1. Building and Construction Trades Department Gulf Coast Leadership Meeting Houston, Texas August 20, 2013

2. Gulf Coast Market Analysis BCTD Research Department 2

3. Construction Spending in the Gulf Coast Region: A Slow Recovery from A Steep Decline 3

4. Source: Commerce Department, Census Bureau 4

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8. “Shale gas: A game changer for US competitiveness” American Chemistry Council, March 2013 8 Source: Shale Gas, Competitiveness, and New US Chemical Industry Investment: An Analysis Based on Announced Projects, ACC, March 2013

9. The Game Changer – Relatively low cost shale gas 9

10. Trends in World Natural Gas Prices Source: American Chemistry Council 10

11. 11 Source: Cheniere Energy, Corpus Christi Liquefaction Project Overvie w

12. The Game Changer – estimates of proven reserves increasing US Shale Proved Reserves 2007: 23,304 Bcf US Shale Proved Reserves 2011: 131,616 Bcf 12

13. The Result? A sharp increase in proposed industrial and power projects along the Gulf Coast 13

14. Source: Census Bureau, BCTD Research Dept. Project Watch Actual

15. Source: Census Bureau, BCTD Research Dept. Project Watch Actual

16. The Result? A “manufacturing renaissance” in the US PlantLocationInvestment Construction JobsKickoff Big River SteelOsceola, AR$1.1B2,00011/15/13 Tenaris Steel Tube PlantBay City, TX$1.5B4,00012/1/13 Voestalpine Steel Port Corpus Christi, TX$750M7508/1/14 16

17. The Result? New chemical plants PlantLocationInvestmentConstruction JobsKickoff Dyno Nobel Intl Ammonia Manufacturing PlantJefferson Parish, LA$850M7508/1/13 CF Industries Nitrogen Fertilizer ExpansionDonaldson, LA$2.1B1,7009/1/13 Sasol North American Gas-to-Liquids PlantWestlake, LA$16B7,00010/1/13 Mosaic - Faustina FertilizerSt. James, LA$1.6B1,4007/1/14 ExxonMobil Baytown Complex ExpansionBaytown, TX$2B+5,00011/1/13 Lake Charles Clean Energy Pet-Coke to Methanol PlantWestlake, LA$2.5B1,5001/1/14 Chevron Phillips Baytown Olefins PlantBaytown, TX$2.5B4,0003/1/14 17

18. “Through March 2013, 100 chemical industry investments worth $71.7 Billion” American Chemistry Council, Shale Gas, Competitiveness, and New US Chemical Industry Investment: An Analysis Based on Announced Projects, March 2013 18

19. Source: Shale Gas, Competitiveness, and New US Chemical Industry Investment: An Analysis Based on Announced Projects, ACC, March 2013 New Chemical Industry Capital Investment by Region 19

20. The Result? LNG liquefaction/export platforms PlantLocationInvestmentConstruction JobsKickoff Excelerate Liquefaction LNGLavaca Bay, TX$2.5B2,5001/15/14 Cheniere Corpus Christi LNGCorpus Christi, TX$6.0B3,0003/15/14 Sempra Energy Cameron LNGHackberry, LA$6.0B3,0004/1/14 Freeport LNGFreeport, TX$2.0B3,50010/15/13 Lake Charles Exports LNGLake Charles, LA$2.0B1,00010/1/14 20

21. Epicenter of the shale gas earthquake? The Gulf Coast Region 21

22. Craft labor projections - Greater Baton Rouge Industry Alliance Inc. – “new project demand will peak at over 30,000 [headcount] in late 2014” 22

23. Craft labor projections - L ouisiana Workforce Investment Council – 2013 Report 23

24. L ouisiana Workforce Investment Council – 2013 Report 24 “More than 20,000 new workers will be required by the industrial construction industry in each of the next three years... a total of 86,300 additional workers will be needed by 2016.”

25. Key questions? Project timing 15 proposed plants Kickoff scheduled for 2013 – 2014 41,100 skilled craft workers required Where will these workers come from? And who will train them? 25

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27. 27 The Construction Industry's Most Highly Skilled Craft Workers