Announcement PDF ASX ANNOUNCEMENT 16 December 2024 ACHIEVE Finance Update: Export Finance Australia Bond Facility Carnegie Clean Energy Limited (ASX: CCE) (“Carnegie” or the “Company”) wishes to advise it has secured an Export Growth Bond Facility (facility) with Export Finance Australia (EFA). EFA will provide advanced payment guarantee bonds that enable Carnegie Technologies Spain to draw down grant payments for the ACHIEVE Programme’s CETO deployment at the Biscay Marine Energy Platform (BiMEP) in the Basque Country. The Company has signed an Offer Letter and General Security Deed for this facility. An Intercreditor Deed will also be signed between EFA and Ballamena Pty Ltd ATF Ellan Finance Unit Trust, who have provided a $2.5 million loan to the Company for the Programme. Carnegie’s wholly owned subsidiary, Carnegie Technologies Spain was previously awarded grant funding to support the ACHIEVE Programme’s activities by the Spanish Government through the RENMARINAS Demos Programme (AGUAMARINA Project) and the Basque Government through a grant from the Ente Vasco de la Energia (ACHIEVE+ Project). Both grants are typically provided after the completion of the project but can be paid in advance, subject to the provision of advanced payment guarantee bonds. The Company determined that setting up advanced payment guarantees would be useful to support project cashflow during the period of construction, deployment and delivery of the Programme to completion. Accordingly, the Company worked closely with EFA to structure the facility. Export Finance Australia (EFA), the Australian Government's official export credit agency, helps Australian businesses expand and advance projects internationally by offering bond solutions to Australian exporters. Under the Facility Agreement signed by the Company, EFA will provide several bonds to the grant funders (beneficiaries) to support the ACHIEVE Programme. The key terms are outlined below. • • • • • • Total Bond Facility Limit: €2,497,314.89 Establishment Fee: $41,000 Bond Cash Security: 0% at commencement with right reserved to request in future EFA has General Security over Carnegie and its subsidiaries Risk Premium Fee: 5.0% Bond Issuer Fee: estimated at 0.45% Carnegie’s CEO Jonathan Fievez commented, “It is exciting to have Export Finance Australia on board and standing behind our CETO wave energy technology on its first European deployment. The upcoming deployment in the Basque Country will allow us to prove, in a relatively short timeframe, CETO’s scaled electricity generation capacity and operational efficiency, in Europe’s rapidly growing addressable market for ocean energy. We’ve worked closely with EFA to develop this Bond Facility which enables us to access beneficial advanced payment terms with the Spanish Government and Basque Energy Agency which otherwise would be challenging for small technology developers like us. EFA has undertaken extensive due diligence and their decision to provide the bond facility shows confidence in our technology, our team and our capability to deliver the ACHIEVE Programme. We are grateful for the support and confidence from Export Finance Australia.” 21 North Mole Drive, North Fremantle WA 6159 | PO Box 39, North Fremantle WA 6159 Phone: +61 8 6168 8400 | www.carnegiece.com | ABN 69 009 237 736 1 This announcement has been authorised by the Chairman and Company Secretary. For more information Carnegie Clean Energy Limited +61 8 6168 8400 enquiries@carnegiece.com www.carnegiece.com ABOUT CARNEGIE & SUBSIDIARIES Carnegie Clean Energy (ASX: CCE) is a technology developer delivering ocean energy technologies to make the world more sustainable. Carnegie is the owner and developer of the CETO® and MoorPower® technologies, which capture energy from ocean waves and convert it into electricity. Based in Australia with a global presence, Carnegie’s wholly owned international subsidiaries Carnegie Technologies Spain and CETO Wave Energy Ireland are actively engaged in our product development. Using the latest advances in artificial intelligence and electric machines, Carnegie can optimally control our technologies and generate electricity in the most efficient way possible. The company has a long history in ocean energy with a track record of world leading developments. ABOUT EXPORT FINANCE AUSTRALIA Export Finance Australia (EFA) is Australia’s export credit agency. EFA provides commercial finance for export trade and overseas infrastructure development. From small and medium sized enterprises (SMEs) to large corporates, foreign Governments and infrastructure projects, we help Australian businesses take on the world. In doing so, EFA finance supports Australia’s economic security and regional resilience. ABOUT ACHIEVE PROGRAMME The ACHIEVE Programme is an initiative being delivered by Carnegie’s subsidiaries CETO Wave Energy Ireland under contract by EuropeWave Buyers Group (ACHIEVE Project) and Carnegie Technologies Spain with the support of funding awarded by the Spanish Government through the RENMARINAS Demos Programme (AGUAMARINA Project) and the Basque Government through a grant from the Ente Vasco de la Energia (ACHIEVE+ Project). Through this collaborative initiative, Carnegie will deploy and operate a CETO prototype at the Basque Marine Energy Platform (BiMEP) in the Basque Country, Spain, commencing in 2025, marking a key step on CETO’s commercialisation pathway. The CETO Unit will operate for 2 years in this open 21 North Mole Drive, North Fremantle WA 6159 | PO Box 39, North Fremantle WA 6159 Phone: +61 8 6168 8400 | www.carnegiece.com | ABN 69 009 237 736 2 ocean site and the data collected will be used to validate the performance of the CETO technology and propel it along the commercialisation pathway. ABOUT EUROPEWAVE PRE-COMMERCIAL PROCUREMENT PROGRAMME EuropeWave PCP is an innovative R&D programme for wave energy technology, which runs from 2022 to 2026. It combines over €22.5m of national, regional and EU funding to drive a competitive Pre-Commercial Procurement (PCP) programme for wave energy. Originally pioneered by the Wave Energy Scotland programme, the PCP model provides a structured approach, fostering greater openness, collaboration and sharing of risk between the public sector and technology developers. The programme will focus on the design, development, and demonstration of cost-effective wave energy converter (WEC) systems for electrical power production that can survive in the harsh ocean environment. Match-funded by the EU’s Horizon 2020 programme, it is a collaboration between Wave Energy Scotland (WES), the Basque Energy Agency (EVE) and Ocean Energy Europe (OEE). This collaboration is closely aligned with the decarbonisation, industrial and competitiveness objectives of the European Green Deal, and is part of a range of actions being taken to meet the European Commission’s targets of 100MW of ocean energy by 2027 and at least 1GW by 2030. https://www.europewave.eu/ This is part of the EuropeWave project that has received funding from the European Union’s Horizon 2020 Research and Innovation Programme under grant agreement No 883751. ABOUT RENMARINAS DEMOS The RENMARINAS DEMOS Programme was established by Spain’s Ministerio para la Transición Ecológica y el Reto Demográfico (Ministry for Ecological Transition and the Demographic Challenge) to grant aid for investment in pilot projects, test platforms and port infrastructure for marine renewables. This was established within the framework of the European Union-funded Recovery, Transformation and Resilience Plan, Next Generation EU. The programme provides aid in the form of a non-refundable grant managed by IDAE, Instituto para la Diversificación y Ahorro de la Energía (Institute for Diversifcation and Energy Saving). 21 North Mole Drive, North Fremantle WA 6159 | PO Box 39, North Fremantle WA 6159 Phone: +61 8 6168 8400 | www.carnegiece.com | ABN 69 009 237 736 3 ABOUT ENTE VASCO DE LA ENERGIA (EVE) The Ente Vasco de la Energía (EVE) is the Basque Country's energy agency, a public body established by the Basque Government. EVE serves as a central force in the region's energy sector, with a focus on the promotion of energy efficiency, the expansion of renewable energy sources, the development of sustainable energy policy, and the advancement of innovative energy technologies. The funding has been provided through the Grants programme for investment in the demonstration and validation of emerging marine renewable energy technologies 2023 to further support the ACHIEVE Programme. 21 North Mole Drive, North Fremantle WA 6159 | PO Box 39, North Fremantle WA 6159 Phone: +61 8 6168 8400 | www.carnegiece.com | ABN 69 009 237 736 4