Norsk Hydro Asa · OSL:NHY
Norsk Hydro Asa — Morgan Stanley Fireside 2022
10 slides from Norsk Hydro Asa's conference presentation, Jan 19, 2022
Slide 1: Pål Kildemo, EVP and CFO, 19 January 2022
Pål Kildemo EVP and CFO 19 January 2022
Slide 2: Q4 average sees continued elevated prices
• Q4-average sees continued elevated prices • LME 44% higher in 4Q21 vs 4Q20 • PAX 41% higher in 4Q21 vs 4Q20 • Restrictions on supply growth, especially in China, reduce risk of sustained over-capacity next decade • Magnesium covered H1 2022 • Hydro has local sourcing teams in China • Well hedged a
Slide 3: Energy policy impacting Chinese supply and driving deficit in coming years
Energy policy impacting Chinese supply and driving deficit in coming years Global production estimates China annual supply Global balance estimates1) Million tonnes, primary aluminium Million tonnes, primary aluminium Million tonnes, primary aluminium 4 1 73 43 0.9 0.8 0.5 42 0.4 0.0 5 41 2021 2022
Slide 4: Rising demand across all segments
Rising demand across all segments Sustainable and smart Renovated, energy Cleaner energy and Longer lasting products mobility efficient buildings cutting-edge clean that can be repaired, technological innovation recycled and re-used Semis demand1) Semis demand – Semis demand – Semis demand – Recycle
Slide 5: Ambitious abatement targets driving demand in all sectors but especially Automotive OEMs
Ambitious abatement targets driving demand in all sectors but especially Automotive OEMs Share of greener1) aluminium demand per segment OEMs are pushing for ever more ambitious lifecycle decarbonization targets % greener of total aluminium demand Timeline to achieve target Decarbonization target 20
Slide 6: Brazil renewable capacity forecast, global hydrogen demand, European battery demand
Brazil renewable capacity forecast Global hydrogen demand European battery demand GW TWh TWh 21,800 1.9 Utility scale solar PV 90 Power generation Onshore wind Transportation Stationary storage 63 37 Building heating and power Vehicles 43 19 33 Industry energy and hear 10 18 7 53 New feedstock uses
Slide 7: Morgan Stanley Fireside, January 2022
Morgan Stanley Fireside 19 January 2022 7
Slide 8: Seizing opportunities where our capabilities match the megatrends
Seizing opportunities where our capabilities match the megatrends 1 2 8
Slide 9: Improvement program, commercial ambition and recycling investments key strategic levers
Improvement program, commercial ambition and recycling investments key strategic levers • Safety and operational excellence • New products, including greener brands • Double post-consumer scrap use by 2025 • 1st quartile cost positions upstream • Market share in attractive segments • Develop recycli
Slide 10: Hydro: Industries that matter
Hydro Industries that matter