10/2017_Storage Capacity Auction_SW Spread Price Based Product MND Gas Storage a.s. September, 2017

Auction bundle - Basic data Capacity 110 GWh Max. withdrawal rate 2 800 MWh/day Max. injection rate 2 050 MWh/day Contract duration 1 - 5 storage years (start 1.4.2018) Network Operator Net4Gas Type of Product Fast 50/70 Multicycle Financial Deposit 0,15 EUR per each requested MWh (max. 16 500 EUR)

Storage Fee_SW Spread based PU = SW Spread + K; PU … unit price €/MWh/storage year SW Spread … determined during the index period and inserted into the formula. The spread is determined for each day of this period for which the required forward quotations at NCG market are published in ICIS European Spot Gas Markets (ESGM) SW Spread = (Bid NCG winter + Offer NGC winter)/2 – (Bid NCG summer + Offer NCG summer)/2; SW SpreadMIN = 1,20 €/MWh From the sum of the SW spreads determined each day (according to the price formula) the rounded arithmetical average is then calculated. SW Spread average is rounded for 2 decimal numbers, where 0,01-0,05 = 0,05 and 0,06-0,09 = 0,1 Index period: November 2017 – March 2018 K … represents a progression coefficient according to storage capacity auction result; K = +0,05 €/MWh at the beginning of storage capacity auction; Auction step = 0,05 € /MWh

Variable Fee Depending on the working gas volumes injected by the customer, there is an additional variable fee. 0,35 € per 1 MWh of injected working gas

Withdrawal Product Curve

Injection Product Curve

Period for Daily Firm Capacity Unbudled services 1/3 Daily Firm Capacity Can be added to the capacity on top of your existing contract Period for Daily Firm Capacity Withdrawal Capacity Injection Capacity Day Ahead/reservation until 6 pm gd-1 [€/MWh] 1.4. - 30.9. 0,42 0,65 1.10. - 31.3. Intraday/reservation from 6 pm gd-1 until 12 pm gd 0,46 0,73 gd … gas day Daily firm capacity can be reserved up to 90 days in advance

Period for interruptible capacity Unbudled services 2/3 Daily Interruptible Capacity Available interruptible capacity depends on actual nominations for firm storage capacity and technical capabilities of storage.  Available interruptible capacities are shown on web pages of MND Gas Storage: http://www.gasstorage.cz/en/operation-information Period for interruptible capacity Withdrawal Capacity Injection Capacity Day Ahead/reservation until 6 pm gd-1 [€/MWh] 1.4. - 30.9. 0,35 0,45 1.10. - 31.3. Intraday/reservation from 6 pm gd-1 until 12 pm gd 0,39 0,57 gd … gas day

Temporary working gas volume Unbudled services 3/3 Temporary working gas volume can be added  to the WGV on top of your existing contract Time period WGV Price Available from Available until GWh [€/GWh/day] 1.12.2017 31.8.2018 100 2,3

Other services Commercial Dispatching of MND Gas Storage Germany offers you purchase of transportation capacities on behalf of your company in accordance with customer‘s needs (quarterly, monthly, day – ahead capacities). Price = flat rate + variable rate (based on purchased MWh)