1. OUR SOCIAL FOOTPRINT

BRILLA: NON-BANK FINANCING

Brilla is the non-bank financing business created by Promigas, whose objective is to generate progress and well-being and to improve the quality of life through easily accessible formal credit, mainly targeted at customers from low socioeconomic levels.

This financial inclusion model is targeted at customers who have demonstrated a good natural gas and electric bill payment history, through approved credit limits that offer access to a broad portfolio of products and services, such as construction materials, educational services, household goods and others.

As part of its evolution and with the aim of expanding access to customers, in 2022, Brilla implemented and deployed new tools to increase its potential customers and monetize them using external data during the assessment process. It currently has a mobile app, which is a sales channel through which we have evolved in the way we relate with our customers.

Some of the aspects to be highlighted include the fact that Promigas received recognition as an Inspiring Company by ANDI, because of its inclusive non-bank financing program, Brilla. In addition, the CEO insurance and assistance business was launched, diversifying the portfolio of services offered to users in the area.

By the fourth quarter of 2022, a total of 775,000 users had accounts receivable outstanding with Brilla, for a total of 5 million loans granted since the start of the program. Of the above, 47% are people from Socio-economic Level (SEL) 1, 36% from SEL 2, 13% from SEL 3 and 4% from other SELs. Additionally, loan placements by Brilla totaled COP $1.02 Bn (+6%) and accounts receivable totaled COP $1.67 Bn (+24%). EBITDA also increased by COP $33,689 MM (+19%) vs. 2021 (COP $208,074 MM vs. COP $174,385 MM).

SOCIAL INVESTMENT

Fundación Promigas is the driving force behind our social management and a great partner for our companies and communities. We work in a decentralized manner, listening closely to the communities, authorities, and partners.

We have managed to contribute to social progress through our commitment to the sustainable development of communities, reaching more than 184,000 beneficiaries and more than 9,600 high-impact beneficiaries.

Fundación Promigas has developed and implemented the High Impact Social Investment strategy through four distinctive programs, which are: More Youth Employment, More Entrepreneurship, More Productive Communities and More Sustainable Territories.

In the fourth quarter of 2022, these programs achieved the following objectives:

More Youth Employment

  • 6,033 youth beneficiaries.

  • 3,625 graduates.

  • 1,654 with formal jobs.

  • Average monthly salary of COP $1.2 MM to COP $1.8 MM.

  • We reached 7 departments.

More Entrepreneurship

  • 1,413 beneficiaries of 884 business ventures.

  • Growth in average sales:

    • o 42% traditional businesses

    • o 44% medium impact

    • o 142% high impact

  • Traditional business ventures:

    • o 85% using banking services

    • o 81% with new sales channels

  • We reached 7 departments.

More Productive Communities

  • 1,336 beneficiaries of 484 production units.

  • Growth in average sales:

    • o 203% farming PUs

    • o 90% other PUs

  • 300% increase in production.

  • We reached 8 departments.

More Sustainable Territories

  • 879 beneficiaries.

  • 118 nurseries and 1 recycling center strengthened

  • 74,672 seedlings in germination and 8,134 trees planted in the tropical dry forest and in the Sierra Nevada de Santa Marta.

  • We reached 8 departments.

2. CORE BUSINESSES

TRANSPORTE DE GAS NATURAL

As of the fourth quarter of 2022, Promigas and its portfolio of transportation companies in Colombia achieved a volume of natural gas transported of 508 MPCD, a growth of 2% compared to the same period in 2021, through a network of gas pipelines of 3,289 KM and a total capacity of 1,153 MPCD.

Highlighted aspects:

  • 100% continuity of the service provision.

  • Completion of the Zona Bananera gas pipeline and commissioning without incident.

  • Assessment of pipeline integrity through internal inspection of 945 km of the Promigas main gas pipeline.

  • Placement of 99% of the added transportation capacity of our transportation companies.

TRANSMISSION REVENUES

Figures of 100% controlled companies, before eliminations. Does not include concession construction revenues.

NATURAL GAS TRANSMISSION

Promigas - Atlantic Coast

By the end of the fourth quarter of the year, Promigas gas pipelines had reached 2,753 km in length and a transmission capacity of 952 MMCFD.

In general terms, by the end of 2022, gas demand was stable compared to 2021.

Industrial, Domestic and NGV Sector

In the last quarter of the year, there was a slight increase in consumption in the industrial and domestic sectors, mainly due to higher consumption by Yara (petrochemical sector) and the non-regulated demand served by Surtigas, as a sign of the region's economic reactivation and the normalization of domestic consumption.

Thermoelectric Sector

Given the high hydrological contributions in the last quarter of the year, in addition to the reinforcements in the electrical interconnection with the country's interior, there was a reduction in the dispatches of thermoelectric plants and, as a result, there was a 32% reduction in gas consumption compared to the same period of the previous year.

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Promigas SA ESP published this content on 29 March 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 March 2023 13:05:11 UTC.