H2V PRODUCT SAS POWER TO GAS MADE IN FRANCE Disclaimer This - - PowerPoint PPT Presentation

H2V PRODUCT SAS

POWER TO GAS MADE IN FRANCE

H2V INDUSTRY

GREEN GAS FOR EVERYONE

Disclaimer

This presentation was prepared by H2V PRODUCT SAS (H2V PRODUCT) for general background information purposes only and does not constitute an offer to sell or a solicitation to buy the securities referred to herein. By accepting this presentation, the Recipient agrees to be bound by this notice. Although the information contained in this presentation has been obtained from sources which H2V PRODUCT believes to be reliable, it has not been independently verified and no representation or warranty, express or implied, is made and no responsibility is or will be accepted by H2V PRODUCT as to

• r in relation to the accuracy, reliability or completeness of any such information stated herein.

Further, this presentation contains forward–looking statements based on the currently held beliefs and assumptions of the management or advisors of H2V PRODUCT which are expressed in good faith and, in their opinion, reasonable. Forward–looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance, or achievements of H2V PRODUCT or industry results, to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward–looking statements. Given these risks, uncertainties and other factors, recipients of this presentation are cautioned not to place undue reliance on these forward–looking

• statements. H2V PRODUCT disclaims any obligation to update these forward–looking statements to reflect future events or developments.

H2V PRODUCT and its shareholders will not be responsible for any consequences resulting from the use of this presentation as well as the reliance upon any opinion or statement contained herein or for any omission. The non-public information contained in this presentation is strictly Confidential Information and shall only be used for evaluation purposes. “Confidential Information” shall mean any and all information of a financial, technical, commercial or other nature that H2V PRODUCT provides to the Recipient for evaluation purposes. Any and all Confidential Information provided by H2V PRODUCT within this presentation shall be deemed as a trade secret.

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H2V An industrial program in the “Decarboned Economy”

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The « Decarboned Economy » is an industrial strategy that creates jobs and added value in our country. By reducing the carbon footprint of the Natural Gas we consume, we can reduce the volumes imported and at the same time reduce the quantities consumed thanks to the better energy capacities of the gas mixtures used. Indeed, if we gradually replace, percent of natural gas with hydrogen produced without CO2, we obtain a richer gas, manufactured in our country. H2V is an industrial program that consists of the development, construction and

• peration of hydrogen plants for direct introduction into gaspipes, at a rate of half

a per cent in volume per year, and over time up to 6% of the volume of natural gas that passes through our transportation networks. Some European countries already use these mixtures. In France, GRHYD in Dunkerque and JUPITER near Marseille are two pilots programmed to validate the feasibility of a minor injection of hydrogen into our frenchs gaspipes and distribution networks.

France, a key position.

Due to its remarkable geographical position and its powerful infrastructures, France has accumulated an important domestic market and a transit market with high potential. France offers the 3rd liquefied natural gas (LNG) capacity in Europe with a regasification capacity of 24 Gm3 / year distributed over its Atlantic and Mediterranean facades. Its transport network is the longest in Europe. France has significant gas interconnections because of its borders with five European countries to the north and south, including via Switzerland with Italy. Its storage capacity is the 3rd in Europe with more than 12 Gm3 of useful volume. These storage facilities make it possible to secure gas supply during peak periods and facilitate arbitrage operations.

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H2V An ambitious French industrial program

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France consumes about 40 billion cubic meters of natural gas each year. The H2V industrial program is aimed at applications that are conducive to the massive use of carbon-free hydrogen (H2V). The first installations will be developed within the framework of the main natural gas transport infrastructures linking the LNG terminals of the Atlantic and the

• Mediterranean. In this concept, H2V will first produce 10 000 tons of

hydrogen without carbon release * and over time its production will reach 300 000 tons per year. This represents an investment of 3.5 billion euros in the next 5 years, generating about 12 000 jobs. The H2V program is scalable. It is already considering the development of several plants to meet the important needs of all applications that will need low-cost ecological hydrogen, such as mobility.

* Currently, 95% of hydrogen is produced by reforming. This process, which involves a reaction of hydrocarbur with steam (800 ° C, 25 bar), leads to a very high CO2 production: almost 14 tonnes of CO2 per tonne of hydrogen produced

H2V in the European energetic context 2020 - 2050

In 2011, the European Commission established a roadmap in order to reduce

• f 80% the EU's greenhouse gas emissions by 2050. Achieving such a target of

less carbonisation of the economy requires a profound change in the gas system and its supply, which is now almost entirely fossil to a "carbon less" gas system. Aware of this challenge, GRTgaz wishes today to contribute to the construction

• f a gas system whose supply could in the long term be 100% "carbon free" by

preparing the gas transmission network to the development of production chains of renewable gas. GRTgaz made a formal commitment to this by signing the "Fuelling the Future" cooperation agreement with four other European gas infrastructure operators to promote the use of gas in transport on 24 April 2013 and create favorable conditions for development of a totally less carbon gas system by 2050. In this context, GRTgaz estimates that 20 to 35 Terrawatt hours (TWh) per year can be stored in its network by 2025.

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H2V PRODUCT, Vision for 2025

H2V PRODUCT is a company focused on applications for the massive use of carbon-free hydrogen (H2V). One of its first achievements will be based in the Hauts de France region and will be developed within the framework of the natural gas transport infrastructures linking the LNG terminals of the Atlantic and the Mediterranean. H2V PRODUCT aims at the production and injection of hydrogen into gaspipes from regional plants, located in the regions of Hauts de France, Normandy, Pays de la Loire, Provence Côte d'Azur and Grand Est to meet the important hydrogen requirements of the major gas transportation networks

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About SAMFI-INVEST, founder of H2V PRODUCT

Independent company through 100% SAMSON family ownership, SAMFI-INVEST is involved in: TRANSPORTATION: through its major stake in MALHERBE Group, the third largest French freight forwarder. www.malherbe.fr STORAGE: through its subsidiary LOCABOX, aiming to become a major player in self-storage in France with an integrated network of at least 20 centers. Each center represents an average of 3,800 sqm leased to private individuals, accessible 24 hours a day, under constant surveillance and without any commitment of duration. www.locabox.fr REAL ESTATE: SAMFI-INVEST owns buildings occupied by private companies or public entities, on a long-term basis leases. RENEWABLE ENERGY: through SAMEOLE, in charge in France of wind projects. www.sameole.fr and SAMSOLAR, in charge in France of the photovoltaic projects. www.samsolar.fr and SAMENERGY for Iran and SAMGREENPOWER in Jordan. DIGITAL ADVERTISING: SAMFI-INVEST supports subsidiaries dedicated to regional advertising, local communication with local authorities, design of street furniture and display management www.cocktailvision.fr ENERGY STORAGE: through its subsidiary SOLARTRADE, aiming to be a pioneer in the worldwide development of PV self-

• consumption. It acts as a developer / builder of PV plants, offering innovative and simple plug & play products for home
• users. www.autogrid-pv.com

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H2V PRODUCT: Founders & Financial Statement

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SAMFI-INVEST owns SAMENERGY subsidiaries specialized in the development, commissioning and operation of large-scale energy projects. SAMFI-INVEST currently employs a staff of 40 high skilled employees, mainly engineers. Lucien MALLET Founder & CEO of SAMENERGY & Chairman of H2V PRODUCT Over 30 years of infrastructure experience, expert in project realisation. Lucien manages power plant construction in Europe. Overseeing O&M operations and EPC negotiation monitoring and due diligence. Graduate from the “Ecole des Mines”, specialized in energy and storage solutions.

H2V PRODUCT, an Industrial who creates values and jobs

H2V PRODUCT was created in 2016 to develop, build and operate massive hydrogen production plants used to « less carbon" natural gas networks and supply hydrogen networks dedicated to future gas turbine power plant and mobility. H2V PRODUCT uses a technology for the conversion of electricity using an electric process involving the electrolysis of

• water. The hydrogen production of the H2V plants will be injected partly into France's general supply gaspipes, connected

to geological storage facilities in the country and in the networks dedicated to supplying future energy infrastructures.

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H2V PRODUCT location in Les Hauts de France.

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As a continuation of our industrial target, H2V PRODUCT is considering a major industrial unit close to the arrival of the Norwegian gaspipe to Grand Synthe on the grounds of the Grand Port Maritime of Dunkerque.

A project accompanied by local authorities.

First industrial project for H2V PRODUCT

The hydrogen production unit in Les Hauts de France will be the first European production facility for massive hydrogen production dedicated to gaspipe injection. This pilot plant will be associated with a training center for the hydrogen trades (design, construction, operation, maintenance). An electrolyser assembly workshop is under negotiation with an international reputable manufacturer.

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H2V PRODUCT, Organization and schedule of operations

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The project is developed by H2V PRODUCT in collaboration with the general services of the SAMFI-INVEST investment fund, Tétart and DNS Architects Associés, engineering offices from locals partners, as well as with the technology support of the manufacturer Norwegian NEL electrolysers.

• Initiation of the project, creation of H2V PRODUCT

2016

• Location on national territory

2017

• Studies, authorizations to operate, building permits

2018

• Project Financing

2018

• Training of personnel

2018

• Consultation of companies and suppliers

2018

• Préparation of construction sites

2018

• Construction

2019

• Commissioning, Operation and Maintenance

2020

H2V PRODUCT Full operation in 2025

The industrial objective of H2V PRODUCT in Les Hauts de France, is to produce and inject its hydrogen into the main natural gaspipes that supply the North of France from the Norwegian gaspipe.

• Overall project on LFDF

H2V PRODUCT

• Annual hydrogen production

62 400 tonnes

• Electrical power rating

600 MW

• Load Factor

92% (8040 h/year)

• Number of electrolysers

200 (40 by Unit local)

• Overall project performance

58%

• Total electrolyser flow rate

97 500 Nm3/h

• Annual hydrogen production

780 000 000 Nm3

• Local jobs for employees and executives

200 people

• Total investment

€ 450 Million

• Initial planned jobs

85 Technicians

• Operational & commissioning

2020 - 2022

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14 Nm3/h = cubic normometer/hour, or one cubic meter of hydrogen gas per hour (or 90 g of hydrogen), under normal conditions of temperature and pressure. .

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Prospects for H2V growth in industrial phase

Today, just over 900 000 tons of hydrogen are produced and consumed each year in France, mainly for two industrial applications : chemistry (ammonia production) and refining. Without even considering new uses of hydrogen refinery requirements are expected to increase to treat heavy hydrocarbons (with a very high carbon to hydrogen ratio) or in the steel industry for advanced ore reduction processes. It is estimated across Europe that hydrogen needs are expected to grow by 4% per year. In France, production around 2030 is expected to exceed 1 million tons per year. Almost all of the hydrogen produced today comes from the decomposition of hydrocarbons in the process of steam reforming hydrocarbon which consists in "cracking" a hydrocarbon (gasoline), in the presence of steam and heat, to separating it into its two major components: H2 and CO. The hydrogen produced today by steam reforming costs about 1.5 € / kg of H2 (factory production prices, not to mention

• verpressure and distribution). However, this process generates about 12 kg of CO2 per kg of H2 produced, responsible

for 2% of total French CO2 emissions. The industrial process used by H2V PRODUCT is low temperature electrolysis. In France, only 1% of hydrogen production comes from the decomposition of water by electrolysis because the price of hydrogen produced by industrial electrolysers ("low temperature") is strongly correlated with the price of water & electricity.

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Certification of Electricity in H2V PRODUCT plants

In France, the Energy Transition for Green Growth Act introduced provisions in the Energy Code to ensure that electricity and natural gas transmission and distribution system operators Objectives of the Grenelle of the environment and those of the Multiannual Energy Program, namely : 32% renewable energy in 2030. In this context, the H2V PRODUCT industrial process will use a portion of these surplus renewable energies and will help to store 20 to 35 terawatt hours (TWh) per year in the gas network. H2V PRODUCT plants will use a water-based electrolysis technology, which consumes 100% of renewable electricity. However, the H2V PRODUCT program requires, in order to start economically, , a compensation mechanism based

• n

the implementation

• f

a government guaranteed purchase price over a specified period of the indigenous gas produced from guaranteed certified energy d 100% renewable origin. This mechanism could be combined with aid for the development of plant projects and tax reductions for products sold as well as other economic and social measures enabling manufacturers and financiers to invest serenely in the H2V program.

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European Green is a label for green electricity based on Guarantees of Origin (GoOs).

H2V PRODUCT creator of industrial values and jobs

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The development of all «renewable» gas production sectors will be accompanied by numerous positive externalities :

• Creation of jobs closest to the territories,
• Improved trade balance and security of supply due to reduced imports,
• Leveraging the carbon-free transport sector,
• Reduction of import of natural gas,
• Improvement of the calorific value of the mixture Natural Gas and Hydrogen,
• Reduction of the carbon tax for manufacturers using natural gas,
• Regulation of high-voltage networks,
• Storage of surplus renewable energy production.

Phase I : Challenge the market to the green H2

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The assembly of operation requires the setting up of manufacturer's guarantees. In this context, H2V PRODUCT is considering a partnership with a « Big One » manufacturer of electrolysers and its French partner, to form together a joint venture company, with the aim of designing and supplying contractually as EPC manager, a mass green hydrogen production plants on time and on cost.

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Phase II : H2V PRODUCT, centralized producer of biogas

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By recovering CO2 from local industries (RIO TINTO, ARCELOR, GLENCORE, ASCOMETAL, ERAMET etc) H2V PRODUCT could double its hydrogen production capacity to produce in a process of methanation (C02 + H2), biogas. In this context, the Hauts de France region would be the main contributor to bio-gas production.

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Phase III : H2V PRODUCT, export to the world market

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The production of “green” hydrogen must target the global market for this high value-added product. To satisfy customer demand, we have to offer them a product rendered and delivered in their ports. A maritime logistics must be positioned on this economic niche of maritime transport, with “hydrogenators” capable of transporting very large quantities of hydrogen in all security. This commercial outlet would allow H2V PRODUCT to triple the initial plant in Dunkirk. Conception and realization of containers for transporting solid hydrogen in storage tanks that are easy to manufacture, enabling rapid kinetics of hydrogen absorption by minimizing volume variations and inexpensive material and energy. Creation of a fleet adapted to the transport of hydrogen. Growth of the initial industry of hydrogen energy.

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Phase IV : R&D for the Energy transition of France

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In the REV3 R&D program, a demonstration will made by ULCO university. Then it will be possible to produce synthetic hydrocarbons from sea water. This will be the true innovation of the H2V PRODUCT program, which will use seawater as an abundant source of CO2 and hydrogen to produce indigenous natural gas. Since the H2V plants will be located along the coast or in marine estuaries. They will use a technology capable of extracting CO2 from salt waters in marine environments to produce methane by combining CO2 and hydrogen in a catalytic reaction at high temperatures and pressures……

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Contact : Sandra MOSCHETTI Communication Manager Tel : +33 1 42 89 10 22 Mail : s.moschetti@h2vproduct.net H2V PRODUCT SAS 36, avenue Hoche 75 008 Paris France www.h2vproduct.net

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Thanks