REC Silicon

Earnings Release • Feb 12, 2019

REC Silicon - Fourth quarter 2018 results

REC Silicon - Fourth quarter 2018 results

Fornebu, Norway - February 12, 2019: REC Silicon ASA (REC Silicon) reported

fourth quarter 2018 revenues of USD 48.9 million, compared to 43.7 million in

the third quarter. The corresponding EBITDA during the quarter was a loss of USD

3.8 million compared to a loss of USD 6.1 million in the previous quarter.

Polysilicon sales volume for the quarter was 1,270 MT compared to 658 MT in the

prior quarter, while inventory decreased by 26 MT.

REC Silicon reported a cash balance of USD 31.8 million on December 31, 2018.

This represents a decrease of USD 9.2 million compared to September 30, 2018.

Cash outflows from operations was USD 8.7 million for the quarter which included

interest payments of USD 6.3 million.

Silicon gas sales volumes for the fourth quarter were 920 MT compared to

guidance of 850 MT. Silane gas prices decreased by 1.6 percent compared to the

third quarter. Fourth quarter semiconductor polysilicon production was 313 MT

compared to guidance of 340 MT.

The FBR facility in Moses Lake continued to operate at approximately 25 percent.

FBR production was 1,209 MT in line with guidance of 1,190 MT. FBR cash costs

were USD 14.6/kg compared to guidance of USD 15.3/kg.

REC Silicon's Board of Directors will consider a 2-month curtailment of

production at the facility in Moses Lake near March 1, 2019 to reduce FBR

inventories. At that time, REC Silicon's Board will consider whether trade

negotiations between the United States and China are likely to result in REC

regaining access to the China market for solar grade polysilicon and the overall

outlook for the polysilicon market. A decision to temporarily curtail production

at Moses Lake will not result in a workforce reduction. Customer demand will be

met through the sale of REC Silicon's existing inventories.

For more information, please see the attached fourth quarter 2018 report and

presentation.

A presentation of the results will be held at 08:00 a.m. CET at Høyres Hus

Konferansesenter, Stortingsgaten 20, Oslo, Norway. The presentation will be in

English.

The company will give a presentation at 8:00 am CET today at Høyres Hus

Konferansesenter, Stortingsgaten 20, Oslo, Norway. The presentation will be in

English.

A live webcast from the presentation can be accessed at www.recsilicon.com or

with the following link:

http://webtv.hegnar.no/presentation.php?webcastId=97602872

It will also be possible to listen to the presentation through a conference

call. Please make sure to dial in 5-10 minutes prior to the scheduled start time

on one of the following numbers:

Norway Dial-in (Tollfree/Freephone): 800 51 084

Norway, Oslo (Dial-in Local): +47 2100 2610

United Kingdom (Dial-in Tollfree/Freephone): 0800 358 6377

United Kingdom (Local Dial-in Local): +44 (0) 330 336 9125

United States (Dial-in Local): +1 929 477 0324

United States/Canada (Dial-in Tollfree/Freephone): 800 458 4121

Other international: +44 (0) 330 336 9125

Please provide confirmation code 4787028 and state your name, company and

country of residence.

For further information, please contact:

James A. May II, Chief Financial Officer

Phone: +1 509 989 1023

Email: james.may@recsilicon.com

Nils O. Kjerstad

IR Contact

Phone: +47 9135 6659

Email: nils.kjerstad@crux.no

About REC Silicon

REC Silicon is a leading producer of advanced silicon materials, delivering

high-purity polysilicon and silicon gas to the solar and electronics industries

worldwide. We combine over 30 years of experience and proprietary technology

with the needs of our customers, with annual production capacity of more than

20,000 MT of polysilicon from our two US-based manufacturing plants. Listed on

the Oslo Stock Exchange (ticker: REC), the Company is headquartered in Fornebu,

Norway.

For more information, go to: www.recsilicon.com

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.