2016 First Quarter Earnings

Conference Call

Date: Tuesday, June 2nd, 2016.

Time: 10:00 am (UTC-05:00) Bogota

Colombia dial-in #: 018009156924

International dial-in #: https://www.conferenceplus.com/AlternateNumbers/alternate

numbers.aspx?100875&t=P&o=URwqehbgwYNvvk

ID #: 42429164

Web page: www.terpel.com

Bonds AAA (col) Fitch's Rating

Shares BVC: TPL

Press release

June 2016

TERPEL AND CODENSA BECAME PARTNERS TO CREATE “ELECTROLINERAS” Terpel and Codensa announced the signing of an agreement in order to evaluate different business models

and the required technology for a future deployment of charging points for electric vehicles at Terpel’s

Service Stations. The goal is to contribute with electric mobility for several segments such as taxis, private

vehicles, business and official fleets, that will have the opportunity to recharge their vehicles in public

places of Bogotá and subsequently in other cities of Colombia.

COP$292,02 DIVIDEND PER SHARE PAID OUT General meeting of shareholders in March 2016 decreed COP$52.979 ordinary dividends for 181.424.505

shares to be paid in April 2016. This means a distribution of 50% of the 2015 net profit.

PRICE OF TERPEL’S SHARE HAS GROWN 17,4% DURING 1Q16 At the end of March 2016, the share price amounted COP$9.930, 17,4% increase when compared to the

opening price of this year.

COLOMBIA FUEL PRICES HAVE DECREASED During the first quarter of the year, producer income (IP by its abbreviation in Spanish) has decreased for

different fuel products. The IP for regular gasoline has recorded a reduction of about COP$359 while Extra

and Diesel went down COP$361 and COP$253 respectively. This fall reflects the downward trend of

international prices of fuel and bio-fuels.

TERPEL LAUNCHED THE 2015 SUSTEINABILITY REPORT For the first time the evaluation was conducted according to the criteria of Dow Jones Sustainability Index

(DISI). Terpel achieved a score of 62 points, 16 above the industry average and 10 points of difference with

the best company in the sector. The emerging market companies when measured for the first time, have

reached scores between 60 and 65 points out of 100.

Terpel has broad experience in the distribution of liquid fuels and lubricants

under the Terpel brand and Vehicular Natural Gas (VNG) under the Gazel

brand. The company has strong presence in Colombia, Ecuador, Panama,

Peru, Mexico and Dominican Republic through its service stations (SS)

network and industrial, aviation and marine customers.

Highlights

Investors Contact: We mobilize the countries and regions

where we operate, we are allies of our

stakeholders and we launch initiatives that

promote including economic growth, social

development and environmental protection.

During 1Q16, 607,8 million gallons were sold, an

increase of 12,3% compared to 1Q15.

Colombia’s share in consolidated volume was

79,8% and when compared to the same period

in 2015 Colombia’s volume grew by 11,6%.

Meanwhile, Panamá which accounted for 10,5%

of consolidated volume, increased by 33,2%

thanks to the recovery of the demand from

power generation customers. Ecuador, Peru,

Mexico and Dominican Republic all together

accounted for 9,6% of consolidated volume and

showed an increase of 0,2%.

Due to the volume growth, COP$3,5 trillion

revenues for the 1Q16 had an increase of 4,6%

when compared to the 1Q15. Colombia’s

revenue, 84,1% of the consolidated revenues,

showed a growth of 2,8%. 8,9% of consolidated

revenue is from Panama, which increased by

14,5%.

1Q16 gross profit was COP$323,5 billion, 25,2%

more than in the 1Q15. However, there was a

COP$22,6 billion negative impact because of

inventories losses during the quarter, COP$8,4

billion less than in 1Q15. Colombia, 70,9% of

consolidated gross profit, went up 17,1%

whereas Panama (16,5% of consolidated gross

profit) raised by 53,4%. Other countries, that

accounted for 12,5% of consolidated gross profit,

showed an increase of 46,9%.

1Q16 EBITDA improved 40,3% when compared

to 1Q15 EBITDA. In Colombia, the increase was

37,8% and in Panama the increase was of 68,8%

in Colombian pesos, while the result in dollars

revealed an increase of 27,7%. The recovery of

power gen industry demand in Panamá and the

great volume growth in other countries made

possible the better operational results than in

1Q15. Other countries (8,2% of consolidated

EBITDA) showed an increase of 35,6% led by

Dominican Republic.

1Q16 net profit was COP$19 billion, 658% over

1Q15 net profit.

2

Ownership Structure

Financial Results - Summary

CONSOLIDATED RESULTS 1Q16 4Q15 1Q151Q16 Vs.

1Q15YTD 16 YTD 15

YTD 16 Vs.

YTD 15

Volume (millon Glns) 607,8 633,3 541,4 12,3% 607,8 541,4 12,3%

Revenues ($COP Billion) 3.451,4$ 3.826,2$ 3.300,3$ 4,6% 3.451,4$ 3.300,3$ 4,6%

Gross Profit ($COP Billion) 323,5$ 330,1$ 258,5$ 25,2% 323,5$ 258,5$ 25,2%

EBITDA ($COP Billion) 145,0$ 136,6$ 103,3$ 40,3% 145,0$ 103,3$ 40,3%

Net Profit ($COP Billion) 19,0$ 24,5$ 2,5$ 658,0% 19,0$ 2,5$ 658,0%

3

Terpel has consolidated its presence in 6

countries:

In Peru, where VNG is distributed through

the Gazel brand, the SS network has grown

from 29 SS in 2015 to 35 SS reaching 11% of

the market share. Gazel Peru is the second

VNG distribution company in that country.

Recently, Gazel Peru has begun distributing

liquid fuels.

In Panama, the main business units are

liquid service stations, industrial and marine

customers, complemented with the non-oil

business (convenience stores) and lubricants

distribution. At the end of 1Q16 Terpel

Panama has a network of 117 SS. It retains

the second position in the market ranking

with 24% of share.

Regional Presence

Colombia's SS network reached 1.961 at the end of 1Q16 comprised by 1.846 liquid

fuel SS (210 are company owned) and 288 VNG SS (173 SS sale both liquid fuel and

VNG). Market share in Colombia is: 41% for liquid fuels, 42% for VNG and 83% for

aviation fuel in which Terpel supplies jet fuel to customers through safe and reliable

operations in 20 airports nationwide. At the end of the quarter, Terpel remained as

the leader company in the fuel distribution industry in Colombia.

In Dominican Republic, since 2011 Terpel supplies Jet fuel to

airlines through 4 of the major airports where it has safe and

reliable operations. Since July, operation was broadened with one

more airport: Arroyo Barril Airport. Market share in Dominican

Republic is around 42%.

As of March 2016, Ecuador’s network is comprised by 57

stations and its market share is 7%. Terpel Ecuador is number

5 in the market share ranking.

The VNG distribution business in Mexico keeps growing thanks to

competitiveness of VNG prices compared to liquid fuel prices and the creation

of demand. In 1Q16 the company holds 8 operative SS under the Gazel brand

and with 100% of market share in Mexico City. In the entire country, new local

competitors have increased the market size. However, Gazel keeps an

important 62% of market share. The goal is to continue to position Gazel as the

number one brand.

4

Consolidated Operational Results

During 1Q15 Terpel sold 541,4 million gallons. At

the end of 1Q16 the company reached 607,8

million gallons. This is a 12,3% growth.

Colombia accounted for the 79,8% of

consolidated volume and its growth was 11,6% in

1Q16. The second largest country in terms of

volume sales is Panama with 10,5%. Panama´s

volume increased 33,2% thanks to a higher

demand from power generation customers in that

country.

Ecuador added 5,3% to the consolidated volume

sales. Its decrease was 4,6% when compared to

1Q15. In Dominican Republic, volume sales

accounted for 2,5% of consolidated volume and its

decrease rate was 1,1%.

Although Peru and México contribute, each one,

approximately 1% to the consolidated volume,

they grew by 24,3% and 9,2% respectively. In

Peru, it is remarkable the increase in LPG and

liquid fuels volume.

Consolidated EBITDA increased by 40,3%, from

COP$103,4 billion in 1Q15 to COP$144,9 billion

in 1Q16. The inventories losses amounted to

COP$22,6 billions (COP$20,5 billions in

Colombia). In Colombia, the company has had

lower gross margins/gallon in lubricants business

in addition to the lower volume sales in VNG

segment. In spite of that, EBITDA in Colombia for

1Q16 increased COP$32,4 billion, 37,8% higher

than 1Q15. Colombia weights 81,5% in the

consolidated EBITDA.

Panama’s EBITDA had a y/y increase of 68,8%

(27,7% in dollars), which is a COP$6,1 billion

more in spite of a COP$1,8 billion inventory loss as

a consequence of international oil prices drop.

Panama weighted 10,3% in the consolidated

EBITDA.

Dominican Republic showed a COP$6,3 billion

EBITDA, COP$3,1 billion higher than the one in

1Q15. However the volume did not grow, there

was a significant increase in margins.

Finally Peru, Ecuador and México contributed to

consolidated EBITDA with approximately COP$5,6

billion and highlighting the growth in Ecuador and

Mexico.

5

Colombia Operational Results

Financial results in Colombia have been positively influenced by the implementation of the new business

strategy that outweighs high service standards, state of the art infrastructure and low prices. Service

Stations have a totally new design and image, excellent restrooms, innovative convenience stores and

unique car washing facilities.

Colombia’s volume increased by 11,6% in 1Q16 to

485,3 million. 67,7% of total volume was distributed

through liquid fuels service stations and 4,7% through

VNG service stations. In total, service stations

business represents approximately 72,4% of total

volume sales in Colombia. Consistently, capital

investments are mainly undertaken on liquid fuel

service stations image and infrastructure that are

considered to be essential for the differentiation

sought.

Contribution of aviation fuel sales in Colombia´s total

volume was 17,5% and had a 11,8% growth over

1Q15. Industry volume accounted for 9,3% and had

an increase of 5,1%.

Although lubricant’s volume weights less than 0,5%, it

is one of the largest segment (after SS) in terms of

gross profit since it has higher gross margins. While

service station, both liquid and VNG, account for

75,5% of the total gross profit in Colombia with 72,4%

of the volume sales, lubricants business unit

represents 7,6% of the total gross profit with 0,5% of

the volume sales.

Gross profit in Colombia for the current year reached

COP$229,5 billion, an increase of 17,1% when

compared to 1Q15 even though it faced lower gross

margins/gallon in lubricants and lower volume sales

in VNG business unit.

Industry and aviation contributed with 5,9% each

one to Colombia’s gross profit. Contribution of marine

and complementary services is currently not as

significant due the fact that they are at an initial

deployment stage, however, these are business units

that have great growth potential.

Deuna La América SS (Medellín, Colombia) Ziclos Autopista SS (Cali, Colombia) Altoque Báscula SS (Bogotá, Colombia) Motorcycle SS (Pereira, Colombia)

6

Colombia Operational Results

37,8% increase in Colombia’s EBITDA and 11,6%

volume growth. In spite of lower gross

margins/gallon in lubricants business units when

compared to 1Q15 along with an inventory loss

generated by gasoline price change, the EBITDA

per gallon went up from COP$197 in 1Q15 to

COP$243 in 1T16.

658% increase from COP$3 billion net profit in

1Q15 is partly explained by better business

performance and more favorable market

conditions than those in the 1Q15, allowing to

compensate higher financial expenses.

Consolidated assets reached COP$3,8 trillion and had an increase of 7,4% compared to 1Q15 due to

PP&E acquisitions and the higher value of inventories. Current Assets represent 33%, PP&E 43% and

21% are deferred and intangible assets.

In regard to liabilities, the main items are the bonds issued in 2013 and 2015 representing 45%,

current liabilities 31% and other financial liabilities, both short and long term, 24%.

Finally, the equity book value at the end of 2015 was COP$1,4 trillion.

Consolidated Balance Sheet

* Colombia neither includes royalties income nor equity

tax for COP$10,8 billion

$COP Million mar-15 mar-16

Assets $ 3.571.343 $ 3.834.663

Financial Debt $ 1.402.282 $ 1.424.022

Other Liabilities $ 870.813 $ 994.768

Equity* $ 1.298.248 $ 1.415.874

** Equity includes minority interest

7

Consolidated Financial debt

The total debt as of March 2016 amounted to COP$1,42 trillion and it is

comprised mainly by loans in Colombia, Panama, Peru and Mexico. In

1Q15 consolidated debt was COP$1,40 trillion. In Colombia (Org.

Terpel), bonds issued in 2013 and 2015 amounted to COP$1,1 trillion.

The remaining debt in Colombia corresponds to leasing contracts.

Part of Peru’s debt and the 7 years maturity Colombian bonds issued in

2013, represent the 18% fixed cost debt. The cost of 63% of loans depend

on CPI. The Libor rate liabilities (15%) are financial loans in Panama,

while the TIIE linked portion is comprised by Mexico debt (4%).

6% of consolidated debt is short-term and it is composed by Panama and Peru loans. On the other

hand, the 94% long-term debt has maturity dates in 2017 COP$128 billion, 2018 with COP$177

billion, in 2020 with COP$242 billion, 2022 with COP$151 billion, 2023 with COP$247 billion, 2030

with COP$249 billion and 2031 with COP$97 billion. Moreover, outflows expected in those coming

years are principal payments of the bonds issued in 2013 and 2015. In 2017 Panama's liabilities will

expire, Mexico’s debt has been refinanced until 2018 and Peru´s debt will be paid by 2020.

In regard to the financial debt ratios, the consolidated debt level recorded in 1Q16 was 2,5 times the

EBITDA and the EBITDA was 5,1 times higher than the debt financial expenses.

The consolidated cash balance as of March 2016 was COP$227 billion.

* COP$22 billion increase from 2014 of which COP$35 billion corresponded to exchange rate difference.

$COP Billion mar-16mar-15

$ 1.138

$ 1.424

$ 207

$ 58

$ 22

$ 1.142

$ 1.402

$ 184

$ 58

$ 19

Org. Terpel

Panamá PNSA

México CEM

Gazel Perú

Consolidated Debt

8

Consolidated CAPEX

Terpel Share

The strategy that The Company is implementing requires an important amount of capital investments in

order to achieve the desired SS´s and Conveniences Stores' infrastructure and design standards. This

higher average CAPEX, when compared to historical years, is enabling Terpel to differentiate itself from

its competitors and increase customer's loyalty in the following years.

COP$50 billion CAPEX in 1Q16, was invested mainly in the incorporation of new company owned and

dealer owned SS to the network, refurbishment of existing SS as well as the building of new

convenience stores (Altoque), car wash services (Ziclos) and operational investments needed in storage

plants.

70,6% of these investments were made in Colombia and 27,2% were allocated to Mexico, Peru and

Panama for their expansion plan. In consistency with the strategy, 86,2% of the investments are

executed in the SS network, either in infrastructure, vehicle conversions to VNG or building of

complementary services facilities. The CAPEX invested in storage and fuel supply facilities accounted

for 3,7% since storage capacity is key to continue strengthening the logistic value chain regarding

product delivery and thus customer satisfaction.

In August 2014 Terpel´s stock was listed in Colombian Stock Exchange. In 1Q15 the close price was

$16.740. Since that, the share has lose 40,7% in value as a consequence of economic crisis faced by

local and international markets. During the same period, COLCAP has valued 2,4%. In 2016, the stock

had an opening price of COP$9.260 and at the end of March 2016 the close price was COP$9.930, an

increase of 7,2%. The volume traded during the quarter was COP$7 billion or 861 thousand

transactions.

At the end of the period Terpel’s market capitalization was COP$1,8 trillion.

Consolidated Operational Results

9

Considerations on the financial and operational information

The financial and operating results presented in this document correspond to Organización Terpel and its subsidiaries according to

International Financial Reporting Standards (IFRS). The individual results of the subsidiaries are reported including intercompany

eliminations, therefore, the sum of individual results may not correspond to the consolidated results.

The information contained in this document does not commit nor suggest any investment decision.

CONSOLIDATED RESULTS 1Q16 4Q15 1Q151Q16 Vs.

1Q15YTD 16 YTD 15

YTD 16 Vs.

YTD 15

Volume (millon Glns) 607,8 633,3 541,4 12,3% 607,8 541,4 12,3%

Colombia 485,3 505,5 434,9 11,6% 485,3 434,9 11,6%

Panama 63,9 67,6 47,9 33,2% 63,9 47,9 33,2%

Ecuador 32,1 35,8 33,6 -4,6% 32,1 33,6 -4,6%

Peru 7,9 8,4 6,3 24,3% 7,9 6,3 24,3%

Mexico 3,6 3,5 3,3 9,2% 3,6 3,3 9,2%

Rep. Dominicana 15,1 12,4 15,2 -1,1% 15,1 15,2 -1,1%

Revenues ($COP Billion) 3.451,4$ 3.826,2$ 3.300,3$ 4,6% 3.451,4$ 3.300,3$ 4,6%

Colombia 2.901,5$ 3.241,8$ 2.822,6$ 2,8% 2.901,5$ 2.822,6$ 2,8%

Panama 308,8$ 341,4$ 269,6$ 14,5% 308,8$ 269,6$ 14,5%

Ecuador 114,4$ 120,2$ 89,3$ 28,2% 114,4$ 89,3$ 28,2%

Peru 24,7$ 26,5$ 15,0$ 64,9% 24,7$ 15,0$ 64,9%

Mexico 13,2$ 13,4$ 11,5$ 15,0% 13,2$ 11,5$ 15,0%

Rep. Dominicana 88,9$ 82,9$ 92,4$ -3,8% 88,9$ 92,4$ -3,8%

Gross Profit ($COP Billion) 323,5$ 330,1$ 258,5$ 25,2% 323,5$ 258,5$ 25,2%

Colombia 229,5$ 247,0$ 196,0$ 17,1% 229$ 196$ 17,1%

Panama 53,5$ 45,8$ 34,9$ 53,4% 53,5$ 34,9$ 53,4%

Ecuador 4,6$ 4,8$ 3,8$ 20,6% 4,6$ 3,8$ 20,6%

Peru 8,4$ 8,5$ 6,2$ 35,3% 8,4$ 6,2$ 35,3%

Mexico 8,4$ 9,2$ 7,1$ 17,1% 8,4$ 7,1$ 17,1%

Rep. Dominicana 19,2$ 14,8$ 10,4$ 83,8% 19,2$ 10,4$ 83,8%

EBITDA ($COP Billion) 145,0$ 136,6$ 103,3$ 40,3% 145,0$ 103,3$ 40,3%

Colombia 118,1$ 120,3$ 85,7$ 37,8% 118,1$ 85,7$ 37,8%

Panama 14,9$ 6,7$ 8,9$ 68,8% 14,9$ 8,9$ 68,8%

Ecuador 2,0$ 2,4$ 1,8$ 12,9% 2,0$ 1,8$ 12,9%

Peru 0,8$ 1,2$ 1,2$ -31,2% 0,8$ 1,2$ -31,2%

Mexico 2,8$ 2,4$ 2,6$ 8,4% 2,8$ 2,6$ 8,4%

Rep. Dominicana 6,3$ 3,8$ 3,2$ 95,6% 6,3$ 3,2$ 95,6%