December 22, 2023
Company:
Representative:

Contact:

Tokyo Gas Co., Ltd.
SASAYAMA Shinichi
Representative Corporate Executive Officer,President and CEO(Securities code: 9531, TSE Prime Market &NSE Prime Market)
ISHII Wataru
Chief Manager of Legal Sect.Ⅰ, Legal Dept.

Establishment of Subsidiaries in the United States and the Acquisition of a 174MW Battery
Energy Storage System (BESS) Project

Tokyo Gas America Ltd., a wholly owned subsidiary of Tokyo Gas Co., Ltd. (hereinafter “TokyoGas”), is pleased to announce the establishment of subsidiaries (TG Longbow Holdings LLC and itssubsidiaries) in the United States and the acquisition of the 174MW Longbow BESS Project (hereinafter“Longbow”) in the state of Texas in the USA, through the subsidiaries. Longbow has been developed byClean Capital Partners, LLC, a renewable energy development company headquartered in the USA.

1. Reasons
Texas has one of the highest GDP and population growth rates among the USA power markets andhas seen frequent spikes of electricity prices in the power market, due to the destabilization of supply
resulting from the rapid increase in renewable energy in recent years.
The planned construction site for Longbow is located near Houston, a city with a high demand forelectricity, also with a high demand for balancing power. We will contribute to the stabilization of thepower supply in ERCOT by discharging electricity during periods of high electricity prices due toinsufficient supply and balancing capacity in the market. We are also committed to achieving ourcorporate group's management vision, "Compass2030", which sets a profit target of 50 billion yen for
global business.
2. Overview of the Subsidiaries
(1)

Name

(2)
(3)
(4)
(5)

Address
RepresentativeMain Business
Capital Contribution
Date of Establishment(planned)
Member and Interest
Percentage

(6)
(7)

(8)

Relationship withTokyo Gas

TGTG
TG LB
TG
Longbow
Longbow
BESS
Longbow,
Holdings,
Holdings2, Holdings,
LLC
LLC
LLC
LLC
Delaware, USA
KIRIISHI Ken
Investment and management of BESS projects
Approx. 216 million USD

TG LB TE
Finance,
LLC
None

December 23, 2023
Tokyo Gas 100% through Tokyo Gas America Ltd. and its
subsidiaries
CapitalTokyo Gas 100%
Employee from Tokyo Gas will be
Personnel
Noneappointed as manager.
Transaction
N/A3. Overview of the subsidiaries to be acquired(1)
Name
Longbow BESS, LLC(2)
Address
Texas, USA(3)
Representative
Tiffany Elliott(4)
Main Business
Development of BESS projects
Date ofJanuary 20, 2023
(5)
Establishment
4. Overview of the counterparty of the acquisition(1)
Name
Longbow BESS HoldCo, LLC(2)
Address
Texas, USA(3)
Representative
Tiffany Elliott(4)
Main Business
Parent company of Longbow BESS, LLC
Date ofJune 14, 2023
(5)
Establishment
Member and Interest Clean Capital Partners, LLC（100% indirect ownership）(6)
Percentage
5. Percentage interest acquired, acquisition price and status of interest held before and after acquisition
Interest held before
0%(1)
the transaction
Interest held after the 100%(2)transaction
6. Schedule
Date of(1)Establishment ofSubsidiary
Date of contract(2)
signing and closing

December 23, 2023

Within 2023

7. Prospective
The acquisition is scheduled within this year and commercial operation is aimed for within 2024. As
this project will utilize the USA tax incentive program, Tokyo Gas's actual investment in the projectwill decrease. The impact of the transaction on consolidated performance for the fiscal year is expected
to be relatively small.
Tokyo Gas Group, in its management vision "Compass 2030", has committed to the "challenge ofachieving net-zero CO2 emissions". In response to the growing demand for adjustment power sourcesin the power market, as the adoption of renewable energy accelerates, we will also promote our BESS
business. This will contribute to the stable supply of electricity and the realization of a decarbonizedsociety.