2012 Annual Report - Italcementi Group

Morocco
In the fourth quarter of 2012 the solar concentrator project currently under construction in
Ait Baha received a contribution from the Moroccan Ministry of Energy for its innovative
content.
Regarding the wind farm project (10 MW) in Safi, after the feasibility study of 2011, offers
were received from suppliers, environmental approval was obtained, and land concession
contracts must now be negotiated.
During the year the Laayoune wind farm (5 MW) produced 16.6 GWh, covering 58% of
the energy requirement of the Laayoune grinding center.
Bulgaria
During 2012 the Kavarna I and Kavarna II wind farms (18 MW) produced 43.4 GWh with
an availability rate of 96%. A new law introduced in the third quarter imposed payment of
an additional contribution of 10% of turnover for access rights to the network. The industry
associations are taking action to persuade the government to review the new levy.
Egypt
For the Gulf El Zeit wind farm project (120 MW), in 2012 an agreement was signed with
the relevant government body which granted Italgen Misr title to the areas for the
installation of the wind farm and building approval. A production license was obtained – the
first in the country – completing the permitting procedure and authorizing power generation.
Greece
In 2012, in cooperation with the subsidiary Halyps Cement, a preliminary analysis was
conducted for a wind project in Mandra, near Athens, where Halyps owns a quarry and
some adjoining land. In light of the positive findings of a series of preliminary checks, it has
been decided to investigate further.
2012 results
Italgen S.p.A. revenue amounted to 80.3 million euro, up by 40.1% from 2011. The
increase was largely due to action to optimize power procurement, which involved larger
sales volumes on the electricity market.
Power production was 269.8 GWh, down by approximately 14% from 2011 due to low
rainfall in the early months of the year and completion of revamping work as scheduled.
Consequently the degree of use of the plants was down on the previous year, from 88% to
77%.
Recurring EBITDA was 13.3 million euro in 2012, down 24.8% from 2011 (17.7 million
euro) with a trend reflecting the above-mentioned fall in energy production, associated with
an increase in less remunerative sales of purchased energy. Profit for the year was 6.4
million euro, down 67.3% from 2011 which benefited from the gain from the sale of Italgen
Elektric Uretim.
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