HY23 Results

NZX RELEASE

23 August 2023
Channel Infrastructure delivers HY23 results
Channel Infrastructure (CHI), New Zealand’s largest fuel infrastructure business based at Marsden Point in
Northland, has today released its financial results for the six-months ended 30 June 2023 (1H23).

Highlights
• Permanent decommissioning of the refining plant safely completed, to plan and to budget.
• Declared a fully imputed ordinary interim dividend of 4.2 cents per share.
• Upgrade to FY23 EBITDA, Free Cash Flow and Dividend guidance.
• The remaining c.45 million litres of jet private storage capacity is expected to be commissioned
during 3Q23.
• Continued strong recovery in jet fuel demand, now at 76% of pre-COVID levels, in-line with
Envisory’s
1
outlook.
• Significant progress to realising value from decommissioned refinery plant.
• Savings from long term renewable electricity supply agreement locked in from 2024, and with
Energy Attribute Certificates attached, Scope 1&2 emissions are largely eliminated from 2024 –
six years ahead of target.
• Progressing study into the production of e-SAF at Marsden Point to the pre-feasibility phase, with
partners FFI.

All numbers relate to the six months ended 30 June 2023 (1H23) unless stated otherwise. Comparisons
will be made to both the six months ended 30 June 2022 (1H22) which includes only one quarter of
continuing operations (2Q22), and the six months ended 31 December 2022 (2H22) which includes a full
six months of import terminal operations.


1
Envisory: Formerly known as Hale and Twomey.

Key Financial Results

1H23
$ million

2H22
$million
1H22
$ million
Continuing Operations
EBITDA 43.5 37.7 19.7
Net Profit before tax 20.1 15.3 7.8
Dividend declared: - interim 4.2 cps -
Dividend declared: - final N/A 5 cps
Dividend declared – special - 2 cps
Discontinued Operations
EBITDA (2.7) (2.5) 26.5
Net (Loss)/Profit before tax (4.2) (13.6) 16.0

Commenting, Chair James Miller said: “Channel is going from strength to strength as the team delivers and
executes on our strategy and plans, making significant progress against all of our 2023 priorities. In line
with our dividend policy, which reflects the high cash flow generation of the business, we have declared a
fully imputed ordinary interim dividend of 4.2 cents per share. Today, we have also lifted FY23 guidance
for EBITDA, Free Cash Flow and Dividend.”
CEO Rob Buchanan said “We are working hard towards our aspiration to become a world class fuels
terminal operator, and after fifteen months of import terminal operations, our focus remains firmly on safe,
reliable, and efficient operations. We have a critical role to play in building resilience in New Zealand’s fuels
supply chain, and we will continue to support our customers with infrastructure they, and New Zealanders
can rely on. With our unique and highly strategic infrastructure, we are focused on supporting the country’s
energy transition which also provides opportunities for us to grow the business.
“We have had an exciting first six months as we locked in a long-term renewable electricity supply and
made significant progress to unlock value from our decommissioned refinery plant. With our partners
Fortescue Future Industries, we are now progressing to pre-Feasibility for the potential production of green
hydrogen and synthetic Sustainable Aviation Fuel (e-SAF) at Marsden Point, ensuring we will be part of
New Zealand’s critical aviation fuels supply chain long into the future.”
Strong financial result
Revenue from continuing operations was $64.4 million, up 10% from $58.4 million in 2H22 reflecting the
benefit of the PPI indexation of terminal services contracts, increased private storage fees (as more
capacity was commissioned) and higher ancillary charges. Terminal Fee revenue of $53.1 million (fixed
plus variable revenue) marginally exceeded the pro rata Take-or-Pay due to strong volumes and ancillary
charges in the six months ended 30 June 2023.
Operating costs remained relatively stable at $20.9 million (2H22 $20.7 million). As a result of increased
revenue and effective cost management, EBITDA increased 15% from $37.7 million in 2H22 to $43.5 million
in 1H23, delivering a strong EBITDA margin of 68%.

Net debt as at 30 June 2023 was c.$295 million (FY22: $257 million), with leverage
2
at 3.6 times Net Debt
to EBITDA. The company is currently considering alternatives for refinancing of its $75m Subordinated
Notes issue, which has a first election date on 1 March 2024, including the New Zealand retail bond market
subject to market conditions.
Conversion and private storage projects on track
Conversion costs remain within budget, with c.$174 million spent to 30 June 2023, including c.$32 million
of private storage conversion projects. Permanent decommissioning of the refinery process plant is now
complete. The remaining c.45 million litres of jet private storage capacity is expected to be commissioned
during 3Q23, increasing the total Marsden Point terminal capacity to 280 million litres.
Continued recovery in Jet fuel volumes, reflecting a significant increase in aviation demand
36 import shipments were received and discharged during the six months, compared to 37 in 2H22 and 19
in 2Q22. Terminal and pipeline throughputs were c.1,632 million litres in 1H23, up 7% on the previous six
months ended 31 December 2022, reflecting a continuation of the post-COVID recovery. The increased
throughput continues to be driven by strong aviation demand recovery, with jet throughput doubling on
1H22 volumes. Overall volumes are tracking in-line with the updated outlook produced by Envisory and
released with the FY22 results in February of this year.
CEO Rob Buchanan said “Aviation will underpin the future of our business, and we continue to see this
grow and recover post-COVID, in line with our modelling. With a significant number of new long haul flight
routes to and from New Zealand announced during the year, we expect demand to continue this strong
growth trajectory. Channel has a key role to play in supporting this growth, given our highly strategic
position, providing security of supply and energy resiliency within the aviation fuel supply chain to
Auckland.”
Focused on delivering on our strategic priorities for the year
Delivering a low-cost, secure, and renewable electricity supply was one of our key priorities for 2023. In
June, a long-term fixed price variable volume contract was entered into for the supply of renewable
electricity from 1 January 2024. This contract fixes one of the Company’s largest operating costs, while
delivering a further improvement in the future earnings profile, with a saving expected of over $2 million per
annum over the initial contract term (against the 2023 contracted supply price). The electricity supply
arrangements under this new contract includes Energy Attribute Certificates certifying that electricity has
been generated from renewable sources. Meeting all our electricity needs from renewable sources would
mean that Channel will have largely eliminated its direct emissions from 2024 - some six years ahead of
the company’s target.
Channel is well prepared to support the Government with its planned Strategic Diesel Storage initiative,
having already completed Front End Engineering and Design on potential tank conversions in anticipation
of the Government tender process and is working with its customers to understand the impact of the
Government’s proposed Minimum Stockholding Obligation.
Fortescue Future Industries (FFI) scoping study for green hydrogen and synthetic Sustainable Aviation Fuel
(e-SAF) production at Marsden Point is now progressing to the pre-feasibility stage. The pre-feasibility study
will investigate a 300MW, c.60 million litres per-year e-SAF production facility at Marsden Point, with the e-
SAF to be distributed via the existing Marsden Point-to-Auckland Airport supply chain. During this phase
Channel will work with FFI on developing an appropriate commercial model for this project, recognising the
strategic value of the land at Marsden Point with direct access to the Auckland Airport fuel supply chain.

2
Calculated as Net Debt / annualised rolling EBITDA from continuing operations.

With a focus on realising value from decommissioned refinery plant, Channel entered into an Asset Sale
Agreement with US-based Seadra Energy Incorporated (SE) in July 2023, granting an option to purchase
permanently decommissioned parts of the former hydrocracking complex for a non-refundable option
payment of US$4 million. Should Seadra Energy elect to exercise the option, the purchase price will be
US$33.875 million
3
. If this agreement goes ahead, this provides an opportunity for Channel to free up space
at our Marsden Point site from these permanently decommissioned refinery assets, allowing us to consider
repurposing and site restoration opportunities, such as the potential manufacture of green hydrogen and e-
SAF at Marsden Point.
Channel Infrastructure aspires to become a world class operator of terminal assets. As new systems and
processes have been embedded through the transition to an import terminal, the optimisation of terminal
operations will provide the foundation for continued strategic success.
Upgraded FY23 guidance provided in November 2022
Ahead of the transition to import terminal operations, Channel Infrastructure provided detailed 2023
guidance on the financial profile of the new business. These forecasts were upgraded in November 2022
to reflect the impact of the Producers Price Index (PPI) on terminal services revenue, contracting of
electricity supply and additional terminal services revenue contracted.
Reflecting increased terminal services revenue generated in 1H23 through higher ancillary charges and
testing volumes at Independent Petroleum Laboratories Limited (IPL)
4
, FY 23 EBITDA guidance has today
been increased from $82 - $86 million to $84 - $88 million. The high conversion of EBITDA into Free Cash
Flow has resulted in a c.4% increase to the Company’s FY23 Normalised Free Cash flow guidance, from
$56-$60 million to $59-$62 million.

FY23 Financial metrics
(Continuing operations)

November 2022
Guidance
($ million)
Updated August
2023 Guidance
($ million)
Revenue 125-128 128-130
Operating costs 41-44 42-44
EBITDA 82-86 84-88
Depreciation 34-35 No change
Financing costs c.16 No change
Income tax payable Nil No change
Capex (business as usual) c.8-10 c.9-11
Indicative Normalised Free Cash Flow 56-60 59-62
Indicative Dividend Range 9-11cps 9.5-11.5cps

Business as usual capex for FY23 is now expected to be between $9 - $11 million, reflecting higher tank
maintenance costs identified following a full inspection of the specific tanks once they had been taken out
of service. These tanks will be returned to service for c.10-15 years before their next statutory inspection.

3
Including the option payments, but prior to any transaction costs – refer to NZX release 10 July 2023.
4
Channel Infrastructure’s fuel testing laboratory (100% owned subsidiary).

Board declares interim ordinary dividend and upgrades guidance for FY23 total dividend
With continued strong normalised Free Cash Flow of $34 million and net debt to EBITDA ratio of 3.6 times
as at 30 June 2023, well within the targeted range (3-4 times), the Board has declared a fully imputed
ordinary interim dividend of 4.2 cents per share. The interim dividend will be paid on 20 September 2023,
with a record date on 6 September 2023.
Given the upgraded FY23 guidance announced today, the indicative dividend guidance range for the total
FY23 dividend has been lifted from 9 – 11 cents per share to 9.5-11.5 cents per share. The Board is
committed to delivering stable ordinary dividends over time to shareholders, while maintaining credit metrics
consistent with a shadow investment grade credit rating of BBB+. The FY23 dividend payout range will be
determined having regard to the company’s dividend payout policy of 60-70% of normalised Free Cash
Flow, the full year result and the status of near-term investment opportunities.

- ENDS -


Conference Call
Channel Infrastructure’s Chief Executive Officer, Rob Buchanan, and interim Chief Financial Officer, Denise
Jensen, will give a presentation on the company's financial and operational performance for HY23 via an
audio conference commencing on Wednesday 23 August 2023 at 11:00am NZT.

Participants can register for the conference by navigating to this LINK.


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 transport fuel demand and all of the jet fuel to the 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 and studies
underway with partners on hydrogen and sustainable aviation fuel opportunities.

For more information on Channel Infrastructure, please visit: www.channelnz.com

---

Financial Results
For the six months ended
30 June2023
23 August 2023

Important Information
2
•This presentation contains forward looking statements concerning the financial
condition, results and operations of Channel Infrastructure NZ Limited (hereafter
referred to as “CHI”).
•Forward looking statements are subject to the risks and uncertainties associated
with the fuels supply environment, including price and foreign currency
fluctuations, regulatory changes, environmental factors, production results,
demand for CHI’s products or services and other conditions. Forward looking
statements are based on management’s current expectations and assumptions
and involve known and unknown risks and uncertainties that could cause actual
results, performance or events to differ materially from those expressed or implied
in these statements.
•Forward looking statements include among other things, statements concerning
the potential exposure of CHI to market risk and statements expressing
management’s expectations, beliefs, estimates, forecasts, projections and
assumptions. Forward looking statements are identified by the use of terms and
phrases such as “anticipate”, “believe”, “could”, “estimate”, “expect”, “goals”,
“intend”, “may”, “objectives”, “outlook”, “plan”, “probably”, “project”, “risks”, “seek”,
“should”, “target”, “will” and similar terms and phrases.
•Readers should not place undue reliance on forward looking statements. Forward
looking statements should be read in conjunction with CHI’s financial statements
released with this presentation. This presentation is for information purposes only
and does not constitute legal, financial, tax, financial product advice or investment
advice or a recommendation to acquire CHI’s securities and has been prepared
without taking into account the objectives, financial situation or needs of
individuals. Before making an investment decision, you should consider the
appropriateness of the information having regard to your own objectives, financial
situation and needs and consult an NZX Firm or solicitor, accountant or other
professional adviser if necessary.
•In light of these risks, results could differ materially from those stated, implied or
inferred from the forward-looking statements contained in this announcement. CHI
does not guarantee future performance and past performance information is for
illustrative purposes only. To the maximum extent permitted by law, the directors of
CHI, CHI and any of its related bodies corporate and affiliates, and their officers,
partners, employees, agents, associates and advisers do not make any
representation or warranty, express or implied, as to accuracy, reliability or
completeness of the information in this presentation, or likelihood of fulfilment of
any forward-looking statement or any event or results expressed or implied in any
forward-looking statement, and disclaim all responsibility and liability for these
forward-looking statements (including, without limitation, liability for negligence).
•Except as required by law or regulation (including the NZX Listing Rules), CHI
undertakes no obligation to provide any additional or updated information
whether as a result of new information, future events or results or otherwise.
•Forward looking figures in this presentation are unaudited and may include non-
GAAP financial measures and information. Not all of the financial information
(including any non-GAAP information) will have been prepared in accordance with,
nor is it intended to comply with: (i) the financial or other reporting requirements of
any regulatory body; or (ii) the accounting principles generally accepted in New
Zealand or any other jurisdiction with IFRS. Some figures may be rounded, and so
actual calculation of the figures may differ from the figures in this presentation.
Non-GAAP financial information does not have a standardised meaning 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,
23 August 2023.

Highlights and
Operating Update
Rob Buchanan
Chief Executive Officer

Permanent decommissioning of the refinery process plant safely completed to plan and to budget
Fully imputed ordinary interim dividend of4.2 cents per share declared
FY23 EBITDA, NormalisedFree Cash Flow and Dividend guidance lifted
Strong recovery in jet fuel volumes, to c.76% of pre-COVID levels
Private storage and terminal upgrade works progressing well, despite extreme weather
Making progress on realising value from decommissioned refinery plant
FFI progressing its study into the production of e-SAF at Marsden Pt to the pre-feasibility phase
Continue to deliver on our strategy
4

0.0
1.0
2.0
3.0
4.0
5.0
6.0
201820192020202120222023CONCAWE
Benchmark
2021
Process Safety Incidents
Tier 1 [1]Tier 2 [2]
0
1
2
3
4
5
6
2018
2019
2020
2021
2022
2023
Total Recordable Incidents
TRIF [3]
Benchmark [4]
A continued focus on safety
[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)
•Revised Health, Safety, Environmental and Operations board
sub-committee was established during 1H23, demonstrating
Channel’s on-going commitment to safety
•No Lost Time Incidents, and one recordable incident in 1H23
•Tier 1 incident during 1H23 from corrosion of an ex-refinery
product line.Full inspection of other susceptible piping has
been completed and inspection and maintenance schedules
updated to address this risk going forward
•Focused on continuous improvement, we commissioned an
independent peer review of our site safety management
system by Australian Terminals Operations Management to
ensure we continue to have best practice systems and
processesas a terminal
5

-
500
1,000
1,500
2,000
3Q224Q221Q232Q23
t
CO2 Emissions
Scope 1 emissionsScope 2 emissions
•Following transition, CHI is expected to account for less than
0.1% of scope 1 and 2 CO2 emissions on the NZX50
[3]
in FY23
•On target to have largely eliminated scope 1 and 2
emissions from 2024, some 6 years ahead of the
Company’s target
[2]
•Preparations well advanced to meet mandatory reporting
under Climate Reporting Standards in 1Q24
•Coastal Hazard Management Plan under development, based
on three temperature pathways
•Continued investment
[1]
in wastewater collection and
treatment systems, provided strong site resilience to recent
weather events:
•c.$1 million invested in 1H23 to dredge the stormwater
basin, removing c.295 tonnes of waste material
•Program in place to redevelop groundwater extraction
wells
•c.30% reduction in legacy groundwater contamination
achieved in the past six years
Investing to maintain strong environmental performance
[1]
c.$25 million invested in the last 10 years to improve wastewater collection and treatment systems.
[2]
Assuming all electricity supplied from 2024 under the new long-term electricity supply agreement is sourced from renewable generation, as validated by Energy Attribute Certificates.
[3]
Based on Forsyth Barr Research data (April 2023) and available company reports; CHI’s HY23 data annualised to estimate FY23 CO2 emissions.
6
-
500,000
1,000,000
1,500,000
2,000,000
2,500,000
CHI HY23
CHI FY22CHI FY21
t
CO2 emissions of included NZX50 companies
Scope 1Scope 2
[3]

139
146
200
244
280
299
264
275
264
275
282
274
222
257
258
280
249
249
0
200
400
600
800
1,000
Q1 2019Q2 2019Q3 2019Q4 2019Q1 2020Q2 2020Q3 2020Q4 2020Q1 2021Q2 2021Q3 2021Q4 2021Q1 2022Q2 2022Q3 2022Q4 2022Q1 2023Q2 2023
ML
Pipeline and TLF volumes
JetDieselPetrol
Continued strong recovery in jet fuel
[1]
Based on Envisory's (formerly known as Hale & Twomey) 2023 outlook
[2]
Formerly known as Hale & Twomey
[3]
9 months of terminal operations
•Pipeline and TLF Volumes up 7% on 2H22 across all fuel types:
•Jet fuel volumes up 30%, reflecting a strong recovery in
aviation demand; now at c.76% of pre-COVID volumes
•Diesel and petrol volumes relatively stable
•1H23 volumes tracking in line with Envisory’s
[2]
outlook
for the full year
•Significant pipeline capacity available to meet
recoveringand growing demand, with 1H23 utilisation at
c.80%
•36 import shipments received and discharged at Marsden
Point in 1H23 (FY22: 56
[3]
)
286
730
579
539
1,078
555
479
1,017
498
1,304
2,824
1,632
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
-
500
1,000
1,500
2,000
2,500
3,000
3,500
HY22FY22HY23Envisory FY23
outlook
% of FY23 outlook
ML
Pipeline and TLF volumes
JetDieselPetrol
[1]
7

Demand for jet fuel expected to increase in 2H23, with new long-haul flights announced
Additional 2023 Long-Haul flights
[1, 2 and 3]
:
•Air Canada increasing Vancouver to Auckland summer flights by 20%
•American Airlines resuming Los Angeles to Auckland flights from 21
December until 3 March 2024
•United Airlines launching a Los Angeles to Auckland flight from 28
October 2023
•Qantas launched Auckland to New York flights, 3x a week from 14
June 2023
•Delta Airlines launching Auckland to Los Angeles flight, daily from 28
October 2023
•Qatar Airways resuming flights non-stop between Doha and
Auckland (rather than via Australia), from September 2023
•Air China resuming Auckland to Beijing flights, 4x a week from 2
May 2023
•Hainan Airlines resumed from Shenzhen to Auckland, 2x a week
from 17 June 2023
•Air New Zealand increased flights to Shanghai from 3x to 4x per
week from 4 February 2023
[1]
Source: Auckland Airport ‘Onwards & upwards: Long-haul flights taking off from Auckland Airport’ media release
[2]
Source: Routes online news releases, key search ‘Auckland Airport’
[3]
Source: Stuff article ‘All the new routes Kiwis can fly on in 2023 -and what's still missing’
•Air New Zealand launched Auckland to Bali flights, 3x a week from
29March until 27 October 2023
8

-
25
50
75
100
125
150
175
FY21-FY22FY23FY24 - FY27FY32-34
$M
SpentCommittedRemaining
-
25
50
75
100
125
150
175
FY21-FY22FY23FY24 - FY27FY32-34
$M
SpentCommittedRemaining
Conversion and private storage projects on track
•Conversion costs remain within budget:
•c.$174 million spent on terminal and private storage conversion
projects to 30 June 2023
•c.80% of the budget
[1]
is spent or contracted/committed
•The Projects are now significantly de-risked:
•Permanent decommissioning of the refinery plant complete
•Workforce transition substantially complete
•The terminal upgrade and private storage tank conversion
works are ongoing and well progressed
•Marsden Point terminal capacity will soon increase to 280ML:
•c.45ML of jet private storage capacity due to be commissioned
in Q3 2023 with firefighting systems and bund upgrades to
continue into FY24
•Private storage income
[2]
expected to be at a full run rate from
Q4 2023
Terminal and private storage conversion cost phasing
Terminal conversion: $200-220m
Demolition (expected 10 years+): c.$50m
Private storage: $45m-50m
Additional terminal capacity: c.$7m
Allocation of Conversion Budget ($200 -$220m)
Shutdown & Decommissioning
Business &
Workforce Transition
Terminal Upgrade Projects
[1]
Budget includes: Conversionproject budget (opexand capex) of $200 to $220 million, private storage $45-$50 million and additional terminal capacity of c.$7 million.
[2]
Contracted private storage income of $9 million (2021 real)
9

Shutdown and
Decommissioning
•Permanent decommissioning of the
refinery plant complete
Complete
Business &
Workforce
Transition
•Substantially complete
[1]
•Full shutdown of refinery IT systems &
infrastructure expected within the next
12 months
Terminal Upgrade
Projects
•Upgrade of:
-tank fire fighting system
-tank bunds (secondary containment
systems)
•Private storage tank conversion
•Modifications to site utilities
Conversion projects substantially complete
Status
Still to complete
Spent vs committed
Spent and committed
Remaining to be spent
Spent and committed
Remaining to be spent
Spent and committed
Remaining to be spent
[1]
Substantially complete indicates the overarching project (i.e. shutdown and decommissioning, and Business & Workforce Transition) is sufficiently complete for its intended use, but some
outstanding tasks which do not inhibit the projects intended use

Financial Update
Denise Jensen
Chief Financial Officer

Continuing operations delivered an NPAT of $14.5 million in 1H23, up 32% from the last full 6
months of terminal operations (2H22)
Fixed and variable terminal fees marginally exceed the pro rata "Take or Pay”, reflecting
strong volumes and higher ancillary charges
EBITDA margin
[1]
up 3%to 68%, and normalisedfree cash flow
[1,2]
up 21% to $34 million
Long term electricity agreement signed to secure future cost savings
Board declared a fully imputed ordinary interim dividend of 4.2 cents per share
FY23 guidance increased from $82 -$86 million to $84 -$88 million EBITDA
Financial Highlights
[1]
Compared to the results from the last full six months of terminal operations, being the six months ended 31 December 2022 (2H22)
[2]
Normalised Free Cashflow comprises cashflow generated from operations less maintenance capex (excluding conversion costs and growth capex)
12

Strong financial result, with EBITDA margin of 68% (up 3% on 2H22)
•Terminal operations commenced on 1 April 2022
•For comparative purposes, we report the results for the last 6
months of 2022, as well as the 3-month pcp
•Increased revenue
[1]
primarily driven by PPI escalation (c.$3
million), and additional private and other terminal storage (c.$3
million)
•A 3% increase on 2H22 EBITDA margin to 68%, due to the
increased revenue and effective cost management
[1]
Comparison for six months –1H23 compared to 2H22
13
Profit & Loss from continuing operations
$'m1H232H221H22
Revenue64.458.429.8
Operating costs(20.9)(20.7)(10.1)
EBITDA43.537.719.7
Non-operating costs
Depreciation(16.2)(16.3)(8.3)
Financing costs(7.2)(6.1)(3.6)
Non-operating costs(23.4)(22.4)(11.9)
Net profit before tax20.115.37.8
Income tax(5.6)(4.4)(2.1)
Net profit after tax14.510.95.6
EBITDA Margin68%65%66%

22.7
24.5
2.6
2.5
3.4
2.7
23.7
29.4
-
5.1
3.2
2.9
-
5
10
15
20
25
30
35
Terminal fees -
fixed
Terminal fees -
variable
Take-or-pay top upPrivate storageWiri lease and
other
Laboratory testing
$'M
Revenue (continuing operations)
2H221H23
Terminal fees –fixed
Private storage
Laboratory testing
Terminal fees –variable
Wiri lease and other
Revenue underpinned by take-or-pay commitments with growth from private storage
•Terminal Fees of $53.1 million (fixed plus variable) marginally
exceeded the pro rata Take-or-Pay due to strong volumes and
ancillary charges
•PPI adjustment of 6.3% applied to terminal and private storage
fees from 1 January 2023
•Private storage and terminal revenue account for c.90%
of the Group’s total revenue
•A further PPI adjustment will be applied from 1 January
2024
•Nine months PPI to 30 June 2023 currently tracking at
1.3%
•Together with private storage fees and Wiri lease
[1]
, 95%of the
Group’s total revenue is fixed or underpinned by Take-or-Pay
commitments in 1H23
[1]
Wiri lease of $6m p.a. continues until February 2025 when the lease expires
Take-or-Pay &
fixed revenue
Revenue 1H23
(continuing operations)
($’M)
14
23.7
29.4
0.0
5.1
3.2
2.9

20.7
20.9
-
5
10
15
20
25
2H221H23
$'M
Operating costs (continuing operations)
Energy and utility costsSalaries, wages and benefits
Administration and other costsMaterials and contractor payments
6.1
5.8
4.9
4.1
Costs well controlled, with future savings secured through new electricity contracts
Electricity costs
•Energy and utility costs comprise c.29% of our total costs
•Transmission and supply costs reset during the year
•A newlong-term fixed price variablesupply contract from 1
January 2024 secured, with Energy Attribute Certificates
•Term: 6 years and includes the option to extend for a
further 2.25 years
•Savings: over $2 million per annum (over the initial
contract term) compared to the 2023 contracted supply
price
•Focus now on options to reduce our connection costs
Other costs
•Salary, wages and benefitcosts reflect c.74 import terminal
staff and laboratory employees
[1]
•Administration and other costs (including corporate and
governance, insurance, rates, facilities management, IT) are
largely fixed and independent of activity levels or terminal
volumes
[1]
Note, employees involved in refinery decommissioning, and transition are included in conversion costs (refer to ‘Discontinuedoperations’ and Provisions notes in the financial statements). Also
excludes employees involved in capital projects
Operating costs 1H23
(continuing operations)
($’M)
Energy and utility costs
Administration and other costs
Salaries, wages and benefits
Materials and contractor payments
`
15

257
295
(46)
29
6
15
7
27
-
50
100
150
200
250
300
$'M
Leverage remains within the targeted range
•Strong cash flows from operations, funded 93% conversion spend and capex
•Net debt increased to $295 million as expected with the conversion spend and FY22 dividend
•Leverage at 3.6x
[2]
within the targeted range of 3-4x
•Gearing at 37%
[3]
(vs covenants 55%)
Net debt movement
[1]
Includes operating and capital conversion costs (but excludes private storage capex which is included in growth capex).
[2]
Leverage calculated as Net Debt / annualised rolling EBITDA from continuing operations.
[3]
Gearing calculated as Net Debt to Net Debt plus Equity as at 30 June 2023.
Net Debt
FY22
Stay-in-
business
capex
Dividends
Growth
capex
Conversion
costs
[1]
Operating
cashflow
Net Debt
HY23
Net
financing
16

-
25
50
75
100
125
150
175
20242025202620272034
$M
Bank debtSubordinated notesRetail bonds
Subordinated
notes -
reset date
Subordinate
dnotes -
maturity date
5.8% p.a.
[1]
3.6% p.a.
[1]
5.1% p.a.
[1]
-
25
50
75
100
125
150
175
200
225
250
275
Jan 23Jul 23Jan 24Jul 24Jan 25Jul 25Jan 26Jul 26Jan 27Jul 27
$M
Retail bondsInterest rate swapsSubordinated notes
84% of net debt fixed with significant hedge protection in place
Debt maturity profile as at 30 June 2023
Debt hedge
•Debt facilities of $380 million with significant liquidity headroom
available ($81.5 million as at 30 June 2023)
•Existing facilities and operating cashflows, provides sufficient
capacity to fund the remainder of the conversion costs and
investment in private storage
•Expected debt will peak at around $30 to $50 million above the
30 June 2023 level in the next 6 -12 months
•84% of 30 June 2023 net debt was fixed, with significant hedge
protection in the following years
•The first Election Date for the Subordinated Notes is on 1 March
2024:
•Considering refinancing options, including the New
Zealand retail bond market, subject to market conditions
•Weighted average debt maturity (WADM) of c.3.0 years
[2]
[1]
Nominal interest rate, excluding the amortisationof upfront bank fees and bond issuance costs. Bank nominal interest rate represents a combination of bank margin, line fees, and swap rates (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 repaid at their reset in March 2024.
17

FY23 EBITDA guidance upgraded
[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 ($7 million), with no change in guidance for these projects. Guidance
also excludes any opexand capex associated with new growth opportunities.
[2]
From FY24, guidance will be provided on EBITDA and NormalisedFree Cashflow
Detailed guidance provided ahead of the transition, upgraded in November
2022, and with a further upgrade to FY23 guidance in August 2023
[1][2]
:
•Increase in EBITDA reflects increased revenue through higher-than-
expected additional ancillary charges in 1H23 and higher testing volumes
at IPL (albeit with higher variable costs)
•Operating costs expected to be relatively consistent with earlier guidance;
bottom of the range higher due to impact of storm events in 1H23 and
higher variable costs associated with increased testing volumes at IPL
•Stay-in-business capex reflects higher costs associated with tank
maintenance program identified through inspection of tanks (as taken out
of service).
Indicative FY23 Financial metrics
Updated
Nov-22
Guidance
($m)
Aug-23
($m)
Terminal and other revenue125-128128-130
Operating costs41-4442-44
EBITDA82-8684-88
Depreciation34-35No change
Financing costsc.16No change
Income tax payableNilNo change
Stay-in-business capexc.8-10c.9-11
Indicative Normalised Free Cash Flow56-6059-62
Indicativedividend range9 -11 cps9.5 -11.5cps
18

Delivering to shareholders
•The Board is committed to delivering stable ordinary dividends over time to shareholders,while
maintaining credit metrics consistent with a shadow investment grade credit rating ofBBB+
•Dividend policy ofa pay-out of 60-70% of normalised Free Cash Flows, (net cash generated from
operations less maintenance capex, excluding conversion costs and growth capex)
[1]
•Targeted 40:60 split between interim and final dividend
•Declared a fully imputed
[2]
ordinary interim dividend of 4.2 cents per share
•Dividend payable on 20 September 2023, with record date on 6 September 2023
•Total FY23 expected dividend range 9.5 to 11.5 cents per share
[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]
As at 30 June 2023, imputation credits available to shareholders, subject to 66 per cent shareholder continuity, amount to $9.8 million being an equivalent of c.6.7 cents per share of fully
imputed dividends.
Ordinary Interim
Dividend4.2
cps
payable 20
September 2023
(fully imputed
[2]
)
19

Strategy Update and
Outlook
Rob Buchanan
Chief Executive Officer

Material progress made towards transition and climate change targets
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 supportcontinues for decommissioning and
transition-related staff who have exited in 1H23 or are going to exit in 2H23
•89% of staff who left the business in 1H23 have found their next opportunity
89%
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 an
estimated c.6,000 tonnes(annualised) in 2023 -equivalent to a 99.5% reduction in
emissions following refinery closure.
•New electricity supply contract from 1 January 2024, with Energy Attribute Certificates,
to validate electricity sourced from renewable generation:
•Meeting all of our electricity needs from renewable sources would mean that
Channel will have largely eliminated its scope 1 and 2 emissions from 2024 -six
years ahead of the company’s target
99.5%
reduction in
Scope 1&2
emissions
>1.2MT 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
•FFI progressing its study into the production of e-SAF at Marsden Point to the pre-
feasibility phase:
•300MW, c.60 million litresper year e-SAF production facility
•e-SAF to be distributed via the existing Marsden Point to Auckland pipeline
FFI progressing
study into e-SAF
production at
Marsden Point to
pre-feasibility phase
PROGRESS TO DATE
21

Refinery facilities under strategic review, enabling potential redevelopment of the site
Former hydrocracking complex –Subject to Conditional Asset Sale Agreement with SeadraEnergy
•In July 2023, US-based SeadraEnergyInc was
granted an option to purchase permanently
decommissioned parts of the former refinery
for total consideration of US$33.875 million:
[1]
•6 months to consider the purchase
certain assets from the hydrocracking
complex in consideration for a non-
refundable option payment of US$4
million
•Seadramay choose not to pursue the
purchase or may renew the option for an
additional 6 months for a further non-
refundable payment of US$0.5 million
•Continue to actively market other refinery
assets and is in discussions with interested
parties
Potential units for sale
22
Making progress on realising value from decommissioned refinery plant
[1]
Purchase price includes the option payments but prior to any transaction costs

Significant progress on delivering 2023 priorities
Safe, reliable, and cost-efficient
terminal operation and
maintenance
-A revised Health, Safety, Environmental and Operations board sub-committee established
-Strategic Asset Management Plan currently under third party review
-Independent review of site safety management system completed
-Strong terminal performance in 1H23 with limited demurrage
-Implementing new Safety Culture programme
On-budget and on-time
completion of the remaining
conversion project works
-Permanent decommissioning of the refinery process plant complete
-Conversion project costs remain within budget
-c.80% of the terminal and private storage conversion project budget now spent or committed,
significantly de-risking the project
Work with Customers and
Government to improve supply
chain resilience
-Additional Private Storage coming online 3Q23, doubling jet storage capacity
-FEED complete, enabling offer into Strategic Diesel Storage through government tender process
-Working with customers to understand impact of Minimum StockholdingObligation legislation
Deliver on near-term growth
opportunities
-Transmission costs and electricity supply costs reset during 1H23 –pursuing further opportunities for
cost reduction
-Agreed to proceed to next phase of green hydrogen / eSAFstudy with Fortescue
-Seeking out additional ‘infill storage’ and ‘adjacent’ growth opportunities for the terminal
Deliver increasing returns to
shareholders through dividends
in an inflationary environment
-Signed a US$4m option agreement for sale of hydrocracker assets (sale price would be US$33.875m)
-c.15% increase
[1]
in share price since 1 January 2023 versus the NZX50 increase of c.1.1%
-Fully imputed ordinary interim dividend of 4.2cents per share declared
-Lifted guidance for FY23 dividend to 9.5-11.5 cents per share
23
[1]
At 21 August 2023

Q&A

---

For the six
months ended
30 June 2023
Condensed Consolidated
Interim Financial
Statements

2
Channel Infrastructure NZ Limited | 2023 Half Year Report

Contents
Condensed Consolidated Income Statement4
Condensed Consolidated Statement of
Comprehensive Income
5
Condensed Consolidated Balance Sheet6
Condensed Consolidated Statement of Changes
in Equity
8
Condensed Consolidated Statement of Cash Flows10
Notes to the Condensed Consolidated
Financial Statements
11
Corporate Directory20
3
Channel Infrastructure NZ Limited | 2023 Half Year Report

Condensed Consolidated
Income Statement
FOR THE SIX MONTHS ENDED 30 JUNE 2023 (UNAUDITED)
GROUPGROUP
30 June 202330 June 2022
NOTE
$000$000
CONTINUING OPERATIONS
INCOME
Revenue2
64,420
29,831
TOTAL INCOME64,420
29,831
EXPENSES
Energy and utility costs
6,058
2,042
Materials and contractor payments
4,130
2,708
Salaries, wages and benefits
5,772
2,343
Administration and other costs
4,923
3,066
TOTAL EXPENSES20,883
10,159
EARNINGS BEFORE DEPRECIATION, FINANCE COSTS AND INCOME TAX43,537
19,672
Depreciation and disposal costs7
16,233
8,285
TOTAL DEPRECIATION AND DISPOSAL COSTS16,233
8,285
NET PROFIT BEFORE FINANCE COSTS AND INCOME TAX27,304
11,387
Finance income
(114)
(71)
Finance costs
7,296
3,692
NET FINANCE COSTS7,182
3,621
NET PROFIT BEFORE INCOME TAX20,122
7,766
Income tax
5,640
2,139
NET PROFIT AFTER INCOME TAX FROM CONTINUING OPERATIONS14,482
5,627
Net (loss) / profit after income tax from discontinued operations1
(3,061)
11,557
NET PROFIT AFTER INCOME TAX11,421
17,184
ATTRIBUTABLE TO:
Owners of the Parent11,421
17,184
EARNINGS PER SHARE FOR PROFIT ATTRIBUTABLE TO THE SHAREHOLDERSCENTSCENTS
Basic and diluted earnings per share from continuing operations
3.9
1.5
Basic and diluted earnings per share
3.0
4.6
The above Condensed Consolidated Income Statement is to be read in conjunction with the notes on
pages 11 to 19.
4
Channel Infrastructure NZ Limited | 2023 Half Year Report

Condensed Consolidated Statement of
Comprehensive Income
FOR THE SIX MONTHS ENDED 30 JUNE 2023 (UNAUDITED)
GROUPGROUP
30 June 202330 June 2022
$000$000
NET PROFIT AFTER INCOME TAX11,421
17,184
OTHER COMPREHENSIVE INCOME
Items that will not be reclassified to the Income Statement
Defined benefit plan and medical scheme actuarial gain
2,532
656
Deferred tax
(709)
(184)
Total items that will not be reclassified to the Income Statement1,823
472
Items that may be subsequently reclassified to the Income Statement
Movement in cash flow hedge reserve
(2,048)
11,007
Deferred tax
573
(3,082)
Total items that may be subsequently reclassified to the Income Statement(1,475)
7,925
TOTAL OTHER COMPREHENSIVE INCOME, AFTER INCOME TAX348
8,397
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD, AFTER INCOME TAX11,769
25,581
ATTRIBUTABLE TO:
Owners of the Parent
11,769
25,581
The above Condensed Consolidated Statement of Comprehensive Income is to be read in conjunction with the notes
on pages 11 to 19.
5
Channel Infrastructure NZ Limited | 2023 Half Year Report

Condensed Consolidated Balance Sheet
AS AT 30 JUNE 2023 (UNAUDITED)
GROUPGROUP
30 June 202331 December 2022
NOTE
$000$000
ASSETS
Cash and cash equivalents
1,897
2,386
Trade and other receivables
21,118
23,047
Derivative financial instruments
1,438
33
Inventories
5,569
5,057
TOTAL CURRENT ASSETS30,022
30,523
NON-CURRENT ASSETS
Derivative financial instruments
11,752
14,143
Intangibles
6,751
5,909
Property, plant and equipment7
890,100
876,054
Other assets
18,140
19,714
Right-of-use assets
299
585
TOTAL NON-CURRENT ASSETS927,042
916,405
TOTAL ASSETS957,064
946,928
LIABILITIES
CURRENT LIABILITIES
Trade and other payables
19,022
19,334
Borrowings6
74,822
-
Derivative financial instruments
410
934
Lease liabilities
62
62
Employee benefits
1,621
877
Provisions9
14,351
34,693
TOTAL CURRENT LIABILITIES110,288
55,900
NON-CURRENT LIABILITIES
Borrowings6
222,454
259,583
Lease liabilities
534
557
Provisions9
75,729
70,498
Employee benefits
3,429
5,878
Deferred tax liabilities
40,490
36,020
TOTAL NON-CURRENT LIABILITIES342,636
372,536
TOTAL LIABILITIES452,924
428,436
NET ASSETS504,140
518,492
6
Channel Infrastructure NZ Limited | 2023 Half Year Report

GROUPGROUP
30 June 202331 December 2022
NOTE
$000$000
EQUITY
Contributed equity5
318,123
314,504
Revaluation reserve
422,771
422,771
Treasury stock
(1,317)
(1,462)
Employee share entitlement reserve
864
4,240
Cash flow hedge reserve
8,650
10,125
Retained earnings
(244,951)
(231,686)
TOTAL EQUITY504,140
518,492
The Board of Directors of Channel Infrastructure NZ Limited authorised these financial statements for issue on
22 August 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 Condensed Consolidated Balance Sheet is to be read in conjunction with the notes on pages 11 to 19.
7
Channel Infrastructure NZ Limited | 2023 Half Year Report

Condensed Consolidated Statement of
Changes in Equity
FOR THE SIX MONTHS ENDED 30 JUNE 2023 (UNAUDITED)
CONTRIBUTED
EQUITY
REVALUATION
RESERVE
TREASURY
STOCK
EMPLOYEE
SHARE
ENTITLEMENT
RESERVE
CASH FLOW
HEDGE
RESERVE
RETAINED
EARNINGS
TOTAL EQUITY
$000$000$000$000$000$000$000
AT 1 JANUARY 2022313,974422,771(1,168)1,5863,708(245,383)495,488
COMPREHENSIVE INCOME
Net profit after income tax-----17,18417,184
Other comprehensive income
Movement in cash flow hedge reserve----11,007-11,007
Defined benefit actuarial gain-----656656
Deferred tax on other
comprehensive income----(3,082)(184)(3,266)
TOTAL OTHER COMPREHENSIVE
INCOME, AFTER INCOME TAX
----7,9254728,397
TRANSACTIONS WITH OWNERS OF
THE PARENT
Equity-settled share-based payments---1,335--1,335
Shares vested to employees--236(236)---
Treasury shares purchased530-(530)----
TOTAL TRANSACTIONS WITH OWNERS
OF THE PARENT
530-(294)1,099--1,335
AT 30 JUNE 2022
314,504422,771(1,462)2,68511,633(227,727)522,404
8
Channel Infrastructure NZ Limited | 2023 Half Year Report

CONTRIBUTED
EQUITY
REVALUATION
RESERVE
TREASURY
STOCK
EMPLOYEE
SHARE
ENTITLEMENT
RESERVE
CASH FLOW
HEDGE
RESERVE
RETAINED
EARNINGS
TOTAL EQUITY
$000$000$000$000$000$000$000
AT 1 JANUARY 2023
314,504422,771(1,462)4,24010,125(231,686)518,492
COMPREHENSIVE INCOME
Net profit after income tax
-----11,42111,421
Other comprehensive income
Movement in cash flow hedge reserve
----(2,048)-(2,048)
Defined benefit actuarial gain
-----2,5322,532
Deferred tax on other
comprehensive income
----573(709)(136)
TOTAL OTHER COMPREHENSIVE
INCOME, AFTER INCOME TAX
----(1,475)1,823348
TRANSACTIONS WITH OWNERS OF
THE PARENT
Equity-settled share-based payments
---388--388
Shares vested to employees
3,529-235(3,764)---
Treasury shares issued
90-(90)----
Dividend paid
-----(26,509)(26,509)
TOTAL TRANSACTIONS WITH OWNERS
OF THE PARENT
3,619-145(3,376)-(26,509)(26,121)
AT 30 JUNE 2023318,123422,771(1,317)8648,650(244,951)504,140
The above Condensed Consolidated Statement of Changes in Equity is to be read in conjunction with the notes on
pages 11 to 19.
9
Channel Infrastructure NZ Limited | 2023 Half Year Report

Condensed Consolidated Statement of
Cash Flows
FOR THE SIX MONTHS ENDED 30 JUNE 2023 (UNAUDITED)
GROUPGROUP
30 June 202330 June 2022
$000$000
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers
65,126
99,572
Payment for supplies and expenses
(32,569)
(60,907)
Payments to employees
(5,628)
(46,332)
Interest received
308
113
Interest paid
(7,502)
(6,498)
Net GST paid
1,529
(1,352)
Income tax paid
-
576
NET CASH INFLOW / (OUTFLOW) FROM OPERATING ACTIVITIES21,264
(14,828)
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from sale of property, plant and equipment
-
459
Proceeds from sale of intangible assets
-
2,413
Payments for property, plant and equipment
(32,743)
(18,858)
NET CASH OUTFLOW FROM INVESTING ACTIVITIES(32,743)
(15,986)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from/(repayment of) loans and borrowings
37,499
(75,000)
Proceeds from bond issuance
-
98,111
Dividends paid
(26,509)
-
Lease payments
-
(320)
NET CASH INFLOW FROM FINANCING ACTIVITIES10,990
22,791
NET DECREASE IN CASH AND CASH EQUIVALENTS(489)
(8,023)
Cash and cash equivalents at the beginning of the period
2,386
16,069
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD1,897
8,046
The above Condensed Consolidated Cash Flow Statement is to be read in conjunction with the notes on
pages 11 to 19.
10
Channel Infrastructure NZ Limited | 2023 Half Year Report

Notes to the Condensed Consolidated
Financial Statements
FOR THE SIX MONTHS ENDED 30 JUNE 2023 (UNAUDITED)
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 condensed consolidated interim financial statements
(hereinafter 'financial statements') for the six months
ended 30 June 2023 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 financial statements as at and for the six
months ended 30 June 2023 comply with the generally
accepted accounting practice in New Zealand (‘NZ
GAAP’) and have been prepared in accordance with
New Zealand Equivalents to International Accounting
Standard (‘NZ IAS‘) 34: Interim Financial Reporting
and International Accounting Standard (‘IAS‘) 34:
Interim Financial Reporting and, consequently, do not
include all the information required to be disclosed in
annual consolidated financial statements. These financial
statements should be read in conjunction with the annual
consolidated financial statements for the year ended
31 December 2022.
Accounting Policies
The accounting policies used in the preparation of these
financial statements are consistent with those used in
the previously published audited consolidated financial
statements as at and for the year ended 31 December
2022. The Group has changed the way that it classifies
certain operating expenses in the current reporting
period; the 2022 comparatives have been updated to
be consistent with the new classification and to improve
comparability between reporting periods.
The XRB has issued a number of other standards,
amendments and interpretations which are not yet
effective, of which an impact on the Group’s consolidated
financial statements is not considered to be material.
Use of Judgements and Estimates
The preparation of
financial statements requires Directors
and 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 following areas
involve judgements, estimates and assumptions that
can significantly affect the amounts recognised in the
consolidated financial statements:
•Fair value 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). Management and the Board has assessed
the fair value of property, plant and equipment and
concluded that it does not differ materially from its
carrying value.
•Assets held for sale – the Group continues to report
decommissioned
refinery assets that are subject to
a conditional sale agreement, as property, plant and
equipment, rather than as assets held for sale.  (Refer
to Note 11 for further details).
•Provisions – consistent with the 2022 financial
statements, the Group continues to recognise several
provisions in relation to the conversion of the refinery
into a dedicated fuels import terminal operation (refer
to Note 9 for further details).
•Recoverability of tax losses – the Group's
accumulated tax losses amount to c.$521 million at
30 June 2023 . A deferred tax asset in respect of these
unutilised tax losses is recognised, having regard to
the Shareholder and Business Continuity Tests and an
assessment of future taxable profits available against
which the tax losses can be recovered, and therefore
the deferred tax asset realised.
•Discontinued operations – the Group continues to
present the results from discontinued operations
associated with the
refining operations which ceased
in March 2022. For further details including judgements
relating to the processing fees refer to Note 1 .
11
Channel Infrastructure NZ Limited | 2023 Half Year Report

1Discontinued Operations
The Group's results from discontinued operations relate to refining operations which ceased in March 2022. In the
six months ended 30 June 2023 the results included, amongst others, revenue from scrap metal sales and on-going
costs associated with refining operations, including for example, retiree medical scheme costs and costs associated
with the sale of permanently decommissioned refining plant. Conversion costs reflect those costs attributed to the
transition to an import terminal and include the reassessment of long-term provisions (including demolition) due to cost
re-estimation and/or changes in discounts rates.
The comparatives 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. Note, processing fees earned to March 2022
were determined by the Company in accordance with the terms of the Processing Agreements with each customer.
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. As disclosed in the
2022 consolidated financial statements (Note 1), the Company’s maximum exposure to the disputes is limited by the
operation of the Processing Fee Floor (i.e. revenue recognised in quarter one 2022 in excess of the fee floor was
c.$11 million).
GROUPGROUP
30 June 202330 June 2022
Note
$000$000
DISCONTINUED OPERATIONS
INCOME
Refining revenue2
(1,238)
69,001
TOTAL INCOME(1,238)
69,001
EXPENSES
Purchase of process materials and utilities
-
18,240
Materials and contractor payments
-
4,082
Salaries, wages and benefits
650
13,073
Administration and other costs
787
7,147
TOTAL EXPENSES1,437
42,542
EARNINGS BEFORE DEPRECIATION, CONVERSION COSTS, FINANCE COSTS AND
INCOME TAX
(2,675)
26,459
Depreciation and disposal costs
-
7,907
Conversion costs
476
(1,659)
TOTAL DEPRECIATION, DISPOSALS AND CONVERSION COSTS476
6,248
NET (LOSS)/PROFIT BEFORE FINANCE COSTS AND INCOME TAX(3,151)
20,211
Finance income
-
(42)
Finance costs9
1,073
4,302
NET FINANCE COSTS1,073
4,260
NET (LOSS)/PROFIT BEFORE INCOME TAX(4,224)
15,951
Income tax
(1,163)
4,394
NET (LOSS)/PROFIT AFTER INCOME TAX(3,061)
11,557
CASH FLOW USED IN DISCONTINUED OPERATIONS INCLUDED IN THE GROUP STATEMENT OF
CASH FLOWS
Net cash used in operating activities
(17,899)
(26,602)
NET CASH FLOW USED IN DISCONTINUED ACTIVITIES FOR THE PERIOD(17,899)
(26,602)
12
Channel Infrastructure NZ Limited | 2023 Half Year Report

2Income
Import terminal and associated fees are recognised over time as services are delivered. An output method
is applied to measure 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 substance 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.
The decrease in processing fee revenue recorded in the six months ended 30 June 2023, reflects changes to pricing
benchmarks and the assessed impact to the gross refining margin reported in the prior comparative period.
GROUPGROUP
30 June 202330 June 2022
NOTE
$000$000
CONTINUING OPERATIONS
Import terminal revenue
58,237
25,740
Wiri land and terminal lease income
3,248
1,632
Laboratory and other revenue
2,935
2,459
TOTAL REVENUE FROM CONTINUING OPERATIONS64,420
29,831
DISCONTINUED OPERATIONS
Processing fees
(1,620)
47,312
Natural Gas recovery
-
4,737
Pipeline and terminalling fee revenue
-
5,987
Wiri land and terminal lease income
-
1,631
Other refining related income
382
9,334
TOTAL REVENUE FROM DISCONTINUED OPERATIONS
1
(1,238)
69,001
TOTAL REVENUE63,182
98,832
13
Channel Infrastructure NZ Limited | 2023 Half Year Report

3Segment 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 before 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 12. 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 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 period.
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 ).
(b)
Segment results
InfrastructureOil RefiningTotal
NOTE
$000$000$000
30 JUNE 2023
CONTINUING OPERATIONS
External customer2
64,420-64,420
Inter-segment
635-635
TOTAL REVENUE FROM CONTINUING OPERATIONS65,055-65,055
DISCONTINUED OPERATIONS
External customer2
-(1,238)(1,238)
TOTAL REVENUE FROM DISCONTINUED OPERATIONS-(1,238)(1,238)
TOTAL REVENUE
1
65,055(1,238)63,817
ADJUSTED EBITDA
2
43,537(2,066)41,471
30 JUNE 2022
CONTINUING OPERATIONS
External customer229,831-29,831
Inter-segment1,272-1,272
TOTAL REVENUE FROM CONTINUING OPERATIONS
31,103-31,103
DISCONTINUED OPERATIONS
External customer214268,85969,001
TOTAL REVENUE FROM DISCONTINUED OPERATIONS
14268,85969,001
TOTAL REVENUE
1
31,24568,859100,104
ADJUSTED EBITDA
2
19,74329,33349,076
1Prior to consolidation eliminations
2Refer to Note 12
14
Channel Infrastructure NZ Limited | 2023 Half Year Report

4Related Parties
The Group entered into transactions with related parties, primarily import terminal and related revenue under
the Terminal Services and Private Storage Agreements. Details of related parties and the types of transactions
entered into during the six month period ended 30 June 2023 are consistent with those disclosed in the audited
financial statements for the year ended 31 December 2022 (refer in particular to Note 4 of the 2022 consolidated
financial statements).
5Equity
Contributed equity
The issued capital of the Company is represented by 378,756,041 ordinary shares (31 December 2022: 372,725,917) issued
and fully paid, less 377,885 (2022: 1,031,802) treasury shares held by CRS Nominees Limited. All ordinary shares rank
equally with one vote attached to each ordinary share.
Movements in the contributed equity comprise:
Issued and Fully Paid Shares 1 January 2023372,725,917
Vesting of share rights issued in 2021
In January and February 2023, the Company issued two tranches of shares with respect to the share rights issued
in 2021 to incentivise and retain selected key management for 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 on 4 January 2023.
•The second tranche of share rights vested on 28 February 2023 in accordance with their terms and 1,377,389
shares in the Company were issued (including 282,253 shares to the former CEO).
3,309,279
Vesting of former CEO’s share performance rights
On 23 February 2023 the Board determined that the unvested share rights of former Chief Executive Officer
(CEO), Naomi James, would vest upon cessation of her employment as CEO on 6 March 2023 as the outcomes
contemplated by the vesting conditions were delivered. Accordingly, on 7 March 2023 the Company issued
2,661,773 ordinary shares to Ms James.
2,661,773
Employee Share Purchase Scheme
On 17 April 2023, the Company issued 59,072 ordinary shares, at an issue price of $1.527 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.
59,072
Issued and Fully Paid Shares 30 June 2023378,756,041
Share performance rights issued
On 27 March 2023 the Company issued 337,975 share rights to CEO, Rob Buchanan, under the Company’s Share Rights
Plan . Each Share Right converts on a 1:1 basis for nil cash consideration into fully paid ordinary shares on 27 February
2028, subject to the satisfaction of a performance condition and workplace safety condition (each as confirmed by
the Board). Vesting is also subject to the CEO remaining retained except in certain no fault terminations provided the
above performance condition and workplace safety condition are satisfied.
The total cost of the shares and share rights under the share schemes (including the Share Rights Plan and Employee
Share Purchase Scheme) recognised in the six months to 30 June 2023 was $0.4 million (30 June 2022: $1.3 million)
with a corresponding increase in Share Scheme Entitlement Reserve, noting that the cost recognised in 2022 is higher
due to some employees being made redundant, which resulted in earlier recognition of the costs associated with the
share schemes.
15
Channel Infrastructure NZ Limited | 2023 Half Year Report

Dividends
The Group has declared a fully imputed ordinary interim dividend of 4.2 cents per share payable on 20 September
2023 (no interim dividend was paid or declared in 2022, and a fully imputed final dividend of 5 cents per share and
a fully imputed special dividend of 2 cents per share was declared from the 2022 financial results, and paid on
20 March 2023).
As at 30 June 2023 imputation credits available to shareholders, subject to 66 per cent shareholder continuity, amount
to $9.8 million being an equivalent of c.6.7 cents per share of fully imputed dividends (31 December 2022: $20.3 million).
6Borrowings
As at 30 June 2023 the total available debt funding facilities amounted to $380 million (including the Company’s
$75 million subordinated notes, $100 million retail bonds on issue and $205 million bank facilities).
The carrying amounts of borrowings approximate their fair value. The borrowings are unsecured. The Parent can
determine which revolving cash advance facility will be drawn to meet 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 30 June 2023:
MATURITYGROUPGROUP
DATE30 JUNE31 DECEMBER
20232022
$000$000
BORROWINGS
Current borrowings:
Subordinated notesMar-34
1
74,822
-
Total current bank borrowings74,822
-
Non-current borrowings:
Revolving cash advancesNov-25
65,000
50,000
Revolving cash advancesNov-26
28,500
16,000
Revolving cash advancesNov-27
30,000
20,000
Subordinated notesMar-34
-
74,791
Retail bondsMay-27
98,954
98,792
Total non-current borrowings222,454
259,583
TOTAL BORROWINGS297,276
259,583
UNDRAWN FACILITIES
Revolving cash advancesNov-25
-
15,000
Revolving cash advancesNov-26
46,500
59,000
Revolving cash advancesNov-27
35,000
45,000
TOTAL UNDRAWN BORROWING FACILITIES81,500
119,000
1While the expiry of the subordinated notes is on 1 March 2034, the first election date is on 1 March 2024 ("Election Date") and therefore the balance
is disclosed as current borrowings as at 30 June 2023. The Company may give notice at least 30 business days prior to the Election Date to either
redeem the subordinated notes or to run an election process and offer new conditions.
16
Channel Infrastructure NZ Limited | 2023 Half Year Report

7Property, Plant and Equipment
Revaluation of property, plant and equipment
All property, plant and equipment is recognised at fair value less accumulated depreciation, except capital work in
progress which is recognised at historical cost.
As at 30 June 2023 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 associated with the import terminal system was made during the reporting period. The previous valuation
was carried out by PwC, a qualified independent valuer, as at 31 December 2021.
The remaining useful lives of the Group’s property, plant and equipment are outlined below:
USEFUL
LIVES
Buildings2-30 years
Jetties14-45 years
Tanks20-45 years
Other Assets1-80 years
Marsden Point to Auckland Pipeline and other assets5-45 years
Depreciation
During the six months ended 30 June 2023 the Group has recognised c.$16 million of depreciation expense.
(30 June 2022: $16 million, disclosed as $8 million continuing operations and $8 million discontinued operations.)
8Contractual Commitments
Commitments are related to asset purchases and other ongoing contractual commitments as at the reporting date
but not provided for in the consolidated financial statements. As at 30 June 2023, the total contractual commitments
amounted to $42 million (31 December 2022: $34 million), and are primarily related to import terminal conversion
project costs.
17
Channel Infrastructure NZ Limited | 2023 Half Year Report

9Provisions
Provisions relate to the costs associated with the refinery decommissioning, demolition and restoration, and workforce
and other provisions – refer Note 14 of the 2022 consolidated financial statements for further details.
During the six months ended 30 June 2023 provisions have reduced by c.$15 million compared to 31 December 2022
due to the following:
- Reduction of c.$16 million due to utilisation of previously recognised provisions (including $14 million of shut-down and
decommissioning costs, and $2 million of workforce transition and other costs);
- Reduction of c.$0.3 million due to an increase in discount rates that now range from 4.6 to 5.4% (31 December 2022:
3.3 to 4.2%); and
- Increase in provisions by c.$1.1 million, being discount unwinding (with the corresponding impact on financing costs of
the discontinued operations). Refer to Note 1.
10Contingencies
From time to time, the Group has legal claims and exposures that arise from contracts and the Group's business in
respect 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 of the 2022 consolidated financial statements relating to conditions
attached to the site resource consents, the Group had no other contingent liabilities as at 30 June 2023.
11Events after balance date
Conditional sale agreement for decommissioned assets
On 8 July 2023, the Company entered into an Asset Sale Agreement with US-based Seadra Energy Incorporated
(“Seadra”), granting Seadra an option to purchase permanently decommissioned parts of the former refinery.  Under
the agreement, Seadra will have up to six months to consider the purchase of certain assets from the hydrocracking
complex, in consideration for a non-refundable option payment of US$4.0 million. This option payment was received
on 11 July 2023.
Seadra may choose not to pursue the purchase or may renew the option for an additional six months for a further
non-refundable payment of US$0.5 million. Should Seadra elect to exercise the option, subject to meeting certain
conditions, the purchase price for the assets agreed between the parties is US$33.875 million (including the option
payments, but prior to any transaction costs), with the balance of the purchase price to be paid in instalments
throughout the expected 12-month deconstruction period.
Non-current assets are classified by the Group as assets held-for-sale if their carrying amount will be recovered
principally through a sale transaction rather than through continuing use and a sale is considered highly probable
within 12 months. The Board has considered all information available and exercised their judgement to determine that
the assets proposed to be sold to Seadra should not be classified as non-current assets held for sale as at 30 June
2023. This is based on the Board’s knowledge and experience regarding the challenges to developing technically
feasible and financially viable projects involving second-hand refining plant globally, and specifically noting the
conditional nature of this agreement.
The current net book value after impairments of all decommissioned refinery plant (including the assets proposed to
be sold to Seadra) is c.NZ$29 million, which will be reviewed considering any agreements relating to the sale of any
refinery assets, with a consequential reduction in the refinery demolition provision (refer to note 9) yet to be assessed.
Ordinary Interim Dividend Declared
On 22 August 2023 the Board declared a fully imputed ordinary interim dividend of 4.2 cents per share as detailed
in Note 5.
18
Channel Infrastructure NZ Limited | 2023 Half Year Report

12Non-GAAP disclosures
Channel Infrastructure's standard profit measure prepared under New Zealand Generally Accepted Accounting
Practice (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 Reporting 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 for
discontinued operations as presented in the Consolidated Income Statement.
Adjusted EBITDA
Reported EBITDA adjusted for other non-cash and one-off expenses.
GROUPGROUP
30 JUNE30 JUNE
20232022
$000$000
Reported EBITDA from continuing operations
43,537
19,672
Reported EBITDA from discontinued operations
(2,675)
26,459
Total Reported EBITDA40,862
46,131
Add back non-cash and one-off expenses:
Post employment benefit plan expense
221
1,017
Employee share scheme and share rights cost
388
1,335
Other adjustments
-
593
Adjusted EBITDA41,471
49,076
19
Channel Infrastructure NZ Limited | 2023 Half Year Report

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
R C Buchanan (from 6 March 2023)
N M James (to 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
transactions, please visit: www.computershare.co.nz/investorcentre Please assist our registrar by quoting your CSN
or shareholder number.
20
Channel Infrastructure NZ Limited | 2023 Half Year Report

---

Results announcement




Results for announcement to the market
Name of issuer Channel Infrastructure NZ Limited
Reporting Period 6 months to 30 June 2023
Previous Reporting Period 6 months to 30 June 2022
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
64,420 116%
Total Revenue 63,182 36%
Net profit/(loss) from
continuing operations
14,482 157%
Total net profit/(loss) 11,421 (34%)
Interim/Final Dividend
Amount per Quoted Equity
Security
$0.04200000
Imputed amount per Quoted
Equity Security
$0.01633333
Record Date 06/09/2023
Dividend Payment Date 20/09/2023
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$1.28 $1.34
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@channelnz.com
Date of release through MAP

23/8/2023

Unaudited financial statements accompany this announcement.

---

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 Quarterly
Half Year X Special
DRP applies
Record date 06/09/2023
Ex-Date (one business day before the
Record Date)
05/09/2023
Payment date (and allotment date for
DRP)
20/09/2023
Total monies associated with the
distribution
1

$15,907,754
Source of distribution (for example,
retained earnings)
Income available for distribution
Currency NZX
Section 2: Distribution amounts per financial product
Gross distribution $0.05833333
Gross taxable amount $0.05833333
Total cash distribution $0.04200000
Excluded amount (applicable to listed
PIEs)
N/A
Supplementary distribution amount $0.00741176
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
$0.01633333
Resident Withholding Tax per
financial product
$0.00291667

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@channelnz.com
Date of release through MAP

23/08/2023