Uniper SE

Gas supplies from Russia have contributed to boost the growth of Germany's industry, Michael Lewis, the new chief executive at that EU nation's major utility company Uniper, has said.

Supplies of Russian gas and oil to the EU's biggest economy were either significantly reduced or entirely halted following the military operation in Ukraine, as Brussels imposed round after round of anti-Russia sanctions, while Moscow retaliated by slashing fuel deliveries and imposing a new payment system.

"Ties with Russia were successful for Germany," Lewis said earlier this week, in an interview with German newspaper Handelsblatt.

"Cheap gas from Russia contributed to the development of German industry," he said, in response to a question on whether the country's poor preparation for the previous winter was connected to the company's relations with Russia

According to the chief executive, the current conflict in Ukraine has caused the utility "to diversify its gas profile."

"In the future, we are planning to further diversify our portfolio by turning to the US, the Middle East, Australia and Azerbaijan," he added.

At the same time, Lewis pointed out, Germany is currently prepared for the upcoming cold season much better than for the last one.

"Gas storage facilities are more full than they were last year," he said. "Moreover, Germany has built [Liquefied Natural Gas] terminals, such as the one in Wilhelmshaven, and the demand for natural gas has decreased."

The Uniper CEO stressed, however, that a lot will depend on demand and on weather conditions.

According to Lewis, Uniper is planning to invest over €8 billion (over $8.8 billion) in green energy by 2030, to achieve zero-carbon-dioxide emission by 2040, and to stop using coal for electric power generation by as soon as 2029.

He highlighted that energy transition cannot be quick, adding that Germany would need gas for at least 15 years.

Russian gas fueled German industry - Uniper  --  RT Business News

Hydrogen storage essential for the decarbonisation of the European energy market

The HyStorage research project aims to investigate the influence of hydrogen on porous rock formations in order to determine the feasibility and integrity of pore storage facilities for the storage of hydrogen. For this purpose, a specialized gas-technical unit for the storage test was set up on a designated drilling site at Uniper Energy Storage's Bierwang site. Commissioning is currently in progress and first hydrogen will be injected from September onwards.

Uniper Energy Storage is the consortium leader, operator and responsible for the test under mining law. The consortium is further consisting of the companies OGE, RAG Austria, SEFE Securing Energy for Europe and NAFTA, which contribute their expertise, and is also supported by interdisciplinary partners from industry and science. The project has been approved by the Southern Bavarian Mining Authority.

The storage test intends to inject different methane-hydrogen gas mixtures with 5 per cent, 10 per cent and 25 per cent hydrogen content in the natural gas into a smaller former natural gas reservoir in three operating phases and to withdraw it again after a standstill period of about three months. The storage horizon is independent of the existing Bierwang natural gas storage facility.

"Hydrogen plays a crucial role in our new strategy and HyStorage is part of its execution. HyStorage is a promising project to test the existing natural gas infrastructure for the potential transition to green hydrogen. It will also help accelerate the energy transition while ensuring security of supply to our customers. The project will provide insights into how porous rock storage and technical gas facilities will perform when the hydrogen economy ramps up," says Doug Waters, Managing Director of Uniper Energy Storage. "The demand for storage capacity will grow as renewables expand and real-life data is needed to make informed decisions. Porous rock storage not only holds tremendous potential to provide flexibility for the emerging hydrogen market, but also to connect to European hydrogen corridors."

Hydrogen is becoming an essential element for the decarbonization of the European energy market. It can be assumed that in addition to the operation of pure hydrogen pipelines, the share of hydrogen in the natural gas grid will also increase and thus reach the underground gas storage facilities. Porous rock storage facilities have the great advantage that they can provide a large-volume conversion and storage solution for volatile renewable energies.

"The future hydrogen infrastructure must function safely and reliably. This also includes the interchange between hydrogen transport and hydrogen storage. Monitoring the gas quality during injection and withdrawal is our focus in this project. This will enable us to transport hydrogen or natural gas-hydrogen mixtures within the required quality as part of the energy mix of the future," says Dr. Thomas Hüwener, member of the OGE management board.

"With our 'Underground Sun Storage' projects in Austria, we have been able to gain valuable experience in the production of hydrogen as well as storage in porous rock reservoirs. We see the sustainable use of our storage facilities and gas infrastructure for hydrogen as an essential contribution to enabling the renewable energy future and maintaining security of supply," says Markus Mitteregger, CEO of RAG Austria.

"HyStorage makes a contribution to the decarbonization of our business. Through HyStorage, we want to better explore the storage of gas-hydrogen mixtures in underground storage, also with a view to potential investments in hydrogen infrastructure," says Egbert Laege, CEO of SEFE.

"The NAFTA company is more than 110 years active in the gas industry. We believe that hydrogen is one of the promising energy carriers and therefore we actively support various projects focused on underground hydrogen storage. We perceive the HyStorage project as unique project, where the injection of hydrogen in various mixtures with natural gas into the underground storage will be tested. The results of the given project can have significant impact on the further direction of hydrogen infrastructure", says Martin Bartošovič, CEO of NAFTA.

For hydrogen storage in porous rock reservoirs, an individual investigation of the sites is required. The expertise of the experienced project partners and the scientific support of the test ensure that the collected data is fully analyzed and evaluated so that reliable technical assessments for the storage of hydrogen in porous rock formations can be expected as early as 2024.

Düsseldorf-based Uniper is an international energy company with activities in more than 40 countries. The company and its roughly 7,000 employees make an important contribution to supply security in Europe, particularly in its core markets of Germany, the United Kingdom, Sweden, and the Netherlands. Uniper's operations encompass power generation in Europe, global energy trading, and a broad gas portfolio. Uniper procures gas-including liquefied natural gas (LNG)-and other energy sources on global markets. The company owns and operates gas storage facilities with a total capacity of more than 7 billion cubic meters.

Uniper intends to be completely carbon-neutral by 2040. Uniper aims for its installed power generating capacity to be more than 80% zero-carbon by 2030. To achieve this, the company is transforming its power plants and facilities and investing in flexible, dispatchable power generating units. Uniper is already one of Europe's largest operators of hydropower plants and is helping further expand solar and wind power, which are essential for a more sustainable and secure future. The company is progressively expanding its gas portfolio to include green gases like hydrogen and biomethane and aims to convert to these gases over the long term.

Uniper is a reliable partner for communities, municipal utilities, and industrial enterprises for planning and implementing innovative, lower-carbon solutions on their decarbonization journey. Uniper is a hydrogen pioneer, is active worldwide along the entire hydrogen value chain, and is conducting projects to make hydrogen a mainstay of the energy supply.

Within the Uniper Group, all competences for underground gas storage are bundled throughout Europe in Uniper Energy Storage GmbH. Uniper Energy Storage operates natural gas storage facilities in Germany, Austria and the UK with a working gas capacity of over 80 GWh and thus makes a decisive contribution to security of supply.

Read the most up to date Fuel Cell and Hydrogen Industry news at FuelCellsWorks

Uniper Launches Research Project on Hydrogen Storage

Düsseldorf-based Uniper is an international energy company with activities in more than 40 countries. The company and its roughly 7,000 employees make an important contribution to supply security in Europe, particularly in its core markets of Germany, the United Kingdom, Sweden, and the Netherlands.

Uniper's operations encompass power generation in Europe, global energy trading, and a broad gas portfolio. Uniper procures gas-including liquefied natural gas (LNG)-and other energy sources on global markets. The company owns and operates gas storage facilities with a total capacity of more than 7 billion cubic meters.

Uniper intends to be completely carbon-neutral by 2040. Uniper aims for its installed power generating capacity to be more than 80% zero-carbon by 2030. To achieve this, the company is transforming its power plants and facilities and investing in flexible, dispatchable power generating units. Uniper is already one of Europe's largest operators of hydropower plants and is helping further expand solar and wind power, which are essential for a more sustainable and secure future. The company is progressively expanding its gas portfolio to include green gases like hydrogen and biomethane and aims to convert to these gases over the long term.

Uniper  :  Bavaria's Minister President Dr. Markus Söder gives go-ahead for Irsching 6 power plant

"In recent months, it has become apparent that the Russian government is unwilling to allow certain companies, including Uniper, to dispose of its investments in Russia," a company spokesperson told Reuters.

"Uniper is examining all options to take legal action against these actions by Russia," the spokesperson added.

Russia has steadily tightened exit requirements since Western companies started leaving soon after Moscow launched a full-scale invasion of Ukraine in February 2022. Executives say navigating the rules is becoming harder.

Some foreign companies trying to exit Russia are facing a big jump in costs as Moscow is demanding bigger discounts on the price tags of assets they want to sell, three people with knowledge of the matter said.

Uniper said the forced administration of its Russian division Unipro had "deprived Uniper of the fundamental ownership rights to its investment."

The company said it expected a decision in its arbitration proceedings against Russia's Gazprom Export next year.

(Reporting by Tom Kaeckenhoff, Writing by Friederike Heine, Editing by Rachel More and Thomas Escritt)

Uniper considering legal options over sale of assets in Russia

German energy major Uniper SE (ETR:UN01) intends to spend more than EUR 8 billion (USD 8.77bn) through 2030 to transform itself into a greener company, it announced today, whilst reporting "exceptionally strong first-half" financial results.

Duesseldorf-based Uniper said in a statement that its focus areas for the years to come will be: Customers, Green and Flexible Power, Greener Gases, and Optimisation. Its faster-than-previously-planned green transformation will involve investments in solar and wind farms, with the goal of having an installed generating capacity that is 80% zero-carbon by 2030.

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The above-mentioned investment amount is triple the average sum the company has been spending annually over the past three years, Uniper noted.

The company hopes to end coal-fired power generation by 2029 at the latest and to achieve group-wide carbon neutrality for its Scope 1 and 2 emissions by 2035. The self-imposed deadline for Scope 3 emissions is 2040.

In order to decarbonise its gas business, Uniper plans to rely on the use of green gases like hydrogen. Its objective is for 5% to 10% of its portfolio to consist of green gases by 2030.

"We have green power, but also flexible, dispatchable power. You can't have one without the other if you want security of supply. That's why Uniper will expand both. Industry will continue to need an uninterrupted supply of gas, but with an increasing proportion of green gas," said CEO Michael Lewis.

For the first half of 2023, Uniper posted adjusted earnings before interest and tax (EBIT) of EUR 3.7 billion against a loss of EUR 757 million in the same period of the "crisis year" 2022. The company turned to an adjusted net profit of EUR 2.49 billion from a loss of EUR 490 million.

"These very good numbers are the result of a strong operating performance in a favorable market environment. Nevertheless, it's important to me to point out that our earnings are largely based on extraordinary effects and are unlikely to be repeated to this extent in the years ahead. In view of the recent price declines on commodity markets, Uniper's earnings situation will normalise going forward," CFO Jutta Doenges stated.

The significantly improved performance in the first half has allowed the company to upgrade its 2023 outlook and it now expects full-year adjusted EBIT and adjusted net profit in the middle single-digit billion range.

Uniper plans accelerated green transition with EUR-8bn investment

BERLIN, Aug. 1 (Xinhua) -- Germany's largest gas importer Uniper, nationalized in the wake of the energy crisis, announced on Tuesday it would become "completely carbon-neutral by 2040."

Uniper plans to invest more than 8 billion euros (8.8 billion U.S. dollars) until 2030 for its green transformation. This represents a threefold increase in annual investments compared to the average over the past three years, according to the utility.

"Uniper will support the necessary transformation of the energy industry by offering flexible, balanced and bespoke forms of energy production," the company said in a statement.

The "new strategy" includes the company transforming its power plants and facilities, as well as investing in "flexible, secure power generating units," Uniper said. This would include investments in solar and wind farms, a field where the company "aims for significant growth." (1 euro = 1.10 U.S. dollars) ■

Germany's energy group Uniper aims for green transformation

That was the message from the German utility's new CEO Michael Lewis on Tuesday (August 1).

The company announced plans to move away from fossil fuels with billions of euros in green investments.

Uniper said it would spend $8.79 billion through 2030 on a green transformation.

The plan includes decarbonizing Uniper's existing power and gas assets and building up new ones.

Uniper has undergone a major turnaround following its state bailout last year.

It saw record earnings in the first half of 2023 of $4 billion, after a massive loss a year earlier.

It was largely driven by the company hedging its gas supply commitments for this year and next at lower prices.

Uniper was forced to replace missing Russian volumes at surging prices on spot markets last year.

The firm now expects no further financial losses from procuring replacement gas volumes.

Uniper kept its outlook for this year.

It projects operating earnings and net profit in a mid single-digit billion euro range.

But it warned this result was largely based on exceptional circumstances

As to when the German government will exit Uniper the company's CFO called for patience.

The government plans to present an exit plan by the end of this year.

Shares rose by as much as 5% after Tuesday's update, before falling back.

Uniper eyes green future and state exit

"We intend to remain a responsible and reliable operator," Lewis told reporters in Duesseldorf when revealing plans to triple Uniper's pace of investment in low carbon sources of energy to roughly EUR 8bn through to 2030.

Yet the company would "not invest any further in nuclear power", Lewis added.

"Strategically we decided we want to provide flexible green capacity. That means investing in new flexible capacities like batteries and gas plants that can be converted to being zero carbon," Lewis said. "It's a different strategy."

Uniper is the main owner of Sweden's largest nuclear power plant, Oskarshamn 3 (1.4 GW). The centre-right Swedish government that took office following last September's elections promised a revision of laws to promote new investment in nuclear energy.

Earlier coal exit

Uniper is targeting 15-20 GW of generation capacity by the end of the decade, 80% of which is supposed to be zero carbon. That compares to just 20% of its 22.5 GW of capacity at present.

It aims to leave coal generation by 2030 and to become carbon neutral by 2040 - around a decade earlier than previously envisioned.

The German government bailed the company out of imminent collapse last year after it lost its Russian gas and was forced to turn to spot markets trading at record highs to meet its commitments to customers.

The company posted record earnings in the second quarter and no longer needed government support, it said on Tuesday.

Uniper remained committed to selling its Datteln 4 hard coal-fired power plant in Germany by the end of 2026. This was a condition for its support and remained binding even if the company were to be privatised again soon, said finance chief Jutta Doenges.

Uniper to avoid new investment in nuclear power - CEO | Montel

Uniper SE (UNPRF) Q2 2023 Earnings Call Transcript

Nationalised German gas importer Uniper has vowed to learn from its disastrous over-reliance on Russian gas as it unveiled an €8bn green overhaul aimed at putting it on a path to environmental and financial stability.

Chief executive Michael Lewis used his first interview since taking up his role in June to draw a line under its previous dependence on Gazprom, which led to a government bailout as the company wracked up €19bn in losses after Vladimir Putin, Russia's president, cut gas supplies to Europe last year.

"Were we too reliant on Russian gas? It turned out yes," Lewis told the Financial Times.

The 56-year-old Briton added: "It is important to have diversity. There's no question about that. And that's one thing the crisis has brought home to us loud and clear." The company now imports a mixture of pipeline gas and LNG from suppliers in the Netherlands, the US, Norway, Australia and Azerbaijan.

After Putin's full-scale invasion of Ukraine, Uniper became an ill-fated symbol of the over-reliance of Europe's largest economy on Moscow, with the industrial nation importing more than half of its gas from Russia. As well as being pushed to the brink of collapse by Putin's decision to cut gas supplies to Europe, Uniper lost control of its Russian subsidiary Unipro, which the Kremlin expropriated in April, in the first in a wave of seizures of western assets.

Lewis, who was previously chief executive of the utility Eon UK, promised to generate a "good return on investment" for the German government. Berlin injected €13.5bn in equity for a 99 per cent stake and granted the company €6bn in loans, in one of the biggest corporate bailouts in German history.

Uniper enjoyed what it called "exceptionally" good results in the first half of 2023, with earnings before interests and taxes of €3.7bn, compared with a €757mn loss in the same period last year, thanks to favourable gas market conditions and a successful hedging strategy.

The company stressed the record performance was unlikely to be repeated. But German government officials say their ultimate aim is to make a profit on the investment, akin to the €760mn gain it made last year on its rescue of Lufthansa during the coronavirus pandemic.

Lewis said he was "confident" the company could achieve that goal thanks to an €8bn plan to make the fossil fuel group greener.

The German government, which is required under EU state-aid rules to reduce its stake in Uniper to 25 per cent by 2028, is expected to set out a strategy for exiting the company by the end of the year.

Uniper, which operates power stations in Germany, the UK, Sweden and the Netherlands, on Tuesday brought forward its target date for carbon neutrality from 2050 to 2040.

It pledged to exit coal-fired power generation in 2029, eight years earlier than planned, as well as decarbonising other existing assets and building new ones.

Lewis he saw an opportunity for Uniper to provide a missing piece to the energy transition by generating "flexible green power" as a back up to wind and solar. As well as developing 1GW of hydrogen electrolysis capacity by 2030, it plans to import environmentally-friendly fuels such as green hydrogen and biomethane.

The plans were met with scepticism by environmental campaigners, who oppose the government's plan to use gas as a "bridging" fuel towards carbon neutrality, which Berlin has set itself to achieve by 2045.

Sonja Meister, an energy campaigner at German NGO Urgewald, described the strategy as "a step in the right direction" by a company that had long been an environmental laggard. But she questioned its plans to continue to rely heavily on natural gas and said more detail was needed on how it would meet its new targets.

Analysts were also circumspect about the CEO's claim that environmental and financial performance would go hand in hand. "There's reason to be cautious," said Ingo Becker, head of utilities sector research at the brokerage Kepler Cheuvreux. "The returns on such investments are unknown and you will not get proper state support schemes for every euro you invest so clearly there is some entrepreneurial risk."

Lewis cautioned the company -- as well as Germany and Europe more broadly -- was undergoing a "transition" rather than a "revolution".

Uniper is planning legal action against Moscow for the expropriation of its Russian subsidiary, he added, while admitting that the chances of recovering any of the lost value were slim. But he said it was "our duty to do everything we can to make sure that we try and get some compensation".

Uniper's chief vows to deliver a 'good return' for Berlin after state rescue

The company had heavily relied on gas imports from Russia, but these imports were capped last year.

To meet customer contracts, Uniper was compelled to procure gas from alternative sources at high prices, resulting in financial hardship and ultimately leading to its nationalisation to prevent broader repercussions.

Uniper's new strategy involves direct investments in solar and wind farms, aiming to achieve over 80% of its installed generating capacity as zero-carbon by 2030.

Moreover, Uniper aims to end coal-fired power generation by 2029 at the latest, reflecting its commitment to transitioning away from fossil fuels.

The company is determined to achieve carbon-neutrality for its Scope 1 and 2 emissions by 2035, ten years ahead of its previous target and aims to be completely carbon-neutral for Scope 1 to 3 emissions by 2040.

Uniper unveils €8bn renewables investment plan - Energy Live News

Uniper intends to gradually decarbonize its gas business by using green gases like hydrogen. In line with market developments, the company aims for 5% to 10% of its portfolio to consist of green gases by 2030. It will also continue to repurpose some of its existing gas.

Uniper accelerates the green transformation and posts exceptionally strong first-half earnings.

Uniper's exceptionally strong first-half numbers continued its positive performance in the first quarter of 2023. Uniper also set new and ambitious strategic objectives. The Management Board, which became complete today, presented the company's first-half results and new strategy in Düsseldorf. Uniper will be transformed into a greener company much faster than previously planned. Uniper will support the energy transition of its roughly 1,000 customers -- industrial enterprises, municipal utilities, and transmission system operators -- by increasingly providing them green and flexible power and gas products. Uniper's focus areas for the years ahead are Customers, Green and Flexible Power, Greener Gases, and Optimization. The company can build on its strong customer base, its unique power and gas portfolio, its experience in the construction and operation of assets and infrastructure, and its expertise in global energy trading.

Uniper will support the necessary transformation of the energy industry by offering flexible, balanced, and bespoke forms of energy production. For this purpose the company is adapting its own power plants and assets and investing in flexible, secure power generating units. This includes investments in solar and wind farms, an area in which Uniper aims for significant growth. Uniper intends for 80% of its installed generating capacity to be zero-carbon by 2030. It will end coal-fired power generation by 2029 at the lastest.1 Uniper intends for its Scope 1 to 3 emissions to be carbon-neutral by 2040, ten years earlier than previously planned. It plans to achieve group-wide carbon neutrality for its Scope 1 and 2 emissions by 2035.

Uniper intends to gradually decarbonize its gas business by using green gases like hydrogen. In line with market developments, the company aims for 5% to 10% of its portfolio to consist of green gases by 2030. It will also continue to repurpose some of its existing gas storage facilities for hydrogen storage.

Uniper will invest more than €8 billion through 2030 for its green transformation alone. This is triple its average annual investments of the past three years.

CEO Michael Lewis said: "The crisis last year demonstrated the central role Uniper plays in the energy market. We were financially stabilized by the German Federal Government just under eight months ago, and only a short time afterward we achieved the turnaround. We've significantly diversified our gas procurement. Our supply obligations to municipal utilities and industrial customers for 2023 and 2024 -- which we entered into before the Russian supply disruption -- are almost fully hedged by forward transactions. Today I can therefore say with certainty that 2022 will not repeat itself for us. Our successful stabilization and financial recovery have again given us latitude for new growth and corporate transformation. What's important to me above all is that we remain the reliable partner for our customers that we've always been in the past, even during last year's crisis. We also want to become greener faster so that we can offer our customers bespoke energy solutions for their own transformation."

As of today, the Uniper Management Board is once again fully staffed after Carsten Poppinga succeeded Niek den Hollander as Chief Commercial Officer and head of the trading business. Michael Lewis (CEO), Jutta Dönges (CFO), and Holger Kreetz (COO) had already assumed their roles in the past few months.

CEO Michael Lewis said: "Our power and gas business is becoming increasingly zero-carbon, and our trading business, thanks to its optimization and procurement capabilities, is our platform for the interplay between markets and commodities. Uniper's expertise as a global trading company was a key reason it was able to manage last year's energy crisis so well. One of Uniper's great advantages is that we can already use our balanced portfolio to manage the complexity of the energy market. We have green power, but also flexible, dispatchable power. You can't have one without the other if you want security of supply. That's why Uniper will expand both. Industry will continue to need an uninterrupted supply of gas, but with an increasing proportion of green gas. Our power and gas portfolio already makes us very well prepared for a future in which the two sectors will increasingly be integrated."

Uniper records extraordinarily strong first-half earnings

With adjusted EBIT of €3,701 million, Uniper posted exceptionally good earnings in the first half of 2023. Its adjusted EBIT in the prior-year period of the crisis year 2022 was

-€757 million. This nearly €4.5 billion earnings increase is due mainly to Uniper's strong operating performance in a favorable market environment. Uniper benefited to a great extent from hedging transactions for fossil-fueled power generation and its midstream gas business. The company had announced in May that it anticipated significant profits on gas replacement purchases. This positive nonrecurring effect is reflected for the first time in Uniper's earnings for the first six months of the 2023 financial year.

The European Generation segment's exceptionally strong first-half adjusted EBIT of €1,465 million was significantly above prior-year adjusted EBIT of -€217 million. This is especially attributable to earnings on successful hedging and optimization transactions for fossil-fueled generation.

Price effects at Uniper's nuclear and hydro power business in Sweden also had a positive impact. Earnings benefited additionally from a year-on-year reduction in price discrepancies between the system price and Sweden's price zones. This was partly offset by higher depreciation charges, particularly at Uniper's fossil generation fleet.

Adjusted EBIT at the Global Commodities segment of €2,349 million was considerably above the prior-year figure of -€174 million.

No more cumulative additional replacement procurement costs were incurred in the first half of 2023. Instead, Uniper recorded a total of €1,178 million of cumulative lower costs in the first half of 2023 -- in other words, profits -- before taxes on gas replacement procurement. In the prior-year period, the additional costs amounted to €529 million.

Uniper's gas operating business, which continues to be influenced by the extraordinary price developments of prior years and their consequences, also posted positive earnings. Portfolio optimization was another reason for higher earnings at the gas business. The international portfolio benefited from the LNG business's good performance. In addition, power trading activities generated particularly positive contributions in a volatile market environment.

Adjusted net income, which largely reflects the adjusted EBIT, amounted to €2,487 million after the first six months of 2023. This was substantially above the prior-year figure of -€490 million.

IFRS net income of €9,443 million was considerably above the prior-year net loss of

-€12,418 million. Net income was strongly influenced by the significant drop in commodity prices and the complete release of provisions for additional anticipated future losses in Uniper's gas portfolio.

Economic net debt at year-end 2022 was €3,049 million. High operating cash flow of €4,259 million gave Uniper a positive net cash position of -€1,493 million at the half-year mark.

Uniper expects an exceptionally strong earnings performance for full-year 2023 and adjusted its financial outlook accordingly. Uniper anticipates full-year adjusted EBIT and adjusted net income in the middle single-digit billion range.

CFO Jutta Dönges said: "These very good numbers are the result of a strong operating performance in a favorable market environment. Nevertheless, it's important to me to point out that our earnings are largely based on extraordinary effects and are unlikely to be repeated to this extent in the years ahead. In view of the recent price declines on commodity markets, Uniper's earnings situation will normalize going forward. Our strongly improved earnings figures for the first half of the year have enabled us to raise our outlook for the 2023 financial year. We now expect full-year adjusted EBIT and adjusted net income in the middle single-digit billion range. Our good numbers give us momentum for implementing our strategy, which will significantly increase the pace of Uniper's transformation. Our shareholders will benefit from this in the long term."

Düsseldorf-based Uniper is an international energy company with activities in more than 40 countries. The company and its roughly 7,000 employees make an important contribution to supply security in Europe, particularly in its core markets of Germany, the United Kingdom, Sweden, and the Netherlands.

Uniper's operations encompass power generation in Europe, global energy trading, and a broad gas portfolio. Uniper procures gas -- including liquefied natural gas (LNG) -- and other energy sources on global markets. The company owns and operates gas storage facilities with a total capacity of more than 7 billion cubic meters.

Uniper intends to be completely carbon-neutral by 2040. Uniper aims for its installed power generating capacity to be more than 80% zero-carbon by 2030. To achieve this, the company is transforming its power plants and facilities and investing in flexible, dispatchable power generating units. Uniper is already one of Europe's largest operators of hydropower plants and is helping further expand solar and wind power, which are essential for a more sustainable and secure future. The company is progressively expanding its gas portfolio to include green gases like hydrogen and biomethane and aims to convert to these gases over the long term.

Uniper is a reliable partner for communities, municipal utilities, and industrial enterprises for planning and implementing innovative, lower-carbon solutions on their decarbonization journey. Uniper is a hydrogen pioneer, is active worldwide along the entire hydrogen value chain, and is conducting projects to make hydrogen a mainstay of the energy supply.

Read the most up to date Fuel Cell and Hydrogen Industry news at FuelCellsWorks

Uniper Unveils $9B Strategy to Boost Renewables and Hydrogen

MUNICH (dpa-AFX) - Bavaria wants to negotiate with the federal government on the takeover of the Uniper hydropower plants by the Free State. "We are aiming for the takeover of the entire Bavarian Uniper hydropower plants into a state-owned operating company. A joint operating company with the federal government is also possible," Bavaria's Environment Minister Thorsten Glauber (Freie Wähler) announced in Munich on Thursday. Previously, he had sent a letter to the Federal Ministry of Finance urging the federal government to hold concrete talks.

"We must seize the historic opportunity. We must rethink the energy supply. My goal is a public welfare-oriented, ecologically sustainable and reliable use of hydropower," Glauber stressed. The Uniper hydropower plants would have to be permanently owned by the public sector. A new operating company would enable the structures of the Uniper hydropower division to remain in place permanently, and the operating staff could also be taken over. Furthermore, a takeover by the public sector would have advantages for the implementation of flood safety measures at the power plants.

Uniper is Germany's largest gas trader, among other things. After Russia stopped gas supplies last year, the company ran into difficulties due to high replacement costs. The German government put together a billion-euro stabilization package, of which Uniper took advantage of 13.5 billion euros. Since then, the government has owned a good 99 percent of the company. By the end of 2028, however, it must reduce its stake to 25 percent plus one share due to conditions imposed by the EU Commission.

In Bavaria, hydropower plants on the Isar, Lech, Danube and Main rivers are part of Uniper's assets. The talks with the federal government are also particularly important because the permits for Uniper's Bavarian hydropower plants would expire from 2030, the statement added. The new operating company would therefore have to be formed in time to carry out the new licensing procedures.

In most cases - with the exception of the Happurg and Langenprozelten pumped storage plants and the Walchensee storage power plant - the expiry of the licenses would give the Free State the opportunity to become the owner of the plants again in return for payment of a compensation sum.

The takeover of the hydropower plants of Uniper Kraftwerks GmbH involves 97 hydropower plants in Bavaria with a combined capacity of around 970 megawatts and an annual electricity yield of around 4800 gigawatt hours. The hydroelectric plants generate around one third of Bavaria's electricity from hydropower./had/DP/jha

Bavaria demands negotiations on Uniper hydropower plants from the federal government

The German federal state of Bavaria aims to transfer all 97 local hydropower plants of energy major Uniper SE (ETR:UN01) to a state-owned operating company to take control of its energy supply and implement flood protection measures, Bavaria's minister of environment, Thorsten Glauber, said in a letter to the federal government.

The plants, located on the rivers Danube, Isar, Lech, and Main, have a combined capacity of around 970 MW and an annual electricity output of roughly 4,800 GW/h. The portfolio also includes two pumped storage plants.

A joint operating company with the federal government is also possible, Glauber said in the letter published on Thursday. Overall, the minister urged the government, which currently controls Uniper, to engage in discussions over the future of the hydropower plants. According to Glauber, the potential operating company must be established in time to conduct re-licensing procedures as permits for the facilities will gradually expire from 2030.

Currently, the German federal government holds 99% of Uniper after bailing out the company in 2022. The firm, which was mainly active in the distribution of gas, went into dire straits because of the discontinued deliveries of Russian gas to Europe in the context of the Russian-Ukrainian military conflict.

At the start of August, Uniper revealed a strategy to invest over EUR 8 billion (USD 8.75bn) through 2030 to transform itself into a greener company. According to a previous statement of CFO Jutta Doenges, the energy major also aims to return to "predominantly private hands as an independent company" as quickly as possible.

(EUR 1 = USD 1.093)

Uniper SE

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