Aker Horizons — Earnings Release 2022

Nov 2, 2022

Aker Horizons ASA: Third-Quarter Results 2022

Aker Horizons ASA: Third-Quarter Results 2022

Aker Horizons ASA (OSE: "AKH"), a developer of green energy and green industry,

today announced results for the third quarter 2022. The company's Net Asset

Value ("NAV") fell to NOK 16.5 billion in the three months to 30 September 2022,

from NOK 17.4 billion at the end of the previous quarter.

Third-quarter highlights:

· The combination of portfolio companies Mainstream Renewable Power and Aker

Offshore Wind was completed, establishing Mainstream as a global frontrunner in

offshore wind and creating a stronger renewable company with a 19 GW net global

pipeline of projects under development, construction and operation across solar,

onshore wind and offshore wind

· Mainstream and Actis signed an agreement to sell Lekela Power, Africa's

largest pure-play renewable energy independent power producer, to Infinity Group

and Africa Finance Corporation

· Mainstream and its partner Ocean Winds were appointed preferred bidder by

Crown Estate Scotland for an area with the potential for a 1.8 GW offshore wind

farm off the Shetland Islands in Scotland

· Aker Horizons signed a land lease agreement and entered a Power Purchase

Agreement with the local municipality for the 20 MW first phase of the hydrogen

project planned at Rjukan

"Our market segment continues to be shaped by inflation, supply chain

bottlenecks and delays in permitting processes, which has led to increased

levelized costs of energy. As a result, both participation in recent renewable

energy auctions and final investment decisions have declined. However, we are

seeing signs that project returns are rebalancing, and we expect to see activity

levels pick up again," said Kristian Røkke, CEO of Aker Horizons.

"Despite market headwinds, Aker Horizons made good progress in our projects

during the quarter. Mainstream was awarded an area with the potential for a 1.8

GW offshore wind farm in Scotland. A significant milestone was reached in the

Rjukan hydrogen project, which will serve as a blueprint project for further

industrial development in our portfolio to drive down costs through

standardization and digitalization," Røkke added.

Aker Horizons' NAV fell to NOK 16.5 billion in the third quarter, compared to

NOK 17.4 billion in the second quarter, with the decline primarily due to the

value decrease of Aker Carbon Capture. Gross asset value stood at NOK 22.6

billion at 30 September 2022, down from NOK 23.4 billion in the prior quarter.

Aker Horizons' liquidity reserve, including cash and undrawn credit facilities,

stood at NOK 9.7 billion as per 30 September 2022.

Portfolio Highlights

The transaction to combine Mainstream Renewable Power and Aker Offshore Wind to

create a stronger renewable energy company with a 19 GW net global pipeline of

projects under development, construction and operation, closed in August 2022.

In parallel with the combination of the two companies, a number of Mainstream's

minority shareholders participated in a further issuance of shares, raising

approximately EUR 6 million in new capital.

Mainstream and Actis signed an agreement to sell Lekela Power, Africa's largest

pure-play renewable energy independent power producer, to Infinity Group and

Africa Finance Corporation. The transaction is expected to generate net proceeds

to Mainstream of approximately USD 90 million, subject to certain closing

adjustments, with the transaction valued at an enterprise value of approximately

USD 1.5 billion.

In Rjukan in Norway, Aker Horizons signed a land lease agreement and entered a

Power Purchase Agreement with the local municipality. Rjukan is a 40 MW hydrogen

project, with 20 MW in the first phase, where Aker Horizons' system architecture

and standardized design will be implemented, de-risking other large-scale

projects in the portfolio. The 234-gigawatt hours per year of renewable power

secured through the PPA is attractively priced, below both current and forward

prices. With power constituting two thirds of the levelized cost of hydrogen,

securing cheap renewable power is an important step towards producing

competitive green hydrogen.  Aker Horizons' asset development unit is working to

mature the project toward a final investment decision in 2023, to facilitate

hydrogen production from as early as 2025.

In Narvik, civil works were initiated at the Kvandal industrial site, a plot of

150 acres, preparing the ground for hydrogen-based industry. The location is

well suited to utilize large volumes of clean energy, given its proximity to a

major transformer station and Statnett's main grid junctions in Northern Norway.

ENDS

The Q3 2022 presentation is attached.

Aker Horizons' CEO Kristian Røkke, CFO Nanna Tollefsen, Asset Development CFO

Kristoffer Dahlberg and Mainstream's CEO Mary Quaney will present the main

developments in the third quarter 2022 today at 08:30 CET followed by a Q&A

session. The presentation, which is open to all, will be held in English and

will be webcast on the following link:

https://channel.royalcast.com/landingpage/hegnarmedia/20221102_4/

For further information, please contact:

Ivar Simensen, Communications, Tel: +47 46 40 23 17,

ivar.simensen@akerhorizons.com

Christian Yggeseth, Investor Relations, Tel: +47 91 51 00 00,

christian.yggeseth@akerhorizons.com

About Aker Horizons

Aker Horizons develops green energy and green industry to accelerate the

transition to net zero. The company is active in renewable energy, carbon

capture and hydrogen and develops industrial-scale decarbonization projects. As

part of the Aker group, Aker Horizons applies industrial, technological and

capital markets expertise with a planet-positive purpose to drive

decarbonization globally. Aker Horizons is listed on the Oslo Stock Exchange and

headquartered in Fornebu, Norway. Across its portfolio, the company employs

approximately 1,200 people in 18 countries on five continents.

www.akerhorizons.com

This information is considered to be inside information pursuant to the EU

Market Abuse Regulation and is subject to the disclosure requirements in

Regulation EU 596/2014 and the Norwegian Securities Trading Act § 5-12. This

stock exchange announcement was published by Ivar Simensen, Communications, Aker

Horizons, on 2 November 2022 at 07:00 CET.