Q2 2018 Results Call August 14, 2018 10 AM EST / 11 AM ART - PowerPoint PPT Presentation

Q2 2018 Results Call August 14, 2018 10 AM EST / 11 AM ART

Disclaimer The material that follows is a presentation of general background information about Pampa Energía SA as of the date of the presentation. It is information in summary form and does not purport to be complete. It is not intended to be relied upon as advice to potential investors. This presentation is strictly confidential and may not be disclosed to any other person. No representation or warranty, express or implied, is made concerning, and no reliance should be placed on, the accuracy, fairness, or completeness of the information presented herein. This presentation contains information and statements that are forward-looking within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended (the 'Securities Act') and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are statements that are not historical facts. These statements are only predictions based on our current assumptions, expectations and projections about future events. Forward-looking statements may be identified by the words 'believe', 'expect', 'anticipate', 'target', or similar expressions. While Pampa' s management believes that the expectations reflected in such forward-looking statements are reasonable, investors are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and are generally beyond the control of Pampa, which could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include, but are not limited to, changing business, regulatory, political or other market conditions in Argentina and elsewhere, the completion of our new generation projects, the completion of our distribution and transmission subsidiaries' tariff revision process, the prospects for growth anticipated by our management, and the other risks and uncertainties discussed in our reports and other documents filed with the U.S. Securities and Exchange Commission. Further, Pampa undertakes no obligation to publicly update its forward-looking statements, whether as a result of new information, future events, or otherwise, nor makes any representation or warranty, expressed or implied, as to the accuracy or completeness of the information contained herein, and nothing contained herein is, or shall be relied upon as a promise or representation that any such forward looking statements will be achieved. Management is not making and you should not infer any representation about the likely existence of any particular future set of facts or circumstances. This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or purchase any securities. Neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. Securities may not be offered or sold in the United States unless they are registered or exempt from registration under the Securities Act. Any offering of securities to be made in the United States will be made by means of a prospectus or offering prepared in connection with any such offering. Pampa Energía ● Q2 2018 Earnings Call 2

Today’s Agenda • Presented by Lida Wang, IRO  Q2 2018 consolidated net income  Q2 2018 consolidated EBITDA  Cash and debt  Results & news by business segment  Q&A session • Power generation • Electricity distribution • Oil & gas upstream • Refining & marketing • Petrochemicals • Holding – TGS – Transener Pampa Energía ● Q2 2018 Earnings Call 3

Q2 2018 Consolidated Results Adjusted EBITDA from Continuing Businesses 1 In million AR$ 7,505 Segment Q2 17 Q2 18 ∆$ ∆% Power Generation 848 2,491 1,643 +194% 2,491 Electricity Distribution 338 1,585 1,247 NA Oil & Gas* 1,583 2,069 486 +31% 1,585 Refining & Marketing* 20 (29) (49) NA 3,208 Petrochemicals 1 45 44 NA 848 2,069 Holding and Others 420 1,364 944 +225% 338 Eliminations (2) (20) (18) NA 45 1,583 1,364 20 Total 3,208 7,505 4,297 +134% 1 420 (29) * Does not include discontinued operations Q2 17 Q2 18 Q2 17 Q2 18 Assets sold to Vista & Trafigura (1) Consolidated adjusted EBITDA represents the consolidated results before net financial results, income tax and minimum notional income Pampa Energía ● Q2 2018 Earnings Call 4 tax, depreciations and amortizations, non-recurring and non-cash income and expense, equity income and other adjustments from the IFRS implementation and includes affiliates EBITDA’s at ownership. For more information, please refer to section 3 of the Earnings Release.

Q2 2018 Consolidated Results Adjusted EBITDA from Continuing Businesses In million AR$ Adj. EBITDA 7,505 2,491 1,585 2,069 (29) 45 1,344 Q2 18 +134% yoy +926 +44 -49 +486 +1,247 +1,643 3,208 Power Electricity Refining & Petro- Holding, Total Q2 17 Power Generation Electricity Distribution Oil & Gas Refining & MarketingPetrochemicals Holding and Others Total Q2 18 Q2 17 Q2 18 Oil & Gas Generation Distribution Marketing chemicals Others & Eliminations Pampa Energía ● Q2 2018 Earnings Call 5

Power Generation Adjusted EBITDA Generation Performance In million AR$ In GWh  Lower dispatch 3,794 requested at CPB 2,491 3,659  AR$ devaluation & CTGEBA TG #3 +194%  Full fare for  Lower water at legacy capacity HIDISA  New PPAs in  Commissioning of Thermal force CTPP, CTLL’s 89% 848 90% TG05 & CCGT  Higher costs for enhancement, energy CTIW & PEMC Wind purchases and wind farm larger operation 1% 11% Hydro 10%  Higher generation Q2 17 Q2 18 Q2 17 Q2 18 Q2 17 Q2 18 Q2 17 Q2 18 at HPPL Availability Performance News Update In % to Installed Capacity  Commissioning 3,871 MW of PEMC, CTPP, • Commissioning of Mario Cebreiro 100 MW wind farm CTLL’s TG05 & +12% 3,451 MW 98.2% CTIW • Expansions’ status: Genelba & renewables  CTLL’s steam 86.5% +14% turbine capacity increase Q2 17 Q2 18 Q2 17 Q2 18 Pampa Energía ● Q2 2018 Earnings Call 6

Power Generation Genelba Expansion Pampa Energía ● Q2 2018 Earnings Call 7

Power Generation PEPE II Wind Farm Expansion Pampa Energía ● Q2 2018 Earnings Call 8

Electricity Distribution Adjusted EBITDA Sales Performance  Lower demand  RTI’s full fare In million AR$ In GWh from SMEs 5,359 5,344 implementation 1,585  Stable demand + costs update from residential in Aug ‘17 and 6% 6% and large users, Feb ‘18 Def. income 395 peaked in June 35% 35%  Income from due to low deferred tariff temperatures 16% 16% increase in 2017 338 1,190 Public lighting &  Higher losses shantytowns rate and costs 43% 43% Industries  Higher labor & 3 rd party costs SMEs Q2 17 Q2 18 Q2 17 Q2 18 Q2 17 Q2 18 Q2 17 Q2 18 Residential Number of End-Users News Update In million • New reference price for electricity purchases +3% • Semiannual costs update with deferral 3.0 2.9  Market discipline actions Q2 17 Q2 18 Q2 17 Q2 18 Pampa Energía ● Q2 2018 Earnings Call 9

Oil & Gas Adjusted EBITDA from Continuing Businesses Total Production Performance (Argentina + Abroad) In million AR$ In kboe per day  FX impact 50.7  End of service at 2,069 +31% Medanito La  Better oil sale 46.2 Abroad Pampa in Oct-17 price in US$ 1,583 1.6 0.3  Incl. OldelVal’s  Lower production EBITDA @ 23.1% abroad  Lower accrual of Argentina  Higher gas 45.9 Plan Gas 2 49.1 production at El  End of service at Mangrullo & Río Medanito La Neuquén Pampa in Oct-17 Q2 17 Q2 18 Q2 17 Q2 18 Q2 17 Q2 18 Q2 17 Q2 18 Argentina Gas Production Performance Argentina Crude Oil Production Performance In mcf/d In kb/d US$52.4/bbl US$6.3/MBTU US$5.5/MBTU 7.4 250 247  Price excludes Plan US$63.2/bbl Gas 2 from PEPASA 4.8  End of service at  Price incl. higher Medanito La Plan Gas 2 from Pampa Pampa’s blocks  Higher oil prod.  Lower production at El Tordillo at R.del Mangrullo  Higher production at El Mangrullo & Q2 17 Q2 17 Q2 18 Q2 18 Q2 17 Q2 18 Q2 17 Q2 18 Río Neuquén Average Price Pampa Energía ● Q2 2018 Earnings Call 10

Oil & Gas News Update • 35-year period unconventional exploitation concession at El Mangrullo and Sierra Chata blocks • Cammesa’s new reference price of gas for power generation • Program for the financing of gas winter consumptions to distribution companies Pampa Energía ● Q2 2018 Earnings Call 11

Downstream: Refining & Marketing Adjusted EBITDA Sales Performance In million AR$ In thousand m3  Higher sale prices 427 US$550/m3 US$538/m3 in AR$ 480  Excludes gain from assets’ sale 1% Crude Oil 377 14%  Higher costs of Other distillates 6% 16% 456 imported diesel & 17% Fuel Oil, IFOs & 23% crude oil 16% Asphalts Cont'ing (26) 21% Gasolines 20 47% (29) Discont'd (46) 41% Diesel Oil  Refinor’s EBITDA @28.5% Q2 17 Q2 18 Q2 17 Q2 18  Lower load factor Q2 17 Q2 18 Q2 17 Q2 18 at refinery  Lower diesel imports News Update  Lower demand  Inventory sales at • No news the divest. closing Pampa Energía ● Q2 2018 Earnings Call 12