Velocys: the renewable fuels company

Philipp Stratmann

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We were a technology company…..Velocys has come a long way

Catalyst and microchannel

reactor technology

Pilot plant

demonstration Commercial scale reactors

ready for shipment

3

Offtaking product made using Velocys technologyToday – Velocys, the renewable fuels company

4

Velocys timeline – innovation delivered

Velocys Inc.

formed (from

Battelle)

Oxford Catalysts

formed (from

Oxford Univ)

Micro-

channel FT

demo

Austria

Oxford Catalysts

listed on AIM

Oxford

Catalysts &

Velocys

merged‘05 ‘06 ‘07 ‘08 ‘09 ‘10 ‘11 ‘12 ‘13 ‘14 ‘15 ‘16 ‘17 ‘18 ‘19 ‘20 ‘21 ‘22‘01 ‘02 ‘03 ‘04

FT field

demo with

Petrobras

Name

changed to

Velocys plc

ENVIA JV

formed & FID

ENVIA

operational

UK biorefinery project

starting pre-FEED with

Shell and BA

US

biorefinery

project start

R&D Development Commercialization• New team, new strategy

• New focus on delivery

5

Velocys’ contribution to project developmentNot just our technology

Real world experienced

team

Start-up, commissioning & operational

GTL, petrochem &

refinery

Commercial offtake,

logistics and supply chain

Construction & maintenance

Integrated plant

engineering design

6

Velocys’ proven technology route

— One of the few sustainable ways of producing drop in renewable fuels

— Enables scalable supply of renewable highway diesel, aviation fuel, and gasoline blendstock

7

Velocys projects

Commissioning then operational

2018 20192017

Development

2020 20222021

Commissioning then

operational

20232016

Construct

ENVIA OKC

Mississippi forestry residue biorefinery

UK waste-to-jet fuel biorefinery

Targeted dates

Construction

DevelopmentCommissioning then

operationalConstruction

Consortium announced with Shell and British Airways

Pre-FEED started

Woody biomass-to-fuels plant – pre-FEED complete

Integrated demonstration in progress

Site secured in Natchez, MS. Permitting at advanced stage

Landfill gas-to-wax and fuels plant performing at commercial scale

Validation of Velocys’ commercial scale FT technology completed

Stepping stone for future projects

8

Site confirmed for our first woody biomass projectNatchez, Adams County, Mississippi

9

Ample supplies of low cost forestry residues in 75 mile radiusAdvantaged location

10

Natchez

Ample RFS-

qualifying

forests

within 75

mile radius

Excellent infrastructure & utilities, attractive incentive package

Natchez site

11

• Project development strategic investment process to on-board one or more strategic investors is underway and on track

• Site secured in Natchez, Mississippi with $60m of state/local incentives

• In US Department of Agriculture (USDA) Loan Guarantee phase II process

— With Sumitomo Mitsui Banking Corp (SMBC) as the lender of record

• Final investment decision expected in early 2020

• Significant value uplift from feedstock at equivalent $1/gallon to final products at $8.20/gallon

— Of which federal credits (50%), state credits (25%) and product revenues (25%)

• Team is delivering a complex programme of activities

— Working with partners and licensors to further commercially de-risk the project through maximizing product revenues and minimizing costs

• Project is on track to deliver an investable first-of-its-kind project

Mississippi biorefinery update

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Renewable jet fuel from household wasteProject to build UK’s first commercial waste-to-fuels plant

Over 70% reduction

in greenhouse gases

Sustainable feedstock.

Avoids around

300,000 T/year of non-

recyclable waste

going to landfill

Around 30,000T/year

of clean “drop-in” fuel

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Waste to jet fuel

plant

• Velocys and its industry partners committed £4.5m in total to the next development phase

• Shell supporting the project with funding and providing technical expertise

• British Airways intends to fly with the jet fuel made in the plant

• Velocys to supply its technology and provide project management, engineering, operations and technical service support

• Next stage to include pre-FEED engineering, securing an optimal site and applying for planning permission

Industry partners for UK projectProviding technical and commercial expertise

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• Initiative aims to increase domestic production of low carbon fuels capable of tackling emissions from hard to decarbonize aviation and HGV sectors

• With ongoing policy support from the RTFO1, will help bring jobs and clean growth to the UK

— Project aligned with UK industrial and transport strategy

Grant of over £400k from UK Department for TransportFuture Fuels for Flight and Freight Competition (F4C)

1 Renewable Transport Fuel Obligation

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In summary

One of the few sustainable routes to producing drop-in, renewable fuels with no blending limitations

ENVIA - our commercial scale validation of the Velocys FT system

Now producing sustainable fuels and RINS

Ready to enter the renewable fuels market and with the ambition to grow a material production capability

Pleased to be here and join the renewable fuels market with you

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We develop it, we build it, and we take it to full operation

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Dr Philipp Stratmann

Vice President Biofuels

philipp.stratmann@velocys.com

Houston office

+1 713 275 5840

www.velocys.com

Thank you

®“Velocys” and the Velocys logo are trademarks of Velocys