ElectraNet Flagship Projects Update Ashley Manna, Corporate Development 22 August 2019

CONFIDENTIAL Distribution The role of ElectraNet

2 CONFIDENTIAL Distribution Our Assets

3 CONFIDENTIAL Distribution ElectraNet’s Capital Program

▪ Significant capital program over the next 5 years ▪ Regulated – sustaining capital, asset replacement programs, operational & maintenance works ▪ Regulated contingent projects – Synchronous condensers, Eyre Peninsula, EnergyConnect (SA- NSW Interconnector) ▪ Unregulated – unprecedented customer connections, Upper North Connection Project (OZM)

4 CONFIDENTIAL Distribution ElectraNet’s Flagship Projects

5 CONFIDENTIAL Distribution Upper North Connection Project ▪ OZ Minerals / ElectraNet – TCA Oct 2018 ▪ BOOM Solution ▪ Continued operation of Prominent Hill and future growth for Carrapateena Mine ▪ Carrapateena Mine energised 20 July 2019 (55km of 132 kV and mine site substation). Will be re-configured to connect to Upper North assets. ▪ Initial network load requirement 110 MW (Prominent Hill and Carrapateena Mine). ▪ NEM Connection via ElectraNet’s Davenport substation at 275 kV ▪ Targeted energisation August 2020 ▪ In construction – UGL (transmission lines) and CPP (Mount Gunson expansion)

6 CONFIDENTIAL Distribution Upper North Connection Project

The project involves the design, construction, commissioning and subsequent operation of: □ approx. 15 km of 275 kV and 132 kV double circuit transmission line (towers); □ approx. 125 km of 275 kV single circuit transmission line (towers) □ approx. 130 km of 132 kV single circuit transmission line (poles); □ expansion of Mount Gunson South switching station (Carrapateena Mine connection point) to a 275 kV to 132 kV transformation substation (2 x 160MVA); □ related Prominent Hill, Olympic Dam, Carrapateena remote end works; and □ associated telecommunications, protection and control systems. ▪ Project Value ~ $230-280 m

For more information please contact: Len Schoots, Major Projects Director E schoots.len@.com.au P 8404 7398

7 CONFIDENTIAL Distribution Eyre Peninsula Transmission Line

▪ Current asset almost 50 years in service. ▪ New line will ensure secure and reliable electricity supply for the next 50 years ▪ Scope includes: □ X km double-circuit 132 kV transmission line from Cultana to Yadnarie (upgradable to 275 kV at a later date). □ Y km double-circuit 132 kV transmission line from Yadnarie to Port Lincoln ▪ Benefits of the project include: □ secure and reliable power supply to the region; □ increasing capacity for future load; □ enabling new renewable energy projects; and □ opportunity to extend the network in future.

CONFIDENTIAL Distribution Project Timeline

Construction on the new transmission line is expected to begin in mid-2020 and the line should be energised in late-2021.

For more information please contact:

David Tansell, Project Director Eyre Peninsula E [email protected] P 8404 7369 or 0439 699 416

9 CONFIDENTIAL Distribution ElectraNet’s Synchronous Condensers

CONFIDENTIAL Distribution Next Steps

▪ Formalise the remaining technical specifications, performance standards and operational arrangements with AEMO ▪ Conclude the competitive sourcing of synchronous condensers and associated equipment from suppliers ▪ Finalise the remaining site approvals ▪ Install the synchronous condensers by end 2020, with commissioning to be complete by early 2021.

For more information please contact: Dorin Costin Project Director Main Grid System Strength E [email protected] P 8404 7169

11 CONFIDENTIAL Distribution Project EnergyConnect

CONFIDENTIAL Distribution ▪ Project EnergyConnect

13 CONFIDENTIAL Distribution Contingent Project Approval submission Buronga - Wagga Robertstown to Schedule DA (inc EPBC EIS) Approved Sep 2019 Energisation Aug 2021 Aug 2023 RIT-T AER Determination Rob - Buronga Robertstown to completed of RIT-T Project Start DA (inc EPBC EIS) Approved Buronga Energisation Mar 2019 Oct 2019 Jun 2017 May 2021 Nov 2022

2017 2018 2019 2020 2021 2022 2023 2023

Today

Contingent Project Approval Jun 2019 - Sep 2019 Development Approval (inc EIS & EPBC) Feb 2019 - Aug 2021 Line Route Oct 2018 - Sep 2019 Land Aqusition Feb 2019 - Dec 2020 Tower Design & Conductor Optimisation inc footing design Dec 2018 - Jul 2019 EOI & RFP for ECI Works Feb 4 - Sep 30 ECI contract works (Detailed Design, Access& Logistics) Oct 2019 - Oct 2020 Tender for substation D&C & Tender for Plant Jul 1 - May 31 Robertstown to Buronga Tx line construction (inc. Redcliffs-Buronga) May 2021 - Nov 2022 Buronga & Robertstown substation construction Jul 2021 - Nov 2022 AEMO inter regional testing & capacity sign Nov 2022 - Nov off 2023 Darlington Point & Wagga Substation construction May 2022 - Aug 2023 Buronga to Darlington Point to Wagga Tx line construction Aug 2021 - Aug 2023

CONFIDENTIAL Distribution Project EnergyConnect

1. New and existing substation works (inc. Telco) □ Design and construct contracting strategy

New 275/330kV Works at Works at Robertstown Substation Tungkillo substation

2. Procurement of long lead major plan for free issue □ Transformers, 2 x 650 MVA 330/275 kV □ Shunt reactors 2 x 330 kV line switchable □ Shunt Capacitor – 100 MVAr □ Balance of 330kV HV plant 3. Transmission Line Works □ Early Contractor Involvement (ECI) For more information please contact: □ Conventional lump sum contract for construction Ralf Ricciardi, Project Director Energy Connect E [email protected] Approx 210km of 330kV transmission <10km of 275kV transmission line line to the SA-NSW border between Robertstown & new substation P 8404 7971or 0439 189 966 Or visit our website ProjectEnergyConnect.com.au

CONFIDENTIAL Distribution Contacts for the Interconnector

□ Project EnergyConnect will involve the construction of a □ Project EnergyConnect will deliver a range of direct new 330 kilovolt (kV) above-ground transmission line benefits for consumers in , New South connecting South Australia and , with Wales and , including lower power prices, an added connection to north west Victoria. improved energy security and increased economic activity.

□ The broad route passes though renewable energy zones in South Australia, New South Wales and Victoria and means □ ElectraNet is currently undertaking a procurement future renewable projects in these areas will be able to connect process to appoint Principal Contractor/s. Businesses to the grid and supply new energy into the network. interested in either supplying or sub-contracting to the successful Principal Contractor/s are invited to register □ On Contract award, the details of the companies that have their interest. registered will be made available to the successful Principal Contractor/s.

For more information please contact: Merril Kirk, E [email protected] P (08) 8303 2383 Or visit the ElectraNet ICN Gateway Project Portal EnergyConnect.icn.org.au

16 CONFIDENTIAL Distribution The excitement of the sector

March April Australia’s Oct 2017 largest solar Sept 2017 2017 farm, Bungala 2016 2016 2016 Solar Farm begins Gas Supply / Generation Tight and construction. In a freak storm, Sun-drop Farms, a world-first SA Govt Energy Plan implemented. South Australia was concentrated solar power (CSP) tower plant is completed. Worlds largest Tesla & Neoen blacked out. Hornsdale Battery Energy Storage June July System being installed 2017 APR and GE won the 2017 Emergency gas plant AGL announces a new 210 tender with the South MW fast start/stop, light and Australian Govt. Aug AEMO system-wide constraint on efficient reciprocating generation to handle the change in engines based generator to AGL and ElectraNet 2017 synchronous vs. non-synchronous be installed (completion won a Federal grant for Sept generation mix. 2019/2020). a 30 MW / 8 MWh to Dec support grid services 2017 Oct with the weak radial 2017 network and wind farm 2017 (ESCRI Project). The SA State Govt released a Hydrogen Road Map. Simec Zen Energy (Gupta) signs an interim Gupta announces 1 GW of deal with the South Australian Govt for an Sanjeev Gupta of the UK bought ZEN Energy. dispatchable renewables in offtake whilst the Aurora Solar Thermal and around Whyalla, to plant is awaiting financial close. EnergyAustralia announced a global leading help supply his steel mill. 225 MW seawater pumped hydro scheme.

CONFIDENTIAL Distribution https://www.linkedin.com/pulse/south-australia-most- interesting-electricity-network-world-crowe-1c/ The excitement of the sector March May 2018 ElectraNet Jan Feb 2018 announces plans 2018 2018 2018 to install multiple AEMO says SA is on-track for 70- synchronous 80% renewables (energy). condensers EnergyAustralia announces a SA Govt and Tesla announce a 250 throughout SA. new peaking unit at Hallett MW / 650 MWh Virtual Power Plant. Liberal Party wins State Election. Power Station with a start of the Port Lincoln named site for a 10MW art aero-derivative gas peaker. Gupta announces biggest battery at hydrogen-fired gas turbine. Port Augusta.

Nov July ElectraNet and 2019 Oct Aug 2018 TransGrid propose 2018 2018 2018 a new $1.5 billion interconnector. Nexif and Fluence announced SA Govt opens a world- AEMO says SA is rd a 3 big battery at the Lincoln beating $200m Virtual Power on-track for 100% SA dodges a Compressed air Gap Wind Farm in SA. Plant home battery scheme. renewables (energy). brownout due storage project in the to record high Jan Somen began manufacturing Adelaide hills gets temperatures, home battery systems in SA. May July Federal funding. VIC not so 2019 April Feb 2019 2019 lucky but gets SA Govt announces $50m 2019 by with SA Grid Scale Storage Fund. 2019 generation Port Augusta power station (Northern Power Station) support. AGL announces large is decommissioned. SA Water launches project to 250 MW / 2000MWh reduce power usage, using pumped hydro project The 1414 and SA Water waste gas to thermal heat new solar PV generation. at Kanmantoo mine. storage demonstration plant is launched com.

CONFIDENTIAL Distribution What else does the future hold

We are being watched globally Opportunities for new technologies

Dealing with challenges not seen elsewhere More connection in the industry activity

19 CONFIDENTIAL Distribution How to stay connected

• ElectraNet Website – visit https://www.electranet.com.au/what-we-do/network/regulatory-investment-test/ The Regulatory Investment Test for Transmission (RIT-T) page on our website and view our Major Projects from the link provided.

Andrew Leake, Manager Supplier Relations (Acting) • Contact our Procurement Team – E [email protected] P 8404 7270 or 0402 888 708

• Major Contractors

o Consolidated Power Projects (CPP) o Enerven Energy Infrastructure Pty Ltd Dave Evans Vice President Operations Chris Nash Program Manager E [email protected] E [email protected] P 0419 811 050 / 8292 7811 P 0417 241 382

o Downer Group o Zinfra Pty Ltd Gabriel Cohen Senior Bid Manager Jarrod O'Connor Proposal Manager E [email protected] E [email protected] P 0447 029 243 P 0418 527 305 / 03 9173 6121

20 CONFIDENTIAL Distribution Thank You

If you have any questions please contact: Ashley Manna Group Executive, Corporate Development P +61884047120 M 0408 085 339 E [email protected]