Note: The following is an English translation of the Japanese-language original

March 8, 2023

Abashiri Biomass Power 2 LLC.
Abashiri Biomass Power 3 LLC.
Japan Petroleum Exploration Co., Ltd.
MITSUBISHI GAS CHEMICAL COMPANY, INC.
SMFL MIRAI Partners Company, Limited
TOKYO ENERGY & SYSTEMS INC.
WIND-SMILE Co., Ltd.
Nippon Paper Lumber Co., Ltd.

Abashiri Biomass 3rd Power Plant Commences Commercial Operation
Abashiri Biomass Power 2 LLC. and Abashiri Biomass Power 3 LLC. (hereinafter “the SPCs”), which arepromoting the Abashiri Biomass 2nd & 3rd Power Plants Project (hereinafter “the project”) in Abashiri City,Hokkaido, and its six sponsors of the project, which are Japan Petroleum Exploration Co., Ltd. (JAPEX),MITSUBISHI GAS CHEMICAL COMPANY, INC., SMFL MIRAI Partners Company, Limited, TOKYO
ENERGY & SYSTEMS INC., WIND-SMILE Co., Ltd. (WS), and Nippon Paper Lumber Co., Ltd. (hereinafter“the six sponsors”) announced that the Abashiri Biomass 3rd Power Plant commenced its commercial operation
today.
This project is based on the Abashiri Biomass 2nd & 3rd Power Plants (hereinafter “the plants”), which havean output capacity of 9,900kW for each (total of 19,800kW). The 3rd plant was in construction from 2021 andcommenced its commercial operation on this time with completion of its construction and commissioning. Thismeans that both units of this power plant are now in commercial operation, along with the 2nd plant which
commenced its commercial operation last October.
The plants use 100% domestic wood chips made from woods in Hokkaido as fuel. The electricity generated
by the plants will be sold to Hokkaido Electric Power Network, Inc., approximately 140 million kWh per yearby the FIT system.
Then, the six sponsors, which are highly interested in carbon-neutral business such as the development of
renewable energy power generation and the contribution to local economy, participate in the project byinvesting in the SPCs. The six sponsors support the SPCs’ works and have been entrusted with the specificworks in the project from the SPCs.
The outline of the agreement is as below. In addition, please refer to the appendix for the outline of thepower plants and the SPCs.
The SPCs and the six sponsors will contribute to increase the power generation from renewable energy
systems and to develop the local economy, with the understanding and support from local stakeholders.

Note) *1: Abashiri Biomass 1st Power Plant is owned by WS. (Not eligible for investment in this project)<Appendix> Outline of the Project (as of March 8, 2023)<Reference> Map and Photos (as of March, 2023)
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<Appendix> Outline of the Project (as of March 8, 2023)
1. Outline of the Power Plants
Name
Abashiri Biomass 2nd Power Plant/ Abashiri Biomass 3rd Power Plant
Location

4-3 (2nd Plant)/4-1 (3rd Plant), Notoro-minato town, Abashiri City, Hokkaido

Land Area

2nd Plant: 23,743m3 / 3rd Plant: 23,162m3

Power GenerationSystemFuel

Steam power

Output Capacity

2nd Plant/3rd Plant each: 9,900kW (total of 19,800kW)

Annual Amount ofElectricity Sales
Offtaker

Approximately 140 million kWh(Equivalent to annual electricity consumption of approximately 47,000 households)
Hokkaido Electric Power Network, Inc.

Power Sales
Unit Price
Start ofConstruction
Operation
Commencement
Operator

Fixed price by FIT for 20 years, approx. 30JPY/kWh of weighted average(Unutilized Wood 32JPY/kWh: approx. 75%, General Wood 24JPY/kWh: approx. 25%)
2nd Plant: September 2020 / 3rd Plant: May 2021

EPC
Asset ManagementFuel Procurement
O&M
2. Outline of SPCs
Company Name
Head Office
Representative
EmployeeSponsors(Investment Ratio)

100% domestic wood chips made from woods in Hokkaido: 100%

2nd Plant: October 2022 / 3rd Plant: March 2023
2nd Plant: Abashiri Biomass Power 2 LLC.
3rd Plant: Abashiri Biomass Power 3 LLC.
WIND-SMILE Co., Ltd.
Japex Green Energy Co., Ltd (100% subsidiary of JAPEX)TOKYO ENERGY & SYSTEMS INC. (in charge of the performance managementwork)
Nippon Paper Lumber Co., Ltd., WIND-SMILE Co., Ltd.
WOOD SMILE LLC (100% subsidiary of WS)2nd Plant: Abashiri Biomass Power 2 LLC.
3rd Plant: Abashiri Biomass Power 3 LLC.
4-3-10, Notoro-minato town, Abashiri City, Hokkaido
Representative Partner: Japan Petroleum Exploration Co., Ltd.
Job Executer: ISHII Yoshitaka, Representative Director, Executive Vice President
Japan Petroleum Exploration Co., Ltd. (JAPEX)MITSUBISHI GAS CHEMICAL COMPANY, INC.
SMFL MIRAI Partners Company, Limited
TOKYO ENERGY & SYSTEMS INC.
WIND-SMILE Co., Ltd. (WS)
Nippon Paper Lumber Co., Ltd.

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33.8%
33.4%
20.0%
7.0%
5.1%
0.7%

<Reference>
Map around the Power Plants

Notoro Industry Complex

Photos of the Location (as of March 2023)(2nd power plant)(3rd power plant)(Bird View of the Location)
2nd Power Plant

3rd Power Plant###3/3