© Ceres Power Real world Fuel Cell technology for commercialisation A commercially viable fuel cell Steel Cell Low Cost Robust High Efficiency Global OEMs Engineering capability Balance sheet Natural Gas infrastructure Technology Real worldBusiness Model

© Ceres Power 2014 World energy demand increasing + 25% by % by 2040 Energy security increasingly important US$80bn / year - grid outages cost in North America Import dependency - Japan now uses 33% of world’s LNG Natural gas increasing as part of energy mix ~50% of UK electricity generated from natural gas + 46% by 2030 Consumers want lower energy bills Heating consumes half UK energy supply Fuel Cells - A key part of our energy future World energy demand increasing + 25% by % by Fuel Cells + Distributed Generation = the most efficient way to generate power from natural gas

© Ceres Power 2014 What’s happening in the Fuel Cell Industry 3 Revolution is only possible if at the right cost point Mission Critical Green Agenda Initial proof of commercialisation

© Ceres Power 2014 Why leading OEMs are evaluating STEEL CELL technology 4 Desires Japanese OEMs PEM/SOFC Ceres Technology STEEL CELL Consumer benefit High system efficiency35% to 45 %45%Save energy costs Save 1.5 tonnes CO 2 /year Low cost 1 $20,000$7,000Consumer payback Robustness to cycling and emergency stops ?Tested to 2x life Copes with real world Compact for global product Floor mounted Wall hungGood for apartments and houses Mass adoption addresses 18m units/year domestic boiler market 1 At 20,000 volumes p.a.

© Ceres Power 2014 Potential license deal structure 5 Ceres Cell/stack manufacturer / JV Product Development License License fee + royalties/unit Manufacturing rights License fee + royalties/unit Sales of cells/stack Sales revenue Ceres’ technology - $bn market opportunities AreaTotal market size (units sold p.a.) Annual revenue Korea1 million To £40m Japan1.5 million To £60m Europe8 million To £160m RoW7.5 million To £150m Residential nat gas m-CHP 1 To £0.4bn 1 Assumes 10-20% market penetration, £ per kW revenue, Larger power opportunity could be at least as large Over 1800 GW of natural gas power capacity by 2035 (EIA 2014). The possible value from these opportunities could be similar in magnitude OEM partners