Nordic Power Partners

Presentation 2013

200 kW, Johannesburg, South Africa

Profile Value proposition Nordic Power Partners (NPP) is a Joint Venture between European Energy A/S, a renewable energy project developer & investment company, and the Danish Climate Investment Fund, established by the Danish Government and managed by IFU, the Investment Fund for Developing Countries under the Danish State. The value proposition is to develop wind and solar photovoltaic projects from green field until ready-to-build stage. The projects are developed through the successful business model of European Energy, extended beyond its traditional geographical scope to emerging markets and developing countries by utilizing IFU’s vast experience in investments in such countries.

European Energy Solar Park Garbantex, Spain and Wind Park Eichow, Germany Page 2

www.nordicpp.com

Presentation 2013

The Partners

European Energy A/S was founded in 2004 and manages the entire value chain of onshore wind and solar photovoltaic (PV) projects, including green field development, construction and operation of operating assets, repowering and divestment of projects and operating assets to institutional and private investors. European Energy has brought into operation over 300 MW of wind and PV power plants and still operates most of these for their current owners. Further, European Energy owns more than 50 MW distributed on part or full ownership of a wide portfolio of wind and solar assets.

IFU was founded in 1967 and is a development financing institution offering advice and risk capital to Danish companies investing in developing countries and emerging markets.

The purpose of IFU is to assist Danish companies to successfully establish their business and to contribute to the economic and social development in the host countries. IFU has participated in 786 projects in 85 countries with share capital and/or loans. IFU is fund manager for KIF (climate investment facility funded by the Danish State and IFU), presently mobilising institutional investors into a climate fund to invest in energy and climate projects. Page 3

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Presentation 2013

Our core Team Esben Christensen - Director

Natalia Svejgaard - IFU

 Director NPP (since 2012)  7 years of experience in international renewable energy Business development and transactions.  Prior positions: Head of New Markets and Project manager, European Energy – Responsible for wind and PV development in all new markets – Founded the photovoltaic division – Started up Spain within EE with 7 PV projects adding up to 10 MW.  M.Sc. Intercultural Management & CEMS from Copenhagen Business School and HSG St. Gallen

 Senior Investment Manager, IFU (since 1994)  More than 17 years of transaction experience in industrial, energy and climate projects in developing countries  Geographic responsibility for project sourcing, development and negotiations in Eastern and Southeastern Europe and Central Asia  Industry responsibility for energy and climate projects  M.B.A. From Aalborg University  M.A. from Warsaw University

Federica Bisol - EE

Jacob Klingemann- IFU

 Director of Legal at European Energy.  Responsible for development, construction, project financing and divestment of renewable energy projects in more than 10 countries.  Member of EE’s management group; established and currently leading Legal Department.  10 years of experience in international transactions and procurement; over 6 years in renewable energy projects.  Prior employers: UNICEF Supply Division; MaxMara; DanChurchAid.  Masters’ degree in Law, 2003.

 Senior Investment Manger IFU (since 2008)  Senior Banker Nordic Investment Bank project finance in Russia and Ukraine 2002-2008  CEO DTU Innovation and DTU Invest seed capital to technology start up companies 2000-2002  Senior Investment Manager NEFCO Private Equity in CEE 1995-2000  M.Sc. Forestry from KU and B.Sc Finance from CBS

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Page 4

Presentation 2013

European Energy A/S at a Glance 198.46

European Energys’ Value Proporsition European Energys’ competence is managing the complete value chain from green field development to operation of power plants.

REVENUE (EURM)

184.01

159.95

142.97

137.02

2011

2012

We develop, construct, operate and offer co-investment opportunities in renewable energy plants. We believe in our projects and remain co-investors throughout the lifetime of the projects.

FACTS 2008

Since European Energy A/S was founded in 2004, the company has developed and put into operation:

2010

2009 198.46

ASSET BASE (EURM) EQUITY RATIO

184.01

159.95



43 wind farms



15 solar projects



a total of 300+ MW



a total of EURM 500+ investment value

HIGHLIGHTS (2012)



Sale of 28 MW wind power in Germany



Sale of 21,6 MW wind power in Denmark

142.97

137.01

20%

19%

22%

28%

34%

2008

2009

2010

2011

2012

GERMANY ITALY

9%

9%

14%

SPAIN BULGARIA



Acquisition of 57 MW wind power in Germany



Construction of 22 MW wind power in Denmark initiated



Construction of 4 MW wind power in Germany



Construction of 33 MW wind power in Italy



Construction of 1.1 MWp in Spain

68%

Geographical distribution of EEs portfolio (in MW)(2012)

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Presentation 2013

IFU at a Glance IFU’s value proposition

INVESTMENTS CONTRACTED (left) FINANCIAL RESULT (left) 700

30

500 400

20

300 200

10

100 0

0 2008

2009

2010

2011

MSCI emerging markets

Network & Experience

DKKm

IFU invests on a commercial basis by committing equity capital or by providing loans or guarantees to project companies, the purpose being to promote development in host countries.

600

DKKm

IFU provides advisory services and risk capital to Danish companies wishing to set up operations in developing countries.

NEW INVESTMENTS (right) ADDITIONAL FINANCING (right) 40

2012

IFU incl. adm. costs

150.0

 “Quality mark”  International network of development finance institutions Financing  Equity and/or loan financing without recourse to partners

50.0

5%

ASIA AFRICA

12-31-12

06-30-12

12-31-11

06-30-11

12-31-10

06-30-10

12-31-09

06-30-09

12-31-08

06-30-08

Political “insurance

100.0

12-31-07

 46 years of experience from developing counties and emerging markets  Regional offices in Egypt, China, India, Kenya, South Africa and Ghana  Know-how about local investment conditions  Hands-on during preparation and implementation

2%

14%

LATIN AMERICA EUROPE

46%

GLOBAL

33%

Total investments comprise DKKm 10,054 (USDbn 1.8)

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Presentation 2013

Our Business Model Nordic Power Partners’ holistic value chain approach Traditional focus P h a s e s

Power sales Politics / law making

Project development

Financing

Farm Partial sell-off

• Ensuring sound judicial surroundings for investments D e t a i l s

• Designate geographical areas for renewable energy

Cooperation with partners on:

• Construct project financing via various ownership models

• Construct renewable energy plants

• Land lease and power purchase agreements • Turbines / Modules • Operations agreements • Production estimates by independent verifiers • Wind / solar studies

• B2B power sales to utility companies via power purchase agreements • Administration of power plant operations • Partial sell-off to third parties, usually 50% 80% of the assets

Time Frame

Ongoing

10 - 30 months

1 - 6 months

1 - 6 months

20 - 30 years

Risk Mgmt.

Preliminary countryspecific study

Project-specific risk assessment

Financing through nonrecourse loans

Full service O&M against operative risk

Guaranteed tariffs or PPAs

The business model extends the financial investment case with deep know-how in renewable energy project development, construction, operation, and key local insight in buyers of projects. Continuous risk-evaluation activities are carried out throughout the whole development period, particularly in the initial market access and initial project assessment stages. Page 7

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Presentation 2013

Our focus

We develop renewable energy power plants in countries where installation of renewable energy capacity provides economic returns. Satisfactory returns comes from a combination of availability of natural resources such as wind and irradiation, favourable policy schemes or high electricity prices and the development of the overall infrastructure. Our investment mandate covers all DAC” countries specified by OECD, illustrated above in green.

www.nordicpp.com

Presentation 2013

Thank You for Your attention! Nordic Power Partners P/S Diplomvej 377 DK - 2800 Kgs. Lyngby Denmark Tel.: +45 88 70 82 22 Fax: +45 88 70 82 15 www.nordicpowerpartners.com