Q2 2026 Bergen Carbon Solutions AS Earnings Call

August 12, 2026

Speaker #1: Good morning, and welcome to Bergen Carbon Solutions' presentation for the second quarter of 2026. My name is Odd Strömsnes, and I'm the CEO of Bergen Carbon Solutions.

Speaker #1: As a reminder, we are one of very few true CCU companies. We continue to offer an attractive value proposition based on local development of sustainable carbon.

Speaker #1: And this carbon is a key component into all batteries, and these batteries are today produced with a massive greenhouse gas footprint and mostly they are made in China.

Speaker #1: Over core CO2-consuming technology leverages electrolysis to convert captured CO2 emissions into conductive carbon pollers for advanced battery applications. Following our development progress of establishing a process for producing a consistent and well-defined carbon, we now redirect all our focus toward the product in general, and the uniqueness of BCS CNT in particular.

Speaker #1: And the product is all about size, shape, form, but also purity, as small particles as possible with as much surface as possible. Thousand times thinner than hair, 10 to 100 nanometers in diameter with a surface area of 50 to 200 square meters per gram.

Speaker #1: These carbons are used as additives to increase the conductivity, but also the strength of the electrode materials into different battery applications. It's all about making small fuel tubes with a high surface area; however, from a new process, a new technology, making a product that is produced with a technology that is fundamentally different from the conventional products available in the market.

Speaker #1: And again, this is a sketch of the core of our pure play CCU equity story. It's an attractive value proposition, especially in terms of a local circular and sustainable value chain.

Speaker #1: Local BCS carbon production from a nearby large CO2 point emitter by using the direct or indirect flue gas as a feeding stock for our CO2-consuming technology.

Speaker #1: We are making a product that is produced with technology that is fundamentally different from the conventional products available in the market. And again, this is a sketch of the core of our pure-play CCU equity story.

Odd Strømsnes: Making a product that is produced with a technology that is fundamentally different from the conventional products available in the market. This is a sketch of the core of our pure-play CCU equity story. It is an attractive value proposition, especially in terms of a local, circular, and sustainable value chain. Local Bergen Carbon Solutions carbon production from a nearby large CO2 point emitter by using the direct or indirect flue gas as a feeding stock for our CO2-consuming technology. Subsequently, the harvested Bergen Carbon Solutions carbon powder will be put into batteries as conductive or strength agents, making the batteries better and making them more sustainable. We have already proven our ability to produce valuable carbon directly from a large CO2 point emitter during our Enova-funded project a couple of years back. This is indeed a true full-scale CCU project and shows there are alternatives to costly CCS projects.

Speaker #1: Subsequently, the harvested BCS carbon powder will be put into batteries as conductive or strength agents, making the batteries better and making them more sustainable.

Speaker #1: We have all ready proven our ability to produce valuable carbon directly from a large CO2 point emitter during over and all our funded project a couple of years back.

Speaker #1: It's an attractive value proposition, especially in terms of a local, circular, and sustainable value chain. Local BCS carbon production from a nearby large CO2 point emitter by using the direct or indirect flue gas as a feedstock for our CO2-consuming technology.

Speaker #1: So this is indeed a true full-scale CCU project, and shows there are alternative to costly CCS project. For several large CO2 point emitters, this could be an interesting surplus technology to order more general CCUS solutions.

Odd Strømsnes: Local Bergen Carbon Solutions carbon production from a nearby large CO2 point emitter by using the direct or indirect flue gas as a feeding stock for our CO2-consuming technology. Subsequently, the harvested Bergen Carbon Solutions carbon powder will be put into batteries as conductive or strength agents, making the batteries better and making them more sustainable.

Speaker #1: Subsequently, the harvested BCS carbon powder will be put into batteries as conductive or strength agents, making the batteries better and more sustainable.

Speaker #1: Europe is moving from global supply chains to more local and controlled industrial production. A key measure here is made in Europe. Public funding and procurement will favor European-made products going forward, and this is especially important for batteries with stricter rules to European content over time.

Speaker #1: We have already proven our ability to produce valuable carbon directly from a large CO2 point emitter during an OLAF-funded project a couple of years back.

Odd Strømsnes: We have already proven our ability to produce valuable carbon directly from a large CO2 point emitter during our Enova SF-funded project a couple of years back. This is indeed a true full-scale CCU project and shows there are alternatives to costly CCS projects.

Speaker #1: So this is indeed a true full-scale CCU project and shows there are alternatives to costly CCS projects. For several large CO2 point emitters, this could be an interesting supplementary technology to order alongside more general CCUS solutions.

Speaker #1: New rules will limit foreign ownership in strategic sector, which batteries is, and more focus on keeping the technology and value creation within Europe. The EU passports will be rolled out from early next year, and we think the increasing geopolitical uncertainty will definitely accelerate this process as a whole.

Odd Strømsnes: For several large CO2 point emitters, this could be an interesting surplus technology to other more general CCUS solutions. Europe is moving from global supply chains to more local and controlled industrial production. A key measure here is Made in Europe. Public funding and procurement will favor European-made products going forward. This is especially important for batteries with stricter rules to European content over time. New rules will limit foreign ownership in strategic sector, which batteries is, and more focus on keeping the technology and value creation within Europe. The EU battery passports will be rolled out from early next year, and we think the increasing geopolitical uncertainty will definitely accelerate this process as a whole. CNT is defined as a critical raw material for batteries. As I said, most of it is made in China today.

Speaker #1: Europe is shifting from global supply chains to more local and controlled industrial production. A key measure here is "Made in Europe." Public funding and procurement will favor European-made products going forward, and this is especially important for batteries, with stricter rules for European content over time.

Speaker #1: CNT is defined as a critical raw materials for batteries. And as I said most of it is made in China today. There are only a few CNT players in Europe.

Speaker #1: New rules will limit foreign ownership in strategic sectors, which batteries is, and place more focus on keeping the technology and value creation within Europe. The EU passports will be rolled out from early next year, and we think the increasing geopolitical uncertainty will definitely accelerate this process as a whole.

Speaker #1: And that's why CNT is included as part of the Norwegian research council and EFES development program for establishment of a Nordic battery value chain towards the defense, in general, and the drone industry in particular.

Odd Strømsnes: New rules will limit foreign ownership in strategic sector, which batteries is, and more focus on keeping the technology and value creation within Europe. The EU battery passports will be rolled out from early next year, and we think the increasing geopolitical uncertainty will definitely accelerate this process as a whole. CNT is defined as a critical raw material for batteries. As I said, most of it is made in China today.

Speaker #1: And there will be probably even higher tighter local requirements for batteries for military purposes, and local requirements will to an increasingly extent also apply for a battery raw material itself.

Speaker #1: CNT is defined as a critical raw material for batteries. And as I said, most of it is made in China today. There are only a few CNT players in Europe.

Speaker #1: Will we accept to operate European-made drones supported by Chinese battery technology made by Chinese raw material? I'm only asking. And then over to the results for second quarter.

Odd Strømsnes: There are only a few CNT players in Europe, and that is why CNT is included as part of The Research Council of Norway and IFE's development program for establishment of a Nordic battery value chain towards the defense in general and the drone industry in particular. There will be probably even higher, tighter local requirements for batteries for military purposes, and local requirements will, to an increasing extent, also apply for the battery raw material itself. Will we accept to operate European-made drones supported by Chinese battery technology made by Chinese raw material? I am only asking. Then over to the results for Q2. In order to summarize, I would say that we shifted focus considerably from process maturity, consistency, and output towards product development and BCS CNT performance towards battery application. We have seen over the summer quite a few promising performance results for several applications.

Speaker #1: And that's why CNT is included as part of the Norwegian Research Council and EFES' development program for establishment of a Nordic battery value chain towards the defense in general, and the drone industry in particular.

Speaker #1: And in order to summarize, I would say that we shifted focus considerably from process maturity consistency and output towards product development and BCS CNT performance towards battery application.

Speaker #1: And there will probably be even higher, tighter local requirements for batteries for military purposes, and local requirements will, to an increasing extent, also apply for the battery raw material itself.

Speaker #1: And we have seen over the summer quite a few promising performance results for several applications. The patent milestone is reached with notification of intention to grant received from NIPO for the company's CO2 separation and purification technology.

Speaker #1: Will we accept operating European-made drones supported by Chinese battery technology made from Chinese raw materials? I'm only asking. And then, over to the results for the second quarter.

Odd Strømsnes: Will we accept to operate European-made drones supported by Chinese battery technology made by Chinese raw material? I am only asking. Then over to the results for Q2. In order to summarize, I would say that we shifted focus considerably from process maturity, consistency, and output towards product development and BCS CNT performance towards battery application. We have seen over the summer quite a few promising performance results for several applications.

Speaker #1: And, in order to summarize, I would say that we shifted focus considerably from process maturity, consistency, and output towards product development and BCS CNT performance towards battery application.

Speaker #1: We maintain a strong financial position with the stable and low burn rate. And the battery lab and industrial testing continues supporting ongoing sample testing with partners in Europe and in Asia.

Speaker #1: And we have seen, over the summer, quite a few promising performance results for several applications. The patent milestone is reached with notification of intention to grant received from NIPO for the company's CO2 separation and purification technology.

Speaker #1: So our financial numbers continues to be robust. We are seeing a 33% net reduced cash burn versus first half of last year. And this gives a cash burn last quarter of 11.6 million.

Odd Strømsnes: The patent milestone is reached with notification of intention to grant received from NIPO for the company's CO2 separation and purification technology. We maintain a strong financial position with a stable and low burn rate. The battery lab and industrial testing continues, supporting ongoing sample testing with partners in Europe and in Asia. Our financial numbers continue to be robust. We are seeing a 33% net reduced cash burn versus H1 of last year, and this gives a cash burn last quarter of NOK 11.6 million. We anticipate to maintain this level going forward. As we have said before, very limited CapEx is indeed needed, and we have a cash position now of NOK 122 million. That can be considered as a conservative number as we are excluding future soft funding into this. We believe this puts us in a favorable position.

Speaker #1: We maintain a strong financial position with a stable and low burn rate. The battery lab and industrial testing continue to support ongoing sample testing with partners in Europe and Asia.

Speaker #1: And we anticipate to maintain this level going forward. As we have said before, very limited capex is indeed needed and we have a cash position now of 122 million.

Speaker #1: And that can be considered as a conservative number as we are excluding future soft funding into this. So we believe this puts us in a favorable position.

Speaker #1: So our financial numbers continue to be robust. We are seeing a 33% net reduced cash burn versus the first half of last year. This gives a cash burn last quarter of NOK 11.6 million.

Odd Strømsnes: Our financial numbers continue to be robust. We are seeing a 33% net reduced cash burn versus H1 of last year, and this gives a cash burn last quarter of NOK 11.6 million. We anticipate to maintain this level going forward. As we have said before, very limited CapEx is indeed needed, and we have a cash position now of NOK 122 million. That can be considered as a conservative number as we are excluding future soft funding into this. We believe this puts us in a favorable position.

Speaker #1: In addition, to a first mover advantage, and an in-depth know-how. IP initiatives such as secrecy and patents are indeed important. And we have maintained an adequate secrecy level over time, but we have not done some good progress on the patent side.

Speaker #1: And we anticipate maintaining this level going forward. As we have said before, very limited capex is indeed needed, and we have a cash position now of NOK 122 million.

Speaker #1: And that can be considered a conservative number, as we are excluding future SOFT funding in this. So, we believe this puts us in a favorable position.

Speaker #1: Notification of intention to grant is received as I said from NIPO, which is Norwegian industrial property office for our CO2 separation technology. And this covers purification and handling of the carbon contained materials derived from CO2.

Speaker #1: In addition to a first-mover advantage and in-depth know-how, IP initiatives such as secrecy and patents are indeed important. We have maintained an adequate secrecy level over time, but we have not made as much progress on the patent side.

Odd Strømsnes: In addition to a first-mover advantage and an in-depth know-how, IP initiatives such as secrecy and patents are indeed important. We have maintained an adequate secrecy level over time, but we have now done some good progress on the patent side. Notification of intention to grant is received, as I said, from NIPO, which is Norwegian Industrial Property Office, for our CO2 separation technology. This covers purification and handling of the carbon-contained materials derived from CO2. It enables recovery and reuse of key process inputs, supporting a long-term cost efficiency. It also confirms the application meets the novelty and the inventive steps. It is also important to say that we are also continuing to pursue other IP protection initiatives in relevant technology areas. This is ongoing on a continuous basis.

Speaker #1: It enables recovery and reuse of key process inputs supporting a long-term cost efficiency. It also confirms the application meets the novelty and the inventive steps and it's also important for say that we are also continuing to pursue other IP protection initiatives in relative in relevant technology areas.

Speaker #1: Notification of intention to grant is received, as I said, from NIPO, which is the Norwegian Industrial Property Office, for our CO2 separation technology. And this covers the purification and handling of carbon-containing materials derived from CO2.

Speaker #1: This is ongoing on a continuous basis. This is indeed a technical slide. And it's aiming to visualize one of our key unique characteristics of BCS CNT.

Speaker #1: It enables recovery and reuse of key process inputs, supporting long-term cost efficiency. It also confirms the application meets the novelty and the inventive steps, and it is also important to say that we are continuing to pursue other IP protection initiatives in relevant technology areas.

Odd Strømsnes: This covers purification and handling of the carbon-contained materials derived from CO2. It enables recovery and reuse of key process inputs, supporting a long-term cost efficiency. It also confirms the application meets the novelty and the inventive steps. It is also important to say that we are also continuing to pursue other IP protection initiatives in relevant technology areas. This is ongoing on a continuous basis.

Speaker #1: Our CNT is produced in clustered fluffy structures. With great ability to be compressed and then to retract to original position like a ball of steel wool.

Speaker #1: This is ongoing on a continuous basis. This is indeed a technical slide, and it's aiming to visualize one of our key unique characteristics of BCS CNT.

Speaker #1: As you can see here, we compress it and we are retracting it. And that's what we call a spring back force. So it's quite comparable to explain our CNT structure as a ball of steel wool.

Odd Strømsnes: This is indeed a technical slide, and it is aiming to visualize one of our key unique characteristics of BCS CNT. Our CNT is produced in clustered, fluffy structures with great ability to be compressed and then to retract to original position, like a ball of steel wool. As you can see here, we compress it, and we are retracting it. That is what we call a spring back force. So it is quite comparable to explain our CNT structure as a ball of steel wool. Call it elasticity, and this can be a distinct advantage for certain battery applications. We see a considerable growth to the global market for silicon-based anode batteries. High elasticity will, in this respect, be particularly relevant as one of the technical challenges with silicon-based anodes is the large volume expansions during charging, actually as much as three times the volume expansion.

Speaker #1: Our CNT is produced in clustered, fluffy structures, with a great ability to be compressed and then to retract to its original position—like a ball of steel wool.

Speaker #1: Call it elasticity. And this can be a distinct advantage for certain battery applications. We see a considerable growth to the global market for silicon-based anode materials, batteries.

Speaker #1: As you can see here, we compress it and we are retracting it. And that's what we call a spring-back force. So, it's quite comparable to explain our CNT structure as a ball of steel wool.

Speaker #1: And high elasticity will in this respect be particularly relevant as one of the technical challenges with silicon-based anodes is the large volume expansions during charging.

Odd Strømsnes: So it is quite comparable to explain our CNT structure as a ball of steel wool. Call it elasticity, and this can be a distinct advantage for certain battery applications. We see a considerable growth to the global market for silicon-based anode batteries. High elasticity will, in this respect, be particularly relevant as one of the technical challenges with silicon-based anodes is the large volume expansions during charging, actually as much as three times the volume expansion.

Speaker #1: Actually as much as three times the volume expansion. I can also in relation to this slide where we are talking about our uniqueness confirm a growing confidence in our ongoing testing of LFP chemistries as well as our promising R&D results from our lithium sulfur battery testing.

Speaker #1: Call it elasticity. And this can be a distinct advantage for certain battery applications. We see considerable growth in the global market for silicon-based anode materials and batteries.

Speaker #1: And high elasticity will, in this respect, be particularly relevant, as one of the technical challenges with silicon-based anodes is the large volume expansions during charging.

Speaker #1: BCS CNT powder currently is being tested with several industrial companies. And as I said, both in Europe and in Asia, and first round of feedback from some of the companies are already received, with promising input.

Speaker #1: Actually, as much as three times the volume expansion. I can also, in relation to this slide where we are talking about our uniqueness, confirm a growing confidence in our ongoing testing of LFP chemistries as well as our promising R&D results from our lithium-sulfur battery testing.

Speaker #1: Engagement with partner companies is increasingly focused towards the technical and the R&D environments within these companies rather than the supply chain and the procurement functions.

Odd Strømsnes: I can also, in relation to this slide where we are talking about our uniqueness, confirm a growing confidence in our ongoing testing of LFP chemistries, as well as our promising R&D results from our lithium sulfur battery testing. BCS CNT powder currently is being tested with several industrial companies, and as I said, both in Europe and in Asia. First round of feedback from some of the companies are already received with promising input. Engagement with partner companies is increasingly focused towards the technical and the R&D environments within these companies, rather than the supply chain and the procurement functions. As this is a new technology we are offering, we are very pleased to now receive constructive comments and clarifications as part of this iterative testing process. I would undoubtedly say that the more partner iterations we receive, the better.

Speaker #1: As this is a new technology we are offering, we are very pleased to now receive constructive comments and clarifications as part of this iterative testing process.

Speaker #1: BCS CNT powder is currently being tested with several industrial companies, both in Europe and Asia. The first round of feedback from some of these companies has already been received, with promising input.

Speaker #1: I would undoubtedly say that the more partner iterations we receive, the better. This means the industry is interested and curious of our technology. And we perform as we have said testing for different purposes and different application areas.

Speaker #1: Engagement with partner companies is increasingly focused on the technical and R&D environments within these companies, rather than the supply chain and procurement functions.

Odd Strømsnes: Engagement with partner companies is increasingly focused towards the technical and the R&D environments within these companies, rather than the supply chain and the procurement functions. As this is a new technology we are offering, we are very pleased to now receive constructive comments and clarifications as part of this iterative testing process. I would undoubtedly say that the more partner iterations we receive, the better.

Speaker #1: As this is a new technology we are offering, we are very pleased to receive constructive comments and clarifications as part of this iterative testing process.

Speaker #1: Reflecting the multiple ways BCS CNT can add value a traditional conductive additive in LFP or to use in silicon anodes dry electrode formulations or screening now for some resin applications.

Speaker #1: I would undoubtedly say that the more partner iterations we receive, the better. This means the industry is interested and curious about our technology. And, as we have said, we perform testing for different purposes and different application areas.

Speaker #1: So in sum there are a number of different applications our BCS CNT now can be applied to. So in order to summarize I will say our execution is going as planned samples are sent to quite a few industrial partners with what I say a dynamic feedback process ongoing.

Speaker #1: Reflecting on the multiple ways BCS CNT can add value as a traditional conductive additive in LFP, or be used in silicon anodes, dry electrode formulations, or as a screening node for some resin applications.

Odd Strømsnes: This means the industry is interested and curious of our technology. We perform, as we have said, testing for different purposes and different application areas, reflecting the multiple ways BCS CNT can add value. A traditional conductive additive in LFP, or to use in silicon anodes, dry electrode formulations, or screening for some resin applications. In sum, there are a number of different applications our BCS CNT now can be applied to. In order to summarize, I would say our execution is going as planned. Samples are sent to quite a few industrial partners with a, what I say, a dynamic feedback process ongoing. These responses, as I said, they are positive. We have reached the patent milestone with notification of intention to grant, and the patent is now in force.

Speaker #1: And the first responses as I said they are positive. We have reached the patent milestone with notification of intention to grant and the patent is now in force.

Speaker #1: So in sum, there are a number of different applications our BCS CNT now can be applied to. So in order to summarize, I will say our execution is going as planned. Samples are sent to quite a few industrial partners, with what I’d say is a dynamic feedback process ongoing.

Speaker #1: Strong financial position with a steady low burn rate and very importantly we have shifted focus from process development to product development towards battery applications so we will talk much more about the product than on the process.

Odd Strømsnes: In sum, there are a number of different applications our BCS CNT now can be applied to. In order to summarize, I would say our execution is going as planned. Samples are sent to quite a few industrial partners with a, what I say, a dynamic feedback process ongoing. These responses, as I said, they are positive. We have reached the patent milestone with notification of intention to grant, and the patent is now in force.

Speaker #1: And as I said, they are positive. We have reached the patent milestone with the notification of intention to grant, and the patent is now in force.

Speaker #1: Going forward. So thanks for the participation. And we are now opening up for Q&A. If there are any. Thanks.

Speaker #1: We are in a strong financial position with a steady, low burn rate, and—very importantly—we have shifted focus from process development to product development, particularly towards battery applications.

Speaker #2: Okay. This Q&A session is moderated by Frederik Oksnes, CCO in Bergen Carbon Solutions. With us today we also have Petter Slyngsten from Nordnet Securities.

Speaker #1: So, we will talk much more about the product than about the process, going forward. So, thanks for the participation, and we are now opening up for Q&A.

Odd Strømsnes: Strong financial position with a steady low burn rate, and very importantly, we have shifted focus from process development to product development towards battery applications. We will talk much more about the product than on the process going forward. Thanks for the participation, and we are now opening up for Q&A, if there are any. Thanks.

Speaker #2: Our first question odd you're mentioning different chemistries which of these chemistries do you believe BCS will penetrate the market with first?

Speaker #1: If there are any. Thanks.

Speaker #1: Okay. The race for different battery chemistry is as we know ongoing. And you know the the carrots or what they are all. Working on is is is you know high energy density.

Speaker #2: Okay. This Q&A session is moderated by Frederick Oexnes, CCO at Bergen Carbon Solutions. With us today, we also have Petter Slyngsten from Nordnet Securities.

Speaker #1: As high effect as possible. The low cost as possible. And you know agents HSC principle to be reduced. And obviously the availability of the raw materials and I mean there are some chemistries which you know today are in the market as LFP NMC etc that is commercial products as we speak.

Speaker #2: Our first question—odd, you're mentioning different chemistries. Which of these chemistries do you believe BCS will penetrate the market with first?

Fredrik Øksnes: Okay, this Q&A session is moderated by Fredrik Øksnes, CCO in Bergen Carbon Solutions. With us today, we also have Petter Slyngstadli from Norne Securities. Our first question, Odd, you are mentioning different chemistries. Which of these chemistries do you believe BCS will penetrate the market with first?

Speaker #1: Okay. The race for different battery chemistries is, as we know, ongoing. And you know, the carrot—what they are all working on—is, you know, high energy density.

Speaker #1: Then there are other chemistries which are being developed a number of chemistries I have mentioned sulfur and silicon anodes today. And I would say that we could play a role in all these I think that with what we are.

Odd Strømsnes: Okay. The race for different battery chemistry is, as we know, ongoing. The carrots or what they are all working on is high energy density, as high effect as possible, the low cost as possible, and HSE principle to be reduced, and obviously the availability of the raw materials. There are some chemistries which today are in the market as LFP, NMC, et cetera, that is commercial products as we speak. Then there are other chemistries which are being developed, a number of chemistries. I have mentioned sulfur and silicon anodes today. I would say that we could play a role in all this. I think that with what we are presenting here now, with our uniqueness, it is more relevant probably for some chemistries than for others, but this is something we need to spend much more time on investigating.

Speaker #1: As high effect as possible, at as low cost as possible. And, you know, agency principle to be reduced. And obviously, the availability of the raw materials— I mean, there are some chemistries which, you know, today are in the market as LFP, NMC, et cetera. That is commercial product as we speak.

Speaker #1: Here now with our uniqueness it is more relevant probably for some chemistries than for others but this is something we need to spend much much more time on investigating but as I said in my presentation we are basically testing for chemistries which are today commercialized like LFP or some of these future chemistries.

Speaker #1: And then there are other chemistries which are being developed—a number of chemistries. I have mentioned sulfur and silicon anodes today. And I would say that we could play a role in all these. I think that with what we are presenting here now, with our uniqueness, it is more relevant probably for some chemistries than for others, but this is something we need to spend much, much more time investigating.

Odd Strømsnes: Then there are other chemistries which are being developed, a number of chemistries. I have mentioned sulfur and silicon anodes today. I would say that we could play a role in all this. I think that with what we are presenting here now, with our uniqueness, it is more relevant probably for some chemistries than for others, but this is something we need to spend much more time on investigating. But as I said in my presentation, we are basically testing for chemistries which are today commercialized, like LFP or some of these future chemistries. We are pretty pragmatic, I would say to this.

Speaker #1: So we are pretty pragmatic I would say to this.

Speaker #2: These unique properties that you have shown here also today does that make BCS CNT harder to qualify than traditional materials?

Speaker #1: But as I said in my presentation, we are basically testing for chemistries which are today commercialized, like LFP, or some of these future chemistries.

Speaker #1: Well that is a good question Frederik. I mean I think generally it's always difficult to bring a new product to the new technology into the market and the battery supply chain is very very complex.

Speaker #1: So, we are pretty pragmatic, I would say, about this.

Odd Strømsnes: But as I said in my presentation, we are basically testing for chemistries which are today commercialized, like LFP or some of these future chemistries. We are pretty pragmatic, I would say to this.

Speaker #1: And I think it is maybe difficult to explain how complex it is and there is a certain conservativism in qualifying it here. What we definitely has learned here is that in order to appreciate the the uniqueness of what we do here we need to talk to qualified clients we you know without the due respect we we we if the discussion start with cost per kilo and when are we going to make our first factory you know then then we won't have a constructive discussion what we are emphasizing on now is to be as good as possible to describe what we make the pros and cons basically completely open.

Speaker #2: These unique properties that you have shown here also today, does that make BCS CNT harder to qualify than traditional materials?

Speaker #1: Well, that is a good question, Frederick. I mean, I think generally it's always difficult to bring in a new product or new technology into the market.

Fredrik Øksnes: These unique properties that you have shown here also today, does that make BCS CNT harder to qualify than traditional materials?

Speaker #1: And the battery supply chain is very, very complex. And I think it is maybe difficult to explain how complex it is, and there is a certain conservatism in qualifying it here.

Odd Strømsnes: Well, that is a good question, Fredrik. I think generally it is always difficult to bring a new product, a new technology into the market. The battery supply chain is very complex. I think it is maybe difficult to explain how complex it is, and there is a certain conservatism into qualifying it here. What we definitely have learned here is that in order to appreciate the uniqueness of what we do here, we need to talk to qualified clients. Without due respect, if the discussion start with cost per kilo and when are we going to make our first factory, then we will not have a constructive discussion. What we are emphasizing on now is to be as good as possible to describe what we make, the pros and cons, basically, completely open.

Speaker #1: What we definitely have learned here is that in order to appreciate the uniqueness of what we do here we need to talk to qualified clients we you know without the due respect we if the discussion start with cost per kilo and when are we going to make our first factory you know then then we won't have a constructive discussion what we are emphasizing on now is to be as good as possible to describe what we make the pros and cons basically completely open.

Speaker #1: And if we then are sitting over the table with the right client and the right environments within these companies they are the ones proposing where they might think this could add value.

Speaker #1: And I mean this dynamic is very good. We are not telling them where to use this. They need to come back to us. And that is what that is what we do now.

Odd Strømsnes: Without due respect, if the discussion start with cost per kilo and when are we going to make our first factory, then we will not have a constructive discussion. What we are emphasizing on now is to be as good as possible to describe what we make, the pros and cons, basically, completely open.

Speaker #1: That is a very difficult different than what we did for some some time back. Yeah.

Speaker #1: And if we then are sitting over the table with the right people within these companies, they are the ones proposing where they might think this could add value.

Speaker #2: And then the question I think we have every quarter presentation when do you believe that BCS will will sign its first sales agreement?

Speaker #1: And I mean, this dynamic is very good. We are not telling them where to use this; they need to come back to us. And that is what we do now.

Speaker #1: I mean of course we are working on this every day. I will definitely not promising promise any timeline here. But the fact that we now have a good process for several good companies at least you know that is what I can promise and that's what we're working for to keep up with as many serious companies as possible in this marketplace and we'll see what what it comes out of it.

Odd Strømsnes: If you then are sitting over the table with the right client and the right environments within these companies, they are the ones proposing where they might think this could add value. This dynamic is very good. We are not telling them where to use this. They need to come back to us. That is what we do now. That is very different than what we did for some time back. Yeah.

Speaker #1: That is very different from what we did some time back, yeah.

Speaker #2: And then the question I think we have at every quarterly presentation: when do you believe that BCS will sign its first sales agreement?

Speaker #2: Okay. Petter do you have any questions?

Speaker #1: I mean, of course, we are working on this every day. I will definitely not promise any timeline here. The fact that we now have a good process for several good companies—at least, you know, that is what I can promise, and that’s what we’re working for: to keep up with as many serious companies as possible in this marketplace. And we’ll see what comes out of it.

Speaker #3: Yeah. Thanks. So the notification of patent grant can you tell me how it's sort of how it refers to the patent you might have gotten for from the recycling of electrolytes?

Fredrik Øksnes: Then the question I think we have every quarter presentation, when do you believe that BCS will sign its first sales agreement?

Odd Strømsnes: Of course, we are working on this every day. I will definitely not promise any timeline here. But the fact that we now have a good process for several good companies, at least that is what I can promise, and that's what we're working for, to keep up with as many serious companies as possible in this marketplace, and we will see what comes out of it.

Speaker #3: This is a different.

Speaker #1: No no this is the same. Yeah.

Speaker #3: Okay. So it's it's tied to that. Okay.

Speaker #2: Okay. Petter, do you have any questions?

Speaker #1: Yeah. Yeah. Yeah. And of course electrolyte or yeah the melted salt that we use is is a quite considerable part of our opex. So I mean by the fact that we are able to reuse over 90% of it by these technology.

Speaker #3: Yeah. Thanks. So the notification of patent grant can you tell me how it's sort of how it refers to the patent you might have gotten for from the recycling of electrolytes?

Speaker #1: You know it's really important for our cost situation.

Fredrik Øksnes: Okay. Paata, do you have any questions?

Speaker #3: Okay. Yeah. And the testing at third parties now it's as I understand pouch batteries. So it's a step up from the coin cells to bigger batteries.

[Analyst]: Yeah. Thanks. The notification of patent background.

Petter Slyngstadli: Yeah. Thanks. The notification of patent background.

Speaker #3: This is a different.

Speaker #1: No, no, this is the same. Yeah.

Speaker #3: It's the same. Okay, so it's tied to that. Okay.

Odd Strømsnes: Yeah.

[Analyst]: Can you tell me how it refers to the patent you might have gotten from the recycling of electrolytes? This is a different.

Petter Slyngstadli: Can you tell me how it refers to the patent you might have gotten from the recycling of electrolytes? This is a different.

Speaker #1: Yeah, yeah, yeah. And of course, the electrolyte—or yeah, the molten salt that we use—is quite a considerable part of our opex.

Speaker #3: So this might be a critical. Step up.

Speaker #1: Yeah. That is a good question. I mean what we do internally here in the battery lab is is only on coin cells. And you know next step up is do it in do doing it at at with pouch cells larger battery structures.

Speaker #3: Okay.

Speaker #1: So I mean, by the fact that we are able to reuse over 90% of it with this technology, you know, it's really important for our cost situation.

Odd Strømsnes: No. This is the same.

[Analyst]: It's the same?

Petter Slyngstadli: It's the same?

Odd Strømsnes: Yeah.

[Analyst]: Okay. It's tied to that-

Petter Slyngstadli: Okay. It's tied to that-

Odd Strømsnes: Yeah

[Analyst]: product. Okay. Yeah.

Petter Slyngstadli: product. Okay. Yeah.

Odd Strømsnes: And of course, electrolyte or the melted salt that we use is a quite considerable part of our OPEX.

Speaker #3: Okay, yeah. And the testing at third parties now—it's, as I understand, pouch batteries. So it's a step up from the coin cells to bigger batteries.

Speaker #1: And we are doing that now with several of these institutes companies and we will do more of it. So I think that is the next step up in order to progress these qualification run.

[Analyst]: Okay.

Petter Slyngstadli: Okay.

Odd Strømsnes: So by the fact that we are able to reuse over 90% of it by this technology,

Speaker #3: So, this might be a critical step up.

[Analyst]: Yeah

Petter Slyngstadli: Yeah

Odd Strømsnes: it is really important for our cost situation.

Speaker #1: Yeah, that is a good question. I mean, what we do internally here in the battery lab is only on coin cells. And, you know, the next step up is doing it with pouch cells, larger battery structures, and we are doing that now with several of these institutes, companies, and we will do more of it.

[Analyst]: Okay. Yeah. The testing at third parties now, it is, as I understand, pouch batteries. It is a step up from the coin cells to bigger batteries.

Petter Slyngstadli: Okay. Yeah. The testing at third parties now, it is, as I understand, pouch batteries. It is a step up from the coin cells to bigger batteries.

Speaker #3: So pouch is like ice hockey, right?

Speaker #1: Poseceller på norsk.

Speaker #3: Yeah. Okay. Okay. So it's a a bigger entity.

Speaker #1: Yeah.

Speaker #3: So yeah. You I just lost my computer here for a second but I was thinking about these three areas you highlighted so would you say that this de-risks the case to a certain extent because you have more than just one One leg you're aiming at for instance the lithium sulfur batteries and this shows a sort of a a more diverse possible application.

Odd Strømsnes: Yeah.

[Analyst]: This might be a critical

Petter Slyngstadli: This might be a critical

Odd Strømsnes: Yeah

[Analyst]: step up.

Petter Slyngstadli: step up.

Odd Strømsnes: That is a good question. What we do internally here in the battery lab is only on coin cells. Next step up is doing it with poseceller, larger battery structures. We are doing that now with several of these institutes, companies, and we will do more of it. I think that is the next step up in order to progress this qualification round.

Speaker #1: So, I think that is the next step up in order to progress this qualification run.

Speaker #3: So, pouch is like ice hockey, right?

Speaker #1: Pulse celler på norsk.

Speaker #3: Yeah, okay. Okay, so it's a bigger entity.

Speaker #1: Yeah.

Speaker #3: So yeah. You I just lost my computer here for a second but I was thinking about these three areas you highlighted. So would you say that this de-risks the case to a certain extent because you have more than just one one leg you're aiming at for instance the lithium sulfur batteries and this shows a sort of a a more diverse possible application.

[Analyst]: Pouch is like ice hockey, right?

Petter Slyngstadli: Pouch is like ice hockey, right?

Odd Strømsnes: Poseceller" på norsk.

Speaker #1: Yeah. Absolutely. And I mean we have not reached end of the road yet there of what is potentially could contribute with and that is the fun thing about doing new stuff you know we are learning new things here continuously.

[Analyst]: Yeah. Okay. It's a bigger entity.

Petter Slyngstadli: Yeah. Okay. It's a bigger entity.

Odd Strømsnes: Yeah.

[Analyst]: I just lost my computer here for a second. I was thinking about these three areas you highlighted. Would you say that this de-risks the case to a certain extent because you have more than just one leg you're aiming at, for instance, the lithium sulfur, but this shows a more diverse-

Petter Slyngstadli: I just lost my computer here for a second. I was thinking about these three areas you highlighted. Would you say that this de-risks the case to a certain extent because you have more than just one leg you're aiming at, for instance, the lithium sulfur, but this shows a more diverse-

Speaker #1: And I would definitely say it's de-risk the whole case.

Speaker #3: So when do you expect evidence of the testing from your third parties?

Speaker #1: Yeah, absolutely. And I mean, we have not reached the end of the road yet there of what it potentially could contribute with, and that is the fun thing about doing new stuff; you know, we are learning new things here.

Speaker #1: I would say during next half year.

Speaker #3: During next half.

Speaker #1: Yeah. You know some of these companies are using third party or external test house for support. And you know we we can do a certain degree push and follow up and you know request etc etc but you know they need to follow their own path.

Speaker #1: Continuously. And I would definitely say it's de-risked the whole case.

Odd Strømsnes: Yeah

[Analyst]: possible application.

Petter Slyngstadli: possible application.

Odd Strømsnes: Absolutely. And we have not reached end of the road yet there of what this potentially could contribute with. And that is the fun thing about doing new stuff. We are learning new things here continuously. And I would definitely say it de-risked the whole case.

Speaker #1: Some of these companies are huge. So it's some of them are so it's difficult to predict. But you know we expect to see more results now during during the fall I would say.

Speaker #3: So, when do you expect evidence of the testing from your third parties?

Speaker #1: I would say during the next half year. Yeah. You know, some of these companies are using third-party or external test houses for support.

Speaker #3: So I guess lithium sulfur what what was kind of mind-blowing was that you

Speaker #3: Yeah.

Speaker #1: And you know, we can, to a certain degree, push and follow up, and you know, request, etc., etc., but you know, they need to follow their own path.

Speaker #1: Yeah. Yeah. In a Tesla. Yeah. Yeah. Yeah.

[Analyst]: When do you expect evidence of the testing from your third-party?

Petter Slyngstadli: When do you expect evidence of the testing from your third-party?

Speaker #3: So I guess especially on airborne entities like drones stuff like that. Like lithium sulfur and that is obviously also military purposes.

Speaker #1: Some of these companies are huge. So it's some of them are so it's difficult to predict. But you know we expect to see more results now during during the fall I would say.

Odd Strømsnes: I would say during next H2.

[Analyst]: During next H2.

Petter Slyngstadli: During next H2.

Odd Strømsnes: Some of these companies are using a third party or external test house for support.

Speaker #1: And there are companies developing sulfur batteries for drones as we speak. But there are you know there are some major technical challenges with with the sulfur technology.

[Analyst]: Yeah.

Petter Slyngstadli: Yeah.

Odd Strømsnes: We can, to a certain degree, push and follow up and request, et cetera. But they need to follow their own path. Some of these companies are huge. So some of them are. It is difficult to predict, but we expect to see more results now during the fall, I would say.

Speaker #3: So I guess lithium-sulfur, what was kind of mind-blowing was that you saved like half a ton in a test.

Speaker #1: Which needs to be solved.

Speaker #3: Yeah.

Speaker #1: But I mean that goes in in parallel. But sulfur is one of the potential batteries going forward.

Speaker #1: Yeah, yeah. In a Tesla. Yeah, yeah, yeah.

Speaker #3: So I guess especially on airborne entities like drones, stuff like that, like lithium-sulfur and that. Is there also a military purpose?

Speaker #3: Yeah. I think that concludes my okay.

Speaker #2: We have one more question coming in from the side there. Can you elaborate a bit about how you're test who you're testing with? I I understand you cannot mention names but are your partners suppliers to typical battery producers or how does that environment look?

Speaker #1: And there are companies developing sulfur batteries for drones as we speak. But there are, you know, some major technical challenges with the sulfur technology.

[Analyst]: I guess lithium sulfur, what was kind of mind-blowing was that you saved half a ton

Petter Slyngstadli: I guess lithium sulfur, what was kind of mind-blowing was that you saved half a ton

Odd Strømsnes: Oh

[Analyst]: in a Tesla.

Petter Slyngstadli: in a Tesla.

Odd Strømsnes: Yeah, in a Tesla. Yeah.

Speaker #1: Which needs to be stalled.

[Analyst]: I guess especially on airborne entities like drones, stuff like that.

Petter Slyngstadli: I guess especially on airborne entities like drones, stuff like that.

Speaker #3: Yeah.

Speaker #1: But I mean, that goes in in parallel. But sulfur is one of the potential batteries going forward.

Odd Strømsnes: Oh.

[Analyst]: Like lithium sulfur, and that is obviously also military purposes.

Petter Slyngstadli: Like lithium sulfur, and that is obviously also military purposes.

Speaker #1: Okay. I mean on previous presentations we have shown some overview of the battery supply chain. And again this is complex. We are on the raw material space and then there are four to five sections further up in the supply chain which could potentially be our client.

Odd Strømsnes: There are companies developing sulfur batteries for drones as we speak.

Speaker #3: Yeah, I think that concludes my—okay.

[Analyst]: Yeah.

Petter Slyngstadli: Yeah.

Odd Strømsnes: There are some major technical challenges with the sulfur technology

Speaker #2: We have one more question coming in from the side. Can you elaborate a bit about how you're testing? Who you're testing with? I understand you cannot mention names, but are your partners suppliers to typical battery producers, or how does that environment look?

[Analyst]: Yeah

Petter Slyngstadli: Yeah

Odd Strømsnes: which needs to be solved.

[Analyst]: Yeah.

Petter Slyngstadli: Yeah.

Odd Strømsnes: That goes in parallel. Sulfur is one of the potential batteries, going forward.

[Analyst]: Yeah. I think that concludes my

Petter Slyngstadli: Yeah. I think that concludes my

Speaker #1: Which is good news. I would say that we have I mean we have testing partners now both in Europe but most in Asia mostly in Asia in several countries in in Asia.

Speaker #1: Okay. I mean, in previous presentations, we have shown some overview of the battery supply chain. And again, this is complex. You're in the raw materials space, and then there are four to five sections further up in the supply chain which could potentially be our clients.

Fredrik Øksnes: Okay, we have one more question coming in from the side. Can you elaborate a bit about who you are testing with? I understand you cannot mention names, but are your partners suppliers to typical battery producers, or how does that environment look?

Speaker #1: And these receivers these battery producers but they're also chemistry companies. Delivering chemistry to the battery manufacturers. And there are some test houses I would say that is probably the answer.

Odd Strømsnes: Well, on previous presentations, we have shown some overview of the battery supply chain. Again, this is complex. We are on the raw material space, then there are four to five sections further up in the supply chain, which could potentially be our client, which is good news. I would say that we have testing partners now both in Europe, but most in Asia, in several countries in Asia. These receivers, they are end customers, like battery producers, but they are also chemistry companies delivering chemistry to the battery manufacturers. There are some test houses. I would say that is probably the answer.

Speaker #1: Which is good news. I would say that we have—I mean, we have testing partners now both in Europe, but most in Asia. Mostly in Asia.

Speaker #1: In several countries in Asia, these receivers are end customers like battery producers, but they're also chemistry companies delivering chemistry to the battery manufacturers.

Speaker #1: Yeah.

Speaker #2: One more has come in here now. Have some of the partners started additional testing after the first initial test?

Speaker #1: Some of the partners have requested more CNT from us because they want to do additional testing. And for us this is really good news.

Speaker #1: And there are some test houses. I’d say that is probably the answer.

Speaker #3: Yeah.

Speaker #2: One more has come in here now.

Speaker #1: Because then they're interested. So that is really the driver behind when I say we have some good dynamics in this testing processes. That is exactly one of the reasons why we say that.

Speaker #1: Oh okay.

Speaker #2: Have some of the partners started additional testing after the first initial test?

Speaker #1: Some of the partners have requested more CNT from us because they want to do additional testing, and for us this is really good news.

Speaker #2: Okay. I think that concludes all the Q&As. Thank you all.

Fredrik Øksnes: One more has come in here now.

Odd Strømsnes: Oh, good.

Fredrik Øksnes: Have some of the partners started additional testing after the first initial test?

Speaker #1: Because then they're interested. So that is really the driver behind when I say we have some good dynamics in these testing processes. That is exactly one of the reasons why we say that.

Odd Strømsnes: Some of the partners have requested more CNT from us because they want to do additional testing.

Odd Strømsnes: Some of the partners have requested more CNT from us because they want to do additional testing. For us, this is really good news because then they are interested.

Speaker #2: Okay, I think that concludes all the Q&As. Thank you all.

Odd Strømsnes: For us, this is really good news because then they are interested.

Fredrik Øksnes: Yeah.

Odd Strømsnes: That is really the driver behind when I say we have some good dynamics in these testing processes. That is exactly one of the reasons why we say that.

Fredrik Øksnes: Okay. I think that concludes all the Q&As. Thank you, Odd.

Odd Strømsnes: Okay. Thank you. Thanks for attending.