PNE AG — Investor Presentation 2024

Apr 1, 2024

PNE – PURE NEW ENERGY

COMPANY PRESENTATION

April 2024

DISCLAIMER

This presentation is for information purposes only and does not constitute a public offer or invitation to subscribe for or purchase any securities of PNE AG and neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. This presentation is being furnished to you solely for your information and may not be reproduced or redistributed to any other person in whole or in part.

All information contained herein has been carefully prepared. Nevertheless, we do not guarantee its accuracy or completeness.

The information contained in this presentation is subject to amendment, revision and updating. Certain statements contained in this presentation may be statements of future expectations and other forward-looking statements that are based on the company's current views and assumptions and involve known and unknown risks and uncertainties. Actual results, performance or events may differ materially from those in such statements as a result of, among others, factors, changing business or other market conditions and the prospects for growth anticipated by the management of the Company. These and other factors could adversely affect the outcome and financial effects of the plans and events described herein. The Company does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

The distribution of this document in other jurisdictions may be restricted by law and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Any failure to comply with these restrictions may constitute a violation of applicable Securities Laws.

AGENDA

01 – COMPANY PROFILE & BUSINESS MODEL

PNE – FULL OF ENERGY

WE ARE ONE OF THE MOST EXPERIENCED PROJECT DEVELOPERS IN THE FIELD OF RENEWABLE ENERGIES

• » > 25 years industry experience
• » Active in 15 countries on 4 continents
• » Leading wind park developer in Germany
• » No. 2 O&M Manager in Germany with > 2,900 MW
• » > 6,500 MW of renewable energy projects realised
• » > € 13 billion of investments initiated
• » Clean energy for > 4.3 million households, savings of > 9.3 million t CO2 p.a.
• » Attractive wind and PV pipeline of > 19.1 GW / GWp
• » Internally operated portfolio with a capacity of > 369 MW

OUR INTERNALLY OPERATED WIND FARMS

• » PNE is becoming more and more of an electricity producer: 29 internally operated wind farms in Germany Independent Power Producer (IPP)
• » Further markets for our own generation portfolio: France & Poland Spain & Italy only PV

6 Company presentation

WE ARE A RELIABLE PARTNER. OUR WORD COUNTS.

COMPREHENSIVE INDUSTRY KNOW-HOW, CONTINUITY & RELIABILITY

• » CEO since May 2016 (COO 2011 2016)
• » Industry experience since 2000
• » Project development, implementation, international markets, sales, M&A, purchasing, communication/IR
• » Associations: Member of the Board of BDEW, Member of the Board of WAB, Chairman of the Energy and Environment Section of the Economic Council in Lower Saxony

HARALD WILBERT Chief Financial Officer (CFO)

• » CFO since April 2024
• » >25 years of experience in finance with a focus on energy and technology
• » Controlling, accounting, treasury, taxes, risk management, human resources

BUSINESS MODEL COVERING THREE SEGMENTS

COMPLEMENTARY BUSINESS AREAS OFFER STABILITY AND GENERATE SYNERGIES

Project Development

• » Onshore and offshore wind energy
• » Photovoltaics (PV)
• » Hybrid solutions (wind, PV and/or battery storage/hydrogen storage)
• » Diversified project pipeline of >19.1 GW/GWp

Electricity Generation

• » Erection and operation of internal strategic generation portfolio of up to 1,500 MW/MWp by until 2027
• » >368 MW of onshore wind farms in operation

Services

• » Technical and commercial management – >2,900 MW under management
• » Construction management & grid connection
• » Financial services
• » Technical tests
• » Services for energy supply, e.g., power purchase agreements (PPAs)

BUSINESS MODEL ALONG THE ENTIRE VALUE CHAIN

POTENTIAL FOR DIVERSE GROWTH

WIND | PV | STORAGE | POWER-TO-X

UNIQUE TRACK RECORD

SIGNIFICANT TRANSACTIONS IN RECENT YEARS

> 19.1 GW PROJECT PIPELINE OFFERS EXCELLENT VISIBILITY

PIPELINE OF OFFSHORE WIND ENERGY PROJECTS FILLS UP WITH 2,500 MW

OFFSHORE WIND

ENTRY INTO DEVELOPMENT ABROAD

Project development in Vietnam

• » Project area identified (total 2,000 MW in 3 phases)
• » Team established
• » First development work has begun
• » Memorandum of understanding signed at the level of the province designated for the future feed-in of energy
• » Future remuneration system for electricity from offshore wind turbines currently being developed by the government

Project development in Latvia

• » Project area off the west coast of Latvia
• » Development in a 50/50 joint venture with Swedish partner (total 1,000 MW)
• » Early project stage
• » Project earmarked for future tendering system

02 - MARKET & STRATEGY

THE CURRENT MARKET ENVIRONMENT ACCELERATES THE ENERGY TRANSITION

WE CAN BENEFIT FROM THIS

STRONG GROWTH OF THE RENEWABLE ENERGIES MARKET

HIGH DEMAND LEADS TO ATTRACTIVE SALES PRICES

» Worldwide electricity generation (GWh/yr)

* Source: DNV GL – Energy Transition Outlook 2021

NEW TECHNOLOGIES OPEN UP NEW OPPORTUNITIES IN THE MARKET

FOCUS ON THE VALUE CHAIN AFTER ELECTRICITY GENERATION

Source: e/m/w 2017

FURTHER DEVELOPMENT TO BECOME A CLEAN ENERGY SOLUTIONS PROVIDER

EXPANSION OF THE BUSINESS TO FULLY BENEFIT FROM MARKET DEVELOPMENTS

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OUR COMPREHENSIVE ANALYSIS OF THE MOST IMPORTANT MARKETS AND DEVELOPMENTS SHOWS: THE MARKETS ARE IN MOTION, CREATING CHALLENGES BUT ALSO OPPORTUNITIES. OUR RESPONSE TO MARKET DEVELOPMENTS:

EXPANSION AND EXTENSION OF OUR SUCCESSFUL BUSINESS MODEL

Targets:

• » Exploit the market opportunities of the expansion of clean energies while minimising the risks (Resilient Model)
• » Establish and expand a low-volatility, stable, predictable and increasing earnings stream at low cost and thus continuously increase the value of the company
• » Benefit from as many also future value drivers in the clean energy sector as possible

Power generation: Massive expansion of the existing portfolio in the areas of wind onshore and PV

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Project development: Expansion of development in the areas of wind onshore, wind offshore, PV and hybrid projects with electrolysers for hydrogen production, battery and gas storage as well as heat generators (CHP)

Services: Expansion of additional products as services in the areas of electricity trading, optimisation of wind and PV projects, life cycle management of clean energy projects, engineering services e.g. stand-alone clean energy solutions, power purchase agreements (PPAs)

WE WANT TO IMPROVE IN ALL AREAS

20 Company presentation

• » EBITDA is expected to be >euro 150 million in 2027. The EBITDA of 2022 (euro 35.4 million) and 2023 (guidance euro 30-40 million) should therefore more than multiply by 2027!
• » We want to expand the internally operated portfolio to 1,500 MW/MWp, sell an additional >600 MW/MWp of projects on average p.a. and increase the pipeline to >20 GW/GWp
• » PNE plans to invest 1.6 billion euro in its internal portfolio from 2023 to 2027 and to make further investments in new markets and technologies

OUR OPERATIONAL MILESTONES

• » Building permit 1st hybrid project wind/PV/possibly hydrogen
• » Building permit 1st large-scale PV project with >100 MWp

• » Additional market for offshore wind
• » Completion of the 1st large-scale PV project
• » Further new market for services

• » 1,500 MW/MWp internal portfolio in operation or under construction
• » Finalisation of Scale up 2.0

Continuously improve processes and carry out certifications Process ESG requirements Unify IT – expand cloud structures Develop the organisation

1. ELECTRICITY GENERATION

MASSIVE EXPANSION OF INTERNAL ELECTRICITY GENERATION PORTFOLIO

Areas:

• » Electricity generation portfolio
• » Currently, > 369 MW wind in Germany

Targets/ measures:

• » Increase of the electricity generation portfolio up to 1,500 MW/MWp (1,000 MW wind energy / 500 MWp PV)
• » Markets wind and PV: Germany, France, Poland
• » PV markets exclusively: Italy and Spain.
• » Criteria for IPP markets:
  • » Stable political environment with long-term expansion targets for clean energies
  • » Good wind or solar radiation conditions
  • » Stable tariff system

Remark:

• » PNE builds up an electricity generation portfolio from its own project development work » The focus is also on the continuous optimisation of all plants in order to ensure high technical availabilities and
  • an optimised yield structure, as well as to sell the green electricity at the best possible prices.

II. PROJECT DEVELOPMENT I - WIND AND PV

PROJECT PIPELINE IS GROWING

Areas:

• » Wind energy
• » Onshore
• » Offshore
• » PV

Targets / measures:

• » Massive increase in the greenfield and repowering project pipeline
• » Development of offshore wind energy projects abroad (Vietnam and a further market)
• » Land availability is limited increase in expansion possibilities through integration of hybrid projects (combination of wind/PV and new technologies such as Power-to-X or E-Fuels)
• » Projects outside the IPP markets are sold

» Currently (Q3 2023), PNE has a project development pipeline of approx. >19.1 GW/GWp. » In 2027, PNE aims to develop a pipeline of >20 GW/GWp of projects - of which approx. >10 GW wind onshore projects, approx. >8 GWp PV projects and >2 GW wind offshore projects. Remark:

II. PROJECT DEVELOPMENT II – NEW TECHNOLOGIES

PNE STRENGTHENS ITS COMMITMENT TO FUTURE TECHNOLOGIES

Areas:

• » Power-to-Liquid (e-fuels such as kerosene etc.)
• » Power-to-gas projects
• » Storage
• » Power-to-heat
• » Hybrid projects

Targets / measures:

• » Projects for power-to-liquid (e-fuels such as kerosene etc.)
• » Projects for power-to-gas hydrogen as an alternative to the electricity market
• » Storage, e.g. battery storage
• » renewable energy power plants/island solutions
• » power-to-heat solutions for the replacement of old power plants

• » The technical competence for the development, construction and operation of power-to-X and battery solutions is to be further expanded. Remark:
  • » The focus of activities is on project development of hybrid projects (wind energy or PV and power-to-X or batteries) in Germany, South Africa and Poland. In addition, Canada and Spain are under observation as further future markets.

3. SERVICES

WE MANAGE THE ENTIRE LIFE CYCLE OF A PROJECT

Areas:

» Services of all kinds for the operational business such as: Operational Management, Power Purchase Agreements (PPA), Construction

Targets / measures:

• » PNE aims to become one of the leading operational management companies in Europe
• » Services to be further expanded from 2,900MW in 2023 to >3,500MW of wind and PV projects
• » The aim is to provide additional, recurring, highmargin services over the life cycle of the projects and to offer new utilisation opportunities at the end of the life cycle, e.g. through repowering

Remark:

• » The service segments should follow the development of PNE and the IPP footprint; Germany, France and Spain are the most attractive markets
• » The marketing of electricity, gas and heat from clean energy is also to be strengthened.

03 – OPERATIVE DEVELOPMENTS

STRONG PIPELINE GROWTH AND HIGH CONSTRUCTION ACTIVITY

» Project pipeline continues to reach record growth

In total, our pipeline for wind and photovoltaic projects increased year-on-year to 19,101 MW/MWp (FY 2022: 11,883 MW/MWp). We therefore believe we are well positioned for further development in our core business of project development.

» Rapid expansion of internally operated portfolio

27 Company presentation

The wind farm portfolio operated by PNE had a capacity of 369.8 MW at the end of the fiscal year (FY 2022: 318.9 MW).

» Further increase in the number of plants managed in the service business

The order volume we manage in operations management was increased to approx. 2,900 MW (FY 2022: 2,500 MW). By expanding our service business, we are also helping to further increase the share of steady earnings.

CONTINUOUS INCREASE IN ALL AREAS

VERY GOOD PROGRESS IN THE IMPLEMENTATION OF THE STRATEGY

PNE IS IDEALLY POSITIONED IN THE MARKET

• » As a Clean Energy Solutions Provider, we benefit from the global hunger for clean energy
• » Our integrated business model covers the entire value chain, opens up further growth and margin potential and is resilient
• » The expansion of the electricity generation portfolio will sustainably increase the share of recurring income to >60% and thus further improve the risk profile
• » We occupy future technologies such as hydrogen and develop additional services to participate directly in market development
• » High cash position, secured financing and strong project pipeline ensure the implementation of the strategy
• » Over 25 years of experience, the excellent track record and the comprehensive industry know-how ensure a sustainable leading market position

04 – CAPITAL MARKET INFORMATION

AS SAFE AND SUSTAINABLE AS OUR ENERGY: OUR SHARE.

SHAREHOLDER STRUCTURE OF PNE AG

Shareholder	Share
Morgan Stanley	44.20%
Active Ownership Fund SCS	11.99%
Samson Rock	5.24%
ENKRAFT	4.96%
Goldman Sachs Group	3.04%*

Thereof 3.02 percent of the voting rights over instruments

* On: 31.12.2023 according to published notifications relating to voting rights and directors' dealings

PNE BOND

DEVELOPMENT SINCE 01.01.2023

Unternehmensanleihe Corporate bond

ALEXANDER LENNEMANN

HEAD OF CORPORATE COMMUNICATIONS

alexander.lennemann@pne-ag.com

+49 (0) 4721 718 - 453

CHRISTOPHER RODLER

HEAD OF INVESTOR RELATIONS

christopher.rodler@pne-ag.com

+49 (0) 40 879 331 14