Entry into the Renewable Energy Power Supply Business in the Philippines
–Providing Solar Power with Zero Initial Investment in Partnership with the Country's Largest Electric Utility–

Jun. 23, 2026

JFE Engineering Corporation

JFE Engineering Corporation (President and CEO: Kazuyoshi Fukuda; Head Office: Chiyoda-ku, Tokyo; "JFE Engineering") has decided to enter the solar PPA service (renewable energy power supply)^*1 business in the Philippines.
In conjunction with its entry into this business, JFE Engineering plans to establish a joint venture company, MSpectrum Taiyo Inc. ("Project Company"), in July 2026 together with MSpectrum Inc. (President and CEO: Joy P. Mendoza; Head Office: Pasig City, Metro Manila, Philippines; "MSpectrum"), a group company of Meralco, the largest electric utility in the Philippines, and Tokyo Century Corporation (President and CEO: Koji Fujiwara; Head Office: Chiyoda-ku, Tokyo; "Tokyo Century"). The Project Company will primarily provide solar PPA services to Japanese-affiliated companies operating in the Philippines.

In the Philippines, electricity demand is increasing in line with accelerating economic growth. The Philippine government has established an energy roadmap targeting an increase in the share of renewable energy to 35% by 2035 and more than 50% by 2040, driving growing demand for the adoption of renewable energy. Through its partnership with MSpectrum, this business will leverage the strengths and expertise of each company to meet customers' decarbonization needs, particularly those of Japanese-affiliated companies operating in the Philippines.

In addition to its track record of providing more than 100 MW of solar PPA services in Japan, JFE Engineering has completed more than 30 water and wastewater treatment facilities in the Philippines, including the upgrade project for La Mesa Water Treatment Plant 1^*2 and the construction of the Talayan Sewage Treatment Plant^*3. Most recently, the Company was awarded a major bridge rehabilitation project involving two bridges located on key roads in Metro Manila^*4. Leveraging the local network cultivated through these projects, JFE Engineering will work with MSpectrum and Tokyo Century to pursue customer development and project advancement.
JFE Engineering aims to expand into the power sector in the Philippines, using this venture as a platform.

As the first project, the new venture plans to take over the solar PPA service project for the second plant of Philippine Yakult, located on Mindanao Island^*5. MSpectrum has already signed a contract for this project and construction is currently underway.
This project is being implemented as part of the Yakult Group's initiatives under the Yakult Group Environmental Vision, with the aim of reducing greenhouse gas emissions and expanding the use of renewable energy. Under this vision, the Yakult Group is promoting decarbonization at its manufacturing sites worldwide, including in the Philippines, and this project is positioned as one of its concrete initiatives.

By providing this service to companies seeking to expand the use of renewable energy and reduce CO₂ emissions, JFE Engineering and the Project Company will contribute to the Philippines' decarbonization and the realization of a sustainable society.