Title: “Streamlining Pacific Green’s Accounting Policy for Enhanced Financial Management” Pacific Green is committed to maintaining accurate and transparent financial records in accordance with industry standards and regulations. As part of our continuous improvement efforts, we have revised our accounting policy to streamline processes and improve efficiency. This will not only ensure compliance but also provide valuable insights for strategic decision-making. Our updated accounting policy includes a comprehensive framework for recording, classifying, and reporting financial transactions. We have also implemented strict internal controls to safeguard against errors and fraud. This will enable us to produce timely and reliable financial statements, giving stakeholders a clear understanding of our financial performance. In addition, we have adopted a systematic approach to asset valuation, ensuring that our financial statements reflect the true value of our assets. This will provide a more accurate picture of our financial health and aid in making informed investment decisions. Furthermore, our revised policy includes a detailed procedure for revenue recognition, ensuring that revenues are recorded in the appropriate period and in accordance with the applicable accounting standards. This will enhance the accuracy and reliability of our financial statements, providing stakeholders with a clear understanding of our revenue streams. We have also incorporated a robust risk management framework into our accounting policy, identifying potential risks and implementing measures to mitigate them. This will not only protect our financial interests but also instill confidence in our stakeholders. At Pacific Green, we understand the importance of efficient and transparent financial management. Our updated accounting policy reflects our commitment to these principles and will enable us to meet the evolving needs of our stakeholders. With streamlined processes and enhanced controls, we are confident in our ability to maintain accurate and reliable financial records. 

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Pacific Green Technologies, Inc. (“Pacific Green”), (OTCQB: PGTK) has recently made some changes to its accounting policies, which will be reflected in its filings from December 2023. These changes have no impact on the company’s reported net income, cash balance, or net assets. The updates reflect a change in recognition of the consideration for the sale of Sheaf Energy Limited in December 2023, a grid-scale battery energy storage systems project worth $258 million, to Sosteneo Energy Transition Fund, managed by Generali. The company has determined that the $76 million consideration received from the sale, less costs of sale, should be recognized as a gain on disposal, rather than revenue.

In addition, Pacific Green has changed its accounting policy for capitalized project under development assets. These assets will now be classified as long-life assets in non-current assets, and will only be recognized as current assets when it is anticipated that the project sale will occur within 12 months. These changes have been made after consultations with the Securities and Exchange Commission Office of the Chief Accountant and the company’s independent auditors, Grant Thornton UK LLP.

Pacific Green is committed to financial transparency and these revisions underscore this commitment. The company is focused on addressing the world’s need for cleaner and more sustainable energy, offering grid-scale battery energy storage systems, renewable and environmental technologies. These changes in accounting policies will be reflected in future 10-K and 10-Q filings.