AI Terminal
Photon Energy N.V.
Quarterly Report • Sep 13, 2023
5761_rns_2023-09-13_0efd75a2-dd46-4bf6-b5d0-05951afa2855.pdf
Quarterly Report
Open in ViewerOpens in native device viewer
Photon Energy N.V.
Monthly Report for August 2023
For the period from 1 to 31 August 2023
1. Short Summary of Business Highlights in the Reporting Period
1.1 Generation Results of Photon Energy Power Plants in August 2023
In August, the total electricity production of our proprietary portfolio amounted to a solid 15.4 GWh compared to 13.0 GWh a year earlier, up by 18.8% YOY while remaining below the monthly energy forecasts by 11.7%. The output growth was achieved primarily thanks to new capacities added in Romania, while weather conditions were rather unfavourable and negatively affected the yields of the whole European portfolio. As a result, our power plants in Europe performed worse than expected, with Czech, Hungarian and Slovak portfolios delivering 10.2%, 7.9% and 6.5% below the energy audits, respectively. Our Romanian power plants also underperformed in August; not only due to weather conditions, but also technical incidents such as power outages and AC grid limitations, which will be fixed in the upcoming months.
The year-to-date results of our accumulated electricity generation amounted to 98.8 GWh, compared to 93.5 GWh a year earlier, up by 5.7% YOY. The generation results for our Romanian portfolio do not include the power plants in Făget and Săhăteni, with a total capacity of 10.3 MWp, which were connected in the second half of August and will be presented in the generation results starting from September's report.
The specific yields of our proprietary portfolio (SY), which shows the production efficiency of PV technology, amounted to an average of 136 kWh/kWp in August, compared to 141.0 kWh/kWp in August last year.
Our year-to-date clean electricity generation of 98.8 GWh represents an avoidance of 37,760 tonnes of CO2e emissions. For details, please refer to chapter 2: Generation Results.
1.2 Average Electricity Prices Realised in August by Our Proprietary Power Plants
We are currently selling electricity on a merchant model from 86% of our proprietary assets. In August, the average realised electricity prices from the whole portfolio amounted to EUR 155 per MWp compared to EUR 161 per MWh in July 2023, and record high prices of EUR 468 per MWh a year ago (August 2022). This translates into a decline of 3.4% MOM and 66.9% YOY.
The highest average prices were realised by our Czech power plants, with an average of EUR 618 per MWh, mainly due to subsidy element in the form of the green bonus system. The lowest prices were achieved in Australia, with an average of EUR 53 per MWh. For details, please refer to chapter 3: Average Revenues Realised by Our Power Plants.
1.3 PV Power Plants with a Total Capacity of 10.3 MWp Connected to the Grid in Romania
In the reporting period, we completed and grid-connected two power plants in Romania: one with a generation capacity of 3.2 MWp near Făget in Timiș County, and another of 7.1 MWp located near Săhăteni in Buzău County. Both power plants were installed using high-efficiency bifacial photovoltaic modules mounted on single-axis trackers. Our IPP (Independent Power Producer) portfolio now includes 96 solar power plants, with a combined generation capacity of 123.4 MWp, increasing by 34.1% YTD.
The electricity generated from these power plants will be sold on the energy market on a merchant basis, without any governmental support or a power purchase agreement with an energy off-taker. The expected annual production of the power plants in Făget and Săhăteni is estimated to be around 4.7 GWh and 10.9 GWh, respectively, corresponding to a combined expected revenue of around EUR 2.25 million in 2024 based on the current forward prices for electricity base load in Romania.
1.4 Reporting on Our Project Pipeline.
We are currently developing PV projects with a total DC capacity of over 1.2 GWp, including 660+ MWp in Australia, 40+ MWp in Hungary, 310+ MWp in Poland and 210+ MWp in Romania.
In August, attention was focused on the official launch of the Ray-Gen Carwarp project in Victoria, Australia. With this project now commissioned, Photon Energy will focus on further development works and delivering our growing pipeline of projects based on the RayGen technology. The first project expected to reach the readyto-build stage is 200 MW/DC and 115 MWp/AC of PV concentrated solar combined with 1.5-3 GWh (up to 24 hours) of thermal storage, located in Yadnarie, South Australia. Recent updates on this project are described in the Projects Highlights section of this report in chapter 4.
In Romania, projects with a total capacity of 10.3 MWp were grid connected and began generating and delivering electricity to the grid. As for the remaining 20.1 MWp under construction, work has also advanced. For four out of five projects, more than 60% of the required work has been completed, including the mounting of substructures and PV modules.
In Hungary, new projects with a total capacity of approximately 10.0 MWp were added to the pipeline in the early feasibility stage. Poland remains unchanged.
For more details, please see chapter 4: Reporting on the Project Pipeline.
1.5 The World's Highest Efficiency Solar PV Project Has Officially Opened
As mentioned above, Australian solar-and-storage company Ray-Gen has declared the world's largest next-generation long-duration energy storage (LDES) project open as of 31 August. The RayGen Power Plant in Carwarp, Victoria (near Mildura), with 4 MW of solar generation capacity, a 2.8 MW AC grid connection and 50 MWh of storage, is the world's highest efficiency solar generation project and contracted its output to one of Australia's largest utilities, AGL Energy.
The project recently achieved the status of 'commissioning complete' the final project-related milestone with the Australian Energy Market Operator (AEMO). All systems component have demonstrated performance against specification. The offtake agreement with AGL will soon come into effect.
RayGen has also received AUD 10 million in grant funding from the Australian Renewable Energy Agency (ARENA) to accelerate pipeline development and industrialisation. Photon Energy has been working on the development of the next utility-scale project based on RayGen technology in Yadnarie, South Australia.
For details, please see the section Project Highlight in chapter 4.
1.6 O&M Contracts Increased Above 540 MWp
We remained focused on expanding Photon Energy's Operations & Maintenance services, and in August 2023 added an additional 25.7 MWp of assets to our O&M portfolio in Romania. Of this, 10.3 MWp is related to our proprietary portfolio's expansion while the remaining 15.4 MWp comprise contracts for O&M services with external clients. Full O&M service contracts currently total 495 MWp while our inverter maintenance service contracts remained unchanged at 46.8 MWp. Our total O&M portfolio reached a record high level of 541.7 MWp, which translates into an increase of +61.7% YTD.
For more details, please see chapter 5: O&M Records Further Growth.
1.7 Noble Securities Has Initiated Coverage with a Target Price of PLN 13.94
We are pleased to note that Noble Securities in Poland has initiated coverage of our Company. The coverage is sponsored by the Warsaw Stock Exchange as a part of the Exchange's Analytical Coverage Support Programme. The target price has been set at PLN 13.94 per share.
Key highlights of the research report include:
- ► Diversified business model offering a full range of services within the PV value chain: investment preparation and EPC, sale of PV technology, PV power plant maintenance services (O&M) and intermediation in the sale of energy
- ► Knowledgeable management board with many years of hands-on experience in the PV market, highly motivated by their status as majority shareholders
- ► Excellent exposure to the renewable energy sources (RES) market, particularly in the dynamically growing photovoltaic (PV) segment.
Noble Securities is the fifth research house currently covering the Company's stock, after Alster Research, mBank, Wood&Co and Ipopema, and hence providing an additional, professional analytical opinion for our investors.
Full report can be found at this link.
2. Generation Results of the Proprietary PV Power Plants
The table below represents generation results of the power plants owned directly or indirectly by Photon Energy N.V.
Table 1. Production Results in August 2023
| Project name | Capacity | Revenue Aug | Prod. Aug | Proj. Aug | Perf. | YTD Prod. | YTD Proj. | Perf. | YTD YoY |
|---|---|---|---|---|---|---|---|---|---|
| Unit | kWp | per MWh | kWh | kWh | % | kWh | kWh | % | % |
| Komorovice | 2,354 | 614 EUR | 272,044 | 297,996 | -8.7% | 1,868,149 | 1,981,060 | -5.7% | -9.6% |
| Zvíkov I | 2,031 | 614 EUR | 238,549 | 264,395 | -9.8% | 1,672,555 | 1,793,443 | -6.7% | -6.8% |
| Dolní Dvořiště | 1,645 | 614 EUR | 179,326 | 202,007 | -11.2% | 1,218,362 | 1,311,050 | -7.1% | -7.6% |
| Svatoslav | 1,231 | 614 EUR | 128,389 | 152,176 | -15.6% | 876,549 | 963,953 | -9.1% | -12.0% |
| Slavkov | 1,159 | 614 EUR | 136,960 | 160,309 | -14.6% | 981,356 | 1,066,297 | -8.0% | -13.0% |
| Mostkovice SPV 1 | 210 | 565 EUR | 22,330 | 26,111 | -14.5% | 163,055 | 176,375 | -7.6% | -12.4% |
| Mostkovice SPV 3 | 926 | 708 EUR | 99,988 | 118,516 | -15.6% | 739,112 | 790,374 | -6.5% | -12.3% |
| Zdice I | 1,499 | 614 EUR | 186,626 | 195,131 | -4.4% | 1,289,556 | 1,346,709 | -4.2% | -8.2% |
| Zdice II | 1,499 | 614 EUR | 187,086 | 201,672 | -7.2% | 1,290,850 | 1,372,440 | -5.9% | -9.3% |
| Radvanice | 2,305 | 614 EUR | 275,550 | 307,185 | -10.3% | 1,903,915 | 2,005,339 | -5.1% | -9.7% |
| Břeclav rooftop | 137 | 567 EUR | 15,759 | 14,763 | 6.7% | 113,641 | 119,741 | -5.1% | -14.6% |
| Total Czech PP | 14,996 | 1,742,607 | 1,940,260 | -10.2% | 12,117,100 | 12,926,782 | -6.3% | -9.6% | |
| Babiná II | 999 | 271 EUR | 117,873 | 123,132 | -4.3% | 715,204 | 772,790 | -7.5% | -13.6% |
| Babina III | 999 | 271 EUR | 117,957 | 125,323 | -5.9% | 681,236 | 782,797 | -13.0% | -17.1% |
| Prša I. | 999 | 270 EUR | 125,561 | 134,879 | -6.9% | 769,295 | 821,110 | -6.3% | -12.4% |
| Blatna | 700 | 273 EUR | 82,178 | 90,201 | -8.9% | 541,283 | 577,163 | -6.2% | -11.0% |
| Mokra Luka 1 | 963 | 258 EUR | 132,492 | 136,507 | -2.9% | 875,066 | 882,323 | -0.8% | -11.9% |
| Mokra Luka 2 | 963 | 257 EUR | 134,455 | 137,482 | -2.2% | 886,722 | 917,636 | -3.4% | -11.9% |
| Jovice 1 | 979 | 263 EUR | 109,709 | 114,092 | -3.8% | 686,839 | 703,536 | -2.4% | -9.6% |
| Jovice 2 | 979 | 263 EUR | 110,095 | 113,957 | -3.4% | 672,174 | 700,504 | -4.0% | -10.8% |
| Brestovec | 850 | 257 EUR | 108,806 | 121,932 | -10.8% | 734,921 | 797,157 | -7.8% | -13.4% |
| Polianka | 999 | 261 EUR | 112,180 | 125,606 | -10.7% | 725,783 | 780,363 | -7.0% | -11.9% |
| Myjava | 999 | 259 EUR | 118,201 | 135,378 | -12.7% | 818,399 | 887,592 | -7.8% | -11.7% |
| Total Slovak PP | 10,429 | 1,269,508 | 1,358,488 | -6.5% | 8,106,923 | 8,622,971 | -6.0% | -12.3% | |
| Tiszakécske 1 | 689 | 78 EUR | 102,829 | 101,681 | 1.1% | 650,485 | 668,797 | -2.7% | -8.1% |
| Tiszakécske 2 | 689 | 78 EUR | 103,440 | 101,681 | 1.7% | 654,290 | 668,797 | -2.2% | -8.0% |
| Tiszakécske 3 | 689 | 77 EUR | 101,930 | 101,681 | 0.2% | 636,396 | 668,797 | -4.8% | -7.9% |
| Tiszakécske 4 | 689 | 78 EUR | 103,356 | 101,681 | 1.6% | 655,679 | 668,797 | -2.0% | -7.5% |
| Tiszakécske 5 | 689 | 78 EUR | 102,023 | 101,681 | 0.3% | 640,837 | 668,797 | -4.2% | -9.5% |
| Tiszakécske 6 | 689 | 78 EUR | 103,329 | 101,681 | 1.6% | 652,167 | 668,797 | -2.5% | -8.0% |
| Tiszakécske 7 | 689 | 78 EUR | 103,254 | 101,681 | 1.5% | 652,978 | 668,797 | -2.4% | -8.1% |
| Tiszakécske 8 | 689 | 78 EUR | 101,995 | 101,681 | 0.3% | 647,318 | 668,797 | -3.2% | -7.5% |
| Almásfüzitő 1 | 695 | 77 EUR | 90,960 | 99,335 | -8.4% | 618,040 | 653,366 | -5.4% | -11.3% |
| Almásfüzitő 2 | 695 | 77 EUR | 88,286 | 96,488 | -8.5% | 601,902 | 634,638 | -5.2% | -11.1% |
| Almásfüzitő 3 | 695 | 77 EUR | 85,300 | 96,316 | -11.4% | 592,725 | 633,508 | -6.4% | -12.5% |
| Almásfüzitő 4 | 695 | 77 EUR | 90,883 | 99,456 | -8.6% | 617,951 | 654,163 | -5.5% | -11.5% |
| Almásfüzitő 5 | 695 | 77 EUR | 92,180 | 100,819 | -8.6% | 629,151 | 663,128 | -5.1% | -11.1% |
| Almásfüzitő 6 | 660 | 77 EUR | 92,140 | 100,251 | -8.1% | 626,137 | 659,393 | -5.0% | -10.9% |
| Almásfüzitő 7 | 691 | 77 EUR | 92,393 | 99,787 | -7.4% | 626,158 | 656,337 | -4.6% | -10.5% |
| Almásfüzitő 8 | 668 | 77 EUR | 93,651 | 98,171 | -4.6% | 630,336 | 645,712 | -2.4% | -8.1% |
| Nagyecsed 1 | 689 | 75 EUR | 102,075 | 99,099 | 3.0% | 650,039 | 630,775 | 3.1% | -7.9% |
| Nagyecsed 2 | 689 | 75 EUR | 99,676 | 99,099 | 0.6% | 644,301 | 630,775 | 2.1% | -7.9% |
| Nagyecsed 3 | 689 | 75 EUR | 96,869 | 99,259 | -2.4% | 638,310 | 631,446 | 1.1% | -9.6% |
| Fertod I | 528 | 77 EUR | 72,895 | 73,592 | -0.9% | 494,552 | 484,045 | 2.2% | -9.0% |
| Fertod II No 2 | 699 | 78 EUR | 96,525 | 98,661 | -2.2% | 638,387 | 648,933 | -1.6% | -9.8% |
| Fertod II No 3 | 699 | 78 EUR | 96,298 | 98,219 | -2.0% | 637,271 | 646,024 | -1.4% | -9.4% |
| Fertod II No 4 | 699 | 77 EUR | 95,953 | 97,444 | -1.5% | 635,419 | 640,928 | -0.9% | -9.1% |
| Fertod II No 5 | 691 | 77 EUR | 89,975 | 96,457 | -6.7% | 627,317 | 634,435 | -1.1% | -10.4% |
| Fertod II No 6 | 699 | 77 EUR | 95,729 | 97,144 | -1.5% | 633,155 | 638,957 | -0.9% | -8.9% |
| Kunszentmárton I/ 1 | 697 | 77 EUR | 105,452 | 105,460 | 0.0% | 672,924 | 693,652 | -3.0% | -7.6% |
| Project name | Capacity | Revenue Aug | Prod. Aug | Proj. Aug | Perf. | YTD Prod. | YTD Proj. | Perf. | YTD YoY |
|---|---|---|---|---|---|---|---|---|---|
| Unit | kWp | per MWh, | kWh | kWh | % | kWh | kWh | % | % |
| Kunszentmárton I No 2 | 697 | 77 EUR | 105,424 | 105,460 | 0.0% | 667,642 | 693,652 | -3.7% | -7.8% |
| Kunszentmárton II No 1 | 693 | 72 EUR | 96,974 | 101,659 | -4.6% | 646,839 | 668,653 | -3.3% | -11.7% |
| Kunszentmárton II No 2 | 693 | 78 EUR | 105,426 | 101,659 | 3.7% | 681,341 | 668,653 | 1.9% | -7.4% |
| Taszár 1 | 701 | 77 EUR | 98,733 | 91,867 | 7.5% | 624,437 | 604,244 | 3.3% | -10.5% |
| Taszár 2 | 701 | 77 EUR | 99,974 | 93,260 | 7.2% | 629,432 | 613,408 | 2.6% | -11.2% |
| Taszár 3 | 701 | 77 EUR | 100,842 | 93,514 | 7.8% | 635,911 | 615,080 | 3.4% | -10.5% |
| Monor 1 | 688 | 76 EUR | 101,668 | 101,063 | 0.6% | 655,602 | 664,732 | -1.4% | -8.9% |
| Monor 2 | 696 | 76 EUR | 102,878 | 99,961 | 2.9% | 649,720 | 657,485 | -1.2% | -8.7% |
| Monor 3 | 696 | 76 EUR | 102,749 | 101,133 | 1.6% | 653,826 | 665,190 | -1.7% | -9.2% |
| Monor 4 | 696 | 76 EUR | 103,148 | 101,045 | 2.1% | 652,482 | 664,616 | -1.8% | -9.4% |
| Monor 5 | 688 | 76 EUR | 102,768 | 97,118 | 5.8% | 654,129 | 638,785 | 2.4% | -9.2% |
| Monor 6 | 696 | 76 EUR | 102,158 | 100,932 | 1.2% | 649,502 | 663,868 | -2.2% | -9.7% |
| Monor 7 | 696 | 76 EUR | 103,187 | 100,785 | 2.4% | 652,378 | 662,902 | -1.6% | -9.1% |
| Monor 8 | 696 | 76 EUR | 103,958 | 101,564 | 2.4% | 656,204 | 668,025 | -1.8% | -9.3% |
| Tata 1 | 672 | 81 EUR | 106,019 | 110,650 | -4.2% | 680,474 | 727,791 | -6.5% | -11.7% |
| Tata 2 | 676 | 77 EUR | 88,176 | 111,056 | -20.6% | 583,951 | 730,457 | -20.1% | -12.5% |
| Tata 3 | 667 | 77 EUR | 87,707 | 111,056 | -21.0% | 584,044 | 730,457 | -20.0% | -12.8% |
| Tata 4 | 672 | 81 EUR | 107,546 | 112,588 | -4.5% | 688,199 | 740,536 | -7.1% | -12.3% |
| Tata 5 | 672 | 80 EUR | 105,570 | 111,056 | -4.9% | 681,780 | 730,457 | -6.7% | -12.6% |
| Tata 6 | 672 | 80 EUR | 104,977 | 108,254 | -3.0% | 673,058 | 712,028 | -5.5% | -11.2% |
| Tata 7 | 672 | 81 EUR | 106,224 | 111,056 | -4.4% | 673,157 | 730,457 | -7.8% | -13.4% |
| Tata 8 | 672 | 82 EUR | 108,656 | 112,730 | -3.6% | 682,638 | 741,472 | -7.9% | -13.1% |
| Malyi 1 | 695 | 77 EUR | 101,254 | 100,200 | 1.1% | 652,512 | 639,833 | 2.0% | -6.7% |
| Malyi 2 | 695 | 77 EUR | 100,347 | 100,292 | 0.1% | 651,876 | 640,565 | 1.8% | -9.2% |
| Malyi 3 | 695 | 77 EUR | 101,456 | 100,292 | 1.2% | 654,501 | 640,565 | 2.2% | -8.8% |
| Puspokladány 1 | 1,406 | 105 EUR | 203,518 | 238,854 | -14.8% | 1,429,998 | 1,571,041 | -9.0% | -12.6% |
| Puspokladány 2 | 1,420 | 77 EUR | 196,132 | 247,064 | -20.6% | 1,448,665 | 1,625,039 | -10.9% | -13.9% |
| Puspokladány 3 | 1,420 | 76 EUR | 196,105 | 242,667 | -19.2% | 1,447,208 | 1,596,121 | -9.3% | -12.6% |
| Puspokladány 4 | 1,406 | 77 EUR | 201,797 | 236,469 | -14.7% | 1,442,586 | 1,555,351 | -7.3% | -11.7% |
| Puspokladány 5 | 1,420 | 76 EUR | 197,998 | 243,060 | -18.5% | 1,479,082 | 1,598,705 | -7.5% | -12.0% |
| Puspokladány 6 | 1,394 | 105 EUR | 62,740 | 235,174 | -73.3% | 1,227,672 | 1,546,836 | -20.6% | -24.8% |
| Puspokladány 7 | 1,406 | 105 EUR | 201,880 | 241,564 | -16.4% | 1,453,183 | 1,588,863 | -8.5% | -11.3% |
| Puspokladány 8 | 1,420 | 76 EUR | 195,309 | 243,312 | -19.7% | 1,358,938 | 1,600,363 | -15.1% | -17.7% |
| Puspokladány 9 | 1,406 | 105 EUR | 202,843 | 241,921 | -16.2% | 1,461,369 | 1,591,209 | -8.2% | -10.9% |
| Puspokladány 10 | 1,420 | 77 EUR | 197,904 | 242,956 | -18.5% | 1,463,499 | 1,598,018 | -8.4% | -11.4% |
| Tolna | 1,358 | 80 EUR | 259,586 | 248,235 | 4.6% | 1,549,636 | 1,632,741 | -5.1% | -9.2% |
| Facankert (Tolna 2) | 1,358 | 81 EUR | 265,963 | 252,418 | 5.4% | 1,587,738 | 1,660,255 | -4.4% | N/A |
| Total Hungarian PP | 51,814 | 7,428,989 | 8,062,447 | -7.9% | 50,069,434 | 52,909,045 | -5.4% | -9.9% | |
| Siria | 5,691 | 95 EUR | 1,033,000 | 1,144,000 | -9.7% | 5,231,760 | 5,854,011 | -10.6% | N/A |
| Calafat 1 | 2,890 | 95 EUR | 213,025 | 573,593 | -62.9% | 1,345,771 | 2,590,410 | -48.0% | N/A |
| Calafat 2 | 1,935 | 95 EUR | 204,045 | 384,815 | -47.0% | 969,530 | 1,740,523 | -44.3% | N/A |
| Calafat 3 | 1,203 | 95 EUR | 117,283 | 242,594 | -51.7% | 632,598 | 1,174,889 | -46.2% | N/A |
| Aiud | 4,730 | 95 EUR | 675,080 | 864,000 | -21.9% | 2,016,560 | 4,816,000 | -58.1% | N/A |
| Teius | 4,730 | 95 EUR | 643,420 | 897,000 | -28.3% | 1,658,440 | 4,961,000 | -66.6% | N/A |
| Făget | 3,178 | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Săhăteni | 7,112 | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Romanian PP2 | 31,469 | 2,885,853 | 4,106,002 | -29.7% | 11,854,659 | 21,136,833 | -43.9% | N/A | |
| Symonston | 144 | 212 EUR | 12,300 | 10,468 | 17.5% | 88,917 | 95,136 | -6.5% | -0.1% |
| Leeton | 7,261 | 51 EUR | 1,073,316 | 989,505 | 8.5% | 8,564,750 | 8,709,643 | -1.7% | 11.8% |
| Fivebough | 7,261 | 54 EUR | 978,568 | 971,514 | 0.7% | 7,990,603 | 8,584,706 | -6.9% | 6.2% |
| Total Australian PP | 14,744 | 2,064,184 | 1,971,487 | 4.7% | 16,644,271 | 17,389,485 | -4.3% | 9.0% | |
| Total | 123,374 | 15,391,141 | 17,438,685 | -11.7% | 98,792,386 | 112,985,116 | -12.6% | 5.7% |
Notes:
Capacity: installed capacity of the power plant
Prod.: production in the reporting month - Proj.: projection in the reporting month Perf.: performance of the power plant in reporting month i.e. (production in Month / projection for Month) - 1.
YTD Prod.: accumulated production year-to-date i.e. from January until the end of the reporting month.
YTD Proj.: accumulated projection year-to-date i.e. from January until the end of the reporting month.
Perf. YTD: performance of the pp YTD i.e. (YTD prod. in 2023 / YTD proj. in 2023) – 1.
YTD YOY: (YTD Prod. in 2023 / YTD Prod. in 2022) – 1.
Chart 1.c Total Production of the Hungarian Portfolio Chart 1.d Total Production of the Australian Portfolio
3. Average Revenues Realized by Our Power Plants
The table below represents an estimation of average prices realized on sales of electricity from our generation assets. Estimates of revenues are based on the management reports and may deviate from final financial statements due to exchange rates.
| Portfolio | Capacity | Prod. August | Avg. Revenue Aug |
Total Revenue Aug |
YTD Avg. Revenue |
YTD Revenue |
|---|---|---|---|---|---|---|
| Unit | MWp | MWh | EUR/MWh | In Euro thousand | EUR/MWh, in 2023 | In Euro thousand |
| Czech Republic1 | 15.0 | 1,743 | 618 | 1,077 | 644 | 7,801 |
| Slovakia2 | 10.4 | 1,270 | 264 | 247 | 263 | 1,544 |
| Hungary | 51.8 | 7,429 | 80 | 594 | 91 | 4,560 |
| Romania | 21.2 | 2,886 | 95 | 273 | 95 | 1,124 |
| Australia3 | 14.7 | 2,064 | 53 | 110 | 71 | 1,180 |
| Total Portfolio | 113.1 | 15,391 | 155 | 2,300 | 170 | 16,208 |
Table 2. Estimated Revenues from Electricity Generation in August 2023
1 - Green Bonus + realized electricity price during the reporting period in the Czech Republic.
2 Slovak joint-ventures SK SPV 1 s.r.o., Solarpark Polianka s.r.o., and Solarpark Myjava s.r.o. are consolidated at equity only and therefore not presented in the above table. Remaining power plants recieve a fixed feed-in-tarrif.
3 Realized market electricity price + Australian Large-scale Generation Certificate spot closing price in Australia.
All power plant in Romania and 46.2 MWp in Hungary sells electricty under merchant model. Remaining 4.6 MWp in Hungary remains in Feed-in-Tarrif.
4. Reporting on the Project Pipeline
Project development is a crucial activity in Photon Energy's business model with the ultimate goal of expanding the PV proprietary portfolio and recurring revenues of the Group going forward. For financial or strategic reasons Photon Energy may decide to cooperate with third-party investors either on a joint-venture basis or with the goal of exiting the projects to such investors entirely. Ownership of project rights during development stage provides Photon Energy with a high level of control and allows locking in EPC (oneoff) and O&M (long-term) services. Hence, project development is a key driver for Photon Energy's future growth. The Group's experience in project development and financing in the Czech Republic, Slovakia, Germany, Italy, Hungary and Romania is an important factor in selecting attractive markets and reducing the inherent risks related to project development.
The below table presents PV projects under the development divided by the stage of the advancement and by country.
Table 3. Projects under development in August 2023 (DC capacity)*
| Country | 1. Feasibility* | 2. Early development |
3. Advanced development |
4. Ready-to-build technical |
5. Under construction |
Total in MWp |
|---|---|---|---|---|---|---|
| Romania | 11.8 | 86.4 | 76.7 | 18.5 | 20.1 | 213.6 |
| Poland | 273.9 | 34.1 | 3.9 | - | - | 311.9 |
| Hungary | 37.6 | 2.7 | 4.1 | - | 44.4 | |
| Australia | 455.0** | 200.0 | 9.8 | - | - | 664.8 |
| Total in MWp | 778.3 | 320.5 | 93.1 | 22.6 | 20.1 | 1,234.7 |
*Development phases are described in the glossary available at the end of this chapter. Photon Energy refers to the installed DC capacity of projects expressed in Megawatt peak (MWp) in its reporting, which might fluctuate over the project development process.
**Projects in feasibility stage 1. are presented at AC capacity as DC is difficult to estimate at the early-stage of utility scale projects.
Chart 2. Project pipeline as of the reporting date, in MWp DC
In August the pipeline of projects under development remained stable compared to July 2023. Most important changes include:
- ► In Australia all eyes were focused on an official launching of project Carwarp in South Australia. With this project now commissioned, Photon Energy can focus on delivering its growing pipeline of projects using RayGen technology. One of the first projects, which shall reach ready-to-build stage, is 200 MW PV solar and 1.5-3 GWh (up to 24 hours) of thermal storage project in Yadnarie, Australia. More details on both projects can be found in Projects Highlights' section.
- ► In Romania two power plants located in Faget and Shagateni with the total capacity of 10.3 MWp were grid connected in August and started generating and delivering electricity to the grid. With the remaining capacities of 20.1 MWp under construction, works have also been advanced,
and four out of five projects completed more than 60% of works including site preparation works, mounting the substructures and PV modules. Details on projects under construction can be viewed in Table 4 on the next page.
- ► In Hungary, approximately 10.0 MWp of new projects in early feasibility stage were added to the project pipeline.
- ► No major changes have been recorded in Poland as the development works have been impacted by recent changes in the regulatory environment, including: i) the price cap regulation introduced at the end of 2022 (and subsequent adjustments), ii) changing focus towards projects that combine PV and energy storage and stand-alone energy storage installations. Going forward, Photon Energy may investigate various strategic options for the current Polish PV pipeline.
| Country | Location | Dev. phase |
Equity share |
MWp DC |
Commercial Model |
Land | Grid con nection |
Construction permit |
Expected SoC1 |
Update on the project |
|---|---|---|---|---|---|---|---|---|---|---|
| Romania | Tamadu Mare-1 | 4 | 100% | 4.2 | Merchant/PPA | Secured | Secured | Secured | Q4 2023 | Projects adheres to DSO schedule for grid reinforcement works |
| Romania | Tamadu Mare-2 | 4 | 100% | 6.5 | Merchant/PPA | Secured | Secured | Secured | Q4 2023 | Projects adheres to DSO schedule for grid reinforcement works |
| Romania | Sannicolau Mare | 4 | 100% | 7.8 | Merchant/PPA | Secured | Secured | Secured | Q4 2023 | Project awaits DSO relocation of overhead cable prior to start of construction. |
| Hungary | Tolna 2 | 4 | 100% | 1.3 | Merchant/PPA | Secured | Secured | Secured | Q2 2024 | Construction date delayed due to DSO commissioning timeline. |
| Hungary | Tolna 3 | 4 | 100% | 1.3 | Merchant/PPA | Secured | Secured | Secured | Q2 2024 | Construction date delayed due to DSO commissioning timeline. |
| Hungary | Tolna 5 | 4 | 100% | 1.3 | Merchant/PPA | Secured | Secured | Secured | Q1 2024 | Construction date delayed due to DSO commissioning timeline. |
| TOTAL | 22.6 |
Table 4. Progress on Projects Ready-to-Build stage 4, as of the reporting date.
1SoC stands for expected start of construction date.
Table 5. Progress on projects under construction, as of the reporting date.
| Country | Location | Dev. phase | Equity share |
MWp DC | Commercial Model Construction progress |
|||||
|---|---|---|---|---|---|---|---|---|---|---|
| Romania | Faget 2 | 5 | 100% | 3.9 | Merchant/PPA | 65% | ||||
| Romania | Sarulesti | 5 | 100% | 3.2 | Merchant/PPA | 65% | ||||
| Romania | Magureni | 5 | 100% | 1.7 | Merchant/PPA | 62% | ||||
| Romania | Bocsa | 5 | 100% | 3.8 | Merchant/PPA | 39% | ||||
| Romania | Faget 3 | 5 | 100% | 7.5 | Merchant/PPA | 61% | ||||
| TOTAL | 30.3 | |||||||||
| Procurement | Site preparations | Substructures | Technology installed | Connection works | Commissioning |
Projects Highlights:
In the reporting period the following projects shall be highlighted:
► Photon Energy joined RayGen to open world-leading solar and storage plant in Australia. Located in Carwarp, Victoria, the power plant will add 4 MW of high-efficiency photovoltaic (PV) solar and 2.8 MW / 50 MWh (17 hours) of long-duration thermal storage to the West Murray grid. RayGen has developed a groundbreaking, low-cost solar-plus-storage energy solution by combining its proprietary PV Ultra solar technology, which generates both electricity and heat, with thermal hydro, a tailored electro-thermal storage cycle. By combining high-efficiency concentrated PV generation with thermal absorption and storage, RayGen has achieved the highest energy density of any solar technology available today.
Photon Energy Group entered a strategic partnership with and announced its initial investment in RayGen in April 2020, and is joined by investors such as AGL Energy, Equinor Ventures, Chevron Technology Ventures, SLB (the new name for oil services giant Schlumberger) and Australian Renewable Energy Agency (ARENA). RayGen technology tackles head-on the problem of intermittency of solar energy exporting electricity day and night and charging from solar and from the grid. We believe this technology has the potential to be deployed at a greater scale and we are progressing our efforts developing a similar 200 MW solar-plus-storage plant in Yadnarie, South Australia. Photon Energy joined the steering commitment for the Carwarp project and provided invaluable advice and support during delivery. With this project now commissioned, we can focus on delivering our growing pipeline of projects, especially the Yadnarie Solar Farm. Along with developing projects, Photon Energy Group has since April 2020 made several equity investments in RayGen maintaining 7.6% stake in the high-tech company.
Yadnarie (200 MWp DC / 115 MWp AC) project located in South Australia assumes building and commission a 200 MWp concentrated solar power plant, utilising technology developed by our strategic partner RayGen Resources Pty Ltd. The size of the thermal storage is estimated to be up to 24 hours. The capacity of the project is 200 MWp DC with a 115 MW AC grid connection capacity. It is projected based on current design, that Yadnarie will produce around 500 GWh of energy annually.
Photon Energy is currently working on the grid connection agreement due to its complex system and high-capacity demand. Till date technical impact and environmental impact report are in progress with community consultations undergoing. Geotechnical studies have been completed, which resulted in DC capacity adjustment from 300 MWp initially to 200 MWp currently. The final layout and project design works are in the progress. The solar power plant will feed all the energy produced into the national electricity grid either through a connection to the existing Yadnarie substation, or directly into the 132 kV line located on the site of the proposed facility. The method of connected is currently under investigation with ElectraNet, a South Australian electricity transmission company.
The expected construction period did not change, it is planned between Q3 2024 - Q1 2025 Photon Energy hopes to reach a final investment decision on the Yadnarie project on South Australia's Eyre Peninsula by about the middle of next year.
| Glossary of terms | Definitions |
|---|---|
| Development phase 1: "Feasibility" |
LOI or MOU signed, location scouted and analyzed, working on land lease/purchase, environmental assessment and ap plication for grid connection. |
| Development phase 2: "Early development" |
Signing of land option, lease or purchase agreement, Environmental assessment (environmental impact studies "EIS" for Australia), preliminary design. Specific to Europe: Application for Grid capacity, start work on permitting aspects (construction, connection line, etc.). Specific to Australia: community consultation, technical studies. |
| Development phase 3: "Advanced development" |
In Europe: Finishing work on construction permitting, Receiving of MGT (HU)/ATR (ROM) Letter, Finishing work on permit ting for connection line, etc. In Australia: Site footprint and layout finalised, Environmental Impact Statement and development application lodged. Grid connection studies and design submitted. |
| Development phase 4: "Ready-to-build technical" |
In Europe: Project is technical ready to build, we work on offtake model (if not FIT or auction), securing financing (inter nal/external). In Australia: Development application approved, offer to connect to grid received and detailed design com menced. Financing and off-take models/arrangements (internal/external) under negotiation. |
| Development phase 5: "Under construction" |
Procurement of components, site construction until the connection to the grid. On top for Australian projects, signature of Financing and off-take agreements, reception of Construction certificate, con clusion of connection agreement, EPC agreement, Grid connection works agreements. |
| DC and AC capacity | Electricity grids run on alternating current (AC). Solar modules produce direct current (DC), which is transformed into AC by inverters. Heat, cable lines, inverters and transformers lead to energy losses in the system be-tween the solar modules and the grid connection point. Cumulatively system losses typically add up to 15-20%. Therefore, for a given grid connection capacity a larger module capacity (expressed in Watt peak – Wp) can be installed without exceeding the grid connection limit. At times of extremely high production, inverters can reduce the volume of electricity so that the plant stays within the grid connection limits. |
5. O&M Records Further Growth
Photon Energy remained focused on expanding its Operations & Maintenance services and in August 2023 added additional 25.7 MWp of assets to its portfolio in Romania. Out of that 10.3 MWp is related to proprietary portfolio's expansion while remaining 15.4 MWp are external contracts with the third parties. Full O&M services contracts amount currently to 495 MWp while "Inverter Cardio" services contracts remained unchanged at 46.8 MWp. Total O&M portfolio reached a record high-level of 541.7 MWp, which translates into an increase of +61.7% YTD.
Chart 3a Full O&M services and inverter cardio, in MWp Chart 3b Full O&M services – geographical split.
Geographically two leading markets for O&M services are currently Poland and Hungary with approximately 162 MWp each, followed by the Czech Republic with nearly 96 MWp under management. The total capacity of central inverters serviced by our Inverter Cardio team is located primarily in France, Belgium, the Czech Republic, Italy and Slovakia. In some countries like France or Germany the Group is holding a leading market position while in Belgium in particular, the Group is servicing all of the Satcon inverters ever installed.
6. Green EUR Bond 2021/2027 Trading Performance
EUR Bond 2017/22 trading performance in Frankfurt
In August 2023, the price volatility of the Group's 6.5% Green EUR Bond 2021/2027 (ISIN DE000A3KWKY4) continued, and the trading volumes increased. The total trading volume on the Frankfurt stock exchange in August amounted to EUR 1.564 million in nominal terms compared to EUR 895,000 in July and EUR 131,000 in June. In August we observed the prices fall to their lowest recorded levels, 39.76% of the nominal value. As we wrote in our H1 2023 Management Report, the reason for such price volatility is unclear
but it seems possible that the fall in the bond prices is the result of an unfortunate combination of external market factors and the selling activities of some investors. The price of the bond has begun to recover in September and closed at 72.5% as of 11 September, after several consecutive days of robust increases, which indicate an upward trend.
Chart 4. The Company's EUR bond 2021/27 trading on the Frankfurt Stock Exchange
7. Investors' calendar
- ► 12 October 2023: Monthly report for September 2023
- ► 13 November 2023: Entity and consolidated quarterly reports for Q3 2023
- ► 14 November 2023: Online presentation of Photon Energy Group's Q3 2023 results
- ► 14 November 2023: Monthly report for October 2023
- ► 13 December 2023: Monthly report for November 2023
8. Investor Relations Contact
E-mail: [email protected]
Photon Energy N.V. Barbara Strozzilaan 201 1083 HN Amsterdam The Netherlands Web: www.photonenergy.com
Amsterdam, 13 September 2023
Georg Hotar, Member of the Board of Directors Michael Gartner, Member of the Board of Directors