Adecoagro S.A. (NYSE:AGRO) Q2 2023 Earnings Call Transcript

Page 3 of 3

Operator: [Operator Instructions] Next question is from Daniel Sasson from Itau BBA. Your microphone is open.

Mariano Bosch: Daniel are you there? Daniel from Itau I think is not there. Daniel is saying his mic is not working. You may ask your question. Can you type your question in the prompt.

Vitoria Cabello: So Daniel Sasson from Itau. He is asking, I also have a question on innovative projects. Could you please give us some color if you’re looking into the submarket for ethanol. Also on biomethane, do you see any potential to sell your technology to other mills in the medium to long term in exchange for royalties? And another question regarding your sugar division, given the hike in prices over the last couple of months, do you have plans to increase your sugar capacity? For how long do you think that prices would have to remain this high before we see the industry increasing capacity as a whole once again?

Mariano Bosch: Okay. I will ask Renato to answer the question regarding the sugar division and the expansion that he has already mentioned something, but he can be more precise on this, Renato?

Renato Junqueira Pereira: Daniel, thank you for your question. As I mentioned before, we have plans to increase our sugar production for next year by removing some bottlenecks that we have in the operation of the process. By doing this, we will be able to produce more sugar and if TRS content is lower than the mix in the third quarter, for example, so we have some potential to increase anything [indiscernible] of sugar.

Mariano Bosch: Thank you, Renato. We are hearing some noise on your microphone. So I’m going to take the question on the biomethane and the technology, if that could be sold to third parties on exchange of royalties for that. That is clearly a possibility, but today, we are focusing on the execution of our own project. We have some specifics on our production system that includes this continuous harvest model. So because of these reasons and that we use all the vinasse as a fertilizer — as a biofertilizer and that we are concentrating the vinasse. So there are some specifics to our own project that makes as very profitable on developing these biodigesters on our own production system. So we are going to focus on the short term on our own specific project and develop that with the financing of Finep and all the different alternatives that we have in Brazil and after that, we are going to analyze in more details this possibility of getting some money from the technology.

Then you also asked about these new technologies like the sustainable aviation fuels. This is very interesting. The sustainable aviation fuels comes from oils and from ethanol. So both technologies are things that we are looking at. There are some petroleum companies that have asked about this potential possibility. So we are simply looking at those, understanding how this will impact to this sector and whether there is any specific possibility for us regarding this. So we are knowing what’s going on and analyzing that what we can share with you at this moment, Daniel.

Operator: [Operator Instructions] This concludes the question-and-answer section. At this time, I would like to turn the floor back to Mr. Bosch for any closing remarks.

Mariano Bosch: Thank you all very much for participating and hope to see you all in our upcoming events.

Follow Adecoagro S.a. (NYSE:AGRO)

Page 3 of 3