DATA BOOK UPDATED: AUGUST 2015 La Porte – Texas, U.S.A. Cautionary Statement The information in this Data Book includes forwardlooking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual results could differ materially based on factors including, but not limited to, the business cyclicality of the chemical, polymers and refining industries; the availability, cost and price volatility of raw materials and utilities, particularly the cost of oil, natural gas, and associated natural gas liquids; competitive product and pricing pressures; labor conditions; our ability to attract and retain key personnel; operating interruptions (including leaks, explosions, fires, weather-related incidents, mechanical failure, unscheduled downtime, supplier disruptions, labor shortages, strikes, work stoppages or other labor difficulties, transportation interruptions, spills and releases and other environmental risks); the supply/demand balances for our and our joint ventures’ products, and the related effects of industry production capacities and operating rates; our ability to achieve expected cost savings and other synergies; our ability to successfully execute projects and growth strategies; legal and environmental proceedings; tax rulings, consequences or proceedings; technological developments, and our ability to develop new products and process technologies; potential governmental regulatory actions; political unrest and terrorist acts; risks and uncertainties posed by international operations, including foreign currency fluctuations; and our ability to comply with debt covenants and service our debt. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the “Risk Factors” section of our Form 10-K for the year ended December 31, 2014, which can be found at www.lyb.com on the Investor Relations page and on the Securities and Exchange Commission’s website at www.sec.gov. On the cover: Geelong, Victoria – Australia I Fos-sur-Mer – France Information Related to Financial Measures This Data Book includes certain “non-GAAP” financial measures. The non-GAAP measures we have presented include income from continuing operations excluding LCM, diluted earnings per share excluding LCM, EBITDA and EBITDA excluding LCM. LCM stands for “lower of cost or market,” which is an accounting rule consistent with GAAP related to the valuation of inventory. Our inventories are stated at the lower of cost or market. Cost is determined using the last-in, first-out (“LIFO”) inventory valuation methodology, which means that the most recently incurred costs are charged to cost of sales and inventories are valued at the earliest acquisition costs. Market is determined based on an assessment of the current estimated replacement cost and selling price of the inventory. In periods where the market price of our inventory declines substantially, cost values of inventory may be higher than the market value, which results in us writing down the value of inventory to market value in accordance with the LCM rule, consistent with GAAP. We report our financial results in accordance with U.S. generally accepted accounting principles, but believe that certain non-GAAP financial measures, such as EBITDA and earnings and EBITDA excluding LCM, provide useful supplemental information to investors regarding the underlying business trends and performance of the company’s ongoing operations and are useful for periodover-period comparisons of such operations. Non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to, the financial measures prepared in accordance with GAAP. EBITDA, as presented herein, may not be comparable to a similarly titled measure reported by other companies due to differences in the way the measure is calculated. We calculate EBITDA as income from continuing operations plus interest expense (net), provision for (benefit from) income taxes, and depreciation & amortization. EBITDA should not be considered an alternative to profit or operating profit for any period as an indicator of our performance, or as an alternative to operating cash flows as a measure of our liquidity. We have also presented financial information herein exclusive of adjustments for LCM. Quantitative reconciliations of our non-GAAP measures to the most comparable GAAP measures can be found in the appendix. II Contents Cautionary Statement i Information Related to Financial Measures ii Contents 1 Our Corporate Strategy 2 LyondellBasell At A Glance 3 Our Business Segments 4 Global Presence 6 Joint Ventures Increase Our Footprint 7 Optimizing Our Businesses 8 Pre-Tax Earnings Leverage 9 LyondellBasell Products Serve Diverse End Uses 10 Portfolio Stability 12 Vertically Integrated Portfolio Structure 13 Major Product Yield Factors 14 Olefins and Polyolefins Segments 15 Overview 16 Olefins Process 17 Global Olefins and Polyolefins Capacity Position 19 Olefins Production Process and Derivatives Chain 20 Olefins and Polyolefins–Americas 21 Olefins and Polyolefins–Europe, Asia & International 23 Intermediates and Derivatives Segment 25 Overview 26 Production Process 27 Product Capacities & Joint Ventures 29 Global Capacity 30 Refining Segment 31 Overview 32 Process Flow 33 Product Capacities 34 Technology Segment 35 Overview 36 Comprehensive Portfolio of Licensed Technologies 37 Appendix 39 Glossary of Acronyms 40 Key Benchmark Prices and Margins for 2012-2014 41 Income Statements for 2012-2014 42 Consolidated Balance Sheets for 2012-2014 43 Cashflow Statements for 2012-2014 44 Reconciliation Information 45-49 A Heritage of Achievement 50 1 Our Corporate Strategy LyondellBasell is a top performer in our industry. To accomplish this, four strategic elements guide our actions. Operational Excellence Focused Investment and Growth Operational Excellence is LyondellBasell’s fundamental method for achieving safe and reliable performance, which has a direct, positive impact on our bottom line. The safer the plant, the more reliable it becomes – and vice versa. The more efficient the operation, the less raw materials and energy it consumes, the less waste it generates and the more we contribute to a sustainable future. All of this is driven by the implementation of proven, operational processes designed from company and industry best practices. Whether we are applying our proprietary technology or leveraging innovations in the chemical and energy sectors, LyondellBasell is investing in growth projects that will expand our advantaged positions now and into the future. In 2014, we invested $800 million in growth projects and $700 million in operational maintenance and reliability. Cost Management Delivering top performance requires disciplined cost control regardless of industry conditions. Careful management of fixed costs and a lean, motivated organization are key drivers of our business model. Industry-Leading Operating Rates 2014 Operating Rates •U.S. Ethylene – 95%* •Europe Ethylene – 95% •Propylene Oxide – 90% •Houston Refinery – 97% Financial Discipline *Excludes La Porte turnaround Our management is committed to a financial strategy that positions the company long-term and targets the highest return to shareholders. In 2014, LyondellBasell was an industry leader in share repurchases and dividends. Return to Shareholders in 2014 •$7.2 billion in share repurchases and dividends •63.3 million shares repurchased (12%) •Dividend increased by 17% Strong Balance Sheet and Cash Flow in 2014 •Free Cash Flow: $4.5 billion •Debt/EBITDA of 0.9x, excluding LCM •Corporate Credit Rating of BBB+/Baa1 Named a Responsible Care Company of the Year by the American Chemistry Council 2 LyondellBasell At A Glance LyondellBasell Overview LyondellBasell (NYSE: LYB) is one of the world’s largest plastics, chemical and refining companies and a member of the S&P 500 Index. We had annual revenues of approximately $46 billion in 2014 and 13,100 employees worldwide. The Company manufactures products at more than 55 sites in 18 countries. LyondellBasell products and technologies are used to make EPS Bridge(1) 2011-2014 items that improve the quality of life for people around the world including textiles, food packaging, electronics, automotive parts, home furnishings, construction materials and biofuels. More information about LyondellBasell can be found at www.lyb.com. Highlights of Consolidated Financial Statements (USD millions) per share $10 $8.92 2012 2013 2014 Sales and other operating revenues $45,352 $44,062 $45,608 Income from continuing operations $2,858 $3,860 $4,172 $8 Diluted EPS from continuing operations $4.96/share $6.76/share $8.00/share $6 Cash flow from operating activities $4,787 $4,835 $6,048 Ebitda $5,808 $6,311 $7,050 $4.32 $4 LCM adjustment* $2 $0 2011 EPS As Reported 2014 EPS -- -- $760 EBITDA, excluding LCM $5,808 $6,311 $7,810 Income from continuing operations, excluding LCM $2,858 $3,860 $4,655 $4.96/share $6.76/share $8.92/share $2,732 $4,450 $2,974 13% 14% 17% Regular dividends $1.45/share $2.00/share $2.70/share Special dividends $2.75/share -- -- 0.76x 0.92x 0.91x Diluted EPS from continuing operations, excluding LCM Excluding LCM • EBITDA up $2.3B, or 43% Cash and liquid investments(2) • Effective tax rate decreased by 6% pts. EBITDA excluding LCM/revenues • Share count lower by 15% Total debt/EBITDA excluding LCM (1)2014 EPS is adjusted for the impact of the LCM adjustment. (2)Balance sheet items represent end of year data. *LCM stands for lower of cost or market. An explanation of LCM can be found under the “Information Related to Financial Measures,” section in the front of this Data Book. Global Capacity Positions Ethylene 5th Polyethylene 5th Propylene Oxide 2nd Oxygenated Fuels 1st Polypropylene 1st Propylene 6th Polypropylene Compounds 1st Polyolefin Licensing 3rd 2014 Sales by Segment(3) 2014 EBITDA, excluding LCM USD millions USD millions $15,000 $4,000 $12,000 $3,200 $9,000 $2,400 $6,000 $1,600 $3,000 $800 $0 $0 Refining Capacity = 268,000 Barrels Per Day Sources: Third party consultants data. Note: Capacities and worldwide capacity positions are as of December 31, 2014, and include our wholly owned capacity and pro rata share of joint venture capacities. O&P Americas O&P EAI I&D Refining Technology (3)Revenue amounts reported include intersegment revenues without the presentation of “other,” which includes the elimination of intersegment revenues. The total of the amounts presented will exceed consolidated revenues. 3 Our Business Segments LyondellBasell Portfolio LyondellBasell consists of a balanced, integrated product portfolio comprising five major business segments. Each plays a strategic role in creating stakeholder value. O&P–Americas O&P–Europe, Asia & International Our O&P–Americas segment produces and markets ethylene, propylene, polyethylene, polypropylene and various co-products. We are a leading producer of light olefins (ethylene and propylene), the largest polypropylene producer and the thirdlargest producer of polyethylene in North America. In addition, we produce significant quantities of high-value specialty products such as Catalloy process resins. Our O&P–EAI segment produces and markets ethylene, propylene, polyethylene, polypropylene and various co-products. We are the largest producer of polypropylene and polyethylene in Europe. We are also the largest worldwide producer of polypropylene compounds, a high-value specialty product. We also produce significant quantities of other high-value specialty products such as Catalloy process resins and Polybutene-1. Key Advantages Key Advantages Increased processing capability and access to low cost natural gas liquids (NGLs) Feedstock-advantaged joint ventures and premium grade polyolefin products Key Products Ethylene Propylene Polyethylene Polypropylene Catalloy Process Resins Polypropylene Compounds Polybutene-1 Butadiene Benzene End Uses Packaging Textiles Automotive Appliances 4 Films Flexible Piping Intermediates and Derivatives Refining Technology Our I&D segment produces and markets propylene oxide and its co-products and derivatives, acetyls including methanol, ethylene oxide and its derivatives, ethanol, and oxyfuels such as methyl tertiary butyl ether and ethyl tertiary butyl ether. Propylene oxide co-products include styrene monomer and C4 chemicals (tertiary butyl alcohol or TBA), most of which is used to make oxyfuels, isobutylene and tertiary butyl hydroperoxide. Propylene oxide derivatives include propylene glycol, propylene glycol ethers and butanediol. We believe that our proprietary propylene oxide and acetyls production process technologies provide us with a cost advantaged position for these products and their derivatives. Our Refining segment refines heavy and light high-sulfur crude oil in the U.S. Gulf Coast. Our Houston refinery is among North America’s largest full conversion refineries capable of processing significant quantities of heavy, high-sulfur crude oil. The growth in North American crude oil production and pipeline infrastructure creates significant opportunities for this segment through costadvantaged crude oil. Our Technology segment develops and licenses industry-leading polyolefin process technologies, a portfolio of selected chemical technologies and provides associated engineering and other services. We also develop, manufacture and sell polyolefin catalysts and provide associated technical support services. We market our process technologies and our polyolefin catalysts to external customers and also use them in our own manufacturing operations. Key Advantages Key Advantages Key Advantages Leading proprietary technologies Diversity and linkage of our integrated product portfolio Access to low cost natural gas Capability to process diverse crude mix Strategic location on the Gulf Coast Industry leading polyolefin process technologies Key Products Key Products Key Products Propylene Oxide Styrene Monomer Propylene Glycols and Ethers Methanol and Acetyls TBA Intermediates Ethylene Oxide Ethylene Glycols and Ethers Oxygenated Fuels Gasoline Ultra Low-Sulfur Diesel Jet Fuel Lube Oils Process Licensing Catalyst Sales Technology Services End Uses End Uses End Uses Consumer Insulation Products Home Furnishings Coatings Adhesives Fuel Additives Automotive Automotive Fuels Aviation Fuels Heating Oil Industrial Engine Lube Oils 5 Polyolefin and Chemical Manufacturers Global Presence North America USA Illinois Iowa Louisiana Michigan New Jersey Ohio Tennessee Texas Houston Mexico South America Argentina Brazil Middle East Saudi Arabia Europe France Germany Italy Netherlands Rotterdam Poland Spain United Kingdom London Asia-Pacific Australia China Hong Kong Japan S. Korea Malaysia Thailand Administrative Offices/Headquarters Manufacturing Technology Centers Joint Ventures Owned and operated by LyondellBasell subsidiaries and/or joint ventures. 2014 Employees by Region 2012-2014 Sales by Region USD millions $50,000 $40,000 North America: 6,000 $30,000 Europe: 6,000 $20,000 Rest of World: 1,100 $10,000 $0 2012 North America 6 2013 Europe 2014 Rest of World Joint Ventures Increase Our Footprint Chemical Monomers Polymers Chemical Intermediates North America USA La Porte Methanol Bayer PO/SM Mexico Indelpro Middle East Saudi Arabia SPC SEPC Al Waha Europe Poland BOP Netherlands Bayer PO/SM Asia-Pacific Japan SunAllomer Thailand HMC Polymers South Korea PolyMirae Malaysia PolyPacific China Ningbo ZRCC Australia PolyPacific Note: Each dot represents the presence of a business at a site, irrespective of the number of plants/lines the business has at that site. 2012-2014 Joint Venture Equity Income* By Segment By Region USD millions USD millions $250 $250 $200 $200 $150 $150 $100 $100 $50 $50 $0 $0 -$50 -$50 2012 O&P Americas 2013 O&P EAI 2014 2012 Americas I&D * Does not include income from our U.S. and European Propylene Oxide JV’s. 7 2013 Asia Pacific Europe 2014 Middle East Optimizing Our Businesses SEGMENT LYB POSITION • NGL advantage O&P – Americas • Increasing capacity • Commodities – naphtha based, with cyclical upside O&P – EAI • Advantaged feedstock • Differentiated polymers • Proprietary technologies Intermediates & Derivatives (I&D) • Natural gas advantage • Large, heavy crude oil refinery Refining • Processing Canadian crude • Strong technology position Technology • Maintain leadership 8 Pre-Tax Earnings Leverage Estimated Pre-Tax Earnings Impact from Change in Margin, USD millions/year* Wholly Owned Chemicals Polymers Fuels $100 $150 $150 $80 $120 $120 $60 $90 Proportional JV Contribution $90 EAI $40 $60 $60 EAI $20 $30 $0 $0 $30 AM AM U.S. Ethylene EU Ethylene Propylene Oxide Chemicals impact 1¢/lb. change $0 Polyethylene Polypropylene PP Compounds Polymers impact 1¢/lb. change *Estimates are calculated using 2014 year-end production capacity, exclusive of specific contract impacts. 9 Refining Oxyfuels Refining impact of $1/bbl change and oxyfuels impact of 10¢/gal. LyondellBasell Products Serve Diverse End Uses LyondellBasell products are the basic elements used to manufacture countless goods and products that people use every day. From fresh food packaging, clean fuels and durable textiles to medical applications, construction materials and automotive parts, the uses for LyondellBasell materials are almost unlimited. Building Blocks Products & Derivatives End Uses Polyethylene Food and beverage packaging, cups, bottles, wire and cable compounds and pipes Vinyle Acetate Monomer Ethylene Hand sanitizer, hair spray, cleaning solutions, pharmaceuticals, adhesives, paint and coatings Ethanol Ethylene Oxide Antifreeze, polyester, solvents, cleaners, inks, coatings, surfactants, industrial cleaners, cosmetics, emulsifiers and paint Ethylene Glycol/Ethers Urethane foams for automotive seating, home furnishings, coatings, adhesives, sealants and elastomers Propylene Oxide Propylene Propylene Glycol/Ethers Polyester resins - bath fixtures, boat hulls, antifreeze, deicers, cosmetics and cleaners Butanediol & Derivatives Engineering resins for automotive, films, personal care products, coatings, pharmaceuticals, solvents and clothing Fibers for carpets, rugs and upholstery, housewares, automotive components, bottle caps and packaging films Polypropylene Polypropylene Compounds Automotive interior and exterior panels and trims Butadiene Tires, rubber products Polystyrene packaging, foam cups and appliances insulation Benzene Styrene Monomer Methanol Acetic Acid Adhesives, paint and coatings, fuel additives, textiles and fibers, solvents, construction plywoods Isobutylene Lube oil additives, coatings, butyl rubber, resins MTBE/ETBE Octane enhancer for gasoline Tertiary Butyl Alcohol Olefins & Polyolefins Intermediates & Derivatives 10 Revenue by End Use* Durable/Non-Durable Revenue* Packaging Transportation Electronics Consumer Coatings Fuels Building & Construction Durable Textiles & Furnishings * Estimates are based on LYB 2014 third party sales and third party industry volume estimates of product end uses. Revenues of the Technology segment and inter-segment eliminations are excluded. 11 Non-durable Portfolio Stability Portfolio % at 2014 EBITDA Examples Description 100% • Ethylene (naphtha) 90% Cyclical 80% • PE – Blow Molding • PP – Homopolymer Less than 30% of our EBITDA is purely cyclical commodities • Refining 70% 60% • Ethylene (ethane) U.S. Shale Advantage 50% • Oxyfuels • Methanol 40% 30% • Propylene Oxide • Differentiated PE/PP 20% Differentiated / Stable 10% • Catalloy & PB-1 • PP Compounds • Technology Segment 0% Nearly 40% of our EBITDA benefits from shale oil/gas advantaged positions, primarily in North America, where we benefit from the widened oil to gas ratio More than 30% of LyondellBasell’s EBITDA is derived from stable businesses that benefit from proprietary technology, steady margin due to end uses, favorable market structure, long-term contracts, or a combination thereof • Differentiated businesses provide a solid foundation • Cyclical products represent a minority of 2014 earnings Source: Internal LYB Estimates 12 Vertically Integrated Portfolio Structure Wellhead Crude Natural Gas Refining Natural Gas Liquids (NGLs) Refining Naphtha Petrochemical Building Blocks Polyethylene Polypropylene Polypropylene Compounds O&P–Americas Polybutene-1 Catalloy Methanol Olefins Propylene Oxide Glycols, Glycol Ethers Butanediol O&P–Europe, Asia & International Ethylene Oxide Oxyfuels Acetyls Glycols, Glycol Ethers Intermediates & Derivatives 13 Styrene Technology Second Level Derivatives Olefins Crackers Aromatics Refining Technology Capturing value along the chain Olefins Derivatives Fuels Major Product Yield Factors 1.29 lbs. Ethane 1 lb. 2.38 lbs. Propane 0.62 lb. 1 lb. Ethylene Glycol 2.50 lbs. Normal Butane 1 lb. Ethylene 0.35 lb. 1 lb. Ethylene Glycol Ethers 3.25 lbs. Light Naphtha 0.84 lb. 1 lb. Ethylene Oxide 4.35 lbs. Atmospheric Gas Oil 0.36 lb. 1 lb. Vinyl Acetate Monomer .02 MMBtu Natural Gas 1 lb. Methanol 0.54 lb. 1 lbs. Acetic Acid 0.71 lb. 5.9 lbs. Propane 0.78 lb. 0.78 lb. 1 lb. Propylene Glycol 1 lb. Propylene Oxide 0.87 lb. 1 lb. Butanediol 0.67 lb. 1 lb. Propylene Glycol Ethers 1 lb. Polyethylene 5.8 lbs. Normal Butane 1 lb. Propylene 6.17 lbs. Light Naphtha 6.76 lbs. Atmospheric Gas Oil 0.96 gal. n-Butane + 0.34 gal. Methanol 1 gal. MTBE 0.29 lb. Ethylene + 0.11 gal. Benzene 1 lb. Styrene Monomer 1 lb. 1 lb. Polypropylene Olefins & Polyolefins Intermediates & Derivatives Source: IHS Note: 2,205 lbs. = 1 metric ton 14 Olefins and Polyolefins Segments Key Advantages Products used in a broad range of applications and in products that people use every day with increasing demand in developing markets Operate multiple major integrated olefin and olefin derivative sites, which provide cost efficiencies through economies of scale and optimization U.S. access to shale gas, low cost NGLs, and the ability to process NGLs up to 90 percent of ethylene production Strong global position in polypropylene compound products which are tailor-made to meet the demanding requirements of durable end‑use market applications, primarily servicing the automotive, appliance and industrial markets Feedstock advantaged joint ventures and differentiated premium grade polyolefin products Key Products Olefins – Ethylene – Propylene – Benzene Polyolefins 15 – Propylene-based compounds, materials and alloys (polypropylene compounds) – Catalloy process resins – Polybutene-1 – Butadiene Aromatics Specialty polyolefins – Polypropylene – High-density polyethylene – Low-density polyethylene – Linear low-density polyethylene Olefins and Polyolefins Overview LyondellBasell is a leading worldwide producer of ethylene, propylene and polyethylene and the world’s largest producer of polypropylene and polypropylene compounds. Our polymers are used in extrusion, blow molding and injection molding processes for a wide variety of end markets including food and beverage packaging, construction, wire and cable, and automotive markets. We manage our olefin and polyolefin businesses in two reportable segments: O&P–Americas and O&P–Europe, Asia & International. O&P–Americas: Our O&P–Americas segment produces and markets ethylene, propylene, polyethylene, polypropylene and various coproducts. We are a leading producer of light olefins (ethylene and propylene), a leading polypropylene producer and the third-largest producer of polyethylene in North America. In addition, we produce significant quantities of high-value specialty products such as Catalloy process resins. O&P–EAI: Our O&P–EAI segment produces and markets ethylene, propylene, polyethylene, polypropylene and various co-products. We are the largest producer of polypropylene and polyethylene in Europe. We are also the largest worldwide producer of PP compounds, a high-value specialty product. We also produce significant quantities of other high-value specialty products such as Catalloy process resins and Polybutene-1. O&P - Combined Product End Uses* Packaging O&P - Combined Product Durability Breakdown* Coatings Consumer Building & Construction Durable Non-durable Textiles & Furnishings Fuels Transportation *Estimates are based on O&P 2014 third party sales, and third party industry estimates of product end uses. Financial Highlights (USD millions) O&P-Americas 2012 2013 2014 Revenues $12,934 $13,089 $13,948 EBITDA $2,968 $3,573 $3,911 EBITDA, excluding LCM $2,968 $3,573 $4,190 23% 27% 30% O&P-EAI 2012 2013 2014 Revenues $14,521 $14,685 $15,203 EBITDA $548 $839 $1,366 EBITDA, excluding LCM $548 $839 $1,410 4% 6% 9% EBITDA excluding LCM/revenues EBITDA excluding LCM/revenues *LCM stands for lower of cost or market. An explanation of LCM can be found under the “Information Related to Financial Measures,” section in the front of this Data Book. 16 Olefins Process Olefins Process Ethylene is our largest olefins product and propylene is the second largest by volume produced by the Company Basic process steps – Thermal cracking – Quench and compression – Separation Crackers classified by feedstock (raw materials) type – gas and/or liquid Types of Ethylene Plants NGL gas crackers – Ethane, propane, butane feeds – Lower initial construction cost – Fewer by-products Liquid crackers – Heavy feedstock: Naphtha (gasoline) up to oil gas – Can usually crack some NGL feeds – Higher construction cost (~2x ethane feed plant) – Broader, more flexible product slate Channelview – Texas, U.S.A. 17 Ethylene Plant Material Balance (lb. Product/1000 lb. Ethylene) 6,000 Liquid crackers 5,000 4,000 NGL gas crackers 3,000 2,000 1,000 0 Ethane Ethylene Propane Propylene Butadiene Lt. Naphtha Other C4s Gas Oil Gasoline Cash Cost of Ethylene (COE) Production Fuel Gases In olefins technology, liquid crackers process oil-based feedstocks and produce considerably more co-products such as propylene, butadiene and heavier products than ethane crackers. Fuel Oil Source: IHS Example of Calculating Cash COE (¢/lb. Ethylene by Feedstock) Cash COE ($/lb.) = Feedstock Costs + Variable & Fixed Costs - Coproduct Value Ethylene Production The cash COE production is the total manufacturing cost to produce ethylene, taking into consideration the co-product credit values and the capacity utilization. Ethane Naphtha Feedstock Cost 12 117 + Variable Cost 5 7 Fixed Cost 4 5 -Co-product Credits (8) (88) Net Ethylene Cost 13 41 NOTE: Ethane price~27cpg Naphtha price~199 cpg 18 Source: IHS and LyondellBasell; 2014 cents per gallon economics provided by IHS. Global Olefins and Polyolefins Capacity Position1 Global Ethylene Producers Global Propylene Producers Global Butadiene Producers Global Capacity ~ 344 billion lbs./yr. Global Capacity ~ 236 billion lbs./yr Global Capacity ~ 32 billion lbs./yr LyondellBasell ExxonMobil CNPC SABIC SINOPEC TPC Group Dow Royal Dutch Shell Other LYB: #3 Global Polyolefins (Polyethylene and Polypropylene) Capacity (million lbs.) SINOPEC HDPE ExxonMobil LDPE LLDPE LyondellBasell PP SABIC Dow 5,000 10,000 15,000 20,000 25,000 30,000 2000 2500 3000 LYB: #1 PP Compounding Capacity (million lbs.)2 LyondellBasell Mitsui (ACP) KingFa Mitsubishi (JPP) Washington Penn 500 1000 1500 (1) Source: IHS 2014 industry capacity data. LyondellBasell capacity includes LyondellBasell’s share of joint ventures capacity. (2) Source: AMI Consulting. 19 Olefins Production Process and Derivatives Chain Merchant Propylene Merchant Ethylene Styrene Acetic Acid Vinyl Acetate High-Density Polyethylene Low-Density Polyethylene Linear Low-Density Polyethylene Acetyls High-Density Polyethylene Unit Low-Density Polyethylene Unit Linear Low-Density Polyethylene Unit EO/EG Unit Ethylene Propylene Styrene Monomer Ethylene Oxide Ethylene Glycol Catalloy PP Compounds Polypropylene Propylene Oxide Polypropylene Unit Propylene Oxide Unit Olefins Process Heavy Fuels Compression C5 Recovery Isoprene Piperylene Dicyclopentadiene NGLs and Petroleum Liquid Feedstocks Cracking Furnaces Gasoline Fractionation Fractionation Benzene/ Toluene Recovery Benzene Toluene Gasoline Styrene Monomer Butylene Isomerization Olefins and Polyolefins 20 Butadiene Butylenes MTBE Unit Methanol Intermediates and Derivatives Butadiene Recovery MTBE Alkylation Unit Alkylate Olefins and Polyolefins–Americas Product Capacities 2014 Annual Capacities, as of year end* OLEFINS Ethylene 10.7 billion lbs. 4.8 million MT Propylene 5.5 billion lbs. 2.5 million MT Butadiene 1.1 billion lbs. 0.5 million MT AROMATICS Benzene 195 million gals. Toluene 40 million gals. POLYOLEFINS Polypropylene 4.4 billion lbs. 2.0 million MT High-Density Polyethylene 3.6 billion lbs. 1.6 million MT Low-Density Polyethylene 1.3 billion lbs. 0.6 million MT Linear Low-Density Polyethylene 1.3 billion lbs. 0.6 million MT 600 million lbs. 272 thousand MT SPECIALTY POLYOLEFINS Catalloy process resins 2,205 lbs. = 1 metric ton * Represents the total annual nameplate capacity, which includes approximately 670 million lbs. of polypropylene owned by third parties through a joint venture arrangement. Joint Ventures Name Location J. V. Partner Ownership Product Indelpro Mexico Alfa 49% Polypropylene 2,205 lbs. = 1 metric ton ** Represents the joint venture’s total capacity and not our proportional share. Corpus Christi – Texas, U.S.A. 21 2014 Capacity** 1.3 billion lbs. 0.6 million MT Olefins and Polyolefins–Americas 2014 NORTH AMERICAN INDUSTRY AVERAGE ANNUAL CAPACITY PRODUCT LYB CAPACITY RANK Ethylene 75.9 billion lbs. 2 Propylene 73.4 billion lbs. 3 Butadiene 5.5 billion lbs. 2 Polyethylene 44.8 billion lbs. 3 Polypropylene 18.9 billion lbs. 1 Source: IHS and LYB. Capacity ranking for LYB uses LYB reported capacity and 2014 average annual capacity as published by IHS. La Porte – Texas, U.S.A. 22 Olefins and Polyolefins–Europe, Asia & International Product Capacities 2014 Annual Capacities, as of year end* OLEFINS Ethylene 6.5 billion lbs. 2.9 million MT Propylene 6.0 billion lbs. 2.7 million MT Butadiene 0.7 billion lbs. 0.3 thousand MT POLYOLEFINS Polypropylene 12.6 billion lbs. 5.7 million MT High-Density Polyethylene 4.2 billion lbs. 1.9 million MT Low-Density Polyethylene 2.8 billion lbs. 1.3 million MT 2.6 billion lbs. 1.2 million MT SPECIALTY POLYOLEFINS Polypropylene Compounds Global Catalloy Process Resins 600 million lbs. 272 thousand MT PB-1 Resins 110 million lbs. 50 thousand MT 2,205 lbs. = 1 metric ton * Represents total annual nameplate capacity, which includes approximately 1,650 million lbs. of ethylene; approximately 2,500 million lbs. of propylene; approximately 1,010 million lbs. of high-density polyethylene; approximately 780 million lbs. of low-density polyethylene; approximately 4,960 million lbs. of polypropylene; and approximately 200 million lbs. of PP compounds of nameplate capacity owned by third parties either through joint venture arrangements or other contractual relationships. In some situations, the Company and the third party have access to the other’s capacity through certain arrangements. Joint Ventures Name Location J.V. Partners LyondellBasell Ownership Product 2014 Capacity(1) billion lbs. SPC SEPC Al-Waha HMC Polymers Basell Orlen Polyolefins Al-Jubail Industrial City, Saudi Arabia Al-Jubail Industrial City, Saudi Arabia Tasnee Tasnee, Sahara Petrochemical Company 25% 25% Al-Jubail Industrial City, Saudi Arabia Sahara Petrochemical Company and others 21% Thailand PTT 29% Poland Orlen 50% million MT Polypropylene 1.6 Propylene 1.0 0.7 0.5 PP Compounding 0.1 0.04 Ethylene 2.2 1.0 Propylene 0.6 0.3 HDPE 0.9 0.4 LDPE 0.9 0.4 Polypropylene 1.0 0.5 Propylene 1.0 0.5 Polypropylene 1.7 0.8 Propylene 0.7 0.3 Polypropylene 0.9 0.4 HDPE 0.7 0.3 LDPE 0.2 0.1 0.1 PolyPacific Australia, Malaysia Mirlex Pty. Ltd. 50% PP Compounding 0.2 SunAllomer Japan Showa Denko, Nippon Oil 50% Polypropylene 0.9 0.4 PP Compounding 0.1 0.05 Daelim, SunAllomer 43% Polypropylene 1.5 0.7 PolyMirae South Korea 2,205 lbs. = 1 metric ton 23 Olefins and Polyolefins–Europe, Asia & International WESTERN EUROPE 2014 INDUSTRY AVERAGE ANNUAL CAPACITY PRODUCT LYB CAPACITY RANK billions lbs. Ethylene 50.7 5 Propylene 46.5 7 Butadiene 5.5 2 Polyethylene 31.3 3 Polypropylene 21.0 1 Source: IHS and LYB. Capacity ranking for LYB uses LYB reported capacity and 2014 average annual capacity as published by IHS. Wessling – Germany 24 Intermediates and Derivatives Segment Key Advantages Technological leader in the manufacture of propylene oxide, using our proprietary propylene oxide/styrene monomer and propylene oxide/tertiary butyl alcohol processes Second-largest global producer of propylene oxide and one of the largest producers of styrene monomer, acetic acid and vinyl acetate monomer worldwide Ranked number one in global capacity, our oxygenated fuel products are produced from chemical assets that benefit from low cost natural gas and NGLs and their linkage to global gasoline market trends Vertically integrated facilities benefiting from optimization opportunities along the entire value chain Products such as methanol, acetyls, ethylene oxide and derivatives benefit from low cost natural gas and NGLs Historically, a segment with steady earnings 25 Intermediates and Derivatives Overview LyondellBasell’s I&D business benefits from leading proprietary technologies for propylene oxide and acetyls production. These provide us with a cost-advantaged position for these products and their derivatives as well as growth opportunities across the globe. We are an industry leader in oxyfuels (MTBE/ETBE), produced from co-products of our propylene oxide process. End uses for I&D products range from personal care products and medical applications to construction materials and automotive components. Key Products I&D - Product End Uses* Propylene Oxide Acetyls Propylene Oxide Co-products – Methanol – Acetic Acid – Vinyl Acetate Monomer – Styrene Monomer – TBA Derivative Isobutylene Packaging Consumer Building & Construction Ethylene Derivatives Propylene Oxide derivatives – Propylene Glycol – Ethylene Oxide – Propylene Glycol Ethers – Ethylene Glycol – Butanediol – EO Derivatives Transportation Coatings Textiles & Furnishings Electronics Oxyfuels Fuels *Estimates are based on I&D 2014 third party sales, and third party industry estimates of products end uses. Financial Highlights (USD millions) I&D - Products Durability Breakdown* 2012 2013 2014 Revenues $9,658 $9,472 $10,130 EBITDA $1,621 $1,492 $1,459 EBITDA, excluding LCM $1,621 $1,492 $1,552 17% 16% 15% Durable Non-durable EBITDA excluding LCM /revenues *LCM stands for lower of cost or market. An explanation of LCM can be found under the “Information Related to Financial Measures” section in the front of this Data Book. 26 Intermediates and Derivatives Production Process Propylene Oxide Process Oxygen Ethylene EB Unit Benzene Ethyl Benzene Styrene Oxidation Normal Butane Isomerization Propylene Epoxidation Isobutane Tertiary Butyl Alcohol Propylene Oxide Dehydration Isobutylene MTBE/ETBE Process Isobutylene PO/SM Process o x yfuels process PO/TBA Process Propylene Glycol Production Water Propylene Oxide Propylene Glycol Dipropylene Glycol Tripropylene Glycol Hydration Propylene Glycol Ethers Production Methanol/Ethanol/Propanol Propylene Oxide Propoxylation 27 Propylene Glycol Monomethyl Ether Dipropylene Glycol Monomethyl Ether Tripropylene Glycol Monomethyl Ether Methyl Tertiary Butyl Ether or Ethyl Tertiary Butyl Ether MTBE/ETBE Ethylene Oxide/Ethylene Glycol Oxygen Ethylene Water Ethylene Oxide Ethylene Glycol Ethylene Glycol Diethylene Glycol Triethylene Glycol Ethylene Oxide Derivatives Glycol Ether EB Glycol Ether DB Glycol Ether DM Glycol Ether DE Methanol/Ethanol/Propanol Butanediol & Derivatives Propylene Oxide Syngas Allyl Alcohol BDO THF THF PTMEG GBL GBL NMP MPDiol Allyl Alcohol MPDiol BDO Acetyls Natural Gas & Oxygen Methanol Ethylene Synthesis Gas Methanol Acetic Acid Carbon Monoxide 28 VAM Vinyl Acetate Intermediates and Derivatives Product Capacities 2014 Annual Capacity, as of year end(1) PROPYLENE OXIDE* Propylene Oxide 5.1 billion lbs. 2.3 million MT Styrene Monomer 5.9 billion lbs. 2.7 million MT Tertiary Butyl Alcohol 5.8 billion lbs. 2.6 million MT Oxyfuels 75 million BPD Propylene Glycol 1.0 billion lbs. 0.4 million MT Propylene Glycol Ethers 540 million lbs. 0.2 million MT Butanediol 465 million lbs. 0.2 million MT Methanol 440 million gals. 1.3 million MT Acetic Acid 1.2 billion lbs. 0.6 million MT Vinyl Acetate Monomer 700 million lbs. 0.3 million MT Ethylene Oxide 850 million lbs. 0.4 million MT Ethylene Glycol 650 million lbs. 0.3 million MT Other Ethylene Oxide Derivatives – Ethers, Amines 220 million lbs. 0.1 million MT Ethanol PO CO-PRODUCTS PO DERIVATIVES ACETYLS ETHYLENE DERIVATIVES 50 million gals. 2,205 lbs. = 1 metric ton Joint Ventures LyondellBasell Ownership Name Location J.V. Partners U.S. PO Joint Venture Channelview, TX Bayport, TX Bayer (3) European PO Joint Venture Rotterdam, The Netherlands Bayer (4) PO/SM II LP Channelview, TX IPIC Ningbo ZRCC LCC Ltd. Ningbo, China ZRCC La Porte Methanol La Porte, TX Linde (3) 27% 85% Product Propylene Oxide 2014 Capacity(2) 1.5 billion lbs. 0.7 million MT Propylene Oxide 0.7 billion lbs. 0.3 million MT Styrene Monomer 1.5 billion lbs. 0.7 million MT Styrene Monomer 0.6 billion lbs. 0.3 million MT Propylene Oxide 0.6 billion lbs. 0.3 million MT Styrene Monomer 1.3 billion lbs. 0.6 million MT Methanol 0.2 billion gals. (1) The annual capacities include approximately 2,300 million lbs. of propylene oxide; approximately 2,750 million lbs. of styrene monomer; approximately 110 million lbs. of propylene glycol ethers; and approximately 30 million gals. of methanol production owned by third parties through joint venture or other contractual relationships. Ethylene oxide capacity presented is ethylene oxide equivalent. Oxyfuels are produced from the propylene oxide/tertiary butyl alcohol process and the oxyfuels capacity is not additive to the tertiary butyl alcohol capacity. (2) Unless otherwise noted, represents the joint venture’s total capacity and not our proportional capacity. (3) The parties’ rights in the joint venture are based on off take volumes as opposed to ownership percentages. Bayer’s interest represents ownership of an in-kind portion of the propylene oxide production of 1.5 billion lbs. per year. LYB takes, in-kind, the remaining propylene oxide production and all co-product (styrene monomer and tertiary butyl alcohol) production. (4) The parties’ rights in the joint venture are based on off take volumes as opposed to ownership percentages. Bayer has the right to 50 percent of the propylene oxide and styrene monomer production of our European PO joint venture. 29 Intermediates and Derivatives Global Industry Capacity Global Propylene Oxide Global Capacity ~ 22 billion lbs./yr. Dow LyondellBasell Royal Dutch Shell Sumitomo Chem. Sunkyong Ind. BASF SE Other Global Oxyfuels Global Capacity ~ 784 thousand bbl/day LyondellBasell SABIC SINOPEC CNPC Royal Dutch Shell Other Source: IHS, based on 2014 average annual capacity. Bayport – Texas, U.S.A. 30 Refining Segment Key Advantages Operational flexibility to process a wide array of feedstock grades, including heavy and light high-sulfur crude oil Among North America’s largest full conversion refineries Strategically located on the U.S. Gulf Coast with access to interstate pipelines and the Port of Houston, providing access to multiple product markets and lower‑cost feedstocks 31 Refining Overview LyondellBasell’s Refining segment processes a wide range of cost-advantaged crude oils, including heavy high-sulfur crudes, at one of North America’s largest full-conversion refineries. Key products include reformulated gasoline, jet fuel, ultra-low sulfur diesel and heating oil. Strategically located on the U.S. Gulf Coast near interstate pipelines and the Port of Houston, the refinery benefits from access to multiple product markets. LyondellBasell has recently broadened the feedstock flexibility of the refinery to process crudes with increased gravity ranges including lighter U.S. crude oil and heavy crude oil from Canada. Key Products Financial Highlights (USD millions) Gasoline Ultra Low-Sulfur Diesel 2012 2013 2014 $13,291 $11,698 $11,710 EBITDA $481 $182 $65 EBITDA, excluding LCM $481 $182 $409 4% 2% 3% Revenues Jet Fuel Lube Oils EBITDA excluding LCM/revenues *LCM stands for lower of cost or market. An explanation of LCM can be found under the “Information Related to Financial Measures,” section in the front of this Data Book. Houston Refinery – Texas, U.S.A. 32 Simplified Refining Process Flow Naphtha Kerosene Heavy Crude Crude Distilling Column Diesel Naphtha Heavy Vacuum Gas Oil Gasoline Blending Jet Fuel Vacuum Resid Multiple HDS* Units Ultra Low-Sulfur Diesel Distillate Gasoline blending Distillate Light Cycle Gas Oil Dry Gas Fluid Catalytic Cracking Unit Coker Naphtha Propane/Propylene Cokers Light Coker Gas Oil Butane/Butene Heavy Coker Gas Oil Gas Oil Coke Houston Refinery Only Bitumen, Fuel Oil, Bunkers * HDS = Hydrodesulfurization Typical crude yields are based on crude and refinery type. Typical Products 1 Crude Oil Refinery Type Gasoline Diesel/Jet Other Light Simple Conversion 45% 30% 25% Heavy Simple Conversion 30% 15% 55% Heavy Full-Deep Conversion 45% 35% 20% (1) Volume basis. 33 Refining Product Capacities 2014 Annual Capacities, as of year end HOUSTON REFINERY bbl/day Primary Uses Crude Distillation 268,000 N/A Gasoline and Components 120,000 Automotive Fuel Ultra Low-Sulfur Diesel 95,000 Diesel Fuel for Cars and Trucks Jet Fuel 25,000 Aviation Fuel Lube Oils 4,000 Industrial Lube Oils Aromatics 7,000 Intermediate Chemicals Houston Refinery – Houston, Texas 34 Technology Segment Key Advantages High-margin specialty business Leading producer of polyproylene catalysts Only licensor offering process technologies for the worldscale production of all propylene and polyethylene product families, as well as a diversified portfolio of chemical technologies. Approximately 300 licensed lines of various technologies 35 Technology Overview Our Technology segment develops and licenses industry-leading polyolefin process technologies and a portfolio of selected chemical technologies. It also provides associated engineering and other technical support services. The segment develops, manufactures and sells polyolefin catalysts. We market our process technologies and our polyolefin catalysts to external customers and also use them in our manufacturing operations. Key Products Financial Highlights (USD millions) Polypropylene Process Selected Chemical Technologies – Spheripol – Spherizone – Metocene Polyethylene Process Technologies – Lupotech – Spherilene – Hostalen Technologies – Trans4m Olefins Conversion – Glacido Acetic Acid Technology – Vacido Vinyl Acetate Monomer Technology – Aromatics Extraction Polyolefin Catalysts – Avant 36 2012 2013 2014 Revenues $498 $532 $497 EBITDA $197 $232 $232 EBITDA/revenues 40% 44% 47% Comprehensive Portfolio of Licensed Technologies Polyolefins Technologies Chemicals Technologies Olefins Conversion Spherizone PP Process Polypropylene Superflex, Prodflex*, Trans4m for Ethylene, Propylene, Butenes Olefins Recovery Spheripol PP Process Trans4m for Isoprene, DCPD, Piperylenes, Isobutene, Butadiene Aromatics Extraction Metocene PP Technology Upgrade From Coke Oven / Pygas Benzene, Toluene, Xylenes Cracker Lupotech LDPE/EVA Process Polyethylene Acetyls Spherilene LL/HDPE Process Glacido Acetic Acid Process, Vacido Vinyl Acetate Monomer (VAM) Process Oxiranes & Derivatives Hostalen Multimodal HDPE Process Propylene Oxide*, Butanediol THF, NMP, GBL * For LyondellBasell ventures only 37 38 Appendix We make chemicals the world counts on 39 Glossary of Acronyms Acronym Definition Acronym Definition Bbl Barrels LCM Lower of cost or market BDO Butanediol LDPE Low-density polyethylene BPD Barrels per day Lb. Pound of product BTU British thermal unit LLDPE Linear low-density polyethylene COE Cost of ethylene Lt. Light DCPD Dicyclopentadiene MT Metric ton EAI Europe, Asia & International MTBE Methyl tertiary butyl ether EB Ethyl benzene NGL Natural gas liquid EBITDA E arnings before interest, taxes, depreciation and amortization NMP N-methyl pyrrolidone O&P Olefins & Polyolefins PB-1 Polybutene-1 PE Polyethylene PG Propylene glycol PGE Propylene glycol ethers PO Propylene oxide PO/SM Propylene oxide/ Styrene monomer EG Ethylene glycol EO Ethlene oxide EOD Ethylene oxide derivatives EPS Earnings per share ETBE Ethyl tertiary butyl ether EU Europe EVA Ethylene vinyl acetate GAAP Generaly accepted accounting principles PO/TBA Propylene oxide/Teritary butyl alcohol Gal. Gallon PP Polypropylene GBL Gamma-butyrolactone SM Styrene monomer HDPE High-density polyethylene TBA Tertiary butyl alcohol HDS Hydrosulfurization THF Tetrahydrofurane I&D Intermediates & Derivatives USD U.S. dollars JV Joint venture VAM Vinyl acetate monomer 40 Key Benchmark Prices and Margins for 2012-2014 For the Years Ended December 31 Olefins and Polyolefins – Americas 2012 2013 2014 94.15 98.06 92.91 111.70 107.31 96.92 Natural gas (USD per million BTUs) 2.90 3.78 4.51 U.S. weighted average cost of ethylene production (cents/lb.) 21.2 16.2 15.4 U.S. ethylene (cents/lb.) 48.3 46.7 48.0 U.S. polyethylene [high density] (cents/lb.) 62.3 70.5 77.0 U.S. propylene (cents/lb.) 60.4 68.7 70.9 U.S. polypropylene [homopolymer] (cents/lb.) 72.5 82.2 86.3 Western Europe weighted average cost of ethylene production (€0.01 per lb.) 38.9 34.7 29.2 Western Europe ethylene (€0.01 per lb.) 56.2 55.8 52.6 Western Europe polyethylene [high density] (€0.01 per lb.) 59.4 58.2 54.5 Western Europe propylene (€0.01 per lb.) 50.7 49.5 50.5 Western Europe polypropylene [homopolymer] (€0.01 per lb.) 58.3 57.9 59.9 118.2 79.1 94.0 Light crude oil - 2-1-1 12.86 12.89 13.32 Light crude oil - Maya differential 12.05 10.05 11.11 Benchmark Market Prices West Texas Intermediate crude oil (USD per bbl) Light Louisiana Sweet (LLS) crude oil (USD per bbl) Olefins and Polyolefins – EAI Benchmark Market Prices Intermediates and Derivatives Benchmark Market Margins MTBE - Northwest Europe (cents per gal.) Refining Benchmark Market Margins (USD per bbl) Source: IHS, Bloomberg, LyondellBasell Industries Note - Benchmark market prices for U.S. and Western Europe polyethylene and polypropylene reflect discounted prices. All benchmark market prices represent the average of the full years values. 41 Income Statements for 2012-2014 For the Years Ended December 31 Millions of U.S. dollars, except earnings per share 2012 2013 2014 $44,315 $43,052 $44,714 1.037 1,010 894 45,352 44,062 45,608 39,595 37,940 38,939 Selling, general and administrative expenses 909 870 806 Research and development expenses 172 150 127 40,676 38,960 39,872 Operating Income 4,676 5,102 5,736 Interest expense (655) (309) (352) 15 15 33 6 (15) 38 4,042 4,793 5,455 143 203 257 4,185 4,996 5,712 Provision for income taxes 1,327 1,136 1,540 Income from continuing operations 2,858 3,860 4,172 (24) (7) (4) 2,834 3,853 4,168 14 4 6 $2,848 $3,857 $4,174 Continuing operations $5.01 $6.81 $8.04 Discontinued operations (0.04) (0.01) (0.01) $4.97 $6.80 $8.03 Continuing operations $4.96 $6.76 $8.00 Discontinued operations (0.04) (0.01) (0.01) $4.92 $6.75 $7.99 Sales and Other Operating Revenues Trade Related parties Operating Costs and Expenses Cost of sales Interest income Other income (expense), net Income from continuing operations before equity investments and income taxes Income from equity investments Income from continuing operations before income taxes Loss from discontinued operations, net of tax Net Income Net loss attributable to non-controlling interests Net income attributable to the Company shareholders Earnings (Loss) Per Share: Net Income (Loss) Attributable to the Company Shareholders Basic: Diluted: 42 Consolidated Balance Sheets for 2012-2014 December 31 Millions of U.S. dollars, except shares and par value data 2012 2013 2014 $2,732 $4,450 $1.031 5 10 2 -- -- 1,593 3,582 3,828 3,226 Assets Current assets Cash and cash equivalents Restricted cash Short-term investments Accounts receivable: Trade, net Related parties Inventories Prepaid expenses and other current assets Total current assets Property, plant and equipment, net 184 202 222 5,075 5,279 4,517 570 830 1,054 12,286 14,599 11,645 7,696 8,457 8,758 397 421 384 1,583 1,629 1,636 383 64 44 591 605 566 Investments and long-term receivables: Investment in PO joint ventures Equity investments Other investments and long-term receivables Goodwill Intangible assets, net 1,038 904 769 Other assets 246 619 481 Total assets $24,220 $27,298 $24,283 Current maturities of long-term debt $1 $1 $4 Short-term debt 95 58 346 2,440 2,822 2,239 Liabilities and Equity Current liabilities: Accounts payable: Trade Related parties Accrued liabilities 845 750 825 1,157 1,299 1,554 558 580 469 5,096 5,510 5,437 Long-term debt 4,304 5,776 6,757 Other liabilities 2,327 1,839 2,122 Deferred income taxes 1,314 1,659 1,623 31 31 31 Deferred income taxes Total current liabilities Commitments and contingencies Stockholders’ equity: Ordinary shares, €0.04 par value, 1,275 million shares authorized, 486,969,402; 548,824,138; and 575,216,709 shares issued, respectively 10,351 10,382 10,387 Retained earnings Additional paid-in capital 1,274 4,004 6,775 Accumulated other comprehensive income loss (411) 96 (1,026) Treasury stock, at cost, 91,463,726; 29,607,877; and 3,206,033 ordinary shares, respectively (106) (2,035) (7,853) 11,139 12,478 8,314 40 36 30 Total Company share of stockholders’ equity Non-controlling interests Total equity Total liabilities and equity 43 11,179 12,514 8,344 $24,220 $27,298 $24,283 Cashflow Statements for 2012-2014 For the Years Ended December 31 Millions of U.S. dollars 2012 2013 2014 $2,834 $3,853 $4,168 983 1,021 1,019 Asset impairments 22 -- -- Amortization of debt-related costs 58 21 20 Inventory valuation adjustment -- -- 760 (143) (203) (257) 147 186 156 715 (46) 177 Cash Flows from Operating Activities Net income Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization Equity investments – Equity income Distribution of earnings, net of tax Deferred income taxes Changes in assets and liabilities that provided (used) cash: Accounts receivable (101) (64) 358 441 (151) (205) (189) 275 (378) Prepaid expenses and other current assets (98) (165) 156 Other, net 118 108 74 4,787 4,835 6,048 (1,060) (1,561) (1,499) Payments for repurchase agreements -- -- (425) Proceeds from repurchase agreements -- -- 75 Purchases of available-for-sale securities -- -- (3,439) Proceeds from sales and maturities of available-for-sale securities -- -- 1,751 Changes in restricted cash 48 (5) 8 Inventories Accounts payable Net cash provided by operating activities Cash Flows from Investing Activities Expenditures for property, plant and equipment Other, net Net cash used in investing activities (1) (36) (2) (1,013) (1,602) (3,531) -- (1,949) (5,788) (2,415) (1,127) (1,403) 3,000 1,472 992 (2,679) -- -- Cash Flows from Financing Activities Repurchases of Company ordinary shares Dividends paid Issuance of long-term debt Repayments of long-term debt Net proceeds from commercial paper Payments of debt issuance costs Other, net Net cash used in financing activities Effect of exchange rate changes on cash -- -- 262 (53) (23) (18) 2 38 48 (2,145) (1,589) (5,907) 38 74 (29) Increase (decrease) in cash and cash equivalents 1,667 1,718 (3,419) Cash and cash equivalents at beginning of period 1,065 2,732 4,450 $2,732 $4,450 $1,031 Interest paid $665 $266 $343 Net income taxes paid $261 $1,213 $1,167 Cash and cash equivalents at end of period Supplemental Cash Flow Information 44 Reconciliation of Net Income to EBITDA For the Years Ended December 31 USD millions 2011 2012 2013 2014 $2,140 $2,834 $3,853 $4,168 332 24 7 4 - - - 483 2,472 2,858 3,860 4,655 - - - (483) Income from Continuing Operations 2,472 2,858 3,860 4,172 Provision for Income Taxes 1,059 1,327 1,136 1,540 931 983 1,021 1,019 1,007 640 294 319 - - - 760 5,469 5,808 6,311 7,810 - - - 760 $5,469 $5,808 $6,311 $7,050 Net Income (Income) Loss from Discontinued Operations LCM Adjustments, After Tax Income from Continuing Operations Excluding LCM Adjustments Less: LCM Adjustments, After Tax Depreciation and Amortization Interest expense, net Add: LCM Adjustments, Before Tax EBITDA Excluding LCM Adjustments Less: LCM Adjustments, Before Tax EBITDA 45 Reconciliation of Free Cash Flow to Net Cash Provided by Operating Activities For the Year Ended December 31 USD millions 2014 Free Cash Flow $4,549 Add: Capital Expenditures 1,499 Net Cash Provided by Operating Activities $6,048 Reconciliation of Ratio of Total Debt to EBITDA and EBITDA Excluding LCM December 31 USD millions 2012 2013 2014 Current Maturities of Long-Term Debt $1 $1 $4 Short-Term Debt 95 58 346 Long-Term Debt 4,304 5,776 6,757 Total Debt 4,400 5,835 7,107 5,808 6,311 7,050 0.8x 0.9x 1.0x - - 760 $5,808 $6,311 $7,810 0.76x 0.92x 0.91x Divided by: EBITDA Ratio of Total Debt to EBITDA LCM Adjustment EBITDA excluding LCM Ratio of Total Debt to EBITDA excluding LCM 46 Reconciliation of EBITDA Excluding LCM Adjustments to EBITDA - 2011 Through 2014 For the Years Ended December 31 USD millions Incremental Change from 2011 2011 2012 2013 2014 $2,137 $2,968 $3,573 $4,190 $2,053 865 548 839 1,410 545 EBITDA Excluding LCM Adjustments: Olefins & Polyolefins - Americas Olefins & Polyolefins - EAI Intermediates & Derivatives 1,410 1,621 1,492 1,552 142 Refining 977 481 182 409 (568) Technology 191 197 232 232 41 Other (111) (7) (7) 17 128 Total 5,469 5,808 6,311 7,810 2,341 Olefins & Polyolefins - Americas - - - 279 279 Olefins & Polyolefins - EAI - - - 44 44 Intermediates & Derivatives - - - 93 93 Refining - - - 344 344 Technology - - - - - Other - - - - - Total - - - 760 760 2,137 2,968 3,573 3,911 1,774 Less: LCM Adjustments: EBITDA: Olefins & Polyolefins - Americas Olefins & Polyolefins - EAI 865 548 839 1,366 501 1,410 1,621 1,492 1,459 49 Refining 977 481 182 65 (912) Technology 191 197 232 232 41 Intermediates & Derivatives Other (111) (7) (7) 17 128 Total $5,469 $5,808 $6,311 $7,050 $1,581 47 Reconciliation of Diluted EPS from Continuing Operations Excluding LCM Adjustments to Diluted EPS from Continuing Operations For the Years Ended December 31 USD 2012 2013 2014 Diluted Earnings Per Share from Continuing Operations Excluding LCM Adjustments $4.96 $6.76 $8.92 - - 0.92 $4.96 $6.76 $8.00 Less: LCM Adjustments Diluted Earnings Per Share from Continuing Operations Components of Cash and Liquid Investments December 31 USD millions 2012 2013 2014 $2,732 $4,450 $1,031 Short-Term Investments - - 1,593 Repurchase Agreements - - 350 $2,732 $4,450 $2,974 Cash and Cash Equivalents Cash and Liquid Investments 48 Reconciliation of Segment EBITDA excluding LCM as a Percent of Revenues For the Years Ended December 31 USD millions 2012 2013 2014 $2,968 $3,573 $4,190 548 839 1,410 EBITDA Excluding LCM Adjustments: Olefins & Polyolefins - Americas Olefins & Polyolefins - EAI Intermediates & Derivatives 1,621 1,492 1,552 Refining 481 182 409 Technology 197 232 232 Other (7) (7) 17 Total 5,808 6,311 7,810 Olefins & Polyolefins - Americas 12,934 13,089 13,948 Olefins & Polyolefins - EAI 14,521 14,685 15,203 9,658 9,472 10,130 13,291 11,698 11,710 498 532 497 Other (5,550) (5,414) (5,880) Total 45,352 44,062 45,608 23% 27% 30% 4% 6% 9% 17% 16% 15% 4% 2% 3% Technology 40% 44% 47% Total 13% 14% 17% Divided by Segment Revenues: Intermediates & Derivatives Refining Technology Segment EBITDA as a Percent of Revenues: Olefins & Polyolefins - Americas Olefins & Polyolefins - EAI Intermediates & Derivatives Refining 49 A Heritage of Achievement Our assets and technologies have a long history within the global chemical industry. 2015 • Five-year anniversary of public listing 2013 • Initiated share repurchases • Initiated NGL-based Ethylene expansion program • Upgraded to investment-grade rating 2012 • LyondellBasell added to S&P 500 2010 • LyondellBasell N.V. becomes a public company • Listed on the NYSE as a publicly traded company (ticker symbol: LYB) Channelview – Texas, U.S.A. 50 LyondellBasell Shareholder Information Stock Exchange LyondellBasell’s common stock is listed on the New York Stock Exchange under the symbol “LYB.” London 4th Floor, One Vine Street London W1J 0AH United Kingdom Tel: +44 (0) 207 220 2600 Website Shareholders and other interested parties can learn about LyondellBasell by visiting www.lyb.com. Rotterdam Delftseplein 27E 3013 AA Rotterdam Netherlands Tel: +31 (0) 10 275 5500 Investor Relations Contact Douglas J. Pike +1 713 309 4590 Corporate Governance LyondellBasell’s Corporate Governance Guidelines and related materials are available by selecting “Investor Relations” on our website at www.lyb.com. Online Annual Report LyondellBasell’s Annual Report is available online at www.lyb.com. Houston LyondellBasell Tower, Ste. 300 1221 McKinney Street Houston, TX 77010 P.O. Box 3646 (77253-3646) United States Tel: +1 713 309 7200 Registrar and Transfer Agent Computershare Shareholder Services, Inc. 250 Royall Street Canton, MA 02021 +1 877 456 7920 (U.S. Toll-Free) +1 781 575 4337 (U.S. Toll/International) www.computershare.com www.lyb.com Before using a LyondellBasell product, customers and other users should make their own independent determination that the product is suitable for the intended use. They should also ensure that they can use the LyondellBasell product safely and legally (Material Safety Data Sheets are available from LyondellBasell at www.lyb.com). This document does not constitute a warranty, express or implied, including a warranty of merchantability or fitness for a particular purpose. No one is authorized to make such warranties or assume any liabilities on behalf of LyondellBasell except in writing signed by an authorized LyondellBasell employee. Unless otherwise agreed in writing, the exclusive remedy for all claims is replacement of the product or refund of the purchase price at LyondellBasell’s option, and in no event shall LyondellBasell be liable for special, consequential, punitive, or exemplary damages. You can find out more about us by visiting our website at: www.lyb.com Avant, Catalloy, Glacido, Hostalen, Lupotech, Metocene, Spherilene, Spheripol, Spherizone, Trans4m and Vacido are trademarks owned or used by LyondellBasell group companies. Avant, Hostalen, Spheripol and Spherizone are registered in the U.S. Patent and Trademark Office. LyondellBasell does not sell PB-1 for use in pipe applications intended for use in North America, and requires its customers not to sell products made from PB-1 into pipe applications for North America.