SNGN Romgaz S.A.

Good afternoon. Thank you for joining Rome Gas Group conference call on the preliminary results for 2025. Following a brief introduction of our speakers, Mr. Razvan Popescu, Chief Executive Officer, will provide an overview of the preliminary results recorded by Rome Gas Group in 2025, after which we will proceed to the Q&A session. Please be advised that this conference is being recorded for internal purposes. On behalf of the company, the following speakers attend this conference. Mr. Razvan Popescu, Chief Executive Officer, Ms. Gabriela Trambitsas, Chief Financial Officer, Mr. Radu Moldovan, Energy Trade Director, and Mr. Ion Foidas, Production Department Director. With that, I will now invite Mr. Rozvan Popescu for the opening presentation.

Good afternoon to everyone and thank you for joining. will be available on our website in the investor section. I would like to take this opportunity to address certain aspects regarding the market context last year with impact on our group's performance. Natural gas consumption in Romania rose by 1.1% weak trading liquidity as a result of the current regulation in force, and we estimate that the average wholesale price increased by almost 30% year-on-year. Under Central European Gas Hub, the average monthly reference price also rose around 17% in 2025, according to the data provided by Neomar. sector raw gas activity were mainly impacted by GEO number 27, which was effected from April 1st, 2022, for the gas sold to households and supplier of households. Regarding the operational and financial performance recorded by RomGas in 2025, we can highlight the following main activities. Natural gas consumption amounted to 4.95 BCM, marginally adjusted by 0.2% production, which included completion of investment works to extend production infrastructure, allowing us to stream into production six new wells, specific investment works in inactive or low-flow wells resulting in reactivation of 175 wells that generated a total flow of over 300 million cubic meters, continuous rehabilitation projects of our main and Also, we completed drilling of one new production well, finalized seven surface facilities while other 23 are in different preparatory stages. We can also highlight that all these measures led to a in production test, 54 Damianca well that is being prepared for production test, and 78 Rossetti well that is already in production, while other seven wells are in different stages of drilling preparation. For the last quarter alone, we can mention that gas production amounted to 1.28 BCM, adjusted only by 0.9% from the 1.29 BCM record output that was We reported total revenues from gas sold of over 6.9 billion ron, marginally adjusted by 0.3%. This was the combined result of a lower average selling price, while gas volume sold increased by 5.5% to 4.82 BCM in 2025, gas supplier in Romania in the last year, with a significant contribution of 50% in total gas delivery. Also, we are strongly positioning gas consumption covered from domestically produced gas, holding a substantial share of 71% last year according to our internal estimates. Revit Scrum Storage Services also advances revenues higher by 56% and capacity reservation activities having the largest weight 55%. We succeeded to increase our revenues from electricity by almost 2% to 382 million euro while production of our old power plant has expectedly decreased to 750 GWh in the last year. giving to the security of supply in the energy market in Romania. Overall, the group recorded total revenues amounting over R8 billion, higher by 1.2% compared to 2024, based mainly on the strong contribution of our upstream segment. Regarding the expenses, the windfall tax recorded a 36% decrease year-on-year to R767 million, mostly due to higher gas volumes sold at the regulated prices. Gas and UGS royalties adjusted by 6% to 559 million RON. Altogether, the three main taxes, windfall tax, royalties, and the duty to the Energy Transition Fund decreased by 26% year-on-year, but still represented a significant expense of 1.34 billion in 2025, having the Bottom line, we reported a historical annual net profit of 3.35 billion RON, higher by more than 4% comparing to the 3.21 billion recorded in 2024, and representing the highest annual value ever recorded by the group. All profitability rates were substantial last year, with net profit margin rose to the highest historical annual value of 41.7%, and both EBITDA and EBIT margin continue to be significant at 54.9% and 46.3% respectively. For the last quarter alone, we can underline a net profit of R912 million, 70% higher compared to the quarterly average of the past three years. 86 billion RON in 2025. Investment in RONCAS Black Sea Limited, which basically is the Neptune Deep, represented 2.74 billion RON from RONCAS alone. And with respect to our flagship offshore project, we can mention that it is currently in the execution phase, in line with our programs and budget and the execution calendar. During 2025, significant milestones of the projects included, not only start of the construction works at the microtunnel in Tuzla, but also the achievement of all four reservoir targets in the Pelican South field by drilling all the four wells that were in the drilling program. Also, it is important to mention that in December 2025, the Romanian government approved Addendum Type No. 7 to the Concession Agreement exploration well will be drilled in the deep water area with the aim to identify, evaluate and exploit further the energy potential of the Black Sea. Another important objective is the combined cycle gas turbine power plant in Yermut, for which the completion rate is around 98% for the overall turnkey project and 90% that was remaining from the last EPC contract. Following the termination of work's contract with Duro-Felguera as executor of this project on October 13, ROC has became the general contractor, and we are in process to assign the contracts for the essential subcontractors and directly purchase the services not exceed December 31, 2026, according to the government decision that was taken at the end of 2025. Another important event was the approval of the company's decarbonization strategy for the 2050 target on October 22 by the Rome Gas Board. This strategy was developed in the context of European and national policies aiming to mitigate greenhouse gas Our net zero trajectory should be periodically reassessed based on technological progress, availability of funding, and the clarity of regulations. I would also like to mention that the second issue of the bonds under the EMTN program, which were oversubscribed eight times on October 28th, our new 500 million issue of bonds has a maturity of six years and an points confirms the confidence of the institutional investors in the company's development strategy. At the end of the presentation, I would like to emphasize the significant performance recorded by the Rongya stock on the Bucharest Stock Exchange. S&G share price doubled over the last 12 months period, leading to a current market cap of around 9 billion euros, With this, I would like to close our presentation and thank you all for your attention. Thank you.

Thank you, Mr. Popescu. We will now begin the Q&A session. You have two options for addressing your questions. Either raise hand and unmute your microphone or submit your questions in writing in the chat window. We have a question from Ms. Daniela Mandru.