Hello and welcome to the Neoen Q1 2024 Revenue Conference. My name is George. I'll be your coordinator for today's event. Please note this conference is being recorded and for the duration of the call your lines will be in the listen-only mode. However, you will have the opportunity to ask questions towards the end of the presentation. This can be done by pressing star one on your telephone keypad to register your question. If you require assistance at any point, please press star zero and you will be connected to an operator. I'd like to hand you the call over to your host today, Mr. Xavier Barbaro, CEO, and Mr. Yves-Eric François, CFO of Neoen. Please go ahead. Thank you very much. Good morning, everyone. Actually, good evening from Sydney because Yves-Eric and myself are in Sydney today. So I'm Xavier Barbaro, the CEO of Neoen. Welcome to our Q1 2024 Revenue Conference call. As you know, Yves-Eric was formerly the CFO of Neoen Australia and now our newly appointed CFO. And Yves-Eric and myself, we will first comment on the key points of our publication. Our comments will be following the slide presentation, which is accessible through our website. And as usual, we will then open the floor to questions. Let's start on slide number 4 with our key financial and operational indicators. We generated over 2.2 TWh of electricity over the first quarter of 2024. This is an 11% increase year-on-year. And this growth was mainly driven by the ramp-up of assets having started injecting in 2023. Our revenue amounted to EUR 141.4 million in Q1 2024, which is down 8% year on year and down 6% at constant exchange rates. This performance is perfectly in line with our expectations, and it is explained by three main factors. Firstly, as widely flagged during our Q3 and full-year results presentation, we have the mechanical impact of the entry into force from Q2 2023 to early 2024 of long-term PPA prices at Mutkalampi, Western Downs, and Kaban, three important assets of Neoen. The revenue recorded in Q1 2024 at these PPA prices, therefore, compared to the high level of early-generation revenue that we had in Q1 2023 for those assets. Secondly, as planned, Q1 brought a limited contribution in terms of new commissioning since most of the short-term growth in our operating capacity will materialize towards the end of the year. Thirdly, the higher contribution from storage was a good start to the year for the Victorian Big Battery in Australia and Yllikkälä Power Reserve in Finland. Our secured portfolio, which is the sum of our assets in operation, under construction, and our awarded projects, have slightly increased to reach 9.1 GW at the end of March 2024. Lastly, we reconfirm today all our guidance. We continue to expect our 2024 Adjusted EBITDA to reach between EUR 530 million and EUR 560 million, with a margin above 85%. We reiterate the target of 10 GW of capacity in operation or under construction in the course of 2025, with a 2025 Adjusted EBITDA above EUR 700 million. We can now move to slide five to highlight two major new financing achieved in Q1. Firstly, at corporate level, we remind you that we closed early February 2024 the refinancing of our EUR 250 million syndicated credit facility. To strengthen our corporate funding, we doubled its size to EUR 500 million, split between a EUR 300 million term loan and a EUR 200 million revolving credit facility. Maturity has been extended from 2026 to 2029, and we are benefiting from two one-year extension options for the RCF. Terms and conditions have also been optimized, with the margins still indexed on ESG criteria. And lastly, it has been signed with a long-standing pool of international banks, most of which are also active on the project financing side. This new financing remains fully undrawn as of today. Secondly, at project level, we completed EUR 1.1 billion portfolio financing in Australia by setting up a flexible financing platform, which will help for our future growth. The transaction includes the refinancing of seven wind and solar operating assets for approximately EUR 700 million, with the remaining proceeds to be used to finance new assets, including Collie Battery Stage 1, which is under construction. This portfolio financing has been designed with a mini-perm structure, which is quite common for project finance in Australia, based on debt maturities of five years and seven years. It's generated a strong interest among banking partners and was finally closed with 11 Australian and international lenders. Lastly, the platform provides Neoen with further flexibility to extend the financing package to new eligible projects in the future. Those achievements significantly increase our financial flexibility to reach our target of 10 GW of assets in operation or under construction in the course of 2025. Let's now turn to slide number six. Given the current environment of lower merchant prices, we wanted to take a moment to remind you of the robustness of our business model based on long-term, predictable, and de-risked cash flows. First of all, we have a young portfolio of assets of less than four years of age on average, combined with more than 12 years of remaining PPA duration, which gives us visibility over the long term. In addition, we have a diversified portfolio, well balanced between our three technologies and geography, with a strong focus on OECD countries, which represent more than 90% of our capacity in operation at the end of March 2024. We are not dependent on big projects, as the average project size of our secure portfolio is around 40 MW. Last but not least, our strategy is mainly focused on securing revenue with high-quality off-takers. At the end of March 2024, 89% of our capacity in operation, excluding storage, are backed by long-term PPAs. In addition, within our secure portfolio, 92% of our clients have an investment-grade rating. This long-term and secure business model enables us to raise project financing at competitive costs and at favorable gearing levels. We can now move to the evolution of our secure portfolio, starting with slide eight, and a focus on our latest success in French public tenders. In March 2024, Neoen won another 119 MW of ground-mounted solar projects, distributed over seven projects ranging from five to 30 MW. I want to mention here that the average PPA price of this last French government call for tenders stood at a very favorable level, reaching EUR 81.9 per MWh. It positions the average IRR of these newly awarded projects. 150 bps, knowing that, again, we are in the upper half of that range, so high single-digit IRRs. This new successful tender allows Neoen to confirm its top awarded position in French governmental ground-mounted PV tender and to reach overall a secure capacity of 2.2 GW in France. On Slide nine, you will find an overview of the dynamics of our secure portfolio in Q1. Regarding the awarded pipeline, as previously mentioned, main progress is coming from the French solar tender. Worth mentioning the sale of five awarded projects for a total of 17 MW-peak in France. On the construction side, we launched the construction works at Morhange 2 in France, 26 MW. Lastly, we commissioned in Q1 the wind farm of Storbrännkullen in Sweden, 57 MW, as well as two solar French assets, totaling 27 MW. Overall, our capacity in operation reached 5.1 GW at the end of March 2024 versus 5 GW at the end of 2023. On slide number 10, you will find more details about the recent launch of construction of Collie Battery Stage 2. We are very proud to share with you this post-closing event, which is the continuation of the development approval received from the Australian Energy Market Operator in December 2022 for a total of 1 GW and 4 GWh. Indeed, Neoen was awarded a second two-year Capacity Services Contract, leading to the construction launch of Collie Battery Stage 2, sized at 341 MW and four hours, meaning 1,363 MWh, and relying on Tesla Megapack technology. This new contract, which will start in Q4 2025, will provide 300 MW of storage capacity for four hours, charging during the day and then discharging across the evening peak. It follows the award in June 2023 of the first similar contract, which will start in Q4 2024 for Collie Battery Stage 1, still under construction, and shows the ability of Neoen to sign additional capacity services contracts. Both contracts will secure significant upfront revenue for the overall Collie Battery projects. Stage 1 and Stage 2 will together have the ability to charge and discharge over 20% of the average demand in the Southwest Interconnected System in Western Australia. It will actively support the grid and address the risk related to the requirement of coal power plants and increasingly high penetration of rooftop solar in Western Australia. After Collie Battery Stage 1 and the recent construction launch of new batteries in the Nordics, Collie Battery stage 2 is a new great illustration of our strategy to intensify our investment in storage and to create greater value from our batteries through extended duration. I now hand over to Yves-Eric to comment on our operational data and revenue. Thank you, Xavier. We can now move to slide number 12 with an overview of our first quarter operational performance. As already mentioned, we generated slightly more than 2.2 TWh over the first quarter of 2024, up 11% compared to Q1 2023, thanks to the ramp-up of several assets having started injecting mainly in 2023. The average wind availability rate increased to 95.4% from 89% in Q1 2023, thanks to the higher availability of the Mutkalampi wind farm, which was impacted in Q1 2023 by a cable issue. The average load factor of wind assets was slightly down from 31.2% in Q1 2023 to 30.9% in Q1 2024. This is mainly due to the less favorable wind conditions in France compared to last year, which were partly compensated by the better wind availability rate and good resources in Australia. The average solar availability rate stood at 96.3%, a three-point increase compared to Q1 2023. It was boosted by the higher availability of the El Llano power plant in Mexico, which transformer replacement was completed in December 2023. The average load factor of our solar assets was slightly up from 22.3% in Q1 2023 to 22.7% in Q1 2024, reflecting, on the one hand, the higher solar availability rate. On the other hand, the better irradiation conditions in Australia. These two positive effects were partly offset by less favorable solar resources in Europe. Turning to revenue on slide 13, we achieved EUR 141.4 million in revenues in the first quarter of 2024, an 8% decrease compared to the first quarter of 2023. At constant exchange rates, revenue was down 6%. This performance is in line with our expectations, mostly driven by the mechanical price effect for some large assets, which progressively entered into their long-term PPA prices from Q2 2023 onward. Firstly, Mutkalampi in Finland, after enjoying significant early generation revenue from its full capacity in Q1 2023, its first PPA with Google started in April 2023, while four other PPAs with Dutch corporate off-takers began in August. Secondly, Western Downs Solar Farm in Australia, which also benefited from high early generation revenue in the first quarter of 2023 before its long-term PPA price was applied as of April 2023. This effect was partly compensated by, on the one hand, the EUR 5.9 million contribution from new solar and wind assets. And on the other hand, regarding our assets that we are already injecting at the end of 2022, a positive volume effect in Australia and Finland and a slightly higher contribution from our batteries. In addition, the impact from the sale in 2023 of Cabrela in Portugal and four solar farms in France amounted to minus EUR 1.7 million. I want to insist again on the fact that this negative trend in quarterly revenues was well anticipated and flagged by the company. Therefore, it does not change our view for the 2024 guidance. Moving on to slide 14, already presented during our full-year results, I want to come back briefly on the capacity breakdown between contracted and merchant for Western Downs, Kaban, and Mutkalampi, as this evolution is the main driver for the quarter performance. These three assets represent a combined capacity north of 1 GW, respectively 404 MW for Mutkalampi, 460 megawatt-peak for Western Downs, and 157 MW for Kaban. They all started injecting electricity in 2022 and ramped up their production before reaching full capacity late Q4 2022 for Mutkalampi, Q1 2023 for Western Downs, and Q2 2023 for Kaban. Until their long-term PPA prices were applied, these three plants sold their production on the market or through short-term contracts in a context of high merchant prices, in particular in Q1 2023. As you can see from the graph, the cumulative capacity was close to its maximum level in Q1 2023 with a 100% merchant exposure at that time. After that, their cumulative merchant exposure decreased to 50% in April 2023 following the entry into force of Western Downs's long-term PPA price, on the one hand, and Mutkalampi PPA with Google on the other hand. It decreased further to 39% following the start of Mutkalampi PPA with four Dutch off-takers early August. Finally, it reached its current level of 23% early January 2024 following the entry into force of Kaban's long-term capacity contract with CleanCo and the addition of a 14 MW PPA with Mölnlycke Health Care for Mutkalampi. These changes in the breakdown between merchant and contracted capacity explain the drop in early generation revenue observed in Q1 2024 compared to Q1 2023. I remind you that our strategy is to have at least 80% of our capacity excluding storage asset contracted through long-term PPAs. We may therefore decide to further increase the cumulative contracted capacity of some of these assets on an opportunistic basis going forward. Slide 15 shows the breakdown of our revenue by type of technology, starting with wind, which was down 7% in Q1 2024 versus Q1 2023 at current exchange rate and down 5% at constant exchange rate. The wind performance is mainly explained by the expected lower contribution from Mutkalampi following the progressive entry into force of its PPAs. Conversely, we benefited from the contribution of assets, which started injecting in 2023 and Q1 2024, mainly in France, in Sweden with Storbrännkullen, and Finland with Björkliden. Another positive element was the higher contribution from Kaban, which started injecting electricity in November 2022, benefited from early generation revenue during its ramp-up in 2023, and eventually entered its long-term capacity payment agreement in January 2024. This is the first capacity payment of Neoen backed by a generation asset. Based on a fixed fee assuming a minimum availability rate, it allows us to have a strong visibility on the revenue stream of the wind farm over the 15-year tenor of the contract. Lastly, we also had a positive volume effect for the Australian wind farms thanks to good wind conditions but lower wind resources in France. Let's continue with solar revenue on slide 16. In Q1 2024, solar revenue decreased by 13% versus Q1 2023 at current exchange rate and 11% at constant exchange rate. As highlighted before, this variation was well anticipated, mostly driven by the lower contribution from Western Downs Solar Farm in Australia. This negative effect was partly offset by the contribution from assets having started injecting in 2023 and Q1 2024, mainly in France, and a positive price effect for some assets in France, the Capella Solar plant in El Salvador and Paradise Park in Jamaica. Slide 17 shows our storage revenue. Storage revenue was up 1% in Q1 2024 versus Q1 2023 at current exchange rate and up 5% at constant exchange rate. We benefited from the good performance of the Victorian Big Battery in Australia, which generated higher trading and net cash revenue following unplanned grid events. In addition, the Yllikkälä battery in Finland continued to enjoy favorable market conditions. These two positive effects were partly offset by the lower contribution from Hornsdale Power Reserve in Australia. Let's now move to slide 18, which shows the breakdown of our solar and wind revenue between merchant and contracted. As expected, total wind and solar merchant and unhedged revenue decreased by 32% in Q1 2024 versus Q1 2023 as a result of several factors. Firstly, the progressive entry into force of the long-term PPAs at Mutkalampi from Q1 2023, as well as the capacity payment at Kaban as of January 2024. These assets benefited from high early generation revenue in Q1 2023, which, I remind you, was partly hedged through a combination of short-term bilateral contracts and physical hedges in order to mitigate the impact associated with the volatility in spot pricing. Secondly, the lower sales of green certificates at Western Downs. Thirdly, the hedging of early generation revenue of some French assets benefiting from 18 months of merchant revenue before the start of their governmental PPAs. Overall, the share of merchant and unhedged portion of wind and solar revenue went down from 18% in Q1 2023 to 14% in Q1 2024. I now hand the floor back to Xavier for the rest of the presentation. Thank you, Yves-Eric. Let's now review our portfolio on slide 20. Our capacity in operation under construction remained at 8 GW at the end of March 2024, of which 5.1 GW in operation and 2.9 GW under construction. Our secured portfolio totaled 9.1 GW, meaning that more than 90% of the 2025 10 GW capacity target is already secured. Overall, including the advanced pipeline but excluding our early-stage projects, our portfolio reached 27.8 GW based on a significant number of projects well distributed across our core geographies and technologies. On slide 21, we give you the latest status on our 2.9 GW of assets under construction at the end of March. This map shows our current best estimates of expected CODs. There is no major change to mention compared to the version shared during our last publication. The only minor change is related to Blyth Battery in Australia. We share with you today a more precise expected COD date in H1 2025 versus 2025 previously. For all the other projects, expected CODs remain unchanged. Before moving to the Q&A, let me briefly comment on our short and medium-term perspective, starting with slide 22. Regarding our 2024 guidance, we confirm our Adjusted EBITDA target between EUR 530 million and EUR 560 million, with an Adjusted EBITDA margin above 85%. As a reminder, selling downs will represent less than 20% of both Adjusted EBITDA and annual increase in secured portfolio. Regarding our 2025 guidance on slide 23, we confirm our target of 10 GW capacity in operation or under construction in the course of 2025. We also reiterate our Adjusted EBITDA target of more than EUR 700 million in 2025. Thank you for your attention, and we now open the floor to questions. Thank you very much, sir. Ladies and gentlemen, as a reminder, if you have any questions, please press star one on your telephone keypad and just make sure your mute function is not activated unless you're letting your signature equipment. Our first question today is coming from Enrico Bartoli of Mediobanca. Please go ahead. Your line is open. Hi. Good morning, everyone, and thanks for taking my question. Three on my side. First of all, the press recently reported that you would be in the process of negotiating some disposal of assets in Australia. Could you please provide some details on where the negotiations are at the moment, the capacity involved, and what stake you think you're going to sell in the asset portfolio? The second question is related, again, on Australia. You added this new contract for Collie Battery II recently. I was wondering if you can provide a general view on the potential that you are seeing going forward in terms of additional investments in battery storage in Australia, particularly on the demand by the system for this kind of capacity contract that you recently signed. The third one is related to Finland. I saw in the slides related to capacity evolution that you fell down 17 MW in the first quarter. If you can provide some details on this and, in particular, on the price that you achieved for those assets and some words possibly on what you expect in terms of sell-downs for the full year? Thank you. Thank you very much. I will suggest that I take questions one and two and Yves-Eric can comment on sell-downs. I mean, first, the article or the rumors that we read about, I think it was a few weeks ago, it was in April, regarding the potential entry of a minority shareholder in the Australian platform. I think the article mentioned the idea of having a 30% minority shareholder, so it's not a sell-down. It's not a sale of assets. I will not comment on this article, but I would like to remind you that we have publicly stated at Neoen over the course of 2023, and I think, again, recently during financial communication events and roadshows, that it would be relevant for Neoen to finance growth, which is high growth, also through local capital, meaning that instead of always raising capital at the TopCo level at Neoen SA as the listed company, it could be relevant not to dilute our shareholders but rather to tap into local pools of capital because they are maybe sometimes more they have more appetite for local investments. They may have a lower cost of capital, and I'm sure that Australia could be a good example. There are here some superannuation funds that have, of course, a taste for de-risked assets and long-term and predictable cash flows. So I'm sure that it's something that we should do in the future in Australia or elsewhere. We also have, let's say, large and mature platforms in Europe, in France, in the Nordics. So that is something that is in line with the strategy that we have already talked about in 2023 and more recently. And I will not comment on what we may do in Australia because I can only confirm that at the moment, no decision has been made. And yes, we are exploring opportunities here in Australia and in Australia this week, but it's something that we are willing to comment as it is not something that is worth being commented. The second question on batteries and the potential of additional capacity contracts. I mean, first, we do think that there is room for additional contracts of that kind. Australia is a market that is changing very quickly in terms of energy mix. There is, of course, a lot of rooftop solar. Australia is leading the world in terms of penetration of rooftop solar. There is a grid that was not necessarily meant to work with wind and solar. And of course, we need to support this transition towards cleaner energy by adding batteries, not only to deal with specific events such as heat waves but also, let's say, the daily consumption peak in the evening plus the need to support the grid before extra investments are made into upgrading that grid. So I think that what Neoen has demonstrated in the eastern part of the country, in Victoria, in New South Wales, in South Australia, in Queensland, can be successfully replicated in Western Australia. This is what we are doing. So there is room for more of those projects, knowing that Neoen is also, obviously, a power generator doing wind and solar. And we will also have needs for our own accounts to stabilize the intermittency of our own electronics and sophisticated and more valuable products for our clients. Let me give you the example. We signed a bit more than a year ago with BHP, one of the big mining companies in Australia. We deliver 24/7 or we will deliver 24/7 green electricity. So let's call it synthetic base load electricity to a power-intensive industry. And that's something that we will be willing to do more frequently in the future. So batteries can be standalone investments, such as what we are doing in Collie stage 2. They can also be embedded with wind and solar, again, to come up with green predictable electricity. And they can also do both over time. So we can start with batteries that are used to support the grid and to offer system integrity to our clients and later be used for Neoen's own account. So it's something that we do in Australia. That's something that we will do also in Europe and hopefully soon in the Americas as well. And it's really one of the hallmarks of what Neoen is able to do. On the third question on selling downs, I will let Yves-Eric. Thank you, Xavier. And thank you for the question. On selling down, the 17 MW assets that are mentioned in the project pipeline as coming out of the pipeline are effectively greenfield assets. This is a top-up or a bundle of the selling down operation that took place at the end of 2023 and only for greenfield assets, again. As a result, the expected contribution in terms of proceeds or EBITDA will not be material for 2024 in terms of these assets. In terms of the broader question of the selling down expected in 2024, as Xavier mentioned, there are several options that are open to Neoen for this year. No decision has been made on the selling down program. The selling down is something that we will keep on doing. We will wait to crystallize some value and to show the value that is in our project and in our assets. It's something that is, of course, a way to self-finance part of our growth and something that is, again, a way not to dilute our existing shareholders. I'm sure that there is a lot of value that, in a way, will be revealed over time, not only by the sale of assets at Neoen but also the sale of projects that we started to do in 2023. There is a lot of appetite, of course, that may relate to your first question for Neoen's assets and projects because investors know that those projects have been well developed, well built, and well managed. I think that there is, in a way, a premium for projects coming from our company. [Foreign language] In English? I'm very sorry. Mr. Bartoli, sorry about that. I asked your question, sir. Okay. I think Mr. Bartoli might have this microphone closed, but we'll move now to our next question, which will be coming from Arthur Sitbon of Morgan Stanley. Please go ahead, sir. Hello. Thank you for taking my question. So the first one, actually, is on something we hear talking about more and more, data centers. I was wondering how negotiation works for you with data centers when it comes to signing PPAs. I was wondering if you observe that you have potentially a better pricing power with this type of off-takers than with other off-takers, and as well if you're well positioned to address rising power demand from data centers or if those off-takers are solely or mainly looking for base load power, which is not so easy to deliver by quasi-pure wind and solar developers. So that's the first question. The second one is on the French auctions. The tender prices are quite high, as you highlighted, above EUR 80 per MWh. And you suggest that this means around 9% equity IRR on such projects, if I understood well. So while this is towards the top end of your targeted range, I'm a bit surprised that this wouldn't be even higher than that potentially in double-digit territory. So I was wondering if there is something potentially missing here, maybe if the CapEx is higher than in other regions. If you could comment on unitary CapEx on these projects, that'd be helpful, or if you make particularly conservative assumptions to get to these IR numbers and put differently, basically, how high would the auction price need to be for you to reach equity IR above 10% on such projects. And yeah, that's it from me. Thank you. Thank you, Arthur. On data centers, I mean, first, it's a bit recent. And at the same time, it's coming big. Of course, we have, at Neoen, signed a contract with data centers in the past, with Google in Finland, with Equinix in the Nordics as well. But it was before AI came in. And there's, of course, a huge additional demand that is coming to come because of artificial intelligence and the need to add data centers all over the world. And that's something that, of course, Neoen is excited to see because we are well equipped to fulfill part of that demand, not only because we have plenty of projects in our pipeline and very much of projects because we also have the footprint. I mean, data centers will not be built in tough countries. They will be built mainly in OECD countries, Europe, North America, Australia, where Neoen is strong. And Neoen also has the know-how on how to come up with sophisticated contracts if need be. I insist on this last point because in the past, the contract that we have signed with Google and Equinix were not base load contracts, and they were still happy with what we were offering. They also have appetite for base load contracts, and I'm sure that we'll be able to come up with such offers. Of course, those base load contracts command some price premium. It's something that is well understood. We are not the only ones, of course, willing to supply electricity to those off-takers. But at the same time, they have crazy high needs, and they need to fulfill those needs not in 2030 but actually as soon as possible. I think that part of our growth and maybe part of our profitability or additional profitability might come from such opportunities. On French auctions, yes, we are in the upper half of our guidance. So it's only high single digits. There are some specificities in France compared to what you can see in other countries. Projects are smaller, typically 10 MW, 15 MW, 20 MW, 30 MW from time to time. So you do not have the same economies of scale as in other countries. And connection costs are high. For example, we pay more for a classic solar farm in France. We pay more in connection costs than for all of the solar modules, meaning that even with prices above EUR 80, at Neoen, we consider that we are, at least on average, not reaching double-digit IRR. Some projects are reaching double-digit IRR. Some are also below 8%. So overall, the average, the mix that is high single digits, there are a few projects that can stand out. But in our view, it's still below double digits. But again, let me insist on in our view because I'm sure that many of our peers and competitors and actually pretty much all of them, taking those projects into their spreadsheets, would argue that they have double-digit IRR. At Neoen, we have a very conservative definition of IRRs. We go for 30 years, while competition is usually going for 30 years, 40 years, 45 years. We do not add terminal value. We do not add all the upsides that we still expect to materialize coming from the repower ing and O&M renegotiation and potentially hybridization in the future. So we do have a conservative definition. And I'm sure that the 9% at Neoen is probably 12% with anyone else. But again, having said that, there are also some specificities in France that we weigh on our IRRs, and connection costs, of course, do not help in particular. Thank you very much. Thank you. We'll now move to Dominic Nash of Barclays. Please go ahead. Your line is open. Hi. Good morning, Xavier. Good afternoon, Yves-Eric. Yves-Eric, congratulations for your new CFO role. Three questions, if I may. The first one is on the overall cost of debt after your refinancing activity, please. The second one is on selling down. I'm aware of your 20% EBITDA rule on the selling down. And I wonder, how easy is it to change this rule? Do you need to get the board approval and anything like that? Is it quite quick to do if you want to change that? And the third thing, I want to try because it may be quite hard for you to comment. We read the news on Betaville from Bloomberg on the potential acquisition of Neoen. Can you give any color on that? Thank you. I will take questions two and three and leave question one to Yves-Eric and maybe starting backwards. Again, you refer to the Bloomberg article from April, which was, if I'm not mistaken, about a potential sale of 30% of Neoen Australia. So it's something that I commented earlier. We do believe that we should explore opportunities to raise capital at country level while, of course, staying there and actually accelerating our growth. So that's something that we have in mind. That's something that we may do in Australia or elsewhere. And I'm sure that it's something that will attract investors because Neoen's assets and platforms and teams are extremely attractive to investors. But again, I'm not going to make extra comments on this one, on this Bloomberg article that you referred to. On selling downs and the 20% EBITDA rule, it's a guidance that we gave in 2021. So it's not just a matter of board approval. It's something that I think would have to be communicated to the market formally. We have some regulatory constraints there. I think that once we have said that it would be no more than 20% publicly, which is something that we said well, three years ago, actually. It's something that we can change but that would have to be communicated first before we implement any change. But if you look at what Neoen has done in terms of selling downs in the past two years, it was 5%, 10% of our EBITDA. So there is still room if we get to 20% for more selling down. We do think that selling down is a good way to finance our future growth. At the same time, Neoen has a clear policy, which is to keep as much of our assets as we can. Many of our peers are, let's say, selling down stakes. There's nothing wrong about it. It's just their choice. But of course, if you sell everything, you are a bit empty-handed in the end. I think that at Neoen, we are building a large pool of assets that is retained by Neoen, 10 GW next year. That's a source of cash flows that themselves are the ideal source of financing for future growth. Selling down is a booster, an additional growth financing engine. But it's not going to become the main source of financing for the company. We are first betting on the cash flows of the assets that we keep. So again, we can gradually get to 20%. We could, of course go beyond that. That's something that you would know first before it happens. That's something, of course, that we would discuss with our board. But at the moment, there is no intention to do that because there's already a lot of room to go from 5% or 10%- 20%, knowing that 20% also applies to an EBITDA that itself is growing. So it's not just a matter of doubling the proportion of selling down from, let's say, 10%-20%. In actual numbers of millions of euros, it would be even more than doubling because, of course, the company itself and its EBITDA itself are growing. On the debt part for Yves-Eric. Thank you. Thank you for the question on the cost of debt. I will say three things in response. The first one, in terms of this portfolio financing that Xavier described in the presentation, the cost of debt measured by way of the margin charged by the banks is competitive, and it reflects the lower risk profile of this particular piece of debt due to the diversification effect and the fact that the banks took comfort in this diversified pool of quality assets. Second is that even though, as a result, the credit margin on the loan is lower than what we would do typically on a single asset at Neoen, I'm not expecting that this in itself would have a material impact on the group cost of debt, given the relative weight of this particular debt instrument. The third one is that overall, we should expect a slight and progressive increase of the cost of debt through H1 2024 and future months if interest rate environment remains as it is today. This is just the mechanical effect of the fact that every time we raise new financing, we raise it under the new interest rate environment. Our historical debt is very largely hedged, but the new debt that we raise attracts the current interest rate environment. And so overall, progressively, the average cost of debt is expected to increase. But of course, for any new project that we launch today, our financial models reflect the new interest rate environment. And we are not betting on a decrease or indeed any speculation on interest rate. And the cost of debt is fully charged to the project. Very clear. Thank you very much. Thank you very much, sir. Next question will be coming from Juan Rodriguez calling from Kepler Cheuvreux. Please go ahead. Thank you. And good morning. And thank you for taking your questions. I have two on my side, if I may. The first one is on the flexibility of the 20 GW capacity that you have for 2030. I believe there is no incentive of usage of any dilutive instruments at current levels. So it will be mainly dependent on minor inclusions on some of your assets, as you were seeing on some of the local assets, or are you considering as well as low down on the growth expectations towards some more self-financing levels? So this will be the first one. And the second one is if you can provide more color on the reasons of the 21 MW in two abandoned projects that you signal in France. Thank you. Thank you, Juan. So 20 GW in 2030, that's an ambition that we have stated in our last capital markets day in March 2023. There is no commitment or no obligation to get there. We think that it's something that the company can deliver, knowing that Neoen is at the same time a developer and an investor. So the development machine of Neoen is able to come up with 2 GW of investment opportunities every year. And then, of course, we have the question of what do we do with those good projects that are brought to the table by Neoen as a developer to Neoen as an investor? If we were to get to 20 GW so if we were to materialize what we have in our hands, it would require additional capital. This additional capital can come at the topco level through additional capital increases. They can also come locally, as I said, from local sources of capital. But even if we were to do that the way we did it in the past, so at the topco level, capital increases at Neoen SA, it would still be much less dilutive on a per gigawatt basis than in the past because we are, again, using into the new equation for the company the cash flows that are coming from a large pool of assets, which we didn't have in the past, plus also the contribution from selling down. So the second tranche of 10 GW, so post-2025, if we were to do this step up from 10 GW in 2025 to 20 GW in 2030, it would be roughly half equity intensive, 50% less equity intensive as what we had in the past for the first 10 GW of our company. Having said that, we also have, of course, plenty of alternative options. And one being, as we already discussed in the recent test, of getting to something like 15 GW in a much more self-financed way without any capital increase, whether at the top or even at the regional level. We think that by just combining cash flows from existing assets and selling downs and good management of our equity and debts, we can grow organically without the need to raise additional capital. And on your second part, your second question, maybe I can leave that to Yves-Eric. Yeah, sure. The 21 MW that you mentioned. To take this one, we're only talking about two relatively small projects, each of them having very specific issues in terms of either permitting or their ability to meet the criteria of the French public tender, the CRE Tender. And so as a result of not being able to be progressed through to final investment decision in due course, we have decided to stop the development on this, which is, of course, the best decision to focus on the next generation of projects that will indeed happen. So there is nothing sinister about this decision, which shows a good financial discipline on how we manage the development cost budget. It's something that we do every year. Nothing new. I think it's important that we give you full transparency of what we do, the reason why, the location of those projects, the size of those projects. But it's important in our view that we do not keep zombie projects in our portfolio, not only for us but also for the outside world. We want to have a clean pipeline and something that makes sense and not something that is artificially high because we keep everything, and we do not have the willingness to clean it up from time to time. But I think that, in a way, the very small volume of projects that we write off shows that we actually have good projects in our portfolio. Very clear. Thank you very much. Thank you, Mr. Rodriguez. Ladies and gentlemen, once again, if you have any questions, please do press star one at this time. We're now moving to Charles Swabey of HSBC. Please go ahead, sir. Hi. Good morning, everyone. And thank you for taking my questions. I have two on the Collie Stage 2 battery. One, could you comment on the expected returns on this project? Then regarding the length of the capacity service contract, is there scope to extend the length of the contract beyond the current two years, and how do you see that playing out? Thank you. Thank you very much for those questions. It's hard to comment on returns for this project for two reasons. The value of the contract that was awarded to Neoen by the government is not public. Since you would rather be able to calculate yourself on how the CapEx that we have, we do not want to communicate on the value of the contract. It's not our role to do so. But it's a very healthy project. I'm happy to confirm that it's obviously in line with guidance. Please keep in mind that we have said that batteries were meant to have higher IRRs than what we have for wind and solar. In Australia, we have a target for wind and solar of 8.5% equity IRR. And we want to have higher IRRs for storage. So that's something that I'm still happy to confirm. The other reason why it's always hard to communicate on IRRs - and still, I gave you an indication - is that for batteries, especially for those batteries with a very front-loaded EBITDA coming from such capacity contracts, we have a contract that will span over a bit more than 20 months. And the rest of the story, the following 18 years, still has to be written. We will have recouped an important part of our CapEx with this first contract. But of course, the rest, it's based on forecasts and ideas that we have. And it's not a long-term contract with a super predictable IRR or, let's say, a super, let's say, crystallized IRR. We would be happy to extend those contracts with the AEMO. I think that in two years, there will still be some needs for such contracts in Western Australia. There are two ways to do that. I mean, first, we can extend the contract coming from those two batteries, or we can have additional batteries coming up with the same type of contract. In a way, Collie 2 came after Collie 1, and maybe someday, there will be Collie 3 coming after Collie 2. Or Collie 1 and Collie 2 will themselves be the successors of the Collie 1 and Collie 2 of the first contracts. And there will be plenty of things to do in Western Australia, of course, beyond support of the grid and beyond those governmental tenders. We do plan to participate in the frequency control. In parallel with those contracts, by the way, it will start right at the start of operation. It's something that we can do in parallel with those capacity contracts. And of course, at some point, we will also be a power generator in Western Australia. That's not the case yet. And those batteries, I think, will at some point also have Neoen as their own client. So plenty of things to do in Western Australia. Great start for Neoen in Western Australia. Great team of Neoen in Western Australia. And the credit goes to them. I think we were there at the right time with the right solutions and, of course, the right level of credibility. Collie Stage 1 is going forward. Construction is going well. I was there in February. I think that the fact that Neoen can demonstrate its ability to deliver was also part of the decision of AEMO and local Western Australian authorities to grant us a second contract because they know that they can count on us. Perfect. Thank you very much. Thank you very much, sir. Ladies and gentlemen, we do not appear to have any further questions. I can call back over to Mr. Barbaro for any additional or closing remarks. Thank you. Thank you all for your participation to this call. And as usual, thank you for the good set of questions. Before concluding, I would like to add a few more words. With this Q1 performance in line with your expectations, we are happy to confirm today our 2024 guidance. Although the lower merchant prices are affecting many of our peers and may lead them to revise their ambitions, Neoen continues to deliver as planned, relying on the high level of contracted capacity and revenue of its business model. With 89% of our solar and wind capacity in operation already being contracted through long-term PPAs, we have safely secured our future revenue. In addition, relying on our unrivaled portfolio of 8 GW in operation or under construction and the sound financial position, Neoen is fully on track to deliver its 2025 target. Beyond 2025, we will benefit from our strong project pipeline, our unique capacity and expertise in storage, as illustrated by the recent award of the Collie Battery Stage 2, and the energy management skills of our teams to continue to deliver a highly profitable and sustainable growth. This medium-term growth of our portfolio will be increasingly self-funded thanks to our growing cash flow generation and asset rotation. In addition, Neoen will have other financing options through corporate financing but also through potential minority equity divestments at project portfolio level, as already stated in 2021 and 2023 during our capital markets days and during recent conversations. This is an option which we haven't used until now, but we do not exclude to explore such opportunities in the near future, as you could hear from my answers to your questions. The next date on our agenda will be the publication of our H1 results on the 25th of July, 2024. So thank you again, and see you very soon. Thank you very much. Ladies and gentlemen, that will conclude today's presentation. Thank you for your attendance. You may now disconnect. Have a good day and goodbye.