HydrogenPro ASA

Regulatory Filings • Mar 20, 2023

HydrogenPro US expansion with 500 MW manufacturing facility in Texas, US

HydrogenPro US expansion with 500 MW manufacturing facility in Texas, US

Oslo, 20 March 2023. HydrogenPro (ticker: HYPRO) will take its first major step

into the US market with the establishment of 500 MW manufacturing capacity in

Texas, US, with an estimated total investment cost of USD 30-50 million. The

brownfield investment includes a separate advanced electrode manufacturing

facility, representing a technology game changer in the HydrogenPro solutions

offering.

This move will increase HydrogenPro's manufacturing capacity to 800 MW in total

and represents a major milestone in establishing a global presence as part of

the strategy to become #1 provider of large-scale green hydrogen technology &

systems.

The new site is planned to have an initial capacity of 500 MW with the option to

significantly scale up the capacity to several gigawatts in due time.

The US has become the market leader on green hydrogen, as the Inflation

Reduction Act (IRA) passed by Congress in August 2022 is beginning to show

effects. The favorable tax scheme for producers of green hydrogen has resulted

in surging demand, growing 4-6 times compared to pre-IRA figures. The US market

is HydrogenPro's top priority, and manufacturing capacity on this continent

provides a fundamental platform to succeed with the announced growth ambitions.

With this, HydrogenPro will take a market-leading position and become the only

viable large-scale player providing high-pressure alkaline electrolyser

technology & systems.

HydrogenPro has conducted an extensive strategic review of various US states to

determine the most suitable location. All locations have been assessed based on

several factors, incl. access to site and skilled workers, infrastructure, ease

of sourcing raw materials, proximity to end-users and incentive programmes

offered by different states.

The US market has been served by HydrogenPro's European sales team for some

time, which has resulted in a significant pipeline of relevant and attractive

projects already in progress. The US organisation will be ramped-up in parallel

with the manufacturing expansion.

"The US factory will be our bridgehead into the North American market. A key

factor for us to become the leading provider of green hydrogen technology &

systems is our presence across continents, securing sustainable and local supply

chains", says CEO Tarjei Johansen, and adds: "We have great confidence in our

technology & systems being an excellent fit for large-scale industrial

applications, where we are now seeing an unprecedented increase in demand for

green hydrogen following the IRA. Consequently, establishing a manufacturing

site to serve the North American market is a natural next step in our global

expansion plan, and a very exciting opportunity for our company!"

About HydrogenPro:

HydrogenPro is a technology company and an OEM for high pressure alkaline

electrolyser and supplies large scale green hydrogen plants, all ISO 9001, ISO

45001 and ISO 14001 certified. The Company was founded in 2013 by individuals

with background from the electrolysis industry which was established in

Telemark, Norway by Norsk Hydro in 1927. We are an experienced engineering team

of leading industry experts, drawing upon unparalleled experience and expertise

in the hydrogen and renewable energy industry.

For further information, please contact:

Martin Thanem Holtet, CFO, +47 922 44 902

Ida Eilertsen Nygård, Head of Investor Relations and ESG, +47 986 11 952

ir@hydrogen-pro.com