Nel ASA

Earnings Release • May 8, 2019

Nel ASA: First Quarter 2019 Results

Nel ASA: First Quarter 2019 Results

(Oslo, May 8, 2019) Nel ASA ("Nel") reported revenues in the first quarter of

2019 of NOK 122.4 million, up from NOK 112.5 million in the first quarter of

2018, representing a growth of 9%. Nel has received several important purchase

orders ("PO's") during 2019, has an all-time high pipeline and reiterates the

strong market outlook.

"Nel has a solid order intake so far in 2019, reflecting the attractive market

opportunities provided by our leading technology across segments. The order for

a 4.5 MW alkaline electrolyzer solution from Hybrit is an important example on

how we're working to develop next generation electrolyzer technology for

industrial applications. The solution will be used for a pilot which aim is to

create a fossil free steel production for the future. Coupled with our focus on

ongoing technology development to accommodate the fast-growing heavy-duty

segment, we are well positioned for what lies ahead for new and existing

hydrogen markets, " says Jon André Løkke, Chief Executive Officer of Nel.

In the first quarter of 2019, Nel reported revenues of NOK 122.4 million,

compared to NOK 112.5 million in the same quarter of 2018. The Fueling segment

experienced a positive development during the quarter with a growth of 40

percent. The adjusted EBITDA ended at NOK -20.1 million (-15.8), adjusted for

non-recurring and other ramp-up costs of NOK 14.7 million.

The reported EBIT was NOK -52.0 million (-31.9) and the cash balance ended at

NOK 743.2 million at the end of the first quarter following the successful

private placement of 84 906 560 new shares. The net proceeds will be used for

continued investment in development, innovation and technology, in addition to

improve Nel's positioning to benefit from markets with high activity and growth

momentum. The cash balance does not include the NOK 68 million in gross proceeds

from the subsequent offering.

Nel has received several purchase orders in 2019. The order backlog ended at NOK

406 million at the end of the quarter and Nel has added close to NOK 200 million

in new orders primo May 2019. After the closing of the quarter, Nel received a

purchase order for a 4.5 MW alkaline electrolyzer solution from Hybrit

Development AB, a joint venture owned by SSAB, LKAB and Vattenfall. The steel

industry is currently one of the highest carbon emitting industries, accounting

for up to 7% of global CO2-emissions. If successful, the Hybrit project can lead

to a reduction of Sweden's CO2 emissions by 10% and will consume approximately

15 TWh of fossil-free electricity.

"Being chosen to supply electrolyzers to the first phase of the Hybrit project

is a true honor. It's encouraging to see the partners behind Hybrit leading the

way in the effort to decarbonize the steel industry; one of the most CO2

-intensive industries globally today. The market potential is massive and the

total potential for CO2-free steel is around 3x that of ammonia. Nel holds the

pole-position for these future markets", says Løkke and concludes:

"The interest in hydrogen solutions continues to be at all-time-high with large

opportunities ahead and we´re constantly optimizing between current business and

longer-term strategic positioning. We reiterate our strong market outlook by

maintaining a leadership position with a global presence, cost leadership and a

preferred-partner status for industry participants."

Nel will host a presentation at 08:00 CET at Hotel Continental in Oslo on May 8,

2019. A live webcast of the call will also be available on the company's

website, www.nelhydrogen.com/webcast, and on

https://webtv.hegnar.no/presentation.php?webcastId=97815232.

The first quarter 2019 report and presentation are enclosed and available

through www.newsweb.no (Ticker: NEL) and www.nelhydrogen.com

ENDS

For further information, please contact:

Jon André Løkke, CEO, Nel ASA, +47 907 44 949

Bent Skisaker, CFO, Nel ASA, +47 468 21 693

About Nel ASA | www.nelhydrogen.com

Nel is a global, dedicated hydrogen company, delivering optimal solutions to

produce, store and distribute hydrogen from renewable energy. We serve

industries, energy and gas companies with leading hydrogen technology. Since its

origin in 1927 as part of Norsk Hydro, Nel has a proud history of development

and continuous improvement of hydrogen plants. Our hydrogen solutions cover the

entire value chain from hydrogen production technologies to manufacturing of

hydrogen fueling stations, providing all fuel cell electric vehicles with the

same fast fueling and long range as conventional vehicles today.