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Bergen Carbon Solutions AS

Investor Presentation Apr 28, 2022

3554_rns_2022-04-28_1dfb057e-9e54-4b0b-a94b-f9b489596ef1.pdf

Investor Presentation

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April 28 2022

COMPANY UPDATE

This Company Presentation (the "Presentation") has been produced by Bergen Carbon Solutions AS (the "Company" or "BCS"). The Presentation has been prepared for information purposes only, and does not constitute or form part of, and should not be construed as, any offer, invitation or recommendation to purchase, sell or subscribe for any securities in any jurisdiction and neither the issue of the information nor anything contained herein shall form the basis of or be relied upon in connection with, or act as an inducement to enter into, any investment activity.

All of the information herein has been prepared by the Company solely for use in this presentation. The information contained herein does not purport to contain all information concerning the Company. No party has made any kind of independent verification of any of the information set forth herein if not specifically expressed in the Presentation, including any statements with respect to projections or prospects of the business or the assumptions on which such statements are based. The Company does not make any representations or warranty, express or implied, as to the fairness, accuracy, reliability, completeness or correctness of this presentation or of the information contained herein and shall have no liability for the information contained in, or any omissions from, this presentation. The information contained in this presentation should be considered in the context of the circumstances prevailing at that time and has not been, and will not be, updated to reflect material developments which may occur after the date of the presentation. Neither the Company and subsidiaries nor any of its directors, officers, employees, advisors or representatives (collectively the "Representatives") shall have any liability whatsoever arising directly or indirectly from the use of this Presentation.

Included in this presentation are various "forward-looking statements", including statements regarding the intent, opinion, belief or current expectations of the Company or its management. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance and outcomes to be materially different from any future results, performance or outcomes expressed or implied by such forwardlooking statements, including, among others, risks or uncertainties associated with the Company's business, segments, development, growth management, financing, market acceptance and relations with customers, and, more generally, general economic and business conditions, changes in domestic and foreign laws and regulations, taxes, changes in competition and pricing environments, fluctuations in currency exchange rates and interest rates and other factors. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this document.

An investment in the Company involves risks, and several factors could cause the actual results, performance or achievements of the Company as described herein to be materially different from any future results, performance or achievements that may be expressed or implied by statements and information in this Presentation. Should one or more of underlying risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this Presentation.

Neither the delivery of this Presentation nor any further discussions of the Company with any of the recipients shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date.

No information contained herein constitutes, or shall be relied upon as constituting, any advice relating to the future performance of the Company. The Company undertakes no obligation to publicly update or revise any forward-looking statements included in this Presentation.

This Presentation is governed by Norwegian law and any disputes related to it are subject to the ordinary courts of Norway.

DISCLAIMER

Q1 highlights

  • About Bergen Carbon Solutions
  • Factory Mosjøen

AGENDA

Q1 HIGHLIGHTS

  • LOI with Beyonder: Good result from battery test. Different wt% of CNF were tested, and the result have shown that by adding our carbon nanofibers they increased the battery performance and reduced the internal resistance.
  • LOI with Japanese company: The first tests of the additive solution that contains our CNF has shown good results. Further testing is ongoing.
  • NORCE Report: A preliminary perspective study on the CO2 reduction potential is performed by NORCE. They concludes that CNF can improve the materials and reduce the CO2 emissions from all the investigated segments. Concrete, batteries and plastics (PP and PE).
  • LOI with Inabata Europe GmbH: With the intention of develop a business relationship and bringing green CNF to their costumers in Europe and Japan.
  • The progress plan for factory Mosjøen is finished

Highlights Financial results and financing (MNOK)

  • Revenue and other income 0.2
  • Operating profit -12.5
  • Cash balance 335.5
  • Number of shareholders > 4 500
  • Market cap 2.1 BNOK

Operations

On Friday 8th April, a design flaw in the ventilation system from one of the mechanical workshops was detected.

Highlights Q1

Financial highlights

Key figures Q1 Q1
Amounts in NOK thousands 2022 2021
Total revenue and other income 218 96
Total operating expenses 12 712 3 765
Operating profit (loss) -12 494 -3 669
Net profit (loss) for the period before tax -12 741 -3 688
Net change in cash and cash equivalents 302 742 27 412
Cash and cash equivalents, end of period 335 502 32 760
Equity 348 253 39 803
Total assets 374 454 42 223

OUR SECOND FACTORY: HØYANGER

SIGNED OPTION AGREEMENT

SKILLED LABOUR

ELECTRIC INDUSTRY

SUFFICIENT HYDROPOWER

Located in Høyanger, which is a modern industrial society that has grown in step with Hydro Aluminium

Modern infrastructure where all relevant service functions are available

Access to skilled industrial labour, sufficient licensing hydropower and an attractive longterm power supply agreement

Facilities already in place

TEST CENTER FLESLAND

Sanitizing to temporary impact production on Flesland

On Friday 8th April, a design flaw in the ventilation system between a mechanical workshop and the production hall was detected.

The ventilation installed by a third-party installer that was intended to be expelled from the building had a small side stream that went into the building. As a result, there was elevated dust generation in this area.

Safety of our personnel is our number one concern, so as a precautionary measure we decided to send all production personnel home. We are in the process of taking samples of dust and atmosphere, as well as cleaning down the entire hall. All our workers that have their main work in the production hall will be followed up by our Occupational health service.

New analysis after decontamination washing is expected to be completed on the 6 th of May, and we are targeting to get back to normal operations the 9 th of May.

TEMPORARY IMPACT

The temporary impact on our TEST CENTER FLESLAND has not allowed us to finalize the installation of the production container for our BIR- project and the last two "Diegel 2.0" production units, that will be installed in our TEST CENTER.

All parts are in place to complete both the BIR-project and the two "Diegel 2.0" at the TEST CENTER, and we are aiming to have everything ready for commissioning as soon as possible.

ABOUT BERGEN CARBON SOLUTIONS

Bergen Carbon Solutions at a glance

ABOUT BERGEN CARBON SOLUTIONS

KEY FACTS

  • Founded in 2016
  • Producer of carbon nanofibers
  • Located in Bergen and Mosjøen, Norway
  • Competent team of engineers and PhDs
  • Unique and green technology
  • Acquired commercial production site
  • <35 full time employees
  • Listed on Euronext Growth Oslo (Ticker: BCS)

  • ◊ Lighter than plastic, stronger than steel, with exceptional thermal and electrical conductivity, properties that can be transferred when combined with other materials

  • Estimated CAGR of ~30% towards 2024 1,2 , covering a wide range of industrial and technological applications
  • ◊ Market price between NOK 5 000 per kg and NOK 27 000 per kg depending on quality 1
  • ◊ Our products cover the whole range of qualities, meeting different customer needs

WE USE CO2 TO CREATE CARBON NANOFIBERS

LIGHTER than plastic

STRONGER than steel

LEADS ELECTRICITY better than copper

ABOUT BERGEN CARBON SOLUTIONS

PRODUCTION METHOD

ABOUT BERGEN CARBON SOLUTIONS

Our technology is using CO2 as feedstock in CNF production

An electrolysis process break the chemical bonding. Carbon (C) can then be taken out of the production module and transferred manually over to the filtration module

The carbon is filtrated in a patented filtration module and then, carbon nanofiber is ready for sale as a final product

Our technology is climate positive and uses significantly less energy than conventional methods

ABOUT BERGEN CARBON SOLUTIONS

Bergen Carbon Solutions Positive CO2 impact

Zero emission products enabling a low carbon footprint

We have started pre-engineering full-scale factory production units. We are expecting the market to grow rapidly, and the Converting CO2 into CNF will positively contribute to UN's Sustainable Development Goals

production factory is expected to significantly reduce our unit cost. Our environmental efforts will help our customers:

ABOUT BERGEN CARBON SOLUTIONS

  • ◊ Reduce their carbon footprint
  • This is expected to further strengthen our ◊ Market their products as carbon positive
  • competitive advantage. As a result of the changed focus, we will present updated guiding before the end of the year ◊ Apply for grants designed for environmental purposes

We've developed an energy efficient, carbon negative method to produce CNF out of CO2 , using renewable energy, with O2 as the only bi-product

Our product ECO-C is also known as green carbon nanofiber

Carbon Nanofiber (CNF)

  • ◊ A black powder that has been evolving since the seventies/eighties
  • ◊ CNF are carbon fibers at the nanometer scale, consisting of several graphene flakes
  • ◊ Emerging material that has a unique combination of strength, durability and conductivity
  • ◊ Wide range of applications, qualities which can be transferred when combined with other materials
  • ◊ CNF have revolutionized energy storage, protective clothing, flame retardance and oil spill remediation, as well as therapeutic cancer drugs with its unique additive qualities

Selected application areas

CNF is used for a variety of applications such as additive to composite, lithium-based batteries, supercapacitors and solar desalinations with mostly a clear environmental positive impact

Small improvement in battery performance, can significantly impact global emissions1

SELECTED SEGMENT: BATTERIES (NORCE)

  • ◊ CO2 emission may increase by a factor of 10 within a decade unless production technologies improve
  • ◊ CNF-potential for currently dominating graphite anode
  • ◊ Promising results for next generation Silicon-based anodes
  • ◊ Vehicle weight reduction of 5-10% seem within reach while maintaining vehicle performance

2: Based on assumption that the battery pack constitutes roughly 25% of an electric vehicle today

Scaling and cost reduction are keys to market adoption1

  • ◊ Full market penetration of CNF/CNT requires fast upscale of production capacity and industrial scale adoption in new products
  • ◊ Technology for upscaling CNF/CNT production capacity and reducing costs are key to accelerate market adoption

1: "Reduction in CO2 emissions from using carbon nanofiber additives" (Alagic, Blomgren et al., 2022)

FACTORY MOSJØEN

FACTORY MOSJØEN

FULLY AUTOMATED FACTORY DESIGN

  • The production process is fully automated in a modular design. Allowing us to easily increase the production capacity at the factory if needed.
  • Our new factory design is based on the principals of our "Diegel 2.0" which is already proven at our test facility.
  • Yearly production capacity: 160t

LEAD TIME RISK

  • Due to the current supply situation, we have reduced the lead time risk by implementing industry -standard components that will be easier to replace, if needed, than tailor -made components.
  • Included in the new factory design is a fully automated purification process -plant that takes our raw product from unfiltered state to our CNF.

CONCEPT STUDY: FACTORY MOSJØEN TIMELINE FACTORY MOSJØEN

June 2022 Final investment decision

July 2022 Construction start Factory Mosjøen

1H 2023 Ramping up production

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