Waga Energy Sa · EURONEXT:WAGA
Waga Energy Sa — Investor Day (February 2024)
97 slides from Waga Energy Sa's investor day presentation, Feb 8, 2024
Slide 1: Capital Markets Day
CAPITAL MARKETS DAY February 8, 2024
Slide 2: Welcome & Introduction
01 Welcome & Introduction Mathieu Lefebvre Guénaël Prince Nicolas Paget Co-founder Co-founder Co-founder & Group CEO & CEO USA & Executive VP 2
Slide 3: Mission and company milestones
01. Welcome & Introduction 2015 2016 2017-2020 2021 2023 Launch of Waga WAGABOX® Domestic rollout IPO on Euronext North American Energy technology finalization Paris market penetration Mission “ Fighting against methane emissions with a profitable value proposition to all stakeholders” 3
Slide 4: Value #1: Boldness
01. Welcome & Introduction VALUE #1: BOLDNESS “ To create a cutting-edge technology targeting all landfill sizes with strong competitive advantages” 4
Slide 5: Value #2: Mastery
01. Welcome & Introduction VALUE #2: MASTERY “ To transform ground-breaking innovation into a robust industrial solution that guarantees safety and sustainable long-term profitability” 5
Slide 6: Value #3: Cooperation
01. Welcome & Introduction VALUE #3: COOPERATION “ We are embarking highly motivated team members sharing our mission: fighting climate change” 6
Slide 7: Today's Speakers
01. Welcome & Introduction Today’s Speakers Mathieu Lefebvre Guénaël Prince Nicolas Paget Anna Creti Marie-Amélie Richel Co-founder Co-founder Co-founder Independent CFO & Group CEO & CEO USA & Executive VP Board member Vincent Tisseire Tanguy Largeau Julie Flynn Marco Venturini Lucie Tonnellier Bus
Slide 8: Agenda
Agenda Mathieu Lefebvre 01 Welcome & introduction: Waga Energy Mission & Ambition Guénaël Prince 2:00PM CET Nicolas Paget 02 Landfill gas: a strategic pillar of RNG market Anna Creti 2:10PM CET 03 Waga Energy proven technology: the key to commercial success Guénaël Prince 2:25PM CET 04 Global expans
Slide 9: Landfill Gas: a strategic pillar of RNG market
02 Landfill Gas: a strategic pillar of RNG market Anna Creti Independent Board member 9
Slide 10: 3 pillars supporting the Biogas Revolution
02. Landfill gas: a strategic pillar of RNG market 3 pillars supporting the Biogas Revolution Climate Energy players have to balance their energy mix towards lower carbon resources CHANGE Waste Energy Landfill operators need States want to secure energy to adopt "circular solutions" independence pus
Slide 11: Fighting climate change by upgrading wasted landfill gas into RNG
02. Landfill gas: a strategic pillar of RNG market Fighting climate change by upgrading wasted landfill gas into RNG Global atmospheric methane and drastic cuts needed to limit warming to 1.5 degrees (source: Edlugokencky, NOA/ESRL) Because landfills are a major source of methane emissions, RNG Real
Slide 12: Renewable Natural Gas (RNG)
02. Landfill gas: a strategic pillar of RNG market Renewable Natural Gas (RNG) Local, renewable energy with no impact on climate Fossil Fuel Carbon Cycle RNG Carbon Cycle Increasing global warming Neutral impact on CO2 emission T0 T1 = T0 + Additional CO2 released T0 T1 = T 0 ATMOSPHERE CO2 capture
Slide 13: RNG at the heart of the energy transition
02. Landfill gas: a strategic pillar of RNG market Renewable Natural Gas (RNG) At the Heart of the energy transition Sustained high level of natural gas demand by 2050 (1) Strong global RNG demand by 2040 (2) 4500 Mtoe (3) bcm 4000 250 • By 2040, 3500 200 share of RNG 3000 in natural gas 2500 150 co
Slide 14: RNG, the best catalyst for industrial decarbonization
02. Landfill gas: a strategic pillar of RNG market RNG, the best catalyst for industrial decarbonization and achieving GHG emission reduction targets RNG decarbonization potential across sectors (1) (in developed countries) Mtoe (2) • Limited change in existing • By 2050, global waste methane networ
Slide 15: Strong Public Support
02. Landfill gas: a strategic pillar of RNG market Strong Public Support with worldwide ambitious objectives Inflation Reduction Act (IRA), REPower EU, May 2022 August 2022 7% of targeted RNG in the grid by 2030 376 TWh of RNG expected by 2040 10% of targeted biofuels (mainly RNG) in the transport i
Slide 16: Energy independence: a major sovereign concern
02. Landfill gas: a strategic pillar of RNG market Energy independence: a major sovereign concern RNG, a local, sustainable and competitive energy source The war in Ukraine has reshuffled the cards Lasting impact on the cost of energy, strengthening RNG in the energy market for all countries competi
Slide 17: Best landfilling practices
02. Landfill gas: a strategic pillar of RNG market Best landfilling practices The most competitive CO2 abatement cost The most efficient use of capital for CO2 abatement & massive decarbonized energy potential (Public expenditures € / avoided emissions) 515 €/tCO2eq 178 €/tCO2eq 169 €/tCO2eq 4-5 €/t
Slide 18: Landfills: most common solution for waste management
02. Landfill gas: a strategic pillar of RNG market Landfills: most common solution for waste management A worldwide structurally fast-growing market 70% of household waste is landfilled worldwide in >20,000 landfills Tons of waste per year +70% 3.4 billion 2.0 billion 2021 2050 Landfill model is the
Slide 19: Waga Energy proven technology: the key to commercial success
03 Waga Energy proven technology: the key to commercial success Guénaël Prince Co-founder & CEO USA 19
Slide 20: Landfill gas is an untapped energy resource
03. Waga Energy proven technology: the key to commercial success Landfill gas is an untapped energy resource of landfill gas is wasted is burned is recovered >90% (released to the atmosphere <10% with low energy <1% and upgraded or flared) yield for grid injection Capital Markets Day 20
Slide 21: Why is upgrading landfill gas into RNG a technical challenge?
03. Waga Energy proven technology: the key to commercial success Why is upgrading landfill gas into RNG a technical challenge? Active cell of the landfill: Closed cell: Biogas production starts Anaerobic, biogas production Air intrusion Biogas collection system under due to the vacuum to collect the
Slide 22: Long-term and predictable landfill gas production
03. Waga Energy proven technology: the key to commercial success Long-term and predictable landfill gas production Landfill in operation Landfill Aftercare 2000 1800 1600 1400 Landfill opening 1200 Landfill closure 1000 800 600 400 200 0 2010 2020 2025 2030 2035 2070 2075 2015 2080 2045 2085 1995 20
Slide 23: WAGABOX, a proprietary technology to upgrade landfill gas into RNG
03. Waga Energy proven technology: the key to commercial success WAGABOX®, a proprietary technology to upgrade landfill gas into RNG WAGABOX® is the only standardized solution adapted to all landfill sizes and gas composition 2 15+ patented processes years of R&D >90% >95% of methane equipment recov
Slide 24: Innovative cryogenic distillation to separate O2 & N2 from CH4
03. Waga Energy proven technology: the key to commercial success Innovative Cryogenic distillation to separate O2 & N2 from CH4 At Ambient temperature (15°C) At Cryogenic temperature (-160°C) CH4 O2 VAPOR PHASE 2,68A 3,72A 3,75A 3,09A 4,07A Cool down: Removal of kinetic energy N2 from the molecules
Slide 25: High performances regardless of the air pollution
03. Waga Energy proven technology: the key to commercial success High performances regardless of the air pollution Methane Usual N2 concentration Landfill gas mainly composed recovery in LFG of CH4, CO2, N2 and O2 100% Gas composition technology varies across sites 90% Existing technologies are high
Slide 26: A closer look at a WAGABOX unit
03. Waga Energy proven technology: the key to commercial success A closer look at a WAGABOX® unit WAGABOX® #8 – Suez landfill, France (2020) Capital Markets Day 26
Slide 27: Measuring the composition of landfill biogas (video)
03. Waga Energy proven technology: the key to commercial success Now we will measure the biogas composition (video) VIDEO Measuring the composition of landfill biogas Capital Markets Day 27
Slide 28: Global expansion underway
04 Global expansion underway Mathieu Lefebvre Co-founder & Group CEO 28
Slide 29: Linking landfill operators with gas utilities & gas consumers
04. Global expansion underway Linking landfill operators with gas utilities & gas consumers Pioneering the circular economy Landfill Gas utilities operators Gas consumers Monetise wasted landfill Competitive gas – with 95% guaranteed grid-compliant RNG uptime No additional Capex / Predefined RNG pri
Slide 30: Our business model
04. Global expansion underway Our business model Develop, Build, Own & Operate PROJECT DEVELOPMENT • Assessment of landfill gas quality & volumes and feasibility studies & FUNDING • Negotiation of landfill gas royalties with landfill operators and of RNG sale contract INTEGRATED BUSINESS MODEL with
Slide 31: Global opportunities for continuous expansion
04. Global expansion underway Global opportunities for continuous expansion ~1,000 TWh RNG potential in ~20,000 LANDFILLS WORLDWIDE Director Canada Julie Flynn 30 FTE Director UK Incl. ~3,000+ IN NORTH AMERICA Will Llellwyn Incl. ~1,500+ IN EUROPE 3 BusDev 2 FTE 2 BusDev Director France Nicolas Page
Slide 32: What are our Unique Selling Points?
03. Waga Energy proven business model & technology: the keys to commercial success What are our Unique Selling Points? Manage landfill with Vertically up to 30% of air integrated pollution Standardized Pure player & modular in landfill technology gas to RNG Unlocking a large addressable market Capit
Slide 33: Significant pipeline backing the international ramp-up
04. Global expansion underway Significant pipeline backing the international ramp-up SIGNED PROJECTS PIPELINE IN OPERATION UNDER CONSTRUCTION 11% 5% 13% 33% 36% 41% 36% 0.8TWh/y 1.4TWh/y 11.8TWh/y 58% 9% 48% 23% 87% as of December 31, 2023 including units not owned #20 projects #17 projects #159 pro
Slide 34: European market: well on track with further upside opportunities
04.A European market: well on track with further upside opportunities Vincent Tisseire Business Development Director Europe 34
Slide 35: Identifying commercial priorities in Europe
04.A. European market: well on track with further upside opportunities Identifying commercial priorities in Europe United Kingdom ~140 14M tpy MSW Waste landfilled landfills France Future potential – Central & Eastern Europe New markets with strong expansion potential ~190 18M tpy given 400+ total l
Slide 36: Country in focus: France (1/2)
04.A. European market: well on track with further upside opportunities Country in focus France (1/2) WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inaugurate & Signatures ramp-up & & develop pipeline Commission first project debt refinancin
Slide 37: Country in focus: France (2/2)
04.A. European market: well on track with further upside opportunities Country in focus France (2/2) WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inaugurate & Signatures ramp-up & & develop pipeline Commission first project debt refinancin
Slide 38: Country in focus: Spain (1/2)
04.A. European market: well on track with further upside opportunities Country in focus Spain (1/2) WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inaugurate & Signatures ramp-up & & develop pipeline Commission first project debt refinancing
Slide 39: Capital Markets Day (image slide)
04.A. European market: well on track with further upside opportunities Capital Markets Day 39
Slide 40: Country in focus: Spain (2/2)
04.A. European market: well on track with further upside opportunities Country in focus Spain (2/2) WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inaugurate & Signatures ramp-up & & develop pipeline Commission first project debt refinancing
Slide 41: Country in focus: United Kingdom
04.A. European market: well on track with further upside opportunities Country in focus United Kingdom WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inaugurate & Signatures ramp-up & & develop pipeline Commission first project debt refinanc
Slide 42: Country in focus: Italy
04.A. European market: well on track with further upside opportunities Country in focus Italy WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inaugurate & Signatures ramp-up & & develop pipeline Commission first project debt refinancings Mark
Slide 43: Ideally positioned for European expansion
04.A. European market: well on track with further upside opportunities Ideally positioned for European expansion 5 DIVERSE PRIORITIZED LOCAL PRESENCE DYNAMIC & ADVANCED COUNTRIES WITH A COMMON ESTABLISHED WITH PIPELINE WITH HIGH RNG AMBITION INDUSTRY-EXPERIENCED PRODUCTION POTENTIAL (REPOWER EU) COU
Slide 44: USA & Canada: commercial rollout addressing immense potential
04.B USA & Canada: commercial rollout addressing immense potential Tanguy Largeau Julie Flynn Business Development Director Canada Director US 44
Slide 45: North America is a land of opportunities
04.B. USA & Canada: commercial rollout addressing immense potential North America is a land of opportunities Landfill: the preferred method for waste management Share of Landfills by Capacity in the USA Share of Landfills by Capacity in Canada Closed <500 scfm Existing RNG project 20% 26% or develop
Slide 46: Expanding our presence in North America
04.B. USA & Canada: commercial rollout addressing immense potential Expanding our presence in North America 3 offices 60 employees to date employees supporting business 15 development employees supporting project 19 delivery 8 employees supporting operations Offices Manufacturing Business Developers
Slide 47: Our commercial priorities in North America
04.B. USA & Canada: commercial rollout addressing immense potential Our commercial priorities in North America United States Canada ~2,700 ~373m tpy ~270 ~26m tpy total landfills waste landfilled total landfills waste landfilled PURSUE ROLL-OUT ON REMAINING ADDRESSABLE LANDFILLS PURSUE ROLL-OUT ON R
Slide 48: Macro and political environment supporting RNG production (Canada)
04.B. USA & Canada: commercial rollout addressing immense potential Macro and political environment supporting RNG production Canada 2030 Emissions Federal State support RNG production through investment grants Reduction Plan 45% reduction of methane emissions to 14 Megatons • The federal Landfill M
Slide 49: Country in focus: Canada
04.B. USA & Canada: commercial rollout addressing immense potential Country in focus Canada WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inauguration / commissioning first Signatures ramp-up and debt & develop pipeline project refinancings
Slide 50: Capital Markets Day (image slide)
04.B. USA & Canada: commercial rollout addressing immense potential Capital Markets Day 50
Slide 51: Macro and political environment supporting RNG production (USA)
04.B. USA & Canada: commercial rollout addressing immense potential Macro and political environment supporting RNG production USA Inflation Reduction Act (IRA) sets The long-term value of RNG is at an all-time high historical climate ambitions RIN Credit Price Evolution (1) Weekly D3, D4, D5 and D6
Slide 52: Route to market (USA)
04.B. USA & Canada: commercial rollout addressing immense potential Route to market USA Public Landfills Private Landfills • Very consolidated market (WM, Republic • 70% of US landfills are owned Services, …) Highlights by municipalities • Administrative procurement process • Project portfolio oppor
Slide 53: Country in focus: USA multiple large-scale opportunities
04.B. USA & Canada: commercial rollout addressing immense potential Country in focus USA: Multiple large-scale opportunities WAGA ENERGY STAGES OF DEVELOPMENT 1 2 3 4 5 Market assessment Establish local presence Sign first project Inauguration / commissioning first Signatures ramp-up and debt & deve
Slide 54: Capital Markets Day (image slide)
04.B. USA & Canada: commercial rollout addressing immense potential Capital Markets Day 54
Slide 55: Commercial agreement signed with Steuben County
04.B. USA & Canada: commercial rollout addressing immense potential Commercial agreement signed with Steuben County to build & operate a WAGABOX® unit at landfill in the State of New York January 2022 Steuben, New York (USA) • Partner: Steuben County • Capacity: 55 GWh/y (220,000 MMBtu) • ~13,500 to
Slide 56: Rest of World: significant additional potential
04.C Rest of World: significant additional potential Marco Venturini Business Development Director RoW 56
Slide 57: Other key expansion opportunities
04.C. Rest of World: significant additional potential Other key expansion opportunities FASEP Australia Morocco Colombia FASEP Pending climate-friendly strategy to leverage improved RNG pricing 1 1 project in pipeline projects in pipeline 20 1-2TWh Ciudad de projects in pipeline potential Manizales
Slide 58: Capital Markets Day (image slide)
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Slide 59: RNG offtake market & strategy
04.D RNG offtake market & strategy Lucie Tonnellier Energy Director 59
Slide 60: Massive growth of RNG production to achieve global targets
04.D. RNG offtake market & strategy Massive growth of RNG production to achieve global targets REPowerEU RNG production target doubled in March 2022 from 17 bcm/y following Russia’s invasion in Ukraine 400 380 TWh/y 350 35 BCM/Y Fragmented North American Initiatives 300 BY 2030 REPowerEU FEDERAL STA
Slide 61: RNG offtake market
04.D. RNG offtake market & strategy RNG offtake market Partnering with industry leaders END-USERS ENERGY COMPANIES / GAS UTILITIES INDUSTRY MOBILITY MARITIME & OTHERS Purchase RNG for resale to diversified clients with Purchase RNG to meet regulatory obligations RNG use flexible usages and decarboni
Slide 62: Our Unique Selling Proposition for RNG offtakers
Our Unique Selling Proposition for RNG offtakers High quality High volume visibility Competitive price ✓ Grid compliant ✓ Landfill gas intake ✓ Low production cost predictability ✓ Locally produced ✓ Independent from fossil ✓ WAGABOX® technology gas price volatility ✓ 100% from waste performance (up
Slide 63: Well-defined offtake strategy
04.D. RNG offtake market & strategy Well-defined offtake strategy Ensuring long-term revenue visibility while capturing short-term market upside potential Biomethane Purchase Agreement (BPA): purchase of nonsubsidized RNG over long-term Criteria for offtaker selection • Offtake (BPA) duration • Coun
Slide 64: Carbon credits opportunities
04.D. RNG offtake market & strategy Carbon credits opportunities MASSIVE UPSIDE NOT INCLUDED “Cherry on the cake”? ~7,6mt (1) CO2eq emissions avoided from methane leakage mitigation on landfills induced by the WAGABOX® solution vs landfills without gas capture systems ~750kt (1) CO2eq emissions avoi
Slide 65: Looking ahead: gearing up for scale
05 Looking ahead: gearing up for scale Nicolas Paget Co-founder & Executive VP 65
Slide 66: Gearing up for growth: strategic priorities
05. Looking ahead: gearing up for scale Gearing up for growth: strategic priorities Our objectives Accelerate global deployment Reduce time between project signing Optimize costs & ensure growing of WAGABOX® solution & commissioning production of competitive RNG Our strategic priorities Maintain hig
Slide 67: WAGABOX unit overview
05. Looking ahead: gearing up for scale WAGABOX® unit overview 1,000 SCFM 3) Thermal 4) Pressure Swing Adsorption (PSA) System Oxidizer 5) Activated Carbon Filters Oil Removal System (ORS) 6) Pressure & Temperature 7) Cold box Swing Adsorption (PTSA) (cryogenic System distillation) 2) Landfill gas c
Slide 68: Standardization & modularity
05. Looking ahead: gearing up for scale Standardization & modularity How does it work? CT1 / CT2: STANDARDIZED COLD BOX: STANDARDIZED CT3: IDENTICAL & MODULAR Includes non-critical components Contain 2 critical components: Cryogenic distillation module & standard piping work Compressors + Membranes
Slide 69: Standardization & modularity: all project sizes
05. Looking ahead: gearing up for scale Standardization & modularity Allowing Waga Energy to address all project sizes x1 signed x2 NORU x6 signed x3 signed x3 signed x17 signed 600M 800M 1,000F 2,000F 3,000F (600nm3/h – 375 SCFM) (800nm3/h – 500 SCFM) (1,600nm3/h – 1,000 SCFM) (3,200nm3/h – 2,000 S
Slide 70: Increasing manufacturing capacity & securing critical components
05. Looking ahead: gearing up for scale Increasing manufacturing capacity & securing critical components @ IPO @ IPO 2023 2024 2025 2025-2026 CT1 x CT2 MODULES 2 4 6 INTEGRATORS CT3 MODULES 1 4 6 INTEGRATORS MEMBRANES 2 SUPPLIERS & 1 1 Frame On-demand Monthly DELIVERY agreements CRYOGENIC NEW EXCLUS
Slide 71: Already 19 WAGABOX units in operation
05. Looking ahead: gearing up for scale Already 19 WAGABOX® units in operation (as of 31/12/2023) 2017 2017 2018 2018 2018 2018 2018 2019 2020 2020 2020 2022 2022 2022 2023 2023 2023 2023 2023 Capital Markets Day 71
Slide 72: More commissionings coming soon
05. Looking ahead: gearing up for scale More commissionings coming soon Under Under Under Construction Construction Construction WB14 WB19 WBC02 (Chatuzange, France) (Arcavi, France) (Brome, Canada) Under Under Commissioned Construction Construction last week WBU02 WBU03 WB21 (Winnebago, USA) (Steub
Slide 73: Ensure flawless operation & maintenance
05. Looking ahead: gearing up for scale Ensure flawless operation & maintenance « HYPERVISION » GLOBAL CONTROL CENTER AI PREDICTIVE TOOL & remote supervision room = OPTIMIZED O&M AND UPTIME at headquarters Decrease Landfill gas quality Predictive compressors analysis to adapt membrane maintenance pa
Slide 74: Ensure talent integration & training
05. Looking ahead: gearing up for scale Ensure talent integration & training New self-assessment & self-training platform INCREASE EXPERTISE SAFETY FIRST Enhancing expertise in diverse aspects Ensuring a safe work environment & strict protocols 360 LEARNING PLATFORM CORPORATE CULTURE & ONBOARDING In
Slide 75: Organizational integration supporting the scale change
05. Looking ahead: gearing up for scale Organizational integration supporting the scale change established with high synergies Core team set up, can grow in North Ready for future growth, no additional America hiring Project Management ERP Division Division Core team set up, Instrumentation Core tea
Slide 76: Outstanding results showcasing our operational excellence
05. Looking ahead: gearing up for scale Outstanding results showcasing our operational excellence FY 2023 METHANE RECOVERY RATE PER PROJECT (%) Avg 89% Operational excellence results in repeat business x7 signatures x6 signatures FY 2023 UPTIME PER PROJECT (%) Avg 96% x3 signatures WAGABOX units in
Slide 77: Continuously aiming to improve
05. Looking ahead: gearing up for scale Continuously aiming to improve 2 years ambitions Optimizing standards Operations cost management U.S. projects learning curve Continue emphasize on enhancing operational Increasing volumes and international Extensive cost and time savings identified standards
Slide 78: Outlook & financial objectives
06 Outlook & financial objectives Mathieu Lefebvre Marie-Amélie Richel Co-founder CFO & Group CEO 78
Slide 79: An ESG driven company
06. Outlook & financial objectives An ESG driven company n Carbon Carbon footprint report (2022 data) ila e® B GES Report by BEGES scopes Total Location-based (1) (tCO2e) e® B ila n Carbon Scope 1 240,23 81/100 100% Scope 2 789,17 ESG rating eligible to European (vs 65/100 at IPO and Green Taxonomy
Slide 80: Typical project structure
06. Outlook & financial objectives Typical project structure WAGA ENERGY SA Financial Up to 100% equity Equity Services to Institutions ownership (SPV fully injection SPV (project Construction debt & Non- consolidated) dev, EPC, recourse long term debt O&M) Project SPV Landfill gas RNG into the grid
Slide 81: Typical projects: financing steps and capex
06. Outlook & financial objectives Typical projects Key financing steps Capex can be considered as working capital given WAGABOX® ILLUSTRATIVE PROJECT CAPEX €10m unit can be allocated to different projects) DEV PHASE PHASE A PHASE B PHASE C Months 3 to 24 6 to 12 6 to 12 10 - 20 years • Prospection
Slide 82: Typical projects: key metrics and unit capex
06. Outlook & financial objectives Typical projects 375 SCFM 1,000 SCFM 2,000 SCFM Key metrics (600 NM3/H) (1,600 NM3/H) (3,200 NM3/H) ANNUAL PRODUCTION ~20 GWh ~55 GWh ~110 GWh ANNUAL RECURRING REVENUE ~€1-2m ~€3-5m ~€8-10m EBITDA MARGIN 30-50% 30-50% 30-50% SIGNING TO COMMISSIONING 12-18 months 12
Slide 83: Maximizing Waga Energy project IRR
06. Outlook & financial objectives Maximizing Waga Energy project IRR WAGA WAGA MARKET WAGA ENERGY VALUE ADD ENERGY PLATFORM VALUE ADD ENERGY IRR VS MARKET (Project Level) IRR (Platform and Project Level) IRR (Project level) (Platform level) Target Project IRR factoring: • Country specific factors •
Slide 84: Waga Energy projects portfolio is a fast growing high value asset
06. Outlook & financial objectives Waga Energy projects portfolio is a fastly growing high value asset SECURED ATTRACTIVE IRR Project IRR targets secured through “take-or-pay” contracts and landfill gas purchase royalties’ adjustments DIVERSIFIED TIER-1 OFFTAKERS LONG-TERM CONTRACTS Large gas TSOs,
Slide 85: YoY +74% growth & increasing international contribution
06. Outlook & financial objectives YoY+74% growth & increasing international contribution FY 2023 revenues Revenues (1) FY 2023 vs FY 2022 (€m) FY 2023 +74% 32% €33.3m 10% 63% 5% International RNG Sales +74% FY 2022 +43% +2% +9% +2% 19% c. +56% on RNG sale and upgrading services €19.2m 81% France Re
Slide 86: Another year of continued growth acceleration
06. Outlook & financial objectives Another year of continued growth acceleration Revenue (1) (€m) Signed Annual Recurring Revenue (2) (€m) 33,3 98 9,6 34 19,2 4,1 46 12,3 40 9,5 23,7 7,9 2,2 22 64 0,8 34 2,5 15,1 11 32 2,8 10,1 6 8,7 22 0,1 5,4 11 12 2,7 6 8 2018 2019 2020 2021 2022 2023 2018 2019 2
Slide 87: 2026 objectives confirmed
06. Outlook & financial objectives 2026 objectives confirmed 4 TWh/y €200m Installed capacity Revenue 2.2 TWh/y signed capacity as of end 2023 50% of 2026 objective reached as of end 2023 (including 0.6TWh/y corresponding to units sold) ~660kt >€400m Objective upgraded of CO2eq avoided/y Signed annu
Slide 88: Strong operational & financial metrics backing our ambitions
06. Outlook & financial objectives Strong operational & financial metrics backing our ambitions Realized project EBITDA margins in line Significant recurring revenue visibility with ~30 – 50% target (unaudited) FY 2023 project EBITDA margin [1] on WAGABOX® units in operation As of December 2023 70%
Slide 89: Accelerated CAPEX requirement for 2022-2026
06. Outlook & financial objectives Accelerated CAPEX requirement for 2022-2026 with improved financial leverage AT IPO TODAY €450 - 600M €600 - 750M with 50-80% Debt Financing with ~60-80% Debt Financing Main drivers: 1) Greater share of US projects with larger average size 2) Additional BoP Capex f
Slide 90: Attractive profile to leverage a wide array of financing options
06. Outlook & financial objectives Attractive profile to leverage a wide array of financing options Construction Project Leasing Corporate debt debt debt Just announced: $60m construction debt secured for the first 4 WB units in the US Cash flow from Other (grants, Equity Farm-down operations subsid
Slide 91: Conclusion and Q&A
07 Conclusion and Q&A Mathieu Lefebvre Co-founder & Group CEO 91
Slide 92: Key take-aways
07. Conclusions and Q&A Key take-aways 1) LARGELY UNTAPPED LANDFILL GAS POTENTIAL to satisfy unmet RNG demand 2) UNIQUE BUSINESS MODEL and EXCLUSIVE TECHNOLOGY allowing accelerated market penetration 3) READY TO SCALE industrial and commercial playbook 4) HIGH VALUE infrastructure asset PORTFOLIO an
Slide 93: Waga Energy 2 years after IPO
07. Conclusions and Q&A Waga Energy 2 years after IPO Asset units in operation Employees Avoided EQ CO2 Emissions 10 x2 20 65 x3 200 52,000 Tons x3 142,000 Tons Revenues Revenue secured Signed capacity Full Year Annual Recurring Operation & Construction €12.3m x3 €33.3m >€30m x3 ~€100m 0.8TWh/Y X2,5
Slide 94: Glossary
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Slide 95: Glossary
08. Glossary Glossary BCF Billion Cubic Feet BOP Balance of Plant BPA Biomethane Purchase Agreement CAGR Compound Annual Growth Rate CAPEX Capital Expenditure CH4 Methane CO2 Carbon Dioxide COGS Cost Of Goods Sold EPA Environmental Protection Agency ERP Enterprise Resource Planning FTE Full-Time Emp
Slide 96: Important notice
07. Conclusions and Q&A Important notice By viewing or receiving or reading the presentation that follows (the “Presentation”) or attending any meeting where this Presentation is No securities of the Company have been or will be registered under the made, you agree to be bound by the limitations, qu
Slide 97: Thank you
waGca Thank you enercy