Aker Carbon Capture — Investor Presentation 2021

Feb 12, 2021

Q4 2020

Fornebu, February 12, 2021 Valborg Lundegaard, CEO

Agenda

Aker Carbon Capture in brief

Highlights

Operations and business development

Outlook

Aker Carbon Capture in brief

Pure play carbon capture company delivering ready-to-use capture plants

Best-in-class HSE friendly solvent and other patented plant technologies for better all-round plant performance

Validated and certified market-leading proprietary technology with more than 50,000 operating hours

Highlights

EPC contract for Brevik CCS project secured, funding for Longship approved

MoUs secured with strategic partners to strengthen position in key segments

Customer partnerships developing favourably, new agreements secured

CO² prices reach record high

• Carbon prices hit record high €38.08/tonne on Feb 4
• Price of carbon up ~60% since November
• Norway introduces climate action plan
• CO² tax to rise from NOK 590 today towards NOK 2,000 per tonnes in 2030
• UK launches "green industrial revolution"
• Aims to capture 10m tonnes per year by 2030
• Bank of England warns CO² prices could treble in coming years

Storage projects underway

● Northern Lights – Norway

• Confirmed
• Aker Carbon Capture to support Aker Solutions with CO² expertise
• Porthos Netherlands
• EU proposes €102 million funding
• Greensands Denmark
• Certified by DNV for CO² injection and storage
• Selected other storage projects
• Ravenna, Italy
• Net Zero Teesside, UK
• Acorn, UK
• HyNet North West, UK
• Zero Carbon Humber, UK

Our carbon capture product offering

Just Catch™

40,000 & 100,000 tonnes/year Compact, modularized and cost efficient

Unique HSE profile – a key differentiator

High CO² capture rate (~90%) and superior energy optimization

A commercial differentiator

• Minimum liquid waste
• Minimum emission
• Non-toxic
• Efficient reclamation (HSS removal)
• Biodegradable
• Minimum corrosion

Regular amine solvent: High solvent degradation (discoloring) in operation on coal flue gas

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ACC S26 solvent: no discoloration

Technology development aimed at improving energy efficiency

• Strategic technology-cooperation agreement with MAN Energy Solutions to develop energyefficient compression solutions for carbon capture and storage applications with heat recovery
• One of Europe's leading suppliers of compressors
• Heat transfer from compression systems key for overall power-consumption of CCS plant
• Eligible for Big Catch projects, including Brevik CCS

CCS economics turning positive

Operations and business developments

Key markets and industries

Main activity in Northern Europe

• Scandinavia
• Benelux
• UK
• …leading the way

Prioritized industries

• Cement
• Bio/waste-to-energy
• Blue hydrogen
• Gas-to-power

Cement industry

Brevik CCS

• Project to deliver the world's first CCS plant at a cement facility is now underway
• Scope: EPC delivery of a complete CO² capture plant in Brevik, Norway for Norcem HeidelbergCement
• Experienced project execution team established
• Subcontract to Aker Solutions for engineering, procurement and management assistance
• 400,000 t/pa capture plant
• Contract value of ~NOK 1.7 billion

Bio/Waste to energy

Hitachi Zosen Inova

• MoU to accelerate carbon capture solutions in the waste to energy industry in Europe
• Combining Aker Carbon Capture's HSE-friendly CCS technology with HZI's proven capabilities as a turnkey supplier of waste to energy plants

Forus Energi & Lyse

● MoU to explore development of a full-scale CCS facility in Stavanger/Sandnes region in southwestern Norway

Twence

● EPC secured with customer, project awaiting public funding

Vattenfall

● MoU to support Vattenfall´s ambitions to achieve negative emissions in waste and bio-CCS plants

February 11, 2021 Slide 14 * Aker Carbon Capture's technology has been verified for application to the Bio/waste to Energy industry through extensive testing with the Mobile Test Unit at Fortum's plant in Oslo

Blue hydrogen

Preem

• Test Campaign with Mobile Test Unit Completed
• One year campaign, 3,000+ operating hours
• Completed study for application of industrial scale CCS at Hydrogen Production Unit

Haldor Topsoe

• MoU with intention to offer a complete solution for low-carbon hydrogen production
• Combining Haldor Topsoe's proven hydrogen process and Aker Carbon Capture's CCS technology for low-emission, cost-effective production of 'blue' hydrogen – a clean energy carrier with a wide array of applications in industry and as a fuel

Gas to power

Gas power testing in Norway 2008-2010 Current market focus: UK

"Our ambition is to capture 10m/t of carbon dioxide a year by 2030, the equivalent of 4 million cars' worth of annual emissions. We will invest up to £1 billion to support the establishment of CCUS in 4 industrial clusters."

Boris Johnson, UK PM – November 2020

Project opportunities include:

• Net Zero Teesside
• SSE Thermal Keadby 3
• Acorn

Summary and outlook

CCUS investments rising

• Global spending on CCS projects Annual investment in CCUS set to soar 38 percent till 2025 (Source: Rystad Energy)
• Total investments could reach \$9bn in 2025
• 80-90% of investments in Europe and North America

Several large companies launching Net Zero/CCUS investment plans

• Energy companies
• Industrial and process industry
• IT & Technology

Market outlook

Number of prospects and opportunities increasing

• About 500 industrial plants with emissions of more than 100,000 tonnes per year in target markets
• 8 ongoing project studies for different customers
• 14 projects in the EU Innovation fund funnel
• Feedback on the funding expected first half of 2021
• Aker Carbon Capture involved in several of these projects

10 in 25

Secure contracts to capture 10 million tonnes per annum CO² by 2025

Outlook and priorities

Successfully deliver Brevik CCS project

Position for strategic markets through partnerships

Realize programs to drive down carbon capture costs

Continue developing opportunities in prioritized markets

Q&A

Copyright and disclaimer

Copyright

Copyright of all published material including photographs, drawings and images in this document remains vested in Aker Carbon Capture Norway AS and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any form nor used in any manner without written prior permission and applicable acknowledgements. No trademark, copyright or other notice shall be altered or removed from any reproduction.

Disclaimer

This presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Aker Carbon Capture Norway AS and Aker Carbon Capture Norway AS's (including subsidiaries and affiliates) lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Aker Carbon Capture Norway AS's businesses, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the presentation. Although Aker Carbon Capture Norway AS believes that its expectations and the presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the presentation. Aker Carbon Capture Norway AS is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the presentation, and neither Aker Carbon Capture Norway AS nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use.

Appendices

P&L ● Balance sheet ● Cash flow

Condensed consolidated income statement

	Jul 8 -		Full year
thousand Amounts in NOK	Sep 30, 2020	Q4 2020	2020
Revenues	5 611	10 191	15 802
Cost of goods sold	(4 680)	(5 275)	(9 955)
Salary and other personnel costs	(5 187)	(15 960)	(21 147)
Other operating expenses	(8 310)	(19 091)	(27 400)
Depreciation		(1 881)	(1 881)
Operating profit	(12 566)	(32 015)	(44 581)
Financial income	71	391	462
Financial expenses	-	(341)	(341)
Net financial items	7 1	5 0	121
Earnings before tax	(12 495)	(31 965)	(44 460)
Income tax benefit (expense)	-	-	-
Net profit	(12 495)	(31 965)	(44 460)
Earnings (loss) per share in NOK (basic and diluted)	0.04	0.06	0.09

Condensed consolidated balance sheet

in thousand Amounts NOK	Sep 30, 2020	Dec 31, 2020
Assets
Non-current assets
Intangible assets	3 004	3 792
Right-of-use assets	-	13 184
Fixed assets	2 279	2 610
Total non-current assets	5 283	19 586
Current assets
Trade and other receivables	13 378	7 196
Cash and cash equivalents	492 571	457 699
Total current assets	505 949	464 896
Total assets	511 232	484 481

thousand Amounts in NOK	Sep 30, 2020	Dec 31, 2020
Equity and liabilities
Equity
Share capital	566 061	566 060
Other paid-in capital	(81 847)	(114 200)
Total equity	484 214	451 860
Non-current liabilities
Pension liabilities	-	2 849
Non-current lease liabilities	-	9 272
Total non-current liabilities	-	12 121
Current liabilities
Trade and other payables	27 018	15 592
Current lease liabilities	-	4 908
Total current liabilities	27 018	20 500
Total equity and liabilities	511 232	484 481

Condensed consolidated cash flow statement

	Jul 8 -		Full year
in thousand Amounts NOK	Sep 30, 2020	Q4 2020	2020
Profit before tax	(12 495)	(31 965)	(44 460) -
Adjustment for:			-
Amortisation and depreciation	-	1 881	1 881
Changes in net current operating assets	6 465	10 263	16 728
Accrued interest and foreign exchange	-	308	308
Cash flow from operating activities	(6 030)	(19 515)	(25 545)
Acquisition of property, plant and equipment	(45)	(331)	(376)
Payments for capitalized development	(1 354)	(788)	(2 142)
Cash flow from investing activities	(1 399)	(1 119)	(2 518)
Payment of finance lease liabilities	-	(1 192)	(1 192)
Share issue, net of transaction costs	500 000	(12 489)	487 511
Net purchase of treasury shares	-	(558)	(558)
Cash flow from financing activities	500 000	(14 238)	485 762
Net cash flow	492 571	(34 872)	457 699
Cash and cash equivalent at the beginning of the period	-	492 571	-
cash and cash equivalent at the end of the period	492 571	457 699	457 699