Vow Green Metals H2 2022: Early production start, capacity expansion and growing pipeline

Vow Green Metals’ project pipeline continues to grow. With new studies added in the fourth quarter, the pipeline now includes projects that represent a total potential biocarbon production of more than 600,000 tons per year, in addition to the current plant construction and potential expansion at Follum.

Rapid scale-up
“Being able to deliver relevant biocarbon to customers and partners is important for the rapid scale-up of production in Vow Green Metals’ main production plant which is scheduled to start in 2024. A first production line will deliver relevant biocarbon in the third quarter of 2023. The biocarbon will be offered
to metal manufacturers which are seeking to decarbonise their production,” said Cecilie Jonassen, CEO of Vow Green Metals.

This production facility is under construction at Follum by Vow ASA. It will produce up to 2,500 tons of biocarbon per year with the same pyrolysis technology which is used in Vow Green Metals’ main plant. In addition to providing early access to biocarbon, the plant will give valuable operational experience for Vow Green Metals, which will operate the facility.

Status main plant
“Meanwhile, construction of our 10,000 tons full-scale plant is underway. We are excited to be building the largest full scale biocarbon factory in Europe to date,” says Cecilie Jonassen, CEO of Vow Green Metals. The framework approval and work permits have been confirmed. The process equipment was delivered in December 2022 and is currently being preassembled and stored at site. Contracts for civil and other construction work are scheduled for award in the second quarter 2023.

Further expansion underway
Vow Green Metals’ plans do not stop at 10,000 tons. The company is currently conducting studies for expansion of its Follum plant to match the increased demand from other industry projects at Treklyngen, an industrial park at Follum. One of these projects is for Billerud, a world-leading provider of packaging
material and Viken Skog’s BCTMP wood pulp plant, for which a main study is underway. This further expansion at Follum would take Vow Green Metals’ production capacity to 20.000 tons per year and will include a large-scale pyrolysis reactor which is currently being assembled by C.H.Evensen, a subsidiary of Vow ASA.

Second half 2022 financials
2022 marked the first full year of operations for Vow Green Metals, after being demerged and listed as a separate company in July 2021.

Vow Green Metals recorded an operating loss for 2nd half 2022 of NOK 10.7 million. The operating loss was due to employee expenses and other operating expenses related to the organization and ongoing projects. Net loss after net financial items for the period was NOK 10.5 million.

Total non-current assets at the end of 2022 was NOK 87.4 million and consist of the ordering of process equipment for the Follum plant, offset by drawdown under the Enova grant. Total current assets were 43.5 million, with a cash position of NOK 42,538,092.

At the end of 2022, total equity was NOK 125.9 million and total equity and liabilities amounted to NOK 131.0 million.

For more information, please contact

Cecilie Jonassen, CEO, Vow Green Metals AS
Tel: + 47 954 20 126
Email: cecilie.jonassen@vowgreenmetals.com

Lars Mårdalen, CFO, Vow Green Metals AS
Tel: +47 911 077 02
Email: lars.mardalen@vowgreenmetals.com

About Vow Green Metals AS

Vow Green Metals AS build, own, and operate plants that produce high value
biocarbon for the metallurgical industry.

In order to decarbonise the metallurgical industry, there is a growing global interest in large scale pyrolysis plants, motivated by both environmentally friendly treatment methods for waste and for the production of biocarbon.

Vow Green Metals AS aims to provide solutions for the metallurgical industry and to meet the growing demand for industry decarbonising.

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.