Green Bond Fact Sheet

EtrionDate: 28/07/2019

Issue date: 02-07-2019 Maturity date: 02-07-2036 Tenor: 17
Issuer Name

Etrion Corporation

Amount Issued

JPY16.7bn (USD155m)

Country of riskJapan

CBI Database

IncludedIssuer Type1

Loan

Bond TypeGreen loan

Green Bond Framework

N/A

Second party opinion

N/A

Certification Standard

Not certified

Assurance report

N/A

Certification Verifier

N/AGreen bond rating

N/A☒ Energy☒ Solar☐ Onshore wind
☐ Offshore wind
☐ Geothermal☐ Hydro☐ Tidal☐ Biofuels☐ Bioenergy☐ District heating☐ Electricity grid

☐ Energy storage☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Buildings☐ Certified Buildings☐ HVAC systems☐ Energyperformance☐ Water performance☐ Energy storage/meters☐ Other energy related☐ Industry: components☐ Adaptation & resilience☐ Transport☐ Electric vehicles☐ Low emission
vehicles☐ Bus rapid transit☐ Passenger trains☐ Urban rail

☐ Freight rolling stock☐ Coach / public bus☐ Bicycle infrastructure☐ Energy performance☐ Transport logistics☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Water & wastewater☐ Water distribution☐ Water treatment☐ Wastewatertreatment☐ Water storage☐ Storm water mgmt
☐ Flood protection☐ Desalinisation plants☐ Erosion control☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Waste management☐ Recycling☐ Waste prevention☐ Pollution control☐ Landfill, energy capture☐ Energy performance☐ Infrastructure☐ Waste to energy☐ Industry: components☐ Adaptation & resilience

Use of Proceeds☐ Land use & agriculture☐ Afforestation/parks☐ FSC Forestry☐ FSC Cellulose &paper☐ Land remediation☐ Energy/water efficiency☐ Sustainable agriculture☐ Adaptation & resilience☐ Other☐ Adaptation &resilience☐ ICT☐ Industry: process

Issue details
ReportingCompany information

Etrion Corporation is an independent power producer that develops, builds, owns andoperates utility-scale solar power generation plants. The company owns and operates 57
MW of solar capacity and owns the 45 MW Niigata project under construction (financedwith this loan), all in Japan. Etrion also has several projects in the backlog and pipeline atdifferent stages of development in the country. The company is listed on the Toronto Stock
Exchange in Canada and the NASDAQ OMX Stockholm exchange in Sweden under ticker
symbol “ETX”. Etrion’s largest shareholder is the Lundin family, which owns approximately
36% of the company’s shares directly and through various trusts.

Firsts, records andcertificationsFirst green loan from Japan in H2 2019. Also the first green loan to finance renewableenergy in the country.

Proceeds description

To finance the construction of the 45MW Niigata solar project located in the Niigata
prefecture in northern Japan. Construction began in July and the project is expected to be
fully operational by Q4 2021. Etrion entered into an effective 18-year power purchaseagreement with Tohoku and will receive JPY36 (c. USD0.33) per kWh of electricity
produced. Once operational, Niigata is expected to produce approximately 47GWh of solar
electricity per year, enough to supply more than 13,000 households.

Climate Bonds view

Etrion’s Niigata project provides clear environmental benefits. Such projects are particularly
important in Japan, a country with only a minority of energy produced from renewablesources and with intentions to grow this significantly over the next decade (including aspart of its NDC goals).
In addition, it is good to see another green loan deal, especially with a country with only afew (three at the time of writing). As a much less developed market globally than the green
bond market, green lending has the potential to complement green debt in scaling up
private sector investment in climate solutions.

Underwriters

Goldman Sachs (Japan)

Deal comments
Credit Rating
Pricing summary

The all-in non-recourse project loan interest rate is 1.2%

Investors summary

1Issuer categories: ABS, development bank, financial corporate, government-backed entity, loan, local government, non-financial
corporate, sovereign