Nel ASA: Nel realigns relationship with Nikola and will support Fortescue on its 80 MW Phoenix Hydrogen Hub

02 Feb 2024 08:10 CET

(February 2, 2024 - Oslo, Norway) Nel ASA (Nel, OSE:NEL) and Nikola have
realigned their previous agreement, and at the same time Nel will become
Fortescue's supplier for their 80 MW electrolyser, for a total consideration of
about USD 20 million.

In 2018, Nel entered into a supply agreement with Nikola, followed by a firm
purchase order for 85 MW of electrolyser equipment in 2020 that has been
delivered. The two parties have now agreed to cancel the old supply agreement
(which also included Balance of Plant and fueling stations) and will agree to a
new agreement for 110 alkaline stacks and related Balance of Stack equipment
only (not included in the order backlog before a firm purchase order is made).
As a compensation for the changed scope Nel will receive about USD 9 million.

"We are pleased to have initiated a plan with Nikola that reflects Nel's
preferred scope of supply, and look forward to continuing our relationship with
the company," says Håkon Volldal, President and CEO of Nel.

At the same time, Fortescue's acquisition of Nikola's Phoenix Hydrogen Hub
includes the installation of 80 MW of electrolyser equipment previously
delivered by Nel to Nikola. In return for updated guarantees and warranties for
the equipment and changes in the scope of delivery, Nel will receive
approximately USD 11 million from Fortescue.

"Nel is thrilled to partner with yet another solid and committed company such as
Fortescue to develop the Phoenix Hydrogen Hub project. We look forward to
installing the equipment and supporting Fortescue on this important project,
which reached FID last year," 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

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.

This information is subject to a duty of disclosure pursuant to Section 5-12 of
the Norwegian Securities Trading Act. This information was issued as inside
information pursuant to the EU Market Abuse Regulation, and was published by
Wilhelm Finder, Head of Investor Relations, at NEL ASA on the date and time
provided.

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