Islamic Project Finance for LNG Vessels

Naoki NishidaPresident/Chief Executive Officer

Bank of Tokyo-Mitsubishi UFJ (Malaysia) Berhad

21 October 2013

1

Section 1: Energy Issues in Post-Quake Japan

Section 2: Introduction to the Deal

Section 3: Introduction to BTMU

Section 4: Islamic Project Finance - The Way for Oil & Gas

Agenda for Today

2

Section 1: Energy Issues in Post-Quake Japan

Section 2: Introduction to the Deal

Section 3: Introduction to BTMU

Section 4: Islamic Project Finance - The Way for Oil & Gas

Agenda for Today

3

Post & Pre-Quake Power Source ProportionPre Quake Feb/2011 Post-Quake Feb/2013

Import Portion of LNG (’000t)

Energy Issues in Post-Quake Japan Section 1.

(Source) Agency for Natural Resources and Energy (Japan), Statistics of electric power

Opportunity for Islamic Finance

MalaysiaBrunei

Bank of Tokyo-Mitsubishi UFJ (Malaysia)Berhad

LNG

10,31610,660

9,67610,406

5,4449,586

9,5815,994

4,4645,612

4,2734,658

3,7724,200

1,9073,097

59,238

51,270

5,0251,837

Pre-Quake (2010)

Post-Quake (2012)

Islamic Countries

(Source) Ministry of Economy, Trade, Industry Report on Industry Activity

Malaysia

Australia

Qatar

Indonesia

Russia

Brunei

UAE

Oman

Others

Total

Post-Quake (2012)Pre-Quake (2010)

ThermalPower63.4%

Others0.3%

HydroPower5.1%

NuclearPower31.2%

ThermalPower91.2%

Others0.4%

HydroPower5.7%

NuclearPower2.7%

Chart 1Chart 2

4

Section 1: Energy Issues in Post-Quake Japan

Section 2: Introduction to the Deal

Section 3: Introduction to BTMU

Section 4: Islamic Project Finance - The Way for Oil & Gas

Agenda for Today

5

Overview of the Facility

Introduction to the DealSection 2.

Participated in an Islamic project financing deal for the financing of one 155,000m3 Dual Fuel Diesel Electric LNG Carrier for BGC with a total project cost of USD 242.7 million.

SPC (Lessee) SPV (Lessor)Shipbuilder

(Korea)

Brunei LNG

Financiers

100%

Brunei Gas CarriersIslamicFinance

Ijarah Agreement

Shipbuilding Contract

Long TermLNG SalesAgreement

Charter Agreement

JapaneseUtilitiesCompanies

Istisna’ Agreement

WakalahAgreement

• Proposed an up-to-date Shariah compliant financing structure.• First time for Japanese banks to participate in project financing for BGC.

6

Section 1: Energy Issues in Post-Quake Japan

Section 2: Contribution to LNG industries

Section 3: Introduction to BTMU

Section 4: Islamic Project Finance - The Way for Oil & Gas

Agenda for Today

7

Introduction to BTMU Global NetworkSection 3.

With branches spanning across 6 continents, BTMU has truly a global reach. BTMU has presence in many of the Islamic regions (Middle East, South Asia, Southeast Asia, and Africa).

MUFG Global NetworkKey DataDate of Establishment Aug.1919 Number of Employees 84,926 1

MUFG Financials as of 30 June 2013 (consolidated) Total Asset JPY 234 tnLoan Asset JPY 93 tnEquity JPY 14 tnBTMU Global NetworkOverseas Branches 1 66 1

Latest Rating (BTMU)Moody’s Aa3S&P A+Fitch A

(Note) 1. As of 30 September. 2013

8

Introduction to BTMU Project FinanceSection 3.

BTMU was ranked 1st globally and in Americas in 2012 full year league table by Project Finance International (PFI).

BTMU is consistently positioned as a top global project finance bank: Sole Japanese bank ranked within top 10 over the last 11 years globally.

BTMU was awarded Global Bank ofthe Year 2011 by PFI

Epic Energy2012 Australia

USD 1,235m

Provide gas transmission servicesMandated Lead Arranger

Mackinaw Power Facility2012 USA

USD 324m

Mackinaw Power Facility is a cogeneration facility located in Georgia.Mandated Lead Arranger

Gorgon Project2012 Australia

USD 302m

Oil and gas exploration and production projectMandated Lead Arranger

Queiroz Galvao Two Drillships2012 Brazil

USD 944m

Queiroz Galvao Two Drillships is an oil and gasexploration and production company headquartered in Brazil.Mandated Lead Arranger

Australia Pacific LNG Pty Ltd2012 Australia

USD 8,500m

Australia Pacific LNG, located in Brisbane, Queensland, is a coal seam gas explorer.Mandated Lead Arranger

Cernambi South FPSO2012 Brazil

USD 1,125m

FPSO for use in the Cernambi Sul areaMandated Lead Arranger

Tarahumara Pipeline 2012 Mexico

USD 378m

Tarahumara Pipeline is an oil and gas exploration and production company headquartered in Mexico.Mandated Lead Arranger

Lundin Petroleum Refinancing

2012 Norway

USD 2,500m

Lundin Petroleum Refinancing is a project company created for the refinancing of Lundin Petroleum inNorway.Mandated Lead Arranger

Vietnam Offshore Floating2012 Malaysia

USD 240m

FPSO vessel located in MalaysiaMandated Lead Arranger

351.9%3,794BNP Paribas9

362.1%4,159Credit Agricole7

3,521

4,084

4,394

5,411

6,234

7,576

10,948

11,618

Amount In USD million

1.8%

2.1%

2.2%

2.7%

3.1%

3.8%

5.5%

5.9%

Share

10

8

6

5

4

3

2

1

Rank

Global Initial Mandated Lead Arrangers Ranking 2012 full year

BBVA

Societe Generale

HSBC Holdings PLC

Korea Development Bank

Mizuho

SMBC

State Bank of India

MUFG

Arranger

45

35

34

27

51

68

32

96

No. of Deals

351.9%3,794BNP Paribas9

362.1%4,159Credit Agricole7

3,521

4,084

4,394

5,411

6,234

7,576

10,948

11,618

Amount In USD million

1.8%

2.1%

2.2%

2.7%

3.1%

3.8%

5.5%

5.9%

Share

10

8

6

5

4

3

2

1

Rank

Global Initial Mandated Lead Arrangers Ranking 2012 full year

BBVA

Societe Generale

HSBC Holdings PLC

Korea Development Bank

Mizuho

SMBC

State Bank of India

MUFG

Arranger

45

35

34

27

51

68

32

96

No. of Deals

(Source) Project Finance International (2012 full year)

9

Islamic Financing

Sukuk Securitization

Introduction to BTMU (Malaysia) Islamic FinanceSection 3.

EXIM BankUSD 50 Million

Syndicated RevolvingCommodity Murabahah

Financing2010

Aurabayu Sdn. Bhd(SapuraCrest Petroleum)

RM 550M and USD 62MSyndicated IslamicFinancing Facilities

2010

Olam International Limited

USD 100 MillionSyndicated MurabahahTrade Finance Facility

2010

Suzuki MalaysiaAutomobile Sdn Bhd

400 Million YenMurabahah Working

Capital Financing2011

Japanese Companyin Malaysia

USD 3.3 MillionCommodity Murabahah

Financing2011

Brunei Gas Carriers Sdn. Bhd.

USD 170 MillionIstisna’ and IjarahProject Financing

2012

Middle East Gas Company

USD 511 MillionIstisna’ and Ijarah

Financing2011

Middle East Petrochemical

Company USD 1,030 MillionIjarah Financing

2011

Up to RM1.0 Billion nominal valueIslamic CP/MTN Programme

2008

Toyota Capital Malaysia Sdn Bhd AEON Credit Service (Malaysia) Berhad

RM400.0 million Bank GuaranteedConventional and Islamic CP/MTN

2007

Islamic Securitization

Coming Soon2013

10

Section 1: Issues in Post-Quake Japan

Section 2: Introduction to the Deal

Section 3: Introduction to BTMU

Section 4: Islamic Project Finance - The Way for Oil & Gas

Agenda for Today

11

Power Plant Petrochemical

LNG ChainGas Production Gas Liquefaction Plant Storage Transportation Re-gasification

Islamic Project Finance - The Way for Oil & GasSection 4.

Japan relies heavily on energy imports, which are mostly imported from Islamic countries. We believe that Islamic project financing for Oil & Gas Project is promising and therefore believe it is the way for Oil & Gas Project Finance.

12

Thank you!

Naoki Nishida President/Chief Executive Officer

Bank of Tokyo-Mitsubishi UFJ Malaysia Berhad