Allocation Framework (refer Figure 2), sets out
how the C
ompany will utilise its strong cashflow to deliver
dividends to shareholders while also investing in growth.
Figure 2: Capital Allocation Framework
Returns to shareholders
Deleveraging
Focused Growth
Dividend Policy of
60-70% of free cash
flow (excludes growth
capex)
Long-term contracts
delivering strong cash flow
Target leverage of 3-4
times EBITDA
Shadow BBB+ rating
Criteria for investment:
• above WACC return
on investment
• customer contracts
that provide
revenue certainty
24
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Delivering on our Strategic Plan
In 2022, significant progress was made to deliver on our strategic priorities and we have a clear plan for continuing our
journey t
o grow and improve our business in 2023 as set out below:
STRATEGIC PILLAR2022 HIGHLIGHTSOUR FOCUS FOR 2023
Leverage Existing Capability
Safe, reliable, low-
cos
t operations
Revised Safety Case for new import
terminal accepted by WorkSafe
New operating procedures and
management system in place for
terminal business model
New long-term Asset Management
Plans in place to manage
in
vestment across the life of
our assets
High performance
culture
T
erminal organisation and management
team in place
Strong capability retained for terminal
busine
ss and projects
Terminal operations and
Information T
echnology systems
simplified with new systems and
processes embedded and effective
Continue to build terminal culture
and capability
Transform to Deliver Value
Competitive cost
of capit
al
Successful $100
million inaugural bond
issued by Channel Infrastructure
Completed bank refinancing
with
s
ignificant capacity offered and a reset
in the cost of debt
New Capital Allocation Framework
adopt
ed to deliver both dividends and
growth with a focus on increasing
shareholder value (Refer to Figure 2)
Review options for $75 million
subor
dinated notes due for renewal
in March 2024
Release legacy value through sale
o
f s
urplus assets and inventory
Realise
infra
structure
value
Refinery closure safely completed to
plan, con
version projects progressing to
plan and budget
Operating under new Terminal Services
Agr
eement
s since 1 April 2022
Remaining contracted private
st
orage brought online
Complete
refinery
facility
decommissioning to plan
and budget
25
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

STRATEGIC PILLAR2022 HIGHLIGHTSOUR FOCUS FOR 2023
Position for Future Growth
Support
low
er carbon
fuels transition
First Sustainability Report published
aligned to TCFD reporting standards
available at www.channelnz.com
New Zealand's first
shipment of SAF
received through Marsden Point
Fortescue Future Industries (FFI) to
complet
e study of the potential
for hydrogen production at
Marsden Point
Continue to assess SAF options for
Mars
den Point
Grow and diversify
Private storage contracts signed with
appr
o
ximately $9 million per annum
revenue (in real terms) over 10 years.
Additional terminal storage revenue
contract
ed in H2 2022 with approx
$25 million revenue expected over
five years
Over half of contracted private
st
orage commissioned
Utilise Marsden Point facilities
to s
upport the Government’s
70 million litre domestic diesel fuel
reserve and minimum domestic
stockholding obligation
Reduce electricity costs through
long-t
erm supply
Work with customers and
Gov
ernment to improve fuel
resilience, ahead of expected
strong growth in jet fuel demand
26
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Climate Targets
We have also made considerable progress on our climate targets and this work will continue in 2023 (refer to
Sust
ainability Report at www.channelnz.com).
TARGETPROGRESS TO DATE
Just Transition
At least 90 per cent of employees
seeking ne
w employment find new roles,
or have been retrained, within six months
Extensive programme of workforce
transition support
97 per cent of staff who have left
have found their next opportunity
Additional (decommissioning and
trans
ition-related) staff due to
exit in 2023, with transition
support planned
Net Zero
Net Zero scope 1 and 2 emissions by 2030Scope 1 and 2 emissions have
reduced fr
om 1,257,173 tonnes
CO
2
in 2019 to 284,621 tonnes
CO
2
in 2022 and are forecast to
reduce further in 2023 - equivalent
to a 98 per cent reduction in
emissions following refinery closure
(over 1 million tonnes CO
2
p.a.)
88 per cent reduction in electricity
consumption and no natural gas
requirements -reducing thermal
generation demand
Customer scope
3 emis
sions
Our infrastructure is utilised to support
the decarbonisation o
f the transport
sector and facilitate scope 3 emissions
reduction by 2030
Discussions held with customers
on infrastructure to support
biofuels mandate
First SAF import received through
Mars
den Point in September 2022
Continuing to discuss Air NZ/MBIE
SAF f
easibility study with Air NZ
FFI green hydrogen study
in
v
estigating e-SAF production at
Marsden Point
27
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Board of
Directors
28
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

QUALIFICATIONTENURECOMMITTEES
James Miller
Chairman
BCom
FCA
4 yearsIndependent
Direct
ors (Chair)
Audit & Finance
Health, Safety,
Envir
onment
& Operations
People & Culture
Andrew Holmes
Director
BSc (Hons)
MBA
10 monthsIndependent Directors
Health, Safety,
Envir
onment
& Operations
People & Culture
Lindis Jones
Director
BCom (Hons)
BSc
MFin
5 yearsAudit & Finance
Health, Safety,
En
vir
onment
& Operations
Anna Molloy
Director
BEng
BCom
CFA
10 monthsIndependent Directors
Audit & Finance (Chair)
Health, Safety,
Envir
onment
& Operations
Lucy Nation
Director
BEng
Grad Dip.
Applied Finance
and Inv
estment
2 yearsHealth, Safety,
Environment
& Operations
People & Culture
Vanessa Stoddart
Director
BCom/LLB (Hons)
PGDip
Pr
ofessional Ethics
9 yearsIndependent Directors
Health, Safety,
Envir
onment
& Operations
People & Culture (Chair)
Paul Zealand
Director
BSc (Hons)
MBA
6 yearsIndependent Directors
Audit & Finance
Health, Safety,
Envir
onment &
Operations (Chair)
29
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Corporate
Leadership
Team
30
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Naomi James
CEO
LLB (Hons), MLM
Naomi has led the Company through the comprehensive Strategic Review,
and deliver
y of the successful transition to the import terminal. With the
transition now completed, and the new, sustainable business model in place,
Naomi will depart the Company on 1 April 2023 after a period of handover with
incoming CEO Rob Buchanan.
Naomi has been committed to delivering on Channel Infrastructure’s focussed
gro
wth strategy, supporting customers with their fuel needs and contributing
to New Zealand’s decarbonisation efforts. At the same time, a personal
priority for Naomi has been to lead engagement with staff and support them
on their own personal transitions.
Prior to joining Refining
NZ in 2020, Naomi was Executive Vice President at
Santos Ltd, one of Australia’s largest independent oil and gas producers. Prior
to Santos, she held leadership roles in steel and iron ore businesses.
Rob Buchanan
Incoming CEO
B.Com, M.Bus
Rob will take over as CEO on 6 March 2023, having joined the Company on
31 January for a period of handover.
Rob was previously GM Growth & Trading at Manawa Energy, New Zealand’s
large
st independent renewable electricity owner and developer, where as part
of the executive leadership team he had responsibility for the company’s
renewables development, energy trading and commercial and industrial
sales functions.
With a passion for helping energy and infrastructure companies create value
while navigating challenging str
ategic issues and changing industry dynamics,
Rob is excited about taking forward the company’s plans for growth, which will
deliver further value to Channel Infrastructure’s shareholders.
Prior to Manawa Energy, Rob had an almost 20-year career in investment
banking, advising companie
s in New Zealand, Australia and Europe most
recently as Head of Mergers & Acquisitions at Forsyth Barr in New Zealand.
Prior to this Rob worked in the investment banking business of ABN AMRO
Bank, working across Australasia and Europe.
Rob holds a Bachelor of Commerce and Master of Business (with Distinction)
from the Univ
ersity of Otago, and has completed an Executive Certificate in
Management and Leadership from the MIT Sloan School of Business.
31
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Chris Bougen
General Counsel and
Compan
y Secretary
LLB (Hons), LLB, LLM
Chris is responsible for all aspects of the Channel Infrastructure Group’s legal
affairs and company secretarial functions.
Throughout the Strategic Review, Chris was heavily involved in the
prepar
ations for Refining NZ’s transition to Channel Infrastructure, including
securing the overwhelming support of shareholders for this change, putting in
place the long-term import terminal agreements with customers and leading
the corporate restructure of the new business.
Chris is looking forward to supporting future growth in the business.
Chris joined Refining NZ in 2020 and has extensive experience in both private
pr
actice and in-hous
e corporate and commercial legal roles across the energy
and heavy industrial sectors in New Zealand, with experience advising on a
wide range of commercial matters as well as providing legal support for major
corporates on governance matters.
Jarek Dobrowolski
Chief Financial Officer
MSEcon
Jarek is responsible for finance, investor relations, treasury, taxation, audit and
ass
urance, IT, procurement, and insurance.
Jarek was appointed Chief Financial Officer on 1 April 2022 after six years
with Refining NZ in the roles of Financial Controller and Corporate Finance
Manager
, during which time he played a key role in the corporate and
financing aspects of the transition from refinery to terminal operations.
As well as the delivery of the conversion project on budget, Jarek’s focus is
on completing our IT s
ystem's transformation, releasing legacy value from the
balance sheet and continuing to reduce our cost of capital.
Jarek is a Chartered Accountant (ACCA) and prior to joining Refining NZ he
work
ed for a leading audit firm.
Caz Jackson
Chief People Officer
BA
Caz is responsible for human resources, organisational capability and
w
orkf
orce transition.
Caz joined Refining
NZ in 2020 and has had a crucial role to play in supporting
Channel Infrastructure’s people through the business transition of the past
two years, including leading the delivery of one of the Company’s key
performance metrics, to ensure that those leaving the business have secured
their next opportunity.
Caz has over 25 years’ experience in human resources and general
management experience f
ocussing on change management, high
performance cultures, staff development and employee engagement. She
has held senior management roles in a range of industries including FMCG,
construction and financial services.
32
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Phil Jones
GM Projects
BE(Mech)
Phil Jones joined us to lead the preparation for the terminal conversion works,
and now leads our pr
ojects and decommissioning team, with responsibility for
conversion projects across the business.
Phil has a wealth of experience with industrial infrastructure projects having
led the way thr
ough the full project lifecycle from design, development,
operation and optimisation, of many facilities throughout Australia. Phil has
spent the last 20 years in senior positions in operations and engineering for
major industry leaders in bulk liquid storage and distribution.
Phil has qualifications in engineering, process control and extensive
experience in haz
ardous area certification and management.
With the conversion project progressing as planned, Phil is excited about
seeing the C
ompany’s plans brought to life, and in implementing the new
processes and procedures required to make our terminal succeed.
Steve Levell
General Manager IPL
DipEng, CMS
Steve is responsible for leading the Independent Petroleum Laboratory (IPL)
busine
ss and has led IPL through the transition in its biggest customer which
had been Refining NZ. IPL’s changes included resetting the testing focus to
support the importation of refined and alternative fuels. Steve is excited about
IPL’s plan to deliver further growth for our specialist fuels testing laboratories at
Marsden Point and New Plymouth.
IPL is the fuel testing business which is a wholly-owned subsidiary of
Channel Infras
tructure. The IPL team deliver an important service to Channel
Infrastructure’s customers, as well as wider fuel testing services across New
Zealand and the South West Pacific.
Steve joined Refining
NZ in 2012 and has held a broad range of leadership
roles, including business improvement, before taking the IPL General Manager
role in 2021. Steve has an engineering background and prior to joining Refining
NZ held a number of technical and leadership positions in the petro/chemical
and Scientific research sectors in the UK and New Zealand.
Jack Stewart
GM Operations
BE (Mech)
Jack is responsible for operations, maintenance, and the delivery of terminal
s
ervice
s to our customers.

Jack led the successful operational transition from refinery to terminal,
including planning and ex
ecution of the refinery shutdown, decommissioning,
and conversion projects on time and within budget, while ensuring that the
conversion was delivered safely, and there was no disruption to New Zealand’s
fuel supply chain as a result of the changes at Marsden Point.
Jack has worked at Marsden Point for over 20 years, joining the business as
a mechanical engineer at the st
art of his career. He has performed a broad
range of leadership roles, including in the areas of engineering, maintenance,
project management, operations, health and safety and environment.
With decommissioning now almost complete, Jack is looking forward to
commiss
ioning the remaining private storage projects, establishing world-class
terminal operations at Marsden Point and to expanding the operations at
Marsden Point through the company’s focused growth plans.
33
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Peter Van Cingel
Business
Dev
elopment Manager
BE(Mech) (Hons)
Peter is responsible for Channel Infrastructure’s growth strategy and business
dev
elopment activities.
Peter has been central to the negotiation of new long-term terminal services
and privat
e storage agreements with Channel Infrastructure's customers.
Peter is looking forward to pursuing opportunities for Channel to support the
New Z
ealand Government's fuel security measures, and supporting the wider
efforts to decarbonise the fuels' supply chain in New Zealand.
Peter joined Refining NZ in 2002 and has held a broad range of roles in
the supply chain, commer
cial, strategic and business development areas.
Prior to joining Refining NZ, Peter held roles in the upstream oil industry, in
Europe, Russia, and the Middle East as well as supply chain management,
procurement and business improvement.
34
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

35
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Financial
commentary
Financial
Comment
ary
36
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Channel’s financial results for the year ended 31 December 2022, reflect nine months financial performance of the
new fuels import terminal business (reported as “continuing” operations) and the operation of the refinery for the
three-months ended 31 March 2022 (reported as “discontinued” operations).
Reset in financial performance
and cost of capital
2022 Highlights2023 Outlook
Strong FY22
financial
performance
delivering EBITDA
margin of 65% in
the 9 months of
terminal operations
Increased
FY23 EBITDA
guidance from
$76 – $84 million to
$82 – $86 million in
November 2022
FY23 indicative
dividend range of
9-11 cps
Net assets up 5%
from $1.33 to $1.39
per share as at 31
December 2022
Reduced cost
of debt through
2022 refinancing
Tax losses
crystalised with
$507 million of
losses available as
at 31 December
2022
Recommenced
dividends
Final 5 cps and
special 2 cps
payable
20 March 2023
(fully imputed)
6.5%
Annualised
Dividend Yield
37
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Income Statement
Continuing Operations
The results from continuing operations include import terminal fees earned under the Terminal Services Agreements
and Priv
ate Storage Agreements and Wiri land and terminal lease income from 1 April 2022, and the associated
operating costs from nine months of terminal operations, as well as the results of Independent Petroleum Laboratory
for the full year ended 31 December 2022.
$ MILLION
Revenue88.2
Operating Costs30.8
EBITDA
57.5
Depreciation24.6
Financing costs
9.8
Net
Profit
before tax
23.1
Income tax expense6.5
Net Profit
after tax from continuing operations
16.6
94%
Of FY22 revenue was underpinned by fixed
or "take-or-pay" fees
65%
A strong EBITDA margin
38
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Revenue
Channel Infrastructure's primary source of revenue comes
fr
om the f
ees earned under the Terminal Services
Agreements, of which 45 per cent is fixed and the
remainder is throughput related fees, for the Marsden
Point to Auckland pipeline, pipeline to the Truck Loading
Facility and wharfage. Fees under the Terminal Services
Agreements are subject to take-or-pay commitments,
set at $100 million per annum (real) for the first three
years, ($75 million pro-rated for the nine months to
31 December 2022) underpinning revenue while jet fuel
demand continues to recover post COVID-19. Total "take-
or-pay" top-up payments made in the nine months
ended 31 December 2022 amounted to $5 million.
All fees are subject to PPI escalation with a one-year
lag (i.e
. 2022 inflation applying to 2023 fees charged)
which provides a high degree of protection in the current
inflationary environment.
Additional revenue is earned through Private Storage
Agreement
s. Private storage fees are capacity-based
(i.e. independent of throughput), with FY2022 revenue of
$3 million. Private storage fees are expected to increase
to a full run-rate around mid-2023 as the last tank
conversions are completed, generating private storage
revenue of c.$9 million (real) per annum. In addition,
newly contracted terminal revenue is expected to deliver
revenue of c.$25 million over five years.
The $6
million p.a. of Wiri lease fees will continue until
February 2025 when the lease expires.
In total, 94 per cent of Channel’s total revenue in FY22
was underpinned b
y fixed or "take-or-pay" fees.
Revenue

(continuing operations)
($m)
Wiri Lease
Private Storage
Laboratory testing and other
Terminal fees - fixed
Terminal fees - variable
Terminal - Take-or-Pay top up
Take-or-Pay
& fixed revenue
33.9
36.4
5.7
4.5
5.0
2.7
39
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Operating Costs
Channel Infrastructure's largest costs are electricity and
payr
oll, t
ogether making up 50 per cent of total
operating costs.
Total electricity costs reduced significantly with an
almos
t 90 per cent reduction in electricity consumption
as a result of the transition from refinery to import
terminal operations. However, unit costs remain high,
with transmission and distribution charges yet to reset
for the reduced terminal load. Electricity costs in FY22
for the terminal comprised c.$120/MWh for supply and
c.$4 million for transmission and distribution. As outlined
on page 26, a key strategic imperative is to lower the cost
of electricity supply in the future.
Labour costs reflect the salary and other employee
cos
ts of the c.70 import terminal, laboratory and
corporate staff.
Administration and other costs comprise insurance, IT,
rat
es and governance costs.
Materials and contractor payments relates to the cost of
sit
e and asset maintenance.
Operating Costs Continuing Activities
($m)
11.5
8
3.9
7. 4
Energy and utilities
Salary and wages
Administration and other
Materials and contractors
Depreciation
A useful life review of all terminal assets was completed
during the y
ear
, which - based on the current asset base
as at 31 December 2022 - will result in an ongoing annual
depreciation of c.$34-$35 million p.a. (including Wiri asset
depreciation of c.$6 million until early 2025).
Financing Costs
The effective
interest rate applying in the nine months
ended 31 December 2022 was 6.6 per cent (higher
due to line fees paid on undrawn bank facilities) and
approximately 97.0 per cent of Channel Infrastructure’s
debt as at 31 December 2022 was fixed, providing
funding cost certainty and protection in the high interest
rate environment. A successful retail bond issue and
bank refinancing has reset the cost of debt for 2023,
aligned with the infrastructure business.
Discontinued Operations
A net loss after tax of ($5)
million is reported from
discontinued operations in 2022 which reflects the results
from refining operations. This includes $70 million of
revenue received in Q1 under the processing agreements
comprising of $47 million processing fees, $6 million
pipeline fees and $17 million of sulphur fees, natural
gas pass-through, carbon and other revenue and Wiri
lease payments. Total expenses amounted to $68 million,
comprising: operating costs of $46 million, depreciation
$8 million, conversion costs and impairment of assets of
$8 million and financing costs of $6 million.
40
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Cashflow and Dividends
Strong operating cashflows
from continuing operations
funded a significant portion of conversion spend and
growth capex, with net debt increasing to $257 million.
This represents gearing of 33 per cent and Net Debt
to EBITDA of 3.4 times (based on annualised reported
EBITDA for nine months of terminal operations).
Strong cash flows and leverage in the target range of 3
to 4 time
s has enabled the Board to declare a dividend
at the top end of its Dividend Policy range of 60-70
per cent of Normalised Free Cash Flow
1
. A fully imputed
final dividend of 5 cents per share and a fully imputed
special dividend of 2 cent per share - will be paid on
20 March 2023.
Net Debt Movement ($m)
Operating
Cashflow
Conversion
Costs
Platinum
Stay in
Business
Capex
Growth
Capex
Net
Financing
184
257
14
10
14
82
102
Net Debt
FY21
Net Debt
FY22
15
1
Net cash generated from operations less maintenance capex (excluding conversion costs and growth capex)
41
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Balance Sheet
Net Assets
Net assets of the Company increased by 5 per cent
t
o
$518 million or $1.39 per share primarily reflecting the
strong financial performance and a net increase in the
mark-to-market valuation of the Company’s interest rate
swaps and electricity hedges as at 31 December 2022.
Provisions and employee benefits
Provisions associated with the conversion to an import
terminal hav
e reduced by $77 million, with $73 million
spent on shutdown and decommissioning and workforce
transition which were completed across the year and
a $12 million reduction in conversion provisions due to
a higher discount rate, offset with provision discount
unwinding of $2 million. Employee benefits also reduced
by $11 million in line with workforce reductions through
the transition.
Working Capital
Trade receivables and payables have reduced by
c.$114
million due to excise duty no longer being
collected and paid on behalf of customers following the
commencement of import terminal operations.
Net working capital (after excluding conversion
pro
visions) is positive $9 million.
Borrowings
In May 2022, Channel Infrastructure issued $100
million
of unsecured, unsubordinated, fixed rate retail bonds for
a term of five years, maturing on 20 May 2027. The net
proceeds from the retail bonds provided diversification
of funding that aligns with an infrastructure business,
and were applied towards repaying a portion of existing
bank debt.
In November 2022, the Company refinanced $205
million
of bank debt, achieving tenor spread across three
to five years. Total available debt facilities are now
$380 million with no maturities within 12 months and
a weighted average debt maturity of 3.5
2
years as at
31 December 2022.
Debt Maturity Profile
NZ$M
175
150
125
100
75
50
25
20252027
Subordinated notes
- reset date
Subordinated notes
- maturity date
Bank DebtRetail Bond
Salary and wages
202620342024
The Group’s net debt as at 31 December 2022 was
$257 million, resulting in total headroom of $123 million
which pro
vides sufficient capacity to fund the remainder
of conversion costs and investment in private storage. It is
expected that debt will peak at around $70 to $90 million
above current levels in the next 12-18 months.
The refinancing programme has reduced the Company’s
co
st of bank debt, with the fixed rate bonds and interest
rate swaps providing significant funding cost certainty for
2023 in a rising interest rate environment.
Tax Losses
The Company generated significant tax losses
through the con
version to an import terminal. As at
31 December 2022 , the Company held tax losses
amounting to c.$507 million which will be used to offset
against future assessable income.
2
Average tenor calculated on the assumption that the subordinated notes are redeemed at their reset date in March 2024 (noting that the Company
may either ex
ercise a right to redeem the notes or a right to offer new conditions to the noteholders)
42
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Looking Ahead to FY23
The terminal services and private storage fees are
sub
ject to PPI escalation. In November 2022, Statistics
New Zealand announced the PPI for the 12 months
ended 30 September 2023 was 8.4 per cent, which will
increase the 2023 "take-or-pay" level under the Terminal
Services Agreements by $6.3 million (above the 2022
annualised take or pay fee equivalent) to $106.3 million.
Together with additional private storage contracted, this
resulted in Channel's EBITDA guidance upgrade from
$76 - $84 million to $82 - $86 million increasing the
Company’s EBITDA expectations for 2023.
Based on the Company’s capital allocation framework
and dividend policy of r
eturning 60-70 per cent of
normalised Free Cash Flow to shareholders, the indicative
dividend range for FY23 increases from 8 to 11 cents per
share to 9 to 11 cents per share.
43
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Governance
44
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Channel Infrastructure NZ Limited operates in New Zealand and
is li
sted on the NZX’s Main Board. It is subject to regulatory
control and monitoring by both the NZX and the Financial
Markets Authority (“FMA”). Our corporate governance framework
sets out our Board’s practices and processes to provide
accountability to shareholders for Channel Infrastructure’s actions
and performance.
This section of the Annual Report provides summary
information on our curr
ent corporate governance
framework. The Company’s full Governance Statement,
including detailed reporting against the NZX Corporate
Governance Code, together with our governance policies
can be viewed on the ”Investor Centre” section of our
website: www.channelnz.com.
The Governance Statement is annually reviewed and
appro
ved by the Board and is current as at 23 February
2023. In 2022, the Board undertook a Corporate
Governance Review in light of the change in the
Company’s business operations from oil refining to import
terminal s
ervices, and the Governance Statement was
previously reviewed and updated in May 2022.
The Board considers that it has followed the
recommendations in the NZX C
orporate Governance
Code during the financial year ended 31 December 2022.
Responsibilities of the Board and
it
s C
ommittees
The Board is responsible for setting the Company’s
str
ategic direction and for providing oversight of the
management of the Company, with the aim of increasing
shareholder value and ensuring the obligations of the
Company are properly met. The Board is accountable to
shar
eholders for the performance of the Company, with
day-to-day management of the Company delegated to
the Chief Executive Officer.
The Board uses committees to address certain issues
that requir
e detailed consideration by members of the
Board who have specialist knowledge and experience.
The Board retains ultimate responsibility for the functions
of its committees and determines their responsibilities.
There are currently four Board committees:
• The Audit and Finance Committee comprising four
members, of which three are Independent Directors,
• The People and Culture Committee comprising four
members
, of which three are Independent Directors,
• The Independent Directors Committee comprising all
five Independent Directors, and
• The Health, S
afety, Environment and Operations
Commit
tee comprising all Directors.
45
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

The Board may also establish ad hoc committees
from time t
o time, and in 2021 it established a
Transition Committee for the purposes of the Corporate
Governance Review and other matters relating to
the transition from an oil refinery to an import
terminal business.
The respective roles of the Board, its committees and
management (the Corpor
ate Leadership Team) are set
out in the Board’s and relevant committees’ Charters.
The committees annually evaluate their own performance
to ens
ure that they are appropriate to assist the Board in
effectively fulfilling its role and meeting its duties. The
Board also undertakes a periodic evaluation of its
performance, and in 2022, the Board engaged Propero
Consulting to prepare an evaluation report to assist the
Board in continuing to effectively perform as a Board.
Independence of Directors
The Board currently consists of seven Directors:
• James Miller (the Chair), Andrew Holmes, Anna
Mollo
y
, Vanessa Stoddart and Paul Zealand are
Independent Directors.
• Lindis Jones and Lucy Nation are not Independent.
The Chairman is an Independent Director, responsible for
r
epr
esenting the Board to shareholders.
Independence is assessed according to the NZX Main
Board Lis
ting Rules criteria. No shareholder has any
constitutional right to appoint Directors.
The three largest shareholders of the Company are also
major cus
tomers, either directly or through wholly-owned
subsidiaries, and some have representation on the Board
which could lead to a conflict of interest. Clause 8.16.1
of the Constitution allows for the Independent Directors
to act as the Board in respect of matters that pose a
conflict of interest if raised at the full Board. The role of
the Independent Directors is to:
• Act as the Board in relation to those matters to
be decided by the Board in which all of the other
Directors have an interest which disqualifies them from
forming part of the quorum and voting, and
• Act as a committee of the Board to deal with
matt
ers delegated or referred to it by the Board
or management, including ensuring that issues
concerning the major customers, and in particular any
conflicts of interest, are dealt with in a transparent
manner for the benefit of the Company as a whole.
46
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Meeting Attendance
Director attendances at Board and committee meetings
during 2
0
22 were as follows:
BOARD
MEETING
1
AUDIT AND
FINANCE
COMMITTEE
PEOPLE AND
CULTURE
COMMITTEE
INDEPENDENT
DIRECTORS'
COMMITTEE
HEALTH,
SAFETY,
ENVIRONMENT
AND
OPERATIONS
COMMITTEE
DUE
DILIGENCE
COMMITTEE
TRANSITION
COMMITTEE
SITE
WALKS
2
S C Allen
3
Independent
Chair
4/43/31/14/42/33/32/21
J MillerIndependent
Chair
10/105/53/37/75/53/32/25
J L Bourke
4
Non-
independent
3/32/21
A Holmes
5
Independent9/92/25/53/33
NL JonesNon-
independent
10/105/55/54
AM Molloy
5
Independent9/93/35/53/34
L NationNon-
independent
9/103/34/52/23
V C M StoddartIndependent10/103/37/75/52/24
P A ZealandIndependent10/105/52/27/75/53/35
1 Includes 10 May
2022 Annual Shareholders’ Meeting.
2 Combination of physical walks and virtual engagements.
3 Mr. Allen resigned as a Director and Chair of Channel Infrastructure with effect from 1 July 2022 and was replaced by Mr. Miller who has been an
Independent Director of the Company since 1 November 2018.
4 Mr. Bourke resigned as a Director of Channel Infrastructure with effect from 10 May 2022.
5 Mr. Holmes and Ms. Molloy were appointed by the Board as Independent Directors on 4 April 2022 and elected by shareholders at the Company’s
Annual Shareholders’ Meeting on 10 May 2022.
47
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Remuneration
Report
48
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Director and Corporate Lead
Te
am Remuneration
The Company has adopted a Director and Executive
Remuner
ation Policy for remuneration of the Board
and Corporate Lead Team. Channel Infrastructure’s
remuneration framework and policies are overseen by the
People and Culture Committee in accordance with the
People and Culture Committee Charter.
Remuneration
Channel Infrastructure aims to attract and retain
appropriat
ely qualified and experienced individuals.
Channel Infrastructure applies a fair and equitable
approach to remuneration and reward practices,
considering internal and external relativities balanced
against the commercial environment.
The Board takes independent advice and establishes
marke
t rates and medians against New Zealand
businesses of comparable size and complexity,
having regard to industry specific and generic roles.
Individual performance, company performance and
market relativity are key considerations in setting
remuneration levels.
Channel Infrastructure is committed to pay equity,
and as the bus
ine
ss transitioned to the Terminal, the
Company completed a pay equity review of the new
organisation. In March 2022, the pay equity gap was 16
per cent. Channel remains committed to closing the gap
and actively monitors remuneration levels and during the
appointment of staff into new roles ensured that women
were actively supported into roles.
Directors’ Remuneration
The Board determines the level of remuneration paid to
Direct
ors within the amounts approved by shareholders
(that is, from the approved collective pool). The current
approved fee pool limit is $900,000 and was approved
by shareholders at the Annual Shareholders’ Meeting in
April 2018.
The remuneration and other benefits, excluding
reimbur
sements, received by the individual Directors
of the Company during the 2022 financial year were
as follows:
APPOINTEDRESIGNEDBOARD FEES
AUDIT AND
FINANCE
COMMITTEE
FEES
PEOPLE AND
CULTURE
COMMITTEE
FEES
INDEPENDENT
DIRECTORS
COMMITTEE
FEES
HEALTH,
SAFETY,
ENVIRONMENT
AND
OPERATIONS
COMMITTEE
FEESTOTAL FEES
S C Allen
Independent
Chair4 Dec 201430 Jun 202290,00090,000
J Miller
Independent
Chair1 Nov 2018127,50015,0002,50010,000155,000
J L Bourke
Non-
independent10 Sep 202110 May
202227,01627,016
A Holme
s Independent4 Apr 202256,2502,50015,00073,750
N L Jones
Non-
independent19 Mar 201875,00012,50087,500
A M MolloyIndependent4 Apr 202256,25018,12515,00089,375
L Nation
Non-
independent1 Feb 202175,0005,00080,000
V C M
S
t
oddartIndependent20 May 201375,00020,00020,000115,000
P A ZealandIndependent29 Aug 201675,00012,5002,50020,00010,000120,000
49
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

The Directors do not participate in any profit-based
incentiv
e system. No Director of the Company has
received, or become entitled to receive, a benefit
(other than a benefit included in the total emoluments
received or due and receivable by Directors shown in this
report), including shares, remuneration paid by subsidiary
company or other payments from services provided
(including Directors and Officers insurance cover). The
Chairman does not receive additional fees for being on
a committee. No loans have been made to Directors. The
Directors of subsidiary companies (refer to page 63) are
not remunerated in those positions.
Directors’ Fees Review
Directors’ remuneration is intended to be set at a
lev
el to remain comparable with other companies in
New Zealand, considering the expertise, skills, and
responsibilities of Directors. Directors’ fees were last
increased in 2018, and since then the Board has resolved
each year to not increase Directors’ fees, in recognition
of the Company’s financial performance and despite the
significant workload of the Board over the last three
years during the Strategic Review.
As previously signaled, following the successful
conv
ersion from refining to import terminal operations
and the change in the nature of the business of the
Company in 2022, the Board is undertaking a review of
the level of Directors’ fees.
Chief Executive
Officer Remuneration
Naomi James commenced her employment as Chief
Executiv
e Officer on 6 April 2020. Naomi James' total
remuneration package includes:
• A base salary of $995,000 per annum (2021: $995,000);
• A short-term performance incentive (STI) payment
based on achie
vement of agreed key performance
indicators (KPIs). The STI is an incentive with an “on
target” incentive of 45 per cent of base salary per
plan year, with the potential for this to increase to
65 per cent depending on performance. Short-term
incentive payments are deemed “at risk” payments
designed to motivate and reward performance in the
financial year. The STI is paid in the year following the
performance period;
• A long-term incentive plan (LTI) in the form of:
– A grant of initial performance rights (in the form
of s
hare rights in the Company) equivalent to
one year’s base salary ($995,000) that are due to
vest on 6 April 2024 subject to achievement of a
minimum “on target” performance against annual
controllable KPIs during the vesting period,
– Performance rights equivalent to 25 per cent
of bas
e salary on the first anniversary of the
commencement date, 25 per cent on the second
anniversary and 50 per cent on each successive
anniversary, with each tranche having a three year
vesting period with a further year to vest
1
.
The Chief Executive Officer’s
LTI entitlement (including
the initial performance rights) is capped at $6 million,
• A six month redundancy entitlement, with no
additional entitlements aris
ing under her employment
contract due to her exit from the business. In
accordance with the terms of her employment
agreement, upon her exit from the Company in 2023,
she will be paid six months redundancy, accrued leave
and her existing STI entitlement, and her existing and
disclosed share rights entitlements will vest subject to
satisfactory performance to termination date.
The total remuneration paid to the Chief Executive Officer
during the year ended 31 December
2022 comprised the
following components:
• Fixed remuneration - base salary of $995,000,
• STI paid on achievement of agreed performance
objectiv
es of $646,750,
• Share rights (equivalent to 25 per cent of base
salar
y ($248,750) and subject to vesting conditions
including the achievement of outcomes sought from
the material decisions made by the Board from the
strategic review process,
• $2,000 Employee Share Scheme award, and
• Other
benefits
of $40,552 (accommodation
and mileage).
The Chief Executive Officer’s
KPIs, with respect to the
short-term incentive, agreed for the 2022 financial year
relate to:
KPI CATEGORYWEIGHTING
Delivery against the Company scorecard (HSE, on time and budget delivery of conversion programme, meeting
cust
omer commitments, retain and build organisational capability and balance sheet capacity to fund conversion)
50%
Establish strong base for future sustainability and growth (reset cost of capital, transform from refinery to
infr
as
tructure company, support New Zealand’s decarbonisation, growth through diversification)
50%
1
As noted in the 2021 Annual Report, the first tranche of LTI share rights under her employment agreement were offered to the CEO. Ms James voluntarily
declined to accep
t the offer recognising the challenging and uncertain circumstances of the Company at that time.
50
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

A short-term incentive in respect of the 2022 year will be
paid in early 20
23, amounting to $646,750 recognising Ms
James’ performance against the KPIs outlined above.
The table below provides a summary of all share rights
issued to the current Chief Executive Officer.
PERFORMANCE
YEAR
GRANT
DATE
VESTING DATE
1
NUMBER
OF SHARES
COSTS RECOGNISED (FINANCIAL YEAR)
202020212022TOTAL
$000$000$000$000
Chief Executive Performance Rights
2020 Initial share rights
2
6 April 2020
6 Mar
ch
20231,250,000166222453
841
2020 Share rights
3
1 April 2021
6 Mar
ch
20231,178,78240176215
431
2021 Final Investment Decision
share rights
2
22 Nov 202128 Feb 2023282,253-19178
197
2022 Share rights
10 May 2022
6 March
2023232,991--195
195
Total Performance Rights
2,944,0262064171,041
1,664
Chief Executive Employee
Share Scheme
2021
16 Dec 2021
6 March
20231,157-11
2
2022
11 April 2022
6 March
20231,896--1
1
Total
2,947,0792064181,043
1,667
1 The Board has determined that unvested share rights will vest upon cessation of Ms James' employment as CEO on 6 March 2023 (subject to any lapse
ev
ent), as the outcomes contemplated by the vesting conditions have been delivered under Ms James' leadership.
2 These share rights are included for the purpose of applying the $6 million cap on the CEO's LTI entitlements referred to above.
3 Ms James’ short-term incentive in respect of the 2020 year was not paid in cash. Instead, share rights equivalent to $540,000 were granted in
April 2021.
Remuneration of Incoming CEO, Rob Buchanan
In November 2022, Rob Buchanan was appointed
as Chief Ex
ecutive (replacing Naomi James) and
commenced employment at Channel Infrastructure on
31 January 2023 and will commence as CEO on 6 March
2023. His remuneration package includes:
• A base salary of $550,000 per annum;
• A short-term performance incentive (STI) payment
based on achie
vement of agreed key performance
indicators (KPIs). The STI entitlement is an “on target”
incentive of 35 per cent of base salary per plan
year, with the potential for this to increase to 45 per
cent depending on performance. STI payments are
deemed “at risk” payments designed to motivate and
reward performance in the financial year. The STI is
paid in the year following the performance period;
• A long-term incentive plan (LTI) in the form of:
– A grant of initial share rights equivalent to one
year
’s base salary ($550,000) that will vest on
31 January 2028, subject to the achievement of a
minimum “on target” performance against annual
controllable KPIs during the vesting period,
– Share rights equivalent to 45 per cent of
base s
alary on the first anniversary of the
commencement date and each anniversary
thereafter, with each tranche having a three-year
vesting period and with measures and targets to be
agreed with the Board.
The Chief Executive Officer’s LTI entitlement, including
the initial shar
e rights, is capped at $8
million, and
thereafter subject to renegotiation.
• An entitlement to six months base salary (in addition
to s
ix months' notice or payment in lieu) in the
event of termination due to redundancy, and an
entitlement to 12 months’ base salary for termination
of employment on a “no-fault” basis or resignation
within three months of a change of control of
Channel Infrastructure.
51
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Five-Year Summary – Chief
Exe
cutive Remuneration
For the purposes of historical comparison, set out below
is a summar
y of the costs recognised in each of the
past five
years, in relation to the Chief Executive Officer’s
remuneration package.
COSTS RECOGNISED IN
YEAR $000
FINANCIAL
YEARCEO
BASE
SALARYOTHER
TOTAL FIXED
REMUNER-
ATION
SHARE
RIGHTS
SHORT TERM
INCENTIVE KPI
BASED
EMPLOYEE
SHARE
SCHEME
TOTAL
VARIABLE
REMUNER-
ATION
TOTAL
REMUNER-
ATION
FY2022
Naomi James995411,0361,04164721,6902,726
FY2021
Naomi James995461,04141764711,0652,106
FY2020
Naomi James77347820206--2061,026
FY2020
Paul Zealand187-187----187
FY2020
Mike Fuge1304134----134
FY2019
Mike Fuge90032932----932
FY2018
Mike Fuge31661377-165-165542
FY2018
Sjoerd Post70537742-600
1
-6001,342
1 includes $0.3M discretionary short term cash incentive. Not KPI based.
2022 Workforce Changes
In 2022, the conversion of the refinery to import terminal
oper
ations resulted in 159 staff exiting the business
during the year. The Company provided employees
with a minimum of six months’ notice and six months
redundancy. Redundancies amounting to $22 million
were paid in 2022 (2021: $4.4 million) and leave
entitlements were paid out amounting to $7 million.
Redundancy and leave payments are included in the
employee remuneration table set out on page 54.
The business deployed a wide range of tailored
workf
orce transition support services, to help our people
into new jobs or training opportunities once their
employment with us came to an end.
Within six months of exit, 97 per cent of our staff
impact
ed by the change who were seeking new
employment had found new employment or were
retraining. Refer to the 2022 Sustainability Report
(available at www.channelnz.com
) for further details on
our Workforce Transition.
Corporate Leadership Team
and Other Emplo
yees'
Remuneration Profile
The Corporate Lead Team and employees with Individual
Employment Agr
eements (IEAs) are remunerated with
a mix of base salary and benefits, and short-term
performance incentives. The determination of fixed
remuneration is based on responsibilities, individual
performance and experience, and market data. At risk,
variable remuneration, comprises short-term incentives
based on the KPIs in the Company Scorecard
and individual performance. The Company Scorecard
included HSE, conversion programme, customer,
capability, and balance sheet performance metrics, with
an above target outcome recorded against these KPIs.
STI payments in respect of 2022 performance will be
made in 2023.
52
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

As previously disclosed, in 2021, key business leaders were
awar
ded with two tranches of share rights (in the form of
shares in the Company) to incentivise and retain selected
individuals in key management roles critical to the safe
delivery of the conversion project. The first tranche of
share rights vested on 1 January 2023 in accordance
with their terms and 1,931,890 shares in the Company
were issued to the awardees of the share rights on
4 January 2023. The second tranche of share rights are
scheduled to vest on 28 February 2023 (and upon vesting
1,377,389 shares in the Company will be issued on that
date to awardees of the share rights), with the Board
having determined that the vesting condition in relation
to the safe, on time, on budget and to-plan conversion
to import terminal operations in 2022 has been satisfied
to date.
Employee Share Purchase Scheme
The Company has established the Employee Share
Purchas
e Scheme which is tax exempt in accordance
with section CW26C of the Income Tax Act 2007 (as
amended). The purpose of the Employee Share Purchase
Scheme is to recognise the important contribution of all
employees to the Company’s future and to assist the
Company in retaining and motivating employees.
A trust has been created under the Employee Share
Purchas
e Scheme for the purpose of holding Company
shares on behalf of each participating employee over a
three-year period. For further details on the scheme, refer
to the consolidated financial statements included in this
latest Annual Report.
The Company estimates that the annual cost of
operating the s
cheme is approximately $31,000. The
value of the awards under the Employee Share Purchase
Scheme amounted to $2,000 for each eligible employee
in 2022.
The funds, totaling $529,848 for the award, were
pro
vided to CRS Nominees Limited (Trustee), as Trustee
of the Employee Share Purchase Scheme, to pay the
subscription price in cash for the issue of the shares
as fully paid ordinary shares. The shares are held
by the Trustee for the participating employees until
they are withdrawn by the participants following a
restricted period of three years from the acquisition date,
unless released earlier in certain limited circumstances
(for example death, sickness, redundancy etc). The
participating employees may vote the shares and receive
dividends, if paid.
The total financial
assistance given in 2022 in the form of
advances to the Trustee to acquire the shares and fund
the annual costs of operating the Scheme amounted to
$560,848. (2021: $575,000).
Employee Remuneration
The following table shows the number of employees and
former emplo
yees (including members of the Corporate
Lead Team), not being Directors, who, in their capacity
as employees, received remuneration and other benefits
during 2022 of at least $100,000.
The remuneration figures include all monetary payments
made during the y
ear, including redundancy payments
and contributions made by the Company as part of the
share scheme. No employees appointed as a Director
of IPL, a subsidiary company of Channel Infrastructure
NZ Limited, receive or retain any remuneration or other
benefits for holding this office.
The analysis (see table) is compiled on a cash basis; the
variable perf
ormance rewards (linked to individual and
business performance for a financial reporting period) in
respect of the 2022 financial year, will be paid in March
2023 and reported as part of the remuneration banding
for the 2023 year.
The ratio between employee remuneration (median)
and Chief Ex
ecutive Officer's total annualised, on-target
remuneration for the 2022 financial year (on a cash basis)
was 1:9 (2021: 1:7).
53
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

20222021
AMOUNT OF REMUNERATION $000NO. OF EMPLOYEES
NO. WHICH
INCLUDE RED
UNDANCY
NO. OF EMPLOYEES
100-1097510
110-1198412
120-1296420
130-139141210
140-1497412
150-1597326
160-1699822
170-179151224
180-18911817
190-199131124
200-2099918
210-21911617
220-2296312
230-239993
240-249335
250-25910104
260-2691094
270-279863
280-28942-
290-299421
300-309662
310-319761
320-32955-
330-33942-
340-34944-
350-359542
360-36922-
370-379431
380-38944-
390-39966-
400-40922-
410-4191--
420-42944-
430-439--1
440-44933-
450-459--1
460-46955-
470-479111
480-48922-
490-49922-
500-59964-
600-69911-
1,020-1,029--1
1,600-1,6991--
54
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

55
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Shareholder
and
Bondholder
Information
56
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Twenty largest Shareholders
As at 31 January
2023
ShareholdersTotal shares held% of total
1Mobil Oil New Zealand Limited53,760,00014.35%
2Z Energy Limited47,999,98012.81%
3BP New Zealand Holdings Limited31,572,6408.43%
4Forsyth Barr Investment Management Limited27,760,9047.41%
5Accident Compensation Corporation *
1
14,777,1813.94%
6FNZ Custodians Limited11,693,0443.12%
7Custodial Services Limited (<A/C 4>)11,145,6102.97%
8Citibank Nominees (New Zealand) Limited *10,714,8662.86%
9JP Morgan Chase Bank NZ NZ Branch - Segregated Clients Acct *10,452,9232.79%
10HSBC Nominees (New Zealand) Limited *9,915,7232.65%
11Public Trust Class 10 Nominees Limited *8,199,4022.19%
12BNP Paribas Nominees (NZ) Limited (NZCSD<BPSS40>) *7,708,7802.06%
13TEA Custodians Limited Client Property Trust Account - NZCSD*7,599,8262.03%
14Hamish Alexander Jones4,958,4111.32%
15Wairahi Investments Limited4,300,0001.15%
16BNP Paribas Nominees (NZ) Limited (NZCSD<COGN40>) *3,923,9381.05%
17HSBC Nominees A/C NZ Superannuation Fund Nominees Limited - NZCSD*3,817,5961.02%
18New Zealand Depository Nominee Limited3,586,2950.96%
19Peter Duncan Garvan3,400,0000.91%
20Leveraged Equities Finance Limited2,776,0840.74%
280,063,20374.76%
1 The shareholder spread on page 60 groups share held by NZCSD (denoted by * in the table above) as a single legal holding
Substantial product holders
As at 31 December
2022
No. of
ordinar
y shares
Mobil Oil NZ Limited53,760,000
Z Energy Limited47,999,980
BP New Zealand Holdings Limited31,572,640
Forsyth Barr Investment Management Limited27,551,213
57
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Twenty largest Bondholders
As at 31 January
2023
1.
CHI010 Channel Infr
astructure NZ Limited 5.10% Notes
BondholderTotal bonds held% of total
1TEA Custodians Limited Client Property Trust Account - NZCSD*
1
20,641,00027.52%
2FNZ Custodians Limited14,877,00019.84%
3Forsyth Barr Custodians Limited9,950,00013.27%
4JP Morgan Chase Bank NA NZ Branch - Segregated Clients Acct *1,800,0002.40%
5Citibank Nominees (New Zealand) Limited *1,750,0002.33%
6JB Were (NZ) Nominees Limited <NZ Resident A/C>1,697,0002.26%
7Hobson Wealth Custodian Limited <Resident Cash Account>1,668,0002.22%
8RGTKMT Investments Limited1,000,0001.33%
9Nicholas Peter Gordon + Richard Anthony Johnston + Andrea Lee Gordon <Waimea A/C>888,0001.18%
10Forsyth Barr Custodians Limited <A/C 1 Nrlail>859,0001.15%
11Forsyth Barr Custodians Limited <Account 1 E>855,0001.14%
12FNZ Custodians Limited <Dta Non Resident A/C>853,0001.14%
13Custodial Services Limited (<A/C 4>)509,0000.68%
14Richard Barton Adams + Allison Ruth Adams <Adams Family A/C>500,0000.67%
15Jill Gordon500,0000.67%
16Craig John Thompson500,0000.67%
17Woolf Fisher Trust Incorporated500,0000.67%
18Falstaff
Investments Limited400,0000.53%
19Dale P
atricia Stechman290,0000.39%
20Investment Custodial Services Limited <A/C C>285,0000.38%
60,322,00080.44%
1 The shareholder spread on page 60 groups share held by NZCSD (denoted by * in the table above) as a single legal holding

58
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

2.
CHI020 Channel Infr
astructure NZ Limited 5.8% Bonds
BondholderTotal bonds held% of total
1Forsyth Barr Custodians Limited <1-Custody>45,295,00045.30%
2FNZ Custodians Limited11,321,00011.32%
3Citibank Nominees (New Zealand) Limited - NZCSD <Cnom90>*
1
10,500,00010.50%
4Investment Custodial Services Limited <A/C C>3,370,0003.37%
5Forsyth Barr Custodians Limited <Account 1 E>2,743,0002.74%
6TEA Custodians Limited Client Property Trust Account - NZCSD <Teac40>*1,317,0001.32%
7Custodial Services Limited <A/C 4>995,0001.00%
8JB Were (NZ) Nominees Limited <NZ Resident A/C>800,0000.80%
9FNZ Custodians Limited <Drp NZ A/C>658,0000.66%
10I J Investments Limited500,0000.50%
11Mohua Limited500,0000.50%
12Catherine Jane Gibb438,0000.44%
13Nicholas Peter Gordon330,0000.33%
14Avalon Family Trustee (Mrm) Limited <Marion Ross Memorial A/C>300,0000.30%
15Forsyth Barr Custodians Limited <2-33>300,0000.30%
16James Brackenridge Gordon260,0000.26%
17Andrew Brodie Thomson & Razimah Ismail250,0000.25%
18Forsyth Barr Custodians Limited <Account 1 Nrl>233,0000.23%
19Craig John Thompson218,0000.22%
20Hobson Wealth Custodian Limited <Resident Cash Account>215,0000.22%
80,543,00080.56%
1 The bondholder spread on page 60 groups share held by NZCSD (denoted by * in the table above) as a single legal holding
59
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Shareholder and Bondholder spread - Holding
As at 31 January
2023
SHAREHOLDERSBONDHOLDERS CHI010BONDHOLDERS CHI020
No of financial
products
No of
share-
holders
%
holderShares
% of
shares
No of
bond-
holders
%
holderBonds
% of
bonds
No of
bond-
holders
%
holderBonds
% of
bonds
1 - 4992566.161,8500.0--------
500 - 9992646.2181,8680.0--------
1,000 - 1,99952112.3702,3560.2--------
2,000 - 4,9991,01524.03,215,9570.9--------
5,000 - 9,99970016.64,739,4581.3388.0215,0000.382 11.7464,0000.5
10,000 - 49,9991,15327.323,677,1766.332868.86,797,0009.147767.9 10,009,00010.0
50,000 - 99,9991794.211,939,4903.260 12.63,195,0004.390 12.85,052,0005.0
100,000 - 499,9991072.518,808,3705.0367.5 5,324,0007.1436.1 6,476,0006.5
500,000 - 999,999140.39,343,0352.59 1.9 5,964,0007.95 0.7 3,453,0003.5
1,000,000 - upwards230.5301,988,24780.661.253,505,00071.360.874,546,00074.5
Total4,232100.0374,657,807100.0477100.075,000,000100.0703100.0100,000,000100.0
Shareholder and Bondholder spread - Geographical
As at 31 January
2023
SHAREHOLDERSBONDHOLDERS CHI010BONDHOLDERS CHI020
No of financial
products
No of
share-
holders
%
holderShares
% of
shares
No of
bond-
holders
%
holderBonds
% of
bonds
No of
bond-
holders
%
holderBonds
% of
bonds
Auckland (Greater)1,36232.2204,126,24554.514330.034,161,00045.515321.810,610,00010.6
Wellington (Greater)46411.076,481,25220.410421.8 22,206,00029.616523.5 18,422,00018.4
Whangarei/Northland57213.513,474,0373.6112.3565,0000.8415.8 1,746,0001.7
Other North Island86020.325,918,8946.911824.83,454,0004.616223.05,093,0005.1
South Island84720.053,610,81214.397 20.3 14,545,00019.417725.2 53,449,00053.5
Australia741.7475,4450.1----3 0.4 10,620,00010.6
Other Overseas531.3571,1220.240.869,0000.120.360,0000.1
Total4,232100.0374,657,807100.0477100.075,000,000100.0703100.0100,000,000100.0
60
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

61
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Statutory
Disclosures
62
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Directors’ and Officers’
Insurance
The Company has granted indemnities to its Directors,
Corpor
ate Lead Team members, and persons whom
it has appointed as Directors of its subsidiaries in
relation to potential liabilities and costs they may incur
in those roles. The indemnities are subject to certain
limitations that are prescribed by law and they do not
cover settlements or admissions prejudicing a successful
defence of a claim without the Company’s consent as
well as the indemnified person’s advisor costs after the
defence of a claim has been assumed by the Company,
unless they are reasonably necessary.
The Company has arranged Directors’ and Officers’
Liability Insurance for its Directors, Corporate Lead Team
and pers
ons whom it has appointed as Directors of
its subsidiaries, which provide them with insurance in
respect of certain liabilities and costs they may incur in
those roles. This insurance is limited to cover that is not
prohibited by law.
Independent Professional Advice
With the approval of the Chairman, Directors are entitled
t
o s
eek independent professional advice on any aspect
of their Director’s duties, at the Company’s expense.
Use of Company Information
The Board did not receive any notices from any Director
of the C
ompany or its subsidiaries during the year,
requesting to use Company information received in their
capacity as a Director, which would not otherwise have
been available to them.
Donations
The Company made donations of $13,273 during the year
ended 31 December
2022 (2021: $14,000). No political
donations were made.
Channel Infrastructure Subsidiary Directors
SUBSIDIARY NAME OF DIRECTORS
Independent Petroleum Laboratory Limited
Naomi J
ames, Jarek Dobrowolski
Channel Terminal Services Limited
Naomi James, Jarek Dobrowolski
CHI Future Developments Limited

Naomi J
ames, Jarek Dobrowolski
Maranga Rā Holdings Limited
Naomi James, Jarek Dobrowolski
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Consolidated
Financial Report
64
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Contents
Consolidated Income Statement66
Consolidated Statement of Comprehensive Income67
Consolidated Balance Sheet68
Consolidated Statement of Changes in Equity70
Consolidated Statement of Cash Flows74
Notes to the Consolidated Financial Statements75
Independent Auditor’s Report101
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Consolidated Income Statement
FOR THE YEAR ENDED 31 DECEMBER
2022
GROUPGROUP
20222021
NOTE
$000$000
(RESTATED)
CONTINUING OPERATIONS
INCOME
Revenue
88,237
3,093
TOTAL INCOME
2,3
88,237
3,093
EXPENSES
Energy and utility costs
7,418
-
Materials and contractor payments
3,922
983
Salaries, wages and benefits
7,964
4,354
Administration and other costs
11,481
506
TOTAL EXPENSES30,785
5,843
EARNINGS BEFORE DEPRECIATION, FINANCE COSTS AND INCOME TAX57,452
(2,750)
Depreciation and disposal costs
24,610
1,115
TOTAL DEPRECIATION AND DISPOSAL COSTS24,610
1,115
NET PROFIT / (LOSS) BEFORE FINANCE COSTS AND INCOME TAX32,842
(3,865)
Finance income
(183)
(3)
Finance costs
9,947
-
NET FINANCE COSTS / (INCOME)9,764
(3)
NET PROFIT / (LOSS) BEFORE INCOME TAX23,078
(3,862)
Income tax
6,524
(1,081)
NET PROFIT / (LOSS) AFTER INCOME TAX FROM CONTINUING OPERATIONS16,554
(2,781)
Net profit / (loss) after income tax from discontinued operations1
(4,594)
(549,848)
NET PROFIT / (LOSS) AFTER INCOME TAX11,960
(552,629)
ATTRIBUTABLE TO:
Owners of the Parent11,960
(552,629)
EARNINGS PER SHARE FOR PROFIT ATTRIBUTABLE TO THE SHAREHOLDERSCENTS
CENTS
Basic and diluted earnings per share from continuing operations6
4.5
(0.9)
Basic and diluted earnings per share6
3.2
(173.9)
The above Consolidated Income Statement is to be read in conjunction with the notes on pages 75 to 100
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Consolidated Statement of
Compr
ehensive Income
FOR THE YEAR ENDED 31 DECEMBER 2022
GROUPGROUP
20222021
NOTE
$000$000
NET PROFIT/(LOSS) AFTER INCOME TAX11,960
(552,629)
OTHER COMPREHENSIVE INCOME
Items that will not be reclassified
to the Income Statement
Defined
benefit plan and medical scheme actuarial gain18
2,397
20,225
Revaluation of property, plant and equipment
-
587,182
Deferred tax
(671)
(170,074)
Total items that will not be reclassified to the Income Statement1,726
437,333
Items that may be subsequently reclassified
to the Income Statement
Movement in cash flow hedge reserve
8,913
(2,209)
Deferred tax
(2,496)
619
Total items that may be subsequently reclassified to the Income Statement6,417
(1,590)
TOTAL OTHER COMPREHENSIVE INCOME, AFTER INCOME TAX8,143
435,743
TOTAL COMPREHENSIVE INCOME/(LOSS) FOR THE PERIOD, AFTER INCOME TAX20,103
(116,886)
ATTRIBUTABLE TO:
Owners of the Parent
20,103
(116,886)
The above Consolidated Statement of Comprehensive Income is to be read in conjunction with the notes on
pages 75 to 100.
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Consolidated Balance Sheet
AS AT 31 DECEMBER
2022
GROUPGROUP
20222021
NOTE
$000$000
ASSETS
Cash and cash equivalents
2,386
16,069
Trade and other receivables15
23,047
139,847
Income tax receivable
-
684
Derivative
financial
instruments
33
5,263
Inventories
5,057
2,015
TOTAL CURRENT ASSETS30,523
163,878
NON-CURRENT ASSETS
Inventories
-
3,719
Derivative financial
instruments
14,143
4,875
Intangibles9
5,909
27,059
Property, plant and equipment8
876,054
869,137
Other assets10
19,714
6,200
Right-of-use assets
585
650
Deferred tax assets5
-
82,059
TOTAL NON-CURRENT ASSETS916,405
993,699
TOTAL ASSETS946,928
1,157,577
LIABILITIES
CURRENT LIABILITIES
Trade and other payables17
19,334
155,167
Derivative financial
instruments
934
387
Lease liabilities
62
805
Employee
benefits18
877
9,937
Provisions14
34,693
87,088
TOTAL CURRENT LIABILITIES55,900
253,384
NON-CURRENT LIABILITIES
Borrowings13
259,583
199,698
Lease liabilities
557
1,600
Employee
benefits18
5,878
7,953
P
rovisions14
70,498
98,349
Deferred tax liabilities5
36,020
101,105
TOTAL NON-CURRENT LIABILITIES372,536
408,705
TOTAL LIABILITIES428,436
662,089
NET ASSETS518,492
495,488
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

GROUPGROUP
20222021
NOTE
$000$000
EQUITY
Contributed equity
314,504
313,974
Revaluation reserve
422,771
422,771
Treasury stock
(1,462)
(1,168)
Employee share entitlement reserve7
4,240
1,586
Cash
flow
hedge reserve19
10,125
3,708
Retained earnings
(231,686)
(245,383)
TOTAL EQUITY518,492
495,488
The Board of Directors of Channel Infrastructure NZ Limited authorised these financial statements for issue on
23 February 2023.
For and on behalf of the Board
J B Miller
Chair of the Board
A M Molloy
Chair of the Audit and Finance Committee
The above Consolidated Balance Sheet is to be read in conjunction with the notes on pages 75 to 100
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Consolidated Statement of
Changes in Equity
FOR THE YEAR ENDED 31 DECEMBER
2022
CONTRIBUTED EQUITYREVALUATION RESERVETREASURY STOCKEMPLOYEE SHARE SCHEME
ENTITLEMENT RESERVE
CASH FLOW
HEDGE RESERVE
RETAINED EARNINGSTOTAL EQUITY
NOTE
$000$000$000$000$000$000$000
AT 1 JANUARY 2021266,057-(896)7795,298292,692563,930
COMPREHENSIVE INCOME
Net loss after income tax-----(552,629)(552,629)
Other comprehensive income
Revaluations of property, plant
and equipment-587,182----587,182
Movement in cash
flow hedge reserve19----(2,209)-(2,209)
De
fined
benefit actuarial gain18-----20,22520,225
Deferred tax on other
comprehens
ive income
-(164,411)--619(5,663)(169,455)
TOTAL OTHER COMPREHENSIVE GAIN, AFTER
INCOME TAX
-422,771--(1,590)14,562435,743
TRANSACTIONS WITH OWNERS OF
THE PARENT
Equity-settled share-based payments---1,076--1,076
Shares vested to employees--269(269)---
Treasury shares issued541-(541)----
Equity issue47,376-----47,376
Unclaimed dividends written back-----(8)(8)
TOTAL TRANSACTIONS WITH OWNERS OF
THE PARENT
47,917-(272)807-(8)48,444
AT 31 DECEMBER 2021
313,974422,771(1,168)1,5863,708(245,383)495,488
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

CONTRIBUTED EQUITYREVALUATION RESERVETREASURY STOCKEMPLOYEE SHARE SCHEME
ENTITLEMENT RESERVE
CASH FLOW
HEDGE RESERVE
RETAINED EARNINGSTOTAL EQUITY
NOTE
$000$000$000$000$000$000$000
AT 1 JANUARY 2021266,057-(896)7795,298292,692563,930
COMPREHENSIVE INCOME
Net loss after income tax-----(552,629)(552,629)
Other comprehensive income
Revaluations of property, plant
and equipment-587,182----587,182
Movement in cash
flow hedge reserve19----(2,209)-(2,209)
De
fined
benefit actuarial gain18-----20,22520,225
Deferred tax on other
comprehens
ive income
-(164,411)--619(5,663)(169,455)
TOTAL OTHER COMPREHENSIVE GAIN, AFTER
INCOME TAX
-422,771--(1,590)14,562435,743
TRANSACTIONS WITH OWNERS OF
THE PARENT
Equity-settled share-based payments---1,076--1,076
Shares vested to employees--269(269)---
Treasury shares issued541-(541)----
Equity issue47,376-----47,376
Unclaimed dividends written back-----(8)(8)
TOTAL TRANSACTIONS WITH OWNERS OF
THE PARENT
47,917-(272)807-(8)48,444
AT 31 DECEMBER 2021
313,974422,771(1,168)1,5863,708(245,383)495,488
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

CONTRIBUTED EQUITYREVALUATION RESERVETREASURY STOCKEMPLOYEE SHARE SCHEME
ENTITLEMENT RESERVE
CASH FLOW
HEDGE RESERVE
RETAINED EARNINGSTOTAL EQUITY
NOTE
$000$000$000$000$000$000$000
AT 1 JANUARY 2022
313,974422,771(1,168)1,5863,708(245,383)495,488
COMPREHENSIVE INCOME
Net
profit
after income tax
-----11,96011,960
Other comprehensive income
Revaluations of property, plant
and equipment
-------
Movement in cash
flow hedge reserve19
----8,913-8,913
De
fined
benefit actuarial gain18
-----2,3972,397
Deferred tax on other
comprehens
ive income
----(2,496)(671)(3,167)
TOTAL OTHER COMPREHENSIVE GAIN, AFTER
INCOME TAX
----6,4171,7268,143
TRANSACTIONS WITH OWNERS OF
THE PARENT
Equity-settled share-based payments
---2,890--2,890
Shares vested to employees
--236(236)---
Treasury shares issued
530-(530)----
Unclaimed dividends written back
-----1111
TOTAL TRANSACTIONS WITH OWNERS OF
THE PARENT
530-(294)2,654-112,901
AT 31 DECEMBER 2022314,504422,771(1,462)4,24010,125(231,686)518,492
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

CONTRIBUTED EQUITYREVALUATION RESERVETREASURY STOCKEMPLOYEE SHARE SCHEME
ENTITLEMENT RESERVE
CASH FLOW
HEDGE RESERVE
RETAINED EARNINGSTOTAL EQUITY
NOTE
$000$000$000$000$000$000$000
AT 1 JANUARY 2022
313,974422,771(1,168)1,5863,708(245,383)495,488
COMPREHENSIVE INCOME
Net
profit
after income tax
-----11,96011,960
Other comprehensive income
Revaluations of property, plant
and equipment
-------
Movement in cash
flow hedge reserve19
----8,913-8,913
De
fined
benefit actuarial gain18
-----2,3972,397
Deferred tax on other
comprehens
ive income
----(2,496)(671)(3,167)
TOTAL OTHER COMPREHENSIVE GAIN, AFTER
INCOME TAX
----6,4171,7268,143
TRANSACTIONS WITH OWNERS OF
THE PARENT
Equity-settled share-based payments
---2,890--2,890
Shares vested to employees
--236(236)---
Treasury shares issued
530-(530)----
Unclaimed dividends written back
-----1111
TOTAL TRANSACTIONS WITH OWNERS OF
THE PARENT
530-(294)2,654-112,901
AT 31 DECEMBER 2022314,504422,771(1,462)4,24010,125(231,686)518,492
The above Consolidated Statement of Changes in Equity is to be read in conjunction with the notes on pages 75
to 100
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Consolidated Statement of Cash Flows
FOR THE YEAR ENDED 31 DECEMBER
2022
GROUPGROUP
20222021
$000$000
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers
163,197
221,353
Payment for supplies and expenses
(104,836)
(118,277)
Payments to employees
(57,680)
(57,352)
Interest received
183
112
Interest paid
(13,494)
(10,566)
Net GST paid
(2,518)
(567)
Income tax received/(paid)
1,018
(8)
NET CASH (OUTFLOW) / INFLOW FROM OPERATING ACTIVITIES(14,130)
34,695
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from sale of intangible assets
2,413
1,947
Payments for property, plant and equipment
(59,143)
(33,447)
NET CASH OUTFLOW FROM INVESTING ACTIVITIES(56,730)
(31,500)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of loans and borrowings
(39,000)
(75,000)
Proceeds from bond issuance
98,111
-
Net proceeds from issue of share capital
-
47,376
Lease payments
(1,945)
(2,782)
Unclaimed dividends
11
(9)
NET CASH INFLOW / (OUTFLOW) FROM FINANCING ACTIVITIES57,177
(30,415)
NET DECREASE IN CASH AND CASH EQUIVALENTS(13,683)
(27,220)
Cash and cash equivalents at the beginning of the period
16,069
43,289
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD2,386
16,069
The above Consolidated Cash Flow Statement is to be read in conjunction with the notes on pages 75 to 100
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Notes to the Consolidated
Financial St
atements
FOR THE YEAR ENDED 31 DECEMBER 2022
Reporting Entity
Channel Infrastructure NZ Limited (previously The New
Zealand
Refining Company Limited, trading as Refining
NZ) (‘Parent’, ‘Company’ or ‘Channel Infrastructure’)
is a profit-oriented company registered under the
Companies Act 1993 and an FMC Reporting Entity for
the purposes of the Financial Markets Conduct Act 2013.
Channel Infrastructure is listed, and its ordinary shares
are quoted under the ticker CHI (previously NZR) on the
NZX Main Board Equity Market (‘NZX Main Board’) and its
subordinated notes (ticker CHI010) and corporate bonds
(ticker CHI020) are quoted on the NZX Debt Market.
The consolidated financial statements for the year ended
3
1 December 2022 presented are those of Channel
Infrastructure together with its subsidiaries (‘the Group’).
Subsidiaries are all entities over which the Group has
control and includes Channel Terminal Services Limited,
Independent Petroleum Laboratory Limited, Maranga Rā
Holdings Limited and CHI Future Developments Limited.
Basis of Preparation
These consolidated financial
statements for the year
ended 31 December 2022 comply with:
• The Financial Markets Conduct Act 2013,
• Generally Accepted Accounting Practice in New
Zealand (‘NZ G
AAP’),
• New Zealand equivalents to the International Financial
Repor
ting Standards (‘NZ IFRS’) and other authoritative
pronouncements of the External Reporting Board, as
appropriate for for-profit entities, and International
Financial Reporting Standards (IFRS).
The consolidated financial statements are prepared on
the his
torical cost basis, except for property, plant and
equipment, investment properties, derivative financial
instruments and plan assets (included in the net defined
benefit pension plan liability) which are measured at
fair value.
The consolidated financial statements are prepared on
a GS
T exclusive basis and presented in New Zealand
dollars ($) which is the Group’s functional currency,
and the financial information has been rounded to the
nearest thousand dollars ($000), unless otherwise stated.
Comparatives in the consolidated income statement
have been r
epresented due to the classification of oil
refining activities as ‘discontinued operations’ (refer Note
1 for further information).
Use of Judgements and Estimates
The preparation of
financial
statements requires directors
and the management to make certain judgements,
estimates and assumptions that affect the application
of accounting policies and reported amounts of
assets, liabilities, income and expenses. The areas
involve estimates and assumptions that can significantly
affect the amounts recognised in the consolidated
financial statements:
•
Fair value and useful lives of property, plant and
equipment – in 2021 the Group adopted the fair
value model as the measurement base for property,
plant and equipment (refer to the 2021 financial
statements for further details). Effective from 1 January
2022, the Group reassessed the remaining useful lives
of it
s infrastructure assets resulting in changes to
remaining lives of certain assets (refer to Note 8 for
further information).
•Provisions – consistent with the 2021 financial
s
tatements, the Group continues to recognise several
pro
visions in relation to the conversion of the refinery
into a dedicated fuels import terminal operation (refer
to Note 14 for further details).
•Recoverability of tax losses – during the year,
the Group gener
ated a tax loss of c.$437 million,
increasing the balance of total available losses
(including losses from prior years) to c.$507 million at
31 December 2022. A deferred tax asset in respect of
these unutilised tax losses has been recognised.
On the basis that at least 49 per cent continuity of
shareholding is maintained, or if there were to be a
breach of shareholder continuity, that the Company
could satisfy the Business Continuity Test (dependent
on ‘there being no major’ or a ‘permitted major’
change in the business), management and the Board
believe that future taxable profits will be available
against which the lo
sses can be offset and therefore
the deferred tax asset realised.
•Discontinued operations – in March 2022, the
Group ceas
ed refining operations and commenced
operations as a dedicated liquid fuels import terminal
from 1 April 2022. This has resulted in the refining
cash generating unit being classified as ‘discontinued
operations’. For further details, including judgements
relating to the processing fees, refer to Note 1.
Note, the results from continuing operations (as
pre
sented in the consolidated income statement)
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

include import terminal fees earned under the Terminal
Service
s Agreements and Private Storage Agreements,
and Wiri land and terminal lease income from 1 April
2022, and the associated operating costs, as well as
the results of Independent Petroleum Laboratory for
the full financial year.
Significant Accounting Policies
The mat
erial accounting policies applied in the
prepar
ation of these consolidated financial statements
have been consistently applied to all periods presented.
There were no new or amended accounting standards
mandator
y for the year ended 31 December 2022 that
were considered to have a material impact to the Group.
The Group has early adopted in 2022 amendments to IAS
1 Presentation and disclosure: Disclosures of Accounting
P
olicies issued by the XRB (effective for periods beginning
on or after 1 January 2023) which require entities to
disclose only those accounting policies that relate to
material transactions.
The XRB has issued a number of other standards,
amendments and int
erpretations which are not yet
effective, of which an impact on the Group’s consolidated
financial statements is not considered to be material.
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

1 Discontinued Operations
Following the Strategic review undertaken by the Company and the Final Investment Decision taken by the Board
to pr
oceed with the conversion to an import terminal (as detailed in the 2021 consolidated financial statements), the
Group ceased refining operations in March 2022, and commenced operations as a dedicated fuels import terminal
from 1 April 2022.
The cessation of refining activities in March 2022 has resulted in
refining operations being classified as ‘discontinued
operations’; these include processing fees, pipeline fees and other refining income earned under the Processing
Agreements, and Wiri land and terminal lease income to 31 March 2022, and the associated operating costs, and are
outlined in the below table.
Processing fees are determined by the Company in accordance with the terms of the Processing Agreements with
each cust
omer. The Company is currently in dispute with some related-party customers in relation to 2022 processing
fees associated with the cessation of refining activities, with these disputes having been referred to arbitration.
Processing fee revenue recognised for the period to 31 March 2022 of $47 million reflects the Company’s best estimate
of the revenue earned during that period. The Company’s maximum exposure to the disputes is limited by the
operation of the Processing Fee Floor (revenue recognised in Q1 in excess of the fee floor was c.$11 million).
GROUPGROUP
20222021
NOTE
$000$000
INCOME
Revenue3
69,950
231,001
TOTAL INCOME69,950
231,001
EXPENSES
Purchase of process materials and utilities
19,390
72,083
Materials and contractor payments
4,708
17,260
Salaries, wages and benefits
15,193
36,157
Administration and other costs
6,705
29,905
TOTAL EXPENSES45,996
155,405
EARNINGS BEFORE DEPRECIATION, IMPAIRMENT, CONVERSION COSTS, FINANCE
COSTS AND INCOME TAX
23,954
75,596
Depreciation and disposal costs
7,907
82,923
Conversion costs
2,968
175,516
Impairment / revaluation of assets
5,043
567,361
TOTAL DEPRECIATION, DISPOSALS, CONVERSION COSTS AND IMPAIRMENT15,918
825,800
NET PROFIT / (LOSS) BEFORE FINANCE COSTS AND INCOME TAX8,036
(750,204)
Finance income
(42)
(109)
Finance costs
5,719
11,103
NET FINANCE COSTS5,677
10,994
NET PROFIT / (LOSS) BEFORE INCOME TAX2,359
(761,198)
Income Tax
6,953
(211,350)
NET LOSS AFTER INCOME TAX(4,594)
(549,848)
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

20222021
$000$000
CASH FLOWS (USED IN) / FROM DISCONTINUED OPERATIONS
Net cash (used in) / from operating activities
(59,308)
33,873
Net cash used in investing activities
(11,563)
(30,385)
Net cash used in financing
activities
(1,860)
(30,415)
NET CASH FLOWS USED IN DISCONTINUED ACTIVITIES FOR THE PERIOD(72,731)
(26,927)

2 Segment Reporting
(a)Identification and description of reportable segments and reporting measures
Management reviews the Group’s performance of operating segments primarily based on revenue and adjusted
earnings be
f
ore depreciation, finance costs and income tax (‘Adjusted EBITDA’). For a reconciliation between the
Non-GAAP measure, Adjusted EBITDA, to the reported EBITDA refer to Note 23. Assets and liabilities information,
depreciation, finance income and costs and income taxes are managed on a Group basis and are therefore not
presented as part of the segment information.
Effective
1 April 2022, management has identified one reportable segment, Infrastructure, which comprises the
dedicated fuels import terminal system (including jetty infrastructure at Marsden Point, storage tanks, and Marsden
Point to Auckland pipeline), and Wiri land and terminal leases from 1 April 2022 and the fuel testing laboratory for the
full year
. The oil refining segment represents results from refining and pipeline operations and Wiri land and terminal
leases until 31 March 2022 when the refining business has been discontinued and classified as discontinued operations
(as disclosed under Note 1 ). 2021 financials have been represented to reflect this change in segment reporting.

(b) Segment results
31 December 2022Infr
astructureOil RefiningTotal
$000$000$000
CONTINUING OPERATIONS
External customer
88,237-88,237
Inter-segment
1,633-1,633
TOTAL REVENUE FROM CONTINUING OPERATIONS89,870-89,870
DISCONTINUED OPERATIONS
External customer
53969,41169,950
Inter-segment
---
TOTAL REVENUE FROM DISCONTINUED OPERATIONS53969,41169,950
TOTAL REVENUE
1
90,40969,411159,820
ADJUSTED EBITDA
2
57,45227,01884,470
1 Prior to consolidation eliminations
2 Adjusted EBITDA is adjusted earnings before depreciation, impairment, conversion costs, finance costs and income tax
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

31 December 2021 (restated)Infr
astructureOil RefiningTotal
$000$000$000
CONTINUING OPERATIONS
External customer3,093-3,093
Inter-segment4,276-4,276
TOTAL REVENUE FROM CONTINUING OPERATIONS
7,369-7,369
DISCONTINUED OPERATIONS
External customer-231,001231,001
Inter-segment---
TOTAL REVENUE FROM DISCONTINUED OPERATIONS
-231,001231,001
TOTAL REVENUE
1
7,369231,001238,370
ADJUSTED EBITDA
2
(2,750)72,01869,268
1 Prior to consolidation eliminations
2 Adjusted EBITDA is adjusted earnings before depreciation, impairment, conversion costs, finance costs and income tax
3 Income
Import terminal and associated fees are recognised over time as services are delivered. An output method
is applied to meas
ure progress of the services provided. The revenue is recognised in the amounts invoiced,
applying the practical expedient in NZ IFRS 15, reflecting actual throughput, adjusted for minimum fee (take-or-pay)
when applicable.
Rental income from operating leases (including Wiri terminal rental) is recognised on a straight-line basis in
accordance with the s
ubstance of the relevant agreements.
There is no significant
judgement involved in the price determination and allocation with respect to terminal fees. The
Group does not have contracts with customers where significant financing components, non-cash considerations or
consideration payable to customers, obligations for refunds or specific warranties would exist.
GROUPGROUP
20222021
(restated)
$000$000
CONTINUING OPERATIONS
Import terminal revenue
78,535
-
Wiri land and terminal lease income
4,519
-
Laboratory and other revenue
5,183
3,093
TOTAL REVENUE FROM CONTINUING OPERATIONS88,237
3,093
DISCONTINUED OPERATIONS
Processing fees
47,112
140,465
Natural Gas recovery
4,737
25,431
Pipeline and terminalling fee revenue
5,987
36,022
Wiri land and terminal lease income
1,506
6,525
Other refining
related income
10,608
22,558
TOTAL REVENUE FROM DISCONTINUED OPERATIONS69,950
231,001
TOTAL REVENUE158,187
234,094
Included in other income was a gain on sale of assets of $1.3 million (2021: $1.1 million).

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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

4 Related Parties
(a) Shareholders and other related parties
The Group entered into transactions with related parties, primarily processing and distribution revenues under the
P
r
ocessing Agreements until 31 March 2022 and import terminal and related revenue under the Terminal Services and
Private Storage Agreements from 1 April 2022.
The nature, transactions and balances with the related parties are as follows:
•Import Terminal Services – Channel Group provides import terminal and pipeline services to each of the Group’s
thr
ee shareholder customers, namely bp New Zealand Holdings Limited (BP), Mobil Oil New Zealand Limited (Mobil)
and Z Energy Limited under long-term Terminal Services Agreements which commenced on 1 April 2022, and Private
Storage Agreements. Prior to this, until March 2022, the Group provided processing and distribution services to these
shareholders under Processing Agreements with each of the customers. In 2022 c.89 per cent (2021: c.89 per cent) of
the Group’s total revenue was earned with shareholder customers. For credit terms refer to note 19.
•Lease income – relates to income associated with the Wiri fuel terminal infrastructure that is owned by the Parent
C
ompany and located on the land owned by Wiri Oil Services Limited. There has been no impact from the
conversion to an import terminal on these lease arrangements, which remain in place until their expiry in February
2025 and continue to be classified as non-cancellable operating leases with no right of renewal (meaning that at
the end of the lease term ownership of the Wiri fuel terminal assets reverts to Wiri Oil Services Limited).
•Excise Duty – prior to commencement of the import terminal operations, excise duty was collected from the
s
hareholder customers and paid to the New Zealand Customs Service on the same day each month (refer notes
15 and 17). Following the commencement of import terminal operations, the Company is no longer a Customs
Controlled Area and therefore ceased to collect and pay excise duty.
•Purchases of Goods and Services – prior to commencement of the import terminal operations, the Group
purchas
ed sulphur, a by-product of the refining process, which was then on-sold to third parties. From April 2022
sulphur is no longer produced by the Company. In addition, amongst underwriters of Channel's material damage
and business interruption insurance policy are companies related to Channel's shareholders and therefore a portion
of the insurance premium is paid to those companies.
Revenue, purchases and other charges from related parties
Revenue
1
PurchasesOther charges
TRANSACTION
VALUES FOR THE YEAR
ENDED 31 DECEMBER
BALANCES
OUTSTANDING AS AT
31 DECEMBER
TRANSACTION
VALUES FOR THE YEAR
ENDED 31 DECEMBER
BALANCES
OUTSTANDING AS AT
31 DECEMBER
TRANSACTION
VALUES FOR THE YEAR
ENDED 31 DECEMBER
BALANCES
OUTSTANDING AS AT
31 DECEMBER
202220212022202120222021202220212022202120222021
$000$000$000$000$000$000$000$000$000$000$000$000
BP
42,558
60,958
7,613
20,569
327
1,159
-
105
70
401
-
-
Mobil
38,538
56,231
2,923
54,451
429
1,181
-
70
70
526
-
-
Z Energy
59,691
89,208
4,714
59,000
1,403
1,431
230
269
-
-
-
-
Wiri Oil
7,127
6,955
70
45
-
-
-
-
-
-
-
-
TOTAL147,914
213,352
15,320
134,065
2,159
3,771
230
444
140
927
-
-
1 Revenue excludes excise duty.
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

(b) Directors’ fees and key management personnel compensation
Directors’ fees and key management personnel remuneration paid during the financial year were as follows:
GROUPGROUP
20222021
$000$000
Salaries and other short-term employee benefits
4,626
3,319
Post-employment benefits
128
123
KEY MANAGEMENT PERSONNEL COMPENSATION4,754
3,442
Directors' fees
838
790
KEY MANAGEMENT PERSONNEL COMPENSATION & DIRECTORS' FEES5,592
4,232
The increase in key management personnel compensation is related to cash payment of short term incentives (nil
in 20
21) and redundancy/transition payments, and increased Directors' fees related to changes in director numbers
through the year.
The cost associated with the key management personnel’s share scheme (not included in the above key management
pers
onnel compensation) amounts to $1.6 million (2021: $0.6 million).
The Company operates the following share schemes:
Chief Executive Share Rights Scheme
The Company has issued share performance rights to the current CEO Naomi James, details of which are disclosed in
the R
emuner
ation Report, which will vest on her ceasing to be CEO.
In the year ended 31 December 2022, the Company recognised an expense of $1.0 million (2021: $0.4 million) in relation
to the Chie
f Executive Officer’s share rights plans. The expense is measured at its fair value (determined based on the
Company’s share price and taking into account share liquidity discount and expected dividends) and recognised over
the vesting period. The weighted average remaining life of the scheme is 0.2 years (31 December 2021: 2.3 years).
Management Share Rights Scheme
In 2021 key members of management (including the Chief Executive) were awarded with two tranches of share rights
(in the f
orm o
f shares in the Company for nil consideration) to incentivise and retain selected key management to the
safe delivery of the conversion project. The first tranche of share rights vested on 1 January 2023 in accordance with
their terms and 1,931,890 shares in the Company were issued to the awardees of the share rights on 4 January 2023.
The second tranche of share rights are scheduled to vest on 28 February 2023 (and upon vesting 1,377,389 shares in
the Company will be issued on that date to awardees of the share rights), with the board having determined that the
vesting condition in relation to the safe, on time, on budget and to-plan conversion to import terminal operations in
2022 has been satisfied to date.
In the year ended 31 December 2022, the Company recognised an expense of $1.1 million (2021: $0.5 million) in relation
to the Management Shar
e Rights Scheme, including $0.6 million relating to key management personnel (not included in
the table above).

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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

5 Taxation
(a) Income tax expense
GROUPGROUP
20222021
$000$000
CONTINUING OPERATIONS
Net profit/(loss)
before income tax expense
23,078
(3,862)
Tax at the New Zealand corporate income tax rate of 28% (2021: 28%)
6,462
(1,081)
Tax effect
of amounts which are either non-deductible or taxable in calculating
taxable income:
Group loss offset
-
-
Income no
t assessable for tax
-
-
Expenses not deductible for tax
-
-
Adjustments in respect of current income tax in respect of previous years
62
-
INCOME TAX EXPENSE6,524
(1,081)
Represented by:
Current tax expense
62
(5)
Deferred tax recognised in the income statement
6,462
(1,076)
INCOME TAX EXPENSE6,524
(1,081)
(b) Deferred tax
NET DEFERRED TAX
ASSET / (LIABILITY)
RECOGNISED IN
PROFIT OR LOSS
RECOGNISED IN OTHER
COMPREHENSIVE
INCOME
NET
DEFERRED TAX
ASSET / (LIABILITY)
DEFERRED
TAX ASSET
DEFERRED
TAX LIABILITY
1 JAN 202131 DEC 2021
$000$000$000$000$000$000
Property, plant
and equipment(93,878)158,795(164,411)(99,494)-(99,494)
Provisions1,25241,125-42,37742,377-
Employee
benefits14,9492,693(5,663)11,97911,979-
Financial instruments(2,062)-619(1,443)-(1,443)
Intangibles(226)1,099-873873-
Right-of-use assets(708)540-(168)-(168)
Leases79295-887887-
Inventory2,2914,136-6,4276,427-
Tax losses15,5733,943-19,51619,516-
TOTAL
(62,017)212,426(169,455)(19,046)82,059(101,105)
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

NET DEFERRED TAX
ASSET / (LIABILITY)
RECOGNISED IN
PROFIT OR LOSS
RECOGNISED IN OTHER
COMPREHENSIVE
INCOME
NET
DEFERRED TAX
ASSET / (LIABILITY)
DEFERRED
TAX ASSET
DEFERRED
TAX LIABILITY
1 JAN 202231 DEC 2022
$000$000$000$000$000$000
Property, plant
and equipment
(99,494)(112,982)(210)(212,686)-(212,686)
Provisions
42,377(14,920)-27,45727,457-
Employee
benefits
11,979(7,455)(671)3,8533,853-
Financial ins
truments
(1,443)-(2,286)(3,729)-(3,729)
Intangibles
873(77)-796796-
Right-of-use assets
(168)(32)-(200)-(200)
Leases
887(429)-458458-
Inventory
6,427(282)-6,1456,145-
Tax losses
19,516122,370-141,886141,886-
TOTAL(19,046)(13,807)(3,167)(36,020)180,595(216,615)
The Group has estimated unused tax losses of c.$507 million (2021: $70 million) available to carry forward. A deferred
tax as
set in respect of these unutilised tax losses has been recognised. On the basis that at least a 49 per cent
continuity of shareholding is maintained, management and the Board believe that future taxable profits will be
available against which the tax losses can be recovered and therefore the deferred tax asset can be realised.
Any significant
change in the shareholding of Channel Infrastructure, or adverse change in future earnings and
profitability, could limit the Company’s ability to realise the deferred tax asset. Specifically, in case of shareholder
continuity breach occurring, the carry forward of tax losses would be subject to the Business Continuity Test.

6 Earnings Per Share
Earnings per share is calculated by dividing the profit/(loss) from continuing and discontinued operations, attributable
t
o s
hareholders of the Company, by the weighted average number of ordinary shares on issue during the year. The
Company’s share-based payments described in note b have no material dilutive effect on the earnings per share.
TOTALTOTAL
NOTE
20222021
Profit/(loss) after tax from continuing operations attributable to
s
hareholders of the Company
($000)
16,554
(2,781)
Loss after tax from discontinued operations attributable to
shareholders of the Company
($000)
(4,594)
(549,848)
Profit/(loss) after tax attributable to shareholders of
the C
ompany
($000)
11,960
(552,629)
Weighted average number of shares on issue000's7
371,629
317,756
BASIC EARNINGS PER SHARE FROM CONTINUING OPERATIONS
Cents
4.5
(0.9)
BASIC EARNINGS PER SHARE
Cents
3.2
(173.9)
83
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

7 Equity and Dividends
Contributed Equity. The issued capital of the Company as at 31 December 2022 is represented by 372,725,917 ordinary
shar
es (2021: 372,223,477) issued and fully paid, less 1,031,802 (2021: 1,175,163) treasury shares held by CRS Nominees
Limited. All ordinary shares rank equally with one vote attached to each ordinary share.
On 10 May
2022 the Company issued to the Chief Executive Officer (CEO) 232,991 share rights under the Chief Executive
Share Rights Scheme (refer to note 4).
On 13 April
2022, the Company issued 502,440 ordinary shares, at an issue price of $1.055 per share, pursuant to the
Employee Share Purchase Scheme. The shares are held on trust by CRS Nominees as Trustee until they are withdrawn
by the employees following a restricted period of three years.
Revaluation reserve. Revaluation reserve represents an accumulated revaluation gain on property, plant and
equipment v
alued at fair value. Please refer to note 8 for further details.
Treasury stock. Treasury stock represents the value of shares acquired by CRS Nominees Limited on-market, or shares
iss
ued by the Company, in respect of the Employee Share Purchase Scheme.
Employee share entitlement reserve. The employee share entitlement reserve is used to recognise the fair value of
s
hares granted but not vested to employees (as part of the Employee Share Purchase Scheme) or to the Chief
Executive or key management within the Share Rights Schemes. Amounts are transferred to share capital when the
shares vest to the employee.
Cash flow hedge reserve.
The cash flow hedge reserve comprises the effective portion of the cumulative net change
in the fair value of hedging instruments used in cash flow hedges pending subsequent recognition in the Consolidated
Income St
atement (refer to note 19).
Dividends. The Group has declared a fully imputed final dividend of 5 cents per share and a fully imputed special
dividend of 2 cent
s per share, payable on 20 March 2023 (no dividends were paid or declared in 2021). As at
31 December 2022 imputation credits available to shareholders, subject to 66 per cent shareholder continuity, amount
to $20.3 million being an equivalent of c.14 cents per share of fully imputed dividends (2021: $20.9 million or c.14 cents
per share).
84
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

8 Property, Plant and Equipment
Property, plant and equipment are included in the Common Terms Deed as detailed in note 13.
Revaluation of property, plant and equipment
All property, plant and equipment is recognised at fair value (following the change in the Group’s accounting policy
from a his
torical measurement base to a revaluation model, as disclosed in the 2021 consolidated financial statements)
less accumulated depreciation, except capital work in progress which is recognised at historical cost.
Any surplus on revaluation of property, plant and equipment is transferred directly to the Revaluation Reserve unless it
offsets a previous decrease in value recognised in the Consolidated Income Statement, in which case it is recognised
in the C
onsolidated Income Statement. A deficit
on revaluation of property, plant and equipment is recognised in
the Consolidated Income Statement in the period it arises where it exceeds any surplus previously transferred to the
Revaluation Reserve.
As at 31 December
2022 management has assessed the fair values of property, plant and equipment of the import
terminal system and concluded that it does not differ materially from its carrying value. As such no adjustment to the
carrying amounts was made in 2022. The previous valuation was carried out by PwC, a qualified independent valuer,
as at 31 December 2021.
The carrying amount of the import terminal system under the cost model was $218 million as at
31 December 2022.
Depreciation
Depreciation is provided on a straight-line basis on all property, plant and equipment other than freehold land and
capital w
ork in progress which are not depreciated. The remaining useful lives of the Group’s property, plant and
equipment have been reviewed resulting in changes to the remaining lives of certain import terminal system assets
outlined below:
USEFUL
LIVES
(YEARS)
Buildings2-30 years
Jetties14-45 years
Tanks20-45 years
Other Assets1-80 years
Marsden Point to Auckland Pipeline and other assets5-45 years
85
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

FREEHOLD LAND
AND IMPROVEMENTSBUILDINGS AND JETTIESREFINING PLANTEQUIPMENT AND VEHICLES
MARSDEN POINT TO
AUCKLAND PIPELINEIMPORT TERMINAL SYSTEMCAPITAL WORK IN PROGRESSTOTAL
$000$000$000$000$000$000$000$000
AT 1 JANUARY 2021
Cost78,009208,6153,053,708135,346224,603-59,4223,759,703
Accumulated depreciation and
impairment los
ses
(57,289)(110,761)(2,475,816)(99,229)(123,396)-(11,328)(2,877,819)
NET BOOK AMOUNT20,72097,854577,89236,117101,207-48,094881,884
YEAR ENDED 31 DECEMBER 2021
Opening net book value20,72097,854577,89236,117101,207-48,094881,884
Additions-13,1985,5551,254--15,14035,147
Disposals------(429)(429)
Depreciation charge(1,496)(10,579)(62,219)(4,951)(3,412)--(82,657)
Impairment of assets(8,644)(72,321)(421,665)(10,831)--(38,530)(551,991)
NET BOOK AMOUNT AFTER IMPAIRMENTS10,58028,15299,56321,58997,795-24,275281,954
Transfers(6,236)(28,152)(65,863)(21,589)(97,795)219,635--
Revaluation11,275----575,907-587,182
CLOSING NET BOOK AMOUNT15,619-33,700--795,54224,275869,136
AT 31 DECEMBER 2021
Revalued amount15,619-33,700--795,54224,275869,136
Accumulated depreciation--------
NET BOOK AMOUNT
15,619-33,700--795,54224,275869,136
YEAR ENDED 31 DECEMBER 2022
Opening net book value
15,619-33,700--795,54224,275869,136
Additions
------47,01147,011
Disposals
-----(1,955)-(1,955)
Depreciation charge
-----(33,238)-(33,238)
Impairment / revaluation
--(4,900)----(4,900)
NET BOOK AMOUNT AFTER IMPAIRMENTS15,619-28,800--760,34971,286876,054
Transfers
-----27,909(27,909)-
Revaluation
--------
CLOSING NET BOOK AMOUNT15,619-28,800--788,25843,377876,054
AT 31 DECEMBER 2022
Revalued amount
15,619-28,800--821,49643,377909,292
Accumulated depreciation
-----(33,238)-(33,238)
NET BOOK AMOUNT15,619-28,800--788,25843,377876,054
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

FREEHOLD LAND
AND IMPROVEMENTSBUILDINGS AND JETTIESREFINING PLANTEQUIPMENT AND VEHICLES
MARSDEN POINT TO
AUCKLAND PIPELINEIMPORT TERMINAL SYSTEMCAPITAL WORK IN PROGRESSTOTAL
$000$000$000$000$000$000$000$000
AT 1 JANUARY 2021
Cost78,009208,6153,053,708135,346224,603-59,4223,759,703
Accumulated depreciation and
impairment los
ses
(57,289)(110,761)(2,475,816)(99,229)(123,396)-(11,328)(2,877,819)
NET BOOK AMOUNT20,72097,854577,89236,117101,207-48,094881,884
YEAR ENDED 31 DECEMBER 2021
Opening net book value20,72097,854577,89236,117101,207-48,094881,884
Additions-13,1985,5551,254--15,14035,147
Disposals------(429)(429)
Depreciation charge(1,496)(10,579)(62,219)(4,951)(3,412)--(82,657)
Impairment of assets(8,644)(72,321)(421,665)(10,831)--(38,530)(551,991)
NET BOOK AMOUNT AFTER IMPAIRMENTS10,58028,15299,56321,58997,795-24,275281,954
Transfers(6,236)(28,152)(65,863)(21,589)(97,795)219,635--
Revaluation11,275----575,907-587,182
CLOSING NET BOOK AMOUNT15,619-33,700--795,54224,275869,136
AT 31 DECEMBER 2021
Revalued amount15,619-33,700--795,54224,275869,136
Accumulated depreciation--------
NET BOOK AMOUNT
15,619-33,700--795,54224,275869,136
YEAR ENDED 31 DECEMBER 2022
Opening net book value
15,619-33,700--795,54224,275869,136
Additions
------47,01147,011
Disposals
-----(1,955)-(1,955)
Depreciation charge
-----(33,238)-(33,238)
Impairment / revaluation
--(4,900)----(4,900)
NET BOOK AMOUNT AFTER IMPAIRMENTS15,619-28,800--760,34971,286876,054
Transfers
-----27,909(27,909)-
Revaluation
--------
CLOSING NET BOOK AMOUNT15,619-28,800--788,25843,377876,054
AT 31 DECEMBER 2022
Revalued amount
15,619-28,800--821,49643,377909,292
Accumulated depreciation
-----(33,238)-(33,238)
NET BOOK AMOUNT15,619-28,800--788,25843,377876,054
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

9 Intangibles
Intangibles relate to New Zealand Units (NZUs), being carbon units issued under the New Zealand Emissions Trading
Scheme (NZ ET
S) by the Crown to the Parent company pursuant to the Company’s Negotiated Greenhouse Agreement
(NGA), which came to an end with the cessation of refining activities from April 2022.
NZUs are recognised at historical cost and presented on a gross basis, i.e. intangibles represent all carbon units held
by the C
ompany at balance date. As at 31 December 2022 the Company holds a surplus of c.72,000 units (available
for sale).
Carbon units have an indefinite
useful life as they remain in indefinite circulation under the NZ ETS. A review of
useful lives and an impairment assessment has taken place as at year end, concluding that the useful life remains
appropriate, and the intangibles are not impaired (2021: Nil).

10 Other Assets
Other assets include:
• Investment properties ($6.2
million) - land leased by Parent (refer to Note 11 for further details) and held at fair value
through profit and loss. The last revaluation of the investment property was undertaken in 2021.
• Precious metal (platinum) ($13.5 million) - platinum purchased in December 2022 as part of the platinum lease
se
ttlement, which is expected to be recovered and sold within 12 to 24 months. Platinum is held at fair value through
profit and loss (discontinued operations).

11 Operating Leases
Lease income from operating leases, where the Group is a lessor, are recognised as income on a straight-line basis
o
v
er the period of the lease.
The Group has the following leases where it acts as a lessor:
• Lease of land and terminal assets located at Wiri, South Auckland, to Wiri Oil Services Limited (refer to note 4) under
a non-cancellable oper
ating lease which expires in February 2025 with no right of renewal. The annual Wiri terminal
and land lease income and land lease cost are recognised on a straight-line basis over the period of lease and
amounted to $6.5 million and $0.5 million, respectively, in 2022 (2021: $6.5 million and $0.5 million);
• Lease of some surplus land at Marsden Point – the original lease ending in 2021 was renewed by the lessee for
another period o
f 21 years.
GROUPGROUP
20222021
$000$000
Lease payments receivable from operating leases where the Group is a lessor
- No later than one year
6,652
6,663
- One to
five
years
8,536
15,061
- Beyond five
years
1,962
2,088
TOTAL17,150
23,812
12 Contractual Commitments
Commitments are related to asset purchases and other ongoing contractual commitments as at the reporting
date but no
t provided for in the consolidated financial statements. As at 31 December 2022, the total contractual
commitments amounted to $34 million (31 December 2021: $21.5 million), and are primarily related to import terminal
conversion project costs.
88
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

13 Borrowings
In May 2022, Channel Infrastructure issued $100
million of unsecured, unsubordinated, fixed rate retail bonds for
a term of five years, maturing on 20 May 2027. The bonds are quoted on the NZDX. The net proceeds from the
retail bonds provided diversification of funding that aligns with an infrastructure business, and were applied towards
repaying a portion of Channel Infrastructure’s existing bank debt and to replace some of its bank facilities which were
subsequently cancelled.
In November 2022, Channel Infrastructure fully refinanced
$205 million of bank debt and its current banking group
comprises ANZ Bank New Zealand Limited, ASB Bank New Zealand, Bank of New Zealand, China Construction Bank
(New Zealand) Limited and Westpac New Zealand. Following the bank refinancing the Group’s total funding facilities
are $380 million with no maturities within 12 months, and an average tenor of 3.5 years as at 31 December 2022.
Average tenor calculated on the assumption that the subordinated notes are redeemed at their reset date in March
2024 (noting that the Company may either exercise a right to redeem the notes or a right to offer new conditions to
the noteholders).
The carrying amounts of borrowings approximate their fair value. The borrowings are unsecured. The Parent can
det
ermine which revolving cash advance facility will be drawn upon meeting funding requirements. The Parent borrows
under a Common Terms Deed which requires certain certificates and covenants.
The table below outlines the maturity profile
of the facilities as at 31 December 2022:
GROUPGROUP
MATURITY DATE
20222021
$000$000
BORROWINGS
Non-current borrowings:
Revolving cash advancesMar-23
-
50,000
Revolving cash advancesJun-24
-
25,000
Revolving cash advancesMar-25
-
50,000
Revolving cash advancesNov-25
50,000
-
Revolving cash advancesNov-26
16,000
-
Revolving cash advancesNov-27
20,000
-
Subordinated notes
1
Mar-34
74,791
74,698
Retail bonds
1
May-27
98,792
-
Total non-current borrowings259,583
199,698
TOTAL BORROWINGS259,583
199,698
UNDRAWN FACILITIES
Revolving cash advancesMar-22
-
40,000
Revolving cash advancesDec-22
-
15,000
Revolving cash advancesMar-23
-
95,000
Revolving cash advancesJun-24
-
15,000
Revolving cash advancesMar-25
-
45,000
Revolving cash advancesNov-25
15,000
-
Revolving cash advancesNov-26
59,000
-
Revolving cash advancesNov-27
45,000
-
TOTAL UNDRAWN BORROWING FACILITIES119,000
210,000
1 The difference
between the carrying value of the subordinated notes and retail bonds and their face values is due to unamortised issue costs and
accrued interest. While the expiry of the subordinated notes is on 1 March 2034, the first election date is in March 2024, when the Company may elect
to either redeem the notes or to offer new conditions to the noteholders.
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Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

14 Provisions
Provisions are liabilities of uncertain timing and amount, recognised where the Group has an obligation (legal or
constructiv
e) whose settlement will require an outflow of resources and can be reliably measured.
All provisions are recognised in amounts reflecting the present value of future expected cash outflows. In estimating
the pro
visions, the Group assumed a long-term inflation rate of 2 per cent (2021: 1.9 per cent) and discount rates
between 4.5 per cent and 5.12 per cent (2021: between 1.3 per cent and 3.1 per cent), respectively.
SHUT DOWN
AND DECOMMISSIONING
DEMOLITION
AND RESTORATION
WORKFORCE AND
OTHER PROVISIONS
TOTAL
$000$000$000$000
AT 1 JANUARY 2021-6,9005,27412,174
Additions - conversion related88,39555,38031,741175,516
Additions - other-6,776-6,776
Utilisation(5,150)-(4,372)(9,522)
Finance costs12332248493
AT 31 DECEMBER 2021
83,36869,37832,691185,437
Current60,92446025,70487,088
Non-current22,44468,9186,98798,349
SHUT DOWN
AND DECOMMISSIONING
DEMOLITION
AND RESTORATION
WORKFORCE AND
OTHER PROVISIONS
TOTAL
$000$000$000$000
AT 1 JANUARY 2022
83,36869,37832,691185,437
Additions - conversion related
-5,5003,7329,232
Additions - other
----
Utilisation
(45,111)-(30,826)(75,937)
Adjustment for change in discount rate
(876)(13,991)(1,083)(15,950)
Finance costs
9811,1322962,409
AT 31 DECEMBER 202238,36262,0194,810105,191
Current
31,4981003,09534,693
Non-current
6,86461,9191,71570,498
The key provisions as at 31 December 2022 include:
•Refinery shutdown and decommissioning – Costs associated with the decommissioning of redundant refining assets
which are not suitable for immediate repurposing.
•Demolition and restoration – Costs associated with the demolition of select refining assets, assumed to occur 10
y
ears after the import terminal conversion, as well as jetty demolition at the end of the lease period.
The Company also recognised a provision associated with environmental obligations resulting from Channel
Infras
tructure’s commitments, as part of the resource consents obtained in April 2021, to continue maintaining the
current high level of environmental standards.
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15 Trade and Other Receivables
GROUPGROUP
20222021
NOTE
$000$000
Trade receivables
19,005
20,604
Other receivables and prepayments
4,042
5,021
Excise duty17
-
114,222
TOTAL TRADE AND OTHER RECEIVABLES23,047
139,847
Trade receivables are due from customers, non-interest bearing and are normally settled on seven to 21-day terms.
Due t
o the short-term nature of trade receivables, their carrying amount is considered the same as their fair value.
Excise duty receivable as at 31 December 2021 was due from customers and collected by the Parent on behalf of the
New Z
ealand Customs Service and paid on the same day each month (corresponding offset is presented as a payable
in note 17. Following the commencement of import terminal services, the Company is no longer a Customs Controlled
Area and therefore ceased to collect and pay excise duty as described above.
Trade and other receivables-related party balances are disclosed in note 4
.
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16 Cash and Cash Equivalents
The Group’s cash and cash equivalents comprise cash on hand, demand deposits and short-term, highly liquid
inv
estments that are readily convertible to known amounts of cash.
Reconciliation of net cash flow from operating activities to reported profit/(loss):
GROUPGROUP
20222021
$000$000
NET INCOME / (LOSS) AFTER INCOME TAX11,960
(552,629)
Adjusted for non-cash transactions:
Depreciation and disposal costs
32,517
84,038
Impairment/revaluation of assets
5,043
567,361
Movement in deferred tax
16,974
(42,971)
Add movement in deferred tax on items included in other
compr
ehens
ive income
(3,167)
(169,455)
Movement in provisions
(80,246)
173,263
Less (increase)/decrease in provisions relating to property, plant and equipment
1,955
(17,739)
Employee share scheme entitlement reserve
2,890
1,076
Decrease/(increase) in intangibles
21,150
(17,091)
Less proceeds from sale of intangibles
(2,553)
(1,947)
Interest and other non-cash movements
6,957
(4,879)
Adjusted for movements in working capital items
Decrease in trade and other receivables
116,800
21,047
Decrease in trade and other payables
(135,833)
(7,585)
Less increase/(decrease) in trade and other payables relating to property,
plant and equipment and int
angible
s
(1,200)
2,941
Decrease in employee benefits
liabilities
(11,135)
(33,826)
Less employee entitlements included in other comprehensive income
2,397
20,225
Decrease/(increase) in income tax receivable
684
(7)
Decrease in inventories
677
12,873
NET CASH (OUTFLOW) / INFLOW FROM OPERATING ACTIVITIES(14,130)
34,695
In the Consolidated Statement of Cash Flows, the deposits placements and withdrawals and bank borrowings receipts
and repayment
s are presented on a net basis as their turnover is quick, amounts are large, and the maturities are
relatively short.
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The below sets out an analysis of the Group’s liabilities for which cash flows
have been, or will be, classified as financing
activities in the statement of cash flows:
CASH AND
CASH
EQUIVALENTS
BORROWINGS DUE
WITHIN ONE YEAR
BORROWINGS DUE
AFTER ONE YEAR
NET DEBT
POSITION
LEASE DUE
WITHIN ONE
YEAR
LEASE DUE
AFTER ONE
YEAR
TOTAL
$000$000$000$000$000$000$000
NET (CASH)/ DEBT AS AT 1
JANUARY 2021
(43,289)-274,611231,3222023,940235,464
Cash
flows
(Cash)27,220-(74,913)(47,693)--(47,693)
Finance lease payments----(2,782)-(2,782)
Other non-cash movements----3,385(2,340)1,045
NET (CASH)/DEBT AS AT 1
JANUARY 2022(16,069)-199,698183,6298051,600186,034
Cash flows
13,683-59,88573,568--73,568
Finance lease payments
----(2,111)(1,043)(3,154)
Other non-cash movements
----1,368-1,368
NET (CASH)/DEBT AS AT 31
DECEMBER 2022(2,386)-259,583257,19762557257,816
Cash and cash equivalents include $0.3 million (2021: $3.0
million) held by Channel Infrastructure’s electricity futures
broker as collateral and $0.06 million (2021: $4.9 million) held as cash prudential for spot electricity purchases.

17 Trade and Other Payables
GROUPGROUP
20222021
NOTE
$000$000
Trade payables
19,334
22,738
Goods services tax payable
-
354
Deferred income
-
17,853
Excise duty15
-
114,222
TOTAL TRADE AND OTHER PAYABLES19,334
155,167
Trade payables are unsecured, non-interest bearing and are usually paid within 30 days of recognition.
Following the commencement of import terminal services, the Company was no longer a Customs Controlled Area and
ther
e
fore ceased to collect and pay excise duty.
Deferred income relates to the New Zealand Units (NZUs) received in advance.
Trade and other payables-related party balances are disclosed in note 4.
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18 Employee Benefits
Liabilities for employee benefits comprise the following:
20222021
CURRENTNON-
CURRENT
TOTALCURRENTNON-
CURRENT
TOTAL
$000$000$000$000$000$000
Defined
benefit pension plan
-2,6792,679
-4,2274,227
Medical plan
1933,1993,392
483,7263,774
Wages, salaries, annual leave and
s
ick leav
e
684-684
9,542-9,542
Long-service leave and
re
tirement bonus
---
347-347
TOTAL8775,8786,755
9,9377,95317,890
Defined
benefit pension plan
The Parent contributes to a defined benefit pension fund which has been closed to new members since 2002. As
at
31 December 2022 there were two active members contributing to the Plan (2021: 44). In addition, there are 98
retirees/pensioners receiving regular pension payments or disability pensions which can be paid from the Plan until
normal retirement age (2021: 87).
Under the plan the Parent has an obligation to pay contributions if the fund does not hold sufficient assets to pay all
pensioners the benefits they are entitled to. Key risks that could expose the Group to a shortfall include investment
returns and life expectancy.
The latest triennial actuarial review, completed as at 31 March 2022, reported an actuarial surplus (actuarial value
of assets was greater that the present value of accrued benefits using expected investment returns), therefore no
immediate contribution to the fund was required. In 2023, to fund the benefits of the two members, the Parent will be
required to contribute $25,000 per annum, and to cover the fund administration expenses of c.$250,000 per annum.
While the fund is fully funded, the Parent recognises a liability in the statement of financial position, which is calculated
annually by independent actuaries using the projected unit credit method with present value of the estimated future
cash outflows using interest rates of Government bonds (rather than expected investment returns). The modified
duration of the defined benefit liability was approximately nine years (2021: 14 years).
Medical plan (scheme closed since 1996)
The Parent pays health insurance premiums in respect of nine beneficiaries (2021: nine) until their death. This scheme
was closed in 1996 and has not been offered to new employees since. The medical plan is accounted for in a similar
manner to the defined benefit plan outlined above, with an accounting valuation performed by an independent
actuary at each balance date. Expected contributions to the medical plan in 2023 are $189,000.

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19 Financial Risk Management
The Group is exposed to a variety of financial risks (market, credit and liquidity) in the normal course of the business.
Risk management is perf
ormed by management who evaluate and hedge certain financial risks, including currency risk
and interest rate risk under a treasury policy that is approved by the Board of Directors. The following is a summary of
the Group’s exposure to financial risk and the management of those:
FINANCIAL RISKEXPOSUREMANAGEMENT OF RISK

AND SENSITIVITY
Market risk
Electricity
price risk
Change
s in market pricesPrice fluctuation risk managed using electricity futures, Contracts for
Differences and/or physical supply contracts.
Sensitivity: As at 31 December 2022 the Group was fully hedged hence the
income s
tatement not sensitive to changing market prices.
Currency riskMovement in foreign
ex
change rates
Currency risk managed through material purchases of property, plant and
equipment items hedged using forward currency exchange contracts.
Sensitivity: As at
31 December 2022 the Group held US dollar foreign exchange
contracts and the impact of US dollar appreciation/depreciation by +/-10 per
cent on before-tax profit/loss and other comprehensive income is -/+$1.2m
(2021: no contracts held).
Interest rate riskMovement in interest ratesInterest rate risk managed through a range of fixed
rate borrowings and interest
rate swaps.
Sensitivity: At
31 December 2022, impact of inter-bank interest rates changing
by +/-75 basis points on before tax profit/loss and other comprehensive income
is -/+$0.1m and +/-$2.5m respectively (2021: -/+$0.2m and +/-$2.8m).
Liquidity risk
Risk that the Group will not
be able t
o mee
t its financial
obligations as they fall due
The Group monitors rolling forecasts of liquidity requirements to ensure it
has sufficient cash to meet operational needs while maintaining sufficient
headroom on the Group’s undrawn borrowing facilities. No surplus cash
is held by the Group over and above the balance required for working
capital management.
Credit risk
Risk of loss to the Group due to
cus
t
omer or counterparty default
The Group is exposed to credit risk if counterparties fail to make payments in
respect of payment of trade receivables as invoices fall due. Most common
payment terms are on the 20th of the following month.
The receivables from the shareholder customers (as disclosed in the related
part
y note 4) present a concentration of credit risk, however, management
has assessed the credit quality of these customers as being high. Based on
the analysis of the historical payments of the Group’s customers and with
reference to their credit rating and short payment terms, the Group assessed
the expected credit losses in respect to 31 December 2022 receivables to be
immaterial. No collateral is held over trade receivables.
Overdue trade receivable balances at 31 December 2022 totalled $5.2 million
(20
21: $0.6 million), and no provision for doubtful debt was recognised.
Risk of derivative counterparties
and cash depo
sits being lost
For banks, only parties with a minimum long-term credit rating of A+ or A1 are
accept
ed. For investments gross limits are set for financial institutions and the
usage of these limits is determined by assigning product weightings to the
principal amount of the transaction.
Transactions are spread across several counterparties to avoid concentrations
of cr
edit exposure. No credit limits were exceeded during the reporting
period and management does not expect any losses from non-performance
by counterparties.
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Non-Derivative Financial Liabilities
The following table sets out the maturity analysis for non-derivative financial liabilities based on the contractual terms
as at balance dat
e
. The amounts presented are the contractual undiscounted cash flows and are based on the expiry
of the bank facility or maturity of the subordinated notes.
The liquidity analysis set out below discloses cash outflows resulting from the financial liabilities only and does not
consider e
xpected net cash inflows from financial assets (including trade receivables) or undrawn debt facilities which
provide liquidity support to the Group. Contractual cash flows associated with bank borrowings include interest for the
period until the debt rollover date (typically within six months from the balance date) and subordinated notes and
retail bonds include interest in the period until 1 March 2034.
CONTRACTUAL CASH FLOWS
CARRYING
AMOUNT
LESS THAN 6
MONTHS
BETWEEN 6
MONTHS -1
YEAR
BETWEEN 1-2
YEARS
BETWEEN 2-5
YEARS
OVER 5
YEARS
TOTAL CASH
FLOWS
GROUP 2022NOTE
$000$000$000$000$000$000$000
NON-DERIVATIVE
FINANCIAL LIABILITIES
Trade payables17
(19,334)(19,334)----(19,334)
Lease liabilities
(619)(25)(61)(74)(110)(662)(932)
Bank borrowings13
(86,000)(1,197)--(86,000)-(87,197)
Subordinated notes13
(74,791)(1,913)(1,913)(3,825)(11,475)(99,863)(118,989)
Retail bonds13
(98,792)(2,900)(2,900)(5,800)(114,500)-(126,100)
TOTAL NON-DERIVATIVE
FINANCIAL LIABILITIES(279,536)(25,369)(4,874)(9,699)(212,085)(100,525)(352,552)
CONTRACTUAL CASH FLOWS
CARRYING
AMOUNT
LESS THAN 6
MONTHS
BETWEEN 6
MONTHS -1
YEAR
BETWEEN 1-2
YEARS
BETWEEN 2-5
YEARS
OVER 5
YEARS
TOTAL CASH
FLOWS
GROUP 2021NOTE
$000$000$000$000$000$000$000
NON-DERIVATIVE
FINANCIAL LIABILITIES
Trade payables17(22,738)(22,738)----(22,738)
Lease liabilities(2,405)(484)(392)(745)(496)(699)(2,816)
Bank borrowings13(125,000)(902)-(50,000)(75,000)-(125,902)
Subordinated notes13(74,698)(1,913)(1,913)(3,825)(11,475)(103,688)(122,814)
TOTAL NON-DERIVATIVE
FINANCIAL LIABILITIES
(224,841)(26,037)(2,305)(54,570)(86,971)(104,387)(274,270)
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Derivative Financial Liabilities
The table below details the liquidity risk arising from derivative liabilities held by the Group at balance date. Derivative
financial
liabilities are split into the gross settled derivatives which include foreign exchange forward contracts with the
inflo
w being based on the foreign currency converted at the closing spot rate, and the net settled derivatives which
include interest rate swaps (with the floating rate being based on the most recent rate set), electricity futures and
contracts for differences.
CONTRACTUAL CASH FLOWS
CARRYING
AMOUNT
LESS THAN 6
MONTHS
BETWEEN 6
MONTHS -1
YEAR
BETWEEN 1-2
YEARS
BETWEEN 2-5
YEARS
OVER 5 YEARSTOTAL CASH
FLOWS
GROUP 2022
$000$000$000$000$000$000$000
DERIVATIVE
FINANCIAL INSTRUMENTS
Net settled derivatives13,2091,1983344,7196,81956113,631
Gross settled derivatives
Outflows
-(611)(12,516)---(13,127)
Inflows
-57912,676---13,255
Total gross
settled derivatives33(32)160---128
TOTAL DERIVATIVE
FINANCIAL LIABILITIES13,2421,1664944,7196,81956113,759
CONTRACTUAL CASH FLOWS
CARRYING
AMOUNT
LESS THAN 6
MONTHS
BETWEEN 6
MONTHS -1
YEAR
BETWEEN 1-2
YEARS
BETWEEN 2-5
YEARS
OVER 5 YEARSTOTAL CASH
FLOWS
GROUP 2021
$000$000$000$000$000$000$000
DERIVATIVE
FINANCIAL INSTRUMENTS
Net settled derivatives
9,7511,7612,806(604)(1,511)-2,452
Gross settled derivatives
Outflows-------
Inflows-------
Total gross
settled derivatives
-------
TOTAL DERIVATIVE
FINANCIAL LIABILITIES
9,7511,7612,806(604)(1,511)-2,452
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Hedging
Derivatives are only used for hedging purposes and not as speculative investments. The Group designates certain
deriv
ativ
es as hedges of a particular risk associated with a recognised asset or liability or a highly probable forecast
transaction (cash flow hedge).
The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges
is r
ecognised in equity in the cash flow hedge reserve. Hedge effectiveness is determined at inception of the hedge
relationship, and through periodic effectiveness assessments to ensure that an economic relationship exists between
the hedged item and hedging instrument. The gain or loss relating to the ineffective portion is recognised immediately
in other operating gains/losses in the Consolidated Income Statement.
The fair value of derivative financial instruments approximates their carrying value.
The ne
t movement in the cash flow hedge reserve comprises:
20222021
$000$000
Level 1 input financial
instruments
Electricity futures settled in the year
1,275
(3,976)
Ineffective
hedges - recycled to income statement
(57)
(972)
Mo
vement in value of electricity futures held throughout the year
-
5,915
Level 2 input
financial instruments
Mo
vement in value of interest rate swaps held throughout the year
7,875
-
Interest rate swaps entered into during the year
-
4,875
Contracts for
differences
entered into during the year
1,393
(436)
Contracts for differences
settled in the year
(1,573)
(4,064)
Ineffective hedges - recycled to income statement
-
(3,551)
Gross movement in cash flow hedge reserve8,913
(2,209)
Deferred tax(2,496)
619
Net movement in cash flow hedge reserve6,417
(1,590)
The full fair value of a hedging derivative is classified as a non-current asset or liability if the remaining maturity of the
hedged it
em is more than 12 months.
Financial instruments are measured at fair value using the following fair value measurement hierarchy:
• Level 1 – Quoted prices from the Australian Securities Exchange (ASX) for electricity futures,
• Level 2 – Inputs other than quoted prices included within level 1 that are observable for:
– Interest rate swaps: fair value calculated as the present value of the estimated future cash flows based on
ob
s
ervable yield curves,
– Forward foreign exchange contracts: fair value determined using forward exchange rates at the balance date,
with the re
sulting value discounted back to present value, and
– Contracts for differences: fair value determined using the inputs from active market (ASX) for electricity futures,
adjus
ted for respective location factors.
The effects
of the derivative financial instruments on the Group’s financial position and performance are as follows:
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FOREIGN EXCHANGE
FORWARD CONTRACTS
AUDUSD
INTEREST
RATE SWAPS
ELECTRICITY
FUTURES AND
CONTRACTS
FOR DIFFERENCES
PLATINUM
COMMODITY
PRICE
31 DECEMBER 2022
Carrying amount – net asset/(liability)
($000)
(29)6212,7501,393(934)
Notional amount (equivalent of NZ$000)
61112,676115,0003,77412,639
Maturity date
202320232026-202820242023
Hedge ratio
1:1-1:11:1-
Change in fair value of hedging
ins
trument ($000)
(29)627,875(3,483)(934)
AU$/NZ$US$/NZ$US$
Weighted average hedged rate
0.93830.63671.5%$143.2/MWhUS$996/Toz
31 DECEMBER 2021
Carrying amount – net asset/(liability)
($000)--4,8754,876-
Notional amount (equivalent of NZ$000)--115,00019,516-
Maturity date--20262022-
Hedge ratio--1:11:1-
Change in fair value of hedging
ins
trument ($000)-----
Weighted average hedged rate--1.5%$113.1/MWh-
For all hedges the quantity of the hedging instrument matched the quantity of the hedged items therefore the hedge
ratio
s were 1:1 (note, the platinum commodity price hedge is an economic hedge, however not designated as a hedge
under NZ IFRS 9).
Electricity derivatives are used to hedge highly probable cash flows associated with purchases of electricity at spot
marke
t and an ineffective portion of the hedge may occur due to a volume mismatch and location factor. During the
financial year the hedge ineffectiveness from these cash flow hedges amounted to $0.06 million.

20 Contingencies
From time to time, the Group has legal claims and exposures that arise from contracts and the Group's business in
r
e
spect of which no provision has been made. Where it is more likely than not that such a litigation will result in an
outflow of resources that is already reasonably estimated, a provision is recorded.
Apart from the contingency disclosed in Note 14
, relating to conditions attached to the site resource consents, the
Group had no contingent liabilities as at 31 December 2022.

21 Events after balance date
No events after balance date occurred other than a dividend declared as per note 7.
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22 Auditor’s fees
GROUPGROUP
20222021
$000$000
Auditor's fees comprises:
Audit of financial
statements
294
290
Audit of financial
statements - prior year
48
38
Reimbursement of travel and accommodation
10
8
Other assurance services:
Agreed upon procedures - AGM scrutineering
5
5
Agreed upon procedures - SGM scrutineering
-
5
Half-year agreed upon procedures
20
20
AUDITOR'S FEES377
366
23 Non-GAAP disclosures
Channel Infrastructure's standard profit measure prepared under New Zealand Generally Accepted Accounting
Pr
actice (NZ GAAP) is net profit/(loss) after tax. Channel has used non-GAAP measures when discussing financial
performance in this report. The Directors and the management believe that these measures provide useful information
as they are used internally to evaluate segmental and total Group performance, to establish operating and capital
budgets as well as being used for bank covenant purposes.
Non-GAAP profit measures are not prepared in accordance with NZ IFRS (New Zealand equivalents to International
Financial R
eporting Standards) and are not uniformly defined, therefore the audited non-GAAP profit measures
included in this report are not comparable with those used by other companies. They should not be used in isolation
or as a substitute for GAAP profit measures as reported by Channel in accordance with NZ IFRS. Terms are defined
as follows:
Reported EBITDA
from Continuing
Operations:
Reported earnings before depreciation, finance costs and income tax for continuing
operations as presented in the Consolidated Income Statement.
Reported EBITDA
from Discontinuing
Operations:
Reported earnings before depreciation, impairment, conversion costs, finance costs and
income tax f
or discontinued operations as presented in the Consolidated Income Statement.
Adjusted EBITDA
Reported EBITDA adjusted for other non-cash and one-off in nature expenses.
GROUPGROUP
20222021
$000$000
(RESTATED)
Reported EBITDA from continuing operations
57,452
(2,750)
Reported EBITDA from discontinued operations
23,954
75,596
Total Reported EBITDA81,406
72,846
Add back non-cash and one-off
expenses:
Post-employment benefit
plan expense
1,282
(9,444)
Employee share scheme and share rights cost
1,782
713
Stock obsolescence provision and
write-offs
-
895
Other adjustments
-
4,258
Adjusted EBITDA84,470
69,268
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A member firm of Ernst & Young Global Limited
Independent auditor’s report to the Shareholders of Channel Infrastructure
New Zealand Limited
Report on the audit of the financial statements
Opinion
We have audited the financial statements of Channel Infrastructure New Zealand Limited (the
“Company”) and its subsidiaries (together the “Group”) on pages 66 to 100, which comprise the
consolidated statement of financial position of the Group as at 31 December 2022, and the
consolidated statement of comprehensive income, consolidated statement of changes in equity and
consolidated statement of cash flows for the year then ended of the Group, and the notes to the
consolidated financial statements including a summary of significant accounting policies.
In our opinion, the consolidated financial statements on pages 66 to 100 present fairly, in all material
respects, the consolidated financial position of the Group as at 31 December 2022 and its
consolidated financial performance and cash flows for the year then ended in accordance with New
Zealand Equivalents to International Financial Reporting Standards and International Financial
Reporting Standards.
This report is made solely to the Company’s shareholders, as a body. Our audit has been undertaken
so that we might state to the Company’s shareholders those matters we are required to state to them
in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not
accept or assume responsibility to anyone other than the Company and the Company’s shareholders,
as a body, for our audit work, for this report, or for the opinions we have formed.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (New Zealand). Our
responsibilities under those standards are further described in the Auditor’s responsibilities for the
audit of the financial statements section of our report.
We are independent of the Group in accordance with Professional and Ethical Standard 1 International
Code of Ethics for Assurance Practitioners (including International Independence Standards) (New
Zealand) issued by the New Zealand Auditing and Assurance Standards Board, and we have fulfilled
our other ethical responsibilities in accordance with these requirements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Ernst & Young provides agreed upon procedures to the Group in relation to scrutineering at
shareholder meetings and in relation to half-year financial reporting. We have no other relationship
with, or interest in, the Group.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in
our audit of the consolidated financial statements of the current year. These matters were addressed
in the context of our audit of the consolidated financial statements as a whole, and in forming our
opinion thereon, but we do not provide a separate opinion on these matters. For each matter below,
our description of how our audit addressed the matter is provided in that context.
We have fulfilled the responsibilities described in the Auditor’s responsibilities for the audit of the
financial statements section of the audit report, including in relation to these matters. Accordingly,
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A member firm of Ernst & Young Global Limited
our audit included the performance of procedures designed to respond to our assessment of the risks
of material misstatement of the financial statements. The results of our audit procedures, including
the procedures performed to address the matters below, provide the basis for our audit opinion on the
accompanying consolidated financial statements.
Revenue recognition
Why significant How our audit addressed the key audit matter
On 1 April 2022, the Group ceased operations
as a Refinery and commenced operations as
an Import Terminal.

The Group generated total Import Terminal
Services (ITS) revenue of $79m in FY22,
which amounted to 89% of total Group
revenue from continuing operations of $88m.

While operating as a refinery, the Group
generated Processing Fee (PF) revenue of
$47m (being $11m above the fee floor
equivalent), which has been included in results
from discontinued operations.

Both ITS and PF revenues are material related
party transactions with the Group’s
shareholding oil companies, who are also its
major customers.

The recognition of revenues is based on
complex contracts, and involves consideration
of multiple performance obligations,
contractual terms and take or pay clauses.

As explained in Note 1, the Group is currently
in dispute with certain customers with regards
to the final PF invoices issued to them.

Disclosures related to revenue are included in
notes 1, 3 and 4 to the financial statements.

In obtaining sufficient audit evidence we:
► evaluated the Group’s process for recording
ITS and PF revenue.
► used digital audit techniques to assess the
correlation of revenue, trade receivables and
cash.
► confirmed the total annual ITS and pre
dispute PF revenues with each customer.
► tested payments received from the
shareholding oil companies during the year
and agreed post year-end cash receipts from
each of the shareholding oil companies to the
outstanding receivables at year end.
► With regards to the disputes we discussed
the matters with the Group’s external legal
advisors and considered associated legal
opinions; utilised our internal legal specialists
to consider the nature of the disputes and
the legal opinions; and evaluated the Group’s
process for assessing the quantum of
revenue recognised.

We also assessed the Group’s disclosures in
relation to revenue with regard to NZ IFRS 15
Revenue from Contracts with Customers,
including the related disputes, and NZ IAS 24
Related Party Disclosures.

Information other than the financial statements and auditor’s report
The directors of the Company are responsible for the annual report, which includes information other
than the consolidated financial statements and auditor’s report which is expected to be made available
to us after the date of this auditor’s report.
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A member firm of Ernst & Young Global Limited
Our opinion on the consolidated financial statements does not cover the other information and we do
not express any form of assurance conclusion thereon.
In connection with our audit of the consolidated financial statements, our responsibility is to read the
other information and, in doing so, consider whether the other information is materially inconsistent
with the consolidated financial statements or our knowledge obtained during the audit, or otherwise
appears to be materially misstated. If, based upon the work we have performed, we conclude that
there is a material misstatement of this other information, we are required to report that fact. We
have nothing to report in this regard.
Directors’ responsibilities for the financial statements
The directors are responsible, on behalf of the entity, for the preparation and fair presentation of the
consolidated financial statements in accordance with New Zealand Equivalents to International
Financial Reporting Standards and International Financial Reporting Standards, and for such internal
control as the directors determine is necessary to enable the preparation of financial statements that
are free from material misstatement, whether due to fraud or error.
In preparing the consolidated financial statements, the directors are responsible for assessing on
behalf of the entity the Group’s ability to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern basis of accounting unless the directors
either intend to liquidate the Group or cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial
statements as a whole are free from material misstatement, whether due to fraud or error, and to
issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance,
but is not a guarantee that an audit conducted in accordance with International Standards on Auditing
(New Zealand) will always detect a material misstatement when it exists. Misstatements can arise from
fraud or error and are considered material if, individually or in the aggregate, they could reasonably
be expected to influence the economic decisions of users taken on the basis of these consolidated
financial statements.
A further description of the auditor’s responsibilities for the audit of the financial statements is
located at the External Reporting Board’s website: https://www.xrb.govt.nz/standards-for-assurance-
practitioners/auditors-responsibilities/audit-report-1/. This description forms part of our auditor’s
report.
The engagement partner on the audit resulting in this independent auditor’s report is Simon O’Connor.

Chartered Accountants
Auckland
23 February 2023
103
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Glossary
Adjusted EBITDA
Reported EBITDA adjusted for non-cash expenses and one-off
expenses, and used for
co
venant purposes
Annualised Dividend Yield
Based on a dividend declared and annualised, and share price as at 31 December 2022
of $1.43 per s
hare
CO
2
Carbon Dioxide
EBITDA or Reported EBITDA
Earnings before depreciation, impairment, conversion costs, finance costs and
income tax
EBITDA Margin
EBITDA divided by revenue from continuing activities
Free Cash Flow (FCF)
Calculated as net cash flow operating activities less payments for property, plant and
equipment with each of the
se items determined in accordance with GAAP
IPL
Independent Petroleum Laboratories Limited, a wholly-owned subsidiary of Channel
Infras
tructure NZ Limited
Lost Time Injury Frequency Rate (LTIFR)
The sum of work-related injury cases per 200,000 hours worked, where the injured
person is deemed medically unfit for any work as a result of the injury
ML
Million litres
MT
Million tonnes
Net Debt
Calculated as total borrowings (bank, fixed rate bonds and subordinated notes) less
cash and cas
h equivalents
Normalised EBITDA
Reported EBITDA excluding one-off conversion costs
Normalised Free Cash Flow
Calculated as cash flow
from operations less maintenance capex (excluding conversion
costs and growth capex)
PPI
Producers Price Index
Total Recordable Case (TRC)
The number of lost time incidents, restricted work cases, medical treatment cases
and f
at
alities
Total Recordable Case Frequency
Rate (TRCF)
The number of lost time incidents, restricted work cases, medical treatment cases and
fat
alities per 200,000 manhours worked
Tier 1 process safety event
An unplanned or uncontrolled release of any material, including non-toxic and non-
flammable, from a process which results in one or more of the following: a Lost Time
In
jury (LTI) and/or fatality; a fire or explosion resulting in greater than or equal to
$100,000 of direct cost to the Company; a release of material greater than the
threshold quantities given in Table 1 of API 754 in any one-hour period; an officially
declared community evacuation or community shelter-in-place
Tier 2 process safety event
An unplanned or uncontrolled release of any material, including non-toxic and non-
flammable,
from a process which results in one or more of the following: a recordable
in
jury; a fire or explosion resulting in greater than or equal to $2,500 of direct cost to the
Company; a release of material greater than the threshold
104
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

Corporate Directory
Registered Office
Marsden Point
Ruakaka
Chairman
J B Miller (Independent Director)
Mailing Address
Private Bag 9024
Whangarei 0148
Telephone: +64 9 432 5100
Independent Directors
A Holmes
A M Molloy
V C M Stoddart
P A Zealand
Website
www.channelnz.com
Non-Independent Directors
N L Jones
L Nation
General enquiries
corporate@channelnz.com
Investor Enquiries
investorrelations@channelnz.com
Chief Executive Officer
N M J
ames (to 6 March 2023)
R C Buchanan (from 6 March 2023)
Auditor
Ernst & Young
General Counsel & Company Secretary
C D Bougen
Bankers
ANZ Bank New Zealand Limited
ASB Bank Limited
Bank of New Zealand
China Construction Bank (New Zealand) Limited
Westpac New Zealand Limited
Share Register
Computershare Investor Services Limited
Private Bag 92119
Auckland 1142
Telephone: +64 9 488 8777
enquiry@computershare.co.nz
Managing your shareholding online
To change your address, update your payment instructions and to view your registered details including
tr
ans
actions, please visit: www.computershare.co.nz/investorcentre Please assist our registrar by quoting your CSN
or shareholder number.
105
Channel Infrastructure NZ Limited | 2022 Annual Report – A business transformed

---

Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)

Results for announcement to the market
Name of issuer Channel Infrastructure NZ Limited
Reporting Period 12 months to 31 December 2022
Previous Reporting Period 12 months to 31 December 2021
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$88,237 2,753%
Total Revenue $158,187 (32%)
Net profit/(loss) from
continuing operations
$16,554 695%
[1]

Total net profit/(loss) $11,960 102%
[1]

Interim/Final Dividend
Amount per Quoted Equity
Security
$0.07000000
Imputed amount per Quoted
Equity Security
$0.02722222
Record Date 10/03/2023
Dividend Payment Date 20/03/2023
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$1.34 $1.28
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
Refer to attached NZX announcement commentary
Authority for this announcement
Name of person

authorised
to make this announcement
Chris Bougen, Company Secretary
Contact person for this
announcement
Laura Malcolm
Contact phone number +64 (0)21 0236 3297
Contact email address communications@refiningnz.com
Date of release through MAP

24/02/2023
Audited financial statements accompany this announcement.

[1] Percentage change expressed as an absolute figure, calculated against Net loss from continuing operations and
Total net loss for the financial year 2021 of $2,781,000 and $552,629,000, respectively.

---

Distribution Notice

Section 1: Issuer information
Name of issuer Channel Infrastructure NZ Limited
Financial product name/description Channel Infrastructure NZ Limited ordinary shares
NZX ticker code CHI
ISIN (If unknown, check on NZX
website)
NZNZRE0001S9
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year X Quarterly
Half Year Special X
DRP applies
Record date 10/03/2023
Ex-Date (one business day before the
Record Date)
09/03/2023
Payment date (and allotment date for
DRP)
20/03/2023
Total monies associated with the
distribution
1

$26,226,046
Source of distribution (for example,
retained earnings)
Income available for distribution
Currency NZX
Section 2: Distribution amounts per financial product
Gross distribution $0.09722222
Gross taxable amount $0.09722222
Total cash distribution $0.07000000
Excluded amount (applicable to listed
PIEs)
N/A
Supplementary distribution amount $0.01235294
Section 3: Imputation credits and Resident Withholding Tax
Is the distribution imputed

Fully imputed

If fully or partially imputed, please
state imputation rate as % applied
28%
Imputation tax credits per financial
product
$ 0.02722222
Resident Withholding Tax per
financial product
$0.00486111

1
Based on the number of shares on issue at the date of the announcement

Section 4: Distribution re-investment plan (if applicable)
DRP % discount (if any)
N/A
Start date and end date for
determining market price for DRP
N/A N/A
Date strike price to be announced (if
not available at this time)
N/A
Specify source of financial products to
be issued under DRP programme
(new issue or to be bought on market)
N/A
DRP strike price per financial product
N/A
Last date to submit a participation
notice for this distribution in
accordance with DRP participation
terms
N/A
Section 5: Authority for this announcement
Name of person

authorised to make
this announcement
Chris Bougen, Company Secretary
Contact person for this
announcement
Laura Malcolm
Contact phone number +64 (0)21 0236 3297
Contact email address communications@refiningnz.com
Date of release through MAP

24/02/2023

FY2022 Results Date and Audio Conference Details Distribution Notice – REPLACEMENT

Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.