Enagás S A : 2023 Third Quarter Results Presentation

9M2023 Results

October 24, 2023

9M2023 Results

Index

01		02		03		04

3Q2023	9M2023 Results	ESG positioning	Targets and
Milestones:			Conclusions
Execution of the
2022-2030
Strategic Plan.

9M2023 Results

01

3Q2023 Milestones

Execution of the 2022-2030 Strategic Plan

			3Q23 Milestones		Results9M2023		ESG		Targets and
9M2023 Results		01	02	03	04
	Execution of SP 22-30	Positioning	Conclusions

1.1 Milestones achieved in 3Q2023: Execution of the 2022-2030 Strategic Plan

Milestones in the third quarter of the year are aligned with the rapid implementation of the 2022 - 2030 Strategic Plan

Main axes of the 2022-2030 Strategic Plan

Security of supply and investment: focus on Spain and Europe

Closure of the

Hanseatic Energy Hub

Closure of the operation with

Reganosa

Progress on the energy

transition and

hydrogen schedule

Call for Interest process H2Med event in Berlin

Implementation of the efficiency and control plan for operational and financial expenses

Recurrent expenses in line with 2022 and with the objectives of the 2022 - 2030 Strategic Plan

Fixed-rate debt over 80%

4

			3Q23 Milestones		Results9M2023		ESG		Targets and
9M2023 Results		01	02	03	04
	Execution of SP 22-30	Positioning	Conclusions

1.2 Security of supply and investment

Closure of two relevant agreements for Enagás

Closure of Enagás' entry into Hanseatic Energy

Hub (Stade LNG in Germany)

• Enagás has acquired a 10% stake in the consortium Hanseatic Energy Hub (HEH).
• Stade LNG has:
• • A Floating Storage and Regasification Unit (FSRU) commissioning in January 2024.
  • An onshore LNG terminal expected to be operational in 2027, which will be prepared to operate with green ammonia.
• The final investment decision (FID) for the onshore LNG terminal is expected by the end of 2023.

Closure of the agreement between Enagás and Reganosa to create an energy hub in the northwest of the Iberian Peninsula

• On September 29, Enagás and Reganosa closed the agreement:
• • Acquisition by Enagás of Reganosa's gas pipeline network (€53.5 M).
  • Reganosa becomes a shareholder of Musel Energy Hub (25%) for €99.9 M.
• This transaction favours the creation of a large energy hub in the northwest of the Iberian Peninsula.
• Reganosa hands over its position as developer of the hydrogen pipeline between Guitiriz (Lugo) and Zamora, a candidate for the Proyect of Common Interest (PCI) by the European Union, to Enagás.
• Enagás awarded Endesa the contract logistics services for El Musel terminal.

Continuity of the asset rotation policy announced in the Strategic Plan, divesting from non-core assets, as has already been the case of LNG Quintero and Morelos, and focusing on investments in security of supply and decarbonization in Spain and Europe

5

			3Q23 Milestones		Results9M2023		ESG		Targets and
9M2023 Results		01	02	03	04
	Execution of SP 22-30	Positioning	Conclusions

1.3 Progress on energy transition and H2 infrastructure network

Call for Interest process

On September 14, Enagás launched the Call for Interest process for the first axes of the Spanish Hydrogen Backbone Network.

Contrast the market needs for H2 in a non-bindingprocess, as well as those for ammonia, oxygen and CO2

Promote the development of the hydrogen infrastructures needed to meet Spanish and European targets

Dynamize the H2 market by connecting supply and demand as a catalyst with the vocation of a public utility company

Ensure an open, transparent and non- discriminatory process

A process coordinated with the sector's key players , the result of which will help to contextualise national and international hydrogen supply and demand

The vision of the hydrogen infrastructure to 2030 and 2040, in line with similar Call for Interest processes being carried out by other countries for the integration of the future European H2 market

The outcome of the Call for Interest process will be communicated on 31th January 2024

during the II Enagás Hydrogen Day

6

			3Q23 Milestones		Results9M2023		ESG		Targets and
9M2023 Results		01	02	03	04
	Execution of SP 22-30	Positioning	Conclusions

1.3 Progress on energy transition and H2 infrastructure network

Progress on the Call for Interest schedule

2023		2024	2025
CALL FOR			Open Season	Open Season
INTEREST			NON-BINDING	BINDING
• Attracting interest	• Collection of additional information	• Information analysis
• Information analysis	• Information analysis	• Interaction with participants
• Adaptation of initial proposal	• Match-making and interaction with	• Formalisation of agreements
network (2022 market test) and	participants
Infomemo	• Proposed network adaptation and Infomemo

Sept 2023	Oct 2023	Nov 2023	Dec 2023	Jan 2024	Feb 2024	Mar 2024	CALL FOR
INTEREST
					02/01-02/2024
					Webinar/Q&A

Call for interest: 09/22/2023
Opening for the reception of information
09/14/2023		Call for interest: 01/31/2024
Announcement of the Infomemo		Presentation of CFI results during the
Webinar/Q&A process	Call for interest: 11/17/2023	II Enagás Hydrogen Day
	Closure of the reception of
	information

• Note*: Subject to regulatory developments in process

7

			3Q23 Milestones		Results9M2023		ESG		Targets and
9M2023 Results		01	02	03	04
	Execution of SP 22-30	Positioning	Conclusions

1.3 Progress on energy transition and H2 infrastructure network

H2Med Day in Berlin: an example of European energy cooperation

H2Med positions itself as the first green hydrogen corridor for Germany

▪ On October 18, German operator OGE joined Enagás,

GRTgaz, Teréga and REN as promoters of the European green hydrogen corridor H2Med

▪ H2Med will transport green hydrogen produced in Spain and Portugal, supplying north-westernEuropean countries, mainly Germany, with up to 2 million tonnes, representing 10% of the total consumption target for Europe set by REPowerEU for 2030.

▪

▪

Green hydrogen consumption in Germany is expected to be 3.9 million tonnes in 2030, of which 50-70% will be imported.

Last December, the H2Med project, together with its associated projects, was submitted to the European Projects of Common Interest (PCIs) call for proposals .

• H2Med and the Spanish H2 backbone are making positive progress towards PCI status, which decision is expected before the end of the year.

8

			3Q23 Milestones		Results9M2023		ESG		Targets and
9M2023 Results		01	02	03	04
	Execution of SP 22-30	Positioning	Conclusions

1.4 Implementation of the efficiency plan and control of operating expenses

The Efficiency Plan continues to deliver results

Control of operating expenses

Compliance with recurrent

operational expenditure control from the start of the Strategic Plan

+4%

0%

2021

2022

2023E

• Exhaustive control of operating expenses in infrastructure management, O&M and energy costs, with the objective of minimising the impact of inflation on manageable costs.
• Boosting digitalisation and innovative solutions with a focus on efficiency and process improvement.
• Spain has one of the lowest annual CPI growth rates in the European Union: 3.5% in September.

9

9M2023 Results

02

Results

9M2023