S.N.G.N. ROMGAZ SA. FILIALA DE iNMAGAZINARE GAZE NATURALE DEPOGAZ PLOIEŞTI S.R.L. 1 2. IUL. 2021

INTRARE/IEŞIRE Societatea Naţională de Gaze Naturale Romgaz SA £5^r Filiala iBe înmagazinare Gaze Naturale DEPOGAZ Ploieşti SRL DEPOGAZ

PRESENTATION SHEET For project „Modernization of the natural gas storage infrastructure - Balaceanca UGS” SNGN ROMGAZ SA - Natural Gas Underground Storage Subsidiary DEPOGAZ Ploieşti SRL

1. TYNDP 2020: Not included 2. Category : Gas Infrastructure 3. Project Promoter: SNGN ROMGAZ SA - Natural Gas Underground Storage Subsidiary DEPOGAZ Ploieşti SRL 4. Countries involved: România , RO 5. Technical description of project: The project aims to use the UGS in a multicycle regime and to increase the daily gas delivery capacity of the Balaceanca UGS to 1.6 million m3/ day. In order to ensure an increased degree of operaţional safety and to enhance the capacity of the existing gas infrastructure, it is necessary to modernize the existing facilities and to construct new surface facilities that will take over the additional flow and ensure the necessary flexibility to use the storage in multicycle. From a technical point of view, the project consists of drilling new wells, modernizing existing wells and surface facilities in accordance with the requirements of European safety and control standards, to expand, modernize and optimize the existing compressor, separation and fiscal measurement units The project consists of the following: 1. Systematization of intake/ discharge (exhaust) manifolds, injection/withdrawal of gas; 2. Expansion and modernization of Balaceanca compressor station; 3. Expansion and modernization of TEG dehydration unit; 4. Modernization of fiscal metering panel Balaceanca; 5. Modernizations of storage groups; 6. Drilling and completion of 3 new wells; 7. Modernization of old wells; 6. Project location: Balaceanca UGS is located in Cernica, Ilfov County, approximatively 4 km South of Bucharest. 7. Project objectives: o Increase of security of supply through the development and diversification of natural gas resources in the SE of Europe, ensuring a better energetic independence and mitigating the risks of gas flow interruption during peak periods with reference to different disruptive scenarios; o Increase of daily withdrawal capacity by 30%, up to 17.44 GWh/day; o Expanding the portfolio of storage Services with complex Services that integrate, among others, flexibility in operation and network balancing Services, through a surface infrastructure that will provide the necessary flexibility to allow using the UGS in multicycle regime; o The project contributes to a reduction of greenhouse gas and pollutant emissions, aligned to the context of European decarbonization policies and the overall increase in costs of ETS emission certificates. The implementation of the project will allow the role of natural gases or of gases from renewable sources to increase significantly;

Nr.ord.reg.com./an: J29/1181/21.08.2015 Societatea Naţională de Gaze Naturale Romgaz SA CUI: 34915261 Filiala de înmagazinare Gaze Naturale DEPOGAZ Ploieşti SRL IBAN: R036 BTRL RONCRT0317066401 Str. G. Cantacuzino, nr.184, 100492 Ploieşti, jud.Prahova, România Banca Transilvania Ploieşti Telefon: 004-0374-403800 Fax: 004-0244-515160 www.depogazploiesti.ro [email protected] o The project contributes to N-1 rule on a regional level, according to EU Regulation 1938/2017; o The project lowers naţional dependence on gas imports during the cold season. 8. Contribution of the project to the European and regional energetic security: The project „Modernization of the natural gas storage infrastructure - Balaceanca UGS” has an important contribution to the increase of daily withdrawal capacity and to inhancing flexibility of gas storage infrastructure in the SE of Europe and will stimulate and accelerate the development of new resources located both offshore, in the Black Sea and onshore, in Romania, allowing an optimization of the necessary investments to capitalize on such reserves, facilitating a constant production, through the following: o Balaceanca UGS is connected to the ” Bulgaria - Romania - Hungary - Austria Corridor”, the BRUA project that is being developed in our country by NTS TRANSGAZ and which includes the construction, in phases, of a new transmission pipeline for natural gas between Podişor technological node and SMG Horia as it aims to increase the transmission capacity in RO - HU interconnection point, Csanadpalota-Horia, and to ensure the physical, bidirecţional transmission of gases between RO-HU and RO-BG interconnection points 9. Sales market: internai and regional market 10. Strategy for purchasing the equipment: PUBLIC TENDERING 11. Final date of feasibility study: 30.04.2021 12. Start date of the project (FID) : 2023; 13. Estimated finalization date: 2029; 14. Estimated value of project - CAPEX: 36.240.435 EUR. 15. Financing sources: own sources and attracted sources (including EU funds) 16. Production and operation after implementation of project: o Additional withdrawal capacity of around 0.4 mii. m3/day will be included in the list of available capacities for withdrawal from UGS. The storage facility will be operated by SNGN ROMGAZ SA - Natural Gas Underground Storage Subsidiary DEPOGAZ Ploieşti SRL. o Third Party Access (TPA) regime to UGS will be established following the studies to be carried out, including market studies. There is no intention to request any TPA exemption for this project, at this time. 17. Current status of the project: elaboration of documentation for land acquisition. 18. Environmental protection: The project conforms to the European Union environmental legislation in force

Tec Victor

July 12th, 2021

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