DGAP-News

2G Energy AG reports company's positive Q3 trend as well as strong sales and results for year-end business accompanied by continued high order book position. - Seite 2

quarter 2016 (previous year: EUR 86.1 million), corresponding to a 22.6
percent year-on-year increase. Commissioning and acceptance will occur
before the end of 2016 for around a half of these orders. As far as
regional distribution is concerned, it is clear that 2G is growing
successfully not only in Germany but also internationally. In Germany, the
new order book position was up by almost a third compared with 2015.
Business in the United Kingdom was also pleasing. The order book position
in non-EU countries also doubled.

CHP new order intake also affected by trend to make biogas systems flexible
Along with international demand for gas operated CHPs, a new sales trend is
emerging for the coming financial years with the advancing implementation
of flexibility adjustments and superstructures for biogas systems in
Germany. 2G can fully participate in this development as it has
significantly improved its market position with digital and technical
innovations and a repositioned service during the last years.

Now that the end is being reached of the first lifecycle of CHPs installed
in biogas plants during the 2009 to 2011 boom years it is making economic
sense for plant operators to convert them to flexible operation and to
boost installed output in order to tap the full 20-year subsidy period
offered by the German Renewable Energies Act (EEG). Redundancies are also
being created, and the option to receive 10-year follow-up support in a
tender process is being preserved. The flexibility premium in the German
Renewable Energies Act (EEG) benefits plant operators that boost the share
of flexible electricity production and are thereby able to meet electricity
market requirements with electricity-oriented operation. 2G customers are
consequently relying to a great extent on adding a further CHP to their
biogas plants and generating a higher overall subsidy by means of the
flexibility premium and a potential flexibility supplement.

Large-scale order from French energy producer La Française de l'Énergie for
9 MW
2G has entered into contracts with Gazonor SAS, a subsidiary of the French
gas producer "La Française de l'Énergie" for a total package of six
containerized gensets with a total electrical power of 9 MW and appropriate
methan gas compressors for fourCoal Mine Methane ("CMM") production sites.
This order underscores 2G's market positioning and competitiveness as a
solution provider, testifying to the success of the growing
internationalization of 2G's business. Along with its broadly positioned