“SAMRUK-ENERGY” JSC | Integrated ANNUAL REPORT

GREEN ENERGY

“Shardarinsk HPP” JSC

(“Samruk-Energy”JSC – 100 %)

“Shardarinsk HPP” JSC is a hydropower plant on the Syrdarya River, near the town of Shardara in the South Kazakhstan region, which aims include irrigation, energy, flood control, fish farming. This is the last stage of the Naryn – Syr Darya HPP cascade. The hydroelectric dam forms a large Shardara reservoir, mainly for the purposes of irrigation and flood control, with an area of 900 km².

HPP capacity is 100 MW with long-term annual average generation of 377 million kW. Upon completion of the equipment retrofit project in February 2020, the installed capacity of hydropower plant will be 126 MW, the average annual output is 537 mln. kWh.

Financial performance

Indicator

Measurement unit

2016

2017

2018

Net income /loss

mln. tenge

1,376

1,706

1,526

EBITDA

mln. tenge

2,194

2,330

2,174

EBITDA Margin

%

69

68

66

Results of operating activities

Indicator

Measurement unit

2016

2017

2018

Installed electric capacity

MW

100

100

100/50* MW

from 01.03.2018

Electricity production volumes

mln. kWh

334.0

359.4

348.7

Electricity sales volumes

mln. kWh

329.352

354.752

344.6

*a decrease until the retrofit of hydraulic units is completed

SOCIAL INDICATORS

More information available on the website: www.sharges.kz


“Moynak HPP” JSC

(“Samruk-Energy” JSC – 100 %)

The Moynak HPP is the first high-pressure diversion hydroelectric power plant in Kazakhstan, built on the Charyn River in Raimbek district of Almaty region and the most high-pressure in the CIS. The main purpose of Moynak hydropower plant is to uvse hydropower plants as a maneuverable source of electricity to cover peak loads in the southern zone of the Republic of Kazakhstan.

Since the start of operation, the station generated more than 5 billion kWh of electricity; the company today is the most highly efficient hydropower plant in Kazakhstan.

The commissioning of Moynak HPP gave a strong impetus to the development of Almaty region, especially to the development of Raimbek region. The construction of HPP transformed the region, gave it new features. The district received an additional source of income, an industrial enterprise and permanent jobs.

Financial performance

Indicator

Measurement unit

2016

2017

2018

Net income /loss

mln. tenge

4,740

3,076

(5,296)

EBITDA

mln. tenge

8,434

9,118

8,060

EBITDA Margin

%

85

84

79

Results of operating activities

Indicator

Measurement unit

2016

2017

2018

Installed electric capacity

MW

300

300

300

Electricity production volume

mln. kWh

1,166

1,226

1,036

Electricity sales volume

mln. kWh

1,160

1,221

1,034

SOCIAL INDICATORS

More information available on the website: www.moynak.kz


“Ust-Kamenogorsk HPP” JSC

(“Samruk-Energy” JSC – 89.99)

In October 2017, the concession agreement with AES Suntry Power Limited was terminated and assets transferred to Republican ownership of the Republic of Kazakhstan.

Core business: Organizational and managerial activity

Location: registered addresses: Ust-Kamenogorsk, Ablaketka village. Location of the executive body Ust-Kamenogorsk city, 27, Kazakhstan str.


“Bukhtarminsk HPP” JSC

(“Samruk-Energy” JSC – 90 %)

Bukhtarminsk hydropower plant solves many issues of energy sector, transport and fisheries. The working conditions of water transport after the construction of the hydroelectric power plant have improved dramatically due to the formation of a deep-sea track at a distance of 500 km and the passage of regulated flow through waterworks facility.

Bukhtarminsk HPP is acost-efficient hydropower plant both in terms of the specific volume of work and in terms of cost parameters of electricity production.

The installed capacity of hydropower plants is 675 MW, the average annual production is 2.77 bln. kWh. HPP covers peak loads in the power system of Kazakhstan. In 2002, Bukhtarminsk dam was recognized as the best in the world as the quality of concrete exceeds all expected parameters.

Core business: Rental and management of own property, rent of other machinery, equipment and supplies.

Location: the Republic of Kazakhstan, 070825, East-Kazakhstan region, Zyrianovsky district, Serebryansk city, 5, Graftio street.

The company is in concession


“Shulbinsk HPP” JSC

(“Samruk-Energy” JSC – 92.14 %)

In October 2017, the concession agreement with AES Suntry Power Limited was terminated and assets transferred to Republican ownership of the Republic of Kazakhstan

Core business: оrganizational and management activity

Location: the Republic of Kazakhstan. Ust-Kamenogorsk c. Ablaketka village. Location of the executive bodies – Ust-Kamenogorsk, 27, Kazakhstan street.


“First Wind Power Plant” LLP

(“Samruk-Energy” JSC- 100 %)

“First Wind Power Plant” LLP is the first large-scale wind farm operating on an industrial scale in the Republic of Kazakhstan.

The wind farm of the company is located in Akmola region. nearby Ereymentau city, consists of 22 wind turbines, with unit capacity of 2,05 MW, operating safely for the environment. Since commissioning, the power plant has generated over 550 million kWh of electricity. 100 % of all generated electricity goes to the National Power Grid of Kazakhstan – “KEGOC” JSC.

As of today. “First Wind Power Plant” LLP has implemented its first project “Construction of 45 MW Wind Power Plant nearby Ereymentau city including a possible increase in capacity up to 300 MW”.

Location: 12A. Kerey, Zhanibek Khandar str., Nur-Sultan c. (the location of the Partnership’s wind power plant – Akmola region, Ereymentau district, Taibas rural district, #041 block of houses, section # 95)

Financial performance

Indicator

Measurement unit

2016

2017

2018

Net income /loss

mln. tenge

(444)

(23)

436

EBITDA

mln. tenge

2,131

3,421

3,201

EBITDA Margin

%

62

78

72

Results of operating activities

Indicator

Measurement unit

2016

2017

2018

Installed electric capacity

MW

45

45

45

Electricity production volume

mln. kWh

152

166

158

Electricity sales volume

mln. kWh

151

166

157

SOCIAL INDICATORS

More information available on the website: www.pves.kz


“Ereymentau Wind Power” LLP

(“Samruk-Energy” JSC – 100 %)

The main activity of “Ereymentau Wind Power” LLP is the implementation of “Construction of 50 MW wind power plant near Ereymentau city” project and further production of electricity.

The project represents of a maximum of 20 wind turbines, bases for cranes adjacent to each turbine, internal roads, an internal power grid, an electrical substation including control room and connection to power grid.

The construction of a wind power plant is planned in the south-east of Ereymentau on 1,242 ha site. The site includes hilltops, sloping slopes, small streams, mostly flowing to the north. The upper part and the tops of the hills are typical steppe pastures, and the lower part and valleys contain forest areas and hydrophilic vegetation. The flatter adjacent territory is an open steppe with dispersed water bodies.

Financial performance

Indicator

Measurement unit

2016

2017

2018

Net income/loss

mln. tenge

(220)

(207)

(167)

EBITDA

mln. tenge

(212)

(141)

(161)

EBITDA Margin

%

SOCIAL INDICATORS

More information available on the website: www.ewp.kz


“Samruk-Green Energy” LLP

(“Samruk-Energy” JSC – 100 %)

“Samruk-Green Energy” LLP is a company whose main activity is the implementation of renewable energy projects. The first project of “Samruk-Green Energy” LLP was the 2 MW Solar Power Plant, which was launched in Kapshagay city, Almaty region, in 2013.

1 MW solar power plant and 5 MW wind power plant were put into operation in November 2018; these projects were implemented under the Agreement between the Governments of the Republic of Kazakhstan and the People’s Republic of China.

At present, “Samruk-Green Energy” LLP is working on a project for the construction of 50 MW solar power plant in the area of Kapshagay city with possible increase in the capacity up to 100 MW. The implementation of project involves the production of about 140 million kWh of electricity per year, reduction of greenhouse gas emissions by more than 116 thousand tons / year and the saving of fossil fuels more than 39,000 tons of coal per year.

Financial performance

Indicator

Measurement unit

2016

2017

2018

Net income/loss

mln. tenge

(65)

(21)

(4)

EBITDA

mln. tenge

(28)

15

20

EBITDA Margin

%

–25

10

14

Results of operating activities

Indicator

Measurement unit

2016

2017

2018

Installed electric capacity

MW

2

2

2

Electricity production volume

mln. kWh

3.228

3.215

3.232

Electricity sales volume

mln. kWh

3.109

3.101

3.117

SOCIAL INDICATORS

More information available on the website: www.samruk-green.kz


“Tegis Munay” LLP

(“Samruk-Energy” JSC – 100 %)

The purpose of “Tegis Munay” LLP is to build ground infrastructure and equip the “Pridorozhnoe” deposit in the South Kazakhstan region of the Republic of Kazakhstan, to build a gas pipeline from “Pridorozhnoe” deposit to the Beineu – Bozoi – Shymkent gas pipeline, to produce, process and sell gas.

Creating safe working environment, ensuring environmental protection and environmental safety, the Company cooperates with research and development institutes for the implementation of energy-efficient technologies at the designed facilities of the field and energy-producing parts of the project.

“Tegis Munay” LLP is an investment project of “Samruk-Energy” JSC, the profit is expected to be received from 2020–2021.


“Mangyshlak-Munay” LLP

(“Tegis Munay” LLP – 100 %)

“Mangyshlak-Munay” LLP is the holder of the subsoil use right to conduct gas exploration at the Pridorozhnoe field in the South Kazakhstan region. The project involves the development of a gas field to ensure the planned construction of combined-cycle gas turbine unit with a capacity of 175.6 MW.

Its main task is the commercial exploitation of the field in order to make up the gas deficit in the region, create new jobs, develop infrastructure, and increase social assistance and tax deductions to the budget.

The field was discovered in 1978. As a result of drilling and testing, 13 exploration wells discovered and confirmed by the State Commission for Reserves, the presence of natural gas at depths of 1,100 meters and 2,400 meters in the amount of 16.5 billion cubic meters.

“Mangyshlak-Munay” LLP is an investment project of “Samruk-Energy” JSC, the profit is planned from 2020–2021.

 More information available on the website: www.mangyshlak-munay.kz


“Energia Semirechya” LLP

(“Samruk-Energy” JSC – 25 %, Zenith Global FZE – 75 %)

“Energia Semirechya” LLP is an enterprise that provides services for production and sale of electricity, design and construction of facilities using renewable energy sources. The enterprise was established in 2009 in order to conduct activities in the construction of wind power plant with the capacity of 60 MW to 300 MW in Shelek corridor of Enbekshikazakh district of Almaty region.

Wind monitoring in the Dzhungar gate within the project “Dzhungar Gate 72 MW”, as well as the development of Shelek energy center is scheduled to be completed in the nearest time (implementation of the Agreement between the Company and HYDROCHINA CORPORATION).

Financial performance

Indicator

Measurement unit

2016

2017

2018

Net income/loss

thous. tenge

(49)

(43)

(26)

EBITDA

thous. tenge

(93)

(81)

(83)

SOCIAL INDICATORS


“Energy Solutions Center” LLP

(“Samruk-Energy” JSC – 100 %)

“Energy Solutions Center” LLP is a service organization for providing administrative support to “Samruk-Energy” JSC group of companies. The company was established in March 16, 2016.

The list of services includes:

  • IT infrastructure maintenance services;
  • Services for the maintenance of Internet resources;
  • Provision of transportation services;
  • Real estate management services (rent, purchase, construction).

Core business: special office services (staff outsourcing), IT services, transportation services.

Location: the Republic of Kazakhstan, 010000, Nur-Sultan, Esil district, 15 A, Kabanbay batyr ave., block B, 2nd floor.

Financial performance

Indicator

Measurement unit

2016

2017

2018

Net income/loss

mln. tenge

55

51

89

EBITDA

mln. tenge

72

72

122

EBITDA Margin

%

22

11

13

SOCIAL INDICATORS

More information available on the website: www.e-s-center.kz