Final Results Presentation, Aug 2016

FINAL RESULTS PRESENTATION AUGUST 2016 | LONDON

Presentation Contents:

• Key Financial Results

• Products

• Power-to-Gas Projects

• Clean Fuel Projects

• Hydrogen Transportation

• Detailed Financials | Andy Allen

£15.81m under contract | £0.51m in negotiation | total £16.32m


Pipeline (£m) up 61% Total Income (£m) up 56% Losses (£m) down 24%

FINANCIALS: OVERVIEW

ENERGY STORAGE | CLEAN FUEL

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

2014 2015 2016-8.0

-7.0

-6.0

-5.0

-4.0

-3.0

-2.0

-1.0

0.0

2014 2015 2016

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

2014 2015 2016

Cash + Debtors | £10.75m | 2.5x Losses

REFUELLING STATIONS | P2G UNITS

Power-to-Gas

Refuelling Stations


SNAPSHOT

SNAPSHOT£15.81m under contract | £0.51m in negotiation | total £16.32m

Power-to-Gas Energy Storage

• Reference plant in Germany with The Thuga Group

• Reference plant in Germany to RWE

• Contracts with National Grid

• Technology Collaboration with BOC Linde

Clean Fuel

• Siting agreement with Shell

• Fuel contract with Toyota

• Refueller siting with Hyundai US

• Siting and BD agreement with Arup

Corporate

• Strategic investment from JCB


MARKET OFFERING

MARKET OFFERINGRapid Response | High Pressure | High Efficiency | MW scale

• Rapid response: less than 1s; for primary grid balancing

• High pressure: up to 80bar; for direct injection

• High efficiency: 75% measured by Thuga Group; 87% measured by RWE (with heat recovery)

• MW scale: 1MW modules available today

• Compliant: EU and USA

• Operations: 2yrs in the field


STANDARD PRODUCTS

PEM OFFERING

85kg/day215kW

255kg/day670kW

545kg/day1.4MW

1,365kg/day3.5MW


FLEXIBLE PLATFORM

PEM OFFERING

23.5 tonnes/day30MW

1,365kg/day3.5MW


REGULATIONS, CODES & STANDARDS

A leading role in shaping hydrogen deployment

• Secretary of BCGA Technical Steering Committee 9

• Secretary and UK Expert to ISO Technical Committee 197

• UK Expert to ISO working groups…

• …for electrolysers, dispensers & H2 quality

• Next Chair of BSI PVE/3/8

HYDROGEN ENERGY SYSTEMS

COMPLIANCE

Code of Practice 41: H2 Fuelling StationsDesign & ConstructionMaintenance & Operation

ISO 19880-1: H2 Fuelling StationsISO 22734: ElectrolyserISO 14687: H2Quality

BSI PVE/3/8: H2 Systems StandardisationProduction & StorageTransport, Measurement & Use

P2G PROJECTS

WHY P2G

THE THÜGA GROUP

RWE

ZEAG

WHY POWER-TO-GAS?

POWER-TO-GAS RATIONALE

Electricity cannot be stored easily | Hydrogen can be stored easily in the gas grid

Source: ITM Power plc



ENERGY STORAGE TECHNOLOGIES

ENERGY STORAGE TECHNOLOGIES

Power-to-gas is efficient | long term | low energy cost

Source: ITM Power plc

32MWH BATTERY | P2G COST COMPARISON

BATTERY | P2G COST COMPARISON


Lithium Ion System (6,300 sqft)

• Project will cost $53.5m

• 8MW with 4hr duration | 32MWh

• $6.7m/MW | $1.67m/MWh

Power-to-Gas System (3,530 sqft)

• Project will cost $21.6m


• $2.7m/MW | $0.67m/MWh


• $2.7m/MW | $0.22m/MWh

The Tehachapi Energy Storage Project features 604,832 lithium-ion battery cells, housed in

10,872 modules of 56 cells each, stacked in 604 racks arranged in rows.Tehachapi Energy Storage Project


POWER-TO-GAS


1MW SALE TO ZEAG | DLR

1MW SALE TO ZEAG | DLR

Sale in Germany by competitive tender

• 1MW of electrolysis plus compressor for tube trailer filling

• Indoor deployment

• 5 year maintenance contract

BIG HIT | Orkney

Eday: Curtailed wind and tidal turbines

• 0.5 MW of electrolysis | 500kg storage

• Heating of school

Shapinsay: Curtailed wind

• 1MW of electrolysis

• Heating of school

Orkney Mainland:

• 75 kW FC: heat and power to harbour and marina

• H2 refuelling station | 10x FC vans

• Transport: 5x 250 kg tube trailers


POWER-TO-GAS IN UK

POWER-TO-GAS | ORKNEY

CLEAN FUEL

CARS

FUEL CELL CAR ROLLOUT

1

AWA I T I N G

A N N O U N C E M E N T


FUEL CELL VEHICLES

VEHICLES | ROLL OUT

WHAT IS A FUEL CELL VEHICLE?

An EV drive train that’s refuelled rather than recharged


ITM EXISTING AND PLANNED HRS SITES

STATION LOCATIONS

ITM Power |Owned StationsNumber Project Funding Match Location Ely Dispenser Planning Build Status Delivery Notes

HRS 001 M1 TSB OLEV AMP Sheffield 80 350/700 approved Operational Delivered OLEV upgrade

HRS 002 Riverside CEC USA 33 700 approved Operational Delivered US power (60 herz)

HRS 003 HyFive_1 FCH JU OLEV NPL 80 350/700 approved Operational Delivered Public Access

HRS 004 HyFive_2 FCH JU OLEV CEME 80 350/700 approved In build Oct-16 Opening October 11 2016

HRS 005 HyFive_3 FCH JU OLEV Shell Cobham 80 700 approved In build Dec-16 Civils complete Aug 16

HRS 006 BIG HIT FCH JU Orkney 450 350 pre planning In design Apr-17

HRS 007 H2ME OLEV FCH JU Shell Beaconsfield 150 350/700 pre planning In build Aug-17 Full forecourt integration

HRS 008 H2ME OLEV FCH JU Shell Gatwick 150 350/700 approved In build Aug-17 Toyota preferred site

HRS 009 H2ME2_1 FCH JU Site TBC 164 350/700 pre planning Contracts 2017

HRS 010 H2ME2_2 FCH JU Site TBC 164 350/700 pre planning Contracts 2017

HRS 011 H2ME2_3 FCH JU Swindon 164 350/700 approved Contracts Mar-17

Build own and operate model

• 5 operational HRS by 2016 year end

• 2 further HRS sales (Chino and HDF)

• Collaboration wth BOC Linde

FCEV REFUELLING STATION

VEHICLES | ROLL OUT

WHAT IS AN FCEV REFUELLING STATION?

FCEV REFUELLING STATION

VEHICLES | ROLL OUT

WHAT IS AN FCEV REFUELLING STATION?

ITM Power Electrolyser

80kg/day expandable to

500kg/day in 20ft container

Dispenser

350 and 700 bar refuelling point

Buffer Tank

20bar 15m3 tank

BOC | Linde Compression

Ionic Compressor and gas storage,

600kg/day

Payment Unit

Card reader, touchscreen and

printer for cash register receipt

Tube trailer connection

Off take of hydrogen for back up

supply and other applications

SHELL COBHAM

UK INFRASTRUCTURE ROLL OUT



SHELL EXTRA SERVICES AT COBHAM (M25)

SHELL FORECOURT AGREEMENT

*Source: ITM Power

BUS HRS CONFIGURATIONS

BUS REFUELLING STATIONS

FINANCES

DEAL PIPELINE


DEAL PIPELINE


0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

31/07/2014 31/07/2015 31/07/2016

£m

Results announcements

Pipeline at Year end - Progress

Under Contract In Negotiation

0m

2m

4m

6m

8m

10m

12m

14m

16m

18m

20m

22m

24m

Contract Pipeline

Under Contract In Negotiation

PRODUCT SALES | PROJECT INCOME


PRODUCT SALES | PROJECT INCOME


For year ending April 30th 2014

• £3.12m total inflow

• £1.16m product sales

• £1.96m project funding








• £6.25m project funding -

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

14,000,000

16,000,000

2010 2011 2012 2013 2014 2015 2016 2017Brokernote

2018Brokernote

Sales Revenue

Project Income

PROJECT INCOME


PROJECT INCOME

£0

£1,000,000

£2,000,000

£3,000,000

£4,000,000

£5,000,000

£6,000,000

£7,000,000

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Collaborative Project Funding

In negotiation

Secured

Paid














LOSSES | FINANCIAL ASSETS


LOSSES | FINANCIAL ASSETS


• Post 2014, starting with Mainova

• Continued cost control

• Reductions in losses

• 2016 Financial Assets = 2x losses

COMPANY RESEARCH

COMPANY RESEARCH


Zeus Capital

• In-house broker and NOMAD

• Tom McColm

Roth Capital

• US placing agent

• Craig Irwin

Align Research

• Equity holder

• Mark Parfitt

Key Financial Results for the period ended 30 April 2015:

Total Revenue & Grant Funding of £8.19m (2015: £5,061m) up 56%, comprising:

Revenue - £1.930m (2015: £1.635m) up 18%

Grant income - £3.188m (2015: £1.777m) up 80%

Grants receivable for capital projects - £3.069m (2015: £1.649), up 86%

Increase in property, plant and equipment to £3.024m from £2.546m, up 19%

Loss from operations £4.359m (2015: £5.723m), down 24%

Cash balance £3.336m (2015: £6.576m), down 49%

Debtors £6.487m (2015: 4.113m), up 58%

Development costs of £0.252m recognised in the year


Commercial progress to date:

A Total of £16.32m of projects under contract or in the final stages of negotiation

£15.81m of projects under contract

£0.51m of contracts in the final stages of negotiation

Strongly developing pipeline of commercial sales and funded projects


Final Results Presentation, Aug 2016

Documents

Transcript of Final Results Presentation, Aug 2016