Colbun Sa · BCS:COLBUN
Colbun Sa — BTG Pactual Breakfast 1Q24 (May 2024)
29 slides from Colbun Sa's conference presentation, May 2024
Slide 1: Corporate Presentation 1Q24 BTG Pactual Breakfast
CORPORATE PRESENTATION 1Q24 BTG Pactual Breakfast - May 2024
Slide 2: Agenda
AGENDA 1 MARKET CONDITIONS 2 STRATEGIC AGENDA UPDATE 3 KEY FINANCIAL FIGURES
Slide 3: Market Conditions: Markets Update
MARKET CONDITIONS Markets Update INSTALLED CAPACITY LTM GENERATION DEMAND GROWTH MARGINAL COST GW GWh 12 months average % US$/MWh 4% 4% Alto Jahuel Hydro Cardones 20% 31% 260 1,3% Puerto Montt Coal 2% 210 Gas and LNG 160 84,441 0% 110 12% Diesel GWh 60 46 SEN Wind 10 35 -2% 35 GW Solar + 5.4% y/y 16
Slide 4: Regulated Auction Results
MARKET CONDITIONS Regulated Auction Results REGULATED AUCTION RESULTS LATEST AUCTION 14.000 131 129 140 ▪ Target size: 3,600 GWh 12.000 120 108 ▪ 5 Gencos submitted bids 104 10.000 100 90 ▪ Estimated Average Price: US$ 56/MWh1 79 USD/MWh GWh/year 8.000 80 61 6.000 53 60 COLBUN’S STRATEGY FOCUSES ON
Slide 5: Hydrological conditions in Chile
MARKET CONDITIONS Hydrological conditions in Chile HYDROELECTRIC GENERATION (TWh) THERMAL GENERATION (TWh) Colbun 2023 Colbun 2024 Colbun 2023 Colbun 2024 3,5 SEN 2023 SEN 2024 4 SEN 2023 SEN 2024 3 3,5 3 2,5 2,5 2 2 1,5 1,5 1 1 0,5 0,5 0 0 Jan Febr Mar Jan Febr Mar Jan-Mar Jan-Mar Var (%) Jan-Mar J
Slide 6: Strategic Agenda Update: Summary
STRATEGIC AGENDA UPDATE Summary PURPOSE: We transform energy, in balance with the planet, to boost your projects and dreams WE ADD VALUE TO: Shareholders, Environment, Customers, Workers, Communities, Suppliers Core business Expand our limits New businesses Asset 24/7 Customers Energy Growth and Wat
Slide 7: Enhancing our core business
STRATEGIC AGENDA UPDATE Enhancing our core business COLBUN’S PPAS BACKED BY SELF/OWN GENERATION (TWh) LNG (ADP) (1) – firm 1 supply contract For up to 1 combined 11.6 11.9 11.4 Gas cycle until Jul24 10.9 10.3 9.8 Coal Wind FLEXIBLE GAS Argentine NG – firm CONTRACTS 2 supply contracts Solar For up to
Slide 8: Commercial Strategy: New contracts signed
COMMERCIAL STRATEGY New contracts signed NEW ENERGY / CAPACITY 2023 - 2024 2024-2025: 230 GWh per year 2026-2035: 650 GWh per year 3.5 2024-2035: 280 GWh per year Chile TWh 2025-2040: 912 GWh per year New energy per year 2026-2040: 1,100 GWh per year 363 Peru MW 2024-2034: 114 MW per year New capaci
Slide 9: Pipeline of projects in Chile
STRATEGIC AGENDA UPDATE Pipeline of projects in Chile LAST UPDATES CELDA SOLAR INTI PACHA HORIZONTE 1, 2 & 3 816 MW + 180 MW EIA approved 750 MW PV + 400 MW STORAGE CELDA SOLAR CUATRO VIENTOS DIEGO DE ALMAGRO 422 MW PV 200 MW STORAGE Under EIA processing + 240 MW STORAGE JUNQUILLOS 473 MW DIEGO DE A
Slide 10: Horizonte Wind Farm
STRATEGIC AGENDA UPDATE Horizonte Wind Farm 1Q24 80% total progress 68 turbines 816 MW Out of 140 Total installed each with capacity 2Q24 5.83 MW of installed Estimated first energizing capacity CAPEX (US$ million) 668 405 192 1Q25 Estimated 30 41 commissioning 2021 2022 2023 1Q24 Total Note: All fi
Slide 11: Pipeline of Projects in Peru
STRATEGIC AGENDA UPDATE Pipeline of Projects in Peru PROGRESS 638 MW 898 MW Preparing Under STAGE EIA EIA BAYÓVAR 660 MW NAYLAMP LATEST UPDATE 238 MW H2V Fenix’ first green hydrogen plant started operations BAYÓVAR TRES QUEBRADAS 238 MW ALGARROBAL Under EIA processing 400 MW Note: Figures as of Mar2
Slide 12: Key Financial Figures: Overview
KEY FINANCIAL FIGURES Overview EBITDA 1Q24 CAPEX 1Q24 INTERNATIONAL RATINGS US$148 mm US$45 mm Baa2 BBB+ BBB US$ 130 mm US$ 18 mm BBB- BBB- EBITDA 1Q24 LTM CAPEX 1Q24 LTM Moodys Fitch S&P US$669 mm US$448 mm US$ 578mm US$ 91 mm NET DEBT / EBITDA CASH DIVIDEND POLICY 1.7 X US$990 mm 50% US$197 mm dis
Slide 13: Last quarter results
KEY FINANCIAL FIGURES Last quarter results EBITDA CHILE 1Q23-1Q24 VARIATION (US$ million) 1Q23 Gas Unregulated Regulated Energy and Energy and Coal Others 1Q24 Consumption Customers Sales Customers Sales Capacity Sales Capacity Consumption Purchases Lower gas Lower sales to unregulated Lower sales t
Slide 14: Disclaimer & Contact Information
DISCLAIMER & CONTACT INFORMATION ✓ This document provides information about Colbun S.A. In no case this document constitutes a comprehensive analysis of the financial, production and sales situation INVESTOR RELATIONS of the company. TEAM CONTACT ✓ To evaluate whether to purchase or sell securities
Slide 15: Corporate Presentation 1Q24 BTG Pactual Breakfast
CORPORATE PRESENTATION 1Q24 BTG Pactual Breakfast - May 2024
Slide 16: Chile's projects under construction or environmental assessment
MARKET CONDITIONS Chile's projects under construction or under environmental studies assessment Curicó Arica Puerto Montt Maitencillo Central Zone Austral Zone 32,354 MW North Zone South Zone (Arica to Maitencillo) (Maitencillo to Curicó) (Curicó to Puerto Montt) (Puerto Montt to the South) 7,754 MW
Slide 17: Peru's projects under construction or environmental assessment
MARKET CONDITIONS Peru's projects under construction or under environmental studies assessment North Zone 400 MW Piura 3,724 MW Lambayeque Cajamarca Central Zone La Libertad Ancash 425 MW 3,919 MW 6,449 MW Lima South Zone 7,991 MW Ica 5,624 MW TOTAL: 14,440 MW 348 MW Arequipa Note: All figures as of
Slide 18: Fossil fuel prices
MARKET CONDITIONS Fossil fuel prices BRENT: OIL (USD/bbl) 91 HISTORICAL AND FORWARD CURVE Brent Brent fwd API4 API4 fwd 2019 2020 2021 2022 2023 2024 API4: COAL (USD/ton) 2019 2020 2021 2022 2023 2024 2025 2026 2027 108 2019 2020 2021 2022 2023 2024 Note: All figures as of Apr24. 18
Slide 19: System's decoupling
MARKET CONDITIONS System’s decoupling Colbun’s power CONGESTED TRANSMISSION injection and INFRASTRUCTURE withdrawal by zone Crucero Average hourly marginal cost 2024 USD/MWh Alto Jahuel Cardones Polpaico Puerto Montt Diego de Almagro Surplus Pan de Azúcar Balanced Polpaico Deficit Alto Jahuel Itahue
Slide 20: Hydro Conditions 2024
HYDRO CONDITIONS 2024 COLBUN RESERVOIR LEVEL AND ACCUMULATED ENERGY (m.a.s.l & GWh) 2023 2024 2023 2024 Colbun Reservoir Accumulated Energy GWh 674 m.a.s.l level HISTORICAL COLBUN S.A HYDRO GENERATION (GWh/day) 20 Average 18 15 2023 2024 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Note: All figu
Slide 21: Board of Director's highlights
ABOUT US Board of Director's highlights Members Juan Carlos Marcela Angulo Vivianne Franco Bozzalla Rodrigo Donoso Altmann Martín González Blanlot Soza Trabucco Munita Independent Bernardo Andrés Francisco Matte Hernán Rodríguez Larraín Matte Kuhlmann Jahn Izquierdo Wilson Vice-Chairman Chairman Num
Slide 22: Our Strategy: Enhancing our core business
OUR STRATEGY Enhancing our core business 1. SEGMENTATION BY INDUSTRY (1) 3. RENEWABLE CERTIFICATES EVOLUTION 7,772 4,490 GWh 1,391 GWh 972 GWh 107 690 GWh 92 GWh 79 62 85 N° of Clients Retail GWh 46 12 Health Agriculture 2018 2019 2020 2021 2022 2023 2. PPAs PROFILE 4. ENERGY SERVICES Regulated Cust
Slide 23: International Investment Thesis
OUR STRATEGY International Investment Thesis Incorporating new geographies would allow Colbun to expand its growth potential and diversify its portfolio SCALE DIVERSIFICATION SELECTION CRITERIA The electricity industry is New geographies would ✓ Regulatory framework a business that requires allow to
Slide 24: New businesses
OUR STRATEGY New businesses WATER GREEN HYDROGEN 1 Context Pilot programs Developing FenixH2 Generator High water demand for industrial processes The continental water supply will be increasingly limited Ammonia export projects North of Chile Need for solutions in water infrastructure to replace con
Slide 25: Developing a sustainable business in the long term
OUR STRATEGY Developing a sustainable business in the long term ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Note: All figures as of Dec23. 25
Slide 26: Key Financial Figures: Overview
KEY FINANCIAL FIGURES Overview 1. CASH POSITION (US$ million) 2. CAPEX (US$ million) 522 448 1.419 1.155 1.031 990 967 274 254 113 2020 2021 2022 2023 1Q24 2020 2021 2022 2023 1Q24 LTM 3. DIVIDENDS (US$ million) 4. DEBT/EBITDA & NET DEBT/EBITDA (x) Debt/EBITDA Net Debt/EBITDA 1.073 339 310 253 223 2
Slide 27: Key Financial Figures: Overview
KEY FINANCIAL FIGURES Overview 1. EBITDA & EBITDA MG (US$ million & %) 2. NET INCOME (US$ million) EBITDA EBITDA Mg 669 683 520 763 714 2020 2021 2022 2023 1Q24 LTM 2020 2021 2022 2023 1Q24 LTM 3. DEBT & NET DEBT (US$ million) Debt Net Debt 2020 2021 2022 2023 1Q24 Note: All figures as of Mar24. 27
Slide 28: Debt structure snapshot
KEY FINANCIAL FIGURES Debt structure snapshot AMORTIZATION STRUCTURE (US$ million) 700 600 600 Fenix 500 500 500 Colbun 400 300 200 168 160 100 12 16 18 0 2024 2025 2026 2027 2028 2029 2030 2031 2032 FINANCIAL DEBT PROFILE US$1,974 mm 4 bonds and 1 bank loan 3.8% Interest Rate average US$1,760 milli
Slide 29: Corporate Presentation 1Q24 BTG Pactual Breakfast
CORPORATE PRESENTATION 1Q24 BTG Pactual Breakfast - May 2024