Daldrup & Söhne AG welcomes BMWK and KfW initiative on insurance solutions
for deep boreholes

EQS-News: Daldrup & Söhne AG / Key word(s): Miscellaneous
Daldrup & Söhne AG welcomes BMWK and KfW initiative on insurance solutions
for deep boreholes

25.03.2024 / 09:48 CET/CEST
The issuer is solely responsible for the content of this announcement.

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CORPORATE NEWS

Daldrup & Söhne AG welcomes BMWK and KfW initiative on insurance solutions
for deep boreholes

  * Insurance solution helps to tap the potential of geothermal energy in
    Germany on a large scale

  * Daldrup has successfully used its own insurance concept for years in use
    for years

Oberhaching / Ascheberg, 25 March 2024 - Daldrup & Söhne AG (ISIN
DE0007830572), drilling technology and geothermal specialist, supports the
initiative of the Federal Ministry of Economics and Technology (BMWK) and
the KfW development bank to establish a state-supported insurance solution
for the so-called exploration risk for deep geothermal wells. The
exploration risk refers to the risk that drilled boreholes in the subsurface
do not reach the temperatures or yields (known as the 'fill') of the
aquifers assumed in advance. This measure is part of the 'geothermal
campaign', which the ministry presented at the end of 2022. KfW loans can
already be applied for the realisation of deep geothermal projects, but the
securing of the discovery has not yet been included.

Andreas Tönies, CEO of Daldrup & Söhne AG, welcomes the BMWK's plans to
insure exploration risks: 'A state-backed insurance solution will remove a
major hurdle for municipal and private clients of deep geothermal projects.
The rapid development of domestic geothermal energy is the decisive building
block for the successful decarbonisation of the heat supply. Relevant
studies assume that geothermal energy can provide up to 40 per cent of the
heat supply. We should utilise this potential quickly. This is because
geothermal heat offers a secure base load supply at the point of
consumption, is virtually emission-free and can be realised in the smallest
of spaces. Although it requires electricity for pumps, it is
climate-friendly and more effective in the long term than any other heating
method.'

Daldrup & Söhne AG already offers customers insurance concepts

Together with well-known partners in the insurance industry, Daldrup & Söhne
AG has developed a concept to cover exploration risks during the
construction of deep geothermal projects. The so-called ART concept
(Alternative Risk Transfer) has already been successfully utilised several
times by customers in Germany and the Netherlands since 2016. The key
feature of the hedging concept is that it can be used to support the
financing of qualified geothermal projects with a high proportion of debt
capital from banks. This means that geothermal drilling projects can often
be financed for project developers and investors right from the start, even
via banks. Daldrup acts neither as a financier nor as an insurer. The
exploration risks are borne by third parties.

Über die Daldrup & Söhne AG

Daldrup & Söhne AG (ISIN: DE0007830572, WKN: 783057) with a company history
of more than 75 years is a specialised provider of drilling and
environmental services and is positioned among the leading companies in
Germany. Its activities are divided into the business areas Geothermal,
Resources & Exploration, Water Extraction and Environment, Development &
Services (EDS). In the Geothermal Energy business sector, drilling services
are provided both for near-surface geothermal energy (especially geothermal
probes for heat pumps), but above all also drilling services for deep
geothermal energy of up to 6,000 m, in order to use the geothermal energy
thus accessible for the generation of electricity and/or heat. In the Raw
Materials and Exploration business sector, the wells drilled by Daldrup &
Söhne AG are used for exploration as well as mineral raw materials and ores
(e.g. copper and gold). This division also provides drilling services in the
context of finding a safe final repository for nuclear waste. The Water
Extraction business area includes well construction for the extraction of
drinking, industrial, medicinal, mineral, boiler feed or cooling water as
well as thermal brine. The business area Environment, Development & Services
(EDS) comprises special environmental engineering services such as the
hydraulic remediation of contaminated sites, the construction of gas
extraction wells for the extraction of landfill gas, the construction of
groundwater quality measuring points or the construction of water
purification plants.

The shares of Daldrup & Söhne AG are listed in the Scale (sub-segment of the
Open Market of the Frankfurt Stock Exchange) and part of the Scale30 Index.

Disclaimer

This publication constitutes neither an offer to sell nor a solicitation of
an offer to buy or subscribe for securities. This publication and the
information contained therein are not intended for direct or indirect
distribution in or within the United States of America ('USA'), Canada,
Australia or Japan.

Press & Investor Relations Contact

Daldrup & Söhne AG

Falk von Kriegsheim

Fon +49 (0)2593-9593-29

Fax +49 (0)2593-9593-60

Bajuwarenring 17a ir@daldrup.eu

82041 Oberhaching www.daldrup.eu


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25.03.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS
News - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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   Language:       English
   Company:        Daldrup & Söhne AG
                   Bajuwarenring 17a
                   82041 Oberhaching
                   Germany
   Phone:          +49 (0) 89 / 45 24 37 920
   Fax:            -
   E-mail:         ir@daldrup.eu
   Internet:       www.daldrup.eu
   ISIN:           DE0007830572
   WKN:            783057
   Indices:        Scale 30
   Listed:         Regulated Unofficial Market in Berlin, Dusseldorf,
                   Frankfurt (Scale), Hamburg, Munich, Stuttgart,
                   Tradegate Exchange
   EQS News ID:    1866343

End of News EQS News Service
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1866343 25.03.2024 CET/CEST