Company Presentation May 2021 - Deutsche Rohstoff AG

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Company Presentation May 2021 - Deutsche Rohstoff AG
1

Company Presentation
      May 2021
Company Presentation May 2021 - Deutsche Rohstoff AG
DISCLAIMER

This document constitutes neither an offer to sell nor a solicitation of an offer to buy or subscribe to any securities of Deutsche Rohstoff AG, but is for information only.
The public offering of the planned bond is solely based on the approved prospectus by the Federal Financial Supervisory Authority (BaFin). The legally relevant
prospectus can be found here: www.rohstoff.de/anleihe. The information published in this document is not to be dispersed outside the Federal Republic of Germany,
especially not in the United States, to US persons according to Regulation S of US Securities Act of 1933 nor to publications with general dispersion in the United
States, if such a dispersion outside of Germany is not compulsory according to German laws. Every violation of this constraint can lead to a violation of laws of
securities in certain countries, especially in the United States. Bonds of Deutsche Rohstoff AG will not be offered for public sale outside the Federal Republic of
Germany.
Company Presentation May 2021 - Deutsche Rohstoff AG
3

AGENDA

COMPANY OVERVIEW

STOCK & BONDS PERFORMANCE

RECENT EVENTS & HALF YEAR HIGHLIGHTS

OIL & GAS

     Oil & Gas Market

     US E&P Industry

     DRAG Oil & Gas

MINING & OTHER INVESTMENTS

FINANCIALS

INVESTMENT HIGHLIGHTS & APPENDIX
Company Presentation May 2021 - Deutsche Rohstoff AG
4

COMPANY OVERVIEW
Company Presentation May 2021 - Deutsche Rohstoff AG
5

  Founded In 2006 in        Frankfurt Stock Exchange listed,   Experienced management,
 Heidelberg, Germany         high transparency for investors    analysts and geologists

Focus on oil & gas in the      Global portfolio of mining      Focus on future revenue and
    United States                    investments                     EBTIDA growth
Company Presentation May 2021 - Deutsche Rohstoff AG
6

        DEUTSCHE ROHSTOFF IN NUMBERS

             10 years                          EUR 212 million                        24 million barrel                                  EUR 300+ million
...of successful development             …of total bond volume issued         …of proved oil equivalent reserves                     …total cumulated EBITDA
       of oil & gas assets                         since 2013                  with USD 266 million cash flow                         for the years 2014-2020
                                                                                          potential

 Production per day                                          Key financials
                                                             Million EUR         Q1 2021             2020               2019              2018              2017
                                     9.611 BOE
   6.432 BOE                                                 REVENUE                 18                39                41                109                54

                                                             EBITDA                  21                24                23                 98                36
                                                 5.123 BOE
               4.213 BOE 4.500 BOE
                                                             TOTAL ASSETS           232               207               279                225               214

                                                             CASH & EQ*              71                47                96                 80                46

                                                             LIABILITIES            140               139               166                116               122
   Q1 2021       2020      2019        2018        2017                          * Cash, cash equivalents and securities in non-current and current assets and receivables
Company Presentation May 2021 - Deutsche Rohstoff AG
7

OPERATIONS

    US Oil & Gas                                     Mining & Other Investments

    4 Subsidiaries based in Denver
                                                     Experience in Metals & Mining Sector
    Acreage position of more than
                                                     Previously operated own mines, today focus
    35,000 acres across 4 States in the US
                                                     on minority investments in the sector

    Established Oil &Gas Producer
                                                     Mining & Commodity investments
    Produced 8.5 million BOE since 2016
                                                     Total investment Portfolio with a book value
                                                      of 60 million Euro
    Significant Investment History
    Subsidiaries produce from more than 85
                                                     Gold & Tungsten weighted portfolio
    wells with total investment of USD 250 million

    Successful exit track Record
                                                     Experienced team
    Divested assets of two subsidiaries
                                                     Detailed due diligence on investment targets
    for total proceeds of 290 million USD
Company Presentation May 2021 - Deutsche Rohstoff AG
8

GLOBAL PORTFOLIO

                                           RHEIN PETROLEUM
                                           SOUTH GERMANY

                                           COMPANY HEADQUARTERS
                                           MANNHEIM

                                      ALMONTY INDUSTRIES
                                      LOS SANTOS / PANASQUEIRA /
                                      VALTREIXAL

     CUB CREEK ENERGY                                              ALMONTY INDUSTRIES
     DJ BASIN - COLORADO                                           SANGDONG

     ELSTER OIL & GAS
     DJ BASIN - COLORADO

     SALT CREEK OIL & GAS
     WILLISTON BASIN – NORTH DAKOTA

     BRIGHT ROCK ENERGY
     UINTA BASIN - UTAH
                                                                              Oil & Gas projects   Mining projects
Company Presentation May 2021 - Deutsche Rohstoff AG
9

THE GROUP IS MANAGED BY AN EXPERIENCED TEAM

                                                                                                Jared Huckabee: CEO Cub
                                                                                                Creek Energy/Elster Oil & Gas.
                                                                                                20 years experience in the US oil
                                                                                                and gas industry, production
                                                                                                engineer

                                                                                                Chris Sutton: CEO Bright Rock
                                                                                                Energy. 20 years experience in
                                                                                                the US oil and gas industry,
                                                                                                petroleum geologist

Dr. Thomas Gutschlag: Co-founder and CEO      Jan-Philipp Weitz: CFO Deutsche Rohstoff,         Jerry Sommer: Co-founder
of Deutsche Rohstoff, Chairman of the         Board member Salt Creek, Bright Rock, Tin         Tekton Energy, board member
US companies, Chairman of the Supervisory     International. Joined the company in 2011.        Cub Creek and Bright Rock.
Board Tin International & Ceritech, Board     Head of Corporate Development until 2016.         40 years experience in the US oil
Member Almonty. 30 years experience in        CFO since 2017.                                   and gas industry, petroleum
finance, capital markets and commodities.                                                       engineer

23 employees in Mannheim, Leipzig and         Close coordination between Deutsche Rohstoff and the operating units. All major
Denver, including five geologists and three   decisions made by the boards of the individual companies in which DRAG holds the
engineers                                     majority.
Company Presentation May 2021 - Deutsche Rohstoff AG
10

STOCK & BONDS PERFORMANCE
11

      ESTABLISHED CAPITAL MARKET ISSUER

      SHAREHOLDER REGISTER WITH LARGE FREEFLOAT   SHARE DETAILS

                                                  Shares outstanding   5,081,747

                                                  Share capital        EUR 5,081,747.00
      Institutional              Management 10%
23%     Investors
                                                                       XETRA, Tradegate,
                                                  Stock exchange       Frankfurt, Berlin,
                                                                       Düsseldorf, Stuttgart

                                                  ISIN/WKN             DE000A0XYG76/A0XYG7

                                                                       Scale Standard (since
                                                  Stock exchange
                                                                       1 March 2017),
                                 Private          segment
                                            67%                        Member of Scale 30
                                Investors

                                                  Designated Sponsor   ICF Bank AG
12

FOCUS ON SHAREHOLDER RETURN

RETURNED 20 MILLION EUR TO SHAREHOLDERS SINCE 2013

              5.00

                                                                                   Total Dividend Paid
                                                                                       EUR 12 m

                            2.00

                                         0.55 €                 0.60 €    0.65 €               0.70 €
                           0.50 €
0.10 €                                                                                                         0.10 €

2013          2014          2015         2016                      2017   2018                 2019            2020

                                                                             Share Buyback in million    Dividends in cent

                                                  Total Dividend

                                             EUR 3.20
                                                    per share
13

       PEER OUTPERFORMANCE DESPITE A CHALLENGED OIL & GAS MARKET

       DEUTSCHE ROHSTOFF VS MAJOR INDICES SINCE 2010/IPO

400%

300%

200%

100%

 0%

        2010     2011     2012     2013     2014      2015   2016   2017      2018         2019           2020         2021

                                                                       DRAG          DAX          Corecommodity CRB Index
14

       PEER OUTPERFORMANCE DESPITE A CHALLENGED OIL & GAS MARKET

       DEUTSCHE ROHSTOFF VS MAJOR INDICES SINCE 2015

200%

150%

100%

50%

 0%

       2015           2016            2017             2018   2019            2020                 2021

                                                                 DRAG   DAX          Corecommodity CRB Index
15

       OUR STOCK HAS OUTPERFORMED THE US OIL AND GAS SECTOR FOR YEARS

       DEUTSCHE ROHSTOFF VS US OIL AND GAS SECTOR INDICES SINCE 2010

400%

300%

200%

100%

 0%
       2010             2012               2014               2016       2018                 2020

                                                                       DRAG     DJ US Select E&P     DJ US Oil & Gas
16

         ERFOLGREICHER ANLEIHEEMITTENT IN DEUTSCHLAND

        KEY FACTS                                                                       ISSUED BONDS (in mEUR)
                                                                                  100
       ▪ 3 successful bond issues
                                                                                   75
       ▪ Good access to German capital market
       ▪ After Corona crash, bond prices have returned to normal levels            50

       ▪ NOTE 16/21 trades at par and matures in July                              25
       ▪ NOTE 19/24 is above the nominal value (103%)
                                                                                    0
                                                                                            ANLEIHE 13/18          ANLEIHE 16/21       ANLEIHE 19/24

         NOTE 16/21                                                                     NOTE 19/24
125%                                                                      100%   125%                                                                  103%

100%                                                                             100%

75%                                                                              75%

50%                                                                              50%

25%                                                                              25%

       2019                       2020                      2021                                2020                                   2021

          Ø Price since issue: 102%       Maturity: 20. July 2021                       Ø Price since issue: 95%           Maturity: 06. December 2024
          Coupon: 5,625%                  Issue Volume: EUR 67 million                  Coupon: 5,25%                      Issue Volume: EUR 87 million
17

THE MATURITY PROFILE OF OUR BONDS ALLOWS US TO FINANCE
FURTHER GROWTH

    CURRENT CASH &
   CASH EQUIVALENTS*                          NOTE MATURITIES

           m EUR                                                    m EUR

                                                                                NOTE 19/24 Dez 2024

         70.8                                                                           87.0

                       NOTE 16/21 Juli 2021

                                                            Convertible note
                            16.8                            18/23 March 2023

                                                                   10.6

       2021-03-31
        31/03/2021         Jul 2021                                 2023                 2024                  2025

                                                      * Cash, securities held as fixed and current assets, receivables
18

HIGHLIGHTS OF THE FIRST
     QUARTER 2021
19

   WE HAVE STARTED THE NEW YEAR VERY WELL

▪ Oil production running at full capacity again since early January

▪ Q1 2021: Total 578,912 BOE or 329,309 BO: well above the expectation from the beginning of the year.

▪ Strong performance of oil/gold bond/stock portfolio: EUR 8.5 million realized gain in Q1
▪ Strong increase in cash and cash equivalents to EUR 70.8 million (GC and GCU securities, receivables, cash
  and cash equivalents)

▪ Bright Rock receives approval to form federal unit in Wyoming
      ▪ First well planned for 2021

▪ Almonty makes great progress towards the development of the Sangdong project
20

                          OIL PRICE RECOVERS QUICKLY FROM ITS CORONA CRISIS

                    80

                    60
                                              1
                                                                                                                3
                    40
WTI/Barrel in USD

                    20

                     0
                          Jan. 20                  Apr. 20                   Jul. 20                  Okt. 20               Jan. 21   Apr. 21

                    -20

                    -40
                                                             2
                    -60

                          1    8 March 2020: Largest daily loss since 1991 due to the failure of an OPEC deal

                          2    20 April 2020: Oversupply and demand concerns pushed WTI prices temporarily below -40 USD/barrel

                          3    November/December 2020: First vaccine developments with high efficiency are published and approved
21

FORECAST 2021

NEW FORECAST

▪ Group sales in 2021 in a range of EUR 57 to 62 million

▪ Earnings before interest, taxes, depreciation and amortization (EBITDA) 2020 of EUR 42 to 47 million

▪ Group result clearly positive

▪ Production 2021 between 5,700 - 6,300 BOEPD

ASSUMPTIONS

▪ Only currently producing wells considered

▪ WTI 60 USD/BBL / gas price 2.50 USD/MMBTU / EUR/USD 1.20
22

FINANCIAL STANDING OF COMPANY

                           Forecast FY     Q1 2021**   2020       2019                  2018                   2017
 Production in BOEPD*      5,700-6,300       6,432     4,213      4,501                 9,062                 5,123

 Revenue                      57-62          17.9      38.7        41.2                 109.1                  53.8
 EBITDA                       42-47          21.3      23.9        22.7                  97.9                  36.1

 Net Income                Very positive     11.7      -16.1        0.2                  17.9                   7.7
 Balance Sheet Total                         231.8     206.7      278.9                 224.8                 213.6
 Cash & Cash Equivalents                     70.8      46.9        95.9                  79.7                  45.5
 Equity                                      61.8      45.6        71.5                  73.8                  56.7
 Bonds                                       114.4     114.4      131.1                  77.3                  82.3
 Bank Liabilities                             9.6      14.0         8.0                  16.1                  24.2
 Equity Ratio in %                            27        22          26                    33                    27

                                                               * Barrel of Oil Equivalent per day
                                                               ** Q1 2021 unaudited
                                                               *** Cash, cash equivalents and securities in non-current and current assets
23

              KEY INCOME RELATIONS AS OF MARCH 31, 2021

 EARNINGS in 1Q 2021 in EUR million

                                                                                             EUR 17.9 million in sales were generated mainly from the production of oil and gas in the USA,
         Total                                                                         1     and EUR 9.5 million from other operating income, of which EUR 8.5 million was attributable to
  Performance                                 27.4                       1
                                                                                             the sale of securities.

                                                                                             Of this amount, €3.4 million relates to operating costs for oil and gas production in the USA.
       Cost of                                                                         2
                                                           3.4           2                   Total expenses amounted to €5.88 per BOE.
      materials

                                                                                             G&A breaks down into personnel expenses of EUR 1.1 million, losses on the sale of
  G&A & Other                                                                          3     marketable securities of EUR 0.3 million and additions to provisions of EUR 0.2 million. .
    Expenses                                         2.7             3

       EBITDA                                                                          4     EBITDA amounted to EUR 21.3 million (previous year: EUR 9.5 million).
                                       21.3                      4

                                                                                             Depreciation and amortization of EUR 7.0 million, mainly relating to the ongoing operating
                                                                                       5
   Depreciation                            7.0                   5                           activities of the manufacturing companies. This corresponds to EUR 11.59 per BOE.

Interest & taxes                     2.6         6                                           The amount of EUR 2.6 million includes interest expenses and income totaling EUR 1.2 million
                                                                                       6
                                                                                             and deferred tax expenses of EUR 1.4 million.

    Net income                11.7         7
                                                                                             For the 1st quarter of 2021, net profit amounted to EUR 11.7 million
                                                                                       7
                                                                                             (previous year: net profit EUR 0.9 million)

       1   Total operating performance is defined as revenue plus increase or decrease in finished goods and work in process plus
           own work capitalized plus other operating income plus income from sale / deconsolidation.
24

OIL & GAS MARKET
25

                                               EXISTING POPULATION WILL NEED MORE ENERGY…..

                                               HUMAN DEVELOPMENT INDEX AND ENERGY DEMAND

                                                            Yemen   Bangladesh             India                     Mexico               Spain                   USA

                                          VERY HIGH
U.N. Human Development Index (HDI) 2017

                                               HIGH

                                            MEDIUM
                                                                                                                              50% OF WORLD POPULATION
                                                                                                                              3.7 billion people
                                               LOW                                                                            10-year lower life expectancy
                                                                                                                              35% fewer years of education
                                                                                                                              25% without access to electricity

                                                      10                                                 100                                                            1000
                                                                                    Energy demand per capita [100 BTUs/person/day]
                                                                                                                                                                   Source: Exxon
26

                                  ….. DEMAND CONTINUES TO GROW

                                       TOTAL DEMAND FOR PRIMARY ENERGY

                                                                           Historical                                                                            Forecast

                                                                                                                                                                                            Other renewable energies
                              17.500                                                                                             COVID-19*                                                  Hydropower
                                                                  Global Financial Crisis                                                                                                   Nuclear Power
                              15.000
                                                                                                                                                                                            Bio-Energy

                              12.500
Million tonnes (equivalent)

                                                                                                                                                                                            Natural gas

                              10.000

                               7.500                                                                                                                                                        Coal

                               5.000

                               2.500                                                                                                                                                        Crude Oil

                                  0

                                                        2000                             2010                             2020                              2030                     2040

                                       * Illustrated example of visualized COVID-19 influence
                                       New Policies Scenario: consideration of existing energy policy and an assessment of the results expected from the announced policy measures
                                       Source: IEA, World Energy Outlook 2018
27

            OIL DEMAND GROWS STEADILY

            PETROLEUM AND OTHER LIQUIDS CONSUMPTION

       120.000

       100.000

        80.000

                                                                           REST OF THE     World avg. p.a.
                                                                                WORLD      1.22%
MMbd

        60.000

        40.000

                                                                                           USA avg. p.a.
                                                                                  UNITED
        20.000                                                                    STATES   0.43%
                                                                                           China avg. p.a.
                                                                                   CHINA
            0
                                                                                           5.40%
                        1985       1990       1995    2000   2005   2010   2015
28

               WTI HAS LEFT THE LONG-TERM DOWNWARD TREND TO THE UPSIDE ONE

WTI OIL PRICE - 20 YEARS

                   $160

                   $140

                   $120
                                                                  Strong breakout from
                                                                the long-term trend line.
WTI price in USD

                   $100

                   $80

                   $60

                   $40

                   $20

                   $0

                          2000   2005      2010         2015             2020

                                                                                Source: NYMEX
29

                    SHARP DECLINE IN INVESTMENT IN THE GLOBAL OIL SECTOR

                    GLOBAL UPSTREAM LIQUIDS CAPITAL EXPENDITURES

              600

              500

                                                                                                      -26%
              400
Billion USD

                                               -8%                                                                                  -35%
              300

                                                                                                                                             OTHER
              200                                                                                                                            INTERNATIONAL E&P
                                                                                                                                             NORTH AMERICAN E&PS
                                                                                                                                             OTHER INTEGRATED
              100                                                                                                                            MAJORS

                                                                                                                                             NATIONAL OIL
                0                                                                                                                            COMPANIES
                2006         2007       2008         2009   2010   2011   2012   2013   2014   2015     2016   2017   2018   2019     2020

                    Source: JP Morgan Research
30

  THE BEGINNING OF THE NEW SUPERCYCLE?

                                                                SUPERCYCLES OF COMMODITY PRICES
 Price deviation from long-term trend                                                                                   WTI price in USD, inflation-adjusted
      80                                                                                                                                                  160

      60                                                                                                                                                  140

      40                                                                                                                                                  120

      20                                                                                                                                                  100

      ø                                                                                                                                                   80

     -20                                                                                                                                                  60

     -40                                                                                                                                                  40

     -60                                                                                                                                                  20
                                                                                                  TOTAL CAPEX IN OIL INDUSTRY
     -80                                                                                                                                                  0

                 1960                   1970                  1980        1990             2000              2010              2020                2030

                                                                                 SUPERCYCLE CURVE       WTI OIL PRICE      GLOBAL UPSTREAM CAPEX

Source: Bank of Canada, Rystad Energy, Deutsche Rohstoff AG
31

                             SHARP DECLINE IN ACTIVE OIL RIGS IN THE USA

                             UNCONVENTIONAL PRODUCTION PER BASIN AND NUMBER OF DRILLING RIGS
                        10                                                                                                                                                            1,800
                                     Permian             Bakken            Eagle Ford       Niobrara      Anadarko     Others unconventional          Rigs US
                         9                                                                                                                                                            1,600

                         8
                                                                                                                                                                                      1,400

                         7

                                                                                                                                                                                              Number of active oil drilling rigs
                                                                                                                                                                                      1,200
Oil production in MBO

                         6
                                                                                                                                                                                      1,000
                         5
                                                                                                                                                                                      800
                         4
                                                                                                                                                                                      600
                         3

                                                                                                                                                                                      400
                         2

                         1                                                                                                                                                            200

                        -                                                                                                                                                             -
                             2007        2008          2009           2010          2011    2012       2013     2014    2015       2016        2017       2018   2019   2020   2021

                              Sources :
                              Active oil drilling rigs based on figures from Baker Hughes
                              Production figures are forecasts by EIA from May 2021
32

OIL & GAS – US E&P
33

     MORE THAN 2 MILLION OIL & GAS WELLS ACROSS THE UNITED STATES

OIL FIELDS WITH ACTIVITY OF DEUTSCHE ROHSTOFF

                                                  WILLISTON BASIN

                                                POWDER RIVER BASIN

                                                 DJ BASIN
           UINTA BASIN

     Quelle: Enverus
34

EFFICIENT EXTRACTION PROCESS

                    1                                           2                                            3                                                  4
  Fracking fluid (water, sand and
                                                 Rocks are fractured to increase               Oil and gas is carried out via                  Fracking liquid is reintroduced
  additives) is pumped into drilled
                                                    the inflow of oil and gas                    pipelines or tank trucks.                       into the cycle or recycled.
        well at high pressure

           CONVENTIONAL WELL                                                                    UNCONVENTIONAL WELL
              Vertical drilling                                                            Horizontal drilling/Hydraulic Fracturing
                                                                                                                     Oil and Gas        3
                                                                                      1    Fracking Liquid

 Drinking water
 Depth less than                                                                                                                Additional surface protection        Average depth
 150 meters
                                                                                                                                            collar
                                                                                                                                                                     2.0 - 6.0 km
                                                                                                                                                                     (5.000-20.000 ft)

                     Oil and gas
                      reservoir
                                                                                                                        4

                                                                2
 High-density rock
 Depth 1,000-4,000 m

                                                                        Average lateral length
Source: Deutsche Rohstoff AG, Internet Sources
                                                                          1.6 – 3.5 km
                                                                             (1 - 2.3 miles)
35

EXPLANATORY EXAMPLE OF A HORIZONTAL WELL

                                         COMPLETED WELL

                  1
                                                                                  DRILLING
                                     3

                                           4

                                                                 2

                              5

                                           1   Land position, “acreage”
                                           2   Drilling rig: Temporary facility for drilling wells on the Pad
                                           3   Production Pad - Above ground facilities
                                           4   First drilling phase: vertical, approx. 2,000 to 3,000m
                                           5   Second drilling phase: Horizontal, typically 1,600 to 3,000m
36

   CLOSE-UP OF THE WILLISTON BASIN IN THE USA

                                 WILLISTON BASIN             McKENZIE - TOWNSHIPS                ZOOM TO ONE TOWNSHIP

                              130 km
                              80 miles

                                                        29 km
                                                        18 miles
                                                                                              10 km
                                                                                               6 miles

    1                              2                        3                                   4

▪ An oil “basin” describes    ▪ Here in the example    ▪ All states in the US are divided   ▪ One section consists of 640
  a large, supra-regional       the Williston Basin,     into so-called townships, which      acres, a township therefore of
  oil reserve.                  which extends over       are squares marked by                23,040 acres
▪ Oil fields have different     North Dakota,            north/south and west/east          ▪ Most horizontal wells are about
  characteristics. They         Montana and into         orientations                         1-2 miles long (lines), points
  may have oil or gas           Canada                 ▪ Townships (here 150N94W)             indicates the oil pad or the well
  predominance and                                       consist of 36 sections and have      location and lines the directional
  different production                                   a length of 36 miles, which is       wellbore
  curves.                                                why each of these sections has
                                                         a side length of 1 mile
37

                NEW PROJECT VALUATION

                TYPE CURVE                           PROCESS OF VALUATION

       100000
                                                     ▪ Before investment decisions are made, we analyze a large number
                                                       of producing wells in the surrounding area in order to estimate the
                                                       expected production profile called a type curves (blue line).

                                                     ▪ Analysis often consists of more than 100 surrounding wells in order
                                                       to obtain the most reliable analysis

        10000
                                                     ▪ The typical curve shows the highest production at the beginning,
                                                       which leads to a high IRR.
Bopd

                                                     RESERVE TYPES

                                                      1    PDP - Proved, developed & producing
         1000                                              Proven reserves that have been drilled and are already producing
                                                      2    PNP - Proved not producing
                                                           Proven reserves, excluding production
                                                      3    PUD - Proved undeveloped reserves
                                                           Proven reserves that have not yet been drilled
                                                      4    PRB - Probable reserves
          100                                              Possible reserves
                0            10            20   30
                                  Months
38

                              SINGLE WELL ECONOMIC POTENTIAL

                              OIL AND GAS TYPE CURVE
                      30000
                                                                                                                                                                                           EXAMPLE                    60000

                                                                                                                                                                                                                              MCF – Thousand Cubic feet of Gas
                                                                                                                                                                                                Oil        Gas
BO – Barrels of Oil

                      20000                                                                                                                                                                                           40000

                      10000                                                                                                                                                                                           20000

                         0                                                                                                                                                                                            0
                                 1       2        3       4       5       6       7       8        9      10      11          12      13         14   15     16   17    18     19   20     21   22    23         24
                                                                                                                                Months

                              EXPECTED SINGLE WELL EONOMIMCS
                                                                                                                                      CASH FLOW EXAMPLE
                              AT 50 USD OIL*
                                                                                                                              $5.0
                              Drilling and completion              USD 4.5m
                              Payback time                         1.5-3 Years                                                $2.5
                              Opex                                 USD 8-10 per Barrel
                                                                                                                       mUSD

                              Well life                            20-30 Years                                                $0.0
                              IRR                                  20-55%
                                                                                                                              -$2.5
                              Net Revenue                          USD 6-12m
                              Net Cash Flow                        USD 2.0-8.0m                                                                                          CASH FLOW         Cumulative Cash Flow
                                                                                                                              -$5.0
                                                                                                                                           t=0         t=1        t=2        t=3     t=4        t=5    Remaining
                                                                                                                                                                                                         years
                              * 2 mile horizontal Niobrara well, DJ Basin, Colorado / Gas Price 2.5 USD / drillcost 4.5 MM USD / 100% working interest
39

AN OIL PRICE OF 55 USD/BARREL LEADS TO A NET MARGIN OF 26%

SINGLE WELL ECONOMICS
                                                                                                                                                    EXAMPLE

                                               $5.0

                          $20.5                                   $13.0

                                                                                        $3.6
                                                                                                            $5.0
                                                                                                                             $9.6
      $50                                                                                                                                                       EBITDA / Barrel

                                                                                                                                                     $21.1
                                                                                                                                         $34.2

                                                                                                                                                                     $13.2

 WTI Oil Price         Gas & NGL            Transport
                                           Differential           Royalty            Local Tax              Opex           Processing   Cash Flow   Depletion       Wellhead
                         Credit                                                                                                                                     Net Profit

* 2 mile horizontal Niobrara well, DJ Basin, Colorado / Gas Price 2.5 USD / drillcost 4.5 MM USD / 100% working interest
40

OIL & GAS – COMPANY PRESENCE IN US
41

               ESTABLISHED US PRODUCER

POWDER RIVER BASIN - WYOMING
−       Bright Rock Energy
−       28.000 acres

                                                                                                                          KEY FACTS ON OUR ACTIVITY IN USA
                                                              WILLISTON BASIN – NORTH DAKOTA
                                                              −   Salt Creek Oil & Gas                                    ▪ More than 60 wells drilled
                                                              −   5.000 acres
                                                                                                                          ▪ Active in 4 states

                                                                                                                          ▪ Partner in more than 250 wells

    UINTA BASIN - UTAH                             DJ BASIN - COLORADO                                                    ▪ Q1 2021 production 6,432 BOEPD
    −    Bright Rock Energy                        −   Cub Creek Energy
    −    2.000 acres                               −   Elster Oil & Gas
                                                   −   5.000 acres

               DEUTSCHE ROHSTOFF US OIL & GAS

               ▪ North Dakota is the second strongest, Colorado the sixth strongest oil producing state in the USA, Utah also ranks among the most important
               ▪ All states have a long history in the oil industry, resulting in an excellent pipeline infrastructure & worker culture
               ▪ First-class regional service companies ensure the best possible services in the oil & gas sector
               ▪ Good regulatory environment for conducting business activities
               ▪ Large number of manufacturing companies offers optimal opportunities for non-operative activities and participations
42

                         PRODUCTION GROWTH SINCE 2015

                         SUMMARIZED PRODUCTION ON ALL OIL FIELDS

20,000
                                                                    Salt Creek assets sale in ND                                                       Knight and planned
                                                                                                                                                              new projects
15,000
                                                                                                                       Impact of COVID-19

                                                                                                                                                   Forecast
10,000

                                                Divestment Tekton

 5,000

                     0

                              TEKTON ENERGY                                                   ELSTER OIL & GAS
                               2012 – 04.2014                                                      2014 - now
 Producing company

                                                                                                                              BRIGHT ROCK ENERGY
                                                                                                                                   07.2018 - now

                                                                                                   CUB CREEK ENERGY
                                                                                                         2015 - now

                                                                                         SALT CREEK OIL & GAS I                     SALT CREEK OIL & GAS II
                                                                                                                      2017 - now
43

OPPORTUNITIES
  Regular analysis of various projects for the sustainable and long-term increase of the company's value
44

PORTFOLIO EXPANSION
     Drilled 12 2.25-mile horizontal wells in the first half of 2021. Production start expected Q4 2021
45

SUCCESSFUL PRODUCTION
  5 pads with a total of 55 wells developed by Cub Creek Energy in Denver
46

PROBABLE RESERVES IN UTAH AND WYOMING INCREASED

RESERVES OVER TIME IN BOE

         Total Probable         Total Proven                                            29.4
                                                                                                                               26.6
                                                 20.5                                                                                                                 20.4
          15.1           13.4
                                                                  8.7
                                                                                                        3.4                                    2.4                                     3.8

                  2016                                  2017                                   2018                                   2019                                    2020

                                                                                                                                                                        Discounted net
                                                                        BOE                             Sales                          Net income*
RESERVES IN 2020                                                                                                                                                           income*
                                                               (in million barrels)                (in USD million)                   (in USD million)
                                                                                                                                                                      (10%, in USD million)
       Colorado Assets
       Proven                                                           15.77                           364.84                               148.91                            101.75
       Probable                                                         0.00                              0.00                                0.00                              0.00

       Utah and North Dakota Assets

       Proven                                                           4.65                            153.26                               67.35                              27.00
       Probable                                                         3.83                            128.44                               49.45                              14.62

       Total Proven                                                     20.42                           518.10                               216.26                            128.75
       Total Probable                                                   3.83                            128.44                               49.45                              14.62

* Revenues and net income (revenues less partner shares, royalties, development and operating costs and production taxes) based on WTI forward curve as of 31 December 2020
47

WYOMING - 2020 LARGE AREA ACQUIRED IN POWDER RIVER BASIN

▪ Land package in the Powder River Basin with 28,000 net
  acres.
▪ Production from 5 wells with currently approx. 150 BOPD
  (net)

▪ Large Cap Operators in Close Proximity

▪ 7 Drill rigs active in the Basin

▪ First well from Bright Rock expected later this year
                                                                                                                 100km

                                                            Bright Rock Acreage with Buster DSU   Chesapeake Energy
                                                                                                  Devon Energy
                                                                                                  EOG Resources
48

COLORADO – USD 60m INVESTED IN 2020

DJ-BASIN – WATTENBERG FELD                                    KEY FACTS ON OUR ACTIVITY IN USA

                                            Source: Enverus   ▪ Located in Wattenberg-Field, DJ Basin, 20.000+ Drillings
                                                              ▪ Wide range of production data available due to large
            USA - COLORADO
                                                                number of producing wells. This allows for a precise
                                                                estimation of the production efficiency of new wells.
                                                              ▪ Present companies: Noble Energy, Anadarko Petroleum,
                                                                Extraction Oil and Gas, PDC, Synergy

                                                              MANAGING STRUCTURE
100 miles

                                                                                *                                                  *
                                                                     93%                                                     88%

                       DENVER

                                100 miles                           * Remaining interest is held by local management board
49

      OLANDER AND KNIGHT SET PRODUCTION TARGETS THIS YEAR AND NEXT

                                             I

                           II

III
50

     HISTORY OF SUCCESS - CASE STUDY I

     SALT CREEK OIL AND GAS – A SUCCESSFUL STORY

                       DEC 2016                                           DEC 2017                                              JUN 2018
                       ACQUISITION - USD 38.1 m                           61% increase in                                       Sale of the majority of
                       1,795 net acres with 60 existing                   production through                                    North Dakota land for
                       and approximately 90 planned wells                 new successful wells                                  USD 63.6m

JUN 2015                                        APR 2017                                         MAR 2018
ESTABLISHMENT                                   Production 20% above                             Robust production leads to
Salt Creek Oil & Gas                            expectations; USD 5 million                      141% increase in proved
                                                invested in 9 wells                              reserves to USD 83.9 million

                                  Financed with equity of Deutsche Rohstoff AG and a reserve-based credit line
51

    HISTORY OF SUCCESS - CASE STUDY II

    TEKTON ENERGY – SUCCESSFUL DEVELOPMENT AND DIVESTMENT

         OCT 2011                                                       MAR – MAY 2013                                   SEP 2013 – APR 2014
         ACQUISITION – 2 000 acres                                      2 successful horizontal                          EXTENSIVE DRILLING
         Identification of the Windsor project                          drilling operations, initial                     PROGRAM
                                                                        production 1,228 BOEPD                           80 new wells planned

JAN 2011                                  YEAR 2012                                         JUNI – AUG 2013                        MAY 2014
ESTABLISHMENT                             9 successful vertical wells                       BOND ISSUANCE                          SALE USD 230 million
Tekton Energy                                                                               Financing large drilling &             Remaining 560 acres were
                                                                                            development program                    transferred to Elster Oil &
                                                                                                                                   Gas

                                             Financed by Deutsche Rohstoff with equity and debt capital
                                                365% Return on equity over approximately 3.5 years
52

MINING & INVESTMENTS
53

          ALMONTY - LEADING TUNGSTEN PRODUCER IN OUR PORTFOLIO

        HIGHLIGHTS

        ▪ Share price doubles in 1Q2021
        ▪ APT increases with other metals
                                                                                               COMPANY PRESENCE
        ▪ Maturity of major part of liabilities extended to 2023
        ▪ Further capital increases or commitments to cover the
          equity portion of project financing completed
        ▪ Expansion of ESG program in Portugal and South Korea
        ▪ Drilling to resource Sangdong molybdenum deposit to
          commence in Q2 2021
        ▪ ASX: Trading expected to start in mid-June

In CAD                                                                           In millions

1.40                                                                                     3
1.20
1.00                                                                                                                      DEVELOPMENT
                                                                                         2     PRODUCING MINES
0.80
0.60                                                                                           ▪ Panasquiera - Portugal   ▪ Valtreixal - Spain
                                                                                         1
0.40
                                                                                               ▪ Los Santos - Spain
0.20                                                                                                                      Production from 2022/2023
0.00                                                                                     0
       Jan. Feb. Mrz. Apr. Mai. Jun. Jul. Aug. Sep. Okt. Nov. Dez. Jan. Feb. Mrz. Apr.                                    ▪ Sangdong - South Korea
        20 20 20 20 20 20 20 20 20 20 20 20 21 21 21 21
54

  GOOD PERFORMANCE OF EQUITIES AND BONDS AND MUCH POTENTIAL
  FOR THE CURRENT YEAR

  in EUR 1.000

                                               Book value   Current value    Price gain
   INVESTMENT PORTFOLIO                                       04/30/2021    (unrealized)
   Gold shares                                    10,479          13,326         2,847
   Oil & Gas Shares                                9,061          11,122         2,061
   Total                                          19,540          24,448         4,908

                                               Book value   Current value
   Strategic Stakes
                                               31.03.2021     04/30/2021
   Almonty Industries*                            12,131          18,547
   Northern Oil & Gas                              6,773           8,666
   Total                                          18,904          27,213

* includes only the Almonty shares, no loans
55

GOOD PERFORMANCE OF THE PORTFOLIO AND MUCH POTENTIAL FOR
THE CURRENT YEAR

Investment portfolio - realized and unrealized income in EUR million

                                                                                          $4.9
                                                             $3.0
                    $8.0            Realization of
                                   EUR 8.5 million
                                                             $8.5                         $8.8

                    $3.5

                     2020                                   Q1 2021                 YTD - 30 April 2021

                                                                       Realized profit          Unrealized profit
56

FINANCIALS
57

 CONSOLIDATED RESULT

                                                                                                                                                          GROUP
 INCOME STATEMENT
 in EUR million
                                                                                                Q1 2021                           2020          2019    2018
   Sales                                                                                               17.9                         38.7         41.2   109.1
   Other own work capitalized                                                                            0.0                         0.0          0.1     1.3
   Other income                                                                                          9.5                         7.7          4.3    19.1
   Cost of material                                                                                      3.4                        11.6         11.3    19.0
   Personnel expenses                                                                                    1.1                         3.6          4.5     3.9
   Other related expenses                                                                                1.6                         7.2          7.1     8.5
   EBITDA                                                                                              21.3                         23.9         22.7    97.9
   Depreciation and amortization*                                                                        7.0                        40.1         17.1    65.2
   EBIT                                                                                                14.3                        -16.1          5.6    32.7
   Financial results                                                                                    -1.3                         -6.4        -5.4    -6.2
   EBT                                                                                                 13.0                        -22.5          0.3    26.5
   Taxes                                                                                                -1.3                         6.4         -0.1    -8.6
   Consolidated net income                                                                             11.7                        -16.1          0.2    17.9

* Depreciation and amortization comprises both scheduled and unscheduled depreciation and amortization on financial assets and current assets
58

 KEY FIGURES FROM THE BALANCE SHEET

                                                                                                                                GROUP
  BALANCE SHEET
  in EUR million
                                                                        31. Mrz 2021   31. Dez. 2020   31. Dez. 2019   31. Dez. 2018
    Balance sheet total                                                        231.8           206.7           278.9           224.8
    Intangible assets                                                           22.5            21.9            22.1            16.9
                  Property, plant and equipment                                114.2           112.8           139.6           110.1
    Financial assets                                                            34.8            35.7            36.8            22.0
    Thereof securities held as fixed assets                                     13.2            13.2            18.2             5.9
                  Inventories                                                    0.2             0.2             0.2             0.2
    Receivables and other assets                                                21.9            10.8            11.1            13.8
    Cash and cash equivalents*                                                  48.9            36.0            84.8            65.9
    Deferred tax assets                                                          1.2             1.5             1.4             1.2
                  Equity                                                        61.8            45.6            71.5            73.8
                  Equity ratio                                                 26.7%           22.1%           25.6%           32.8%
                  Provisions                                                    12.8             7.3            25.2            19.3
    Liabilities                                                                140.2           138.6           166.0           116.2
    Deferred tax liabilities                                                    17.0            15.2            16.2            15.5

* Cash at banks and securities held as current and non-current assets
59

SUMMARY
60

OUR SHARE SHOULD BENEFIT FROM THE CURRENT COMMODITY
BOOM

              $$$

  US banks expect oil prices to                    High profitability of the oil                    Investment portfolio
        remain higher                              business in the current price                      continues to offer
                                                          environment                                  high earnings
                                                                                                          potential

                        Wyoming acreage could see                                  Almonty: Listing ASX, start of
                        significant increase in value                                 construction Sangdong
                                 from drilling                                       should trigger further share
                                                                                             price gains
61

  Deutsche Rohstoff AG
          Q7, 24
68161 Mannheim, Germany
    +49 621 490 817 0
     info@rohstoff.de
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