#1Ocean Sun | Investor Presentation Ocean NOK 150 million private placement and subsequent listing on Merkur Market October 2020 Sun#2IMPORTANT INFORMATION (1/2) Ocean Sun IMPORTANT INFORMATION. THIS DOCUMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES OF AMERICA, ITS TERRITORIES OR POSSESSIONS, AUSTRALIA, CANADA, JAPAN OR SOUTH AFRICA OR TO ANY RESIDENT THEREOF, OR ANY JURISDICTION WHERE SUCH DISTRIBUTION IS UNLAWFUL. THIS DOCUMENT IS NOT AN OFFER OR AN INVITATION TO BUY OR SELL SECURITIES. By receiving this investor presentation (the (the "Investor Presentation") or attending any meeting or oral presentation held in relation thereto, you agree to be bound by the following terms, conditions and limitations: This Investor Presentation has been prepared by Ocean Sun AS (the "Company") solely for information purposes in connection with a presentation to potential investors held in respect of a private placement (the "Private Placement") of shares (the "Shares") in the Company, as further discussed herein and as described in a term sheet (the "Term Sheet") and an agreement, dated as of the date hereof, governing applications to participate in the Private Placement (the "Application Agreement", and taken together with the Investor Presentation and the Term Sheet, the "Private Placement Materials"). In this Investor Presentation, references to the "Company", the "Issuer", "we", "our", "us", or similar terms refer to Ocean Sun AS, except where context otherwise requires. This Investor Presentation is strictly confidential and may not be reproduced or redistributed in whole or in part to any person. No representation or warranty, express or implied, as to the accuracy or completeness of any information included herein is given by the Company, and nothing contained in this Investor Presentation is or can be relied upon as a promise or representation by the Company, who disclaim all and any liability. This Investor Presentation is furnished by the Company, and it is expressly noted that no representation or warranty, express or implied, as to the accuracy or completeness of any information included herein is given by Fearnley Securities AS as managers (the "Managers"). The contents of this Investor Presentation are not to be construed as financial, legal, business, investment, tax or other professional advice. Each recipient should consult with its own professional advisors for any such matter and advice. By reviewing this Investor Presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the businesses of the Company. This Investor Presentation must be read in conjunction with the recent financial reports of the Company and the disclosures therein. An investment in the Company should be considered as a high-risk investment. Certain risk factors relating to the Company and the Private Placement, which the Company deems most significant as at the date of this Investor Presentation, is included under the caption "Risk Factors" in this Investor Presentation." This Investor Presentation is current as of 12 October 2020. Neither the delivery of this Investor Presentation nor any further discussions of the Company with any of the recipients shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date. This Investor Presentation contains several forward-looking statements relating to the business, future financial performance and results of the Company and/or the industry in which it operates. In particular, this Investor Presentation contains forward- looking statements such as with respect to the Company's potential future costs, capex and cash flows, the potential future demand and market for the Company's services, the Company's equity and debt financing requirements and its ability to obtain financing in a timely manner and at favourable terms. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forward-looking statements contained in this Investor Presentation, including assumptions, opinions and views of the Company or cited from third party sources, are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. The Company assumes no obligation to update any forward looking statements or to conform these forward looking statements to our actual results. Furthermore, information about past performance given in this Investor Presentation is given for illustrative purposes only and should not be relied upon as, and is not, an indication of future performance. No representation or warranty (express or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and, accordingly, neither the Company nor any of its parent or subsidiary undertakings or any such person's officers or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. Actual performance and/or results may differ, and those differences can be material 2#3IMPORTANT INFORMATION (2/2) Ocean Sun The Managers and/or its employees may hold shares, options or other securities of the Company and may, as principal or agent, buy or sell such securities. The Managers may have other financial interests in transactions involving these securities. The information included herein is given on a high-level basis only and does not purport to contain a complete or a substantive description of the Company and its business. This Investor Presentation is not an advertisement for the purposes of applicable measures implementing the EU Prospectus Regulation (Regulation (EU)2017/1129). This Investor Presentation is not a prospectus and does not contain the same level of information as a prospectus. Information provided on the market environment, market developments, market trends and on the competitive situation is based on data, statistical information and reports by third parties and/or prepared by the Company based on its own information and information derived from such third-party sources. Third party industry publications, studies and surveys generally state that the data contained therein have been obtained from sources believed to be reliable, but that there is no guarantee of the accuracy or completeness of such data. While the Company believes that each of these publications, studies and surveys has been prepared by a reputable source, the Company has not independently verified the data contained therein. The Private Placement will be directed towards certain institutional investors on the basis of, and in such jurisdictions as permitted or catered for by, exemption rules under applicable securities laws allowing private placements of this nature to be undertaken without the filing of any prospectus, registration statement, application or other similar documentation or other requirement. In making an investment decision with respect to the Company's securities, investors must rely on their own examination of the Company and the terms of the Private Placement, including the merits and risks involved. The distribution of this Investor Presentation and the offering, application, purchase or sale of shares issued (directly or indirectly) by the Company in certain jurisdictions is restricted by law. This Investor Presentation does not constitute an offer of, or an invitation to purchase, any of the Shares in any jurisdiction in which such offer or sale would be unlawful. No one has taken any action that would permit a public offering of Shares to occur in any jurisdiction. Accordingly, neither this Investor Presentation nor any advertisement or any other offering material may be distributed or published in any jurisdiction except under circumstances that will result in compliance with any applicable laws and regulations. IN RELATION TO THE UNITED STATES AND U.S. PERSONS, THIS INVESTOR PRESENTATION IS STRICTLY CONFIDENTIAL AND IS BEING FURNISHED ONLY TO INVESTORS THAT ARE "QIBS", AS DEFINED IN RULE 144A UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES ACT"). THIS INVESTOR PRESENTATION DOES NOT CONTAIN OR CONSTITUTE AN OFFER OF, OR THE SOLICITATION OF AN OFFER TO BUY OR SUBSCRIBE FOR, SHARES OF THE COMPANY TO ANY PERSON IN THE UNITED STATESTHE SHARES HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER U.S. SECURITIES ACT OR WITH ANY SECURITIES REGULATORY AUTHORITY OF ANY STATE OR OTHER JURISDICTION IN THE UNITED STATES, AND MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES, OR TO OR FOR THE ACCOUNT OR BENEFIT OF A U.S. PERSON, EXCEPT PURSUANT TO AN APPLICABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE U.S. SECURITIES ACT AND IN COMPLIANCE WITH ANY APPLICABLE STATE SECURITIES LAWS. ACCORDINGLY, THE SHARES WILL ONLY BE OFFERED OR SOLD (1) WITHIN THE UNITED STATES, OR TO OR FOR THE ACCOUNT OR BENEFIT OF U.S. PERSONS, ONLY TO QIBS IN PRIVATE PLACEMENT TRANSACTIONS NOT INVOLVING A PUBLIC OFFERING AND (II) OUTSIDE THE UNITED STATES IN OFFSHORE TRANSACTIONS IN ACCORDANCE WITH REGULATION S UNDER THE U.S. SECURITIES ACT. ANY PURCHASE OF SHARES BY PERSONS IN THE UNITED STATES, OR BY U.S. PERSONS OR FOR THE ACCOUNT OF U.S. PERSONS, WILL BE MADE PURSUANT TO APPROPRIATE APPLICATION MATERIALS WHICH WILL INCLUDE CERTAIN REPRESENTATIONS AND ACKNOWLEDGEMENTS, INCLUDING WITHOUT LIMITATION THAT THE PURCHASER IS A QIB. This Investor Presentation is subject to Norwegian law, and any dispute arising in respect of this Investor Presentation is subject to the exclusive jurisdiction of Norwegian courts with Oslo City Court as first venue. 3#4RISK FACTORS (1/5) RISK FACTORS Ocean Sun An investment in the Shares involves inherent risks. Investors should consider all information set forth in this Presentation and, in particular, the specific risk factors set out below. An investment in the Shares is suitable only for investors who understand the risks associated with this type of high-risk investment and who can afford a loss of all or part of their investment. The absence of negative past experience associated with a given risk factor does not mean that the risks and uncertainties described herein should not be considered prior to making an investment decision. If any of the risks described below materialise, individually or together with other circumstances, they may have a material adverse effect on the Company's business, financial condition, results of operations and cash flow and/or prospects, which may cause a decline in the value of the Shares that could result in a loss of all or part of any investment in the Shares. The risks and uncertainties described below are the principal known risks and uncertainties faced by the Group as of the date hereof. Additional risks and uncertainties that the Company currently believes are immaterial, or that are currently not known to the Company, may also have a material adverse effect on its business, financial condition, results of operations and cash flow. The information in this Section is as of the date of this Presentation. Risks related to the Group and its business The Group has limited operating history and limited revenues The Group is in a development stage and has a limited operating history. As of today, the Group has only generated limited revenues from more limited pilot/demo projects. The Group's current business model is to generate revenues by receiving a technology license fee per watt peak capacity ("Wp") installed, in addition to engineering fees on an hourly basis. The Group has to date not achieved positive operating results. The Group has to date financed its operations by raising capital from new and existing stakeholders as well as receiving grants. The Group has currently few firm contracts that generates future revenues. Further, the Group's existing contracts that potentially provide future revenues are subject to various terms, conditions, termination events, amendments etc implying that future revenues on such contracts may be uncertain and/or may change substantially from what has been expected or estimated. To become and remain profitable, the Group must succeed in its ongoing projects and prospects, and also succeed in commercializing its business and its technologies such that they generate revenues. This will require the Group to be successful in a range of complex and interdependent activities. The Group may never succeed in these activities and, even if it does, it may not generate revenues that are significant enough to achieve profitability. The Company is a growth company, is not fully financing (nor following the Private Placement) and has made certain assumptions about the costs and funding requirements to grow and optimize its operations. If the Company's estimates are incorrect, it could lead to the need for additional financing sooner than expected and or the Company may not be able to achieve profitability. Furthermore, the contracts, rights and obligations of the Company are likely to carry a higher degree of uncertainty and risk than more mature businesses. The Company is in a development stage and has not carried out any full-scale projects To date the Company has carried out a limited number of demo/pilot projects. Consequently, the Company has not yet carried out a full-scale project. The Company's business model, technology and partner network have therefore not operated on an ordinary course basis. There is consequently a risk that such ordinary course projects never will take place or that the Company's business model proves to be inefficient or inadequate for such projects. The Company's target is to have suppliers that shall provide solar panels with performance guarantees for such products. This is considered as required for the Company's business model in order to achieve full-scale projects and expected by customers to enable the possibility to obtain debt financing. While the Company is working to achieve that suppliers delivering sufficient performance guarantees for products they shall deliver, no such performance guarantees are in place. It is therefore a risk that such performance guarantees will not be provided, with the result that customers will not purchase the Company's products and services and/or that financing (including debt financing) will be difficult or impossible to obtain at commercially attractive terms or at all. As an early development company, the Group has not extensive experience with contract management, standardised contract terms, etc. The terms and conditions that the Group is subject to therefore varies from project to project. Previous projects, as may be the case for future projects, have varied in terms of network model, terms and set-up - and not necessarily in line with the Group's business model. Past performance may therefore not be representative for future projects. Further, the Group has limited or no documentation in connection with previous projects which may cause uncertainties with respect to the rights and obligations the Group is subject to. The Group depends on protecting its proprietary technology and intellectual property rights The Group's business is highly dependent upon its proprietary technology, particularly its FPV systems technology and method of installing. The Group's business is based on a combination of patents, trade secrets, know-how and confidential procedures, and is partly protected as registered IPR and through contractual provisions to maintain secrecy and prevent un-authorised use. The Group cannot guarantee that its measures for preserving the secrecy of its know-how and trade secrets are sufficient to prevent others from obtaining such information and use the know-how. Currently, the Group has its main installations in Albania, Singapore and Philippines, but it has several proposed projects in other countries. The Group holds active patents in Norway, Hong Kong, the U.S., the United Kingdom and South Africa, and has pending patent applications in other jurisdictions, however with no certainty of issuance. Currently, the Group has operations in jurisdictions where it has no granted patents and thereby exposed to risk that others may use the Group's technology or business methods. Further, the Company has only registered its trademark in Norway - and not elsewhere. The lack of proper and clearly defined IPR regulations in agreements, or lack of agreements/regulations at all, may also expose the Group of risks related to breach of IPR and/or week IPR protection for the Group. Loss of key personnel may also create a risk that such personnel may exploit knowledge, information and know-how to the detriment of the Group, and/or that the Group may face difficulties to operate its technology or business methods as a result of the loss of such personnel. The extent of the Group's intellectual property rights varies in different countries, and filing, prosecuting, maintaining and defending the Group's patents throughout the world could be highly expensive. Consequently, the Group may be unable to prevent third parties from infringing its rights in certain countries, especially in jurisdictions offering no or little protection of intellectual property rights, or in jurisdictions where enforcement may be difficult. Competitors could potentially also use the Group's technology in jurisdictions where the Group has not obtained IPR protection. There is also a risk that competitors or other third parties may claim that the Group does not have rights or exclusive rights to the intellectual property it uses or infringe its key patents or otherwise obtain and use its intellectual property without authorisation. To prevent infringement in the future, the Group may have to file infringement claims. Such claims can be time consuming and costly to prosecute and there can be no assurance that any such claims will be successful. Policing unauthorised use of the Group's intellectual property is difficult and costly, and the Company may not successfully prevent misappropriation of its proprietary rights. Unauthorised use of intellectual property may damage the Group's reputation, decrease the value of such property and reduce its market share. Parties may initiate litigation against the Group for alleged infringement of their proprietary rights. In the event of a successful claim of infringement and the Group's failure or inability to develop non- infringing technology or content or to licence the infringed or similar technology or content on a timely basis, the Group's future business could suffer. Moreover, even if the Group is able to licence the infringed or similar technology or content, it could be required to pay licence fees to the licensor that are substantial or uneconomical. In the event that these or other circumstances damage the Group's intellectual property rights, it could have a material adverse effect on its business, results of operations, financial condition and prospects. The Group cannot assure that its know-how and trade secrets will provide the Group with any competitive advantage, as the know-how and trade secrets may become known to or be independently developed by others including the Group's competitors, regardless of measures the Group may take to try to preserve the confidentiality. The Group cannot give assurance that its measures for preserving the secrecy of its trade secrets and confidential information are sufficient to prevent others from obtaining such information. 4#5RISK FACTORS (2/5) Ocean Sun Risks relating to sub-contractors and supplier/partner network The Group's business model is to use external suppliers for, among other things, components in its FPV systems through a supplier/partner network. No firm, long-lasting partner agreements are entered into. Further, due to the early phase of the Group's development, the supplier/partner network has limited experience and track-record. Inability to maintain a logistic network for deliveries or other problems in the supply chain, such as delays, cost-overruns, error with products, etc, may have adverse consequences for the product and services to be delivered by the Group, compliance with project agreements, customer relations etc., resulting in adverse effect on the Group's business and results of operation. The loss of key suppliers could result in costs for the Group and there is a risk that the Group may not be able to replace the supplier with adequate alternative suppliers, at commercial attractive terms or at all. Each such risk could adversely affect the Group's business and results of operations. The Group seeks to use established sub-contractors, however, no assurance can be given that its sub-contractors are able to perform their contractual obligations in time or otherwise in accordance with agreement. The Group is consequently exposed to risks relating to subcontractors not being able to fulfil its contractual obligations, which in turn could delay or prevent the Group's delivery of FPV-systems to projects. Going forward, the Company intends that the engineering, procurement & construction ("EPC") contractor will have the responsibility for the procurement of materials from suppliers. The Company will, however, risk reputational damages should the material supplier or the contractor fail to perform its obligations. Risk of projects being delayed in time creating uncertainties as to the cash inflow The construction of a utility scale solar plant is a large undertaking where project duration from initiation to completion can span over several years. During the project duration, important risks can relate to the feasibility of the chosen project location, weather and natural conditions, obtaining and maintaining permits and approvals for the projects, technical risks in connection with the installation of the systems and delays caused by subcontractors (as described herein). In general, materialisation of such risks could lead to amendments to the project and delays, which in turn can have adverse effect on cash flows of the Group. Technological evolution The market for the Group's products and services is subject to continued evolution in technology, evolving industry standards, changes in customer needs, competition and frequent new product introduction. As such, the Group will require significant investments in scaling up the organization to keep good traction in technology development and scale up sales force. If the Group is unable to anticipate future changes in technology and customer requirement, or fails to develop and introduce its technology and services on a timely basis, it may have an adverse impact on the Group's business and prospects. There can be no assurance that the Group will have sufficient resources to make such investments. Furthermore, if any technical or other difficulties that could delay the introduction of new technologies or enhancements, are encouraged, further investment may be required to endure the desirability of the Group's product and service to customers. Risks relating to obtaining future financing needed in order for the Group to achieve its goals The Group is dependent on additional financing to be able to reach its growth goals. The Group's ability in the future to obtain additional capital on commercially reasonable terms, or at all, may be limited. If the Group is unable to obtain such financing on commercially reasonable terms, it could reduce funds available to the Group for purposes such as financing its working capital, capital expenditures, strategic acquisitions and other general corporate purposes. Further, it could restrict the Group's ability to introduce new products or exploit business opportunities, and it could increase the Group's vulnerability to economic downturns and competitive pressures in the markets in which it operates and place the Group at a competitive disadvantage. Market price of electricity generated from renewable energy sources The Company's business model entails that the Company's sales of license agreements and services constitute a material share of its future, possible gross profit. The profitability of FPV systems depends to a large extent on the sales price of the electricity produced. Thus, the Group's profitability depends on the demand for FPVs, which will to a certain extent be affected by the price of electricity generated from renewable energy sources. The Group is reliant on its customers reducing the effect of price fluctuation by inter alia entering into long-term fixed price contracts. While this is further influenced by government subsidies and support, the future development of the FPV industry in general, and the Company in particular, will to a significant degree depend on the development in electricity market prices over time. Electricity prices depend on a number of factors including, but not limited to, availability and costs of primary energy sources (including oil, coal, natural gas and uranium), and the development in cost, efficiency and equipment investment need for other electricity producing technologies, including other renewable energy sources. A decline in the costs of other sources of electricity, such as fossil fuels or nuclear power, could reduce the wholesale price of electricity. A significant amount of new electricity generation capacity becoming available could also reduce the wholesale price of electricity. Broader regulatory changes to the electricity trading market (such as changes to integration of transmission allocation and changes to energy trading and transmission charging) could have an impact on electricity prices. A decline in the market price of electricity could materially adversely affect the financial attractiveness of new projects. Government subsidies, incentives and other support mechanisms The Company has previously been granted public funding from Norwegian authorities. However, there is no guarantee that the Company will qualify for such grants in the future. Consequently, it is a risk that the ability for the Group to access public funding, in Norway or elsewhere, could be unavailable, limited or restricted. Political developments could lead to a material deterioration of the conditions for, or a discontinuation of, current incentives for PV solar power plants. It is also possible that government financial support for FPV will be subject to judicial review and determined to be in violation of applicable constitutional or legal requirements, or be significantly reduced or discontinued for other reasons. A reduction of government support and financial incentives for the installation of FPV in any of the markets in which the Group currently operates or intends to operate in the future could result in a material decline in the availability of investment opportunities. The Group has activities in a number of markets, including [Norway, Albania, South Korea, the Philippines, China and Singapore]. The Group is also planning to broaden its market presence and will also become active in new markets going forward. Incentives for FPV energy are currently important in all these markets. The Group's business is dependent on its ability to maintain and scale its technical infrastructure The Group's business depends on FPV technology and method of installing. In order for the Group to compete effectively, the Group must reduce product costs and improve its technology. If the Group fails to successfully maintain, expand or upgrade its products and method of installing, or is unable to do so on a timely basis, or on commercially reasonable terms, its offerings and services may become less attractive to customers, and the Group may lose customers and partners to its competitors. The Group may not be able to develop new technology that may be required to expand and/or keep up with competitors The Group has a growth strategy and is targeting an expansion of its customer base for existing and new products. Research and development are expensive, time-consuming, and entails considerable uncertainty with respect to both achieving positive results and, if successful, the ability to commercially sell products and services using such technology. Due to long development processes, changing regulatory requirements, changing market conditions and customer preferences and other factors, new variants of existing technologies or new technologies may take longer and cost more to develop and may be less successful than the Group anticipates. It is expected that an increased target market and customer base will result in increased competition. Furthermore, the Group may be unable to reduce costs as required to maintain a competitive position. No assurance can be given that any existing or new technologies under research and development will be commercially successful. If the Group is unable to keep up with competitors, develop new technology or have commercial success with its existing or technology under research and development, this could adversely affect the future development on the Group's business, financial condition, results of operations and/or prospects. FPV is a fairly new industry and, as such, experience with FPV has been developing rapidly due to practical implementation of research taking place in several different companies simultaneously. FPVs in general have experienced some challenges that deviate from, inter alia, energy efficiency, evaporation, installation at scale, weather resistance, maintenance, algae growth, deployment and transportation. The Group's ability to stay on top of and contribute to this development will impact the success of the Group as well as the development of the whole industry. As FPV is a relatively new concept still in the development phase, there is no guarantee that it will be competitive with traditional methods of producing solar energy. In addition to the inherent risks involved due to the Group being in a development phase in a new industry, such as risks related to faults in maintenance and the Group's technology etc., there is also a risk that the Group's commercialisation strategy is found in-efficient or unattractive, and that other competitors in the industry are able to commercialise at a more rapid pace than the Group, which may in turn have material adverse effects on the Group's results, financial condition, cash flows and prospects. 5#6RISK FACTORS (3/5) New technology and impact of faults in an early phase Ocean Sun The FPV systems developed by the Group represents new technology in the market, which means that customers and potential customers have little to no experience with the Group's products. In this phase, there is a risk that any defaults or unsuccessful projects, which could be due to factors within and outside of the Groups control, could have a proportionate material impact on the reception of the technology in the market and be decisive in respect of whether customers are willing to invest in the technology and buy the Group's products and services, and which in turn can have a significant severe impact on the Group's ability to successfully establish itself in the market and implement the Group's business plan. The Group is reliant on key personnel The Group has currently a limited number of employees. All such employees are considered important for the Group's success and ability to implement its business model. Consequently, any loss of current key employees may be detrimental to the Company and its business. Further, the Group's future growth and success depends, in part, upon the leadership, performance and continuing service of key personnel. The Executive Management's technical, finance, marketing and administrative skills and experience are important to the operation of the Group's business. The Group's ability to meet its operational requirements and its future growth and profitability is dependent upon, amongst other things, its Executive Management. If any key person resigns, a suitable replacement with requisite skills, contacts and experience may not be immediately found and the Group may experience negative market or industry perception, which could have a material adverse effect on its business, financial condition, prospects and results of operations. The Group's ability to continue to identify and develop opportunities depends on the management's knowledge of, and expertise in, the industry in and such local jurisdictions and on their external business relationships. The Group's growth and success also depend on its ability to attract, hire and retain additional highly qualified and skilled technical, research, sales, managerial and finance personnel. If the Group experiences shortage of skilled personnel, or, if a significant portion of the employees were to engage in strikes, work slowdowns or other actions, the Group may not be able to continue to sell its products, develop new products or effectively manage its global operations. Further, any failure to effectively integrate new personnel could prevent the Group from successfully growing. The counterpart of being dependent on retaining its key personnel, is that the Company faces a corresponding risk of losing its employees to competitors and that they bring with them knowledge about the IPR of the Company. The Company has, however, included non-compete provisions in its employee agreements to mitigate this risk. The Group may not be able to implement its business strategy successfully or manage its growth effectively The Group's strategy is to grow through a focus on five key areas: constantly develop the product offering through extensive research and development; utilizing projects and pilot opportunities with a solid working capital; expanding the organisation to ensure global presence in the key regional markets; ensuring industry presence in seminars, exhibitions and other relevant industry forum, and; working with strategic partners - both within the supply network and with strategic rollout partners The Company would then look to accelerate this growth primarily through expansion of workforce (ref. Section 4.2 - Business model and strategy). The Group's ability to implement its strategy and achieve its business and financial objectives is subject to a variety of factors, many of which are beyond the Group's control. A principal focus of the Group's strategy is to capitalise on the increase demand for FPV systems by expanding into new regions (such as Asia-Pacific and Latin and South America) and expansion of its marketplace offering. The success of executing this strategy will depend on several factors, including the Group's ability to: ensure presence on the market; " provide a competitive product in the local market; attract customers; and deliver on its obligations The Group's failure to execute its business strategy or to manage its growth effectively could adversely affect the Group's business, prospects, financial condition and results of operations. In addition, there can be no guarantee that even if the Group successfully implements its business strategy, it would result in the Group achieving its business and financial objectives. The Group's Executive Management targets to review and evaluate the business strategy with the Board of Directors on a regular basis and the Group may decide to alter or discontinue elements of the Group's business strategy and may adopt alternative or additional business strategies in response to the Group's operating environment or competitive situation or other factors or events beyond the Group's control. 6#7RISK FACTORS (4/5) Ocean Sun The Group anticipates that the markets in which it operates will become more competitive The Group anticipates that the number of companies seeking to develop FPV products or other products that aim to increase the consumption of renewable energy will increase in the future. The Group's competitors range in size from small, single product companies to large, diversified corporations, which may have greater financial, technical, marketing and other resources. For instance, there is a risk that the Company will be unable to compete with competitors with stronger balance sheet and/or funding capabilities that may enable them to use more resources on inter alia product offering, R&D, marketing, ramp-up, continue with limited profits and on other basis. Given the Company being in a development and growth phase in a new industry, the Company sees this risk more apparent compared to more established markets. Further, there are several potential alternative supplies of energy from renewable sources, including inter alia land based solar panels, wind farms, hydro power plants, tidal stream generators and flash steams power stations. Currently, certain technological obstacles prevent the scale sourcing of solar energy from FPV. However, the Group's current or future competitors may develop and commercialize new technologies and products that may gain market share from the Group and cause decline in its revenue and profits. Any business combinations or mergers among the Group's competitors that result in larger competitors with greater resources or distribution networks, or the acquisition of a competitor by a major technology or energy corporation seeking to enter the markets which the Group operates, could further increase competition the Group face and have a material adverse effect on its business, financial condition, results of operations, cash flow and/or prospects. The Company may or may not pay dividends for the foreseeable future. Shareholders may never obtain a return on their investment As of the date of this Presentation, the Company is in a growth phase and is not in a position to pay any dividends. There can be no assurance that in any given year a dividend will be proposed or declared, or if proposed or declared, that the dividend will be as contemplated by the policy. Any payment of future dividends will depend on legal restrictions, the Company's capital requirements, including capital expenditure requirements, its financial condition, general business conditions and any restrictions that its borrowing arrangements or other contractual arrangements in place at the time of the dividend may place on its ability to pay dividends and the maintaining of appropriate financial flexibility. Risks related to the COVID 19 pandemic The current outbreak of 2019 coronavirus ("COVID-19") has resulted in a global pandemic and has severely impacted companies and markets globally. It is currently not possible to predict the consequences for the Group, its business partners, Norway, the industry in which the Group operates or global business and markets. The future of the Group and its business, including the ability for the Group to realise its current plans are therefore more uncertain under such circumstances. The occurrence of an epidemic or pandemic is beyond the Group's control and there is no assurance that any future outbreak of COVID-19 or other contagious diseases occurring in areas in which the Group or its suppliers, partners or customers operate, or even in areas in which the Group do not operate, will not seriously interrupt the Group's business, including planned constructions or those of the Group's suppliers or customers. Such event could have a material adverse effect on the Group business, results of operations or financial condition. The renewable sector is still under development Unexpected success in other areas of renewable energy may reduce the demand for the Group's FPV systems. This may affect the Group's ability to pursue its growth strategy and securing license agreements with new customers. The same may also hold true for non-renewable or currently unknown energy technologies. For instance, developments in Carbon Capture Storage technology ("CCS") could potentially have the effect on making coal, oil and gas sustainable and reduce the need for energy from renewable sources. Developments in cold fusion or other technologies could have the same effects. Risk relating to immature market with few standards and supporting insurances Installation of main stream PV panels is today well established through international standards. The IEC (International Electrotechnical Commission) 61215 lays down requirements for the design qualification and type approval of terrestrial photovoltaic modules suitable for long-term operation in general open air climates, as defined in IEC 60721. This standard is intended to apply to all crystalline silicon terrestrial flat plate modules. Similarly, in the US, the UL (Underwriters Laboratory) 1703 standard was developed by UL in the 1980s and has been through several editions since. The standards are directed to qualify products with respect to durability, reliability and how they affect bankability. Other national jurisdictions may also exercise additional regulations and standards to electrotechnical products that are connected to grid infrastructure. Although the international market acknowledge the advent of floating solar power, the present standards does not evolve at the same pace. There is significant risk that conservative investors in the PV industry will wait until such standards are fully developed and ratified. Despite strong interest for floating solar there is a risk that the Ocean Sun solution does not gain sufficient momentum and market interest to be included in future standards. Due to lack of track record and general inexperience with the Ocean Sun technology, the insurance premiums can be higher than compared with main stream alternatives. At least in the beginning, this will reduce general bankability and may even render the technology useless. The Group is exposed to liquidity risks relating to lack of liquidity that may affect the Group's ability to cover its obligations The Group is subject to liquidity risk in relation to meeting future obligations associated with its financial liabilities, which normally include operating costs. If the Group is unable to manage its liquidity efficiently or has insufficient liquidity, the Group may not be able to fulfil its obligations, when due. In case the Group should experience a liquidity shortfall, there is a risk that additional capital cannot be raised when needed, that capital cannot be raised on terms favourable to the Group, or that the capital raised should prove insufficient to cover the Group's liquidity needs which could have an adverse effect on the Group's business, results of operations, cash flows, financial condition and prospects. The Group is exposed to risks associated with international operations The majority of the Group's revenues originate from countries outside of Norway and the Group has installments in Albania, Philippines and Singapore, and the Group foresee future operations in many under-developed locations. The Group's operations are consequently subject to risks inherent in international business operations, including, but not limited to, general economic conditions in each country in which the 'Group operates, overlapping differing tax structures, problems related to management of an organization spread over various countries, unexpected changes in regulatory requirements, compliance with a variety of local laws and regulations, and longer accounts receivable payment cycles in certain countries. The materialization of such risks might have a material adverse effect on the Group's business, prospects, financial position and operating results. Fluctuations in exchange rates could affect the Group's cash flow and financial condition The Group presents its financial statements in NOK. The Group mainly have costs in Norway, as well as some costs in Singapore and Shanghai where the Group has offices. As the Group operates in the global market and has a global strategy, it is and will be exposed to currency fluctuations, primarily through fluctuations in NOK, CNH, SGD, USD and EUR. Any fluctuations in exchange rates between these currencies could materially and adversely affect the Group's business, results of operations, cash flows, financial condition and/or prospects. The Group does currently not have any currency hedging arrangements in place to limit the exposure to exchange rate fluctuations. Risk relating to estimates, targets, forecasts, assumptions and Forward-looking Statements contained herein This Presentation includes Forward-looking Statements, including estimates, targets, forecasts, plans and similar projected information. Such information is based on various assumptions made by the Group and/or third parties that are subject to inherent risks and may prove to be inaccurate or unachievable. Such assumptions are not verified. Forward-looking Statements included are based on current information, estimates and plans that may change rapidly and without notice. Investors are cautioned to place undue reliance on such Forward-looking Statements. Risk relating to regulatory environment The Group's activities are subject to extensive international and national regulations. The Group's future sale of its products (if and when developed) is also subject to restrictions on international trade. Future changes in the domestic and international laws and regulations applicable to the Group, can be unpredictable and are beyond the control of the Group, and such changes could imply the need to materially alter the Group's operations and set-up and may prompt the need to apply for permits, which could in turn have a material adverse effect on the business, financial condition, results of operations or cash flow of the Group. 7#8RISK FACTORS (5/5) Ocean Sun Risks Relating to the Listing and the Shares The price of the Shares may fluctuate significantly The trading price of the Shares could fluctuate significantly in response to a number of factors beyond the Company's control, including quarterly variations in operating results, adverse business developments, changes in financial estimates and investment recommendations or ratings by securities analysts, significant contracts, acquisitions or strategic relationships, publicity about the Company, its products and services or its competitors, lawsuits against the Company, unforeseen liabilities, changes to the regulatory environment in which it operates or general market conditions. In recent years, the stock market has experienced extreme price and volume fluctuations. This volatility has had a significant impact on the market price of securities issued by many companies. Those changes may occur without regard to the operating performance of these companies. The price of the Shares may therefore fluctuate based upon factors that have little or nothing to do with the Company, and these fluctuations may materially affect the price of Shares. There is no existing market for the Shares, and a trading market that provides adequate liquidity may not develop Prior to the Listing there is no public market for the Shares, and there can be no assurance that an active trading market for the Company's Shares on Merkur Market will develop or be sustained. The market value of the Shares could be substantially affected by the extent to which a secondary market develops for the Shares following the completion of the Listing. Future sales, or the possibility of future sales of substantial numbers of Shares could affect the Shares' market price The Company cannot predict what effect, if any, future sales of the Shares, or the availability of Shares for future sales, will have on the market price of the Shares. Sales of a substantial amount of the Shares in the public market following the offering, or the perception that such sales could occur, could adversely affect the market price of the Shares, making it more difficult for holders to sell their Shares, or the Company to sell equity securities in the future, at a time and price that they deem appropriate. Although certain larger shareholders and members of Board of Directors and Executive Management have undertaken lock-up restrictions, subject to certain exceptions, on their ability to sell or transfer their Shares for a defined period after the first day of trading of the Shares on Merkur Market, the Manager may, in its sole discretion and at any time, waive such restrictions on sales or transfers during this period. Future issuances of shares or other securities in the Company may dilute the holdings of shareholders and could materially affect the price of the Shares It is possible that the Company may decide to offer new shares or other securities, in order to finance new capital-intensive investments in the future, in connection with unanticipated liabilities or expenses, or for any other purposes. Any such offering could reduce the proportionate ownership and voting interests of holders of Shares as well as the earnings per Share and the net asset value per Share of the Company, and any offering by the Company could have a material adverse effect on the market price of the Shares. Depending on the structure of such future offering, existing shareholders may not have the ability to purchase additional equity securities. Investors may not be able to exercise their voting rights for Shares registered in a nominee account Beneficial owners of the Shares that are registered in a nominee account (such as through brokers, dealers or other third parties) may not be able to vote for such Shares unless their ownership is (a) re-registered in their names with the VPS prior to the Company's General Meetings or (b) the registered nominee holder grants a proxy to such beneficial owner in the manner provided in the Articles of Association in force at that time and pursuant to the contractual relationship, if any, between the nominee and the beneficial owner, to vote for such Shares. The Company cannot guarantee that beneficial owners of the Shares will receive the notice of a general meeting of shareholders of the Company in time to instruct their nominees to either effect a re- registration of their Shares or otherwise vote for their Shares in the manner desired by such beneficial owners. Any persons that hold their Shares through a nominee arrangement should consult the nominee to ensure that any Shares beneficially held are voted for in the manner desired by such beneficial owner. Shareholders' ability to bring an action against the Company may be limited by Norwegian Law The shareholders' rights are governed by Norwegian law and by the Company's Articles of Association. Such rights may differ from the rights of shareholders in other jurisdictions. In particular, Norwegian law limits the circumstances under which shareholders of Norwegian companies may bring derivative actions. Under Norwegian law, any action brought by the Company in respect of wrongful acts committed against the Company will be prioritised over actions brought by shareholders claiming compensation in respect of such acts. In addition, it could be difficult to prevail in a claim against the Company under, or to enforce liabilities predicated upon, securities laws in other jurisdictions. Investors may have difficulty enforcing any judgment obtained in the United States against the Company or its directors or officers in Norway The Company is incorporated under the laws of Norway and all of its current directors and executive officers reside outside the United States. Furthermore, most of the Company's assets and most of the assets of the Company's directors and executive officers are located outside the United States. As a result, investors may be unable to effect service of process on the Company or its directors and executive officers or enforce judgments obtained in the United States courts against the Company or such persons in the United States, including judgments predicated upon the civil liability provisions of the federal securities laws of the United States. The United States and Norway do currently not have a treaty providing for reciprocal recognition and enforcement of judgments (other than arbitral awards) in civil and commercial matters. The transfer of the Shares is subject to restrictions under the securities laws of the United States and other jurisdictions The Shares have not been registered under the U.S. Securities Act or any U.S. state securities laws or any other jurisdiction outside of Norway and are not expected to be registered in the future. As such, the Shares may not be offered or sold except pursuant to an exemption from the registration requirements of the U.S. Securities Act and applicable securities laws. In addition, there can be no assurances that shareholders residing or domiciled in the United States will be able to participate in future capital increases or rights offerings. Shareholders outside Norway are subject to exchange risk The Shares listed are priced in NOK, and any future payments of dividends on the Shares listed on Merkur Market will be paid in [NOK]. Investors registered in the VPS who have not supplied the VPS with details of their bank account, will not receive payment of dividends unless they register their bank account details with DNB Bank ASA, Registrars Department (the "VPS Registrar"). The exchange rate(s) that is applied when denominating any future payments of dividends to the relevant investor's currency will be the VPS Registrar's exchange rate on the payment date. Accordingly, any investor outside Norway is subject to adverse movements in NOK against their local currency as the foreign currency equivalent of any dividends paid on the Shares listed on Merkur Market or price received in connection with sale of such Shares could be materially adversely affected. 8#9INTRODUCTIONS Dr. Børge Bjørneklett Founder & CEO Ph.D. Materials Science, NTNU 25+ years of Tech management experience from automotive, solar and offshore industries, ex. VP of Technology and Innovation Aker Solutions and Technology Manager REC Solar Karl Lawenius CFO M.Sc. Industrial Engineering, Chalmers 6+ years of experience form working with M&A and Business Development related to growth companies on consulting and corporate level#10A BOLD SOLUTION TO OUR GLOBAL ENERGY NEEDS Video: https://www.youtube.com/watch?v=2xVZvB3M1SA&ab_channel=Ocean Sun Watch the video on Youtube Ocean Sun 10 10#11INVESTMENT HIGHLIGHTS Unique technology 1 for Floating PV 2 Fast-growing market Ocean Sun has developed a purpose-made floating PV1 ("FPV") solution offering superior economics through >25% lower CAPEX² and >5% higher efficiency² than other FPV solutions in the market Concept proven with patent applications filed or granted in key FPV markets, such as US, China, and Brazil, and the only FPV solution to have received a Statement of Conformity from DNVGL (verifying its accordance with global safety standard) Floating PV installation growth expected at >40% annually³ Floating PV benefits from development in regular PV and is growing fast given (i) declining land availability, (ii) falling unit costs and (iii) increased efficiency Contracts with recognized players (e.g. Statkraft, EN Technologies) for +100 MWp, implying strong earning potential in the medium to long- term future 3 Extensive project pipeline4 • Ongoing project discussions exceeding 3+ GWp Scalable and asset 4 light business model 5 Experienced and committed team ready to scale Ocean Sun receives a technology license fee per Watt installed, enabling high scalability, limited project risk and strong cash generation potential Production and installation in collaboration with established and leading partners with ample capacity Management team has significant track-record in solar and offshore industries globally Aligned incentives through high degree of management ownership interests Note: 1) Photovoltaics. Source: 2) SERIS, Ocean Sun Journal of Cleaner Production. 3) Average of forecasts by Wood Mackenzie & Research and Markets. 4) "Pipeline" means potential projects where the Group is in discussions with possible customers, but where no binding contract or commitment exists. The likeliness of such projects becoming binding contracts or commitments, and/or what terms and conditions that will apply to such contracts (if entered into) are uncertain. Ocean Sun 11#12EQUITY OFFERING SUMMARY Timeline and key considerations Minimum order and allocation of NOK equivalent of EUR 100,000 Ocean Sun Conditions In conjunction with the Private Placement, the Company has applied for its shares to be admitted to trading on Merkur Market, a multilateral trading facility operated by the Oslo Stock Exchange The company will be listed under the ticker OSUN-ME Start of application period: 12 October 2020 at 09:00 CEST Close of application period: 16 October 2020 at 16:30 CEST Payment Date for the Private Placement: Expected on or about 19 October 2020 Delivery of Offer Shares to subscribers applicants in the Private Placement and first day of trading on Merkur Market: Expected on or about 26 October 2020 Completion of the Private Placement is subject to: (i) all corporate resolutions of the Company required to implement the Private Placement being validly made, including the Board's resolution (and the general meeting of the Company if required) to proceed with the Private Placement and to issue the New Shares, (ii) payment being received for the Offer Shares, (iii) registration in the Norwegian Register of Business Enterprises (BRREG) of the share capital increase pertaining to the New Shares, and (iv) the Company's shares being approved for admission to trading on Merkur Market. Transaction summary Issuer The offer The offer price Use of proceeds from the Primary Tranche Sponsor participation and lock-up Ocean Sun AS, registration number 917 619 751 Company shares ("Shares") recorded in the VPS under ISIN NO 001 0887565 Private placement through (i) issuance of new ordinary shares for gross proceeds of approximately NOK 100 million ("Primary Tranche") and (ii) sale of existing ordinary shares for gross proceeds up to NOK 50 million ("Secondary Tranche") (together the "Offer Shares") in Ocean Sun AS (the "Company" or the "Issuer") (the "Private Placement") The Offer Shares is expected to be sold between NOK 17.75 and NOK 20.25 per Offer Share, equivalent to a pre-money equity value pro forma the Private Placement of NOK 700-800 million Expand organization, fund continued research and development, as well as working capital and general corporate purposes As part of the Secondary Tranche, certain existing larger shareholders expect to offer for sale some of their shares, while expect to retain a significant portion of their original ownership Members of the Company's management and board, as well as the Selling Shareholders and other existing large shareholders have entered into customary lock-up arrangements with the Manager, with a lock-up period of 6 months Minimum application Listing Timeline " " Allocation criteria Investor requirement Manager The allocation will be made at the sole discretion of the Company's board of directors (the "Board") The Board expects to focus on criteria such as (but not limited to) size and timeliness of order, perceived investor quality, investment horizon and shareholder base following Private Placement. Investors subject to applicable exemptions from relevant prospectus requirements, (i) outside the US in reliance on Regulation S under the US Securities Act of 1933 (the "US Securities Act") and (ii) in the U.S. to "qualified institutional buyers" (QIBS) as defined in Rule 144A under the US Securities Act Fearnley Securities AS Tradability of Shares Shares, including Offer Shares, not freely transferable until (and subject to) listing on Merkur Market actually occurs 12 13#13SOURCES AND USES Use of proceeds Expanding the organization with the aim to reach global presence in key regional markets о From ~9 employees today to ~60 by end-2023, with three new regional offices in addition to current Oslo, Singapore, and Shanghai offices ☐ Further improving the product offering through R&D Working capital buffer to execute successfully on projects and new opportunities " Maintaining industry presence in seminars, exhibitions and other relevant industry forums Sources Equity raised through the Offering Total Sources NOKm 100 100 Uses NOKm Upscaling of Organization, Pilots/Working Capital and R&D 100 Total Uses 100 Target organization in 2023 HQ/~14x Americas ~10x1 Africa ~7x1 NE Asia ~12x1 SE Asia ~11x1 Ocean Sun Oceania -4x 5x Regional offices (up from 2x in 2020) -60 Employees (up from 9x in 2020) 13.#14☐ 1 The Company 2 Market opportunity 3 4 Product offering Commercialization 5 Appendices Ocean Sun#15THE COMPANY IN BRIEF Description " " Ocean Sun has developed a unique solution for Floating PV ("FPV") that the company licenses out for a fee per Watt installed The proprietary technology enables a highly efficient FPV system at a competitive cost Technology is proven through five successful demos, one large-scale project and collaboration agreements with leading players in the industry Ongoing project discussions exceeding 3+ GWP Timeline May 2016 Patent app Aug 2016 Founded Jul 18 First external funding Jan 2018 Jul 2018 Lerøy Seafood May 2019 Singapore office Jun 2019 SN Power (PH) Jun 2019 Collaboration with GCL Feb 2020 China office Aug 2019 DNVGL Test site Jun 2020 Albania Statkraft 2MW Apr 2017 Osterøy (NO) Johor Straits (SG) Project installations Ocean Sun 15#16OCEAN SUN POSITIONING IN THE VALUE CHAIN (1) Component Providers 2 System Design EPC 3 Customers Developer Examples component providers: Examples EPC: Examples developers: CEBC 中国能建 Vestas ENERGY CHINA GCL HUAWEI Ocean Sun VINCI ENERGIES PROTAN SAIPEM snpower Scatec Solar Improving our future" Statkraft TESLA 2 3 End Customer Examples end customers: HYDRO Ocean Sun Component providers • Ocean Sun's solution uses "off-the-shelf" materials with the flexibility to choose between numerous different providers. Thus high-volume deliveries are readily available Engineering, procurement and construction ("EPC") • • The solution is installed by third-party contractors As the solution is easy to install, it can be installed by a broad range of contractors Customers Ocean Sun's solution can be promoted and chosen by any part of the value chain (including the EPC) The customer pays Ocean Sun a technology license fee per Watt installed The Company target that its suppliers shall provide performance warranties for panels delivered by them, as it will be expected/required by customers1 Note: Company logos for illustrative purposes 1) The Company's is targeting and its business model depends on its suppliers of solar panels (PV modules) providing performance warranties for panels delivered by them, as will be expected/required by customers and to secure bankability. Such warranties are currently not in place, but the Company is working with suppliers, including performance testing with GCL for PV Modules, to achieve such warranties. 16#17TARGETING GLOBAL EXPANSION • • Development phase Product development → secured a system with superior performance and targeting cost leadership Demonstrated proof of concept with five demonstration projects Technology with comprehensive IP protection1 Established network for delivery Commercialization phase Testing of business model (positive response from market) Targeting product bankability through supplier warranties² and third party validations Targeting customers o Large scale projects for rapid scalability Smaller projects for quick deployment о Established OS in the marketplace with high industry presence and further proof of concept Securing a supplier network for high volume deliveries Securing financing for further expansion • Global Expansion Expand geographical reach by establishing strong local sales offices Further optimize supply network to reduce costs Further prove and develop technological offering for new and existing markets Evaluate potential ownership in projects through SPVs (future) Ocean Sun Note: 1) Based on patents applications granted and patents applications pending 2) The Company's is targeting and its business model depends on its suppliers of solar panels (PV modules) providing performance warranties for panels delivered by them, as will be expected/required by customers and to secure bankability. Such warranties are currently not in place, but the Company is working with suppliers, including performance testing with GCL for PV Modules, to achieve such warranties. 17#18L 1 The Company 2 Market opportunity 3 4 Product offering Commercialization 5 Appendices Ocean Sun#19WHY THE NEED FOR OCEAN SUN'S PROPRIETARY TECHNOLOGY Ocean Sun Renewable energy Solar Energy Deployment Space Floating Solar ☐ As the world is electrifying there is an increasing demand for, and dependency on electricity, whose share of the total energy mix is forecasted to more than double to 60% by 20501 Simultaneously, the Paris agreement and other climate commitments stress the urgency for a transformation to renewable energy sources Solar power is one of the most promising sources of renewable energy, with competitive cost compared to fossil fuel-based energy in a growing number of countries Electricity generation from solar power is expected to grow almost 30-fold from 2019 to 2050, making it- the single largest provider of electricity (~1/3)1 Traditional solar systems require extensive areas of land which have become a scarce commodity (especially in proximity to energy demand centres) ■ The alternative cost is high as valuable land resources could be used for other applications such as agriculture or simply protected for environmental or biological concerns (e.g. rainforests) Water covers 71% of our planet's surface and a majority of the densely populated land areas are close to water bodies FPV installations have several benefits such as no land requirement, cooling effect from water and existing transmission infrastructure (when co-sitting with hydropower sites) Current technical solutions are expensive, as they use significant extra material (plastic) Fitting Solution Current technologies are not robust enough, nor suitable for large scale deployments Ocean Sun Ocean Sun FPV Solution Ocean Sun's FPV solution is highly cost-effective compared to other FPV systems in the market, with the potential of realizing an LCOE lower than that of ground-mount solutions The unique design is more robust and enables large scale deployments in new and existing markets High energy efficiency due to direct water cooling Source: 1) DNVGL Energy Transition Outlook 2020. The Company Note: LCOE (Levelized Cost of Energy) is a measure used to compare energy cost from different sources and technologies. 19#20FLOATING PV IS ACCELERATING QUICKLY FPV is 15+ years behind ground-mount PV 700 600 500 400 Installed Solar PV capacity (GW) 300 200 100 0 Floating PV is catching up fast 3.0 586 GW Installed Solar PV capacity (GW) 2.5 2.0 1.5 1.0 .5 15-16 years 2.4 GW .0 1997 1999 2001 2003 Total PV - Cumulative¹ 2.8 GW 2005 2007 2009 2011 2013 2015 2017 2019 Floating PV - Cumulative² Ocean Sun Ground-mount PV reached the current installed floating PV capacity in 2003-04 Hence, floating PV is 15+ years behind regular ground-mount PV in terms of capacity installed 8 1 2 3 4 5 6 7 9 10 11 12 13 Years since 100 MW of capacity was installed Total PV (1992-2004) -Floating PV (2016-2019)² But floating PV capacity is catching up quickly, taking off faster than land-based PV in its initial years Floating PV benefits from development in regular PV and starts off with a much more competitive LCOE baseline than PV initially did 20+ years ago Sources: 1) BP Statistical Review of World Energy 2020, BNEF, IRENA, IHS (2000-2019), IEA PVPS (1992-1999). 2) TERI, SERIS. The Company 20 20#21STRONG GROWTH FORECAST AND SIGNIFICANT POTENTIAL Ocean Annual FPV installations1 (MWp) | Forecast 2 781 I I 2 198 57 359 101 786 1 374 1 086 1 738 Capacity vs. market potential (GWp) 7 600 2015 2016 2017 2018 2019 2020E 2021E 2022E 2023E 1 10.5 2023E FPV Capacity Forecast Sources: 1) Wood Mackenzie, Research and Markets. 2) NREL. 3) International Energy Agency. 4) SERIS. The Company NREL Market potential² Sun • NREL has identified 7.6 Terawatts of FPV market potential, or equivalent to ~50% of the worldwide electricity demand in 20183 Reservoirs represent a significant opportunity, given significant synergies with hydropower . • • • Minimal surface area required to equal hydropower output (<5%)4 Existing power grid infrastructure on-site Less water evaporation Smoother power production profile (day vs. night, sunshine vs. rain) 21#22GEOGRAPHICAL OVERVIEW OF FPV Current pipeline of installations Countries with FPV projects under development Source: SERIS 10+ GW planned worldwide Split of installed capacity 1% 1% 1% 2% 3% ■China 6% 18% 68% Ocean Sun ■ Japan South Korea ■Taiwan Vietnam ■ UK USA Others 22 22#23L 1 The Company 2 Market opportunity 3 4 Product offering Commercialization 5 Appendices Ocean Sun#24UNIQUE FEATURES VS. CONVENTIONAL FPV SYSTEMS Ocean Sun's Floating PV solution Ocean Sun versus Conventional Floating PV systems Ocean Sun + Standard PV panels tailored for installation on membrane attached to buoyancy rings + Resistant to degradation from salt water, waves and wind, tested and approved for Class 4 typhoons (275 km/h winds) + Boosting cell efficiency and power output by direct water cooling, a much better heat conductor than air + Lower component cost, effective transportation and installation at scale, reducing total investment costs Standard PV panels installed on metal frames on lattice of plastic pontoons Many moving parts and gaps, making them prone to degradation from waves and wind, limiting deployments at sea Cooled by air High material use, large transportation volume and suboptimal installation at scale Source: The Company 24 24#25SUPERIOR ECONOMICS IN OCEAN SUN'S FPV SOLUTION Lower PV system costs Higher PV cell efficiency USD per Wp 0.8 0.7 0.6 EPC Other License fee $0.07/Wp. $0.03/Wp 0.5 0.4 0.3 0.2 0.1 Mounting Inverters Modules Ocean Sun Average electricity produced per day (indexed) 115 110 105 7-12% 100 95 Ocean Sun 0.0 90 Utility-scale Conventional FPV ground-mount PV1.4 (Pontoon) 1.4 Ocean Sun FPV Solution 2,4 Utility-scale ground-mount PV3 Conventional FP (Pontoon)³ Ocean Sun FPV Solution 2, 3 Sources: 1) SERIS. 2) The Company. 3) Journal of Cleaner Production. Note: 4) Assumes module cost of USD 0.25 per Wp Efficiency differences depend on seasonality, climate, location, and other factors. EPC means "Engineering, Procurement, and Construction" Ocean Sun Ocean Sun is highly competitive compared to conventional FPV solutions 25-30% lower system cost 5-10% higher PV cell efficiency Ocean Sun also outperforms large-scale ground-mount PV economics 10-15% lower system cost, with additional savings from lower land and grid-connection costs 7-12% higher PV cell efficiency By offering superior economics, Ocean Sun has the potential to claim a substantial market share in the fast-growing FPV market 25#26PROVED THROUGH STATEMENT OF CONFORMITY Ocean Power and renewables SECTORS SERVICES INSIGHTS ABOUT US DNV GL Source: DNVGL POWER AND RENEWABLES/NEWS DNV GL verifies innovative floating solar design methodology for Ocean Sun Ocean Sun introduces floating solar solution for man-made reservoirs and coastal waters. Floating solar opens up tremendous opportunities to provide the world with sufficient renewable energy. The solution from Ocean Sun is the first floating solar design of its kind to receive a Statement of Conformity from DNV GL, verifying its accordance with global safety standard. Published 09 March 2020 Author Andrea Bergha Contact Prajee Rasish Sun Statement of Conformity from DNVGL Verifies that the design methodology (design principles, methods and safety factors), complies with the relevant standards and recommended practices "Ocean Sun introduces floating solar solution for man-made reservoirs and coastal waters. Floating solar opens up tremendous opportunities to provide the world with sufficient renewable energy. The solution from Ocean Sun is the first floating solar design of its kind to receive a Statement of Conformity from DNV GL, verifying its accordance with global safety standard." 26#27PATENTS, DESIGN REGISTRATION AND TRADEMARK Patents covering relevant economic regions... Granted patents Pending applications Source: The Company, Zacco Norge Ocean Sun and relevant aspects of the solution 2 PATENT FAMILIES 1. Solar Power Plant 2. Method of Installing • An independent IP evaluation performed by Zacco stated that: OS's current patent applications provide strong and broad protection for floating PV systems based on rigid modules arranged directly on a floating, flexible membrane There are not identified any third-party IP rights which would prevent commercialization of Ocean Sun's concept "Ocean Sun's technology should therefore be well suited for commercialization, either through direct utilisation or via IP licensing" - Rikard Mikalsen, PhD and European patent attorney, Senior Partner and Head of Zacco Norge 27 27#28L 1 The Company 2 Market opportunity 3 4 Product offering Commercialization 5 Appendices Ocean Sun#29ASSET-LIGHT BUSINESS MODEL Ocean Sun • Ocean Sun's commercial model The right to use Ocean Sun's patented technology along with: Initial solution engineering Detailed BoM1, purchase instructions and method statements . Support from Ocean Sun's personnel Key benefits Rapid scalability and quick technology roll-out Reduced risk (both project and organizational) Ocean Sun's revenue model • A technology license fee per Watt installed Note: 1) Bill of materials. 2) Levelized cost of energy Reduced LCOE2 Partner-network in all parts of the value chain 29 29#30READY TO SCALE WITH PRODUCTION PARTNERS Ocean Sun's pre-qualified suppliers HDPE ring • Standard High-Density Polyethylene pipes with expected lifetime of 100+ years . Easily available from multiple vendors Membrane Panels HDPE ring Inverter Panels • Use a slightly modified utility scale • • silicon PV module, certified by TÜV Rheinland GCL, one of the world's largest PV panel manufacturers, supplies solar panels for Ocean Sun Additional suppliers are being developed TÜV RheinlandⓇ Genau. Richtig. GCL Membrane Expected lifetime of 20 years+ after tests in collaboration with Norner Membrane approved for use on drinking water Numerous suppliers Inverters ❖ PROTAN VERSEIDAG COATING AND COMPOSITE • System uses standard Huawei inverters and transformers Source: The Company HUAWEI Ocean Sun Ocean Sun 30#31PROOF OF CONCEPT WITH NOTABLE PROJECT WINS Ocean Sun Statkraft installation on Banja Project Details Size: ♥ Location: Customer: Project details: Timing: Description 2 MWp 500+ MWp license deal with EN Technologies Project Details Statkraft 4 Size: Location: Banja HPP Reservoir in Albania Statkraft Full-scale demonstrator 2020 / 2021 The full scale demonstrator project will be constructed in two phases with 0.5 MWp expected installed in Q4'20 and remaining 1.5 MWp expected early 2021. There is significant potential for additional projects with Statkraft, one of the largest renewable companies in Europe. Customer: Project details: Timing: Description 500+ MWp EN TECHNOLOGIES Saemangum, South Korea EN Technologies (Samsung & LG) 500 MW license agreement 2020 / 2021 EN Technologies and Ocean Sun has entered into a licence agreement with a minimum expected volume of 100 MWp in 2021, with an additional potential under the license agreement of 400+ MWp over 5 years. The installations will center around the Saemangum FPV project, a 2.1 GWp floating solar initiative by the Korean government. As a part of the Western river Consortium, EN Technologies has chosen Ocean Sun's technology for its share of the project and will in addition pitch the technology to other consortiums. 31#32ONGOING PROJECT DISCUSSIONS EXCEEDING 3+ GWP Ocean Sun Initial discussions Including major players in the wind-, battery- & energy industries Long list of leads Further collaborations Including major players in the wind-, battery- & energy industries Final discussions SN ABOITIZ POWER GROUP The Power to Make a Difference sn power 30+ preliminary designs1 Statkraft Signed projects EN TECHNOLOGIES 5+ contract stage Well reputed Norwegian Offshore and Renewables Company Note: 1) Incl. PV system, Location mapping, site evaluation and energy generation 65+ leads 32 32#33HISTORICAL AND EXPECTED TIMELINE OF PROJECTS Ocean Sun 50m² prototype in Singapore, deployed to study operations with high humidity and high ambient temperature and to serve as a demonstrator for potential customers in Asia. 2000m2 demo on hydro power in Philippines. The system was ordered by SNAP1, who is the owner of the power plant to serve as a demonstrator of the technology and to prove functioning operations within the typhoon belt. The unit is still operational. The system is designed to withstand wind speeds up to 275 km/h and water level variations of 30m 17 Expected installation of 100 MWp for EN Technology. Additional 400+ MWp potential under license agreement² Kil Targeting substantial market share: installing 500+ MWp Apr 2017 Jan 2018 Jul 2018 Jun 2019 Aug 2019 A 2,000m2 unit was deployed in collaboration with Lerøy Seafood. The system was built to power part of Lerøy's feeding infrastructure (off-grid). The unit endured several winter storms with waves measuring up to 3m. Five of the panels were later laboratory tested and showed no damage. Q4 2020 2021 0.5 MWp of 2 MWp full scale demonstrator project for Statkraft Remaining 1.5 MW p expected installed early in 2021 Occan After validating the concept at Elvebakken, Oslo and NTNU in Trondheim the Company built its 1st prototype east of Bergen, Norway. The 300m² circular floater carries 24 PV modules. The system is still in operations, four years later and has endured the harsh weather of the Norwegian west coast without any damages and with minimal maintenance. Source: The Company DNV-GL In collaboration with DNVGL Singapore, Ocean Sun deployed a small floater to study the benefits of direct cooling and for benchmarking the power efficiency of Ocean Sun solution compared with ground mount and pontoon-based solution. Note: 1) JV between SN Power and Aboitiz Power Corporation. 2) Subject to customer discussions and agreement. Illustration: Statkraft, Banja 2023 33 33#34STRONG REVENUE POTENTIAL Ocean Sun Installed capacity Illustrative revenues dependent on installation level Statkraft+100 MW p EN Technologies 102 MWp 20% market share 2023E 556 MWp Statkraft + 500 MW p EN Technologies Illustrative 502 MWp 750 MWp Illustrative 1,000 MWp License Fee range $30 - 70k/ MWp $30 70k/MWp $30 - 70k/ MWp $30- 70k/MWp $30 - 70k/ MWp Revenue range Mid-point Revenues $3 - 7m $15-35m $17-39m $23-53m $30 - 70m $5m $25m $28m $38m $50m 34#35VISION: BE THE LEADING TECHNOLOGY PROVIDER TO FPV SYSTEMS Protect & Maintain IP Easily monitored with satellite photos Continuous Development To maintain technology leadership Global Partnerships With components suppliers and EPC Large customers Hydropower energy and national utilities Revenue generation Initially from licencing fee for rapid scalability and consider project stake once product has been rolled-out#36L 1 The Company 2 Market opportunity 3 4 Product offering Commercialization 5 Appendices Ocean Sun#37CORPORATE & ORGANIZATIONAL CHART Corporate structure 100% Ocean Sun AS Organizational chart Board of Directors Thomas Moe Børseth Chairman 100% Management Group Børge Bjørneklett Board member Ocean Sun Arnt Emil Ingulstad Board member Brian Glover Board member Børge Bjørneklett CEO Ocean Systems AS Ocean Sun China CO. LTD Karl Lawenius CFO Alexander Telje COO Kristian Tørvold Director NE Asia 100% Ocean Sun Pte Ltd R&D Engineers Are Glørsen Director SE Asia Sigmund Bragstad Alexander Millan Seokjeong Hyun Eide Arnt Emil Ingulstad Part time 37#38HIGHLY EXPERIENCED MANAGEMENT TEAM Significant experience from venture, solar and offshore industries Ocean Sun Dr. Børge Bjørneklett | Founder & CEO 25.3% ownership1 • Inventor of the patented solution 20+ years of Tech management experience from automotive, solar and offshore industries, ex. VP of Technology and Innovation Aker Solutions and Technology Manager REC Solar Ph.D. Materials Science, NTNU Karl Lawenius | CFO 0.5% ownership1 • 6+ years of experience form working with M&A and Business Development related to growth companies on consulting and corporate level Master of Science in Industrial Engineering, Chalmers Alexander Telje❘ COO 0.2% ownership1 • • 15+ years with executive experience ex. as General Manager of British American Tobacco in Norway and as Director of Memetor MBA Management & Organization, USC Kristian Tørvold | Director NE Asia 0.5% ownership1 10+ years experience from energy and offshore industries in NE Asia ex. as Partner in EntryPoint and Finance Manager in Modex Group Master of Science in Finance & Economics, Fudan University Are Gløersen | Director SE Asia 0.5% ownership1 • 10+ years experience from solar industry as part of REC Solar. 5+ years of executive experience in SE Asia ex as Director of Tronrud Engineering and CEO of Commlight Master of Science in Astronautical Engineering, HiN Note: 1) Prior to contemplated transaction 38#39COMPETENT BOARD OF DIRECTORS Experienced board ready to assist the commercialization Thomas Julius Moe Børseth | Chairman • • EVP in the investment firm Umoe. Primarily focus on renewables and clean tech. Prior to joining Umoe in 2013, he was a management consultant at McKinsey & Company from 2006 to 2012 PhD in physics from the University of Oslo and a Master of Science in applied physics from INSA Toulouse Dr. Børge Bjørneklett | Board member • Founder & CEO of Ocean Sun - Inventor of the patented solution • 20+ years of Tech management experience from automotive, solar and offshore industries, ex. VP of Technology and Innovation Aker Solutions and Technology Manager REC Solar • Ph.D. Materials Science, NTNU Arnt Emil Ingulstad | Board member 30+ years of experience as an investor and advisor to growth and well-established businesses primarily within the electronics industry MBA from Norwegian School of Management & Master of Science from NTNU • Brian Glover | Board member • Specialized in sustainable investment and has a history as Project Manager for renewable power supply in hydropower, wind, and solar PV. Founded multiple successful small businesses Ph. D in hydraulics Ocean Sun 39#40OWNERSHIP STRUCTURE Ocean Sun List of shareholders1 Shareholder Børge Bjørneklett (CEO) DR Ing. Børge Bjørneklett AS Børge Bjørneklett (Private) Progressi AS AS Tanja Ingulstad Holding AS UMOE AS MP Pensjon PK Number of shares Ownership (%) 9,959,400 25.3% Indicative selling shareholders " Børge Bjørneklett intends to offer up to 515,000 shares for sale from his private account, equal to -5% of his total holdings Progresseri AS, Ingulstad Holding AS and Sauar Invest AS will offer an aggregate up to 2,230,100 shares for sale None of the shareholders are offering more than 15% of their holdings Other corporate aspects 9,242,500 716,900 7,442,500 18.9% 6,626,600 16.8% 5,988,000 15.2% 4,000,000 10.1% 1,838,300 4.7% Sauar Invest AS 1,795,600 4.6% Caaby AS 535,700 1.4% Bkraft Holding As 368,000 0.9% Karl Lawenius (CFO) 201,900 0.5% ☐ Green Tundra AS (Kristian OS China) 201,900 0.5% Are Glørsen (OS Singapore) 201,900 0.5% Alexander Telje (COO) 85,000 0.2% 185,900 0.5% ☐ 39,430,700 100% Other employees Total Members of the Company's management and board, as well as the Selling Shareholders and other existing large shareholders have entered into customary lock-up arrangements with the Manager, with a lock-up period of 6 months Current shareholders agreement will automatically terminate upon the Company's admittance to trading on Merkur Market Shares to be freely transferrable upon listing on Merkur Market Board authorisation to issue shares up to 50% and board authorisation for share buyback of up to 10% Note: 1) Prior to contemplated transaction 40#41UNIQUE DESIGN OVERCOMING COMMON FPV WEAKNESSES Players Technology Application Benefits Drawbacks Ocean Sun A unique Ocean FPV solution Sun SCG Ciel Terre SUNGROW isifloating FLOATING SOLAR SYSTEM Swimsol High efficiency system with modified modules on membrane All waterbodies including saltwater and semi shelter coastal waters High yield Competitive cost Easy transport Fast and easy installation Good seaworthiness Limited track record, however proven Coupled blow moulded PE buoys, standard modules Fresh water, <1m wave height Structural PE piping Lagoons benign waters ZIMMERMANN PV-Stahlbau Rail and beam structure built on pontoons. Galvanized steel and other materials Lakes, Conventional module installation Commonly deployed Established players Flexible size & form Standard modules Decent sea & wind worthiness Prototypes / Demo High material use Transport volume No direct contact with water → air cooling Sea & wind worthiness Installation at scale Expensive BoM No direct contact with water → air cooling Few application areas Few past installations Limited seaworthiness Durability fatigue life/corrosion East-West orientation No direct contact with water → air cooling Complex assembly Source: Companies 41#42BENCHMARKING OF FPV AND PV INVESTMENT COSTS Ocean Sun 1 2 Floating PV projects 1,2 # Plant Sayreville, NJ Da Mi reservoir Country COD Capacity (MW) USA 2019 4.4 CapEx ($m) 7.2 $m per MW 1.64 Benchmark 1.2 vs. Ocean Sun³ 2.0 Ocean Sun Vietnam 2019 47.5 62.0 1.31 3 O'MEGA 1 France 2019 17.0 19.0 1.12 1.5 4 Simhadri, Andra Pradesh India 2019 25.0 14.6 0.58 5 Changhua Coastal Industrial Park4 Taiwan 2020 181.0 318.7 1.76 6 Sirindhorn District Pilot Thailand 2020 45.0 28.0 0.62 7 Alqueva Portugal 2020 4.0 3.9 0.98 USD per Wp 1.0 8 Cixi China 2020 120.0 100.0 0.83 9 Tengeh reservoir4 Singapore 2021 60.0 39.1 0.65 0.5 10 Cirata reservoir Indonesia 2022 145.0 131.7 0.91 11 Vau i Dejës Albania TBD 12.9 16.4 1.27 0.0 Weighted average CapEx/MW 1.12 5 1 2 11 3 7 10 8 9 64 Project # Utility-scale, ground-mount PV projects 1,2 # Plant Country COD 1 Noor Abu Dhabi Abu Dhabi 2019 Capacity (MW) 1,177.0 CapEx ($m) $m per MW Benchmark 1.2 vs. Ocean Sun³ 870.0 0.74 1.5 2 Thuan Nam Vietnam 2020 450.0 517.6 1.15 Ocean Sun 3 Núñez de Balboa Spain 2020 500.0 339.3 0.68 4 Bomen Solar Farm Australia 2020 120.0 126.8 1.06 1.0 5 Upington South Africa 2020 258.0 278.7 1.08 6 Ibri II Oman 2021 500.0 400.0 0.80 7 Francisco Pizarro Spain 2021 590.0 351.0 0.59 8 Riverstart United States 2021 200.0 242.0 1.21 USD per Wp 0.5 9 Al Kharsaah Qatar 2022 800.0 500.0 0.63 10 Creil Air Base France 2022 246.0 152.1 0.62 11 Tunisia Tunisia TBD 360.0 240.0 0.67 0.0 Weighted average CapEx/MW 0.77 8 2 5 4 6 1 3 11 9 10 7 Project # Selection of recent and near-term PV projects for which investment amount and capacity (in MWp) is known Ground-mount PV projects includes some of the world's largest utility-scale plants, deemed to have the lowest unit investment costs On the basis of an investment cost of $ 0.45- 0.53 per Wp, including license fee and installation, Ocean Sun's FPV solution is highly competitive compared to other PV systems Sources: 1)Companies, Journal of Cleaner Production, PV-Tech, PV-Magazine and Press. 3) The Company. Note: 2) USD/EUR of 1.17, VND/USD of 23,186, AUD/USD of 1.42, and ZAR/USD of 17.08. 4) Assumes 75% debt ratio (vs. 68-75% for other FPV projects). COD means Commercial Operation Date. 42#43OFFERING FAST & EASY INSTALLATION Lean transportation Pontoons "Using 370 W panels, one container would fit pontoons equal to 41- or 67kWp"1 Floater The membrane of one large floater fits in a 40ft container Using the same 370 W panels, one container would transport 710 kWp. Ocean Sun offers 10-17x more productive transportation than pontoon-based FPV solutions Ocean Sun Source: The Company Note: 1) From Ciel et terres webpage (https://www.ciel-et-terre.net/ciel-et-terre-faq/). Ocean Sun Production line setup with parallel workstations Ring . Pipes assembled using butt-fusion welding Established process around the world Membrane . • Membrane installed on land or water Membrane is walkable when on the water ERM Panels Keder technology allows for rapid installation Pallets of panels can be put on the membrane 43#44HIGHER EFFICENCY DUE TO DIRECT WATER COOLING PV Module temperature & efficiency Two well established assumptions explain Ocean Sun's increased efficiency: . PV module efficiency decreases with higher temperature (~0.4%/°C) . Water is a better heat conductor than air Using Ocean Sun's patented solution1, the operating cell temperature is lowered through direct heat transfer from the water below, which in turn improves the efficiency of the solar modules. As the infrared picture shows, modules installed using Ocean Sun's solution is kept at much lower temperatures 5-10% higher PV cell efficiency and power generation than other FPV solutions Source: Department of renewable energy systems, Institute for Energy Technology, The Company Note: IR picture from test site in Singapore. 1) Patents granted and patents application pending in various jurisdiction's FLIR Modules lifted from membrane → air cooled Module temp: 63 °C Peers Ocean Sun Modules in direct contact with membrane Water cooled Module temp: 35 °C 111 Ocean Sun Water temp: 33 °C 44#45ROBUST IN WIND, WAVES AND CURRENTS Ocean Sun Waves and currents Waves and currents • • System is tested at SINTEF ocean basin laboratory Circular design distributes forces Ocean Sun uses a thin hydro elastic membrane 。 This allows the structure and the PV modules to move gracefully with the harmonics of the waves, as opposed to working against the forces from the waves. Minimal drag from sea current Wind Minimal wind drag due to flat mounting on the water Reduced risk of system breaking from wind Ocean Sun's pilot in Osterøy, Norway has been operating since May 2017 without any material downtime or breakage Basin tests and simulations have predicted the systems wave capabilities and CFD1 analysis has shown that the system is able to withstand typhoon category 4 → winds of 275 km/h Source: SINTEF, The Company Note: 1) Computational fluid dynamics 45#46HYDRO'S CAN REAP MULTIPLE BENEFITS FROM INSTALLING FPV Hydro area fraction required to add same power from FPV1 Existing electric infrastructure Synergies Example Dam / Reservoir Region Reservoir Size (km²) Hydro Power (GW) Area Fraction Required to add same Power from FPV Three Gorges Dam China 1,000 22.0 22% Itaipu Brazil 1,300 14.0 11% Narmada Dam India 375 1.5 4% Bakun Dam Malaysia 690 2.4 3% Attaturku Lake and Dam Turkey 820 2.4 3% Guri Dam Venezuela 4,250 10.2 2% Lake Volta Ghana 8,500 1.0 <1% Sobradinho "Lake" Brazil 4,220 1.0 <1% Aswan Dam Egypt 5,000 2.0 <1% Source: 1) SERIS. Statkraft. The Company Ocean Sun Evaporation reduction A growing concern in many warm and dry geographical areas Sun Rain optimization "Solar by day, hydro by night" Hydroplants can potentially 2x their power generation by installing FPV Natural and easy way to expand power generation as building new hydroplants may be met with controversion Illustration: Statkraft, Banja 46#47STRONG MARKET GROWTH PROJECTIONS Annual installations (MWp) 4 500 4 000 3 500 3 000 Cummulative capacity (MWp) The most recent FPV market report (NREL, Aug-2020) estimate 13,000 MV in 2022E 14 000 3 939 12 000 10 000 2 854 2 781 8 000 2 500 2 068 2 198 2 000 6.000 1 499 1 738 1 590 1 445 1 500 1 314 1 374 4 000 1 000 500 0 2020E ■WoodMac 2021E 2022E 2023E ■Research & Markets -Average (applied forecast) Source: Research and Markets (2019), Wood Mackenzie (2019), NREL (2020), The Company 2 000 -13,000- Ocean Sun 0 2019 2020E 2021E 2022E 2023E WoodMac Research & Markets -Average (applied forecast) 47#48FLOATING PV CAPACITY COULD EXCEED 85 GW BY 2027 Cumulative capacity (MWp) 90 000 80 000 70 000 60 000 50 000 70% CAGR 40 000 30 000 20 000 10 000 0 2003 / 2019 2004/ 2020E 2005/ 2021E 2006 / 2007/ 2008/ 2009/ 2010/ 2022E 2023E 2024E 2025E 2026E 2011/ 2027E Ground-mount PV Floating PV (start year 2019) Sources: Wood Mackenzie & Research and Markets (floating PV), BP Statistical Review (ground-mount PV), The Company Ocean Sun Based on current forecast, installed FPV in 2023 will be on par with ground-mount PV capacity in 2007 Between 2007 and 2011, ground-mount PV capacity increased 70% p.a. Assuming the same growth for FPV from 2023E, FPV will be a ~86,000 MW market by 2027E With leveraging benefits such as (i) no land requirement, (ii) low unit costs and (iii) increased efficiency, the FPV market has the potential to grow at an even faster pace 48#49INCOME STATEMENT & BALANCE SHEET Ocean Sun Income Statement RESULT NOK thousands Balance Sheet 2019 2018 BALANCE NOK thousands Assets 2019 2018 Sales revenue 1,917 750 Research and development Other operating income 6,312 5,329 Operating equipment 36 Total operating income 8,228 6,079 Shares/investment in subsidiaries 30 Cost of good sold 8,167 3,730 Total fixed assets 66 General and administrative expenses 8 057 5 139 Other operating expenses .. Total operating expenses 3 153 19,377 2 169 Receivables Operating profit/loss (11,149) 11,038 (4,959) Bank deposits, cash etc. Net financial items 115 60 Ordinary result before taxes (11,034) (4,899) Total current assets Total assets 4,725 3,869 14,510 25,052 19,234 28,922 19,301 28,922 Tax on ordinary result Net result for the year (11,034) (4,899) Liabilities and equity Trade creditors 757 655 Public duties payable 400 583 Other short-term liabilities 3,145 1,651 Total short-term liabilities 4,303 2,890 Total long-term liabilities Total liabilities 4,303 2,890 Total equity 14,998 26,032 Total liabilities and equity 19,301 28,922 Source: Ocean Sun AS' audited financials (not consolidated) 49#50CUSTOMIZED OCEAN SUN PV-MODULE IN COLLABORATION WITH GCL-SI AVAILABLE FOR HIGH VOLUME PRODUCTION Ocean Sun The customized module is certified by TÜV Rheinland. Source: The Company Ocean Sun#51Ocean Sun www.oceansun.no