DIVIDEND

The Board of Directors recommends a final single-tier dividend of 1.0 sen per share for the financial year ended 31 January 2023. The proposed dividend is subject to shareholders’ approval at the forthcoming 30th Annual General Meeting on 13 July 2023. If approved, the entitlement date and payable date for the dividend would be 3 August 2023 and 30 August 2023 respectively.

CHAIRMAN COMMENTARY – MR. LIM HAN WENG, GROUP EXECUTIVE CHAIRMAN OF YINSON

We are pleased to announce that the Group earned well and remained stable in FYE 2023. Despite the uncertainties that arose as the pandemic transitioned into an endemic, we have remained strong and resilient as we continue our sustainability journey, strengthening our position as a global energy infrastructure and technology solutions provider, while growing the Group and our offerings.

Yinson Production (“YP”) has achieved several significant milestones in Q4 driven by strong demand in the global FPSO market against a limited number of specialist contractors.

A huge milestone for YP this quarter was starting the FPSO Agogo project for Azule Energy, a 50/50 joint venture with BP and ENI in Angola. It is expected to commence operations late 2025 and has increased YP’s total orderbook to over USD22 billion. Together with our client, we agreed that reducing emissions would be the key design objective for this FPSO. Thus, we have included technologies such as carbon capture, zero flaring, HC blanketing, electrification, combined power generation and seawater turbine generators into the design of this asset. With this implementation, we believe FPSO Agogo will be one of the lowest emission FPSOs in the market, taking us a step closer to achieving our climate goals whilst paving the way for the continued decarbonisation of the offshore production industry.

We have made a great leap forward towards the decarbonisation and sustainability of our future fleet with the signing of an MoU with AVEVA towards developing a fully autonomous and sustainable FPSO. We will be working with AVEVA to enrich our assets’ digital twins through analytics, machine learning and artificial intelligence, allowing us to create a differentiated offering that can help the industry shift to safer, more sustainable low carbon operations.

Meanwhile, YP has successfully completed the 16-year contract for FPSO Adoon, throughout which we were able to contribute significantly to Nigeria’s energy landscape, economy and community through our safe and reliable operations. Congratulations to our passionate team, together with our client and local stakeholders, that have worked hard to achieve this tremendous milestone.

On the projects side, YP is pleased to announce that FPSO Anna Nery has been successfully installed at the Marlim field. It is now considered physically ready for the introduction of hydrocarbons from the field to the FPSO. YP also recently acquired London Marine Group, one of the world’s leading providers of offshore mooring systems for both offshore production vessels and floating wind. The acquisition brings their highly specialised knowledge in-house, further reinforcing our leadership in the FPSO space.

The renewables business continued its growth trajectory during the quarter. In addition to further strengthening and growing our global pipeline of renewables projects, Yinson Renewables (“YR”) maintains a strong focus on maturing secured projects to bring them to final investment decision (FID). Our two large onshore wind projects in Brazil are progressing with pre-construction activities including tendering ongoing for major components, preparation for securing debt finance and power purchase agreements (PPA). We are concurrently progressing solar PV projects in both Peru and Chile towards FID in the next 12 months.

We also expect projects in Italy and Columbia to move into this phase in the near term. In India, construction of the Nokh project has been completed and ‘ready to commission status’ has been granted by the regulator. The project will start exporting power when the grid connection (provided by others) is established.

We continue to deliver and evaluate new commercial rooftop projects in Malaysia together with our partner, PXS, and are progressing the same types of projects in Indonesia through our subsidiary, Inecosolar. In New Zealand, we have several utility scale wind projects under development.

Globally, our total renewables pipeline remains strong, including over 3.3 GW of early-stage projects under review, in addition to 1.1 GW for which planning consents are in process and a further 770+ MW that are in early-stage construction activities. Total assets in operation are 177 MW.

Similarly, Yinson GreenTech (“YGT”) continues to grow in the mobility, marine and energy segments towards building a technologically enhanced, integrated, clean transportation system across land and sea. Excitingly, we inked an agreement with Gentari and EV Connection on 16 March 2023 to make chargers from all our three networks available to electric vehicle users via e-roaming. This collaboration will allow chargEV users to access 70% of charging stations nationwide. Further, YGT provided Starbucks Coffee Malaysia with five electric vehicles for their corporate fleet. On the marine side, YGT has strategically invested in Zeabuz, a Norwegian startup specialising in autonomous solutions for the maritime industry.

We are thrilled to have Farosson in the Group, a new business unit that provides advisory solutions, investments and asset management. With the expansion also comes the leadership changes, where we appointed Daniel Bong as CEO of Farosson, and Chai Jia Jun as Group Chief Strategy Officer. These changes are part of the Group’s strategic plans to accelerate the growth of our business units through the increased autonomy of decision-making at business unit level.

Sustainability continues to be Yinson’s main driver in all decision-makings. Hence, we are honoured that our sustainability journey was validated by the UN Global Compact Network Malaysia & Brunei (UNGCMYB), through its ‘Pioneer Sustainable Development Action Recognition’. The recognition acknowledges our successful issuance of Malaysia’s first Sustainability-Linked Sukuk. We have also recently been recognised as a ‘ESG Industry Top Rated Company’ by global ESG Risk Rating agency, Morningstar Sustainalytics. This prestigious recognition reflects our strong performance in environmental, social and governance (ESG) aspects, and commitment to sustainability.

As the financial year ends, we would like to express our gratitude towards our stakeholders for your continued support throughout. We look forward to continuing this exciting journey with you in the coming year.