1Q 2019 1 TGI Results Presentation May 15, 2019 Disclaimer This - - PowerPoint PPT Presentation
1Q 2019 1 TGI Results Presentation May 15, 2019 Disclaimer This - - PowerPoint PPT Presentation
1Q 2019 1 TGI Results Presentation May 15, 2019 Disclaimer This presentation contains statements that are forward looking within the meaning of Section 27 A of the Securities Act of 1933, as amended, (the Securities Act) ; and Section 21
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Disclaimer
This presentation contains statements that are forward looking within the meaning of Section 27 A of the Securities Act of 1933, as amended, (the “Securities Act”); and Section 21 E of the Securities Exchange Act of 1934, as
- amended. Such forward looking statements are only predictions and are not guarantees of future performance. All
statements other than statements of historical fact are, or may be deemed to be, forward looking statements. Forward looking statements include, among other things, statements concerning the potential exposure of TGI, its consolidated subsidiaries and related companies to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward looking statements are identified by their use of terms and phrases such as “ anticipate”, “believe”, “could”, “estimate”, “expect”, “intend”, “may”, “plan”, “objectives”, “outlook”, “probably”, “project”, “will”, “seek”, “target”, “risks”, “goals” and similar terms and
- phrases. Forward looking statements are statements of future expectations that 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. Although TGI believes that the expectations and assumptions reflected in such forward looking statements are reasonable based
- n information currently available to TGI’s management, such expectations and assumptions are necessarily
speculative and subject to substantial uncertainty, and as a result, TGI cannot guarantee future results or events. TGI does not undertake any obligation to update any forward looking statement or other information to reflect events or circumstances occurring after the date of this presentation or to reflect the occurrence of unanticipated events.
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Agenda
01
Key Updates
02
Financial and Operational Performance
03
Investment Projects
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Questions and Answers
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Key Updates
01
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Key Updates
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Delivery of the Floresta (Boyacá) and Paratebueno (Cundinamarca) exit points January 1: Recognition of the effect of IFRS 16 adoption in the financial statements Operational Performance Financial Performance Dividend distribution to shareholders of USD$90 million Commissioning of the Gualanday Dina gas pipeline realignment Engagement and diagnosis of indigenous communities in the area of influence at Ballena sector, Guajira Visit with ANLA to evaluate the Buenaventura – Yumbo Gas Pipeline and start of environmental diagnosis for the Regasification Plant location Strategic Performance Introduction of gas Gibraltar into TGI’s system starting on February 23. Approximately 6.500 MBtu (British thermal units) will be received initially; this gas is nominated by Vanti Meeting with the Ministry of Mines and Energy to review the proposal for the allocation of the stamp to the thermal sector Naturgas: Announcement of license plate restriction exemption for gas-operated vehicles and bidirectional operation in Ballena-Barranca for the integration and development of gas markets in the country Foro Semana: TGI’s CEO highlighted the importance of the Regasification Plant for the future of gas in Colombia
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Financial and Operational Performance
02
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109,9 108,1 112,7 111,0 118,0 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019
Revenue Breakdown
Stable and predictable generation of cash flow
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TGI presents an important stability in its revenue
Revenue by Industry Revenue by Customers
USD$ Million
Quarterly Revenue
▪ TGI’s revenue is highly regulated ▪ The Company has excellent quality of contracts:
✓ 93% of firm contracts, with an average remaining life
- f 7 years
✓ Firm contracts - 90% of fixed charges ✓ In
1Q 2019, main TGI’s clients represented approximately 90% of the total revenue and most relevant sectors represented 99% of such entry
65,6% 13,1% 9,3% 7,5% 3,7% 0,8% 65,0% 12,7% 10,7% 7,8% 2,3% 1,6% Distribuidor Refinería Térmico Vehícular Comercial Otros 1T 2019 1T 2018 31,9% 18,4% 15,0% 9,3% 5,5% 4,9% 4,8% 10,3% 31,7% 18,1% 13,9% 9,3% 4,3% 5,6% 5,7% 11,3% Vanti Gases de Occidente Ecopetrol EPM Efigas Isagen Alcanos Otros 1T 2019 1T 2018 Distributor Refinery Thermal Vehicle Commercial Other Vanti Gases de Ecopetrol EPM Efigas Isagen Alcanos Others 1Q 2019 1Q 2018 1Q 2019 1Q 2018 Occidente
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70.7 58.7 63.8 56.1 74.6 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019
EBITDA & EBITDA Margin Costs | Operating Expenses Operating Profit Net Profit
91.6 77.9 82.1 77.3 96.1 83,4% 72,1% 72,9% 69,6% 81,4%
1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019 22.7 37.7 12.5 63.2 31.9 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019
TGI Financial Performance
3 months figures USD Million
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39.3 51.4 52.6 55.,0 45.4 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019
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2,04 1,73 1,64 1,77 0,77 0,81 0,84 0,79 2016 2017 2018 Mar - 2019
Pasivos Patrimonio
(USD$ Million) (USD$ Billion) (USD$ Billion)
Liabilities | Equity PPE Cash and Equivalents Total Assets
(USD$ Billion)
TGI Financial Performance
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2.8 2.5 2.5 2.6 2016 2017 2018 Mar - 2019 227.7 79.5 46.8 105.1 2016 2017 2018 Mar - 2019 2.2 2.2 2.2 2.2 2016 2017 2018 Mar - 2019 Liabilities Equity 2.5 2.5 2.6 2.8
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Gross Total Debt / EBITDA Net Total Debt / EBITDA EBITDA / Financial Expenses Debt profile
LTM LTM LTM
Total Gross Debt USD$ 1.2 billion 4.0(1)
(1) Reasonable indebtedness limit
Bonus 64.1% Intercompany 31.6% IELAH 3.4% Leasing & Renting 0.9%
TGI Financial Performance
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3.0(1)
4,0 3,7 3,5 3,5
2016 2017 2018 Mar - 2019
4,4 3,8 3,8 3,8
2016 2017 2018 Mar - 2019
3,2 3,5 3,4 3,2
2016 2017 2018 Mar - 2019
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Gas pipeline length
(Km)
Transported Volume
Average – MMscfd
The total length
- f
the TGI pipeline system is approximately 3,994 Km, of which 3,844 Km are owned and operated by TGI; the remaining 150 Km, although under the control and supervision of TGI, are operated by the contractor. Of the total transported volume in the gas pipeline network at a national level, TGI continues to be the main actor with 466 MMscfd, whilst the second is Promigas with 364.3 MMscfd.
3.957 3.994 3.994 3.994 3.994 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019 426 440 460 460 466 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019
TGI Operational Performance
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Total Capacity Firm contracted capacity(1) Use factor
(MMscfd) Average - MMscfd
(1) The trend line refers to the ratio: Firm contracted capacity/available capacity. The Available capacity differs from the Total Capacity because TGI requires a percentage of the capacity for its own use.
785 785 785 792 792 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019 704 716 719 713 712
90% 91% 92% 90% 90%
1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019 50,0% 50,8% 52,3% 51,9% 52,9% 1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019
TGI Operational Performance
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Investment Projects
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Panorama de TGI
3
New opportunities in evaluation
Gas pipeline network(1)
The following IPAT projects are subject to being executed by TGI, according to the following resolutions in force:
- Mariquita – Gualanday Loop
- Barrancabermeja – Ballena Bidirectionality
- Yumbo – Mariquita Bidirectionality
- Compressor Project. Jamundi Branch -
Downstream (Pradera Node). TGI is waiting for the release of the final terms of reference for the following project to decide on its participation:
- Regasification
Plan – Buenaventura and Buenaventura – Yumbo Gas pipeline Estimated start-up date: September 2023
Cartagena Refinery Barrancabermeja Refinery
Bucaramanga Bogotá Neiva Cali Medellin
2.27 tcf
0,49 tcf
Eastern Producers: Ecopetrol Equion High Magdalena Valley Middle Magdalena Lower Magdalena Northern Producers: Chevron Ecopetrol
0,71 tcf
Guajira
Cusiana-Cupiagua
References TGI Gas pipelines Natural Gas Reserves City Field Refinery Third-party Gas pipelines
Reserves in other regions 0.4 2tcf
Total reserves 3.89 tcf
Pacific Ocean Caribbean Sea
VENEZUELA
(1) Has access to the three main gas production fields, Guajira and Cusiana-Cupiagua
Source: National Mining and Energy Planning Unit - National Hydrocarbons Agency
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Project Description Total project investment Status
Increase natural gas transportation capacity by 58 Mscfd between Cusiana and Vasconia, with the construction of 39.6 Km of 30” diameter loops.
- Expansion of the Gas Compression
Station of Puente Guillermo
- Modifications
to the Gas Compression Stations of Miraflores and Vasconia ~USD$92.3 mm
- Total Capex executed to date – USD$33.1 million
- Total Capex executed 1Q 2019 – USD$8.3 million
- Physical work progress – 56.6%
- Operation start-up – 1Q 2020
Cusiana Phase IV Replacement of Branches
Replacement of 5 branches for reaching their regulatory useful lifespan in accordance with resolution CREG 126
- f 2016
~USD$11.6mm
- Total Capex executed to date – USD$2.2 million
- Total Capex executed 1Q 2019 – USD$0.2 million
- Physical work progress – 34.2%
- Operation start-up – 3Q 2019
❖ Branch Yarigüíes - Puerto Wilches ❖ Branch Z. Industrial Cantagallo – Cantagallo ❖ Branch Cantagallo – San Pablo ❖ Branch Galán – Casabe – Yondó ❖ Branch - Pompeya
Investment Projects in Execution
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Project Description Total project investment Status
Conditioning
- f
existing facilities to enable the Barranca
- Ballena
bidirectionality (excluding interconnection with the Ballena – Cartagena gas pipeline). ~USD$2.6 mm
- Total Capex executed to date – USD$0.2 million
- Total Capex executed 1Q 2019 – USD$0.1 million
- Physical work progress – 22.83%
- Start of Operations – 4Q 2019
Ballena – Barrancabermeja Bidirectionality
Investment Projects in Execution
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Questions and Answers
04
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Relación con el Inversionista
Para mayor información acerca de TGI contacta a cualquiera de los miembros del equipo de Relación con el Inversionista:
Julio Alarcón
Finance Vice President (E) - TGI jalarcon@geb.com.co +57 (1) 3138400
Valeria Marconi
Investor Relations Manager - GEB +57 (1) 326 8000 Ext 1536
Sandra Jimenez
Investor Relations Adviser - GEB +57 (1) 326 8000 Ext 1827 vmarconi@geb.com.co sjimenezv@geb.com.co
www.tgi.com.co www.grupoenergiabogota.com/en/investors
Sergio Gomez
Planning and Financial Control Director - TGI sergio.gomez@tgi.com.co +57 (1) 3138400 Ext 2111
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