REN aims to be one of the most efficient energy transmission operators, while creating value to the parts - shareholders, workers, clients, local communities, partners and suppliers - in a sustainable development framework. We intend to achieve this goal by complementing our focus in Portugal with the pursuit of opportunities abroad, while excelling in the operational management of the assets under our control.

Portugal will remain our core market, where we will continue to invest to address Portugal's power and gas infrastructure long-term needs. This investment is complemented by a permanent drive to improve performance and quality of service, in order to provide a reliable, secure and efficient service at the lower possible cost for the country and the consumers. It was for this purpose that we acquired REN Portgás, the second largest natural gas distribution network in Portugal, which focuses its activity on the development and exploitation of the natural gas distribution network in the northern coastal region of Portugal.

To do so, we will further promote the integration of electricity transmission, gas transport and facilities management, streamlining our organization and striving for the identification and implementation of cost efficient measures and processes. Although REN's efficiency already compares favorably against its peers, our push for operational efficiency will continue to be key driver of our activity.

Furthermore, we will ensure the sustainability of our business by investing on R&D and technological grid performance and reliability, and by promoting environmental friendly actions at all levels of the organization.

To complement our focus in Portugal, REN will implement a clear internationalization agenda. An imperative given the challenging domestic environment, it is an opportunity to find additional growth options and lower regulatory and financial risk.

This opportunity is reinforced by the recent entry in our shareholder structure of two strategic partners (State Grid and Oman Oil), following the re-privatization process. Both companies are important players in the global energy sector and both are deeply committed in supporting REN's plans. Additionally, the levels of excellence achieved running our domestic operation led to an unique and valuable set of skills. We highlight REN's full-scope transmission expertise (e.g. integration of gas and electricity assets, both as system and network operator and integration of intermittent energy sources), and REN's above average operational efficiency and superior technical performance, where it ranks among the best TSO's worldwide.

We will implement our internalization strategy in a prudent and gradual way, ensuring that the pursued opportunities fit with REN's strategy and values, and create sustainable value for our shareholders. Additionally, this process will always take into account REN's credit metrics and funding availability, as we remain committed to maintain our solid company and low risk profile. It was with that rational that in February of 2017, REN acquired a 42.5% stake in Electrogas, a Chilean company that owns a pipeline of great relevance in central Chile. On the 1st of October of 2019, REN acquired the entire share capital of Transemel. Predominantly located in northern Chile, Transemel operates 92 km of power transmission lines and five substations, with approximately 93% of its revenue coming from regulated activities.

The result will be a company that, although still focused and determined to provide a world class service in Portugal, will explore new opportunities abroad, enabling it to diversify revenues streams, lower geographical, regulatory and financial risk and continues to create shareholder value.