Local Note Class IX

Local Note Class IX

Disclaimer

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This document does not constitute an offer to sell securities nor an invitation to present offers to purchase securities, nor

should it be interpreted as a recommendation of Generación Mediterránea S.A. ("GEMSA") related to any security, not being

the Negotiable Obligations yet authorized under the public offering regime. The public offering authorization has been

requested to the Comisión Nacional de Valores (the "CNV") dated April 13th, 2018.

This document has been prepared and is property of GEMSA and may not be reproduced or distributed, partially or totally, by any

means, without GEMSA’s prior written consent, and should it be reproduced or distributed without GEMSA’s written consent, said

information and/or statements may not be considered authorized and/or consented by GEMSA.

On May 10th, 2017, through CNV’s Resolution 18,649, GEMSA obtained the authorization for the creation of a global program for the

issuance of simple negotiable obligations (not convertible into shares), for a total nominal face value of up to USD 100,000,000 (one

hundred million United States dollars) or its equivalent in other currencies, in one or more classes or series (the "Program"). On June

11th, 2018, the CNV approved the Program prospectus’ update, so the Program prospectus was published on the CNV’s website

(www.cnv.gob.ar) under the item "Financial Information" on the same date. Moreover, on April 13th, 2018, GEMSA applied to the CNV

for the public offering authorization for the issuance of Class IX negotiable obligations to be issued under the Program (the "Negotiable

Obligations").

Any person interested in analyzing and, in such case, acquiring the Class IX Negotiable Obligations to be issued by GEMSA, should

read all the information contained in the preliminary price supplement and the information contained in the final versions of the

Program prospectus and the price supplement. This document has been prepared exclusively for Argentina, and should not be

intended for any other jurisdiction or territory. It is noted that part of the information in this document is constituted by future estimates.

Due to risks and uncertainties, GEMSA’s actual results or performance could differ significantly from that expressed in future

estimates. This document is subject to changes without prior notification. The information contained in this document is subject to

changes and can not be considered definitive. The recipient must rely exclusively on its own investigation, evaluation and independent

judgment to make a decision regarding GEMSA and the Negotiable Obligations to be issued. The recipient should consult with his own

advisors regarding the legal, commercial, financial, exchange, tax and/or other aspects related to their investment in the Negotiable

Obligations.

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Index

SECTION I Grupo Albanesi

SECTION II Generación Mediterránea SA

SECTION III Terms and Conditions

Section I

Grupo Albanesi

M. Maranzana PP - Córdoba

Grupo Albanesi

Power Generation

• +20 years track record - Trading and carrier activities

• +300 customers comprising different consumption profiles along diverse industries

• ~29% market share in the natural gas traders segment

• ~10% of total traded volume in the country

• Operational cash flows in dollars

Natural Gas Market

• +10 years track record

• +1.5 GW of installed capacity +1.2 GW developed and constructed by Albanesi

• More than USD 1,000 MM invested since 2005

• Diversified and strategic footprint 10 operative power plants distributed across the country

• 383 MW under construction for Closing Cycle (Generación Mediterránea SA) andCogeneration (Generación Centro SA) Projects, awarded under Res. 287/2017

• Stable and predictable cash flows due to Long Term PPAs

Argentine business group with +100 years of history and vast experience in the

energy market with substantial growth during the last 10 years

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Corporate Structure

Generación

Rosario S.A. 140 MW

Generación

Mediterránea S.A.900 MW

Solalban

Energía S.A.120 MW

75%

42%

Albanesi S.A.R. G. Albanesi

S.A.

Albanesi Energía

S.A.

Central Térmica

Roca S.A. 1

130 MW

Power Generation Business

Natural Gas Trader

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Generación Centro

S.A.Project Finance Sub

Shareholders

1 In January 2018 Albanesi S.A. absorbed Albanesi Inversora S.A., the holding company of Central Térmica Roca S.A..

M. Maranzana PP

(350 MW)

Independencia PP

(220 MW)

Ezeiza PP

(150 MW)

Riojana PP

(90 MW)

Frías PP

(60 MW)

La Banda PP

(30 MW)

Issuer of Class IX Local Note

Section II

Issuer: Generación Mediterránea SA

Ezeiza PP – Buenos Aires

Our Growth Story

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2005

Generación Mediterránea SA acquires the M. Maranzana PP

Combined Cycle of 70MW (Energía Base)

2008-2010

Stage #1 of Expansion - 120MW PWPS Technology (Energía Plus)

Stage #2 of Expansion - 60MW PWPS Technology (R220/07)

2016-2017

The Group initiates a corporate reorganization process

Generación Mediterránea SA absorbed:

• Generación Independencia SA (120MW)

• Generación Riojana SA (40MW)

• Generación La Banda (30MW)

• Generación Frías (60 MW)

+70MW under operation

(+180MW)250MW under operation


Diciembre 2015 The new Government implemented reforms focused on improving the

sustainability of the energy system.

Generación Mediterránea SA starts a second expansion process

Recent Developments

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• 2016/2018 2nd round of Expansions – 400MW / USD 400MM of Investments

Riojana PP: +50MW (R220/07)

M. Maranzana PP: +100MW (R220/07)

Independencia PP: +100MW (R21/16)

Ezeiza PP: +150MW (R21/16)

Riojana PP (+50MW) M. Maranzana PP (+100MW) Independencia PP (+100MW) Ezeiza PP (+150MW)


• October 2017

Res 287/17 – Bidding process for new efficient capacity (Closing Cycles and Cogeneration Projects)

1,810MW awarded Generación Mediterránea was awarded 275 MW to be constructed under Closing

Cycle Projects

• 2018 3rd round of Expansions – 275MW / ~USD 400MM of Investments

M. Maranzana PP: +125MW (R287/17)

Ezeiza PP: +150MW (R287/17)

Córdoba: M. Maranzana PP

350 MW under operation

125 MW under construction

Buenos Aires: Ezeiza PP


150 MW under construction

Tucumán: Independencia PP


La Rioja: Riojana PP


Sgo. del Estero: Frías PP


Sgo. del Estero: La Banda PP


Geographic diversification of power plants

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275 MW under constructionInstalled Capacity 2018

Projected Capacity Jun-2020

140MW

155MW

355MW

250MW

Energía Base Energía Plus

Res. 220/07 Res. 21/16

140MW

155MW

355MW

250MW

275MW

Energía Base Energía Plus

Res. 220/07 Res. 21/16

Res. 287/17

97.2 99.8

2015 2016 2017 1H 2018

97.9 95.4 98.9 98.6

2015 2016 2017 1H 2018

97.9 97.3 96.8 99.1

2015 2016 2017 1H 2018

High Availability1 = Stable and Predictable Cash Flows

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M. Maranzana PP - Availability Factor (%) Independencia PP - Availability Factor (%)

Ezeiza PP - Availability Factor (%)

Began

operations on

Sep-17

1 Technical availability, considering hours of unavailability due to Programmed Maintenance Works (MAPROs). MAPROs reduce

availability and, in some cases, collections from CAMMESA, but don’t cause penalties.

Frías PP - Availability Factor (%)

92.5 97.2 91.8

2015 2016 2017 1H 2018

Began

operations

on Dec-15

GEMSA has a Long Term Service Agreements with turbine suppliers enabling :

• high and stable availability factor

• predictable maintenance expenses

• stable and predictable EBITDA

24%

61%

8%7%

Res 21/2016

Res 220/2007

Energía Plus

Energía Base

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+MWs Installed improve the Operative Figures

1Q2018 LTM EBITDA adj., by Regulatory Frameworks

• 90% increase in LTM EBITDA between 2016 and Q1 2018

• 85% of EBITDA comes from contracts with CAMMESA under R220/06 and R21/17, ensuring

predictability and stability of cash flows due to:

• Power Capacity Availability Remuneration No demand risk

• Variable Costs Recognition (Fuel and Maintenance) No offer risk

• Long Term contracts Average life at 1Q2018 = ~8 years

• Revenue base 100% nominated in USD

• EBITDA growth reflects the start of operations in the new power capacity expansions

• Since taking over the new country administration, CAMMESA significantly improved payment terms

EBITDA (USD Millions)1 – Gross Debt /EBITDA Ratio

1 2016: Pro-forma including G. Frías, absorbed in 2017 by G. Mediterránea S.A.

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Debt Structure according to the Company's Bussiness Plan

Debt Breakdown by Type – 1Q2018 Debt Amortizations by Year (USD MM) – 1Q2018

• Debt profile suitable to the Company's growth strategy:

• Debt level explained by the investment and expansion of installed capacity

• Debt average life (4.5 years) exceeds the construction term of the projects ~ 2 years, giving

time to the maturation of the projects

• Debt nominated mostly in USD (89%), following the operational cash flows

• Excellent relationship with investors (capital markets), local and international financial

institutions, based on more than 10 years of successful experiences

International Notes Issuance

63%

Local Notes

Issuances 23%

Loans 13%

Other Debts 1%

Total Debt

USD 423 MM

40 2756

34

0.4

266

2018 2019 2020 2021 2022 2023*

*Amortizations from April 18’ to December 18’

Projected Power Capacity Expansion

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Power Plant M. Maranzana (Córdoba) Ezeiza (Buenos Aires)

CAMMESA PPA 113 MW (Res. 287/2017) 138 MW (Res. 287/2017)

Power Price 24,500 USD/MW-month 24,500 USD/MW-month

COD 1H 2020 1H 2020

EBITDA Estimated USD 38 MM/ year USD 48 MM/ year

Technology

• 1 TG Siemens SGT-800 (50 MW)

• 1 TV Siemens SST-600 (75 MW)

• 3 Boilers VOGT

• 1 TG Siemens SGT-800 (50 MW)

• 2 TV Siemens SST-600 (44 MW)

• 4 Boilers VOGT

Investment USD 200 MM USD 210 MM

Project Status

• Equipment purchased and under production: Siemens Gas and Steam Turbines and VOGT

Boilers. Estimated delivery for the first quarter 2019

• 5-year financing for the full price of the equipment

• Soil movement in progress

• Engineering under development

Section III

Terms and Conditions

Independencia PP– Tucumán

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Class IX Local Notes Terms and Conditions

Issuer Generación Mediterránea S.A.

Nominal Value Up to USD 25MM expandable up to USD 70MM

Class Class IX Local Issuance

Denomination Currency USD

Maturity 18 months

Amortization month 12 (30%), month 15 (30%), month 18 (40%)

Interest Fixed rate to bid. Quarterly Payments

Use of Proceeds Funding of Capital Expenditures, Indebtness Refinancing, Working Capital Expenditures

Rating “A(arg)” Fix SCR

Suscription US Dollars and/or Argentinian Pesos and/or in kind of GMSA Class VII Local Issuance

Type of Auction Open Auction (SIOPEL)

Listing/ Negociation BYMA and MAE (Euroclear and/or Clearstream availability)

Offering period From July 30th, 2018 to August 1st, 2018

Auction period August 2nd, 2018 from 10 to 16 hs (BA time)

Issuance and settlement date August 7th, 2018

Grupo Albanesi

Thank you!

Documents

Local Note Class IX