REC Silicon

Earnings Release • Jul 22, 2021

Correction: REC Silicon - Second quarter 2021 results

Correction: REC Silicon - Second quarter 2021 results

Oslo, Norway - July 22, 2021: REC Silicon ASA (REC Silicon) reported second

quarter 2021 revenues of USD 35.6 million versus USD 28.0 million in the first

quarter of 2021 and EBITDA of USD 7.9 million versus USD 4.0 million in the

prior quarter. EBITDA during the second quarter included the forgiveness of USD

8.3 million in loans guaranteed by the US government under the C.A.R.E.S. Act.

The Company reported EBITDA contributed by the semiconductor materials segment

of USD 11.5 million for the second quarter compared to USD 10.8 million for the

first quarter. Second quarter results included other income of USD 4.5 million

related to the forgiveness of a loan provided by the US government under the

C.A.R.E.S. Act which has been recognized as grant income. Excluding this item,

EBITDA decreased by USD 3.8 million. This decrease can primarily be attributed

to lower EBITDA contribution from the semiconductor materials segment due to

higher electricity prices, lower production to avoid high electricity prices,

higher costs due to the acceleration of planned maintenance, and lower quality

product due to an interruption of manufacturing caused by a lightning strike.

Silicon gas sales volumes for the second quarter were 819 MT compared to 781 MT

during the prior quarter. Total polysilicon sales volumes for the quarter were

485 MT and polysilicon inventories decreased by 157 MT.

REC Silicon reported a cash balance of USD 123.6 million on June 30, 2021

compared to USD 131.5 million on March 31, 2021.

"The demand for semiconductor polysilicon and silicon gases continued to

strengthen over the last quarters and this trend is projected to continue.

Overseas shipping limitations have affected the timing for some order

fulfillments.

REC Silicon's negotiations with several Silicon Anode companies continue to

progress, but agreements have not yet been reached. REC Silicon is exploring

opportunities created by President Biden's renewable energy agenda to utilize

its proven FBR technology to provide low-cost, low-carbon polysilicon for the

solar value chain. A US solar value chain will support the transition to

renewable energy, create high-paying manufacturing jobs in the US, and result in

the restart of the REC Silicon Moses Lake facility," said Tore Torvund, CEO.

For more information, please see the attached first quarter 2021 report and

presentation.

The company will host conference call to present the results at 8:00am CET.

Following the presentation, it will be opened for questions from the audience.

The presentation will be in English. To join the videoconference, use the

following link.

https://channel.royalcast.com/landingpage/hegnarmedia/20210722_1/

Audiocast participants need to register to post questions.

For further information, please contact:

James A. May II, Chief Financial Officer

Phone: +1 509 989 1023

Email: james.may@recsilicon.com

Nils O. Kjerstad

IR Contact

Phone: +47 9135 6659

Email: nils.kjerstad@crux.no

About REC Silicon

REC Silicon is a leading producer of advanced silicon materials, delivering

high-purity polysilicon and silicon gas to the solar and electronics industries

worldwide. We combine over 30 years of experience and proprietary technology

with the needs of our customers, with annual production capacity of more than

20,000 MT of polysilicon from our two US-based manufacturing plants. Listed on

the Oslo Stock Exchange (ticker: RECSI), the Company is headquartered in

Lysaker, Norway.

For more information, go to: www.recsilicon.com

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.