Boralex Stock

Hello, and welcome to Boralex Annual Special Shareholders Meeting. Today's meeting is being recorded. If you are participating in today's meeting and you disclose personal information, this means that you have deemed -- you've been deemed to consent to the recording, transfer, and use of the same. If you disclose personal information of another person during today's meeting, you will be deemed to represent and warrant to Computershare and the corporation that you first obtained all required consents for disclosure, recording, transfer, and use of personal information from all appropriate people for your disclosure.

I'd now like to turn the floor over to Mr. Andre Courville, Chair of the Board of Boralex. Mr. Courville, the floor is yours.

Thank you very much and good morning to all. My name is Andre Courville. I am the Chair of the Board of Boralex. Welcome to our Annual and Special Shareholders' Meeting, the -- probably the last one to our Annual and Special Shareholders Meeting. The meeting will take place in French, but a simultaneous interpretation -- real-time interpretation is available. As you may have noticed when you logged into the platform French, but real-time translation into English is available, as you may have noticed when logging to our platform.

Representative of Boralex management are attending this meeting here with me. I have Patrick Decostre, President and Chief Executive Officer; Philippe Bonin, Chief Financial Officer; Pascal Hurtubise, Executive Vice President and Chief Legal Officer; and Stephane Milot, Vice President, Investor Relations and Financial Planning Analysis.

I will act as Chair of this meeting, and Pascal Hurtubise will act as Secretary. Before beginning, I'd like to ask the Secretary to explain a few of the meeting procedures. I'll also let you know that our partner, Computershare has just opened the vote on the virtual platform. You are supposed to have an iPad for your votes. So Pascal, please, over to you.

Thank you, Andre. As the meeting will be held in hybrid format, and there will be both shareholders with us in the room and others taking place virtually, we would like to remind you of a few rules to ensure that the meeting runs smoothly. Only registered shareholders and duly appointed proxyholders will be able to vote and ask questions at the meeting. Those attending virtually can submit their questions by using instant messaging on the virtual interface. Those present in the room will be able to ask questions during the question period.

As described in our Management Information Circular dated May 1, 2026, duly appointed proxyholders were required to register with Computershare and obtain a control number. All other proxyholders may attend the meeting as guests. When you ask a question, please make sure that you tell us what your name is, whether you're a shareholder or proxyholder and which entity you represent, if any. We will only be answering questions during question period. Questions or comments containing inappropriate language will not be answered.

We will not be repeating questions we've already answered or those that are redundant. Registered shareholders and duly appointed proxyholders attending the meeting virtually may vote on all agenda items by electric (sic) [ electronic ] ballot. Starting now and until we inform you that the voting period has ended. Those present in the room can vote using the electronic tablet provided to them upon their arrival.

It's important to mention that shareholders who have already exercised their voting rights or completed a proxy form do not need to vote again and can simply ignore the ballot appearing on the virtual interface. Registered shareholders and duly appointed proxyholders who participate virtually in the meeting can consult the rules of conduct and procedures of the meeting as well as all other documents relevant to the meeting in the navigation bar of the virtual interface under the documents icon.

Thank you, Pascal. Before beginning the formal portion of the meeting, which will be followed by a question period. Allow me to make a few brief comments. One of the items on today's meeting agenda is the approval of the plan with the arrangement transaction with Brookfield and La Caisse. This transaction is the result of a comprehensive review process that was conducted by a Special Committee of independent directors of the Corporation and is the culmination of extensive negotiations with the Purchaser under the supervision and involvement of the Special Committee.

After careful consideration, and after consulting with outside legal and financial advisers, the Board has unanimously determined that the Arrangement is in the best interest of the Corporation and is fair for Shareholders and accordingly recommends that Shareholders vote in favor of the Arrangement Resolution.

A full description of the information and factors considered by the Board and the Special Committee is set forth in the Circular. These factors include, amongst others, the consideration of $37.25 per share, representing a substantial and compelling premium and is near the upper end of the fair market valuation range determined by Desjardins.

The consideration will be paid entirely in cash, which provides Shareholders with certainty of value and immediate liquidity and removes risks and volatility associated with owning shares of a publicly traded company because as you can see, these days, the stock market is quite volatile, and so you'll have the money. The transaction will provide the Corporation with powerful leverage to accelerate the execution of its 2030 Strategic Plan. Brookfield and La Caisse support the Corporation's strategic objectives.

And the arrangement represents an ideal opportunity for the Corporation to one, pursue the development of its operations, footprint and level of employment in Quebec; two, ensure that the Corporation's head office remains in Quebec in the long term; and three, pursue the development and maintenance of good relationships with its partners, communities, First Nations and other stakeholders. Consideration of current industry, economic and market conditions and trends were also considered.

The Corporation as a private company will no longer be exposed to share price volatility and the associated constraints. When it comes to the election of directors of the company, we present to you this year one new candidate for the position of Director, Ted Di Giorgio, who joined the Board on October 17, 2025. His experience will complement the deep and varied skills already present on the Board of Directors. I'd like to take this opportunity to express our sincere thanks to Alain Rheaume, who stepped down as Chair of Boralex, who is here with us here today.

He stepped down as Chair of Boralex's Board on September 30, 2025. Yes, did we get that date right after serving on the Board for 15 years, including 8 years as Chair of the Board. Our warmest thanks to him for his leadership, his commitment and his dedication. I'd now like to call this meeting to order. The notice of meeting and other meeting documents were mailed to shareholders and are available under the Corporation's SEDAR+ profile.

Accordingly, I will dispense with the reading of the notice of meeting. I ask the Secretary to retain all documents in the Corporation's files. In addition, some people have been identified to move and second each of the motions to be voted on today in order to facilitate the running of the meeting. Mr. Steve Gilbert and Mr. Charles Roussel of Computershare will act as scrutineers of the meeting. They will be tabulating the proxies and votes cast today. I'm advised that their report on attendance is now ready. I would like to ask them to read it to us. Mr. Gilbert from Computershare, please?

Yes, Mr. Chair. The scrutineers under signed from Computershare Inc., would like to confirm that we have at least 7 Shareholders and/or Proxyholders at the meeting representing in person or by proxy, 67,384 shares, so 68.4% of the 102,555,350 shares in circulation for Boralex Inc., and we will submit a report signed by me, Steve Gilbert, and Charles Roussel both scrutineers.

Thank you very much. The first point at the meeting is the consideration to approve the Arrangement Resolution, being a special resolution in respect of the Plan of Arrangement involving Boralex and BIF Thunder Holdings, Inc. or the Purchaser, a newly formed entity to be jointly owned by Brookfield Infrastructure Fund V and La Caisse, the full text of which is set out in Appendix C of the Management Information Circular. Pursuant to the Arrangement Resolution.

Shareholders are asked to approve a statutory Plan of Arrangement under Section 192 of the Canadian Business Corporations Act, pursuant to which the Purchaser has agreed to acquire all of the issued and outstanding shares for $37.25 in cash per share. Upon completion of the arrangement, the Purchaser will acquire all of the issued and outstanding shares and the Corporation will become a wholly owned subsidiary of the Purchaser. If the arrangement becomes in effect, each Shareholder will be entitled to receive $37.25 in cash per share.

A more detailed description of the arrangement as well as the full text of the Plan of Arrangement and the Arrangement Resolution are set forth in the Management Information Circular. In accordance with the Interim Order to be effective, the Arrangement Resolution with or without variation must be approved by the affirmed vote of not less than 66.23% of the votes.

Mr. Gilbert said we are at 68%. We're good. We can continue. so cast by shareholders present in the meeting or virtually or represented by proxy at the meeting and entitled to vote at the meeting, each being entitled to 1 vote per share and 50% plus 1 of the votes cast on the Arrangement Resolution by shareholders present in person or virtually or represented by proxy at the meeting, excluding shares held by La Caisse and by persons described in Items A through D of Section 8.12 of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions.

We encounter these 2 -- we meet these 2 means. In accordance with the Interim Order, we can continue. Each registered shareholder of shares of Boralex at the close of business on the record date, being April 16, 2026, is entitled to vote on the Arrangement Resolution. Unless there are any objections, I will dispense with the reading of the resolution. May I please have a motion in respect to the Arrangement Resolution as set out in Appendix C of the management Information Circular.

My name is Pascal Hurtubise. I'm a shareholder. I move that the Special Resolution in respect of the Plan of Arrangement involving Boralex and the purchaser, the full text of which is set out in Appendix C of the Management Circular dated May 1, 2026, be approved.

Thank you, Pascal.

Can I register -- can a register holder or a duly appointed proxyholder now support this motion? My name is Patrick Decostre. I'm a shareholder, and I support this motion.

Thank you, Patrick. The motion is duly put forward and seconded. The next item is the agenda -- on the agenda is the receipt of consolidated financial statements and the Independent Auditor's Report. The consolidated financial statements and the Independent Auditor's Report for the year ended December 31, 2025, as well as the related Management's Discussion and Analysis are included in Boralex's 2025 Annual Report.

This report is available under the documents icon in the navigation bar of the virtual interface. I'd like the Secretary to file and retain the Corporation's filed and audited consolidated financial statements for the year ended December 31, 2025, together with the Independent Auditor's Report thereon and the statutory declaration confirming that a copy of these documents was sent on May 8, 2026, to the shareholders who requested them. I confirm.

Thank you, Pascal. The third item on the agenda is the election of the 12 candidates proposed by management for election as directors of the Corporation. Detailed information on each of these nominees can be found in the Management Information Circular. Under the Advance Notice Bylaw adopted by the Board of Directors on March 1, 2018, and ratified by the Shareholders on May 9, 2018, a process must be followed and certain deadlines must be met in order to nominate a candidate for a director position.

No other nominations have been made in accordance with this Bylaw, only the nominations set forth in the Management Information Circular will be voted upon. I would therefore ask Pascal to present the proposal concerning the nomination of the 12 proposed nominees.

Mr. Chairman, I propose the nomination of each of the 12 following people for election as directors of Boralex. Mr. Andre Courville, Ms. Lise Croteau; Mr. Patrick Decostre, Mr. Ted Di Giorgio, Ms. Marie-Claude Dumas, Mr. Ricky Fontaine, Mr. Remi Lalonde, Mr. Patrick Lemaire, Ms. Nadia Martel, Mr. Dominique Miniere, Mr. Zin Smati, and Ms. Dany St-Pierre.

Thank you, Pascal. Can a registered shareholder or a duly appointed proxyholder now make a motion for the election of each of these people?

My name is Stephane Milot. I'm a shareholder. Mr. Chairman, I move that each of the 12 candidates be elected as a Director of Boralex and until the next Annual Meeting of Shareholders.

Thank you, Stephane. This motion is supported.

My name is Patrick Decostre. I'm a shareholder. Mr. Chairman, I support this motion.

Thank you, Patrick. The motion is duly made and seconded. We will now proceed with the fourth item on our agenda being the appointment of Boralex auditors for the fiscal year 2026. The Board of Directors, following the recommendations of the Audit Committee, proposes that PricewaterhouseCoopers be appointed as Boralex's independent auditor and that its remuneration be set by directors. I'd now like to ask Pascal to present the motion concerning appointment of auditors.

Mr. Chairman, I move that PricewaterhouseCoopers, a firm of Chartered Professional Accountants, be appointed as the Corporation's independent auditor for the year ending December 31, 2026, and that its remuneration be fixed by the Corporation's Directors.

Thank you, Pascal. Can a registered shareholder or duly appointed proxyholder now support this motion.

My name is Stephane Milot. Mr. Chair. I'm a shareholder, and I support this motion.

Thank you, Stephane. The fifth item on the agenda is the shareholders' advisory vote on Boralex's approach to executive compensation. The text of this advisory resolution is reproduced in the Management Information Circular.

I'd now like to ask Pascal to present the motion concerning the advisory vote on our approach to executive compensation.

Mr. Chair, I move, on an advisory basis and without diminishing the role and responsibilities of the Board of Directors, that the shareholders accept Boralex's approach to executive compensation as set out in the Management Information Circular.

Thank you, Pascal. Would anyone like to second this motion?

My name is Patrick Decostre. I'm a shareholder. Mr. Chairman, I support this motion.

Thank you, Patrick. The motion is duly made and seconded. We are now at the point of the vote. So, if it hasn't already been done, we invite you to vote on all items at the agenda via the electronic platform or using the tablet that you received when you arrived in the room. We'll give you about 30 seconds to exercise your right to vote if that has not yet been done.

[Voting]

Once the electronic voting is complete, the voting page will disappear and your votes will be automatically recorded. I now declare that the voting period is closed for all items mentioned in the notice of meeting. I would now ask the scrutineers to compile the voting results on all agenda items. We will return in a few moments with the scrutineers' report and the voting results.

Thank you for your patience. I will now invite Mr. Steve Gilbert of Computershare to read the scrutineers' report and the preliminary results of the votes.

Thank you, Mr. Gilbert, I confirm that the resolution regarding the arrangement was adopted. Thank you, Mr. Gilbert, I confirm that the arrangement resolution has been adopted.

Regarding the election of directors, I confirm that all 12 candidates were duly elected as directors of the Corporation. I'm also able to announce that the resolution regarding the appointment of PricewaterhouseCoopers as Independent Auditor of the Corporation and the Advisory Resolution accepting Boralex's approach to the remuneration of Senior Management Members have been adopted.

Thank you, Mr. Gilbert. I would like to inform you that the final results of the vote will be available on SEDAR+ as soon as possible. This concludes the formal part of our meeting. Having exhausted all the items on the agenda, I declare the meeting adjourned. Before moving to closing remarks, Patrick and I will proceed to the question period, if there are any questions. We have people online, which can ask questions and people in the room here come to the microphone. You state your name, tell us if you're a delegate, a proxy holder or a shareholder and then ask your question.

I'm told the back that there are no questions virtually. So this means the matters are very clear. Things are unfolding well. So let's continue. Therefore, let's go to the next page. If there are no questions, we'll continue. So closing remarks to our CEO and Chair, Mr. Patrick Decostre.

Good morning, everyone. Board members, former members of our Board, members from management colleagues, former colleagues also, those who participated in the whole history of Boralex, my dear partners, when I say partners, I'm thinking of our advisers and our shareholders. To conclude this important shareholder -- shareholding on this meeting, I'd like to go back to what we've done in the past for Boralex and us our vision.

This exceptional business person believed in renewable energy well before it became obvious to all by drafting this sentence. I was wondering if it was obvious to all. But for us and for Bernard, it was obvious renewable energy was obvious to reach its goals to this new -- the former Cascades Energy the means to achieve this ambition, we had to acquire a publicly traded company, Boralex, initially present in hydroelectricity and with a significant presence in biomass and cogeneration, Boralex quickly expanded into wind energy.

It also extended its reach into France, the United States, and other Canadian provinces. In recent years, our growth has been driven by diversification. We have developed our solar energy business, and we are beginning to do the same when it comes to energy storage. We have also expanded our geographic presence, particularly in the United Kingdom. Boralex's development in both Canada and France is part of the emergence of a genuine industry of independent, private electricity producers in markets long dominated by state monopolies.

In this sense, our journey has gone beyond mere corporation growth. It has also contributed to advancing a new, more diversified, more open and more resilient energy model. That said, the ongoing optimization of Boralex has never been simple. Numerous constraints had to be addressed, health and safety in a new and rapidly growing industry, emerging technologies, the loss of funding required for assets and projects, stakeholder management, not to mention constantly evolving legislative and regulatory frameworks.

These constraints have changed over time, but they remain very real and critical. Today, Boralex has over 130 wind, solar, hydroelectric and storage sites totaling 3.8 gigawatts. It seems that yesterday, we only had 3 or 4 sites and with more 8 gigawatts of projects under development. It is a company that has evolved and reinvented itself and has built relationships of trust with Indigenous communities, municipalities, towns and governments.

And of all Boralex's 850 employees with completely -- with complementary talents who move the company forward every day. For me, that what matters most. The best way to describe their contribution is with a quote from one of our great philosophers. You can't just play your game. You have to play the game and bring your game into the game. I don't know if it was well translated to English, but anyways, they'll get the philosophy behind this.

The sentence is funny, of course, but at its core, it is true because the strength of teamwork isn't simply about rowing in the same direction in the same way. Robots could do that. What matters is that everyone contributes their individual strengths to the common game plan. It's the sum of all these unique and complementary talents that allow us to stand out. Boralex has true value flows in and out of our offices and facilities every day. It has a human base.

I'm talking about committed people who work very hard and enjoy doing just that. Over the years, our teams have constantly demonstrated the agility needed to navigate complex energy, regulatory, and political environments. And often, it must be said changing and unstable ones. In our sector, they are rarely a dull moment. And we've always been able to find solutions to forge our path through instability. This has become a true strength at Boralex.

You can even say that the adaptability is part of our DNA. I'm confident in our teams, and I'm deeply grateful for their continued commitment. It's thanks to them that we've been able to move forward with rigor and ambition and resiliency. Today's shareholder approval of Boralex private equity transaction marks a significant milestone for the company. As a privately held business, Boralex will have greater flexibility to pursue countercyclical strategies. It will be able to develop and acquire assets in target markets where the medium- and long-term outlook is known to be favorable.

In short, we're going to put our energy where it counts and all of this in maintaining our corporate culture, our roots in Quebec and our international presence. Today, what I feel is gratitude toward the people behind this operation, the employees, the Board of Directors, the shareholders who have supported us over the years and who have remained even in the most difficult times, the bankers who have trusted us, our lawyers and other external advisers, our partners in the communities where we operate and of course, our 2 future shareholders rather, who believe in the importance of renewable energy and Boralex's potential to develop it like Bernard believed the 35 years ago.

Thanks to this support, we can approach the future with confidence. It's an ambitious road map. We have the right partners to rewrite it with us. We share the same long-term vision. And we firmly believe that renewable energies are sustainable solutions that will -- that we must invest in to strengthen energy security. Why? Because they are perpetual energy sources unlike fossil fuels, which depend on limited resources.

Historically, access to fossil fuels has often fueled tensions and conflicts. The current international context, particularly in the war in the Middle East serves as a stark reminder of this. This is not the case with locally produced renewable energies, which do not rely on a single limited resource. Quite the contrary, they strengthen our energy autonomy, stability, and resiliency. It is with this conviction that we will together continue to develop the development, yes, of renewable energies, create value and bring to life the vision and values of Boralex's founder.

In a context where energy demand continues to rise, particularly due to the race for AI and where the fight against climate change must be accelerated. We will strengthen security, energy with clean, sustainable and unlimited energy sources. And we do this for the benefit of current and future generations. Thank you.

Well, thank you very much, Patrick. So hello again, everyone. We're almost at the time to have a cocktail together. So once again, I would like to thank you for being with us today for this AGM, which can be described as extraordinary as it marks a new milestone in the history of Boralex. Today, we reached a significant milestone in Boralex's next phase of growth.

Once finalized, this new partnership with Brookfield and La Caisse, 2 long-term investment -- investors with extensive experience in the energy infrastructure sector will provide the company with powerful leverage to accelerate the implementation of its 2030 strategic plan. The company will improve its access to capital and gain greater flexibility to invest and respond to growing demand in its markets.

Since its inception, Boralex has constantly adapted to support its growth. For example, since I joined the Board of Directors in 2019, it has expanded into Canada, the United States and the United Kingdom. It has also developed its presence in the solar energy and battery storage markets. Boralex recently adopted a new strategic plan that is both ambitious and quite robust.

Brookfield and La Caisse believe in this plan and will provide the company with better tools to implement such a plan. With these 2 new shareholders, Boralex will benefit from more stable access to capital and a solid foundation to continue developing large-scale projects that will contribute to energy security. Indeed, the renewable energy sector is booming. Demand continues to grow, driven by factors such as energy security, reindustrialization, economic growth, and the energy transition.

And in the vast majority of markets, despite high volatility, growth prospects remain quite strong. All of this will continue to be done from Quebec, where the company's head office will remain. And Boralex will continue to move forward with the same values that make it unique. Finally, I would like to commend the vision of the Lemaire family, particularly that of the late Bernard and his son, Patrick, who's with us today, who built a company of which Quebec can be very proud.

Of course, I would like to thank everyone who has led Boralex over the years, both in management and on the Board of Directors. I also want to acknowledge the remarkable work of the Boralex teams. They are the ones who keep the company culture alive, who know how to adapt and who enable it to take the major steps in its development. Thanks to the commitment of all these individuals, Boralex has become and will remain a key player in the global renewable energy sector. This ends my formal speech. If you give me a minute, it's not scripted. I may hear about this afterwards. But this is our last meeting. They can say what they like.

Now when we join a Board, we don't know what we're getting into. We joined to accomplish a mission work as a team with the business' management team. And that's what I've noticed since I arrived at Boralex in 2019, a Board that is wonderful with very talented people around the table and a Management Committee under Patrick's Governance. And Patrick, we were well tooled. We had the necessary tool to do work. But it's not always obvious. You're sitting around the table, you're trying to decide this creation, this baby will hand it over to someone else.

So we've had some difficult discussions, which is normal, but I'd like to thank all Board members who support me throughout that period and especially over the last few months as we went through this and to this road map, which led us to here today. We have a few authorities to obtain a few. We're still a Board until everything is finalized. So last few words, so thank you. Thank you for joining this journey with all of you. And thank you also, perhaps I said so beforehand to our legal advisers, to our financial advisers, and to everyone who support us. And we've all missed out on many weekends before we finalize all this, but everyone worked very hard. So thank you and excellent journey to all.

[Statements in English on this transcript were spoken by an interpreter present on the live call.]

Good morning, ladies and gentlemen, and welcome to Boralex Fourth Quarter 2025 Financial Results Conference Call. [Operator Instructions] Please note that the conference is being recorded. [Operator Instructions]

Finally, media representatives are invited to contact Camille Laventure, Senior Advisor, Public Affairs and External Communications at Boralex. Her contact information is provided at the end of the quarterly press release.

And now I would like to turn the call over to Coline Desurmont, Director, Investor Relations for Boralex. Please go ahead.

Thank you, operator. Good morning, everyone. Welcome to Boralex's Fourth Quarter and Year-end Results Conference Call. On today's call, Patrick Decostre, our President and Chief Executive Officer, will provide an update of our business. Afterwards, Stephane Milot, our Executive Vice President and Interim Chief Financial Officer, will present the financial highlights of the quarter. Then we will be available to answer your questions.

During this call, we will discuss historical as well as forward-looking information. When talking about the future, there are a variety of risk factors that have been listed in our different filings, which can materially change our estimated results. These documents are all available for consultation on SEDAR. Mr. Decostre will now start with his comments. Please go ahead, Patrick.

Thank you, Coline, and good morning, everyone. Thank you for joining us today. It's a pleasure for me to present our results and key achievements for the fourth quarter and fiscal year 2025.

2025 was a year of strong execution for Boralex despite greater quarterly volatility in resource generation and unfavorable year-over-year pricing comparison in France. We remain disciplined in our approach focused on our long-term strategy and continue to deliver sustainable growth while reinforcing our leadership in renewable energy.

We have been very active in the fall by submitting projects in 4 different RFPs, 2 in Ontario, 1 in New York State and 1 in the U.K. The demand for renewable remains very solid in our different markets, and we're counting on a very strong pipeline of projects to benefit from for years to come. These results not only reflects the strength and commitment of our talented teams across the organization, but also the resilience of our business model and our strong focus on creating long-term value for our shareholders and partners.

In terms of financial performance. For fiscal year 2025, total combined production was 8% higher than in 2024, but 10% below anticipated production. Wind conditions in 2025 improved compared to last year throughout North America and the commissioning of new projects provided a significant advantage. However, overall wind levels in France and in the United States fell short of our projections.

As a result, our financial performance in 2025 is below our expectations for a combined operating income of CAD 248 million and a combined EBITDA of CAD 655 million, down 2% from 2024. The increase in production was not sufficient to offset the negative impact of lower selling prices in France, as expected, due to lower prices on our short-term contract. Stephane will cover later in more details our fourth quarter results.

On the development side, 2025 was a very good year for Boralex with our portfolio of development projects and growth trajectory now exceeding 8.2 gigawatts. Our installed capacity stands at 3.8 gigawatts, representing an increase of 615 megawatts, driven entirely by organic growth.

During the year, our company entered a new phase with the launch of our 2030 strategic plan, building on the strong foundation we have established over many years and setting a clear path for continued long-term success. Since its introduction, we have made significant progress in our 4 key markets. In the United Kingdom, the commissioning of Limekiln wind farm reflects our expansion in that high potential market. Our position was also solidified with receiving ministerial approval for the 189-megawatt Clashindarroch extension, which includes both wind and battery storage. And with the recent award of a CfD for the Sallachy 44-megawatt Sallachy wind farm through the AR7 process.

Meanwhile, in France, we have consolidated our leadership position with the commissioning of 2 wind farms, Fontaine-Les-Boulans and Febvin-Palfart, totaling 29 megawatts. In addition, Boralex ranked first by cumulative capacity in the most recent French Wind Auction, securing 2 projects with a total capacity of 125 megawatts. In the U.S., we signed 2 contracts with NYSERDA for the Fort Covington and Two Rivers Solar Project, totaling 450 megawatts. Both projects have advanced to the secured stage within the year.

Looking to our progress in Canada. The commissioning of our Apuiat wind farm marks an important step in Quebec renewable energy journey. We are also moving forward with the construction of 2 major wind projects, Des Neiges Sud, for which we secured financing earlier this year, and most recently, Des Neiges Charlevoix.

Finally, we reached an important milestone with the successful deployment of battery energy storage technology. This quarter, we have -- we commissioned the Sanjgon battery energy storage system, Boralex's first operational storage project in North America developed in partnership with the Walpole Island First Nation.

The Hagersville battery energy storage project also began operations in Q4 2025, and we are very pleased to announce the commercial commissioning of the site as we received yesterday the retroactive confirmation from IESO effective February 18. This project is the largest battery storage project in Canada and has been developed in partnership with The Six Nations of the Grand River Partners First Nations. Together, these projects add 380 megawatts to our installed capacity, making us the largest battery storage operator in Canada.

We also highlight the rapid expansion of our storage activities in Ontario and the continued diversification of our portfolio in terms of technologies and also in terms of type of revenues. Both projects demonstrate our team's strong execution and ability to successfully scale new technologies in new regions.

Turning to market updates. Quebec continues to show strong momentum in renewable energy development. Hydro-Quebec has confirmed that it will launch a new call for wind power tenders in spring 2026 for Southern Quebec while launching earlier this week a call for partners for its major development zone. With our sustained presence and ongoing development activities in this market, we are well positioned to capture these upcoming opportunities.

At the federal level, Ottawa has introduced 25 global tariffs on certain steel derived products, including wind turbine towers, while also tightening import quotas. Partial exemptions have been granted and additional carve-outs may follow, particularly for projects already contracted or currently under procurement.

In the United States, NYSERDA 2025 call for tenders closed in December with results expected shortly. Also, NYSERDA has been granted expanded authority to procure up to 5.6 terawatt hour per year by 2029, signaling continued policy support and long-term demand for renewable energy in New York State. In France, after a period of uncertainty, the publication of the third Pluriannual Energy Plan in February 2026 finally sets the country's energy trajectory through 2035. It aims to increase the share of decarbonized energy in final consumption to around 60% by 2030, supported by a mix of renewable energy and nuclear generation. The framework also confirms the relaunch of renewable energy tenders starting in 2026.

I will now briefly review the main variances in our development project portfolio and growth path. Our portfolio of early, mid and advanced stages project now represents 7.2 gigawatt. The change was mainly due to the addition of projects in the early and mid-stage totaling 1,383 megawatt, partly offset by the transition of project to the secured stage and by the discontinuation or sale of other projects. The growth path now consists of 1.1 gigawatt of wind, solar and battery storage projects.

The evolution of the growth path included the addition of new projects in the secured stage, including Fort Covington and Two Rivers Solar Project totaling 450 megawatts, and the 125-megawatt Oxford BESS project. This increase was partially offset by the start of operation of 6 projects during the year, representing 615 megawatts that moved into operation. At the beginning of its new strategic plan, Boralex is very well positioned to deliver strong organic growth going forward in each of its targeted market.

Before handing it over to Stephane, I would like to say a few words on the appointment of Philippe Bonin as the new CFO announced this morning. I'm very pleased to welcome Philippe in the Boralex team. Philippe will bring extensive leadership experience from major companies in a variety of sectors and a strong strategic mindset that will be essential in supporting our 2030 growth ambitions. We look forward to his contribution as we continue to make Boralex evolve to deliver on our key objectives.

I also want to sincerely thank Stephane Milot for his outstanding work during the interim period. His dedication and deep understanding of our business has been invaluable during this transition. On a more personal note, Stephane, I want to express how grateful I am to be working with you. Your truly compassionate and people-centered leadership has made a meaningful impact here at Boralex. You are highly appreciated throughout the company, and we are very lucky to have your ongoing support and great spirit well beyond the scope of your responsibilities. Thank you, Stephane. [Foreign Language]

Hi, everyone. Thank you, Patrick, for your kind words. It has been a great opportunity with a lot of work, but also a lot of fun, I can tell you. So I truly appreciate it and look forward to continuing our journey together. Special thanks to our finance team at Corporate, North America, Europe. You rock, everyone. We did -- what a past 6 months we had together. So you really made the difference. Thank you.

So now back to the quarter. Total combined production was up 17% compared to the same quarter last year, driven by more favorable wind conditions and the impact of newly commissioned sites in Europe and North America. Production was nevertheless 7% lower than anticipated due to unfavorable weather conditions in North America and to a lesser extent, in Europe. Our combined EBITDA amounted to $203 million, up $12 million, and consolidated discretionary cash flows amounted to $56 million, up $9 million compared to the fourth quarter of 2024.

The financial results were positively impacted by better wind conditions and the contribution of newly commissioned sites in Europe and Canada, partially offset by the impact of lower prices of short-term contracts in France.

I will now provide a more detailed overview of our quarterly production. So in North America, total combined production for the quarter was 5% higher than the same quarter last year, but 9% lower than anticipated production. Production from wind assets in North America was 9% higher compared to the same quarter last year. However, production came in 6% below expectations, mainly due to lower contribution from U.S. wind farms.

Production from wind -- not, sorry, from hydro assets was 23% lower than last year and 30% lower than anticipated, mainly due to unfavorable weather conditions across North America. Production from solar assets in the United States was 9% lower than the same quarter last year and 5% lower than anticipated. In Europe, total production was 40% higher compared to the same quarter last year, but 4% lower than anticipated.

Regarding our balance sheet, available liquidity and authorized financing amounted to $681 million as of December 31, 2025, an increase of $158 million compared to December 31 of last year. Total debt stood at $4.4 billion, with project debt accounting for 85% of the total.

I would like to congratulate again our finance team for delivering [ especially ] results this year, securing $1 billion in project financing and closing $250 million corporate financing jointly led by La Caisse and Fondaction in Quebec. So these achievements highlight our ability to structure sophisticated financings on optimal terms, strengthening our financial flexibility and positioning us well to achieve our 2030 objectives.

So lastly, this year was an important one on the CSR front. Boralex was ranked first in the annual Best 50 Corporate Citizens ranking by Corporate Knights, demonstrating our leadership in sustainability among Canadian companies. Other recognitions received this year include an award presented to Boralex France for its diversity initiatives as well as the price awarded to the Hagersville battery energy storage project by the Canadian Renewable Energy Association for the Innovative Canadian Clean Energy Project of the Year. These achievements illustrate Boralex's ability to combine performance, innovation, and lasting positive impact in the communities where we operate. For more information, I invite you to read our 2025 CSR report, which was published earlier this morning along with all the other annual documents that were published.

So in conclusion, 2025 was a successful year for Boralex with the launch of our new strategic plan, supported by the commissioning of large-scale projects in our key markets. And looking ahead, we are very excited for the years to come, and we will continue our efforts to execute on our projects.

We have been active in recent tender processes in Ontario, New York State while carefully preparing for the upcoming 2026 wind power call for tender announced by Hydro-Quebec. So driven by sustained demand for renewable energy, Boralex continues to grow in a disciplined yet ambitious manner, backed by a renewable team that is fully engaged and committed to implement our strategic plan and achieve our growth objectives.

Thank you for your attention. We are now ready to take your questions. Yes.

[Operator Instructions] We are now going to proceed with our first question, and the question comes from the line of Baltej Sidhu from National Bank of Canada.

Looking forward to continue working with you, Stephane. So just a few questions for me here. On the French wind roll-offs, I think the government in France noted that it's going to be focusing on repowering existing wind farms to increase capacity and protect the environment, which we believe is going to be beneficial to your portfolio. So could you just provide a little bit of insight as to how we should be thinking about the French portfolio in that regard and what you've identified to be repowered? I don't know, you have Ally-Mercoeur and also Le Grand Camp. But any other additional details you can provide?

Yes, sure. Indeed, the government is looking to this to favor the social acceptability of project and make them easier to be authorized. Our team, as you know, we have had a recurring strategy before the 2022 crisis, and we have postponed it a little bit because the prices were so high that it was interesting to catch this value during -- up to 2025.

So no, the team -- in between, the team has worked on roughly 450 megawatts of new project reborrowing that will increase. In this 450 megawatts, there is 200 megawatts of new capacity. So it means that we have taken 250 megawatts of projects in operation and we have worked to obtain an authorization on this project. Half of these projects have already been authorized. So we will be ready to bid them in the next RFP when they will come. And typically, the Ally-Mercoeur project is both a repowering and an extension of a project that we put in service 21 year ago, I was 21 years younger at that time and you too, in France of 39 megawatts and now it's 104-megawatt project that will be put in service in 2028. So this is typically an advantage, as you mentioned, for Boralex going forward.

Yes. Just maybe a point on the megawatt that Patrick mentioned. This is like for the next, I would say, 5 years or so, like it will be bid in upcoming RFPs. It's like -- just want to mention that.

Yes. And it's a favorable situation also in terms of return. Obviously, We are developing where we are. Thanks, I would say, to the situation in the U.S., there is a little bit more pressure on the price of the turbine worldwide. So we are able to secure good price in France, as you have seen, around EUR 86 per megawatt hour, the last tender. And the price of the turbine are kept down. So it's a good return that we will have to execute with this project.

Excellent. That's great color. So just sticking on with France and the other side of the equation towards pricing. We're looking at merchants and recontracting prices that you've noted. Do you see them coming in line with your expectations? And how do we think about the cadence of recontracting those assets that are now coming off those short-term contracts?

Essentially, in France, we have a policy of what we call the reference hedging path. So we are fixing the price every year in advance, up to 3 years in advance. And the percentage of that is hedged is increasing the soon -- the closer you are to the gate closure of the year before. So that is exactly what we're doing.

So we are -- you have to understand that our team is always in the market on this with -- this is always pay as produced contract also. We are not taking volume commitment on that, and they are comparing to the possibility also to go with the brownfield PPA. But you understand that 250 megawatts of project that will be repowered in the next years is part of this portfolio of projects that are emerging today because it was the project -- the contract we early terminate in 2022. So that is another avenue for this project is to be increased and securing a 20-year contract with EDF again.

But in the current context, it's for sure that the priority is to go with the EDF contract so to build these projects. But we did, as Patrick mentioned, we had for specifically those projects, but not project, but assets where we exited the contracts, we made a lot of money in the past few years. So that was a good decision to push the repowering forward.

Great. And then just one more for me here. Could you give us an update on your 2 U.S. solar farms that I think has secured a contract, Fort Covington and Two Rivers that Patrick had touched on in the prepared remarks. So what conditions do we need to see for those 2 projects products to cross the line towards FID and if there's any expectations on kind of timing, if you can give any details on that?

Yes. Essentially, on these projects, we are working on finalizing the investment decision in terms of finalizing negotiation with model suppliers, finalizing negotiation with a BoP supplier and engineering at the same time to optimize them. So the team is working hard on this. And yes, we will provide information when we would be ready to take this investment decision.

We are now going to proceed with our next question, and the questions come from the line of Sean Steuart from TD Cowen.

A couple of questions. Patrick, hoping you can give some perspective on the upcoming wind tender from Hydro-Quebec, whether it's partnering with them on larger scale projects or advancing your own projects. Can you give us a sense of the magnitude you anticipate participating or at least submitting into that tender and expected timing on -- the clarity on timing with respect towards -- with respect to that tender.

Yes. There is 2 things. There is one for large-scale project in Hydro-Quebec as open one area, which is called Wocawson for a partnership selection process. This is -- we are -- Boralex meets all the minimum eligibility criteria for the selection. As you know, we are a partner with Hydro-Quebec since years. And so we know we have good communication with them. We know how to work with them. And our team is presently looking to all the RFP requirements, the governance structure and how we can play this with them. This is a partnership between Hydro-Quebec, Alliance de l'Est, and IPP, and it confirms what Hydro-Quebec has said 2 years ago that for the large project, they will go with IPP. So that is, I think, the good news because I know that in the market, there was a question about this. So this is confirming what we are seeing and what Hydro-Quebec has been saying for the last 2 years that there will be a position for IPPs there. So that's one thing.

The other point is they mentioned that there will be consolidation for a call for tender for a minimum of 150-megawatt size of project in Southern Quebec, and this is typically aligned with the Boralex development footprint and experience and the relationship that we have with indigenous community. And the consultation is now. The bid are due in February '27, and the award is scheduled for August '27 next year. So this is also something that is -- it will be, again, long-term contract. So very classical project in Quebec for Boralex, and we will be there to bid.

Okay. And then maybe a question for Stephane. As you work to move more projects into the secure development pipeline. Can you comment on the funding platform? Any thoughts towards incremental asset recycling or refinancing initiatives that you might have in your thought process towards bolstering liquidity?

Yes. So it's really aligned with the plan we presented in last June. So asset recycling, not necessarily in the near future, but they're in the plan. And also, like you've seen with the debt with La Caisse and Fondaction. So corporate debt, asset recycling and potential refinancing, we're working on a large one in France and always looking at other opportunities to get better conditions or flexibility in terms of financing. So pretty much in line with plan.

[Operator Instructions] We are now going to proceed with our next question, and the questions come from the line of Nelson Ng from RBC Capital Markets.

My first question just relates to Hagersville. So congrats on commissioning the project. I just want to clarify, I guess, given that it was operating since December, but only commissioned last week, will that project make a full quarter financial contribution in Q1?

Yes. We got some very limited revenue in the fourth quarter but it will kick in starting more at, say from mid-February with more regular revenue stream. So you can, in your modeling, take this data, the kind of a date to start applying the contribution that we've discussed with you in the past.

Okay. Perfect. And then just looking at that growth path chart and just looking at some of the bigger projects on the secured list. So I think you were talking about the New York solar projects earlier. The plan is to complete those projects by -- or in 2028, right?

Yes. So we're still working on with that schedule in mind. Yes. So we're going as fast as we can.

Okay. And then for the Oxford battery project, is that also a 2028 completion date project?

No. That's a 2027, if I recall.

Mid '27, yes. Yes, we obtained all the authorization. There was some final authorization that should be obtained and we were planning to obtain them in March. And finally, in February, we get everything this year. So we are -- the kickoff meeting of the project was this week.

It's going really well, financing also, everything is in line. It's going to be -- it's all green, if I could say, on this one.

Great. And then one other thing. So you were talking about recontracting in France, but I know in Texas and New Mexico, I think there are a few projects that might be selling power on a merchant basis. And I know, I guess it's a joint decision given that you own 50% of the assets. But given the demand for power in that region, like what are your thoughts on whether it's recontracting those assets, repowering them?

I will -- just one thing before -- go ahead, Nelson.

Yes. No, I'm just thinking in terms of from a repowering perspective. Like time is -- I think, time is running out in terms of prequalifying them for tax credit. So can you just talk about recontracting, repowering and some of the considerations you're looking at?

Yes. I will let Patrick answer this one. But just before, you talked about recontracting in France. It's really more like our typical repowering project that we're looking at in France, which is really like, you know, it's like almost -- it's a rebuild. It's not a repower like it could be seen in the U.S. So it's a new project where we're looking at it, and we are taking into consideration the fact that when we repower or rebuild, we remove the -- what we had in place and when we looked at returns, it's a net return on the overall project. So I just want to make sure everyone on the line get this part.

As far as U.S. is concerned, we're not in a position right now to indicate exactly what's going to be our strategy there, but we're working on different scenarios.

Okay. Got it. And then just one last question. You mentioned the short-term contracts in France in terms of the pricing headwind. I think I was doing the rough math, and I think the realized European wind price year-over-year was down about 22%, and I presume those short-term contracts are the key driver. But when you look forward into 2026, is there a rough expectation in terms of what the realized wind price would be in terms of -- like is it a smaller step down in '26?

Yes. I think as you know, all the pricing effect, Nelson, has different parts to it. For merchant, I think if you look at the forward curves, it will give you an idea. But as far as contract is concerned, we still expect in 2026 a negative but much less important negative effect than what we got in 2025, but still a negative variation because of the way we have set up the contracts when we exited contracts in end of 2022. And also the fact that we had a window, as you know, to like the 18 months measure that we could benefit from. So it's all that, that we got the benefit in a few years back and then now it's like unwinding. So 2026 will be the last year where we'll get this effect. After that, it's going to be more back to normal.

There are currently no further questions at this time. So I'll hand back to you for closing remarks.

All right. Let's go, Coline.

Yes. Thanks, everyone, for your attention. Our next conference call to announce first quarter results will be on Thursday, May 14, 2026 at 9 a.m. Have a nice day, everyone, and a nice weekend.

Thank you, everyone.

Thanks.

This concludes today's conference call. Thank you all for participating. You may now disconnect your lines. Thank you.

Good morning, ladies and gentlemen, and welcome to Boralex Third Quarter 2025 Financial Results Conference Call. [Operator Instructions] Also note that the call is being recorded. [Operator Instructions] Finally, media representatives are invited to contact Camille Laventure, Senior Adviser Public Affairs and External Communications at Boralex. Her contact information is provided at the end of the quarterly press release.

I would now like to turn the conference over to Coline Desurmont, Director Investor Relations for Boralex. Please go ahead.

Thank you, operator, and good morning, everyone. Welcome to Boralex Third Quarter Results Conference Call. On today's call, Patrick Decostre, our President and Chief Executive Officer, will provide an update of our business. Afterwards, Stéphane Milot, our Interim Executive Vice President and Chief Financial Officer, will present the financial highlights of the quarter. Then we will be available to answer your questions. .

During this call, we will discuss historical as well as forward-looking information. When talking about the future, there are a variety of risk factors that have been listed in our different filings which can materially change our estimated results. These documents are all available for consultation on SEDAR. Mr. Decostre will now start with his comments. Please go ahead, Patrick.

Thank you, Coline, and good morning, everyone, and thank you for joining us today. It's a pleasure for me to present our results and achievements for the third quarter of 2025. The total combined production for the third quarter increased by 9% compared to the same period of 2024, primarily driven by the contribution of newly commissioned sites, in Europe. The third quarter clearly reflects the benefits of our diversification by technology and region. While wind conditions in North America had been compensating for unfavorable conditions in France since the beginning of the year, the situation completely changed in the third quarter. Conditions in France while still below expectations were more favorable than in North America.

Combined EBITDA was $108 million, down $1 million compared to Q3 2024. The increase in production was not sufficient to offset the negative impact of lower prices of short-term power purchase agreements in France. During this quarter, we continued to make progress across our development project portfolio, adding 395 megawatts of new projects. Additionally, for convicted solar project in the United States reached the secured stage, adding 250-megawatt AC to our growth path. This quarter is also marked by a significant headway in construction and commissioning of major projects in Canada. We now have 3.4 gigawatts of assets in operation in our 4 key geographies and 558 megawatts of projects under the construction and ready-to-build stage.

In particular, the commissioning of the Apuiat wind farm co-developed with the new communities is a key strategic milestone for Boralex. Apuiat is the first wind farm on the Cote-Nord region and a powerful symbol of the revival of Quebec wind energy. As we wrap up our 2025 strategic plan and look ahead to 2030, Apuiat illustrate our vision of sustainable growth and our deep commitments to the energy transition. We would like to thank our team for their resilience, adaptability and focus that were key to deliver this landmark project. During this quarter, we also continued to make progress with the construction of our projects in Canada.

In Ontario, the construction of the 2 battery storage projects, Hagersville and Tilbury is advancing as planned, with commissioning scheduled by the end of the year. We were thrilled to share that Hagersville was recognized by the Canadian Renewable Energy Association, CanREA with the innovative Canadian Clean Project -- Power Project of the Year award. This recognition reflects our commitment to innovation and active contribution to the energy transition. It is part of a series of acknowledgment that highlight our dedication to sustainable development, which remains at the core of our business strategy. The Des Neiges Sud project is also progressing well as we have started building the wind turbines foundation at the site in recent weeks.

Turning to market updates. Quebec continues to show strong momentum in renewable energy development amid rising pressure to meet growing needs energy needs. The upcoming Plan de gestion intégrée des ressources energétiques expected in April will provide a detailed assessment of days needs and could introduce more ambitious targets potentially requiring Hydro-Quebec to revise its capacity expansion plans upwards. At the Federal level, the latest budget introduced a 15% clean electricity investment tax credit equivalent to the 30% clean technology investment tax credit already available further enhancing the investment landscape for future projects.

In Ontario, the ISO launched its long-term 2 RFP, LT2 to support new energy and storage capacity. Boralex submitted a proposal during the October energy window and is now advancing preparations for the second phase. The December capacity window further strengthening our position in this key growth market. In the United States, NYSERDA along its 2025 renewable energy solicitation with final results expected in February 2026. Boralex is preparing to submit bids supporting its expansion in this market.

In the United Kingdom, the United Kingdom remains a strategic market for Boralex with strong growth ambitions over the coming years. The AR7 procurement round is currently open with submission deadlines scheduled between November and January. Our U.K. team is actively preparing to submit competitive bids. In France, Boralex participated in the onshore wind call for tender last July, and we are pleased to announce that we were awarded 2 projects totaling 125 megawatts, placing us first in cumulative capacity. Across the tender, 42 projects were awarded out of 90 submission at an average tariff of EUR 86.6 per megawatt hour. This results confirm our strong position in the French onshore wind market and highlights our ability to deliver ambitious project under competitive conditions. Contract awarded to Boralex will benefit from above the average prices confirming the excellence of our bidding teams.

I will now briefly review the main variances in our development project portfolio and growth path. The decrease in our development project portfolio was mainly due to the transition of Fort Covington solar project to the secure stage. The disposal of our portfolio of small solar project in France and the revision of the installed capacity of a battery project in Ontario, partially offset by the addition of 395-megawatt of wind and solar projects in the early and mid-stage. In total, our portfolio of early, mid- and advanced stages project now consists of projects totaling more than 7 gigawatts of wind, solar and battery storage projects.

In the third quarter, our growth path represents a capacity of 1,030 megawatts, reflecting a net increase of 147 megawatts compared to the previous quarter. The transition to the secured stage of Fort Covington solar project in the United States partially offset the commissioning of Apuiat in Canada. In addition, the [indiscernible] repowering wind project in France with a total planned capacity of 14-megawatt move from the secured stage to the construction or ready-to-build stage during this quarter.

This completes my part of the presentation. I will now hand over to Stephane, who will provide a more detailed overview of our financial results. I will be back later for the Q&A session. Stephane?

Thank you, Patrick, and good morning, everyone. So thanks for being on the call with us. I understand there are a lot of companies reporting today, so very busy day for all of you. As mentioned by Patrick, the regional contribution to the production and overall results changed in the third quarter compared to the trend we had observed in the first half of the year. Total combined production was up 9% compared to the same quarter last year, mostly driven by the impact of newly commissioned facilities in Europe.

It is important to consider that production in the third quarter of 2024 was weaker than expected, which explains why the year-over-year comparison looks good. While when we compare to the anticipated production of the third quarter of 2025, the production is 13% lower. This decrease was due to unfavorable weather conditions in North America for wind and hydro and to a lesser extent, for wind in Europe. Our combined EBITDA amounted to $108 million down $1 million, primarily due to the impact of lower prices of short-term contracts in France, partially offset by the commissioning of new assets. Discretionary cash flows amounted to $9 million, down $7 million compared to the third quarter of 2024.

I will now provide a more detailed overview of our quarterly production. Production for wind assets in North America was 8% higher compared to the same quarter last year. However, production came in 16% below expectations, mainly due to lower contribution from Canadian wind farms and the delayed commissioning of the Apuiat project. Production from hydro assets was 15% lower than last year and 16% lower than anticipated, mainly due to unfavorable weather conditions in the United States. Production from solar assets in the United States was 3% higher than the same quarter last year, but 9% lower than anticipated. In Europe, total production was 19% higher compared to the same quarter last year, but 9% lower than anticipated, mainly due to unfavorable condition in France and a longer-than-expected outage at a Limekiln wind farm in August to undertake plan worked on the transition line.

Regarding our balance sheet, available liquidity and authorized financing totaling -- total, sorry, $811 million as of September 30, an increase of $288 million compared to the December 31 of last year. Total debt increased to $4.4 billion, with project debt accounting for 87% of the total. During the quarter, we continued to advance our financing strategy in support of our growth initiatives and capital diversification. In France, we have repaid our construction facility following the previously announced incremental tranche of $164 million added in July under the term loan of 2 wind farm portfolios. Finally, on the CSR front, as we advance our 2030 strategic plan, sustainability remains central to our operation from workplace culture to community engagement.

So this third quarter we made tangible progress across our strategic pillars, sorry, including project development, commissioning and partnership. In a dynamic market environment, our teams continue to execute with discipline and determination. We submitted wind projects under Ontario's LT2 request for proposal in October and are actively preparing for upcoming procurement rounds in the U.K., Ontario and New York. With a strong development project portfolio growing demand across our markets and solid financial flexibility, we are well positioned to deliver on our strategic objectives and create long-term value for investors.

This completes my part. I will now hand it to the operator for the question period.

[Operator Instructions] And the questions come from the line of Baltej Sidhu from National Bank of Canada.

So just on the France strategy, could you provide any incremental updates or share your current view thinking regarding the French strategy, particularly in relation to contracts rolling off and your views around recontracting, repowering their potential sell downs, which is notable in light of the announcement from yesterday?

Yes. Essentially, the -- all the decrease in the end of the contract that we signed in 2022 was known and scheduled. And then we have a clear path and strategy to say we want to contract, the price going forward, a certain percentage of our generation, expected generation with a certain percentage as close as we are to the real time, say, okay. So 2 years in advance or 3 years in advance, we start contracting and then this percentage increase. So we are catching the right price and not speculating on the price. So that is one side for the -- in operation.

What we have to and you have noticed that we have a repowering strategy that we had before in 2020 and 2021 that we put on the shelf a little bit during the high price period and the high-price window and now we have that again. So for example, 1 of the 2 projects that we just got awarded is the Ally reporting was an increase from 39 to 104-megawatt project with a great price for the next 20 years. So this is part of also of our strategy in France. And considering the limited amount of new project authorization, the repowering strategy is a great strategy that we will continue to have in France to increase the revenue and secure them on the long term. If I could add...

Go ahead, Baltej.

Yes. Sorry. So I just wanted to add, I think France still has a goal of embedding I think 10-gigawatts of onshore wind capacity through 2028. So just given the contracts are rolling off and to Patrick's comment that it's more beneficial to repower just given the plan and such that we could probably see Boralex looking at more repowering opportunities in that regard. Would that be a fair assumption to see?

Yes. And on top of this, it is clear that there was some I would say, instability in the French government the last year. And now we have beginning of the week when the Prime Minister and the Minister of Energy declared the award of the last tender. They confirm that the next subject on their file is -- on their desk is the [indiscernible] the planification of the energy, and this is needed for renewable industry, but also for the nuclear industry. So there is a lot of pressure in France to release these documents and that is expected in the next weeks or months. You mentioned during the fall. So the fall is not long.

And also, Baltej it's -- as you know, it's taking a bit longer now to COD project in France. So it's sure that we have a very strong pipeline. But the year 2026, 2027 are, I would say, lower than what we would like them to be in terms of addition of capacity, but it's ramping up after. So there's 2 things there. We will work for sure, on efficiency improvement during that period. And also, we believe that the situation in France could eventually lead to potential transaction. We'll be looking at this market carefully knowing that for however, that as we've talked in the past, that U.K. and U.S. are 2 areas where we want really to focus in terms of M&A, but France is -- could become an interesting region if the market remains tough.

Great. That's great color. And just another one for me, if I may. So it's great to see the 250-megawatt for Covington solar project advance to the secured stage in the U.S. Could you share any updates on the other project, the 200 megawatts for [ 2 Rivers ] and how discussions are progressing there?

Yes, they are really next -- going ahead next, it's the fact that on the cut of the quarter for Covington make it probably next month -- next quarter, sorry, [ 2 Rivers ] will do it again. So it's -- we're really working close to close on this project and consider them to take a financial -- and final investment decision beginning of next year. The team are working hard on that.

The questions come from the line of Nelson Ng from RBC Capital Markets.

I had a quick follow-up on your French project commentary. So I think, Patrick, you mentioned that one of your wind projects will be repowered to the size of 104 megawatts. So that's pretty big for a wind project in France. I think they're usually a lot smaller. Like are -- is the -- are the size of your developments in France increasing? Or was this more of a one-off size?

Thank you, Nelson. It's a good question. In 2005, Ally was the largest site in France for all the market, and it seems that it will continue. So it's a repowering and expansion of the project. We are changing -- we are today distribution connected. We will be transmission connected. So it's a place where there is room for reporting an extension. But it's clear that we're working sincere to increase the size of the project. And that's why, for example, we have sold some small solar project, and we are always looking to increase the size of the project. So this is something that is on our side, too.

And then just switching gears a bit. So you announced that you've entered into a 5-year contract with the -- for the 50-megawatt Milo wind project in New Mexico. I think when you bought the portfolio in New Mexico and Texas, a few other projects were either merchant or going to be merchants in a few years? I think is it [ Harrier and LongHorn ]? Are those facilities merchants? And are there plans to contract them under like medium-term contracts? And then just finally, could you just talk about the market? I presume power prices have moved higher or demand has moved higher given that there's a lot of data center talk in that region?

Yes, that's -- you're right, and we have some inbounds on customers and potential partners on this project, too. So the team is working to like anywhere in Boralex to optimize the asset value. And so this is the case in New Mexico and ERCOT, generally speaking.

[Operator Instructions] The questions come from the line of Mark Jarvi from CIBC.

Patrick, you brought up the Quebec situation maybe just update us in terms of when you think the next RFPs come and just sort of the status of involvement potentially for Boralex on these gigawatt scale wind cooperative projects?

Yes. Essentially, we are -- there is some, say, rumors in the market that it could be soon, but we will see what Hydro-Quebec and the government will decide going further. It's sure that there is some interesting factors somewhere, which are the fact that the export will start in New York next April. I think the export into Massachusetts will start in December. So all this will increase the demand somewhere in Quebec. So we are doing our job as much as possible to be prepared to be the good partner of Hydro-Quebec on this project, and we're also preparing us if there is an RFP for 350 and under RFP that Hydro-Quebec will do the classical procurement process. We are also ready to bid project there. So we are working on this.

If you had to say the probability of securing another contract in Quebec is it more likely on the bilateral negotiations or through the Costco RFP process?

Yes. I think what I'm saying is I am asking the team to work on both scenarios because it's the best way to increase the probability, whichever scenario will come. But I cannot tell you which scenario Hydro will decide in terms of first procurement and afterwards, if we will be competitive on both, but we're trying to be competitive in both scenarios. And due to all the demand in Quebec, I think potentially both scenario will come. So we should be prepared for both.

Okay. And then with the budget earlier this week in Canada, there was a mention of potentially introducing domestic content requirements for eligibility for the tax credits. Do you see that as a risk? Or do you think being a company that's developed in Canada for a long time gives you an edge on that in terms of procurement versus newer entrants to the Canadian market?

Yes. This is something we are [ wanting ] to ring, but we're not seeing that as a big risk presently.

We have no further questions on the phone line. So I'll hand back to you for any webcast questions that you may have.

Good. Maybe a point before we -- so is there another question?

No, we have no questions.

Okay. Maybe a point before Coline doing the closing remarks. I just want to remind everyone that we -- there's going to still be a price effect in Europe for the fourth quarter and -- but also there's going to be contribution from COD site, Hagersville, Tilbury and Apuiat so just is there. It's going to be positive and a negative outside of the normal weather conditions and as always, December -- well, Q4 is a strong period for us. So we hope that the weather will be on our side for this quarter. Thank you.

Well, thank you, Stephane, and thanks, everyone, for your attention. Our next conference call to announce fourth quarter results will be held on Friday, February 27, 2026 at 11:00 a.m. Have a nice day, everyone, and a nice weekend.

Thank you.

This concludes today's conference call. Thank you all for participating. You may now disconnect your lines. Thank you.