Community Reference Group

POAL | 20th March 2019

Ports of Auckland | 2

• Interim Results

• 30 Year Master Plan Update Car Handling Building

Channel Deepening

Hydrogen

• Port Updates Air Quality Monitoring

Billboard Proposal

SeePort Festival

• Port Tour Fergusson Northern Berth

Car Handling Building site

Community Reference Group - March 2019

Introduction

Ports of Auckland | 3Community Reference Group - March 2019

Interim Results

Ports of Auckland | 4Community Reference Group - March 2019

972,434 907,099

952,331 973,722

508,262 485,093

-

200,000

400,000

600,000

800,000

1,000,000

1,200,000

2015 2016 2017 2018 Dec-17 Dec-18

Total Containers (TEU)

243,801 248,065

297,383 297,678

148,879

124,190

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000

2015 2016 2017 2018 Dec-17 Dec-18

Cars

3.2 3.0 3.1

3.4

1.7 1.9

-

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

2015 2016 2017 2018 Dec-17 Dec-18

Mil

lio

n T

on

ne

s

Bulk and Breakbulk (excl Cars)

Dec 18 half year volumes

• Containers and cars down

• Bulk and breakbulk up

Volumes

Ports of Auckland | 5Community Reference Group - March 2019

218.3 211.1 222.4

243.2

120.6 123.6

87.8 108.7 102.6 103.5

52.5 48.5

-

50.0

100.0

150.0

200.0

250.0

300.0

2015 2016 2017 2018 Dec-17 Dec-18

$ million

Revenue & EBITDA

Revenue ($m) EBITDA ($m)

55.4

72.8 67.1 67.9

35.2 28.5

-

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

2015 2016 2017 2018 Dec-17 Dec-18

$ million

Underlying Profit before Tax

Dec 18 half year

financials

• Revenue up

• Profit down

June full year result

will be down on last

year

Financials

Ports of Auckland | 6Community Reference Group - March 2019

• Automation project affecting capacity, productivity

and costs

• Terminal at capacity – no growth until after

automation

• High CAPEX spend = Higher debt level and interest

cost

• Overall economic conditions – World, NZ and

Auckland growth

• International container lines financial position =

Consolidation + Pricing pressure

Factors Impacting Financial Results

Ports of Auckland | 7Community Reference Group - March 2019

30 Year Master Plan Update

Ports of Auckland | 8

July 2018 – removal of Bledisloe container cranes

Mid 2018 – seek consent for car handling building

Oct 2018 – deliver new Fergusson cranes

Nov 2018 – seek consent to dispose of dredged material

Feb 2019 – start construction of car handling building

Mid 2019 – seek consent to deepen channel

Early 2020 – automation goes live

Late 2020 – car handling building complete

2020 – apply for consent for Bledisloe North Berth

Community Reference Group - March 2019

Masterplan Timeline

Ports of Auckland |

Car Handling Building

9Community Reference Group - March 2019

Construction begun in mid-Feb

Currently piling

Commissioning work for the rooftop park concept design

Ports of Auckland |

Car Handling Building

10Community Reference Group - March 2019

Ports of Auckland | 11Community Reference Group - March 2019

Auckland growth =

more people =

more freight

More freight =

bigger ships as lines try

to reduce cost

Bigger ships =

deeper channel

Channel Deepening

Ports of Auckland |

Channel Deepening

12Community Reference Group - March 2019

To safely accommodate an 11,000+ TEU ship we need to deepen:

• Straights to 14.0m

• Corners to 14.2m

Ports of Auckland |

Hydrogen

13Community Reference Group - March 2019

Show how

we’re taking

action to meet our zero

emissions targets

by 2040

Demonstrate safety

and success of New Zealand’s first green

hydrogen transport fuel

production plant

Demonstrate

the versatilityof hydrogen fuel within the

port (e.g. cars, straddles and

forklifts) and showcase wider

community applications

Install a hydrogen generation and refuelling

station on site at the Port of Auckland

Ports of Auckland |

Hydrogen – How Our Plant Will Work

14Community Reference Group - March 2019

e-

Power Electrolyser Low pressure storage Supply compressor Medium pressure storage

Fueling compressorHigh pressure storageDispense

r

Fuel cell vehicle

MP H2

HP H2

LP H2

H2O

O2

H Y D R O G E N R E F U E L I N G P R O C E S S

Ports of Auckland | 15Community Reference Group - March 2019

Port Updates

Ports of Auckland |

Air Quality Monitoring

16Community Reference Group - March 2019

• Auckland Council (AC) compiled emissions inventory based on 2016 data

• POAL designed monitoring program to try and measure impact of shipping on ambient air quality over 12 months

• 2 sites – Parnell and Devonport

• Undertaken in conjunction with AC

Ports of Auckland |

Air Quality Monitoring – Preliminary Results and Next Steps

17Community Reference Group - March 2019

Parnell

• Full analysis of data underway.

• Summary report to be finalised shortly

• Report will be available on POAL website.

• Based on frequency of wind recommend finding a more representative site

Devonport

• Monitoring continuing till September 2019

Ports of Auckland |

Billboard Proposal

18Community Reference Group - March 2019

Ports of Auckland |

SeePort Festival

19Community Reference Group - March 2019

Ports of Auckland | 20Community Reference Group - March 2019

AOB