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Investor Presentaiton

ANNUAL REPORT Mahl Hydropower Project P Private Power and Infrastructure Board ANNUAL REPORT Athmuqam Hydropower Project Private Power and Infrastructure Board The 640 MW Mahl Hydropower Project is located at about 5 km upstream of the confluence of Mahl Nullah and Jhelum River. Jhelum River forms the boundary between the Pakistani provinces of Punjab and Khyber Pakhtunkhwa, and Azad Jammu & Kashmir. The Project falls within both provinces of Pakistan as well as AJ&K. Under the Policy for Power Generation Projects 2002, the Mahl Project is being sponsored by the investment arms of China Three Gorges Corporation including China Three Gorges South Asia Investment Limited (CSAIL), the main sponsors and China Three Gorges International Corporation (CTGI). Salient features of project are as follows: The 450 MW raw-Site Athmuqam Hydropower Project is identified to be located on river Neelum (in the river stretch from Ashkot up to Dudhnial), AJ&K, in accordance with provisions of Policy for Power Generation Projects 2015. A consortium of Korean investors comprising Korea Hydro & Nuclear Power Co, Limited (KHNP), DEALIM Industrial Co, Limited (DAELIM) and LOTTE Engineering & Construction Co, Limited (LOTTE) is collectively sponsoring this project. PPIB issued Letter of Interest to Sponsors on 30th March 2017 for preparation of bankable feasibility study, obtaining feasibility stage tariff determination and Letter of Support Salient features of project are as follows: Key milestones achieved Key milestones achieved > Project Company: > Sponsors: Mahl Hydropower Company Private Limited China Three Gorges South Asia Investment > Issuance of LOI: > Approval of Feasibility Study: 21.10.2014 24.01.2017 > Sponsors: Korea Hydro and Nuclear Company, > Issuance of LOI: 30.03.2017 DAELIM and LOTTE, Korea > Limited, China Three Gorges International (subsidiaries of China Three Gorges Corp), and & Trans Tech Pakistan > > Approval of Grid interconnection Study: 29.12.2017 Feasibility Stage Tariff Determination > Location: > Environmental NOC (KPK): 30.10.2019 09.08.2019 River Neelum, District Neelum, Azad Jammu & Kashmir > Approval of Feasibility Study: 03.09.2017 Submission of Feasibility Stage Tariff proposal 30.10.2019 > Capacity: 450 MW > Location: River Jhelum on tri-boundary of AJ&K, Punjab and KP > Energy: 1982 GWh > Project Cost: > Capacity: > Energy: > Project Cost: US$ 993 million > Applicable Policy 2002 640 MW 2676 GWh > Applicable Policy US$ 1300 million (proposed) 2015 Major Activities Planned for Next Fiscal Year: > Environmental Approvals of Punjab and AJ&K > Issuance of Letter of Support (subject to IGCEP timeline to be approved by NEPRA) Current Status: PPIB is targeting to complete this project by Jun 2028, however delay in approval of IGCEP also affecting the project Major Activities Planned for Next Fiscal Year: During this fiscal year the feasibility study was completed by sponsors and approved by PPIB. In parallel for financing arrangement, the sponsors succeeded to obtain interest of lenders like ISDB, DEG_KfW, OeKB, UBL. Feasibility Stage-1 tariff proposal was submitted to Power Purchaser however did not process further due to non-availability of approved IGCEP. 63 63 64 4
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