DRIVING TUBACEX'S TRANSFORMATION SUCCESS STORY TOWARDS THE NEXT TRANSITION

CAPITAL MARKETS DAY

CAPITAL MARKETS DAY // 2

NOVEMBER 21st, 2023

Jesús Esmorís CEO

"We are committed to human progress by addressing new challenges, providing advanced industrial products and services" "

WE EMERGE AS A WORLD LEADER IN ADVANCED INDUSTRIAL SOLUTIONS FOR ENERGY AND MOBILITY

Demanding environments: high/low temperature, high pressure and high corrosion

CAPITAL MARKETS DAY // 4

FROM TUBULAR TO ADVANCED INDUSTRIAL SOLUTIONS

We are a global benchmark in the design, manufacturing, and installation of advanced industrial products and high-value-added services where only the most sophisticated solutions deliverthe best performance

PREFERRED GLOBAL PARTNER

Clients are our asset. We meet their needs, transcend national boundaries and foster collaboration on a global scale with our fully integrated production model, covering the entire life cycle of the products. We take pride in co-creating innovative solutions alongside our customers

From the oil & gas sector to the low-carbon industry. As part of our commitment to high technological value products, we have developed production capabilities in those segments requiring higher levels of expertise where significant growth is expected

PIONEERING DIVERSIFICATION ACROSS MULTIPLE BUSINESS SECTORS

Focus on industries where:

Only the most sophisticated solutions can deliver the best performance
High requirements applications become critical

CAPITAL MARKETS DAY // 6

WITH A ROBUST PORTFOLIO

LOOKING AHEAD BY REACHING LONG-TERM AGREEMENTS WITH KEY CUSTOMERS

1. STAINLESS STEEL & HIGH NICKEL ALLOYS BARS AND BILLETS

LONG STAINLESS-STEEL PRODUCTS, SPECIALIZED IN INGOTS, BARS AND BILLETS, ROLLED AND FORGED (120-600 mm)

CAPITAL MARKETS DAY // 8

2. SEAMLESS STAINLESS- STEEL PIPES & TUBES

SEAMLESS STAINLESS-STEEL PIPES & TUBES (EXTRUSION, PIERCING AND COLD FINISHING) – UP TO 8''

3. FORGED AND MACHINED TUBULAR COMPONENTS, FITTINGS AND SPECIAL CONNECTIONS

4. HIGH PRECISION MACHINING

CAPITAL MARKETS DAY // 11

COMPLEX MECHANICAL SOLUTIONS FOR HIGH GRADE ALLOY EQUIPMENT THAT SUPPORTS DRILLING, WELLBORE EVALUATION, COMPLETIONS, PRODUCTION, AND UPSTREAM O&G OPERATIONS

VALUE ADDED OPERATION & SERVICES

6. STOCK, SERVICE & TRADING

MASTER STOCKIST IN SEAMLESS STAINLESS STEEL TUBES AND PIPES

Served from

A FULLY INTEGRATED AND TRACEABLE SOLUTION BUSINESS MODEL

INTEGRAL CUSTOMER SERVICE

PRODUCT DESIGN

REPAIR & MAINTENANCE

TUBACEX'S KEY SUCCESS FACTORS

PREFERRED GLOBAL PARTNER

1. Global and diversified footprint
2. Long-term agreements with key customers
3. A best in class in sustainability according to the most demanding ratings

UNIQUE VALUE PROPOSITION

4. Cutting economic climate -edge industrial products and services for multi-energy & mobility
5. Fully integrated and traceable production model
6. World's largest manufacturer of seamless stainlesssteel pipes
7. World's leading CRA-OCTG for E&P of Oil & Gas

SOLID STRATEGY

8. High visibility for the coming years
9. Proven track record in long-term targets delivery
10. Highly qualified leadership team

SHAREHOLDER VALUE CREATION

11. Shareholders remuneration: 30-40% pay-out
12. 48% stock price appreciation YTD
13. Significant growth potential according to market consensus

2022

Outstanding performance

in a very challenging international

RECORD CONTRACT:

\$1bn FOR GAS EXTRACTION / 10 YEARS

MAIN FINANCIAL FIGURES

9M 2023 Results

(€M)
Sales
EBITDA
EBITDA Margin
EBIT
EBIT Margin
Earnings Before Taxes
Earnings Before Taxes Margin
Net Profit
Net Profit Margin

9M 2022	9M 2023	% Var.
527.1	641.9	21.8%
67.3	93.8	39.3%
12.8%	14.6%
31.7	60.6	91.1%
6.0%	9.4%
20.3	38.9	91.8%
3.9%	6.1%
17.0	27.8	63.5%
3.2%	4.3%

Q3 2022	Q3 2023	% Var.
173.3	207.2	19.6%
24.8	29.5	18.7%
14.3%	14.2%
13.6	19.6	43.4%
7.9%	9.4%
9.9	11.0	11.1%
5.7%	5.3%
7.9	7.8	-1.2%
4.5%	3.8%

Working Capital
Working Capital / Sales
Net Financial Debt
Net Financial Debt / EBITDA
Structural Net Financial Debt(1)

Dec. 22	Sept. 23	Var. (€M)
230.0	234.9	+4.9
32.2%	28.3%
287.1	291.2	+4.1
3.1x	2.5x
57.1	56.2	-0.9

MAIN FIGURES FROM THE INCOME STATEMENT

9M 2023 Results

*Quarterly average EBITDA in the relevant period

Annual EBITDA evolution Performance (€M) 69.6 67.1 38.1 17.5 92.3 COVID Effect

2018

THE MARKET TREND AND THE RECORD LEVEL OF THE BACKLOG CONFIRM THE POSITIVE OUTLOOK FOR 2023 AND INCREASE VISIBILITY FOR 2024

93.8

CONCLUSIONS

HISTORICAL MOMENT FOR TUBACEX

CAPITAL MARKETS DAY // 18

A SUCCESSFUL TRANSFORMATION STORY

SINCE OUR ESTABLISHMENT IN 1963, WE HAVE CONTINUALLY EVOLVED

HAND IN HAND WITH OUR CUSTOMERS AND THE SOCIETY

SUCCESSFUL EVOLUTION MARKET REPOSITIONING

Budget 2023

STRATEGIC PLAN 2014-2020

Marketing repositioning

Relevant investment in industrial installations and R&D to develop new products

Integration of new companies in Asia to reposition our lower value-added products by selling through our new sales channel (TSS – 12 service centers)

Acquisition of companies with complementary products to complete the full range portfolio (6 acquisitions)

Different value proposition to the market focusing on value added services

Place and homologation of new products and new customers

Important yearly evolution increasing market share in premium products

TUBACEX TRANSFORMATION

PREVIOUS TUBACEX	CURRENT TUBACEX
Seamless stainless steel tubes manufacturer	Advanced industrial suppliers of high alloys
Selling through distributors	Long Term Agreements with main end users and customers
Focused on volume	Focused on value
High volatility	Low volatility
3-4 months backlog	€1.63bn backlog
Commodity product mix	Premium product mix
Industrial footprint mainly focused in Europe	Global industrial footprint (local content)
Oil & Gas sectors	Multienergy and mobility sectors
Product supplier	Integrated solutions to customer

STRATEGIC PLAN 2021-2025

CAPITALIZING ON EMERGING MACROTRENDS…

ENERGY TRANSITION

Renewable energy production increase
Net-zero commitments
Electrification of production processes
Carbon Capture emerging technology

ECONOMIC GROWTH

Consumption increase
Growth in emerging markets
Energy demand growth
Energy security

MOBILITY

Increased movement of people
Transport demand growth
Digitalization

OUR STRATEGY IS ALIGNED WITH MACROTRENDS

… AND ON KEY MARKETS EVOLUTION

OIL & GAS

Global energy demand growth driven by the necessity of securing an affordable energy supply in accordance with the World Energy Trilemma and the updated forecasts by OPEC The world requires \$14 trillion in oil sector investments by 2045 to ensure market stability (OPEC)

LOW CARBON TECHNOLOGIES

Transition to low carbon energies (Carbon Capture, H² , etc.)

Carbon Capture market has just started, and capture capacity is about to increase exponentially in 2023-2030 period (Rystad Energy)

NUCLEAR ENERGY

Nuclear energy based on traditional and Small Modular Reactors (SMR) where we hold a solid position providing critical industrial solutions

Contribution of this energy will be about 14% of global electricity by 2050, up from its 10% share today (IAEA)

AERONAUTIC & SPACE EXPLORATION

A bright horizon ahead: fast growing and very profitable sectors

Poised to experience robust expansion at a Compound Annual Growth Rate (CAGR) of 6.3% to 2032 (The Business Research Company)

INDUSTRIAL APPLICATIONS

Hydraulic and Instrumentation (H&I): small diam, ultra clean, high-precision tubes Global growth forecasted of 2.9% in 2024 (International Monetary Fund)

THREE CLEARLY DIFFERENTIATED PHASES

2030 VISION

HIGH VALUE SOPHISTICATED SOLUTIONS PROVIDER FOR ENERGY AND MOBILITY

Significant savings achieved and increase of competitiveness in all

our business units

RESTRUCTURING

& PREPARING

Growing sectors and current backlog allow to anticipate strong financial results and a cash generation period

DELIVERING STABLE RESULTS AND CASH

GENERATION

new mobility solutions

BACKED BY FIVE SOLID STRATEGIC AXES

ANTICIPATING OUR SUSTAINABILITY TARGETS AHEAD OF EXPECTATIONS

(1) Group companies' intensities weight by energy use (2) Group companies' intensities weight by emissions *The comparison refers to 2019 since 2020-2021 are not representative due to Covid's situation

INTERNATIONAL RECOGNITION

ENVIRONMENT

SUSTAINABLE VALUE CHAIN

PEOPLE

leading position in the world's most prestigious climate change index

S&P Global

Topic	Score	Percentile
TOTAL	48 (+8)	90 (+4)
Governance	60 (+6)	94 (+3)
Environment	45 (+12)	87 (+3)
Social	41 (+9)	89 (+4)

WITH MORE THAN 50 PROJECTS LAUNCHED ACROSS THE TUBACEX GROUP SOME ENERGY RELATED INITIATIVES

01 EFFICIENCY 1. Energy efficiency improvements 2. ISO 50001. Energy efficiency certification for all plants 1. PPA European facilities powered by green energy sources 02 RENEWABLES 03 CIRCULARITY 1. Corporate waste management model. 2. Scrap recovery model (>80% waste recycled) 3. Slag and Refractory Recycling CO2 %

CAPITAL MARKETS DAY // 30

DECARBONIZATION OF OUR STEEL MILL

The defined roadmap incorporates technologies such as oxycombustion, electrification, CO2 capture, and hydrogen.

Vision: To be the European leader in the production of green stainless steel

2025 2030 t

A SOUND BALANCE SHEET TO CAPITALIZE ON FUTURE GROWTH

2019 Q3 2023 Net Financial Debt / EBITDA 3.84x 2.5x Main ratios Cash Conversion Ratio Working Capital over sales Net debt / EBITDA >50% 30% 2-3^x

Focus on cash generation

Continue with strict CAPEX control and disciplined capital approach
Reduction of working capital
Analyzing potential divestments or integrate financial partners
Solid financial strategy

CAPITAL MARKETS DAY // 31

MITIGATING BUSINESS FLUCTUATIONS FOR STEADY OUTCOMES

DIVERSIFICATION

continue to develop our presence in Aerospace and H&I segments, as well as Low Carbon business

UNIQUE GLOBAL FOOTPRINT

RAW MATERIAL AND ENERGY HEDGING mechanism to prevent volatility caused by raw

material and energy prices

LONG TERM AGREEMENTS

LONG TERM AGREEMENTS PROVIDING HIGH VISIBILITY

In 2022 order book stood at €1.6bn, the highest level in the group's history with a significant percentage of high value-added products.

More than 30 long-term agreements signed with most relevant end users.

CASE STUDY I

LONG-TERM AGREEMENTS IN OCTG WITH LARGE BUSINESS PLAYERS

OIL & GAS ABU DHABI

Global energy demand growth driven by the necessity of securing an affordable energy supply • First OCTG manufacturing in the Middle East • \$100 million project • 30,000 tons over ten 1st State-of-the-art CRA-OCTG manufacturing plant in the Middle East

INDUSTRY AND AEROSPACE & DEFENSE years • 50,000 square meters plot • 150 employees • 3 production plants • 3 service centers (Completion expected by the end of 2024)

\$1bn ORDER VALUE

\$100M INVESTMENT VALUE

Fast growing and very profitable sectors

100,000 M² PLOT

LOW CARBON & OTHER ENERGIES 150 EMPLOYEES

'In Country Value' program
'Make it in the Emirates'

BRAZIL

Value added operation and services based on a LTA with Petrobras, for the supply of OCTG tubes

€300M ORDER VALUE

Streamlined Project Execution

Expertise in inventory oversight and regulation
Integrated solutions for logistics and warehousing
Management of rig preparation and post-operation rig returns

Inevitable shift toward renewable energy Service Excellence

Global running services supervision
API, ISO registered quality management systems
24/7 technical support service

TUBACEX AND AKER SOLUTIONS FORGE CO-CREATION PARTNERSHIP CURRENT STABILITY CASE STUDY II

A MODEL OF ENERGY SECURITY AND SUSTAINABILITY

Within its Long-Term Agreement Program with the Norwegian Aker Solutions A/S, Tubacex signed a framework contract for 3 relevant hydrocarbon reservoir projects in the North Sea. Gas supply is critical for securing energy requirements in the region, thereby addressing the current situation with Russia.

The agreement consists of the supply of state-of-the-art Tubacex designed and produced umbilical pipes in addition to the material supply, it is mutually agreed to work together on:

ENGINEERING

Optimization of product dimensions to reduce costs
Avoiding "overengineering" in the manufacturing process, aiming for more efficient delivery

Of Project Management activities

SUSTAINABILITY

Monitoring and reviewing CO2 emissions throughout the material manufacturing process, aiming for a sustainable product footprint
Optimization of logistics, prioritizing maritime transportation over other methods
Implementation of a circular economy, recycling surplus pipes as scrap and reusing packaging elements

CASE STUDY III

A SOLUTION PROVIDER IN POWERGEN NUCLEAR ENERGY

NUCLEAR REACTOR COOLING PIPE CORROSION: EDF/ 2022

THE CHALLENGE

October 2022: Twenty-six of France's 56 nuclear reactors are offline for maintenance or because of corrosion on piping that cools the reactor cores. Fixing the corrosion is taking longer than expected at several reactors, delaying their restart by as much as six weeks, according to regulatory filings and a French nuclear executive familiar with the matter.

EDF, the world's largest owner of nuclear plants, is one of Western Europe's most important power companies. Its fleet of reactors normally exports large quantities of low-cost nuclear powerto neighboring countries, helping stabilize prices across the region.

THE SOLUTION

Tubacex was awarded with the pipe and fitting design and manufacturing Project, includes approximately 700 fittings and 400 m of pipes which were delivered in 5 lots spread through 2022-2023 in a fast-track mode.

Production was extraordinary complex due to several constraints:

Tight delivery schedule
Paperwork accompanying the material is relevant due to the safety class of the material (Class I)
Every single piece is fully tested before packing
A permanent team of third-party inspectors from the Nuclear RegulatoryAgency as well as from the end user
The supplier of the material must provide the order with zero defect parts

Project management service is very demanding with daily reports of manufacturing status.

All information is exchanged through the EDF portal. Daily Exchange of EDF-IBF Project teams. GNMS exclusive PM engineerfor the project.

MAINTAINING A STABLE AND ROBUST OPERATING PROFITABILITY

Focus on our lean operations and production systems
Constant optimization of our production processes
Flexibility as a key lever, continuously adapting our organization structure
Management model based on continuous improvement
All companies delivering positive results
Robust results

Correct product allocation

€93.8M

14.6%

€1,630M

€641.9M

BUSINESS LINES ALIGNED WITH SOCIETY'S DECARBONIZATION GOALS

A POWERFUL STRUCTURE FOR A NEW ERA

Supporting our customers in their decarbonization processes

Traditional

Oil & Gas E&P
Industrial
Precision and transportation
Powergen
Diversification
Aerospace
Nuclear
Health

Offering low carbon solutions for energy generation, storage and transport

Projects focused on energy storage and transport, backed by CCS (Carbon Capture and Storage) and H² solutions
Tailor-made solutions for low carbon segments and materials for hydrogen applications

Analyzing organic and inorganic growth in energy and mobility Sectors

M&A
Greenfield projects
Complementary companies that allow us to boost our diversification process

WE HAVE ALREADY MADE GREAT PROGRESS

CAPITAL MARKETS DAY // 38

ANTICIPATING TWO YEARS THE ACCOMPLISHMENT OF THE MAIN OBJECTIVES

A SUCCESSFUL AND VISIONARY STRATEGY CONTRIBUTING TOWARDS A FRUITFUL RESULT

SUMMARY

TUBACEX HAS MADE MORE PROGRESS THAN EXPECTED IN MEETING ITS STRATEGIC OBJECTIVES

WE HAVE UPDATED OUR STRATEGIC PLAN WITH NEW OBJECTIVES UP TO 2027

KEY POINTS OF OUR NEW PLAN:

Moving forward on ourfive strategic axes
Diversifying our current businesses and gaining market share in new sectors
Growing both organically and inorganically
Taking advantage of the acceleration of Low Carbon:
- o We have been preparing for this transition for a long time and investing in new developments
- o Last year we created the Low Carbon Solutions business unit

ALMOST TWO YEARS AHEAD OF EXPECTATIONS

TUBACEX: A PROACTIVE ROLE IN THE ENERGY TRANSITION

FACILITATING ITS CLIENTS THE ACHIEVEMENT OF THEIR GOALS

CONVENTIONAL ENERGY

To accompany our clients in their decarbonization processes and successfully contribute to them

Increase in gas consumption
Relaunching of nuclear projects
New technologies to reduce CO2 emissions
Help our clients to increase the efficiency of their processes

LOW CARBON EMISSION ENERGY

To play a key role in production, storage and transport solutions for low emission sources of energy

Applications and materials specifically designed for new energy sources (i.e. Hydrogen, biomass, etc)
Specific developments for Carbon Capture

BOTH CONVENTIONAL AND LOW CARBON TECHNOLOGIES REQUIRE MATERIALS THAT ARE HIGHLY RESISTANT TO CORROSION, TEMPERATURE AND PRESSURE

INNOVATION AS A LEVER OF OUR TRANSFORMATION TOWARDS THE NEXT TRANSITION

CAPITAL MARKETS DAY

NOVEMBER 21st, 2023

Diego Herrero Corporate Innovation Director

CAPITAL MARKETS DAY // 42

EVOLVING WITH THE WORLD

Source: DNV ETO 2023

R&D expenditure related to energy transition

ENERGY TRANSITION FOR TUBACEX

HYDROGEN BY TECHNOLOGY

CAPITAL MARKETS DAY // 45

Historical data source: IEA Future of Hydrogen (2019), IEA Global Hydrogen Review (2021) Does not include hydrogen use in residual form from industrial processes.

Source: DNV ETO 2023

Two complementary technological routes
Existing products for both of them, and developing high value solutions

MATERIALS FOR HYDROGEN APPLICATIONS

CURRENT PROJECTS BEING DEVELOPED FOR THE DIFFERENT HYDROGEN-RELATED TECHNOLOGICAL CHALLENGES

HIGH TEMPERATURE:

Blue hydrogen: New reformer designs

Alloy 699XA

LOW TEMPERATURE:

Standard stainless steel grades are widely used for hydrogen applications. Increasing demand for precision tubing
More advanced materials under development

OFFSHORE WIND TO H² :

Long distance transport

Bimetallic tubes

MATERIALS TECHNOLOGY PARTNER FOR EMERGING CHALLENGES

1 HYDROGEN

MATERIALS AND COMPONENTS FOR ELECTROLYZERS

PARTICIPATING IN SEVERAL R&D PROJECTS TO DEVELOP ADVANCED MATERIALS AND COMPONENTS

NEW BUSINESS MODELS. COMPONENTS FOR ELECTROLYZERS

GEARED UP FOR DELIVERING VALUE TO MAIN ELECTROLYZER OEMS

	PROTOTYPE / FEW UNITS	SERIAL PRODUCTION
PRODUCT	Tubes / pipes off-the-shelf	Functional parts
SERVICE	Stock	Just in Time
QUALITY	Standards	Total Quality Management Zero defects Integrated process Validation for plug&play
DESIGN	Conventional	Co-Design Total costreduction Easy to assemble
COST	High	Total cost >20% lower

CAPITAL MARKETS DAY // 48

NEW BUSINESS MODELS

Actively looking for partnerships to develop new business models

Example: Waste to hydrogen project

Parnership with a technology developer (Novargi)
JV 50/50
Demo project funded by EU (innovation fund)
Expected operation of pilot plant: 2025
The business model focuses on commercializing the technology, once it is validated

1 HYDROGEN

OVERVIEW OF HYDROGEN STRATEGIES

ENHANCE CURRENT OFFERING BY:

Optimizing precision tubing capacity worldwide
Adding and promoting new alloys

EXPLORE NEW MATERIALS SOLUTIONS:

Materials for electrolizer stacks
Ceramic coatings
Bimetallic tubes

DEVELOP NEW BUSINESS MODELS:

Serial production of tubular components for electrolizers
Technology partnerships (e.g.: Waste to H² )

NEW SOLUTIONS FOR FERTILIZER PRODUCTION

CREATION OF A NEW EMERGING BUSINESS UNIT DRIVEN BY R&D

New steel grades for the urea synthesis process
Very close relationship with technologists Need for co-development
Long validation processes
Need to manufacture and supply the full range of materials

(plates, flanges, fasteners, welding material...). Not only products manufactured by Tubacex, but also by industrial partners

1 HYDROGEN

CAPTURE CARBON CAPTURE FOR TUBACEX ²

CO² CAPTURE & STORAGE

CCS steps

Substantial increase in demand of CRA downhole tubulars due to corrosive environment
Different conditions and new technical challenges compared to Oil & Gas, bring opportunities for technical development and optimization. Ongoing collaborations
New players, and demand for tubulars along the value chain, create opportunities for new business models, with an integrated approach

Other / in evaluation Iron And Steel Production

DAC Oil Refining Fertilizer production Chemical production Cement production Ethanol production Natural gas processing Ammonia / Hydrogen Power Generation 2021 Outlook

POSITIONING AS A FULL SERVICE SUPPLIER

CIRCULAR ECONOMY

BIOFUELS/SYNTHETIC FUELS /BIOPLASTICS

PARADIGM SHIFT: FROM REFINERY TO ENERGY HUB

THE INCREASED COMPLEXITY OF THE PROCESSES

is driving a new CAPEX cycle, with smaller and more diverse projects

THE PROCESS OF WASTE LEADS TO HIGHER CORROSIVITY AT THE INITIAL STAGES,

so more nickel alloys are required. This is also an opportunity for ceramic coatings

LOWER EMISSIONS AND HIGHER EFFICIENCY HYDROGEN PRODUCTION

will increase demand for stainless steel tubulars and high-end alloys (e.g.: 699XA)

CO² CAPTURE, AND TRANSPORT AND STORAGE

will increase demand for more products within the Tubacex portfolio

Source: Repsol

SMALL MODULAR REACTORS

NUCLEAR ENERGY

The size of the potential global SMR market is expected to be approximately 65-85GW by 2035, valued at £250-£400bn* (Source: UK National Nuclear laboratory)

* Estimated equivalent in Euros at current exchange rate: €287-459bn

2020-2030

SIZE (MWe)	MODEL	COMPANY	COUNTRY	TYPE OF REACTOR	INTEGRATED 5G (Y/N)
5	E-VINCI	WESTINGHOUSE	USA	PWR	Y
440	UK SMR	ROLLS ROYCE	UK	PWR	N
60	VOYGR	NUSCALE	USA	PWR	Y
300	BWRX-300	GE-HITACHI	USA	BWR	Y

2030-2040

SIZE (MWe)	MODEL	COMPANY	COUNTRY	TYPE OF REACTOR	INTEGRATED 5G (Y/N)
300	SSR-W WATSS	MOLTEX	USA	MSR	Y
200	IMSR	TERRESTRIAL ORNL	CAN	MSR	Y

TUBACEX STRATEGY:

Early engagement with designers

of tubular components

Co-development

Prototypes manufacturing and validation

INNOVATION STRATEGY APPROACH

CAPITAL MARKETS DAY // 55

Improve the competitiveness of our current offering COMPETITIVENESS

NEW PRODUCTS/TECHNOLOGIES

Develop new products/technologies for the emerging energy transition topics

Move up in the supply chain to provide a more integrated/higher value proposition

Decarbonize our own operations DECARBONIZE

NEW BUSINESS LINES

Create new business lines through partnerships with technological leaders or breakthrough innovators

TUBACEX LOW CARBON BUSINESS UNIT

CAPITAL MARKETS DAY

NOVEMBER 21st, 2023

Miguel Gómez Lacabex

Corporate Business Development Director Managing Director Low Carbon

CAPITAL MARKETS DAY // 56

INTRODUCTION

THE ENERGY TRANSITION BRINGS MANY OPPORTUNITIES LEADING TO AN INCREASED USAGE OF OUR ADVANCED MATERIALS

This background has allowed Tubacex low carbon business unit to launch its operations on different industries where our advanced materials will play a key role

Our Low Carbon vision in this Business Unit is the following:

To be used as a platform for growth for all Low Carbon initiatives within the Group 1
2 3

To increase our exposure to key energies in the long-term transition
To help decarbonize our own and our customers' operations
To leverage our position as technical leader of advanced materials looking for synergies with our traditional business
To profitably generate a €100M revenue by 2027

LOW CARBON BUSINESS UNIT: SCOPE

1. HYDROGEN: SIZE OF THE OPPORTUNITY & TUBACEX STRATEGY

ADDRESSABLE MARKET TUBACEX STRATEGY

Hydrogen power generation capacity by region, NZS

Source: Bloomberg New Energy Finance

To be the technical leader in advanced materials used by the hydrogen industry

To lead disruptive technologies that will play a role in the development of the hydrogen industry

To supply integral tubular solutions for the hydrogen industry

1. HYDROGEN: SIZE OF THE OPPORTUNITY & TUBACEX STRATEGY ¹

TECHNICAL LEADER IN ADVANCED MATERIALS

Alloy 699XA

▪ Increased metal dusting resistance for hydrogen production

Dedicated steel grades

▪ Improved Hydrogen embrittlement resistance at low temperature. High mechanical strength with increased flow rate

TO LEAD DISRUPTIVE TECHNOLOGIES INTEGRAL TUBULAR SOLUTIONS

Unique technology for waste to hydrogen projects
Disruptive model that will positively impact municipalities and hydrogen consumers

One-stop-shop tubular solutions for the electrolyzer market
Running project in Spain with Accelera (Cummins)
Scalability on a global basis

TARGET MARKET SHARE

2. CARBON CAPTURE UTILIZATION & STORAGE: AN EMERGING MARKET WITH SIGNIFICANT POTENTIAL FOR TUBACEX

Carbon Capture is becoming a key tool to accelerate the Energy Transition, with a pipeline of projects on execution and planning stages expected to grow exponentially during the next five to ten years

Class VI Permit Tracker 10/27/2023

The US market has positioned itself in a privileged position for developing the required infrastructure to develop the Carbon Capture industry, with the North Sea in Europe and Australasia as other key hubs

US Announced Carbon Capture Projects

Source: Environmental Protection Agency (EPA)

2. CARBON CAPTURE: SIZE OF THE OPPORTUNITY AND TUBACEX STRATEGY

ADDRESSABLE MARKET TUBACEX STRATEGY

OCTG Demand Carbon Capture €M

CAPITAL MARKETS DAY // 62

2. CARBON CAPTURE: EXISTING PROJECTS AND ADDRESSABLE MARKET ²

INTEGRATED TUBULAR SOLUTIONS LEVERAGING OUR POSITION IN CRA

To develop a unique value proposition for advanced materials in the whole emerging Carbon Capture supply chain
First projects already delivered supplying full set of tubular products in advanced materials (e.g.: Brevik project for Aker Carbon Capture)
Local presence in key markets (US, Norway) will be required

OCTG TUBULAR SOLUTIONS

To continue positioning ourselves as the leading supplier of CRA OCTG tubular solutions for the injection of CO² in Carbon Capture projects
To lead the technical solution of the highly corrosive environment for CO² injection
First projects already in backlog: Summit Carbon Solutions and Verde CO²

PARTICIPATE IN THE DESIGN AND ENGINEERING STAGES

Carbon Capture is an emerging market that is currently facing technical and administrative challenges as may be expected in any new industry
Tubacex is leading technical discussions with key players in the sector to bring the operations to the highest level of efficiency in a highly corrosive environment

TARGET MARKET SHARE

5-10% 10-20%

3. FERTILIZERS & AMMONIA: SIZE OF THE OPPORTUNITY & TUBACEX STRATEGY ³

ADDRESSABLE MARKET TUBACEX STRATEGY

€M

Source: company estimates

To increase current market share by leveraging the investments made over the past years to develop two new steel grades especially designed to better withstand the corrosive environments of a fertilizer/ammonia plant

To position Tubacex with a unique value proposition in the market including all tubular products in advanced materials and an enhanced service for just in time deliveries

To expand our business model to other adjacent industries (e.g.: nitric acid…)

3. FERTILIZERS & AMMONIA: EXISTING PROJECTS AND ADDRESSABLE MARKET

TO INCREASE MARKET SHARE WITH OUR NEWLY DEVELOPED MATERIALS

To develop a strategic agreement with Saipem by leveraging on co-developed Steel grade
To increase market share by developing an existing strategic agreement with Casale

TO DEVELOP AN INTEGRAL SOLUTION WITH JUST IN TIME DELIVERIES

Availability as a key differentiating factor from competitors
To develop existing agreements with third parties to ensure complementary products: forgings, wire, ferrules, etc.
Service Center in Italy as a key hub for technological partners

TO APPROACH NEW INDUSTRIES WITH SIMILAR TECHNICAL CHALLENGES

To leverage on existing platforms for urea market to approach adjacent industries: nitric acid
To look for the right partnerships

TARGET MARKET SHARE

4. CIRCULAR ECONOMY: TUBACEX STRATEGY ⁴

Source: Repsol

The pursuit of a reinforced circular economy is leading to significant technical challenges that require advanced materials like ours

In parallel, Tubacex has also developed innovative products that aim to reduce the CO² emissions of our customers

TUBACEX STRATEGY

4. CIRCULAR ECONOMY: TUBACEX STRATEGY

TO REDUCE THE CO² EMISSIONS OF OUR CUSTOMERS

To continue with the penetration of our advanced coatings, thus drastically reducing CO² emissions of high emitting industries
Recent customers include Aramco, Exxon, BP, Shell, ENOC

TO LEAD THE TECHNICAL CHALLENGES OF THE CIRCULAR ECONOMY

Waste to any kind of energy leads to higher levels of corrosion where our advanced materials are increasingly used
Biofuels, synthetic fuels and bioplastics are generating a stronger market share for our products' portfolio
We expect disruptive technologies to be developed in this area where we will play a key technical role

TARGET MARKET SHARE

(1) Patented solution

LOW CARBON BUSINESS UNIT

CONCLUSIONS

Tubacex Low Carbon is a reality with existing sales in different applications RUNNING BUSINESS GO TO MARKET STRATEGY

We have a clear Go To Market strategy and value proposition for our existing four targets (Carbon Capture, Hydrogen, Fertilizers & Ammonia, and Circular Economy)

THE LOW CARBON UNIT

THE LOW CARBON UNIT HAS BEEN CREATED TO ACCOMPANY OUR CURRENT CUSTOMERS

The Low Carbon global market is expected to grow exponentially

We hold a conservative approach; however, the energy transition will be a reality regardless of the speed at which it occurs

Low Carbon could become one of Tubacex's most important business in the future

READY TO ADDRESS ENERGY TRANSITION CHALLENGES

CAPITAL MARKETS DAY // 69

THE WORLD IS MOVING TOWARDS DECARBONISATION OF ENERGY SOURCES

SECURING ENERGY SUPPLY IS OUR PRIORITY

ENERGY DEMAND INCREASE

To secure a sustainable, affordable and reliable energy

RENEWABLES & CONVENTIONAL ENERGY NEED TO COEXIST

To develop low carbon emissions sources of energy (Carbon Capture, Hydrogen, Biomass, etc.)

HUGE EFFORT IN CO² REDUCTION

To decarbonize current processes

AT TUBACEX WE ARE A RELEVANT PLAYER IN THE ENERGY TRANSITION, CONTRIBUTING TO SECURE ENERGY SUPPLY

NT² 2027

DRIVING THE NEW TUBACEX TOWARDS THE NEXT TRANSITION

CAPITAL MARKETS DAY // 71

NEW TUBACEX

A GLOBAL LEADER IN ADVANCED INDUSTRIAL SOLUTIONS FOR ENERGY AND MOBILITY

THE NEW TUBACEX

A UNIQUE POSITION

Solid financial results (nine consecutive quarters of improved results)
2021-2025 plan executed under normal market conditions

Privileged position within the industry to take advantage of current expansion cycle

Successful cost reduction project
Organic ADNOC project replaces anticipated growth through M&A in the plan
Significant growth in Low Carbon products, aligned with energy transition
Industry growth and current backlog allow to anticipate strong results and cash generation period

The current perimeter allows us to meet strategic objectives

Firm commitment to sustainability principles that has led us to become a point of refence in our sector

Multi-energy and mobility. Providing solutions for all technologies

In certain products where we already hold a strong market position TO LEAD THE NEXT TRANSITION

CAPITAL MARKETS DAY // 73

SIGNIFICANT UPSIDES SUBSTANTIAL GROWTH OPPORTUNITIES IN

LOW CARBON BUSINESS

NUCLEAR PROJECTS

AERONAUTICS & SPACE EXPLORATION INDUSTRIAL APPLICATIONS

FINANCIAL PARTNERSHIPS TO SHARE NEW INVESTMENTS IN NEW SEGMENTS

UNLOCKING THE VALUE OF R&D DEVELOPMENTS

COMMITTED TO MEETING EVEN MORE AMBITIOUS TARGETS

NT² 2027 TARGETS

THE NEXT TRANSITION

REDUCE OIL & GAS EXPOSURE TO 1/3 OF THE BUSINESS

MARKET LEADERS IN LOW CARBON BUSINESS

TO BE A POINT OF REFERENCE IN SUSTAINABILITY

THE NEW TUBACEX

REVENUE

€1,200-1,400M

Including potential investment in inorganic growth (M&A)

SHAREHOLDERS' REMUNERATION: 30-40% PAY-OUT

MANAGEMENT TEAM EXTENSIVE EXPERTISE AND A PROVEN TRACK RECORD

TUBACEX FINANCIAL HIGHLIGHTS

CAPITAL MARKETS DAY

NOVEMBER 21st, 2023

Guillermo Ruiz-Longarte Corporate Financial Director