HydrogenPro ASA

Quarterly Report • May 15, 2025

Q1 2025 Presentation

15 May 2025

This presentation contains forward-looking statements and information, including assumptions, opinions and views of the Company or third-party sources, and are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual results and events to be materially different from those expected or implied by the forwardlooking statements or information. The Company does not provide any assurance that the assumptions underlying such statements or information are free from errors nor accept any responsibility for the future accuracy of opinions expressed herein or as part of the Information, or the actual occurrence of forecasted developments.

Agenda

• › Introduction
• › Quarterly highlights
• › Financials
• › Market update
• › Technology update

Q&A

Serving industrial applications and hard-to-abate sectors

HydrogenPro delivers 2 of the 10 largest projects (excl. China) estimated to come online in 2025

(Electrolyser capacity MW p.a.)

Source: IEA "Hydrogen production projects" database

Agenda

• › Introduction
• › Quarterly highlights
• › Financials
• › Market update
• › Technology update

Q&A

Highlights

Continued positive HSE development

Lost Time Injuries Frequence - Last Twelve Months

ACES in commissioning, SALCOS in assembly

PROJECT	SIZE & USE	SCOPE	STATUS & NEXT STEPS
ACES (USA)	• 220MW • Renewable fuel for power generation	• Electrolyzer stacks + gas separator 2nd • gen technology	• Manufacturing completed • Installation and commissioning in 2025
SALCOS (GERMANY)	• 100 MW • Green steel production	• Electrolyzer stacks Partly 3rd • generation technology	• Main components manufactured, electrodes to be delivered in 2025 • Installation and commissioning in 2025/ 2026

350 MW manufacturing capacity of 3rd generation technology started up in Aarhus, Denmark

• › Delivered on time and below budget (NOK 70 million)
• › Productions started-up in the new manufacturing line, see picture
• › Production optimization ongoing
• › On-going work for even further capacity expansions

These achievements are part of the EU-funded H2-GIGA project with a grant of €16.5 million, supporting the European Unions Net-Zero goals through industrial-scale hydrogen technology.

Successful large-scale validation test confirmed performance improvements

Purpose	› In cooperation with Andritz validating stack performance and operating conditions including new design improvements to reduce shunt currents and 3rd gen technology
Location	› Herøya, Norway
Equipment	One stack w/ 50% 3rd › gen technology and gas separator + Coriolis measurement (gas production), continuous cell voltage monitoring, pressure drops, temperatures, pressure sensors etc.

• › Electrodes produced in Århus
• › Stack assembled by in Erfurt
• › Test in start-up phase
• › 500 hours testing Q1 2025 at Herøya
• › Industrial manufacturing of European value chain demonstrated for pressurized alkaline electrolyzers

From Herøya, Norway

Agenda

• › Introduction
• › Quarterly highlights
• › Financials
• › Market update
• › Technology update

Q&A

Key P&L items

NOK million	Q1 2025	Q4 2024	Q1 2024	FY 2024
Revenue from contracts with customers	22	70	4	196
Direct materials	15	41	-5	147
Gross profit	7	29	9	49
Gross margin	32 %	41 %	224 %	25 %
Personnel expenses	39	42	30	144
Other operating expenses	18	31	35	109
EBITDA	-50	-44	-56	-204
Depreciation and amortization expenses	6	6	7	23
EBIT	-55	-50	-63	-227
Net financial income and expenses	-10	12	16	27
Profit/(loss) before income tax	-65	-38	-47	-200
Income tax expense	-	-		- -
Profit/(loss)	-65	-38	-47	-200

• › Q1 '25 revenues mainly related to deliveries on SALCOS project (ANDRITZ)
• › Components for Gen-3 electrode manufacturing sent from China to Aarhus, Denmark. Ongoing deliveries in Denmark expected to be completed before end of 2025
• › Gross margin in Q1 '25 negatively impacted by NOK 8.2 million in ACES project costs (vs. NOK 17.1 million in Q4 '24). Gross margin, adjusted for ACES, was 69% in Q1 2025 and 66% in 4 2024
• › Other opex decrease of NOK 13 million in Q1 '25 vs Q4'24 primarily driven by lower legal, travel, and project-related costs

Cash balance, changes in cash and backlog

NOK million	Q1 2025	Q4 2024	Q1 2024
Cash balance start of period	191	188	161
EBITDA	-50	-44	-56
Changes in NWC & other	-23	58	81
Investments	-22	-9	-0
Financing	68	-1	-0
Total changes in cash	-26	4	24
Cash balance end of period	165	191	185
Backlog	318	305	445

• › Investments mainly related to expansion of electrode manufacturing capacity in Aarhus
• › Equity injection by Andritz and Mitsubishi of NOK 70 million in January 2025
• › LONGi equity investment (NOK 70 million) expected to be completed and reflected in Q2 '25 financials, pending ODI approval
• › Awarded USD 2.5 million purchase order

The impact of cost reduction measures will increase during 2025

› Downsizing in Europe

› Reduced use of external consultants

› Reducing Tianjin manufacturing activity

› Shanghai office "dormant"

> 40 MNOK annual savings

Note: cost savings are partly offset by costs related to increased activity level in Denmark to produce electrodes for the SALCOS project in 2025

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Agenda

• › Introduction
• › Quarterly highlights
• › Financials
• › Market update
• › Technology update

Q&A

Solid partnerships enable full scope delivery on largescale projects, globally …….

…and partner to address smaller scale projects

Turn-key Solutions developed through partner JHK Prefabricated/enclosed small applications (5-20 MW)

Key Benefits

• Capex efficient installation
• Flexible and Scalable
• Prefabricated fast to deploy
• Pre-tested Risk mittigation
• Low maintenance cost no buildings
• Easier to relocate the installation
• Integrated safety «all in a box»
• No nobel or rear metals

Renewable energy reducing Levelized cost of hydrogen

Source: IEA Hydrogen database

Green Hydrogen Markets in 2025

Source: https://www.rootsanalysis.com/green-hydrogen-market

Not all hydrogen announcements are negative

Project name	Lead developer	Location
Aldbrough Hydrogen Pathfinder	Aldbrough Pathfinder Ltd	North East
Bardon Hill Hydrogen	Hygen Energy Holdings Ltd	East Midlands
Binn Ecopark Hydrogen Facility	Binn Ecopark Hydrogen Ltd	Scotland
Creca Hydrogen Facility	Green Cat Hydrogen	Scotland
Fawley Green Hydrogen	Hynamics Limited UK	South East
Grangemouth Green Hydrogen	RWE Generation UK Plc	Scotland
Green Hydrogen 5	Green Hydrogen 5 Ltd	Wales
Grenian Hydrogen St Helens	Grenian Hydrogen Ltd	North West
Harper Lane Hydrogen	Hygen Energy Holdings Ltd	Greater Londor
Hartlebury Green Hydrogen	Carlton Power Ltd	West Midlands
Humber H2ub@	Uniper Hydrogen UK	East Midlands
Irvine Green Hydrogen Project	ScottishPower	Scotland
Lhyfe Kemsley	Lhyfe SA	South East
Lhyfe Wallsend	Lhyfe SA	North Fast

Focusing on three main areas

HydrogenPro's focus areas

• › Established footprint in Europe and North America
• › Increased focus on India and Middle East

Source: IEA Hydrogen database. Commissioning year 2023-2030, electrolysis, feasiiblity study/ FID/under construction

Green hydrogen as a game-changing decarbonization solution

Multiple new avenues of green hydrogen are becoming unlocked with increasing policy support, especially in hard-to-abate sectors

Source: WoodMac.

Green

New strategic direction boosts priority mid term and keep long term stable

Note: All numbers exclude DG Fuels 1. Value is equivalent to €9.9bn and €4.0 bn. Numbers in brackets: data as of previous quarter

Summary

› Solid partnerships enable delivery power on large-scale projects globally, essential to:

• reduce project risk
• reduce cost
• secure bankability
• win contracts
• increase scope

› HydrogenPro with partner developing standardized small scale container solution

› HydrogenPro focuses on 3-4 large markets/regions

› Our offering is suited for the most attractive segments that are hard to abate

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› Increased number of prioritized projects getting closer to FID

Agenda

• › Introduction
• › Quarterly highlights
• › Financials
• › Market update
• › Technology update

Q&A

Key measures to deliver market-leading LCOH for our customers

Share of LCOH: ~75%

OPEX: green H2 production cost

› Reduce cell voltage through 3rd Gen electrode technology

› Process optimization, incl. higher uptime and stable performance

› Higher pressure reduce cost of Balance of Plant (BoP) and extra compression

Share of LCOH: ~25%

CAPEX1: electrolyser cost

› Reduce weight

› Smart manufacturing & standardisation

› Material selection and use

› Electrodes without precious catalysts

› Higher current densities (production per unit)

1) Cost of capital

Alkaline Water Electrolyser Stack

Electrode performance is vital for reduced opex

• › Key electrode success factors:
  • Low voltage
  • Low degradation
• › Will lead to improved energy efficiency and allow for higher production rate (volume) per electrolyser stack

Illustration of performance improvement

Full-size stack tested under realistic industrial conditions

Main test objectives of new design

• › 500 hours test
• › Full stack with ~50/50% Gen2/Gen3 electrodes
• › Monitoring many operating conditions
• › Tested stable and variable load

Results

• 500 hours continuous of operation
• Good performance values
• Generation 3 electrodes industrially proven
• Excellent product qualities confirmed
• Safe operation from partial to 115% load
• Electrode performance improved efficiency with >12-14%

Heatmap picture of the stack

Electrode performance confirming significant improvements

Observations after 500 hours test

Cells in the stack

Gen3 showed significant better performance than Gen2 (lower cell voltage)

Quality Control and optimisation of electrode production in Denmark improved significantly since the test electrodes were produced

Significant electrode production improvements

April 2024 April 2025

HydrogenPro is continuously improving the electrolyser performance lowering the cost

• Prepare for new pilot center
• Full-size Gen3 electrodes production & QC in Denmark
• Diaphragm testing
• Focus on cost of production
• Further develop gas separation skids
• Gain experience from ACES project (220MW) in USA

Step 2

• Pilot center ready and in operation for rapid testing
• Increased stack pressure 15 30 bar
• Ver2B stack + gas separation skid
• Gain experience from SALCOS project (110MW) in Germany
• Harvest cooperation with key partners

Recent electrode performance improvements

Focus on reducing QC variation:

obtained lower electrode degradation and more repetitive lab results due to better electrode coating

By selecting the very best anodes and cathode results from lab tests, the cell voltage obtained is predicted to drop significantly compared to earlier results

Stack performance improvement required further investments in test and development facilities

Rapid technology development requires more testing and a need for a new test centre – to be completed in 2026

Agenda

• › Introduction
• › Quarterly highlights
• › Financials
• › Market update
• › Technology update

Q&A

Key investment highlights

Vast TAM and massive growth potential for green H2 underpinned by secular tailwinds Favorable government policies provide critical support; new end markets unlock a bigger TAM for green H2

HydrogenPro's 3rd-generation technology drives significant LCOH reductions Technology developed for 10+ years with extensive R&D efforts

Substantial commercial traction with ACES hub and ANDRITZ contracts Manufacturing for 220MW ACES project completed; 100MW ANDRITZ project in progress

Manufacturing capacity in place to service demand today with plans to expand globally Existing 350 MW electrode capacity in Denmark and 500MW electrolyser capacity in China

Scalable business model positioned to grow Recurring revenue and optimized production systems

World-class leadership team with deep industry knowledge Management team brings valuable insights and execution capabilities in the hydrogen sector

Market leading global provider of large-scale green hydrogen technology & systems