BANGCHAK CORPORATION PCL.ANALYST MEETINGQ3/2020

November 16, 2020

2

01

02

03

TABLE OF CONTENT

Business Outlook

Q3/2020Key Highlight &Business Performance

Q3/2020Financial Performance

3

Consolidated Performance Q3/2020

EBITDA2,769

o Crude run 95.3 KBD (79% utilization rate)

o Operating GRM declined to 2.33 $/BBL resulting from the GO/DB spread dropped

o Inventory gain of 269 MB (Net NRV)Refinery & Trading

Power Plant

o Electricity sales increase +78% QoQ, mostly

attributed to the peak season of Laos hydropower plants

o Share of profit of 101 MB

o Sales volumes improved 12% QoQ: retail sales 14% and industrial sales 5%

o MKM 0.89 Baht/Litre: BCP pushed the high-margin product sales in order to remain the total marketing margin level

o Inventory gain of 3 MB (Net NRV)Marketing

Bio-Based Products

o B100 sales volume recovered by 7% QoQ as the lockdown easing, B10 diesel policy and domestic travel campaign

o Ethanol sales volume improved by 20% QoQ but thegross profit margin fell as sales volume of industrial-grade ethanol declined due to the easing down of Covid-19

Natural

Resources

o 50 MB share of loss from OKEA

o OKEA production at ~13 kboe/d

Other

Note: *excludes Inventory gain/loss and Gain/loss from FX forward contracts

(73)(58)

390

1,138

763

429

Operating

EBITDA*

2,590

EBITDA (Unit: MB)

PAT (647) MB

3

4

-5

0

5

10

15

20

Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q2/20 Q3/20

o Q3/2020 operating GRM was slightly decreased mainly from the

continued declined in Diesel-Dubai spread (GO-DB) due to the slowdown

in global oil demand as the growing fear of a resurgence of the COVID-19

o Crude price was slightly increased with limited upside due to re-spread of

COVID-19 in many countries. All in all resulted in inventory gain of 269

MB (Net NRV)

o BCPT recorded sales volume increase by 23% especially in crude oil

and Fuel oil products; nevertheless, the gross profit margin was slightly

declined mainly from lower margin of LSFO products due to higher supply

while demand remained under pressure from COVID-19

110.8

89.395.3

111.2

96.3

92%

74%79%

93%80%

-50%

-30%

-10%

10%

30%

50%

70%

90%

0102030405060708090

100110120130140

Q3/19 Q2/20 Q3/20 9M/19 9M/20

7.68 3.93 2.33

5.35 3.02

0.02

0.001

0.22

0.01 0.17

(3.70)(7.15)

0.97

(1.34) (5.23)

Q3/19 Q2/20 Q3/20 9M/19 9M/20

Operating GRM Hedging Inventory Gain/Loss

Refinery and Trading Business: Q3/2020 EBITDA 606 MB (+177% QoQ)

GO/DB

UNL95/DB

IK/DB

LSFO/DB

Cra

ck S

pre

ads

($/B

BL)

GRM

Perf

orm

ance

($/B

BL)

Pro

duct

ion P

rofile

4.00 (3.22) 3.52 4.01 (2.04)

Crude run

6%5%

66%

1%

20%

3%

Q3/20

LPG

Gasoline

Diesel

UCO

FO & intermediate

Product Yield

Jet<1%

Non-transportation fuels

5

Marketing Business: Q3/2020 EBITDA 766 MB (6% QoQ)

715 708 731

410 353 461

216 7 14

0

200

400

600

800

1,000

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20

HSD

MOGAS

JET

HSD, MOFUEL & JET Sale Volume (ML)

o Total sales volume increased 12% QoQ from the increase in retail

sales volume 14% and industrial sales volume 5%, resulting from the

government measure to promote domestic traveling after the easing

down of COVID-19

o Inventory gain of 3 MB (Net NRV)

o Net Marketing Margin per unit slightly declined due to the

marketing initiates to drive sales during the COVID 19. However, BCP

tried to push the sales of high-margin products in order to remain the

level of total marketing margin0.77

0.90 0.89

0.77

0.86

Q3/19 Q2/20 Q3/20 9M/19 9M/20

*Net MKM excludes Inventory Gain/(Loss) and NRV

Net Marketing Margin (Baht/Litre) Total Sales Volume (ML/Mo)

Q3/20

0

100

200

300

400

Q1/18 Q1/19 Q1/20

Retail

Industrial

16.0

%

12.2

%

12.0

%

10.0

%

4.1

% 2.0

%

1.8

%

1.7

%

15.6

%

11.2

%

11.5

%

9.4

%

4.2

%

2.4

%

2.0

%

1.5

%

9M/2019 9M/2020

Source: DOEB & BCP

Retail Sales Volume Market Share (%)

40.0

%

42.0

%

6

Power Plant Business: Q3/2020 EBITDA 1,138 MB (+32% QoQ)

148 152 172

15 1515

158 158158

14 1414

69114

114404

452472

Q3/19 Q2/20 Q3/20

Solar & Wind

Solar

Geothermal

Wind

Hydro

Operating Capacity (MW PPA)

70 74 76

218 2255 5 5

1413

8 73

189

8

296

83151

270 240

534

Q3/19 Q2/20 Q3/20 9M/19 9M/20

Laos JP TH

Electricity Sales (Million kWh)

Core profit from operation significantly improved as Hydropower

plants 3A & 3B realized their first peak season with new acquisitions of

20 MW solar farms, led to the significant growth in performance

Electricity sales +78% QoQ.

o Hydroelectricity sales increased 159%, fully high season recognition of

hydropower plants in Lao PDR after acquisition

o Thai electricity sales rose slightly, in line with the solar power plant capacity

expansion in August and stronger wind than the previous quarter, which

were low season

o Japan solar sales increased to its normal level, no curtailment in this quarter

Share of profit 101 MB

o Geothermal power plant 122 MB

o PH Wind power plant -22 MB

7

POWER PLANT BUSINESSBio-Based Product Business: Q3/2020 EBITDA 390 MB (+15% QoQ)

80

60

66

22

1

18

6

87

63

67

24

0

19

9

Q3/19 Q2/20 Q3/20 9M/19 9M/20

Production Sales

26.2

31.8

15

20

25

30

35

40

Ja

n-1

9

Ap

r-1

9

Ju

l-1

9

Oct-

19

Ja

n-2

0

Ap

r-2

0

Ju

l-2

0

Oct-

20

Source: EPPO

Gross profit rose 53% QoQ

o Revenue dropped 2% because of Q3 average B100 price dipping as

overhanging crude palm oil inventories from Q2

o Gross profit increased from successful raw material cost management and

increase in sales volume as domestic lockdown easing including BCP

pushed B10 sales in preparation of becoming the standard diesel grade

B100 Average Price (Baht/Litre)

Biodiesel Production & Sales Volume (Million Litres) Ethanol Production & Sales Volume (Million Litres)

53

47 51

15

1

14

7

51

44 5

2

14

5

13

6

Q3/19 Q2/20 Q3/20 9M/19 9M/20

Production Sales

Ethanol Average Price (Baht/Litre)

23.2

23.8

20

22

24

26

Ja

n-1

9

Ap

r-1

9

Ju

l-1

9

Oct-

19

Ja

n-2

0

Ap

r-2

0

Ju

l-2

0

Oct-

20

Source: EPPO

Gross profit dropped 24% QoQ

o Fuel-grade ethanol demand has picked up attributed to the government

have stimulated more domestically travel

o Demand for industrial-grade ethanol, used in disinfectant products, was

weaker than the previous quarter led to lower gross profit

B10 as standard diesel @ 1 Oct

8

o Net production 13.3 kboe/d: the planned shutdown period of both

Draugen and Gjøa were longer than last quarter

o Operating performance was positive. Revenue slightly increased:

the oil and gas price raised from the recovering demand

Impact to financial statement:

Impairment related to the Yme asset under development, primarily

driven by an increasing capital expenditures and the delayed production

Currency gain on loans: strengthening of NOK against USD

Unwind deferred tax from impairment

Resulting in BCP took share of loss 50 MB from OKEA

Natural Resources Business: Q3/2020 EBITDA (58) MB (-196% QoQ)

Realized Price

Source: OKEA

9.77.9

6.7

8.1

7.8

6.4

18.116.0

13.3

Q3/19 Q2/20 Q3/20

Ivar Assen

Gjoa

Draugen

56.4

24.932.3

3.01.4 2.2

Q3/19 Q2/20 Q3/20

Gas Price ($/MMBTU)

Liquid Price ($/boe)

Production Volume - Net to OKEA (kboe/d)

BCPR holds 46.32 % in OKEA ASA

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Q3/2020Key Highlight &Business Performance

TABLE OF CONTENT

Q3/2020Financial Performance

Business Outlook

10

BCP Performance 9M/2020

EBITDA

Q1/2020 Q2/2020 Q3/2020 9M2020

Inventory Loss(incl. NRV)

Impairment on Investment

(Nido & OKEA)

Impairment on TG (TFRS 9)

Impairment on loan to subsidiaries

(TFRS 9)

Tax Effect

PAT

Core Profit

(Unit: MB) Core Profit (Unit: MB)

Note: *excludes Inventory gain/loss and Gain/loss from FX forward contracts

(2,240)

(158)

1,482 1,108

1,430 1,083

Accounting EBITDA Operating EBITDA*

(915)

3,621

10

11

Consolidated Performance 9M/2020

EBITDA1,354

o Crude run 96.3 KBD (80% utilization rate)

o Operating GRM declined to 3.02 $/BBL due to low level of crack spreads

o Inventory loss of 4,371 MB (Net NRV) as a result of the crude oil and oil products

price fluctuations

Refinery & Trading

Power Planto Electricity sales increase +123% YoY,

mostly attributed to the peak season of Laos

hydropower plants

o Share of profit of 294 MB

o Sales volumes decreased 16% YoY: retail sales declined 3% and industrial sales dropped 45%

o MKM 0.86 Baht/Litre, improved as higher proportion sold through retail channel

o Inventory loss of 517 MB (Net NRV)

Marketing

Bio-Based Products

o Production and sales volume declined in response to

declining transportation fuel demand

o Gross profit increased for both Biodiesel and Ethanol

business mainly from the higher selling price

o EBITDA + 98% YoY

Natural

Resources

o 1,189 MB share of loss from OKEA

o OKEA production at ~16 kboe/d

Other

Note: *excludes Inventory gain/loss and Gain/loss from FX forward contracts

Operating

EBITDA*

6,407

(233)

2,771

2,089

1,238

(1,224)

1,767

EBITDA (Unit: MB)

PAT (7,219) MB

11

12

Consolidated Statement of Financial Position

• Net fair value of investment in LAC +3,683 MB

31/12/ 2019 4.16 CAD/share

30/9/202015.14 CAD/share

Entities Change (MB) Value @ 30 Sep 20

UBE + 12 811

Petro Wind + 37 1,164

Star Energy - 462 12,035

OKEA ASA - 2,280 1,224

Equities

• Net loss of 6,371 MB

• Dividend payment of 743 MB & Interest expense for hybrid bond 251 MB

• Other comprehensive income increased 2,836 MB mainly from adjusted fair

value of investment in LAC

Asset

• Right-of-use assets and Leasehold rights +7,409 MB (TFRS 16)

• Investment in associates -2,693 MB

• Intangible assets +3,187 MB as BCPG acquired Namsan 3B

Hydropower plant and RPV solar farm in August

Liabilities

• Trade & other current payables –4,527 MB mainly from the lower crude

price and volume

• Lease liabilities +7,414 MB (TFRS 16)

• Loans from financial institutions and debentures (incl. current portion)

+ 16,413 MB

31 Dec 19 30 Sep 20Change

(MB)Change

Total Assets 127,788 141,179 13,391 10%

Total Liabilities 68,973 86,985 18,012 26%

Total Equity 58,815 54,194 4,621 8%

13

Beginning Cash7,276 MB

Ending Cash12,175 MB

FX adjustmentMB 141

Cash movement 4,758 MB

Consolidated Statement of Cash Flow

11,859

8,000

4,197

698

(963)

(8,177)

(5,090)

(5,766)

Debt Service

PP&E

Investment & Loan to Subsidiaries & Asso.

Dividend paid & Others

Tax received & Others

Funding19,859 MB

Unit: MB

Sources of Cash24,754

Uses of Cash(19,996)

Net cash generated from operating

Loans from institution

Debentures

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TABLE OF CONTENT

Business Outlook

Q3/2020Key Highlight &Business Performance

Q3/2020Financial Performance

15

Trading Growth:

Logistics

Management

Expand Trading Product to

More Specialty Products

70+ Companies

Trade Network in Asia,

Australia and USA

Trade Volume 72 KBD (2019)

to 76 KBD (Est. 2020)

Refinery Business Going Forward

9.1

13.7 13.7

4.5

2.5

7.0

95/DB IK/DB GO/DB

2019

9M/20

Q4/20

2021Crack Spread: ($/BBL)

5.0-6.0

7.5- 9.5

0.5-1.5

3.5-5.0

2.5-3.0

5.5-6.0

Crudes & Feedstocks:

Increase high-margin crude variety & feedstocks for flexibility in production

Distressed cargo, opportunity from over supply

Crude overweight

Customized Products:

“Zero-Jet” Refining - Adjust production yield as COVID-19 hits Jet demand

Produce more high-value UCO – Lube & Wax and LSFO for new markets

Develop Non-transportation fuels

9% 9% 11% 6%4% 5% 4% 5%

52% 52%64% 66%

14% 12% 1%<1%

18% 19% 19% 20%

3% 3% 2% 3%

Typical Yield(2019)

1Q2020 2Q2020 3Q2020

LPG

Gasoline

Non-transportation fuels

Jet

Diesel

UCO

Fuel Oil & Intermediate

Crude run: (KBD)

95.3

(9M/20)

95 – 100

(Q4/2020)

100 – 105

(2021)

Refinery will shutdown for Turnaround Maintenance (TAM) in 2021 for 39

days (15 Feb – 25 Mar 2021)

Source : Outlook Price in Q4/20 and 2021 from S&P Global (Oct’20) and FGE (Oct’20)

16

Refinery Project Update

ProgressProject

Completion

Continuous Catalyst Regeneration Unit (CCR) 98.5% Dec 2020

Debottlenecking Hydrocracker Unit (HCU) 90% Mar 2021

Product Yield

Jet+Diesel 66%

Others16%

Current After

Jet+Diesel 66%

Mogas21%

Others13%

Mogas18%

+0.2 $/BBL+0.45$/BBL

GRM Improvement

Current Crude run @ 100 KBD

Mogas Yield Improvement

Energy Saving

3E project

320500

800

Est. 2020 Est. 2021 Annual recurringbenefit

Realized Benefit (MB)

What we have achieved so far?

99 Initiatives Completed and Benefit Realized

Additional 60 Initiatives will be completed within

Turnaround 2021 (Q1/2021)

Crude run @ 120 KBD

16

17

Strengthening Marketing Network

+54in 2020

+100in 20211,201

Y2019

No. of stations

Cluster development in main

roads, commercial and

tourism area

service stations as of Sep 2020

1,223

Standard Type 608 sites

COOP Type 615 sites

(+31/54 sites)

Nakornpathom

Khon Kaen

Bangkok

Saraburi

Unique Design Service Stations

Nonthaburi

*source: Thruput per station Doeb.go.th & BCP

Inthanin store sales much higher than average sales

22 provinces

Nakhon Ratchasima30/75 stations

Thruput*(KL/MO/SS)

BCP Standard S/S

Unique Design

Major Oil Average

426489

18

Deliver High Quality Products

Lube Business• FURiO

TMbrand & Network strengthening

* Finished Lubricant Domestic Market Share, Doeb.go.th

“Build The Base, Create The Growth”

Lube Domestic Market Share*

9MO 19 9MO 20

9.9%8.1%

Greenovative Products E20s Market Share

Before Sep 20

16.9%16.0%

Source: Doeb.go.th

20202019

B10

• Deliver High Quality and Environmental Friendly Products

19

Upgrading Non-oil Business

13 Stores 20 StoresNew retail strategic partner

• To draw more customers to service station

Inthanin “New Normal”

• Adaptive outlet types for new customer bases

• Get into delivery & take away market

700in 2020

855in 2021

600

Y2019

No. of stores

648stores as of Oct 2020

Others Potential Strategic Partners

Expand EV charging station

• 152 stations across the nations

THANK YOU

Disclaimer

The information contained herein is being furnished on a confidential basis for discussion purposes only and only for the use of the recipient, and may besubject to completion or amendment through the delivery of additional documentation. Except as otherwise provided herein, this document does not constitutean offer to sell or purchase any security or engage in any transaction.

The information contained herein has been obtained from sources that Bangchak Corporation Public Company Limited (“BCP”) considers to be reliable;however, BCP makes no representation as to, and accepts no responsibility or liability for, the accuracy or completeness of the information contained herein.

Any projections, valuations and statistical analyses contained herein have been provided to assist the recipient in the evaluation of the matters describedherein; such projections, valuations and analyses may be based on subjective assessments and assumptions and may utilize one among alternativemethodologies that produce differing results; accordingly, such projections, valuations and statistical analyses are not to be viewed as facts and should not berelied upon as an accurate representation of future events. The recipient should make an independent evaluation and judgment with respect to the matterscontained herein.

ir@bangchak.co.thTel. +66 2335 8663 / 8518 / 4370www.bangchak.co.th