Viva Energy : AGM Addresses and Presentation

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24 May 2022

The Manager

Market Announcements Office

Australian Securities Exchange

Electronic lodgment

2022 Annual General Meeting

The following materials are to be presented at Viva Energy's 2022 Annual General Meeting (AGM) being held today:

1. Chairman and CEO Addresses
2. AGM presentation

Authorised for release by: the Company Secretary

Julia Kagan

Company Secretary

For personal use only

Chairman address

Good afternoon, and welcome to Viva Energy's 2022 Annual General Meeting. I am Robert Hill and I am honoured to serve as the Chairman of Viva Energy.

It is now just after 3pm Australian Eastern Standard Time. We have a quorum present and I declare this Annual General Meeting of Viva Energy Group Limited open.

We are holding our annual general meeting today as a hybrid meeting, which means that we have people joining us in person here at Marvel Stadium in Melbourne as well as online. Welcome to all of you today. We are especially delighted to have some of our shareholders here in person after holding this meeting as an entirely virtual event over the last two years.

I would like to acknowledge the Traditional Custodians of country throughout Australia and their connections to land, sea and community. Here in the Docklands, we are on the Traditional Lands of the Kulin Nation of peoples. We pay our respect to their Elders past and present and extend that respect to all Aboriginal and Torres Strait Islander peoples present today.

Before we begin, I will hand over to our Company Secretary, Julia Kagan, to run through some procedural matters.

The Company Secretary then outlined the procedural matters.

Today, I am joined on stage by my fellow Directors. To my left:

• Sarah Ryan, an independent Non-executive Director and Chair of our Audit and Risk Committee;
• Dat Duong, Non-Executive Director; and
• Nicola Wakefield Evans, an independent Non-executive Director and Chair of our Sustainability Committee.

And to my right:

• Scott Wyatt, Chief Executive Officer and Managing Director;
• Mike Muller, Non-executive Director; and
• Arnoud De Meyer, Independent Non-Executive Director, and Chair of the Strategy and Investment Committee.

Jevan Bouzo, our Chief Operating and Financial Officer, Lachlan Pfeiffer, Chief Business Development and Sustainability Officer and Julia Kagan, our Company Secretary, are also with us on stage today. And the rest of the executive team join us in the audience.

We also have joining us in person here in Melbourne, Trevor Johnston and Brendan Davis, representing our auditor, PricewaterhouseCoopers. Brendan and Trevor will be available to answer questions on the auditor's report later in the meeting.

Before we go through the formal business, Scott and I will address the meeting on our performance and some of the highlights over the last year.

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Despite the continued impact of the pandemic, 2021 was a year of significant achievement for the Company. We kept the business operating safely and reliably throughout, caring for our employees, serving our customers and the broader community, and delivering financial results which showed significant improvement on prior years. For the year we recorded Group Underlying EBITDA, on a replacement cost basis, of $484.2 million. This is an increase of 98% on the prior year and an increase of 23% on pre-pandemic performance in 2019.

Through this period, Viva Energy maintained a strong balance sheet and finished the year with a low net debt of $95.2 million. Our strong financial position enabled us to complete a further $100 million capital return and an $18 million on-marketbuy-back during 2021. The Company also returned to positive distributable Net Profit After Tax and paid $115.5 million in dividends in respect of the 2021 financial year.

We are very pleased with this strong recovery, which was underpinned by a particularly strong improvement in our commercial and refining businesses, and continued strength in our Retail business despite lower demands from periods of lockdowns and border closures. The steps we took to respond to a rapidly changing environment and support our customers through the pandemic were important to set the business on a firm footing to benefit from longer term recovery, and this is very evident in the results we delivered. Scott will talk more about these results and update on our 2022 performance when he addresses the meeting shortly.

The future of our business is in good shape. We have entered into a contract with the Federal Government to continue operating our Geelong refinery through to at least mid-2028, and we are undertaking a significant investment program to transform the site into an Energy Hub, which aims to consolidate our role in supporting energy security and the energy transition. Our contract with Government provides an effective floor in refining earnings, and critical financial support for the development of strategic storage and upgrades to refining processing capability to meet new fuel standards. Our refinery, one of two remaining in the country, is a facility of national significance.

Australia is, of course, at the beginning of a long-term energy transition. It is important that we make this transition together with our customers and that we collectively deliver the outcomes which are critical for the long term health of the planet. We believe that Viva Energy has an important role to play to support Australia's energy security by providing the energy that people need today, as well as accelerating energy transition by developing energies of the future. It is critical that we get this balance right.

Last year, Scott and the executive team held an investor strategy day to share our approach to this transition, and what it means for each of our businesses and our key priorities. Importantly, we announced commitments to achieve net zero Scope 1 and 2 emissions in our non-refining operations by 2030, 10% reduction in emissions intensity at the Refinery by 2030 and over the longer term an ambition to reach Net Zero Scope 1 and 2 emissions across all operations by 2050.

We are also committed to helping our customers reduce their emissions, and have already announced a number of initiatives that will support these objectives, such as carbon neutral Jet Fuel and investment in Hydrogen Refuelling facilities for heavy vehicle transport operators at our Energy Hub in Geelong. We have installed, with our project partner Evie Networks, electric vehicle charging facilities at 5 trial stations, and also trialled the recycling of plastics through our refining operations in partnership with the LyondellBasell polypropylene facility, which we have

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subsequently acquired. This merging of traditional and renewable energies are great examples of how we believe we can be part of the solution and make a successful transition.

We also shared our aspirations for each of our three key business units. We aim to become a fully integrated Fuel and Convenience retailer as arrangements with our retail partners conclude, to extend our commercial business with adjacencies and new service offerings to build on our Commercial and Industrial capability, and to transform our site at Geelong to consolidate its role as a long term part of our Energy and Infrastructure businesses. We are excited about the future and are making good progress in progressing strategies to achieve these aspirations. Scott will talk about these when he addresses the meeting.

During 2021, we had some changes to our Board. In August 2021, Nicola Wakefield Evans was appointed to the Board as an Independent Non-Executive Director. Nicola's considerable experience in governance, diversity leadership and experience with companies involved in the transition to a lower carbon future have been a valuable contribution to the Board. This appointment followed the retirement of Jane McAloon as an Independent Non-Executive Director in August 2021. Jane stepped down from the Board of Viva Energy following a change in her listed Board commitments and she has since been appointed as Chair of Energy Australia. I will take this opportunity to thank Jane for her significant contribution as a director and as Chair of the Sustainability Committee during her time with the Company.

We are a company that is driven by our people, and we are both thankful and proud of our team's efforts across the last year to deliver extraordinary results in the face of continuing challenge in the external environment. On behalf of the Board, I would like to thank Scott and his leadership team, our employees for their significant contribution to our results, my colleagues on the Board for their ongoing work and commitment and our shareholders for your continued support of the Company.

I will ask Scott now to take us through his presentation.

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CEO Address

Thank you Robert.

I would also like to take this opportunity to thank our people for their significant contribution through very challenging times. The pandemic, and impacts on our business and daily lives has challenged us all and I am very proud of the way we have collectively responded and the results that we have achieved under difficult circumstances. The start of 2022 has presented further challenges and uncertainty from the conflict in Ukraine, with global oil markets highly volatile, but again we are responding well and many of the decisions we took during height of the pandemic have served us well.

Amidst an excellent period of operating and financial performance, our safety performance in 2021 was somewhat disappointing. With an increase in maintenance and construction activity, we unfortunately experienced a higher number of personal injuries across our operating areas associated with manual handling and trips and falls. Although impacts on people are relatively minor, we are nevertheless concerned about the increased frequency of injuries and have taken steps to lift our leadership focus and presence on site to support our teams to improve personal safety. As always, this is a key priority for our business this year.

As Robert has already mentioned, our operating and financial performance was particularly strong last year. Total sales volumes were up 7% on 2020, supported by emerging economic recovery in many areas and sustained market share growth across key segments despite continued impacts of lockdowns and border closures.

Our commercial business grew earnings by 39% over 2020, despite continued impacts of pandemic related restrictions on the aviation and marine cruise sectors. Decisions we took to reset commercial businesses to adapt to a lower sales environment, and continued support of our customers across all sectors have served us well, and we are well positioned to continue benefiting from further recovery growth as we emerge from the pandemic.

The Retail business was naturally impacted by prolonged lockdowns in Victoria and NSW, with rising oil prices also leading to compressed retail fuel margins at times. While earnings were down 20% on 2020, we maintained strong relative sales performance and increased market share by 2% across all retail channels, with particularly good growth from our Liberty Convenience business.

Our refining business returned to profitability in 2021, recording EBITDA (RC) of $103.4 million compared with a loss of $127.9 million in 2020. This reflects a return to strong refining margins in the last quarter of the year together with support from the Federal Government's Fuel Security Packages. The Company has not received any fuel security services payments during the last quarter of 2021 or the first quarter of 2022 as refining margins have recovered.

Since April this year, we have seen a significant increase in refining margins driven by a combination of strong global demand for refined products coupled with tightening supply as a result of refinery closures, reduced exports from China and the broader impacts of sanctions on the purchase of Russian oil. In light of this unique environment, we recently provided an intra- period financial update on our performance, disclosing that for the four month period ended 30 April 2022, our unaudited EBITDA (RC) was approximately $308 million, which is an increase of 65% on the corresponding four month period in 2021. This result is in large part a reflection of the refining margin environment as well as strong performance in our retail and commercial businesses in the first four months of this year.