Shares in Kraft AS Investor Presentation Fjelberg Kraftlag AS October 30, 2020

1 Table of contents

1 Background

2 AS

3 Kraftlag AS

4 Haugaland Kraft Nett AS

5 Other group companies

6 Appendix

2 Background and process Pareto will facilitate a process that is expected to be finalized in December 2020 The transaction Process steps  Investors reach out to Pareto to confirm interest Background Late Oct. DEAL LAUNCH  In November 2018 Haugaland Kraft AS and Fjelberg Kraftlag AS entered into  In return, investors receive share purchase agreement (SPA) and process letter a share issue agreement, with a following restructuring of ownership in Haugaland Kraft AS’ group company Sunnhordland Kraftlag AS (SKL) Phase 1

The transaction in 2020 NON-BINDING  Deadline for non-binding offer to be submitted NOV. 27  In 2020 Fjelberg Kraftlag AS completed its merger with Haugaland Kraft AS OFFER by investors: November 27, 2020 CET 15:00 and received 19 141 293 shares in Haugaland Kraft AS as payment. The transaction consisted of the following: − Fjelberg Kraftlag AS operations were valued at NOK 103m and was exchanged for Phase 2 6 335 615 new shares in Haugaland Kraft AS − Fjelberg Kraftlag AS’ shares in SKL were valued to NOK ~207m and 12 758 678 new NOV. 27 – INVITATIONS TO  Selected investors are invited to participate in shares was awarded in Haugaland Kraft AS, valued at NOK ~249m DEC. 3 PHASE 2 phase 2 − The difference of NOK ~41m was settled in cash − Fjelberg Kraftlag AS was also granted NOK 5m as compensation for deferred dividends in SKL  Haugaland Kraft AS has informed the seller that to their knowledge there is no shareholders' agreements in place between the Company or its  Deadline for binding offer to be submitted by BINDING OFFER shareholders or between any of the shareholders. Accordingly, Fjelberg DEC. 3 investors: December 3, 2020 CET 15:00 Kraftlag AS is not party to any such agreement or undertaking

The situation now  The board in Fjelberg Kraftlag AS has now decided to explore the possibility DEC. 3 –  After all binding offers are submitted an auction to sell the shares at the highest possible price AUCTON ROUND round is envisioned with final result within  From the agreement in 2018, Fjelberg Kraftlag AS has right to sell the shares DEC. 5 December 5, 2020 to Haugaland Kraft at NOK 16.195 per share (put option) or NOK 310m − The put option expires December 31, 2020  Fjelberg Kraftlag AS has now hired Pareto Securites as financial advisory with the mandate to sell the shares DEC. 5 – FORMAL COMPLETION  Settlement and formal completion of the deal DEC. 9 AND SETTLEMENT

3 Investment highlights Unique opportunity to acquire shares in an infrastructure company with prime infra assets consisting of large hydro power, grid and fiber/broadband assets

Haugaland Kraft AS has top tier perpetual large scale hydropower I assets providing visible and steady cash flow over a long horizon

The company is operating its monopoly grid assets efficiently II and has an average return on its grid assets (RAB) above peers

Rising and stable cashflow from highly attractive fiber and III broadband assets

Strong ESG profile beyond being a producer of renewable energy IV

4 We expect to see a value of Fjelberg’s share well above the put price Transaction and valuations points in this direction Fjelberg’s put price in relation to transactions/valuations Price per share (NOK)

+6% 19,49 +13% 18,33 16,20

Put option transaction 04.09.2019 Karmøy Valuation 22.04.2020

 Fjelberg Kraftlag`s put price for its shares in NOK 310m, or NOK 16.20 per share

 Bokn kommune sold its 4 320 000 shares in Haugaland Kraft in September 4, 2019 − Valued at NOK 79 162 315 or 18.325 per share − The shares were acquired by Karmøy Municipality

 In April 2020, Karmøy Municipality estimated the shares in Haugaland Kraft to be valued at NOK 19.491 per share, in relation to the transaction between Fjelberg Kraftlag AS and Haugaland Kraft AS

Source: Haugaland Kraft AS, Karmøy Kommune, 5 Norwegian power prices are expected to increase by 40%* in 2040 Haugaland Kraft is expected to benefit from this due to its flexible hydro power production

The Norwegian power balance Power price outlook for and Germany TWh EUR/MWh Prices in Europe is 206 193 50 expected to increase 183 190 Norwegian power 172 176 because of the consumption is 45 introduction of 140 148 expected to grow 1% 40 renewable power annually towards 2050 plants, which drive to a total increase of 35 prices up during the 36%. Production is winter months. expected to increase at 30 Norway will be roughly the same rate, 25 affected, but will have with new production lower prices due to coming from onshore 20 power surplus and 2020E 2030E 2040E 2050E wind and hydropower 2020E 2030E 2040E 2050E water reserve Power consumption in the Norway Mid Norway dynamics Power production in Norway Germany

Price volatility in Norway, 2030 and 2040 Average* achieved prices in Norway

EUR/MWh 0 20 40 60 12 EUR/MWh 10 Reservoir Price volatility is 8 expected to increase Increased volatility is on daily, weekly and River 6 expected to benefit monthly basis, due to flexible hydropower 4 higher power supply Onshore wind producers like from wind- and solar Powersource 2 Haugaland Kraft power in Europe and 0 the Nordics Solar 2020E 2025E 2030E 2040E

Daily volatility Weeky volatility Monthly volatility 2030 2040

Source: Statnett | Note(*): Arithmetic average between Norwegian regions 6 Table of contents

1 Background

2 Haugaland Kraft AS

3 Sunnhordland Kraftlag AS

4 Haugaland Kraft Nett AS

5 Other group companies

6 Appendix

7 Haugaland Kraft AS at glance

In brief Organization overview

 Haugaland Kraft AS was established in 1998, and reorganized in 2015  Today, the company is headquartered in Haguesund and has ~460 employees  Haugaland Kraft AS is a Norwegian large scale hydropower producer, grid owner and operator, and have assets in within fiber/broadband as 100% 100% 100% 80% 60% well as power sales Haugaland  It is a group company consisting of the three wholly owned subsidiaries; Haugaland Haugaland Kraft Kraft Nett AS Kraft Fiber AS Haugaland Kraft Nett AS, Haugaland Kraft Fiber AS and Haugaland Kraft Energi AS Energi AS  In addition, Haugaland Kraft AS is a majority shareholder in

Sunnhordland Kraftlag AS (SKL) with 59.7% ownership, and in Afiber AS Tveitelva Kraftverk AS 100% with 80% ownership Risvollelva Kraftverk AS 65%

Tverrelva Kraftverk AS 51% Key financials (NOKm) Group companies* of Storelvi Kraftverk AS 100% Haugaland Kraft AS Håfoss Kraftverk AS 100% 2 652 Einungstølsåna 100% 2 366 Kraftverk AS Åkraelva Kraftverk AS 1 957 100% 1 682 1 584 1 559 Jarlshaug Kraft AS 98% 1 293 Børsdalselva Kraftverk AS 100% 1 041 1 003 662 Akslandselva Kraftverk AS 76% 533 286 Eitro Kraftverk AS 50%

Hardanger Kraft AS 65% 2015 2016 2017 2018 2019 2020E Økstra Kraft AS 100% Vestkraft AS 100%

Revenues EBITDA Steine Kraft AS 70% Elverk AS 100%

Source: Company information, Proff | Note(*): Afiber located in Arendal, Norway 8 Haugaland Kraft AS – Management, Shareholders and Board

Management Shareholders as of 30.10.2020 # Shareholder Shares Ownership Johan Harald 1 Olav Linga Karmøy Kommune 180 968 850 34.72% Jakobsen 2 Kommune 129 027 315 24.76% CEO Director, Haugaland 3 Finnås kraftlag 49 695 686 9.53% Kraft Energi 4 Tysvær Kommune 39 551 725 7.59% 5 Kommune 27 645 703 5.30% 6 Kommune 20 381 332 3.91% 7 SØK AS 19 904 301 3.82% 8 Fjelberg Kraftlag 19 141 293 3.67% Gunn M. Lassesen Runar Areklett 9 18 738 482 3.60% Director, CFO 10 Suldal 14 504 476 2.78% communications and 11 customer services Kommune 1 640 000 0.31% Total 521 199 163 100%

Per Arne Risanger Jan Håland Board HR Director Director, Haugaland Kraft Fiber AS Chairman: Petter Steen jr

Members: Mona Opheim Geir M. Bårdsen Einar Østebø Stein Inge Morisbak Inghild Storesund Magne G. Bratland Director, development Tiril Fjeld Director, Haugaland and digitalization Arne Birkeland Kraft Nett AS Martin Laurhammer

9 Operational overview of Haugaland Kraft AS Sunnhordland Kraftlag AS’ hydropower production has been the strongest contributor Segment information Revenue composition 2019 EBITDA development (NOKm)

892 Power Prices in 2020: Power prices in Norway have Sunnhordland 659 been historical low in 2020 25 % Kraftlag 514 33 % partly due to Covid-19 and record water level in hydro Haugaland Kraft 343 382 355 307 storage dams, affecting SKL’s Nett 278 273 EBITDA for the year 131 130 141 143 141 145 13 % Haugaland Kraft 33 46 50 67 49 Fiber & Afiber Going forward the prices for Southern Norway are 29 % Haugaland Kraft 2016 2017 2018 2019 2020E expected to increase by 18% Energi Sunnhordland Kraftlag Haugaland Kraft Nett towards 2030 and 30% Haugaland Kraft Fiber & Afiber Haugaland Kraft Energi towards 2040 (see slide 6)

Investments (NOKm) ROE* (%) and dividends (NOKm)

Dividends 974 274 ROE 37,2 % 817 235 623 170 406 95

8,7 % 5,1 % 6,6 %

2016 2017 2018 2019 2016 2017 2018 2019

Source: Haugaland Kraft AS, Statnett | Note(*): Return On Equity = Net Income/average equity 10 The sustainable profile of Haugaland Kraft AS ESG is in the core of Haugaland Kraft AS’ value proposition

Haugaland Kraft AS has delivered renewable Above NOK 2bn paid in Long-term owners in hydropower for more taxes and dividends form of municipalities than 100 years since 2015, benefitting ensure transparency to E S local municipalities and G the public and strong businesses control mechanisms

Clean Power Quality education Responsible consumption Less inequality and Infra. and innovation + and production poverty sustainable communities

Haugaland Kraft AS produces Haugaland Kraft AS aim to have Haugaland Kraft AS is a Haugaland Kraft AS is a Haugaland Kraft AS is an early ~2 700 GWh of 100% renewable 10% of the work force “Miljøfyrtårn” certified recognizable presence in local adaptor of new sustainable hydro power, which is enough comprised of trainees, to give company, meaning that it is communities, and contributes technology and offer smart to supply above 75 000 young people experience with regarded as a sustainable to culture and sports among services and goods benefitting households. The company also renewable power. In addition, enterprise in Norway. children, thus promoting equal customers and ultimately local provide customers with solar the company has collaborations, Haugaland Kraft AS had a opportunities for everyone communities and cities power panels for own use. such as “Sildikon Valley”, with recycling rate of 92% in 2019 entrepreneurs and students

Source: Haugaland Kraft AS 11 Table of contents

1 Background

2 Haugaland Kraft AS

3 Sunnhordland Kraftlag AS

4 Haugaland Kraft Nett AS

5 Other group companies

6 Appendix

12 Sunnhordland Kraftlag AS (SKL) in Brief Highly flexible perpetual hydro power Description Shareholders* 2 %  Sunnhordland Kraftlag AS (SKL) is a subsidiary of Haugaland Kraft AS, # Shareholder Shares Ownership which owns of 59.7% of the company  SKL is a hydropower producer located on the west coast of Norway and 1 2 125 493 59.7% has production capacity of >710 MW, with annual mid-production of 38 % ~2.7 TWh. The company has an additional pipeline of ~180 GWh 60 %  The historical production has been: 2017 – 2.996 TWh, 2018 – 2.950 TWh, 2019 – 2 1 430 724 38.2% 2.500 TWh and 2020E ~3.000 TWh  All SKL’s permits are held for perpetuity and 80% of water inflow to power production originate from the river Blådalsvassdraget 4 80 109 2.1%  Folgefonna, the third largest glacier in Norway, supply water to Blådalsvassdraget through seasonal melting, balancing periods with little Haugaland Kraft AS Total 3 747 542 100% BKK AS rainfall and thus provides steady production for SKL Kommune

Key financials (NOKm) ROE** (%) and dividends (NOKm)

1 255 210

987 160 892 807 746 120 710 659 115 15,8 % 514 11,3 % 343 351 255 7,6 % 7,1 % 141

2015 2016 2017 2018 2019 2020E 2016 2017 2018 2019 Dividends ROE Revenue EBITDA Source: Sunnhordland Kraftlag AS | Note(*): as of 01.07.2020 after Fjelberg Kraftlag AS merged with Haugaland Kraft AS; Note(**): Return On Equity = Net Income/average 13 equity Sunnhordland Kraftlag AS power plant overview Owned capacity and production of >710 MW and production of ~2.7TWh, respectively

Capacity* Production* # Power plant Ownership MW GWh Power plant locations 1 Steinsvik Kraftverk 4.2 15 50% 2 Sandal & Fossheim Kraftverk 0.7 2.6 25.5% X Fully owned 3 Nydalselva Kraftverk 2.7 10 50% Producing plants: 4 Indrebø Kraftverk 0.5 1.5 50% X Jointly owned 5 Sima Kraftverk 98.5 239.4 8.75% 6 Storelvi Kraftverk 4 11.2 100% 7 Tveitelva Kraftverk 4.2 11 100% 8 Eitro Kraftverk 2.1 5.6 50.48% 9 Hopselva Kraftverk 2.1 7.8 48.58% 10 Eikelandsosen Kraftverk 30 95 100% 11 Tverrelva 2.55 10.2 51% 1 12 Børtveit Kraftverk 1.9 9 100% 2 13 Lundseter Kraftstasjon 0.5 2 100% 3 14 Blåfalli IV 14 70 100% 4 15 Blåfalli V 8.5 26 100% 16 Blåfalli III H&L 105 567 100% 17 Staffi Kraftverk 3.8 17 100% 18 Blåfalli 235 810 100% 19 Liarelva 1.8 6 100% 20 Åkraelva Kraftverk 5 16 100% 21 Akslandselva Kraftverk 1.4 3.8 75.5% 5 22 Litledalen Kraftverk 15 65 100% 8 23 Hardeland Kraftverk 36 155 100% 9 7 6 24 Håra Kraftverk 0.4 1.2 7.15% 10 14 25 Mosebekka Kraftverk 2.1 6 50% 11 15 26 Saudefaldene 54 277.5 15% 12 27 Rødne Kraftverk 9 35 100% 13 16 18 17 28 Tysseland Kraftverk 2 8 40% 29 Ulla-Førreverkene 53.3 121.9 2.54% 19 20 30 Bordalsbekken 1.8 5.5 100% 21 24 22 31 Steine Kraftverk 1.9 6.5 70.02% 23 32 Økstra Kraftverk 0.5 2 100% 25 26 27 33 Kraftverk 3.5 14 100% 30 28 34 Gjønaelva Kraftverk 1.7 4.4 48.5 % 3132 29 35 Helgheim 1.4 3.5 50 % 33 36 Timbra 1.5 5 50 % Total >710 MW ~2 700 GWh

Pipeline (GWh) 100

20 17 14 13 10 7

Blåfalli upgrade Håfoss Kvandalselva Onarheimselva Risvollselva Einungstålsåna Jarlshaug

Source: Sunnhordaland Kraftlag AS | Note(*): SKL’s share of production 14 Blåfalli power plants in detail The four power plants constitutes 56% of total existing production for SKL

Drainage basin: 173 km2 Drainage basin: 126 km2 | 33 km2 Blåfalli Vik Blåfalli III (Høg | Låg) Inflow: 744mill m3/y Inflow: 583mill m3/y | 114mill m3/y

Drop height: 375 m Drop height: 303 m | 61m

Max. intake: 70 m3/sec Max. intake: 36 m3/sec | 10 m3/sec

Capacity: 1 x 235 MW Capacity: 2 x 50 MW | 5 MW

Production: 810 GWh Production: 550 GWh | 17 GWh

COD: 2007 COD: 1968 & 1972 | 1975

Drainage basin: 27 km2 Drainage basin: 66 km2 Blåfalli IV Blåfalli V Inflow: 128mill m3/y Inflow: 325mill m3/y

Drop height: 150 m Drop height: 56 m

Max. intake: 11 m3/sec Max. intake: 17 m3/sec

Capacity: 14 MW Capacity: 8.5 MW

Production: 70 GWh Production: 26 GWh

COD: 1981 COD: 2001

Source: Sunnhordland Kraftlag AS 15 Table of contents

1 Background

2 Haugaland Kraft AS

3 Sunnhordland Kraftlag AS

4 Haugaland Kraft Nett AS

5 Other group companies

6 Appendix

16 Haugaland Kraft Nett AS

Description Concession area

 Haugaland Kraft Nett AS is a wholly owned subsidiary of Haugaland Kraft AS  The company develops, operates and is responsible for maintenance on regional- and distribution power grids in Haugalandet, Sunnhordland and Indre  During the period 2013-2018*, average return on RAB was 6.5%, and average efficiency, measured by DEA-score, was 96%  85 189 customers as of December 31 2019  The company owns approximately 9 160 km of power grid, ~3 300 power substations and 43 transformers  It distributed 2 493 GWh to the regional grid and 1 968 GWh to the distribution grid in 2019

Grid customers

+39%

85 189

61 401

2015 2019

Source: Haugaland Kraft AS | Note(*): last available numbers 17 Haugaland Kraft Nett AS efficiency and return on RAB Haugaland Kraft Nett AS delivers stable efficiency and high returns compared to peers Key financials (NOKm) Return on Regulated Asset Base (NVE)  Return on RAB has had a positive development since 2015, and is 2 737 well above the 5 year average for 828 859 862 its peers of 4.5% 2 375 688 2 102 670  At year end 2019 reported RAB 1 683 was NOK 2 737m, and YTD the 404 company has added Fjelberg 382 355 1 066 307 Kraftlag AS’ grid adding approx. 278 273 10,45% 9,69% 8,72% NOK ~40m in RAB. We expect 7,74% that Haugaland Kraft Nett`s RAB 48 4,75% will be above NOK 3b year end 2020 2015 2016 2017 2018 2019 2020E 2015 2016 2017 2018 2019 RAB* Return on RAB  Historically efficiency has been Revenue EBITDA stable, as measured by DEA-score

Haugaland Kraft Nett AS historical efficiency measured by DEA-score (as of 2018)

97% 93% 96% 96% 94% 95% 95% 92% 96% 88% 86% 80% Median

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Average 5y Average

Source: Haugaland Kraft AS, NVE | Note(*): RAB = Regulatory asset base (NVE) 18 Table of contents

1 Background

2 Haugaland Kraft AS

3 Sunnhordland Kraftlag AS

4 Haugaland Kraft Nett AS

5 Other group companies

6 Appendix

19 Haugaland Kraft Fiber AS and Afiber AS

Description Business areas

 Haugaland Kraft Fiber AS is a fully owned subsidiary of Haugaland Kraft AS and was established in 2015 Partners  It has long-term agreement with several national and international providers of fiber based internet and communication services  Haugaland Kraft AS also owns 80% in Afiber AS, which was started in TV, Internet and telephony 2017 and is building fiber networks in Agder, enabling the company to provide TV- and broadband services to customers locally  Both companies deliver content from Altibox, the TV and internet provider with highest customer satisfaction in Norway  In a consortium with Lyse, BKK, Ryfylke IKS, Green Mountain and Hatteland Group, Haugaland Kraft Fiber AS is building a 700 km subsea fiber optic cable connecting Norway and UK (completion in 2021) Alarm systems Provider of fiber optic cables

Key financials* (NOKm) Ordinary customers**

424 35 600 390 371 32 000 347 30 300 336 27 760

20 000

131 130 141 143 145

2016 2017 2018 2019 2020E 2015 2016 2017 2018 2019 Revenue EBITDA

Source: Sunnhordland Kraftlag AS | Note(*): Haugaland Kraft Fiber AS and Afiber combined; Note(**): Excluding customers from partners 20 Haugaland Kraft Energi AS

Description Service offering

Traditional Innovative energy solutions  Haugaland Kraft Energi AS is a wholly owned subsidiary of Haugaland Kraft Energi AS which provide power and energy solutions to private customers in Haugalandet, Sunnhordland and Indre Ryfylke  The company has a wide service offering in addition to power sales – mainly related to efficient use of electricity  Several contracts for smart lighting has been awarded, predominately for street lights, but also in relation to a local football field  Furthermore, Haugaland Kraft Energi AS offer smart electric charges to private consumers and housing associations Smart Electric Solar  In 2019, the company was the first and only to have launched a cloud Power lighting in vehicle panels to Cloud battery: customers’ excess power production from solar panels is stored sales the public charging private battery in the cloud, to be used in the future in a high price season space solutions customers

Selected power sales products Key financials (NOKm)

710 737

518 435 366

67 33 46 50 49

2016 2017 2018 2019 2020E

Revenue EBITDA

21 Table of contents

1 Background

2 Haugaland Kraft AS

3 Sunnhordland Kraftlag AS

4 Haugaland Kraft Nett AS

5 Other group companies

6 Appendix

22 Risk factors (I)

Introduction and important information

Introduction Investing in the Shares involves inherent risks. Before making an investment decision, investors should carefully consider the risk factors and all information contained in this Company Presentation. The risks and uncertainties described in this section are some of the risks and uncertainties faced by the Group as of the date of this Company Presentation that the Seller believes are material when considering an investment in the Shares. An investment in the Shares is suitable only for investors who understand the risks associated with this type of investment and who can afford a loss of all or part of their investment. The absence of a negative past experience associated with a given risk factor does not mean that the risks and uncertainties described herein should not be considered prior to making an investment decision. If any of the risks were to materialize, individually or together with other circumstances, it could have a material and/or adverse effect on the Group and/or its business, financial condition, results of operations, cash flow and/or prospects, which may cause a decline in the value of the Shares that could result in a loss of all or part of any investment in the Shares. The risks and uncertainties described below are not the only risks the Group may face, and the Seller does not assume any liability for the completeness or accuracy in presenting the risk factors set out herein. Additional risks and uncertainties may also have a material adverse effect on its business, financial condition, results of operations and cash flow. The order in which the risks are presented below is not intended to provide an indication of the likelihood of their occurrence nor of their severity or significance.

The power industry is a highly regulated sector and thus subject to political risk The power industry is publicly regulated and regulation may change over time. Thus, there is political risk of investments in the renewable and infrastructure industries in Norway.

The revenues from sale of electricity are subject to price risk

Sale of electricity constitute a large share of the Group's revenues. The profitability of the Group's producing power plants depends on the volume and prices of the electricity produced. Although some of the sale could be based on fixed price purchase agreements, the majority of the Company's sale will be exposed to price risk related to electricity sold at spot rates. Electricity prices are

inter alia dependent on substitute or adjacent commodity prices such as e.g. oil, gas and coal prices, but also dependent on metrological conditions, CO2 pricing and other supply and demand factors going into the clearing of the market price of electricity.

Risk related to competition with other energy sources

The power industry may not be able to be competitive against other sources of renewable or conventional energy, adversely affecting demand for the Group's products by its customers in the power industry. The power industry competes, in particular, with other sources of renewable energy (e.g. biomass, fuel cells, PV). If prices for other renewable energy sources decline or if other renewable energy sources enjoy greater policy report than the power industry, the power industry is not able to achieve reduction in production costs that enable it to reduce to price per kilowatt-hour of electricity that can be generated from their products, the PV industry could suffer. This could have a significant effect on the Group's business, prospects, financial results and results of operations as a supplier to the power industry.

23 Risk factors (II)

Risk relating to outbreak of pandemics, including Covid-19

The Group's performance is affected by the global economic conditions of the markets in which it operates, including the risk relating to the outbreaks of pandemics. The global economy has been experiencing a period of uncertainty since the recent outbreak of the Covid-19 virus, which was recognized as a pandemic by the World Health Organization in March 2020. There is a risk that outbreaks of pandemics in the future and the extraordinary health measures imposed as a result, may cause disruptions in the Company's operations. There can be no assurances that the Company's operations will continue without major interruptions arising from outbreaks of pandemics such as the ongoing Covid-19 pandemic. For example may any mandatory “stay home - stay safe” policy result in reduced production and sales, or any mandatory travel restrictions may cause delays in installation and commissioning. If such pandemics should impact the Company's operations, it may have material adverse effect on the Company's business, financial condition, results of operations, cash flow and/or prospects.

Commercial and operational risks

Laws and regulations may affect the Group's operations, increase the Group's operating costs and reduce demand for its services Changes in laws and regulations applicable to the Group could increase compliance costs, mandate significant and costly changes to the way the Group implements its services and solutions, and threaten the Group's ability to continue to serve certain markets. For some power plants, license fees and concessionary power must be paid or transferred to the municipality, county or state. Often, such power plants must deliver considerable amount their power production as concessionary power. The power plant must in such cases sell the concession power at the expected "cost price". This decreases the Group's profitability.

Changes in tax laws of any jurisdiction in which the Group operates, or any failure to comply with applicable tax legislation, may have a material adverse effect for the Group The Group is subject to prevailing tax legislation, treaties and regulations in the jurisdictions in which it is operating, and the interpretation and enforcement thereof. The Group's income tax expenses are based upon its interpretation of the tax laws in effect at the time that the expense is incurred. If applicable laws, treaties or regulations change, or if the Group's interpretation of the tax laws is at variance with the interpretation of the same tax laws by tax authorities, this could have a material adverse effect on the Group's business, results of operations or financial condition.

Power plants, electrical grids and fiber are infrastructure that are highly technical and thus subject to operational risk

Investments in power generation and energy-related infrastructure as well as fiber involve technical and operational risk. The Group invests in and build infrastructure. Despite investments and maintenance, technical problems may occur meaning possible stop in production, distribution of electric power and broadband service and related content, which can reduce the Group's profitability and/or financial position.

The revenues from the Group's power plants are dependent on the metrological conditions and weather in general The metrological conditions (rain and wind) at particular sites at which the Group's power plants are located can vary materially from season to season and from year to year. If a site proves to have lower resources than anticipated in the Group's business model or suffers a sustained decline in metrological conditions, such power plants are likely to generate lower electricity volumes and lower revenue than anticipated, which could have a material adverse effect on the Group's business. Likewise, distribution assets could be severely hurt by storms, lightning and other harsh weather conditions. 24 Risk factors (III)

The Group's revenues and costs are dependent on regulation on monopoly income regulated by NVE Changes in the relevant legislation governing transmission and distribution of electricity, may result in higher operating costs, lower revenues and fewer opportunities for growth.

The Group may be subject to litigation or regulatory proceedings The Group may become subject to legal disputes and be involved in legal or regulatory proceedings. Whether or not the Group ultimately prevails, legal disputes are costly and can divert management's attention from the Group's business. In addition, the Group may decide to settle a legal dispute, which could cause the Group to incur significant costs. An unfavourable outcome of any legal dispute could inter alia imply that the Group becomes liable for damages, payments or will not be able to realize some of its projects. A settlement or an unfavourable outcome in a legal dispute could have adverse effects on the Group's business, results of operations, cash flows, financial condition and prospects.

External subcontractors and suppliers of services and goods The Company's construction of power plants relies on external subcontractors and suppliers of services and goods to varying degrees. This business model regarding new projects inherently contains a risk to the Company's goodwill and branding as well as timely project development according to budgeted costs. If suppliers fail to meet agreed or generally accepted standards in areas such as environmental compliance, human rights, labour relations, product quality and timely delivery, this could have a significant adverse effect.

Financial risks

Required return by investors may lower the equity value of the Company

There is uncertainty with respect to the future risk premium an investor will demand when investing in renewable energy and energy related infrastructure. If the required return is increased, the equity value of the Company will decrease.

Increase in interest rates may reduce the Group's profitability

The Group's underlying assets may be loan-financed. An increase in interest rates will lead to higher financing costs, which reduces the Group's profitability.

Fluctuations in exchange rates could affect the Group's cash flow and financial condition

The Group presents its financial statements in NOK. However, Norwegian power companies sell the power through Nord Pool. All trades on Nord Pool are settled in Euro, exposing the Group to currency risk. Any fluctuations in exchange rates between NOK and Euro could materially and adversely affect the Group's business, results of operations, cash flows, financial condition and/or prospects.

25 Risk factors (IV)

Profitability of projects is not given

There may be errors in the assumptions or methodology used in the financial models used by the Group in relation to its decision to acquire or develop renewable energy assets, whether as part of the Group's current portfolio or subsequently, which may result in the returns generated by such projects being materially lower than expected. Further, the Group will develop, own, operate and make investments in assets and projects which are illiquid. The realization of such assets may take time and there can be no assurances that the Group will be able to sell its assets or realize its projects as planned.

The Group is dependent on external financing Further expansion of the Group's business will require external financing. If the Group is not able to obtain required financing on a timely basis and on attractive terms this could result in lost business opportunities, shortened lifetime of current assets and/or that the Group is forced to realize its interest in certain projects.

Risk related to shares

The shares must be considered illiquid

Shares in the Company today are held primarily by municipalities that are long term investors. There is therefore very little second-hand trading of the shares historically. An investor in the shares must therefore assume that it could be hard to find a buyer for the shares in the future.

The market price of the Shares may be volatile which could result in investors losing a significant part of their investment

An investment in the Shares involves risk of loss of capital, and securities markets in general have been volatile in the past. The market value of the Shares could also be substantially affected by the extent to which a secondary market develops or sustains for the Shares.

The value of the Shares could for foreign investors be adversely affected by exchange rate fluctuations

The Shares will be priced in NOK, and any future payments of dividends on the Shares will be made in NOK. Exchange rate movements of NOK will affect the value of dividends and distributions for investors whose principal currency is not NOK. Further, the market value of the Shares as expressed in foreign currencies will fluctuate in part as a result of foreign exchange fluctuations. This could affect the value of the Shares and of any dividends paid on the Shares for an investor whose principal currency is not NOK.

26 Risk factors (V)

Norwegian law imposes certain restrictions on shares and shareholders The rights of the Shareholders are amongst others governed by Norwegian law and by the Articles. These rights may differ from the rights of shareholders in companies incorporated in other jurisdictions. In particular, Norwegian law limits the circumstances under which shareholders of Norwegian companies may bring derivative actions. For instance, under Norwegian law, any action brought by a company in respect of wrongful acts committed against such company will be prioritised over actions brought by shareholders claiming compensation in respect of such acts. Further, it may be difficult to prevail in a claim against the Company under, or to enforce liabilities predicated upon, securities laws in other jurisdictions. The Arcticles of the Company ( a copy of which is included in this presentation) contains limitations that among other things may affect the tradability of shares (including a limitation on indirect share transfers in a shareholder), right of first refusal or similar. The Shares offered for sale by the Seller will trigger a right for the other shareholders of the Company to exercise a right of first refusal in accordance with the Norwegian Limited Liability Companies Act of 1997. Acquisition of Norwegian large scale hydro power resources or companies owing large scale hydro power resources in Norway, are subject to certain ownership restrictions and licencing requirements laid down by the Act relating to acquisition of waterfalls of 14 December 1917 No. 16 (the Waterfall Licencing Act). Changes in the shareholding structure in the Company over time may accordingly limit the ability to sell or transfer shares in the Company to entities/persons not being eligible public owners or to persons that obtain a licence.

The Shares are subject to restrictions on dividend payments

Norwegian law provides that any declaration of dividends must be adopted by the Company's General Meeting. Dividends may only be declared to the extent that the Company has distributable funds and the Board of Directors finds such a declaration to be prudent in consideration of the size, nature, scope and risks associated with the Company's operations and the need to maintain its liquidity and financial position. Accordingly, the size of any future dividend from the Company to the Shareholders is dependent on a number of factors, such as the Company's business development, results, financial position, cash flow, available liquidity and need for working capital. There are many risks that may affect the Company's earnings, and there can be no guarantee that the Company will be able to present results that enable distribution of dividends to the Shareholders in the future. If no dividend is distributed, the Shareholders' return on investment in the Company will solely generate on the basis of the development of the share price.

27 Articles of association for Hagualand Kraft AS (I)

UNOFFICIAL OFFICE TRANSLATION – IN CASE OF DISCREPANCIES THE NORWEGIAN VERSION SHALL PREVAIL:

VEDTEKTER ARTICLES OF ASSOCIATION FOR FOR HAUGALAND KRAFT AS HAUGALAND KRAFT AS

(org. nr. 915 636 756) (Reg.no 915 636 756)

(sist endret 30. april 2020) (last amended on 30 April 2020 )

§ 1 - Navn Article 1 - Name Selskapets foretaksnavn er Haugaland Kraft AS. The business name of the company is Haugland Kraft AS.

§ 2 - Forretningskontor Article 2 – Registered office Selskapets forretningskontor er i Haugesund kommune. The office of the company is located in the municipality of Haugesund.

§ 3 - Formål Article 3 - Objectives Selskapets formål skal være eierskap i selskaper som driver produksjon av fornybar energi, sikker og The company's objectives shall be ownership in companies that produce renewable energy, secure and cost- kostnadseffektiv overføring og omsetning av energi, og som tilbyr sikker og kostnadseffektive bredbåndstjenester, effective transmission and sales of energy and that offer secure and cost-effective broadband services, together samt hva hermed står i forbindelse, herunder å delta i andre foretak som driver tilsvarende virksomhet. with what is connected with this, including to participate in other companies that conduct similar business. The Selskapet skal også ivareta konsern- og hovedkontorfunksjoner. company shall also ensure functions related to the group and headquarter.

§ 4 - Aksjekapital Article 4 – Share capital Selskapets aksjekapital er på kr. 260.599.582,-, fordelt på 521.199.163 aksjer, hver pålydende kr. 0,50,-, alle fullt The company's share capital is NOK 260,599,582 divided into 521,199,163 shares each with nominal value of NOK innbetalt og lydende navn. 0.50, fully paid and designated by name.

§ 5 – Administrerende direktør Article 5 - CEO Selskapet skal ha en administrerende direktør som skal forestå den daglige ledelse. Styret skal fastsette instruks The company shall have a CEO to manage the day-to-day operation. The board of directors shall determine for administrerende direktør instructions for the CEO.

§ 6 - Signatur Article 6 – Signatory rights Selskapets firma tegnes av styrets leder i fellesskap med enten ett styremedlem eller administrerende direktør. Signatory right for the company is held by the chairman and one director or the CEO jointly. The board may grant Styret kan meddele prokura. right of procuration.

28 Articles of association for Hagualand Kraft AS (II)

§ 7 - Selskapets styre Article 7 – The board of directors Selskapets styre skal bestå av 5-9 medlemmer, med 3 numeriske varamedlemmer, herunder de ansattes The board of directors shall consist 5 to 9 directors, with 3 numeric deputy board members, including the representanter og varamedlemmer som velges i samsvar med regler gitt i eller i medhold av enhver tid gjeldende employee representatives and deputy members selected in accordance with the law as amended from time to lovgivning. Styremedlemmer velges for inntil 2 år. time. Board members are elected for up to 2 years.

§ 8 – General forsamling Article 8 – General meeting Ordinær generalforsamling holdes hvert år innen lovens frist, i Haugesund eller i en av eierkommunene. The general meeting shall be held every year within the time limit of the law, in Haugesund or in the municipality of one of the shareholding municipalites.

Generalforsamlingen innkalles av styret med minst 4 ukers skriftlig varsel. The general meeting is convened by the board of directors with at least four weeks' prior written notice.

The agenda of the annual general meeting shall consider: Den ordinære generalforsamlingen skal behandle: (i) Adoption of profit and loss account and balance sheet, including use of annual surplus and coverage of annual loss (i) Fastsettelse av resultatregnskap og balanse, herunder anvendelse av årsoverskudd og dekning av årsunderskudd (ii) Adoption of consolidated accounts and consolidated balance sheet (ii) Fastsettelse av eventuelt konsernresultatregnskap og konsernbalanse (iii) Election of directors to the board of directors (iii) Valg av medlemmer til styret (iv) Election of members to the nomination committee (iv) Valg av medlemmer til valgkomitéen (v) Adoption of director's fee and remuneration to the members of the nomination committee, and approval of the auditor's (v) Fastsettelse av godtgjørelse til styrets og valgkomitéens medlemmer, og godkjennelse av revisors godtgjørelse remuneration (vi) Ander saker som i h.h.t. lov eller vedtekter hører inn under generalforsamlingen. (vi) Other matters, which according to law or the company's articles of association shall be decided by the general meeting.

Extraordinary general meeting is to be held when the board of directors finds it necessary. Ekstraordinær generalforsamling holdes når styret finner det nødvendig.

Extraordinary meeting shall also be convened when the specific subject is considered by the auditor or by Ekstraordinær generalforsamling skal også innkalles når det er til behandling av bestemt angitt emne kreves av shareholders holding at least 1/10 of the share capital. revisor eller av aksjeeiere som representerer minst 1/10-del av aksjekapitalen.

29 Articles of association for Hagualand Kraft AS (III)

§ 9 – Valgkomité Article 9 – Nomination Committee Generalforsamlingen velger en valgkomité og dennes leder. The general meeting elects a nomination committee and its chair.

Ved valg av styremedlemmer, herunder styrets leder og nestleder, skal valgkomitéen forut for møtet i When members of the board of directors are elected, including the chair and vice-chairman, the nomination generalforsamlingen, avgi forslag til kandidater overfor generalforsamlingen. committee shall, before the general meeting, submit proposals for candidates to the general meeting.

§ 10 – Innløsning Article 10 – Redemption Dersom noen direkte eller indirekte, blir eier av mer enn 10 % av aksjene i et selskap som eier aksjer i Haugaland If anyone directly or indirectly becomes owner of more than 10 % of the shares in a company that holds shares in Kraft, og ved enhver senere økning i eierandel utover dette, skal Haugaland Kraft ha rett til å innløse aksjonærens Haugaland Kraft, and by any later increase of ownership share beyond this, Haugaland Kraft shall have the right to aksjepost i Haugaland Kraft i henhold til aksjeloven § 12-7. Haugaland Kraft kan som et alternativ til innløsning i redeem the shareholders share in Haugaland Kraft according to the Norwegian Private Limited Liability Companies aksjene velge å erverve aksjonærens aksjepost i henhold til reglene i aksjeloven §§ 9-2 følgende Act section 12-7. Haugaland Kraft may as an alternative to redemption acquire the shareholders share according (erverv av egne aksjer). to the rules in the Norwegian Private Limited Liability Companies Act section 9-2.

An ownership share is also considered as shares held by the shareholder's related parties according to the Norwegian Private Limited Liability Companies Act Section 1-5 and the involved parties total share if acquisition Sammen med noens eierandel regnes i denne forbindelse aksjer eid av vedkommendes nærstående som bestemt i occurred in a prior reciprocal agreement. If the shareholders in Haugaland Kraft per 1 January 2017 transfer its aksjeloven § 1-5 og de involverte parters totale eierandel dersom erverv skjer etter forutgående innbyrdes shares to companies controlled by the shareholder, the right of redemption does not include changes of overenskomst. I den grad aksjonærer i Haugaland Kraft pr. 1. januar 2017 overfører sine aksjer til selskaper ownership in those companies. kontrollert av aksjonæren omfatter innløsningsretten/tilbakekjøpsretten ikke eierendringer i slike selskaper.

Upon ownership changes mentioned aboveoccurs, the shareholder is obliged to notify Haugaland Kraft as soon as Ved eierendringer som nevnt ovenfor plikter aksjonæren å gi melding til Haugaland Kraft så snart som mulig etter possible after the change of ownership has occurred. Haugaland Kraft's decision of redemption shall be made at eierendringer er inntrådt. Haugaland Krafts beslutning om innløsning eller tilbakekjøp av aksjene må være fattet within three months after the notice was given. innen tre måneder etter at varselet ble mottatt.

The redemption amount shall equal the share's real value at the time of proposing redemption. The articles in the Innløsningssummen skal fastsettes til aksjenes virkelige verdi på det tidspunkt innløsningskravet er fremsatt. Norwegian Private Limited Liability Companies Act Section 4-23 second and third paragraph are applicable as far Bestemmelsene i aksjeloven § 4-23 annet og tredje ledd gjelder så langt de passer. they are considered relevant.

§ 11 - Innsyn i eierkommunens kontrollutvalg og revisor Article 11 - Access to the municipal shareholder's supervisory board and auditor Kontrollutvalg og revisor i kommuner som eier aksjer i selskapet har rett til å kreve de opplysninger som kreves The supervisory board and auditor in the municipalities holding shares in the company have the right to demand påkrevd for deres kontroll, og i den utstrekning det finnes nødvendig foreta undersøkelser i selskapet, jf. the information required for their control, and to that extent, it is necessary to conduct investigations in the kommunelovens § 80. company, cf. the Local Government Act section 80.

30 Links to company information

Haugaland Kraft AS Sunnhordland Kraftlag AS

Financial Information: Financial Information: https://hkraft.no/om-haugaland-kraft/finansiell-informasjon/ https://skl.as/finansielle-dokument/

Group overview: Hydropower plants: https://hkraft.no/om-haugaland-kraft/konsernet-haugaland-kraft/ https://skl.as/kraftverka-vare/

Management: Board: https://hkraft.no/om-haugaland-kraft/organisasjonen/ https://skl.as/styret/

Sustainability: Sustainability: https://hkraft.no/en-baerekraftig-fremtid-starter-lokalt/ https://skl.as/samfunnsansvar/

Company news: Company news: https://hkraft.no/om-haugaland-kraft/konsernet-haugaland-kraft/ https://skl.as/nyhendearkiv/

Proff overview: Proff overview: https://proff.no/selskap/haugaland-kraft-as//produsenter/IG3E43C016D/ https://proff.no/selskap/skl-produksjon-as/stord/produsenter/IF5MEBJ016D/

31 Contact details and disclaimer

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