C.N.T.E.E. Transelectrica

Capital/Financing Update • May 4, 2018

To the: Bucharest Stock Exchange – Department of Operations Issuers Regulated Markets

Financial Supervision Authority - General Directorate Supervision - Issuers Division Date of the report: 04 May 2018 Name of Issuing Company: CNTEE TRANSELECTRICA SA, Company Managed in Two-tier System Headquarters: Bucharest 1, Blvd Gheorghe Magheru 33 Working location: Bucharest 3, Str. Olteni 2-4 Phone / fax numbers: 4021 30 35 611 / 4021 30 35 610 Single registration code: 13328043 LEI code: 254900OLXCOUQC90M036 Number in the Trade Register: J40/8060/2000 Share capital subscribed and paid: 733,031,420 Lei Regulated market where the issued securities are transacted: Bucharest Stock Exchange

Communiqué

The National Power Grid Company "Transelectrica" SA hereby informs the interested public investors regarding the conclusion of the agreement for financing through European funds of the project of common interest "Internal line between Cernavodă and Stâlpu" between the European Commission and Transelectrica.

The National Power Grid Company Transelectrica SA collected the first tranche, amounting to 2.2 million euro, from the funds approved in January by the European Commission for building the high-voltage internal line Cernavodă-Stâlpu, one of the projects of common interest. The total value of the grant approved by the European Commission via the Connecting Europe Facility amounts to 27 million euro. This amount covers 50% of the investment's eligible expenses, the rest of the amount will be covered through the Company's own financial sources. The deadline for completion of the investment is December 31st, 2020.

"The Cernavodă - Stâlpu 400 kV line is the first project to receive funding out of the six projects of Transelectrica on the European Commission's list of projects of common interest. This grant is the result of the extraordinary efforts made by Transelectrica's teams of experts and of the consistent endeavors from recent months in order to accelerate the Company's investment program", says Georgeta - Corina Popescu, Chief Executive Officer of Transelectrica.

The Cernavodă – Stâlpu d.c. 400 kV line aims at strengthening the cross section between the West coast of the Black Sea (Eastern Romania) and the rest of the European system, contributing at the same time to the strengthening of the Romanian electricity transmission grid, the increase in interconnection capacity between Romania and Bulgaria and the integration of wind energy in the Dobrogea area.

The new 400 kV line will have a length of ca. 160 km and in order to commission it, we must construct the Stâlpu 400 kV substation and extend the Cernavodă and Gura Ialomiței substations.

Georgeta - Corina POPESCU Executive Director General Directorate Chairperson

Dan - Valeriu ARDELEAN Directorate Member

LANGUAGE DISCLAIMER: This document represents the English version of the original official Romanian document filed with the Financial Supervisory Authority ASF. The English version has been created for English readers' convenience. Reasonable efforts have been made to provide an accurate translation, however, discrepancies may occur. The Romanian version of this document is the original official document. Any discrepancies or differences created in the translation are not binding. If any questions arise related to the accuracy of the information contained in the English version, please refer to the Romanian version of the document which is the official version.