Energy Co Of Minas Gerais (NYSE: CIG)

Companhia Energética de Minas Gerais – CEMIG is a state controlled mixed capital company engaged in the generation, transmission, distribution and sale of energy, gas distribution, and the provision of energy solutions. The company operates primarily in the state of Minas Gerais, Brazil, and is one of the largest electricity generation groups in the country by installed capacity. Its activities span hydroelectric, solar and wind power generation, high voltage transmission networks, electricity distribution to millions of consumers, and natural gas supply through its subsidiary Gasmig.

CEMIG generates revenue mainly from the sale of electricity to regulated and free customers, from charges for the use of its distribution system (TUSD), from transmission services, and from the sale of natural gas. Additional revenue comes from energy solutions such as distributed generation projects, energy efficiency services, and cogeneration, as well as from energy trading activities conducted through its subsidiaries. The company also earns income from construction-related revenues and financial components associated with its concession contracts.

The company operates through the following segments: Generation, Transmission, Distribution, Gas distribution, and Energy solutions.

• Generation: This segment produces electricity from hydroelectric plants, solar farms and wind farms, with a total installed capacity exceeding 4,600 MW as of December 2025, and includes large hydro facilities such as Belo Monte, Teodomiro, Nova Ponte, Irapé and Três Marias.

• Transmission: This segment transports electricity via a network of high voltage lines and substations, managing approximately 3,147 miles of transmission lines owned by CEMIG GT and providing services to generators, distributors and free customers under regulated tariffs.

• Distribution: This segment delivers electricity to end‑users through a low and medium voltage network, serving about 9.6 million residential, commercial, industrial and other customers in Minas Gerais and transporting power to free customers across Brazil.

• Gas distribution: Through its subsidiary Gasmig, this segment acquires, transports and distributes natural gas, supplying roughly 2.8 billion cubic metres per year to more than 100,000 customers, including industrial plants, commercial establishments and residential households across Minas Gerais.

• Energy solutions: This segment, operated by CEMIG SIM, focuses on distributed generation, energy efficiency, account services, cogeneration and related activities, offering solar photovoltaic installations, leasing arrangements and energy management services to a growing base of over 35,000 customers.

Within Brazil’s electric power industry, CEMIG holds a leading position as one of the top generators by installed capacity and maintains a dominant share in electricity distribution in its home state, where its market share historically reached 96%. The company competes with other major utilities such as Eletrobras derived entities, Neoenergia and CPFL, while its integrated presence across generation, transmission, distribution and gas provides a competitive advantage in terms of operational synergies and regulatory stability.

CEMIG serves a broad customer base that includes residential households, commercial enterprises, industrial plants and rural consumers in Minas Gerais, as well as free market electricity traders and generators throughout Brazil. Its natural gas business supplies industrial users such as steel and cement factories, commercial establishments and residential households. Among its largest industrial customers are SAMARCO, APERAM INOX AMERICA DO SUL, CBMM – CIA BRAS DE METALURGIA E MINERAÇÃO, STELLANTIS (FIAT) AUTOMÓVEIS, USIMINAS, CSN LAFARGEHOLCIM, MOSAIC FERTILIZANTES, VALLOUREC TUBOS, ANGLOGOLD ASHANTI CSM and MINASLIGAS.