Copyright Excelerate Energy L.P.

FSRUs & Security of Supply in Israel’s Natural Gas Market

December 2017

Copyright Excelerate Energy L.P. 2

Guanabara Bay Brazil – 2014 Bridging Solution, 2012

GNL Escobar Argentina – 2011

Bahía Blanca GasPort® Argentina – 2008

Northeast Gateway Deepwater Port® USA – 2008

Teesside GasPort® UK — 2007

Mina Al-Ahmadi GasPort® Kuwait – 2009 - 2013

Hadera Gateway Israel – 2012

Gulf Gateway® USA – 2005

Port Qasim Pakistan – 2015

Jebel Ali LNG Terminal Dubai – 2015

Operational

Development & Construction

Decommissioned

Who We Are: Pioneer and industry leader of floating LNG terminal solutions:

• Owner and operator of largest fleet of FSRUs in the world, mooring systems, pipelines and related fixed infrastructure tailored to specific customer needs

• Developed and operated 11 floating regas terminals globally

• Over 28 years providing regasification services without a single day off-hire

• Long-term facilities with operating services and logistics support

• Support services including LNG sourcing, LNG trading and shipping

Aguirre Offshore GasPort® Puerto Rico – 2019

EXCELERATE ENERGY PROJECTS:

Ruwais LNG Abu Dhabi — 2016

Moheshkhali Floating LNG Bangladesh — 2018

Summit LNG Bangladesh — 2018

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Existing Assets – Largest FSRU Fleet

VESSEL DELIVERY DATE CLASS CAPACITY PEAK SENDOUT

Excalibur October 2002 LNGC 138,000 m3 –

Excelsior January 2005 Excelsior 138,000 m3 690 MMcf/day

Excellence May 2005 Excelsior 138,000 m3 690 MMcf/day

Excelerate October 2006 Excelsior 138,000 m3 690 MMcf/day

Explorer March 2008 Explorer 150,900 m3 960 MMcf/day

Express May 2009 Explorer 150,900 m3 690 MMcf/day

Exquisite October 2009 Explorer 150,900 m3 745 MMcf/day

Expedient April 2010 Explorer 150,900 m3 690 MMcf/day

Exemplar September 2010 Explorer 150,900 m3 690 MMcf/day

Experience May 2014 Experience 173,400 m3 1200 MMcf/day

• Our large fleet offers redundancy,

security of service and

opportunities for bridging solutions

• All FSRUs are purpose-built

• Access to conventional, offshore

and dockside regas terminals

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FSRU Growth and Excelerate’s Market Leadership

• FSRU have become preferred import solutions

• Imported volumes via FSRUs have grown y/y at an average of 32% (2012-2016)

• FSRUs represent low cost, environmentally friendly and timely solutions

0%

5%

10%

15%

20%

400

450

500

550

600

650

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750

800

2008 2009 2010 2011 2012 2013 2014 2015 2016

FSRU

as % o

f Total R

egas

Tota

l Re

gas

Cap

acit

y (m

tpa)

Conventional Capacity FSRU Capacity FSRU as % of Total

EE 48%

Excelerate has established and maintained a dominant position in a rapidly growing FSRU market

EXCELERATE MARKET SHARE

0

5

10

15

20

25

30

35

Tota

l FSR

U I

mp

ort

s (m

tpa)

2012 2013 2014 2015 2016

GLOBAL FSRU IMPORTS GLOBAL LNG IMPORT CAPACITY

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START UP: COUNTRY: PROJECT ROLE: KEY TECHNOLOGY: COUNTERPARTY: BASELOAD CAPACITY:

2012 Israel Consulting Services FSRU, STL Buoy Israel Electric Corporation (IEC) Israel Natural Gas Lines (INGL)

500 MMscf/d

Hadera Gateway

OPERATIONAL TRACK RECORD

• Oct 2017: 5 years of services

• 3.2 Bcf storage capacity

• First on-buoy STS operations

• > 2 MM cbm LNG transferred

• > 1 MT LNG regasified

• > 100% regas availability

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Energy Security for Israel

Excelerate’s FSRU helps support fuel supply gaps when domestic output falls short of demand

• Peak shaving for summer/winter 2012 – to date

• Reactive to market demand − FSRU has sent gas to shore within minutes

• Additional security of supply for the energy sector instead of having to rely on one single source of gas − E.g. the FSRU serves as back-up when Tamar

is under maintenance 0

50

100

150

200

250

300

350

9/1/2017 10/1/2017

MM

SFD

SEPT - OCT 2017 SENDOUT

OROT RABIN POWER STATION

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LNG: Increasing Flexibility & Security of Supply

• As gas market grows increased LNG imports are anticipated in coming years

• LNG can help bridge the shift from scarcity to abundance of gas

• A predictable, abundant access to natural gas will allow the market to grow

0%

10%

20%

30%

40%

50%

60%

70%

80%

0.0

2.0

4.0

6.0

8.0

10.0

12.0

2015 2016 2017 2018 2019

FSRU as Security of Supply

Tamar Production LNG Imports Spare FSRU Capacity as % Total Cons.

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Energy Security for Israel

Since October 2012, Excelerate’s FSRU:

• Has allowed IEC and the State of Israel to replace dependence on Egyptian natural gas supplies;

• Has provided increased flexibility and security of LNG supply in an innovative, efficient, and reliable manner insuring Israel’s domestic energy needs are met

• E.g. In January 2017, the seas at the terminal reached an approximate height of 7 meters and the FSRU continued providing regasification services uninterruptedly to meet the nomination set by IEC

Since Hadera Deepwater LNG’s start up, IEC has imported over 1 million tons of LNG

regasified by Excelerate’s FSRU

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LNG Driving Growth of Israeli Natural Gas Market

• Natural gas markets tend to grow in a continuous way

• Risk of delays in new production

• LNG imports can play a pivotal role

• LNG fundamentals are very favorable

Growth of NG

market

Supply

uncertainty

New

developments

Market

Development

New production &

mature market

0.00

5.00

10.00

15.00

20.00

25.00

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

ISRAEL NATURAL GAS PRODUCTION / IMPORTS

YT EMG TAMAR LNG New Demand (LNG / New Production)

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Natural Gas Storage Capacity & Consumption

Source: Eurogas, IEA, BP Statistical Review, GIE

-

20.0

40.0

60.0

80.0

100.0

-

5

10

15

20

25

Isra

el

Swed

en

Irel

and

Gre

ece

Turk

ey

Un

ited

…

Bel

giu

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Po

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Spai

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Net

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lan

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Cze

ch …

Au

stri

a

Nat

ura

l Gas

Co

nsu

mp

tio

n (

bcm

)

Tota

l Sto

rage

Cap

acit

y (b

cm)

TOTAL STORAGE CAPACITY & NATURAL GAS CONSUMPTION (2015) LNG NG Storage Natural Gas Consumption (bcm)

4 15 19 22 24 30 32 49

59 70

93 102 117

129 130

175

391

Isra

el

Swed

en

Irel

and

Gre

ece

Turk

ey

Un

ited

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ingd

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Bel

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Fran

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Net

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Cze

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rep

ub

lic

Au

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0

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# o

f D

ays

NATURAL GAS STORAGE RATIOS: DEMAND IN DAYS TO STORAGE CAPACITY

• Natural gas storage plays critical role in overall system

• Israel’s only natural gas storage comes from the FSRU storage tanks on the FSRU in Hadera

• Storage requirements will vary

• FSRUs provide storage and regasification capability thereby mitigating the threat of any disturbances to the system

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• Excelerate Energy remains committed to our existing partners IEC and INGL and remains committed to creating solutions that will support the development of the Israeli natural gas market

• LNG can help drive the shift from scarcity to abundancy of natural gas

• LNG is not a competitor, but a complement and support to local natural gas

• LNG allows for a seamless transition as and when new gas production comes online

• FSRUs can continue to provide much needed security of supply and assist in development of the market

Conclusions