Plug Power, Inc. · NASDAQ:PLUG
Plug Power — Investor Day (October 2023)
168 slides from Plug Power's investor day presentation, Oct 11, 2023
Slide 1: Plug Symposium Welcome
Copyright 2023, Plug Power Inc. October 11, 2023 Andy Marsh, President and CEO Plug Symposium Welcome
Slide 2: Forward-looking statements
This presentation includes “forward - looking statements” about Plug Power Inc . (“Plug”) . These forward - looking statements contain projections of Plug’s future results of operations, or of Plug’s business or financial position, or other forward - looking statements . Plug intends these forward -
Slide 3: Today's Agenda
3 Main Stage Broadcast: 8:30 – 10:30 Opening Remarks: Andy Marsh, CEO Financial Roadmap: Paul Middleton, CFO State of the Industry: Jack Brouwer, University California Irvine Societal Value of Green Hydrogen: Tim Cortes, CTO Dr. Luke Wentlent , Principal/Senior R&D Engineer Plug and the Evolving Hyd
Slide 4: The Hydrogen Economy by 2030
4 The Hydrogen Economy by 2030 “Clean hydrogen is the Swiss army knife of zero - carbon technologies. If we get it right, it can do just about everything.” “RePowerEU calls for an EU production target of 10 million tons of clean hydrogen by 2030 along with 10 million tons of imported clean hydrogen
Slide 5: The Plug Ecosystem
The Plug Ecosystem #4 Ws a ~ \Né a ~~: " Fes “a , » S is _~ ate \ Sy | ee wiE @®e' | | q F y i & ! I | | oly ; re my | ag i) ay Power Source i) ‘Trenspors ag S, Hydrogen ay Dispense aj : Hydrogen Hydrogen Ly > Store & Handle Produce & Liquefy Hydrogen = (hey Be Use Hydrogen ry
Slide 6: Plug has made the investments to capture the opportunity
6 Plug has made the investments to capture the opportunity Production Plants 1MW Fuel Cell Power System LH 2 delivery network Renewable generation HyVia Van Hydrogen Infrastructure
Slide 7: Near Term Business Accelerators
7 Near Term Business Accelerators Regulations Business Expansion Margin Enhancement Non - dilutive Funding
Slide 8: Regulations: Inflation Reduction Act
8 Follow the law Key: Regionality The bigger the region, the better Inflation Reduction Act (IRA) Regulations
Slide 9: Plug and Fortescue partnering to build out the Green Hydrogen Economy
9 9 Business Expansion: Plug and Fortescue partnering to build out the Green Hydrogen Economy Both Plug and Fortescue share a common mission to build out and scale up a global green hydrogen ecosystem. Green hydrogen is critical to the decarbonization of hard - to - abate industries, such as long -
Slide 10: Korea partnerships and hydrogen network
10 Leading Vehicle OEM/ Myoung Shin Transit Bus Program 1 MW Electrolyzer – first Korean certification of PEM Stack 1MW Stationary Pilot Project SK Plug Hyverse , Coupang and Kendall Square MOU Hyverse HRS Network Accelerating the Korean H 2 Economy 2024: 300 buses estimated 2025: 500+ / year estima
Slide 11: Gross Margin Expansion: Hydrogen Generation
11 Gross Margin Expansion: Hydrogen Generation - 100 200 300 400 500 600 700 $- $2.00 $4.00 $6.00 $8.00 $10.00 $12.00 2023 2024 2025 2026 2027 MTPD Delivered Delivered $/KG Avg Delivered Molecule Cost Externally Sourced Internal Production Avg $/KG Delivered
Slide 12: Why We Believe
WHY WE BELIEVE From 2020 to now… let’s look
Slide 13: ~3 Years and More Power
13 ~3 Years and 150 Times More Power Class 1 10KW system 1MW Fuel Cell System Fuel Cell Products 2020 Today
Slide 14: ~3 Years and 1,900% More Capacity
14 ~3 Years and 1,900% More Capacity Manufacturing Capacity 2020 Today 50,000 Square feet Nearly 1M Square feet
Slide 15: Hydrogen Production Plants
15 Hydrogen Production Plants 2020 Today Operational Tennessee – 10TPD Final Commissioning Georgia – 15TPD Under Construction Louisiana – 15TPD Texas – 45TPD New York – 74TPD Under Development Antwerp – 35TPD Finland – 3 sites - 85TPD H2 + 70 kt ammonia - 2 mt DRI/HBI/100TPD H2 Denmark – 1 site Fran
Slide 16: Plug is the Global Green Hydrogen Leader
16 Plug is the Global Green Hydrogen Leader We have a huge market opportunity We have unmatched market knowledge We have unmatched products We have unmatched infrastructure We have unmatched customer validation We have a clear vision of the future
Slide 17: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 18: Financial Roadmap
Copyright 2023, Plug Power Inc. Plug Symposium Financial Roadmap Paul Middleton, CFO October 11, 2023
Slide 19: 2023 ~$1.2B, 2027 ~$6B, 2030 ~$20B
2 2023 ~$1.2B 2027 ~$6B 2030 ~$20B
Slide 20: Strong Differentiated Platform
3 Strong Differentiated Platform Broad foundation of technologies Deep relationships New investments Strong cost discipline
Slide 21: 2023 Revenue Outlook ~$1.2B
4 Electrolyzer Stationary power On - road Green hydrogen Material handling 2023 Revenue Outlook ~$1.2B 27% 73% 2nd Half ‘23 ~$730M Q3 Q4 45% 55% 1st Half ‘23 ~$470M Q1 Q2
Slide 22: Strategic Forecast 2027 and 2030
5 5 2027 Forecast Rev ~$6B GM% ~32% 2030 Forecast Rev ~$20B GM% ~35% Strategic Forecast
Slide 23: Hydrogen Investment Accelerating Revenue Growth
6 6 ~ $1.20 B ~ $6 B ~ $20 B ~ $1.75 B ~ $5 B 2023 2027 2030 Plug Power, Inc. Non-consolidated JVs CAGR ~50% Hydrogen Investment Accelerating Revenue Growth (forecast in billions)
Slide 24: Revenue Roadmap
7 Revenue Roadmap Revenue Forecast Roadmap 2023 2027 2030
Slide 25: Projected Revenue by Region
8 8 Projected Revenue by Region
Slide 26: 2030 Target Business Model
9 2030 Target business model >35% gross margin ~13% OPEX leverage Continue innovation Vertical integration Supply chain leverage Policy OPEX leveraging
Slide 27: Equipment, Fuel and Service Improvements
10 Equipment Improvements Fuel Improvements Service Improvements
Slide 28: 11
11
Slide 29: Debt & Project Capital Solutions
12 Debt & Project Capital Solutions Corporate Debt Solutions Project Finance Project Equity Partners DOE Loan Program
Slide 30: 2023 ~$1.2B 2027 ~$6B 2030 ~$20B
13 2023 ~$1.2B 2027 ~$6B 2030 ~$20B
Slide 31: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 32: The Societal Value of Green Hydrogen
Copyright 2023, Plug Power Inc. Plug Symposium The Societal Value of Green Hydrogen Tim Cortes, CTO Dr. Luke Wentlent, Principal R&D Engineer In collaboration with Dr. Robert Flores and Dr. Jeffrey Reed, University of California, Irvine October 11, 2023
Slide 33: Limited green hydrogen supply over next 5 to 10 years
Given the significant market demand outpacing the scale up of hydrogen generation projects, there will be a limited amount of green hydrogen available to be deployed over the next 5 to 10 years.
Slide 34: Green Hydrogen deployment
3 Green Hydrogen Until the green hydrogen economy reaches maturity, there will be a limited supply available. During this maturation process, most large, hard - to - abate industries are expected to consume significant percentages of the green hydrogen produced, if not all of it. What is the best wa
Slide 35: Societal Value of Green Hydrogen
4 Societal Value of Green Hydrogen The value of various decarbonization technologies can be quantified and the value to society calculated. Context In today’s market, green hydrogen is generally cheaper than fossil fuel when the environmental damage costs are considered. Various impact factors can b
Slide 36: Societal Value of Green Hydrogen: Preliminary Assessment
5 Societal Value of Green Hydrogen The value of various decarbonization technologies can be quantified and the value to society calculated. Preliminary Assessment A PEM Fuel Cell Class 8 truck has a societal benefit of ~$12.31 per kg of H 2 deployed when compared to diesel. We looked at the cumulati
Slide 37: Societal Value of H2 vs. Diesel and BEV
6 6 Class 3 Trucks Scope of Analysis Full Fuel/Electricity and Truck Inventories Societal Value of H 2 vs. Diesel: • PEM Fuel Cell 250 Mile: $6.05/kg H2 • PEM Fuel Cell 250 mile – 0.65 Load Factor: $0.86/kg H2 • H2 Combustion 85 mile: $0.60/kg H2 • H2 Combustion 250 mile: $0.42/kg H2 Societal Value
Slide 38: Hard-to-Abate Sectors: Societal Value
7 7 Hard - to - Abate Sectors: Societal Value Societal Value of the referenced technology vs the incumbent. In most applications, there is a large societal value of deploying green hydrogen. However, in some areas it can make an outsized impact. Plug is doing the work to carefully understand where,
Slide 39: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 40: Ready Now: Integrated Hydrogen Solutions
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room Ready Now: Integrated Hydrogen Solutions Preeti Pande , CMO Don Govel , Director of Market Strategy October 11, 2023
Slide 41: The Hydrogen End-to-End Integrated Solution
2 The Hydrogen End - to - End Integrated Solution Only from Plug MOLECULES DELIVERY SERVICE Support through every step of the ecosystem DEVICES STORAGE & DISPENSING
Slide 42: Industry contracts evolution
3 Pre 2013 2014 - 2019 2020 - Present Industry Contracts 3 rd Party Industry Contracts + MOLECULES DELIVERY DEVICES STORAGE & DISPENSING + + 3 rd Party 3 rd Party 3 rd Party
Slide 43: The Customer Voice
4 The Customer Voice Clear impact on customer operations “We move 40% more volume during a nine - hour shift with fuel cells than we did with batteries” Operations Manager, Refrigerated Warehouse “I could feel the difference just from driving the lift to the refueling station for the first time. I’l
Slide 44: Plug's Green Hydrogen Ecosystem
5 Liquid Hydrogen Storage LH 2 Truck Loading Locally Stored Hydrogen LH 2 Tankers Hydrogen Generation Hydrogen Liquefaction Hydrogen Processing Dispense Hydrogen Use Hydrogen Plug’s Green Hydrogen Ecosystem
Slide 45: Broad and Strong Technology Foundation
6 < 5 kg per day 15 – 45 kW PEM FUEL CELL STACK < 5 kW 3 – 10 kW 30 – 85 kW 85 - 250 kW 1MW – 50MW+ 500 – 5000 kg per day 15 – 60 tons per day Giga scale PEM ELECTROLYZER STACK Broad and Strong Technology Foundation
Slide 46: Logistics integrated solution deal size
Logistics $10 - $30M Total combined deal size for complete integrated solution 2.7x HYDROGEN SUPPLY 1.2x . HYVIA TRUCKS Deal Size = 1x HYDROGEN SUPPLY HYDROGEN SUPPLY STATIONARY POWER STATIONARY POWER TURNKEY SOLUTION TURNKEY SOLUTION TURNKEY SOLUTION
Slide 47: Back-up Power and Microgrids
8 HYDROGEN SUPPLY (5 Years) Hydrogen Supply HYVIA TRUCKS BACK - UP POWER BACK - UP POWER Microgrids (1 MW – 50 MW)
Slide 48: Maritime Ports
9 HYDROGEN SUPPLY (5 Years) Hydrogen Supply HYVIA TRUCKS BACK - UP POWER BACK - UP POWER Maritime Ports
Slide 49: Plug Growth
10 Plug Growth One - stop - shop Integrated Solutions is Plug strategy Strong partnerships Core technology and hydrogen on - site key to making integrated solutions a reality Expandable Platform Leveraging hydrogen infrastructure for deeper decarbonization Catalyzing the Hydrogen Economy Building th
Slide 50: Green Hydrogen at Work
pl, Green Hydrogen at Work”
Slide 51: Tyson Customer Case Study
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Tyson Customer Case Study - Fuel cells for forklifts - expanding the value proposition Tyson and Plug Partnership Jose Luis Crespo, General Manager, Applications, Plug Tim Terrill, VP, Sales & Logistics, P lug Matthew Portugal, Automation
Slide 52: Transforming Logistics for a Sustainable Future
2 Join us on a journey to explore how Tyson and Plug have come together to revolutionize logistics while championing sustainability. Transforming Logistics for a Sustainable Future Tyson and Plug Partnership
Slide 53: ss Pierre” ny Reh
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Slide 54: From a Conversation to Commitment
4 From a Conversation to Commitment The Genesis of Partnership Matt Portugal , continuous improvement leader at Tyson Foods and a key catalyst for change, was looking to solve high value productivity and sustainability challenges at Tyson Foods (Matt’s brother - in - law made the introduction to Plu
Slide 55: Pioneering Success: Driving Productivity, Reducing Carbon Footprint
5 Pioneering Success: Driving Productivity, Reducing Carbon Footprint How - Tyson Foods and Plug agreed on a month - long pilot and selected a Pilot site Where - Plug converted 4 battery powered forklifts to fuel cells at Tyson’s Pottsville, PA facility Results – Overwhelmingly positive business cas
Slide 56: Shaping the Future: Expanding Horizons
6 • Tyson’s speed of decision to roll out fuel cells to multi - site • Leveraging Plug’s hydrogen product offering and project management expertise Together, we are shaping a sustainable future Shaping the Future: Expanding Horizons and Sustainability Goals
Slide 57: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 58: Fuel Cells for Charging Battery Electric Vehicle Fleets
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Fuel Cells for Charging Battery Electric Vehicle Fleets Jose Luis Crespo, General Manager, Applications Deepesh Goyal, VP and Amazon Account Executive October 11, 2023
Slide 59: Fleets committed to EV adoption
2 Large commercial fleets have committed to EV adoption as part of Net Zero targets
Slide 60: Fleet EV Charging
3 Fleet EV Charging Up to 1:1 ratio of EV chargers to vehicles required for commercial fleets Typically 20kW - 50kW each for LCV’s, 150kW+ for HD vehicles. An EV charger pulls current from an outlet or the grid and delivers that electricity to the vehicle. Chargers can range from 5kW to 350kW 1 – 5
Slide 61: EV adoption: The grid infrastructure challenge
4 4 EV adoption: The grid infrastructure challenge Grid availability: Utilities dealing with grid congestion in desirable areas for EV deployment, not having immediate grid capacity to provide MW - scale interconnection Grid upgrade cost: Major investment sometimes required to upgrade the grid or on
Slide 62: High-Power Stationary Fuel Cell System for EV Charging
Plug’s High-Power Stationary Fuel Cell System for EV Charging /\/\/\ AC Power DC Power mums Green Hydrogen ny
Slide 63: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 64: United Rentals and Plug Mobile Generation
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: United Rentals and Plug Mobile Generation Jose Luis Crespo, General Manager, Applications, Plug Rick Mason, VP, Product and Program Management, P lug Dan Gribbel , Sales and Marketing Director, United Rentals October 11, 2023
Slide 65: Mobile Generation Opportunity
2 2 Separate Power Rental Market (from $20B+ generator sales market) Customers are asking for diesel alternatives Expected CAGR >6% through 2030 Mobile Generation Opportunity TAM: $9.8B : >250K Units SAM: NA/Euro: $4.7B - 48.3% SOM: $1.7B - 37% (up to 500kW) w/ Partner
Slide 66: United Rentals Company Overview
3 Company Overview United Rentals is the North American equipment rental leader #1 Market Share (1) • 2021 total revenue $9.72 billion (+13.9% Y/Y) • 2021 adjusted EBITDA (2) $4.41 billion (+12.3% Y/Y; 45.4% margin) 1,331 locations across North America (3) • 1,188 branches in the U.S.; locations in
Slide 67: United Rentals Branch locations
4 United Rentals Branch locations Largest, broadest and most diverse footprint in North America North American branch count 1,331 (1) • General Rentals: 861 locations • Specialty: 470 locations (2) Largest U.S. states by number of locations (1) • Texas: 164 • California: 117 • Florida: 80 • Louisian
Slide 68: Core values provide the foundation of our culture
5 Core values provide the foundation of our culture Building a better future is our commitment to the people and communities we serve Visible Leadership Lead by example in every business decision and action, with a sense of humility and responsibility. A Passion for People Build a diverse workplace
Slide 69: Plug & United Rentals
6 United Rentals Needs: Green power solutions: • 50% of fleet less than 500kW • Ideal size of 30kW • Long run times North American hydrogen network • 2 - 3X diesel cost to start Siting support / Experience with local authorities Partner with similar core values Plug can provide: Fuel cells / Integra
Slide 70: Mobile generation launch plan
7 Targeting ~200 miles from Woodbine, GA Targeting 30kW Genset Prototype by YE 2023 Hydrogen Storage Options: • 150kg Single Pod (~10ft / >2.25MWh) • Large HPTT up to 800kg (>12MWh) Planned Initial Launch Future expansion to Texas, Louisiana, New York
Slide 71: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 72: ECL Customer Case Study: Fuel Cells for Primary Data Center Power
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: ECL Customer Case Study Fuel Cells for Primary Data Center Power Jose Luis Crespo, General Manager, Applications, Plug Darin Painter, VP, Stationary Sales Yuval Bachar, CEO, EdgeCloudLink October 11, 2023
Slide 73: Disclaimer
DISCLAIMER Forward - looking Statements These materials contain forward - looking statements that are based on our management’s beliefs, assumptions and expectations, and on information currently available to our management . Generally, you can identify forward - looking statements by terms such as
Slide 74: Datacenters - Stationary Value Proposition
3 3 Regulatory and grid constraints / sustainability commitments are impacting capacity growth • Growing demand for cloud and AI processing capacity • Global problem with increasing urgency from customers • Significant scale opportunity (300MW+ at a single location) • Plug's value proposition for st
Slide 75: ECL Data Center Solution
BLUE SKY For Data Center Environmentalists Zero Emission Zero Water Use No Greenwashing Optimal Efficiency (PUE) Circular Economy Zero Waste Construction ECL Data Center Solution Community Integration • Zero Emission • Zero Water Use • 100% Green Power • High Efficiency - PUE 1.05 • No Diesel Genera
Slide 76: The ECL Product
T he ECL Product Fully - sustainable Data Center as a Service for private colocation or on - prem applications
Slide 77: Changing the Data Center Economy
CHANGING THE DATA CENTER ECONOMY Typical ECL data center power • 10MW of IT load • 24/7/365 operations • 15TPD Hydrogen consumption ECL Projections
Slide 78: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 79: Emerging Grid Applications - Microgrids and Peaker Plants
Copyright 2023, Plug Power Inc. PLUG Symposium Breakout Room: Emerging Grid Applications - Microgrids and Peaker Plants Jose Luis Crespo, General Manager, Applications, Plug Darin Painter, VP, Stationary Sales, P lug Kevin Kopczynski, VP, Strategy and M&A, Plug Craig Horne, Vice President, Advanced
Slide 80: Fire safety and transmission line shutdowns
2 Increased fire risk is requiring transmission line shutdowns • Camp fire in CA and Lahaina fire have resulted in increased focus on PSPS / utility liability • Initial PG&E PSPS implementations have relied on rental diesel with significant CARB pushback • Batteries do not scale to durations require
Slide 81: Increasing Wildfire and Grid Impact
3 3 California State Auditor - https://www.auditor.ca.gov/pdfs/reports/2021 - 117.pdf https://mauinow.com/2023/08/28/hawaiian - electric - responds - to - lawsuit - filed - by - county - of - maui - over - lahaina - fire/ https://www.mauicounty.gov/CivicAlerts.aspx?AID=12759#:~:text=The%20la wsuit%2
Slide 82: Quantifying the Wildfire Power Problem
4 Quantifying the Wildfire Power Problem Population Density The data shows that: - The U.S. has 1,160 GW of Generation - At 333.3 Million People, we build 3.48 kW per person - On a given day (9/3/23) ~14% of the population was in a fire danger zone with >2% 7 day spread probability This means 159,52
Slide 83: Fuel Cells for Peaking Applications
Fuel Cells for Peaking Applications
Slide 84: What is a Peaker Plant?
6 Source: PJM Learning Center - How PJM Schedules Generation to Meet Demand EIA – Annual Energy Outlook 2023: Release Presentation What is a Peaker Plant? Example Dispatch Day US Electricity Generation & Standard Future Projection by Fuel Type 2 billion kilowatt - hours
Slide 85: Solutions for Clean Peaker Plants
7 UPS Power Quality T&D Grid Support Load Shifting Bulk Power Mgt seconds minutes hours Discharge Time at Rated Power 10kW 100kW 1kW 1MW 10MW 100MW 1GW System Power Ratings, Module Size High Power Supercapacitors Li - Ion Battery Solutions for Clean Peaker Plants Flow Batteries Pumped Hydro CAES Hyd
Slide 86: Market Drivers for Clean Peaker Plants
8 State & Local Clean Power Policy Market Drivers for Clean Peaker Plants 1 FERC - Electric Power Markets, 2023 1 DOE – Inventory of U.S. Greenhouse Gas Emissions and Sinks: 1990 – 2021 US Greenhouse gas emissions by sector in 2021 1
Slide 87: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 88: Where in the World is Green Hydrogen?
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Where in the World is Green Hydrogen? Benjamin Haycraft, EVP EMEA Region October 11, 2023
Slide 89: Where Produced vs Where Consumed
Where Produced v s Where Consumed Where is the most competitive hydrogen produced at scale? Excellent combined wind, solar and other renewable resources (e.g. hydro) Ability to scale production (land, interconnection) Distribution infrastructure (coastal access, pipeline, close to demand centre) Sta
Slide 90: Electrolyzer Short-Term Focus on Industrial Applications
Electrolyzer Short - Term Focus Primarily on Industrial Applications Where One Substitutes Grey for Green: Europe Existing Industrial volume to decarbonize Breakdown by usage 4.4 2.5 1.1 0.4 0.3 0.001 Refinery Ammonia Methanol & other chemicals Other industrial processes Energy Transport 50% 29% 13%
Slide 91: Plug is Uniquely Positioned to Take Advantage of Opportunities
Plug is Uniquely Positioned to Take Advantage of Opportunities Sines refinery Maasvlakte Energy Hub Energy Infrastructure Green H2 Tech
Slide 92: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 93: Green Hydrogen Plant Build Out to 2028
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Green Hydrogen Plant Build Out to 2028 Sanjay Shrestha , Sanjay Shrestha, General Manager, Energy & Chief Strategy Officer Paul Middleton, CFO October 11, 2023
Slide 94: Global Green Hydrogen Network
2 2 Global Green Hydrogen Network Targets for North American Network 500 TPD by 2025 Targets for EU and Global Network 2,500+ TPD Globally by YE 2030 1,000 TPD in Europe by YE 2030 North America Georgia, Tennessee, Louisiana, New York, Texas, and West Coast Europe 35TPD plant at Port of Antwerp - Br
Slide 95: Capital Structure Evolution
3 Capital Structure Evolution 0 2 4 6 8 10 12 14 16 Yesterday Today Today+ Future $MM/TPD Plug Equity Co-Equity Project Debt EPC competition, ELX roadmap, & Reflects CapEx & EPC reductions $1 of Plug Equity Today will get us 8x more capacity in the future • 2/3 rd Capital Leverage • 1/3 rd CapEx 202
Slide 96: Financing the Build Out
4 Financing the Build Out Yesterday • Execution of Gen 1 Plants • 100% Balance sheet financing • $15MM/TPD Liquid Plants • Peachtree 1 Today • Refinancing Gen 1 & developing Gen 2 • Strategic equity partners & training - wheels debt • Recycle ~40% of equity $10 - 12MM - >$9MM/TPD Today+ • Execution
Slide 97: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 98: Plug Electrolyzer Portfolio and Value Proposition
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Plug Electrolyzer Portfolio and Value Proposition Perspectives from Plug & Key Customer Testimony Sanjay Shrestha , Sanjay Shrestha, General Manager, Energy & Chief Strategy Officer Bruno Forget, VP, Strategy & Operations management, Elec
Slide 99: Electrolyzer operational experience
2 2 Operational experience 63 million hours of operation total across all platforms with a demonstrated record of reliability (1.61 Lambda, failures per million hours) Demonstrated ~10 - year stack life in high stress mission critical operation on submarines Hundreds of 30 - Nm3/ hr stacks deployed
Slide 100: H2B2 Projects with Plug inside
3 3 H2B2 Projects with Plug inside SoHyCal Project – One of the largest operating PEM projects x Current density x Energy consumption x Customer oriented x Hours of operation x Pressure x Dimensions x Degradation x Outstanding performance x3
Slide 101: 5MW Containerized Solution
4 4 India Poland 5MW Containerized Solution: turn - key, all - in - one packages for mid - sized markets Up to 2,125 kg H2/day 5 x 1MW PEM Stacks Power Conversion Unit (MV transformer/rectifier) Process Container Utility Container HVAC Fully integrated balance of plant for plug - and - play deployme
Slide 102: Infinium eFuels and Why Plug
INFINIUM turns electrons into molecules. We produce a new Class of synthetic fuel called electrofuels a.k.a. eFuels, PtX, Power-to-Liquids. Infinium’s production process uses renewable power, waste CO, and water, and unlike most of today’s SAF and renewable diesel, does not compete with food or land
Slide 103: 10MW Modular Unit: BEDP Packages
6 6 Plug know - how from building plants BEDP Packages 10MW Modular Unit: Efficient, modular building block for industrial - scale Hydrogen plants Up to 4,125 kg H2/day 10 x 1MW PEM Stacks Cathode/anode vessels 10 x 1 MW Stacks Stack Ventilation Heat Exchanger Shared BoP optimized around process ski
Slide 104: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 105: Getting Hydrogen From Here to There
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Getting Hydrogen From Here to There Sanjay Shrestha , Sanjay Shrestha, General Manager, Energy & Chief Strategy Officer Kevin Kopczynski, VP, Strategy and M&A Raja Amirthalingam, Ph.D., P.E ., Principal R&D Engineer, Hydrogen Production a
Slide 106: Options for Hydrogen Transportation
2 Options for Hydrogen Transportation Low Medium High High High Medium Low High High Low Low Low Local ~100 miles Regional ~500 miles Continental ~1,000 miles Intercontinental >1,000 miles 1 to 10 TPD 10 to 500 TPD 100+ TPD 100+ TPD $15 / GJ* $7 / GJ* $1 / GJ* $2 / GJ* GAS TRUCK LIQUID TRUCK GAS PIP
Slide 107: Plug's Approach to Hydrogen Delivery
3 Plug’s Approach to Hydrogen Delivery Internal Delivery Network Targeting 500 TPD by 2025 Emerging Industrial Markets User Driver(s) Example Markets Power Gen / Storage • Long Duration Green Capacity • Redundant Power System • CA / West Coast • NY Refining • Low Carbon Fuel Standard • Scope 1 Emiss
Slide 108: Here to There: Today and into the Future
4 Here to There: Today and into the Future • Short distances/distributed production • Small users • Transport volumes and station capacity • Local power costs • Compressor reliability • Transport from regional hubs • Long haul trucking, transit agencies, ports and airports • Energy storage/backup po
Slide 109: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 110: Decarbonizing Multiple Industries
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Decarbonizing Multiple Industries: Sanjay Shrestha , Sanjay Shrestha, General Manager, Energy & Chief Strategy Officer Bruno Forget, VP, Strategy & Operations management, Electrolyzer BU Ben Victor, VP, Hydrogen Energy Solutions October 1
Slide 111: Decarbonizing Multiple Industries with Green Hydrogen
2 Decarbonizing Multiple Industries with Green Hydrogen Green hydrogen enables renewable energy to be accessed by anyone at anytime Enterprise and utility sales opportunities Power & Energy Hydrogen for Logistics Green Chemicals & Fuels Industrial Hydrogen is the optimum zero - carbon fuel for long
Slide 112: Electrolyzer Roadmap
3 Electrolyzer Roadmap 2024 2025 2026 5 MW 50 MW 200 MW 1 GW 10 MW Array • Outdoor installation • Highly integrated • Plant level operation • Lower total plant cost 10 MW System • Lower footprint • 4 TPD Containerized Hydrogen Plant Plant in a box • Optimized for GW deployments • Full hydrogen plant
Slide 113: Plug Liquefier Roadmap
4 4 Plug Liquefier Roadmap Designed for flexible operations and quick turn down / ramp up All equipment designed for highest reliability Integrated control system for ease of operations LX - 15T LX - 30T Liquefaction Capacity 15,000 kg/day 30,000 kg/day Specific Energy Consumption <11 kWh/kg LH 2 Pu
Slide 114: LH2 Product Portfolio & Product Development Roadmap
5 LH2 Distribution: On - Road Tankers LH2 Bulk Storage LH 2 Refueler & Recharger PCT LH2 Product Portfolio & Product Development Roadmap 17,700 gal, 155 MAWP Tanker 316 grade stainless inner pressure vessel 18,250 gal,155 MAWP Tanker Provides unmatched payloads 9,000 gal , 110 MAWP Mini - Trailer Im
Slide 115: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 116: Path to Green Hydrogen at Cost Parity
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Path to Green Hydrogen at Cost Parity Sanjay Shrestha, General Manager, Energy & Chief Strategy Officer Jerry Kahil, VP Finance October 11, 2023
Slide 117: Projected Fuel Costs & Supply Build-out
2 2 Projected Fuel Costs & Supply Build - out Green hydrogen will be cost competitive with gray hydrogen in the market today Key Drivers are: • Cost of electricity • Electrolyzer and liquefier energy consumption • Reduction of CAPEX Current cost to deliver ~$0.25 per 100 miles; delivery costs expect
Slide 118: Levelized Cost of Green Hydrogen
3 3 Levelized Cost of Green Hydrogen ($/KG) 2023 – 2023 - 2024 2030 15% Capex 45% Electricity & other Direct Materials 20% L&OH 5% Capex 10% Electricity & other Direct Materials 5% Labor & Overhead (L&OH) 14% Capex 48% Direct Materials 18% L&OH 5% Capex 10% Direct Materials 5% L&OH Gaseous Hydrogen
Slide 119: Cost of Hydrogen: Blue vs Green
4 4 Cost of Hydrogen: Blue vs Green Blue (SMR with CCUS) Green Capex Capex OpEx Energy Energy & Other Direct Materials OpEx CCUS • Blue vs Green H2 is a function of future Natural Gas vs Electricity costs • Blue H2 assumes ideal geological formation for carbon capture and sequestration • Green H2 be
Slide 120: Green Hydrogen at Work
ply Green Hydrogen at Work™
Slide 121: Updates on the Implementation of the Inflation Reduction Act
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Updates on the Implementation of the Inflation Reduction Act Erin Lane, VP Public Affairs, Plug Gerry Conway, EVP/General Counsel, Plug Don Boyajian, Director Government Affairs & Counsel October 11, 2023
Slide 122: Personnel and context: IRA
2 Personnel and context Overview of personnel and context for this breakout discussion Context The IRA is the largest piece of federal legislation and investment in clean energy and climate action ever, which can be summarized as follows: o $220 - 372 billion in energy; $67 - 183 billion in manufa
Slide 123: IRA impact after twelve months
3 According to the White House, j ust twelve months after the law was signed, the IRA is already having a significant impact on American workers and families and is delivering for underserved communities that have historically been underrepresented: • Investments in clean energy and climate since th
Slide 124: Section 45V Clean Hydrogen Production Tax Credit
4 • Congress enacted the Section 45 V Clean Hydrogen Production Tax Credit (“PTC”) as part of the IRA in August 2022 . The PTC affords taxpayers a credit of up to $ 3 . 00 per kilogram of hydrogen produced for sale or use, with credit amounts decreasing as the carbon intensity of hydrogen production
Slide 125: Section 45V PTC potential IRA Implementation Updates
5 5 Section 45V PTC potential IRA Implementation Updates • The White House and U . S . Department of Treasury, in consultation with the U . S . Department of Energy and Environmental Protection Agency (as applicable) are still in process of publishing implementation guidance and regulations . Releva
Slide 126: Green Hydrogen at Work
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Slide 127: Updates on the U.S. Regional Clean Hydrogen Hubs Program
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Updates on the U.S. Regional Clean Hydrogen Hubs (H2Hubs) Program Erin Lane, VP Public Affairs, Plug Gerry Conway, EVP/General Counsel, Plug John Lochner, NYSERDA Mitch B. Carmichael Cabinet Secretary, WV Dept. of Economic Development Oct
Slide 128: Personnel and context: Bipartisan Infrastructure Law
2 Personnel and context Overview of personnel and context for this breakout discussion Context The Bipartisan Infrastructure Law (BIL) is a once - in - a - generation investment, designed to modernize and upgrade American infrastructure to enhance U.S. competitiveness, drive the creation of good -
Slide 129: Regional Clean H2Hubs Program Outline
3 Regional Clean H2Hubs Program Outline Notice of Intent issued June 6, 2022. Final applications were due April 7, 2023. Selection notifications anticipated for fall 2023. Award negotiations expected through winter 2023 and into 2024. The BIL established the definition of a “regional clean hydrogen
Slide 130: Regional Clean H2Hubs Final Application Landscape
4 DOE received 79 concept papers, of which 33 were encouraged to submit full applications. Out of the 33 encouraged to apply, 20 hubs confirmed submission of a final application. 1 Regional Clean H2Hubs Final Application Landscape H2Hubs final applications 1 https://www.spglobal.com/commodityinsig
Slide 131: Regional Clean H2Hubs Program Phases
5 Completed H2Hubs program phases Regional Clean H2Hubs Program Phases 1 1 DE - FOA - 0002779_Regional_Clean_Hydrogen_Hubs_Funding_Opportunity_Announcement_MOD_000002_
Slide 132: Green Hydrogen at Work
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Slide 133: Vertical Integration through JV's and MOU's
Copyright 2022, Plug Power Inc. Plug Symposium Breakout Room: Vertical Integration through JV’s and MOU’s Keith Schmid, EVP, Special Projects October 11, 2023
Slide 134: Partnerships Enabled By Plug Technology
Partnerships Enabled By Plug Technology Accelerate Regional Hydrogen Ecosystems Market Knowledge & Access Scale Complementary Skills Influence Public Policy Local Supply Chain Cultural Fit The Right Fit JV Know - how Relationship Market access Infrastructure TECHNOLOGY PARTNER STRATEGIC PARTNER
Slide 135: HyVia partnership
3 Leading Global Automotive Manufacturer Electrified Light Commercial Vehicle Platforms Established Sales and Service Network Automotive Supply Chain High Volume Automated Manufacturing Plants Leader in hydrogen solutions and fuel cells Proven Technology 1B+ hours of operation Blue Chip Fleet Custom
Slide 136: HyVia vans generations
4 First Generation Commercially Available Pilot Deployments Underway Second Generation Vans in Validation Testing High Volume New Master Van Platform anticipated in 2025
Slide 137: SK Plug Hyverse LH2 production plants
Primary Business Focus SK E&S LH2 Production Plants • 90 tons/day planned 2024 • 250 tons/day planned 2026
Slide 138: Hyverse HRS Network
6 Hyverse HRS Network Largest LH2 Based Refueling Network in Korea 29 Stations in Network Initial Stations Online 2023 15 - 20 projected in 2024 Balance in 2025
Slide 139: Korean hydrogen bus ecosystem
7 Hydrogen Supply Internal SK Bus Market Demand ProGen Fuel Cell Technology & Engines Hydrogen Storage & Logistics Technology Korea’s Largest LH2 Hydrogen Refueling Network Localization of Fuel Cell Technology & Services Market Development & Sales Channel Creating and Accelerating the Korean Hydroge
Slide 140: Korea electrolyzers, stationary and handling
8 Electrolyzers : 1MW approved (KGS) for Korean market 5MW KGS modifications in process Pipeline developing Stationary: Localizing MW scale stationary Targeting Power Generation Market 50 - 200MW Material MOU’s signed with key logistics players GenDrive units in local test and certification process
Slide 141: Acciona JV plant in Spain
9 Fully Staffed and Operational First Plant projected to be online Q4 2024/Q1 2025 Plant Colocated with Acciona Wind/Solar Field in North of Spain. Capable of Scaling to 50MW 4GW Pipeline: >1 GW (8 Projects) in Advanced Stage 3.0 GW in Early Stage
Slide 142: Green Hydrogen at Work
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Slide 143: Ramping Manufacturing and Supply Chain
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Ramping Manufacturing and Supply Chain Dave Mindnich, EVP Global Manufacturing Brandon Snyder, SVP, Integrated Supply Chain October 11, 2023
Slide 144: Flagship Facilities
2 Vista Manufacturing 2023 – GenDrive & Stationary 2024 – GenDrive & Stationary – ProGen and GenFuel integration 2025 EOY 2030 Ramp Targets – GenDrive 80K per annum – Stationary 500 per annum – ProGen 20K per annum – GenFuel 250 per annum Rochester Innovation Center 2023 – Coating – Stack – 1MW, FC
Slide 145: ELX System Assembly and Fabrication Strategy
3 Global Expansion Operational Flexibility Integration of New Technology • Propriety licensing agreements – Power Electronics, DeOxo , Diffusion Bonding Co - investment with Alpha ECC (Vietnam) Vertical integration planning on - going ELX System Assembly and Fabrication Strategy
Slide 146: Plug's Current Fabricators
4 Plug’s Current Fabricators
Slide 147: Building Blocks For Expansion
5 5 Building Blocks For Expansion Vista WHS 206 Stock Picked Carts (BIN Location) Main Line Build Bay 1 Main Line Build Bay 3 Main Line Build Bay 4 Main Line Build Bay 2 Sub - Assy 1 Sub - Assy 2 Sub - Assy 3 Sub - Assy 4 Sub - Assy 5 Sub - Assy 6 Sub - Assy 7 Line layout designed to add volume to f
Slide 148: Supply Chain and Manufacturing
6 Supply Chain • Supply Chain Diversification – Both with Suppliers and Regionality • Cost Maturity Increased Gross Margin Manufacturing • Expansion to 12 Build Bays • In Process Inspection • In Process Testing • Automated Factory Acceptance Testing • 24/7 Flex Labor Model – Utilize 168 hrs. In week
Slide 149: Green Hydrogen at Work
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Slide 150: Hydrogen: Fact and Fiction
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Hydrogen: Fact and Fiction A level setting discussion regarding hydrogen leakage, safety, and similar topics Tim Cortes, CTO Dr. Luke Wentlent, Principal R&D Engineer October 11, 2023
Slide 151: Hydrogen: Facts vs Fiction
2 Hydrogen Therapy: Facts vs Fiction Does hydrogen make sense? Is hydrogen dangerous? Does hydrogen leak? Is hydrogen safe? There is a significant amount of misinformation circulating around the world regarding hydrogen… Is hydrogen toxic? Is hydrogen flammable? How much water does hydrogen use? Is
Slide 152: They Said It Best
3 They Said It Best… “A global race to supply green hydrogen has begun” - Rich Powell, ClearPath Action 10.28.21 “Clean hydrogen is a game changer.” - Pres. Biden 4.29.21 “Green Hydrogen Comes In As An Enabler” - Rene Peters, Director of Gas Technology 4.20.21 Swiss army knife of zero - carbon techn
Slide 153: Real Benefits of Hydrogen
4 Real Benefits of Hydrogen Why is hydrogen so critical to decarbonization? Zero Emissions Electrolyzers and renewable power can produce hydrogen with zero emissions (0 kg - CO 2 /kg - H 2 ) Flexible Hydrogen is a flexible energy carrier that can be stored or moved as a liquid or gas Produces Clean
Slide 154: Hydrogen is critical to enable decarbonization
5 Hydrogen is critical to enable decarbonization. H 2 : Fuel Fuel Cells Engines/Turbines Energy Storage H 2 : Chemical Steel Manufacturing Ammonia Production Methanol Production Petrochemical Refining Hydrogen is a critical component of large scale decarbonization, particularly in hard - to - abate
Slide 155: Market Adoption for Each End Use Sector
6 Market Adoption for Each End Use Sector.... Green hydrogen demand 1,2 , Mn tons Based upon clean hydrogen demand values reported by DOE H 2 engine fuels PtL fuels (e - fuels) Methanol (transport) Petroleum refining Energy storage Biofuels Ammonia 3 Steel Methanol (chemicals)
Slide 156: Let's break some myths
Let's break some myths Hydrogen Safety The Myth: Hydrogen is unsafe compared to existing fuels due to its various chemical properties and features (highly flammable, ignites easily, cryogenic/high pressure storage, etc ). Hydrogen Leakage The Myth: Hydrogen will leak more than natural gas (i.e. in p
Slide 157: Hydrogen Safety
8 8 Hydrogen Safety The Myth: Hydrogen is unsafe compared to existing fuels due to its various chemical properties and features (highly flammable, ignites easily, cryogenic/high pressure storage, etc ). THE FACTS Toxicity Flammability Ignition Energy Diffusivity Density Hydrogen is non - toxic, not
Slide 158: Hydrogen Leakage
9 9 Hydrogen Leakage The Myth: Hydrogen will leak more than natural gas when used in the existing natural gas infrastructure (i.e. pipelines) because it is a smaller molecule. THE FACTS: Swain & Swain studied two types of leaks in their study, one’s common to low - pressure piping and large atypical
Slide 159: Water Usage
10 10 0.25 Water Usage The Myth: Electrolysis requires and wastes large amounts of water, far more than conventional power generation using natural gas. THE FACTS: Combined Cycle Gas Turbine (CCGT) 1. Natural Gas Production 2. Power Plant Cooling ELX with Fuel Cells 1. Electrolyzer H 2 Production Pr
Slide 160: Green Hydrogen at Work
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Slide 161: References
12 References Slide 8 1. United States Department of Energy Office of Energy Efficiency and Renewable Energy. Fact Sheet Series. “Hydrogen Safety”. 2020. 2. Shapiro, Z.M.; and Moffette , T.R.; “ Hydrogen Flammability Data and Application to PWR Loss - Of - Coolant Accident ” Westinghouse Electric Co
Slide 162: Global Service and Cost Leverage
Copyright 2023, Plug Power Inc. Plug Symposium Breakout Room: Global Service and Cost Leverage Leveraging Scale and System Performance Improvements for the Hydrogen Economy Chris Suriano, EVP, Service October 11, 2023
Slide 163: Plug Service: Delivering Hydrogen Ecosystem
2 Plug Service: Delivering Hydrogen Ecosystem Mission: Provide world class lifecycle s ervice across all Plug products delivering the hydrogen ecosystem to our customers and the world. 15 Years of Fuel Cell Service & H2 System Maintenance 3 - Global Operations Centers • New York • Ohio • Germany 292
Slide 164: Three Elements to Service Cost Performance
3 Three Elements to Service Cost Performance Global Scale & Leverage Platforms and Skillset enable growth Lower cost of entry to new markets Fleet revenue opportunities System Life Increased stack power density Stack MEA longevity Reliability and durability improvements Per Unit Costs Total lifecycl
Slide 165: Global Platforms & Skillsets for Hydrogen Economy
4 Global Platforms & Skillsets for Hydrogen Economy Existing network and experience in system technologies allows for profitable and low cost of entry service offerings Common Skill Sets Fuel Cell Applications Electrolyzer & Hydrogen Systems Fleet Monitoring & Diagnostics Global Hydrogen & Fuel Cell
Slide 166: System Life - Stack Innovations drives Service Cost
5 12000 10000 8000 6000 4000 2000 System Life - Stack Innovations drives Service Cost Stack Life (hours) Fuel Cell Stack Technology Innovation reduces Service Lifecyle Cost • Power density increases stack life in existing and new equipment • Fleet optimization and balance of plant upgrades enhance s
Slide 167: Per unit Lifecycle Costs
6 6 Per unit Lifecycle Costs Breadth of service offerings enable profitable growth Product Delivery & Site Installation Commissioning & Customer Training Maintenance (Planned & Unplanned) 24/7 Technical Support, Monitoring & Diagnostics (M&D) Warranty & Guarantees Spare Parts & Consumables Density o
Slide 168: Green Hydrogen at Work
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