Mr. Michel Letellier reports

INNERGEX AND MMBC SIGN A 30-YEAR POWER PURCHASE AGREEMENT WITH HYDRO-QUEBEC

Innergex Renewable Energy Inc. have signed a 30-year take-or-pay power purchase agreement indexed to 30-per-cent inflation with Hydro-Quebec for the electricity to be produced by Mesgi'g Ugju's'n 2 (MU2).

Mesgi'g Ugju's'n 2 is a 102-megwatt wind project to be located in the regional county municipality of d'Avignon and an extension to the existing 150-megawatt Mesgi'g Ugju's'n wind facility commissioned in 2016. MU2 is the result of a 50/50 renewed partnership between Innergex and the three Mi'gmaq communities in Quebec -- Gesgapegiag, Gespeg and Listuguj -- represented by Mi'gmawei Mawiomi Business Corp. (MMBC). Its commissioning is scheduled in 2026.

"The signing of this long-term power purchase agreement with Hydro-Quebec enables the project to move ahead by guaranteeing revenues over the span of 30 years," said Michel Letellier, president and chief executive officer of Innergex. "With the new financial initiatives announced by the government of Canada to foster a clean economy, we expect the Canadian market to continue to bloom with exciting new opportunities for renewable energy. With projects like Mesgi'g Ugju's'n 2, local communities, and especially indigenous communities, are bound to benefit from this incredible future growth as renewable energy projects are known to bring direct social and economic benefits to the region in which they are developed."

"This milestone in the development of Mesgi'g Ugju's'n 2 guarantees sustainability by securing recurrent revenues and jobs for our communities for the next 30 years," said Frederic Vicaire, chief executive officer of MMBC. "Through job creation or self-generated income, our partnership with Innergex aims to produce wealth. It demonstrates our determination to follow a clear path in the sustainable exploitation of our natural resources and the production of renewable energies, thus being a leader in the fight against climate change. Our three communities are proud of this achievement and hope to inspire other first nations across Canada to develop similar initiatives."

On March 15, 2023, the MU2 wind project was selected in Hydro-Quebec's request for proposals. The project will contribute to support the wind industry supply chain in the Gaspe peninsula and Quebec. MU2 should also provide an annual financial contribution and set up a social commitment fund to support development initiatives with local municipalities.

The construction of the MU2 wind farm will involve the participation of local and regional businesses. The construction alone will require the creation of approximately 200 jobs during its peak period, while long-term, permanent and qualified jobs will also be created during operations.

Interconnection costs and collector system will be reimbursed by Hydro-Quebec at the commissioning of the facility. Project costs are estimated at approximately $277.4-million, which are expected to be financed with approximately 75 per cent to 80 per cent of long-term, non-recourse project debt and the remaining will be financed by sponsor equity to be shared equally among the partners.

About Innergex Renewable Energy Inc.

For over 30 years, Innergex has believed in a world where abundant renewable energy promotes healthier communities and creates shared prosperity. As an independent renewable power producer that develops, acquires, owns and operates hydroelectric facilities, wind farms, solar farms and energy storage facilities, Innergex is convinced that generating power from renewable sources will lead the way to a better world. Innergex conducts operations in Canada, the United States, France and Chile and manages a large portfolio of high-quality assets currently consisting of interests in 87 operating facilities with an aggregate net installed capacity of 3,692 megawatts (gross 4,243 megawatts) and an energy storage capacity of 159 megawatt-hours, including 40 hydroelectric facilities, 35 wind facilities, 11 solar facilities and one battery energy storage facility. Innergex also holds interests in 13 projects under development with a net installed capacity of 760 megawatts (gross 849 megawatts) and an energy storage capacity of 605 megawatt-hours, five of which are under construction, as well as prospective projects at different stages of development with an aggregate gross installed capacity totalling 8,883 megawatts. Its approach to building shareholder value is to generate sustainable cash flows, provide an attractive risk-adjusted return on invested capital and to distribute a stable dividend.

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