Pampa Energía S.A. announces results for the quarter ended on March 31, 2018

BUENOS AIRES, Argentina, May 11, 2018

Main Results for the First Quarter 2018 ('Q1 18')¹

In order to objectively report the financial performance of each business segment, as from 2018 and for the comparative periods the corporate expenses (selling and administrative expenses, as well as the financial results), which used to be reported under holding and others, will be redistributed among the operating segments.

Consolidated net revenues of AR$19,401 million², 74% higher than the AR$11,140 million for the first quarter 2017 ('Q1 17'), explained by increases of 109% in power generation, 105% in electricity distribution, 31% in oil and gas, 5% in petrochemicals and 102% in holding and others segment, partially offset by 37% of higher eliminations as a result of intersegment sales %.

• Power Generation of 4,289 GWh from 11 power plants
• Electricity sales of 5,550 GWh to 3 million end-users
• Production of 45.9 thousand barrels per day of hydrocarbons
• Sales of 87 thousand tons of petrochemical products

Consolidated adjusted EBITDA³ for continuing operations of AR$7,704 million, compared to AR$3,071 million for Q1 17, mainly due to increases of AR$1,303 million in power generation, AR$2,149 million in electricity distribution, AR$474 million in oil and gas, AR$55 million in refining and distribution, AR$35 million in petrochemicals and AR$637 million in holding and others segment, partially offset by higher intersegment eliminations of AR$21 million.

Consolidated profit attributable to the owners of the Company of AR$3,013 million, higher than the AR$1,901 million gain in Q1 17, explained by increases of AR$510 million in electricity distribution, AR$609 million in oil and gas, AR$131 million in refining and distribution, and AR$870 million in holding and others, partially offset by lower gains of AR$757 million in power generation, and higher losses of AR$99 million in petrochemicals and AR$152 million in intersegment eliminations.

Consolidated Balance Sheet
(As of March 31, 2018 and December 31, 2017, in millions of Argentine Pesos)