Renewable Energy Powerhouse for

Borneo and Beyond

Nick Wright

Vice President– Business Development

Sarawak Energy Berhad

Hong Kong – 12 September 2019

Slide 2

What is Sarawak Energy?

• A fully integrated power utility and energy development company, wholly owned by the state of Sarawak

• ~5,000 employees

• Sole supplier to 3 million people through 640,000 domestic, commercial and industrial customers

Generation Mix and Installed Capacity

73.2%

12.6%

10.2%

2.4% 1.0% 0.7%

4,718MW

2018

5,450MW

2020

7,100MW

2026

66.7%

16.3%

15.5%

0.68% 0.7%

63.3%14.8%

20.3%

0.8% 0.9%

Generation Type

Hydro

DieselGas

Coal

Alternative Energy

Large Scale Solar

• Predominantly renewable hydropower

• Balance of thermal to maintain diversity and security of supply

• Alternative energy entering the mix

1,346MW

2010

8.0%

44.2%35.7%

8.5%

3.1% 0.5%

Hydropower Advantages

• A reliable, affordable sustainable and cost effective energy source

• Low greenhouse emissions

• Free, renewable fuel

• Service life : > 100 years

Grid Carbon Emission Intensity 2010-2017

BakunPower Intake

MurumPower Intake

Carbon Intensity*decreased by

71%

Year

tCO

2/M

Wh

0.720.70

0.54

0.43

0.34 0.32

0.24 0.21

0

0.2

0.4

0.6

0.8

2010 2011 2012 2013 2014 2015 2016 2017

*This main grid CO2 emission intensity data has been assured by a third party

Hydropower for Industry: A Sustainable Competitive Advantage

4

6

6.5

8

8

8.5

9

10

14

18

0 5 10 15 20

Large hydro

Coal Supercritical (@ USD 80/ton)

Geothermal

Gas CCGT (@ USD 10/mmbtu)

Large solar (Community)

Small hydro

Nuclear

Wind

Diesel (@ USD 55/bbl crude)

Small solar (Residential)

Levelised Cost of Energy by technology (USD Cent/kWh)

Large Hydro

*1

*2

Source : Lazard’s LCOE Analysis Version 9 (2015)Notes : (1) & (2) Net output for small solar (residential) and large solar (community) assumed at 0.005 MW and 1.5 MW respectively. Their LCOE are based on respective low-end estimates from analysis report

Among the Lowest Tariffs within ASEAN-for Residential, Commercial and Small Medium Enterprises

6.2

7.3 7.4 7.5 7.5

8.8

12.513.1

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

Sarawak¹ Vietnam³ PLN² Sabah¹ EGAT Thailand⁴

WestMalaysia¹

Meralco Philippines⁶

Singapore⁵

US$

Ce

nt/

kWh

Source:¹Malaysia Energy Statistics Handbook 2017²Power in Indonesia, PWC, November 2017³Vietnam Electricity Annual Report 2017 ⁴EGAT Annual Report 2017⁵Singapore Energy Statistics 2017⁶Meralco Annual Report 2017

Potential 10

HEPs, 1%

Non HEP

98%

Baram3 HEP300 MW

Bintulu

Bakun HEP2,400 MW

Belaga HEP300 MW

Pelagus HEP465 MW

Linau HEP180 MW

Baram1 HEP1,200 MW

Limbang2 HEP130 MW

Trusan2 HEP240 MW

Kuching

Miri

Kapit

Balui HEP280 MW

Mukah

HEP: In operation

HEP: In Construction

HEP: Potential

Major Town

Batang Ai HEP108 MW Baleh HEP

1,285 MW

Limbang1 HEP45 MW

Kota2 HEP10.5 MW

Lawas HEP47 MW

Murum HEP944 MW

Under Construction = 1,295.5MWExplored Potential Hydro = 2,852MW

Sarawak Hydropower Potential

Slide 10

Title

• Text

108MW Installed Capacity, Commissioned in 1984

Batang Ai Hydro

Slide 11

Title

• Text

Bakun Hydro

112,400MW Installed Capacity, Commissioned in 2011

Slide 12

Title

• Text

12944 MW Installed Capacity, Commissioned in 2014

Murum Hydro

Slide 13

Title

• Text

Baleh HEP

Installed Capacity 1,285 MW

Project Execution Period 8 – 9 years

Commissioned by 2026

Sarawak Corridor of Renewable Energy(SCORE)

Source: Recoda

Samalaju Resort Hotel

OCIM

Samalaju PortPress Metal

Sakura Ferroalloy

PertamaFerroalloys OM Materials

Power Substation

Water Treatment Plant

Sewage Treatment Plant

SIG Iwatani

Energy Intensive Investors in Sarawak

Samalaju Industrial Park

Number of Power Contracts

Signed

15

Major SCORE Customers

Press Metal • Aluminium smelter

Total power demand –• over 1328MW

Major SCORE Customers (Continued)

17

OM Materials (Sarawak)• Ferroalloys smelter• Power demand – 430MW

Pertama Ferroalloys• Ferroalloys smelter• Power demand - 170MW

Source: OM Materials

18

Tokuyama Malaysia• Polycrystalline silicone

manufacturing• Power demand - 275MW

Major SCORE Customers (Continued)

Sakura Ferroalloys• Silico-Manganese and • High Carbon Ferro-Manganese

producer• Power demand - 80MW

PMB Silicon• Metalic Silicon• Power demand – 104MW

Major SCORE Customers (Continued)

Iwatani-SGI• Power demand – 1MW

20

MPA • Integrated Phosphate Complex• Power demand – 80MW

Major SCORE Customers (Continued)

Samalaju Port – developed in parallel

In Operation since 2017

4 Handymax + 1 Handysizeberth

18 million tonne per annum

Planned capacity

(9 Handymax berths + 3 Handysize berths + 1 Liquid berth)

46 million tonne per annum

GreenCo of the RegionThe Borneo Grid as the First Step to realize the ASEAN Grid

22

Power to Grow

Slide 23

• Text

Bengkayang

SarikinMambong

120~ km275kV Interconnector

West Kalimantan

Malaysia

Sarawak - West KalimantanInterconnection – commissioned 2016

Slide 24

His Excellency Governor Irianto & North Kalimantan Provincial Government

[27 April 2016] Letter of Intent (LOI) is signed between SEB and the Government of KalTara toformalize collaboration in the regional energy sector.

Potential: 1,375 MW of installed capacity, 925 MW of firm power or

8,103 GWh of firm energy.

Mentarang Induk HEP

Mentarang Induk116o 20’ 53”E3o 28’ 58”N

KaBaMa Induk116o 07’ 46,80”E2o 31’ 12,60”N

Our sites

Alignment with Indonesian Government

Trigger to Unlock the Mineral Wealth of Indonesia

• The hydropower in North Kalimantan has the potential to unlock the abundant mineral wealth of Indonesia

• International cooperation is vital

• The first project is merely a catalyst to a much bigger agenda.

• Can we ride on the Belt and Road?

PowerTHANK YOU

Contact:

Nick WrightVice President Business Development

M: +6013 811 7956T: +6082 388 388 ext 8802F: +6082 444 433E: nick.wright@sarawakenergy.com

Sarawak Energy Berhad Level 9, North Wing, No 1, The Isthmus93050 Kuching, Sarawak, Malaysia.

www.sarawakenergy.com.my