Nel ASA

Investor Presentation • Nov 11, 2015

WHY HYDROGEN WILL BECOME GOOD BUSINESS

Øystein Stray Spetalen Investor and Member of the Board

\$ 8 BILLION PER DAY

SOLAR ENERGY IS GROWING RAPIDLY

Source: Solar Power Europe, IRENA

CHEAP ELECTRICITY = CHEAP HYDROGEN

Production cost versus electricity price Example: 24hr period in Germany (excess)

Delivered at vehicle. Includes electrolysis, compression and cooling

HYDROGEN VEHICLES ARE ENTERING THE MARKET

Formidable cost reductions enable introduction: "The Toyota Mirai's powertrain is 95% cheaper to build than the fuel-cell system in the 2008 Highlander fuel cell SUV" 1

499.000 NOK

THE WORLD'S MOST EFFICIENT ELECTROLYSERS

VAST HRS EXPERIENCE IN THE NEL GROUP

• 27 HRS to 8 countries since 2003:
• Statoil, Hydro, H2 Logic
• Since 2008, H2 Logic stations have provided more than 12,000 safe refuellings and 21 tons of hydrogen
• Stations with highest reported availability: 98%

Previous

In operation

DENMARK HAS THE FIRST COUNTRY-WIDE NETWORK OF HYDROGEN REFUELLING STATIONS

• H2 Logic services and operates the entire network
• Joint venture(s) with oil, energy & gas companies for building and operating stations
• 100 % renewable

ENERGY STORAGE OPTIONS

H2 FUELLING COMBINED WITH ENERGY STORAGE

• Shell Hamburg station demonstrates integration of refuelling with the electrical grid.
• Hydrogen provided alongside other fuels

Norwegian transportation sector: ~60 TWh (90%+ fossil fuels) Norwegian electricity production: ~130 TWh (95%+ renewable)

50/50 hydrogen and battery electric vehicles: ~13 TWh

Societal benefits are clear, but infrastructure is needed: Enova will play an important role for realization

• 1. RENEWABLE ELECTRICITY IS BECOMING CHEAP
• 1. THERE IS A GROWING NEED FOR ENERGY STORAGE SOLUTIONS
• 1. HYDROGEN CARS ARE BECOMING CHEAP