Quantafuel — Investor Presentation 2020

Mar 30, 2020

Transforming plastic waste into valuable low-carbon products

Disclaimer – Important notice

This presentation (the "Presentation") has been prepared by Quantafuel AS (the "Company") and is made solely for information purposes. The Presentation does not constitute any recommendation to buy, sell or otherwise transact with any securities issued by the Company.

No representation, warranty or undertaking, express or implied, is made by the Company and no reliance should be placed on the fairness, accuracy, completeness or correctness of the information or the opinions contained herein. The Company shall have no responsibility or liability whatsoever (for negligence or otherwise) for any loss arising from the use by any person or entity of the information set forth in the Presentation. All information set forth in the Presentation may change materially and without notice. In making the Presentation public the Company undertakes no obligation to provide additional information or to make updates thereto. The information set forth in the Presentation should be considered in the context of the circumstances prevailing at the date hereof and has not been and will not be updated to reflect material developments which may occur after such date unless specifically stated in such update(s).

Matters discussed in the Presentation could include "forward looking statements". "Forward looking statements" are statements that are not historical facts and are usually identified by words such as "believes", "expects", "anticipates", "intends", "estimates", "will", "may", "continues", "should" etc. These "forward looking statements" reflect the Company's beliefs, intentions and current expectations concerning, among other things, the Company's results, financial condition, liquidity position, prospects, growth and strategies. "Forward looking statements" include statements regarding: objectives, goals, strategies, outlook and growth prospects, future plans, events or performance and potential for future growth, liquidity, capital resources and capital expenditures, economic outlook and industry trends, developments in the Company's market, the impact of regulatory initiatives and the strength of the Company's competitors. "Forward looking statements" involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. The "forward looking statements" included herein are based upon various assumptions, many of which, in turn, are based upon further assumptions. This includes, without limitation, the Company's review of historical operating trends, data contained in the Company's records and data available from third parties.

Although the Company believes that these assumptions were reasonable when the relevant statements were made, they are inherently subject to significant known and unknown risks, uncertainties, contingencies and other factors which are difficult or impossible to predict and which are beyond the Company's control. "Forward looking statements" are not guarantees of future performance and such risks, uncertainties, contingencies and other important factors which are inherent thereto could cause the actual results of operation, financial condition and liquidity position of the Company or the industry in which it operates to differ materially from those results which, expressed or implied, are contained herein. No representation to the effect that at any of the "forward looking statements" or forecasts will come to pass or that any forecasted result will be achieved are made.

The Presentation and the information contained herein does not constitute or form a part of and should not be construed as an offer for sale or subscription or of solicitation or invitation of any offer to subscribe for or purchase any securities issued by the Company.

Impact of corona

• All employees in Norway working from home
• No lay-offs planned
• Progress in Denmark, but with reduced manning on site, app 50%
• Challenges with suppliers not able to travel
• China
• Switzerland
• Some challenges with supplies of parts
• Sufficient financing to stand through completion and through the year.
• Working on support packages both in Norway and Denmark

T E C H N O L O G Y R E F I N E M E N T S

Feedstock handling system ¹

3

T E C H N O L O G Y R E F I N E M E N T S

Unique catalyst solution

T E C H N O L O G Y R E F I N E M E N T S

Distillation column and storage

Partners supporting our strategy

Started preparation for two large scale projects – goal of 5

• Aligned to start preparation for two large sites
• Antwerp and Amsterdam
• 100.000 ton + capacity per location
• Pre-engineering, site allocation, permitting, feed-stock supply, location, budgets
• 50/50 JV structure Vitol QF
• 2 X 100 MUSD investment
• 150 MUSD revenue 100 MUSD EBITDA potential
• FID right after Skive
• Pre-project financed by Vitol

Antwerp

Amsterdam

Strategic partnership with BASF

Largest chemical company in the world with 65 BEUR turnover and 115.000 employees.

• 20 MEUR investment 10 MEUR equity, 10 MEUR convertible bond
• Access to process and operation capacity for the start-up of Skive
• Engineering resources to reach industrial scale roll-out
• Off-take in Denmark to build the market
• Development of a naphtha solution
• Intention to replace part of the 20 MTON use of naphtha with recycled material
• None-exclusive agreement
• Collaboration agreement signed

M A R K E T

Market Price Structure

Biodiesel/ HVO with doble counted feedstock = ULSD+(RME-ULSD)X2

HVO: Price observations show approx. 20% premium of RME

RME: Price for RME in NWE @ 914 USD/mt (17/3-20)

ULSD: Price for diesel in NWE @ 350 USD/mt (17/3-20)

• EU's RED II inclusion of Recycled Carbon Fuels (RCFs), makes Quantafuel's products equivalent to biofuels
• Quantafuel's diesel specifications, cold properties and GHG savings are closer to HVO than RME
• Quantafuel feedstock is based on waste plastic, but not yet listed amongst EU's double counted feedstock

Price Volatility and Market Drivers

Drivers

• Global market sentiment
• OPEC
• Geopolitics
• Etc.

Diesel

• EU and US (California) political policies

• Harvests yields

Chemical recycling opens naphtha as high potential

S U S T A I N A B I L I T Y The sustainability case for chemical recycling

• Reduces demand for virgin oil and gas
• Increases resource efficiency by "rescuing" waste from incineration or landfill
• Upcycling: mixed plastic waste can be upgraded to food-grade packaging
• Complements mechanical recycling by treating plastic waste unfit for existing recycling methods

Huge demand for recycled content

	PACKAGING DESIGN	RECYCLED CONTENT
	%, by weight, of plastic packaging reusable, recyclable, or compostable 2025 Target 2018	%, by weight, of post- consumer recycled content in plastic packaging 2018 2025 Target
1. Nestlé	65%	15% 2%
2. Procter & Gamble		NOT A GLOBAL COMMITMEN
3. PepsiCo	77%	3% 25%
4. AB InBev		NOT A GLOBAL COMMITMEN
5. Unilever	$-50\%$ *	<1% 25%
6. JBS		NOT A GLOBAL COMMITMEN
7. Tyson Foods		NOT A GLOBAL COMMITMEN
8. Mars, Incorporated	19%	L 0% 30%
9. The Coca-Cola Company	99%**	N/A*** 9%
10. L'Oréal	$N/A$ ****	5% 40%

Companies from across the plastics value chain have committed to quadruple postconsumer recycled content by 2025

P O L I C Y A N D R E G U L A T I O N EU targets and actions drive the market

50% recycling of plastic packaging by 2025

Pledge to use more than 10 million tonnes of recycled plastic in 2025

Strengthened Waste Framework Directive

Strategy for Plastics in the Circular Economy calls for innovation in chemical recycling

Circular Economy Action Plan published March 2020

"The Commission will propose mandatory requirements for recycled content" EU Circular Economy Action Plan

P O L I C Y A N D R E G U L A T I O N Tighter regulation expected

Circular economy will become the norm for policy-making

Higher recycling targets

Polluter pays-principle strengthened: Higher CO2 tax on incineration

Requirements for recycled content in products

Forthcoming EU Chemicals Strategy for Sustainability to develop regulation further

QF Project portfolio 2020

• All QF projects to follow a standard execution template
• DG process for qualification and evaluation
• Current capacity 2 plants(FEEDs)/year

Portfolio:

• Skive 1 20000 T/y, in comissioning/start-up
• QF MK 2 40000 T/y, in FEED, scalable through duplication
• QF MK 2 light 10000 T/y, focus on durability/flexibility
• QF MK 3 new reactor, catalyst etc. capacity > 100000T/y
• QF MK2 Skive 2 40000 T/y

QF MK2 FEED plan

QF MK 2 – 40000T/y typical layout

QF MK 2 – 80000T/y typical layout

To the beginning of a partnership