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PBF Energy
January 2018
1
This presentation contains forward-looking statements made by PBF Energy Inc. (“PBF Energy”), the indirect parent of PBF Logistics LP (“PBFX”, or
“Partnership”, and together with PBF Energy, the “Companies”, or “PBF”), and their management teams. Such statements are based on current
expectations, forecasts and projections, including, but not limited to, anticipated financial and operating results, plans, objectives, expectations and
intentions that are not historical in nature. Forward-looking statements should not be read as a guarantee of future performance or results, and
may not necessarily be accurate indications of the times at, or by which, such performance or results will be achieved. Forward-looking statements
are based on information available at the time, and are subject to various risks and uncertainties that could cause the Companies’ actual
performance or results to differ materially from those expressed in such statements. Factors that could impact such differences include, but are not
limited to, changes in general economic conditions; volatility of crude oil and other feedstock prices; fluctuations in the prices of refined products;
the impact of disruptions to crude or feedstock supply to any of our refineries, including disruptions due to problems with third party logistics
infrastructure; effects of litigation and government investigations; the timing and announcement of any potential acquisitions and subsequent
impact of any future acquisitions on our capital structure, financial condition or results of operations; changes or proposed changes in laws or
regulations or differing interpretations or enforcement thereof affecting our business or industry; actions taken or non-performance by third
parties, including suppliers, contractors, operators, transporters and customers; adequacy, availability and cost of capital; work stoppages or other
labor interruptions; operating hazards, natural disasters, weather-related delays, casualty losses and other matters beyond our control; inability to
complete capital expenditures, or construction projects that exceed anticipated or budgeted amounts; ability to consummate potential
acquisitions, the timing for the closing of any such acquisition and our plans for financing any acquisition; unforeseen liabilities associated with any
potential acquisition; inability to successfully integrate acquired refineries or other acquired businesses or operations; effects of existing and future
laws and governmental regulations, including environmental, health and safety regulations; and, various other factors.
Forward-looking statements reflect information, facts and circumstances only as of the date they are made. The Companies assume no
responsibility or obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors
affecting forward-looking information after such date.
See the Appendix for reconciliations of the differences between the non-GAAP financial measures used in this presentation, including various
estimates of EBITDA, and their most directly comparable GAAP financial measures.
Safe Harbor Statements
Second most complex independent refiner with geographically diverse footprint
Crude and feedstock optionality provides access to most economic input slate
Strategic relationship with PBF Logistics (NYSE:PBFX) provides growth partnership
Long and successful history of executing accretive acquisitions and driving growth
Proven track record of investing in organic, margin-improvement projects
Targeting self-help projects to enhance margin capture and increase commercial
flexibility
Focused internal investment to drive growth and enhance margins
Maintain conservative balance sheet and strong liquidity
Access to low cost-of-capital through strategic PBFX relationship
Refining and Logistics segments provide dual growth platforms
Increase refining profitability through reliable operations and reduced costs
Diversify logistics footprint through organic growth and third-party transactions
Attractive
Asset Base
PBF – A Compelling Investment
Proven
Track Record
Disciplined
Capital Allocation
Future
Growth Opportunities
3
Attractive Asset Diversification and Growth
PBF's core strategy is to operate safely,
reliably and responsibly
Pursue disciplined growth strategy through
strategic refining and logistics acquisitions
and development of organic projects
Diversified asset base with five refineries and
884,000 barrels per day of processing capacity
• Second most complex refining system with
12.2 Nelson Complexity
Region
Throughput Capacity
(bpd)
Nelson
Complexity
Mid-continent 170,000 9.2
East Coast 370,000 12.2
Gulf Coast 189,000 12.7
West Coast 155,000 14.9
Total 884,000 12.2
Source: Company reports
0
500
1,000
1,500
2,000
2,500
V
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M
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D
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F
H
F
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I
US Independent Refiners by Throughput Capacity
Paulsboro
Toledo
Chalmette
Torrance
PADD
2
PADD
3
PADD
5
Delaware City
PADD
4
PADD
1
4
Completed first turnaround under PBF
ownership in February of 2017
Invested ~$100 million in margin
improvement projects
• Restarted idled reformer, hydrotreater and
light-ends recovery plant to upgrade
unfinished naphtha to high-value clean
products
• Completed crude storage project improves
crude flexibility, reduces vessel demurrage
and provides opportunity for increased
clean product exports (reducing RIN
exposure)
Increasing margin capture through chemicals
and asphalt production
Advancing third-party logistics opportunities
USGC 2-1-1 benchmark crack
• (–2)*(LLS) + 1*(GC 87 Gasoline) + 1*(GC
ULSD)
Chalmette Refinery – Optimization Continues
5
Torrance Refinery – Focus on Operations
Focus on stable and reliable operations
• Executed first major turnarounds in the
second quarter of 2017
• Putting the right team in place to execute
Targeting $50 million operating cost
reductions over the next two years
Margin enhancement
• Increased rack throughput to
approximately 70% of gasoline yield
• Optimizing distillate margin contribution
through rapid, low-cost opportunities
• Successfully entering new markets,
including exports
LA 4-3-1 benchmark crack
• (–4)*(ANS) + 3*(85.5 CARBOB) + 1*(LA
CARB Diesel)
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Toledo, Ohio
• Processes WTI-based light crude oil and Canadian
syncrude which produces a high-value clean product yield
including gasoline, ultra-low sulfur diesel and a variety
petrochemicals including nonene, xylene, tetramer and
toluene
• Chicago 4-3-1 benchmark crack = (–4)*(WTI) + 3*(Chic
CBOB pipe) + .5*(Chic ULSD Pipe) + .5*(USGC Jet Kero 54)
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Paulsboro, New Jersey
• Processes a variety of medium and heavy sour crude oils
and produces a diverse product slate including gasoline,
heating oil, jet fuel, lube oils and asphalt
Delaware City, Delaware
• Processes a predominantly heavy crude oil slate with a
high concentration of high sulfur crudes, making it one of
the largest and most complex refineries on the East Coast
NYH 2-1-1 benchmark crack = (–2)*(Dated Brent) + 1*(NY
RBOB) + 1*(ULSD)
East Coast and Mid-Continent Operations
7
PBFX – A Strategic and Valuable Partner
PBF indirectly owns 100% of the general partner
and ~44% of the limited partner interests of PBF
Logistics LP (NYSE: PBFX)
Stable cash flows supported by long-term, take-or-
pay Minimum Volume Commitments
• No direct commodity exposure
Partnership allows PBF to drop-down ~$200-250
million EBITDA(1) of remaining logistics assets and
utilize proceeds to de-lever and improve liquidity
Organic growth projects and third-party
acquisitions add incremental growth to PBFX by
extending the backlog timeline
Provides alternative capital source to grow
logistics asset base
Summary of Executed Drop-Downs*
Announcement
Date
Asset
Projected
Annual Net
Income
($mm)
Projected
Annual
EBITDA
($mm)
Gross
Sale
Price
($mm)
9/15/2014
Delaware City Heavy
Crude Unloading
Rack
$12 $15 $150
12/2/2014
Toledo Storage
Facility
$9 $15 $150
5/15/2015
Delaware City
Pipeline / Truck Rack
$12 $14 $143
8/11/2016
Torrance Valley
Pipeline Company
LLC (50% interest)
$9 $20 $175
Total $42 $64 $618
*For reconciliation from EBITDA to Net Income please refer to PBF 8-K filings
dated 9/19/14 (p.164); 12/5/14 (p.80); 5/5/15 (p.80) and 9/7/16 (p.201),
respectively. EBITDA is a non-GAAP financial measure. See Appendix for
additional information.
8
___________________________
1. Estimate as of 9/30/17. We are unable to provide a reconciliation of this forward-looking estimate of non-GAAP EBITDA because certain information needed to make a reasonable
forward-looking estimate is difficult to estimate and dependent on future events which may be uncertain or outside of our control, including with respect to unknown financing terms,
acquisition timing, unanticipated acquisition costs, negotiation of acquisition terms and other potential variables. Accordingly, a reconciliation is not available without unreasonable
effort.
PBFX’s Growing Asset Base is Ideally Situated
Mid-Continent Assets
Toledo Storage Facility
Toledo LPG Truck Rack
Toledo Truck Terminal
Toledo Products Terminal
East Coast Assets
Paulsboro NG Pipeline
East Coast Terminals
DC Products Pipeline
DC Truck Rack (Products)
DC Truck Rack (LPG)
DC Rail Terminal
DC West Rack
Assets support the operations of all five of PBF
Energy’s refineries
• Approximately 255 million barrels of annual
refining capacity
Strategic third-party acquisitions, such as the
East Coast Terminals and Toledo Products
Terminal, allow PBFX to independently grow its
revenue base and leverage its relationship with
PBF Energy
Targeting logistics assets for feedstock
movement and product distribution that
complement existing operations and provide
synergies due to proximity to PBF Energy
operations
Developing organic growth opportunities to
enhance asset base and diversify revenue
streams
Drop-downs from PBF Energy, as it grows,
remain a valuable source of future growth
Paulsboro
Toledo
Chalmette
Torrance
PADD
2
PADD
3
PADD
5
Delaware City
PADD
4
PADD
1
West Coast Assets
Torrance Valley Pipeline
9
Gulf Coast Assets
Chalmette Storage Tank
Macro Landscape Outlook
Abundant global supply of crude oil
• Increasing North American production
•OPEC cuts driving near-term tightness in L-H spread
Global product demand expected to outpace refinery
capacity utilization and additions
•Global products inventories have reverted to the
norm from a state of oversupply
IMO 2020 changing bunker fuel specification should
drive increased diesel demand and support wider L-H
differentials
10
Appendix
Our management uses EBITDA (earnings before interest, income taxes, depreciation and amortization) as a measure
of operating performance to assist in comparing performance from period to period on a consistent basis and to
readily view operating trends, as a measure for planning and forecasting overall expectations and for evaluating
actual results against such expectations, and in communications with our board of directors, creditors, analysts and
investors concerning our financial performance.
EBITDA is not a presentation made in accordance with GAAP and our computation of EBITDA may vary from others in
our industry. EBITDA should not be considered as an alternative to operating income (loss) or net income (loss) as
measures of operating performance. In addition, EBITDA is not presented as, and should not be considered, an
alternative to cash flows from operations as a measure of liquidity.
This presentation includes references to EBITDA and EBITDA attributable to PBFX, which is a non-GAAP financial
measure that is reconciled to its most directly comparable GAAP measure in the quarterly and annual reports on
Forms 10-Q and 10-K for PBFX. We define EBITDA attributable to PBFX as net income (loss) attributable to PBFX
before net interest expense, income tax expense, depreciation and amortization expense attributable to PBFX, which
excludes the results attributable to noncontrolling interests and acquisitions from affiliate companies under common
control prior to the effective dates of such transactions. With respect to projected MLP-qualifying EBITDA, we are
unable to prepare a quantitative reconciliation to the most directly comparable GAAP measure without unreasonable
effort, as, among other things, certain items that impact these measures, such as the provision for income taxes,
depreciation of fixed assets, amortization of intangibles and financing costs have not yet occurred, are subject to
market conditions and other factors that are out of our control and cannot be accurately predicted.
Non-GAAP Financial Measures
12
PBF Energy 2018 Initial Guidance
Initial guidance provided constitutes forward-looking information and is based on current PBF Energy operating plans, company assumptions and company
configuration. Except where noted, guidance expense figures include consolidated amounts for PBF Logistics LP. All figures are subject to change based on
market and macroeconomic factors, as well as company strategic decision-making and overall company performance.
(Figures in millions except per barrel amounts)
FY 2018E Q1-2018E
East Coast Throughput 330,000 – 350,000 bpd 335,000 – 355,000 bpd
Mid-Continent Throughput 150,000 – 160,000 bpd 125,000 – 135,000 bpd
Gulf Coast Throughput 175,000 – 185,000 bpd 180,000 – 190,000 bpd
West Coast Throughput 140,000 – 150,000 bpd 160,000 – 170,000 bpd
Total Throughput 795,000 – 845,000 bpd 800,000 – 850,000 bpd
FY 2018E Notes
Refining operating expenses $5.25 - $5.50 / bbl
SG&A expenses $160 - $170 Excludes incentive and stock-based compensation
D&A $340 - $360
Interest expense, net $150 - $160
Capital expenditures $525 - $550 Excludes capital expenditures for PBF Logistics LP
Diluted shares outstanding at 12/31/2017 114
Turnaround Schedule Period Duration
Toledo – Hydrocracker / Crude / Reformer Q1 35 – 45 days
Chalmette – FCC / Alky Q1 – 2 30 – 40 days
Delaware City – CT / Alky units Q1 – 2 35 – 45 days
Delaware City – Cat Cracker Q4 30 – 35 days
Paulsboro – Crude / Coker Q3 – 4 30 – 40 days
PBFX 2018 Initial Guidance
Initial guidance provided constitutes forward-looking information and is based on current PBF Logistics operating plans using minimum
volume commitments, assumptions and configuration. Revenues, operating expenses, general and administrative expenses, depreciation
and amortization and interest expense figures include amounts related to the portion of the Torrance Valley Pipeline Company that are
currently owned by a subsidiary of PBF Energy Inc. These amounts are consolidated in the PBF Logistics financial statements and the
ownership interest of PBF Energy is reflected in non-controlling Interest. All figures are subject to change based on market and
macroeconomic factors, as well as management’s strategic decision-making and overall Partnership performance.
($ in millions) FY 2018
Initial Guidance
Revenues $276.2
Operating expenses $86.5
SG&A (includes stock-based comp. expense for outstanding awards) $16.2
D&A $26.0
Interest expense, net $39.4
Net Income $108.1
EBITDA to the Partnership $150.8
Maintenance capital expenditures $11.0
Regulatory capital expenditures $5.9
Units outstanding(1) 42.5 million
___________________________
1. Units outstanding at 12/31/2017 represents the fully-diluted number of units issued during the IPO, subsequent transactions and under partnership compensation programs