Nel ASA

Nel ASA: Expanding production capacity in Wallingford

(February 28 - 2023, Oslo, Norway) Nel ASA (Nel, OSE:NEL): Nel has taken the

final investment decision to expand the production capacity at its PEM

electrolyser manufacturing facility in Wallingford, Connecticut. The expansion

will bring annual production capacity towards 500 MW in 2025.

"This is an important milestone for Nel," says Nel's CEO, Håkon Volldal. "With

this expansion, we will increase PEM production capacity substantially and

simultaneously reduce stack cost and improve stack efficiency."

The investment cost is estimated at approximately NOK 260 million, and the new

production line is expected to reach nameplate capacity in 2025.

"Last year we opened the world's first fully automated alkaline electrolyser

plant in Herøya, Norway. Now we will industrialize the PEM platform, and the

expansion in Wallingford is an important first step", says Volldal.

The development of the ~500 MW PEM production line will be a substantial

contributor to further expansion plans in the US, where developing a quality

production concept is crucial for preparing Nel's planned Gigafactory.

The planned Gigafactory will have a potential of up to ~4 GW production

capacity, distributed between both PEM and Alkaline.

"We are considering three attractive alternatives in three different states and

will make a final decision shortly," says Volldal.

Nel is also expanding in Norway. The company recently started constructing the

second production line at the Herøya facility, and the production capacity is

expected to reach approximately 1 GW in April 2024.

"During the last months, we have received significant purchase orders for large

-scale electrolyser projects. Therefore, we have ramped up production from three

to five shifts, meaning that production is now running around the clock, also on

the weekends", says Volldal.

ENDS

For additional information, please contact:

Kjell Christian Bjørnsen, CFO, +47 917 02?097

Wilhelm Flinder, Head of Investor Relations, +47 936 11 350

Lars Nermoen, Head of Communications, +47 902 40 153

About Nel ASA | www.nelhydrogen.com

Nel has a history tracing back to 1927 and is today a leading pure play hydrogen

technology company with a global presence. The company specializes in

electrolyser technology for production of renewable hydrogen, and hydrogen

fueling equipment for road-going vehicles. Nel's product offerings are key

enablers for a green hydrogen economy, making it possible to decarbonize various

industries such as transportation, refining, steel, and ammonia.

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