Company: TSLTF
Filing Date: 2025-12-12
Form Type: SUPPL
Source: 0001193125-25-317786
Chunk: 343

Company: TRANSALTA CORP
Filing Date: 2025-12-12
Form: SUPPL
Chunk 343
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     |             10 |     |     |            23 |
| Interest payable                                |     |     |             21 |     |     |            17 |
| Current portion of contract liabilities         |     |     |             31 |     |     |            12 |
| Liabilities held for sale (Note 14)             |     |     |              7 |     |     |             1 |
| Collateral held (Note 12)                       |     |     |              — |     |     |             9 |
| Accounts payable, accrued liabilities and other 
 current liabilities                             |     |     |            637 |     |     |           756 |

10. Long-Term Financial Assets Nova Clean Energy, LLC During the nine months ended Sept. 30, 2025, the Company made available a US$75 million term loan and a US$100 million revolving facility to Nova Clean Energy, LLC (Nova), a developer of renewable energy projects. As at Sept. 30, 2025, US$26 million and US$64 million have been drawn from the term loan and revolving facility, respectively. These facilities are classified as financial assets measured at Fair Value Through Profit and Loss (FVTPL). The outstanding principal under the term loan and the revolving facility bear interest of seven per cent per annum with interest paid quarterly. The terms of the term loan and the revolving facility are six and five years, respectively, unless accelerated. The term loan is convertible to equity at any time at the option of the Company and any remaining unused term loan commitments at the time of conversion would be terminated. The term loan and revolving facility are subject to customary financing conditions and covenants that may restrict Nova’s ability to access funds. This investment in Nova provides the Company with the exclusive right to purchase Nova’s late-stage development projects in the western U.S.

| F16 |     | TransAlta Corporation |

11. Financial Instruments A. Financial Assets and Liabilities — Classification and Measurement Financial assets and financial liabilities are measured on an ongoing basis at cost, fair value or amortized cost. B. Fair Value of Financial Instruments I. Level I, II and III Fair Value Measurements The Level I, II and III classifications in the fair value hierarchy used by the Company are defined below. The fair value measurement of a financial instrument is included in only one of the three levels, the determination of which is based on the lowest level input that is significant to the derivation of the fair value. The