2. Disclaimer
The material that follows is a presentation of general background information about MPX Energia S.A. and its subsidiaries (collectively, “MPX” or
the “Company”) as of the date of the presentation. It is information in summary form and does not purport to be complete. No representation or
warranty, express or implied, is made concerning, and no reliance should be placed on, the accuracy, fairness, or completeness of this
information.
This presentation may contain certain forward-looking statements and information relating to MPX that reflect the current views and/or
expectations of the Company and its management with respect to its performance, business and future events. Forward-looking statements
include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may
contain words like “may”, “plan”, “believe”, “anticipate”, “expect”, “envisages”, “will likely result”, or any other words or phrases of similar
meaning. Such statements are subject to a number of risks, uncertainties and assumptions. We caution you that a number of important factors
could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in this presentation. In
no event, neither the Company, any of its affiliates, directors, officers, agents or employees nor any of the placement agents shall be liable before
any third party (including investors) for any investment or business decision made or action taken in reliance on the information and statements
contained in this presentation or for any consequential, special or similar damages.
This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or purchase any securities. Neither this
presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. Recipients of this presentation are
not to construe the contents of this summary as legal, tax or investment advice and recipients should consult their own advisors in this regard.
The market and competitive position data, including market forecasts, used throughout this presentation were obtained from internal surveys,
market research, publicly available information and industry publications. Although we have no reason to believe that any of this information or
these reports are inaccurate in any material respect, we have not independently verified the competitive position, market share, market size,
market growth or other data provided by third parties or by industry or other publications. MPX, the placement agents and the underwriters do
not make any representation as to the accuracy of such information.
This presentation and its contents are proprietary information and may not be reproduced or otherwise disseminated in whole or in part without
MPX’s prior written consent.
Investor Relations :: November 09 :: Page 2
4. MPX is pursuing full integration in natural gas by investing in
exploratory blocks…
7 exploratory on-shore blocks, with high potential for natural gas
Proximity to 500 kV substation, allowing connection of power plant to grid
Small initial investment: 1/3 of signature bonus + 1/3 of costs and guarantees related to
the Minimum Exploratory Program of the first exploratory period
*
Power Exploratory
Plant Blocks
* Subject to Agência Nacional do Petróleo, Gás Natural e Biocombustíveis (ANP) approval
Investor Relations :: November 09 :: Page 4
5. …for which DeGolyer&MacNaughton certified contingent
resources of 1.7 Tcf
Exploratory Blocks
Contingent resources amounting to
1.7 Tcf of natural gas
(303 million boe)
0.2 Tcf in risked prospective
resources
(37 million boe)
MPX will soon start licensing a
1000 MW power plant
Investor Relations :: November 09 :: Page 5
7. A first resource report certified over 110 MM tons in coal
resources
1st Resource Report (data as of Aug 21) Area 1
Covered 320 hectars (ha).
140 boreholes, of which 75 positive
50,000 meters of drilling completed
Potential for open-pit mining
Resources in La Guajira (Mt) – 320 ha
Indicated 91.3
Area 2
Inferred 19.2
TOTAL (Mt) 110.5
Investor Relations :: November 09 :: Page 7
8. And continued drilling keeps showing positive results
Updated number of positive boreholes (areas 1 + 2): 99
Area 2
Area 1
Investor Relations :: November 09 :: Page 8
9. Continued drilling in Area 1 will allow resources to be
classified into reserves
Investor Relations :: November 09 :: Page 9
10. In Area 2, continued drilling should result in an increased
volume of indicated resources
Investor Relations :: November 09 :: Page 10
11. Another area with potential for open-pit mining was
identified
Number of Boreholes drilled Cumulative
boreholes with coal meters drilled
5 5 1,323
Legend
Drilled Without Coal
Drilled With Coal
Drilling With Coal
Drilling
Schedule Short Term
Scheduled
Investor Relations :: November 09 :: Page 11
12. And potential for underground mining seems substantial
Indicative substantial coal resources
Coal layers: up to 35
Layers cumulative thickness: up to 80 m
Length NS: 15.5 km
Length EW: 3.5 km
Depth of first coal layer: between 385 and 450 m
Area 1 Legend
Drilled Without Coal
Drilled With Coal
Drilling With Coal
Drilling
Area 2 Schedule Short Term
Scheduled
Investor Relations :: November 09 :: Page 12
13. Coal will be trucked to coast and MPX is currently working
on short and medium term port alternatives
n
atio
rt Loc
P. NUEVO X Po
MP
Planned route MPX Concessions MPX
Investor Relations :: November 09 :: Page 13
15. 3Q09: Update on plants under construction
Construction of 3 plants evolving according to planned schedule
Pecém I: First tranche of long term financing disbursed (US$ 260MM + R$ 700 MM)
Açu : Installation License granted
Installed Energy PPA Start EPC Commercial Financing
Capacity contracted Date Progress Operation Date
(MW) (avg MW)
Pecém I 720 615 Jan 2012 39% Jul 2011 (360 MW) BNDES/ IDB
Oct 2011 (360 MW)
Pecém II 360 276 Jan 2013 24% Jun 2012 BNDES
Itaqui 360 315 Jan 2012 39% Oct 2011 BNDES/ BNB/ IDB
TOTAL 1440 1206
Investor Relations :: November 09 :: Page 15
16. 3Q09: Financial Highlights
Financial Strength
Cash = R$ 1.4 billion
Fixed Assets = R$ 1.7 billion
Net Cash = R$ 374 million
Net Income Adjusted Net Income
- R$ 91.3 million + R$ 29.0 million
Eliminating non-cash
impact of MtM of
hedging derivatives
Loss in hedging Decrease in BRL value
derivatives of Capex and Debt
Investor Relations :: November 09 :: Page 16
