T1 Energy Inc (FREY) 2023 Q4 法說會逐字稿

Hello, and welcome to FREYR Battery fourth quarter and full year 2023 earnings conference call. With me today on the call are Tom-Einar Jensen, Executive Chairperson,Birger Steen, our Chief Executive Officer, Oscar Brown, our Chief Financial Officer, and Jeremy Bezdek, Executive Vice President of Corporate Development and President of FREYR battery US.

您好，歡迎參加 FREYR Battery 第四季和 2023 年全年財報電話會議。今天與我一起參加電話會議的有執行主席 Tom-Einar Jensen、執行長 Birger Steen、財務長 Oscar Brown 以及企業發展執行副總裁兼 FREYR 電池美國公司總裁 Jeremy Bezdek。

During today's call, management may make forward-looking statements about our business. These forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from expectations. Most of these factors are outside first control and are difficult to predict. Additional information about risk factors that could materially affect our business are available on First F-1 and annual report on Form 10-K filed with the Securities and Exchange Commission, which are available on the Investor Relations section of our website with that.

在今天的電話會議中，管理階層可能會對我們的業務做出前瞻性陳述。這些前瞻性陳述涉及重大風險和不確定性，可能導致實際結果與預期有重大差異。這些因素中的大多數都超出了我們的控制範圍，並且難以預測。有關可能對我們業務產生重大影響的風險因素的更多信息，請參閱向美國證券交易委員會提交的 First F-1 和 10-K 表年度報告，這些信息可在我們網站的投資者關係部分找到。

I'll turn the call over to John.

我會把電話轉給約翰。

Thank you, Jeff, and welcome, everyone to this fourth quarter earnings call FREYR's 11th Earnings Call. Since we went public on the New York Stock Exchange on July 8, 2021. I want to thank all our investors, shareholders and stakeholders for their continued support, even as we have been navigating very challenging times and strong headwinds both in the markets and as a company.

謝謝傑夫，歡迎大家參加第四季財報電話會議 FREYR 的第 11 次財報電話會議。自從我們於 2021 年 7 月 8 日在紐約證券交易所上市以來。我要感謝我們所有的投資者、股東和利害關係人的持續支持，儘管我們一直在市場和公司中度過充滿挑戰的時期和強勁的逆風。

I want to take this opportunity to provide some overall strategic reflections and perspective on where we are, where we're going and why we're confident that we're on the right track to succeed as a company. Even though it is extremely challenging to build a battery company, we have been able to turn adversity into advantage and we now see that the actions we have undertaken since the third-quarter reporting are starting to yield significant operational and commercial traction.

我想藉此機會提供一些整體策略反思和觀點，說明我們現在的處境、未來的發展方向，以及為什麼我們有信心走在正確的道路上，作為一家公司取得成功。儘管建立一家電池公司極具挑戰性，但我們已經能夠將逆境轉化為優勢，現在我們看到，自第三季報告以來我們採取的行動正在開始產生巨大的營運和商業吸引力。

First of all, let me underline that the energy transition is happening faster than most realize and most are able to estimate. EV sales momentum seem to be back on track, with EV sales now showing 69% growth year-over-year from January '23 to January '24 and now surpassing 1 million cars in January for the first time ever.

首先，讓我強調，能源轉型的速度比大多數人意識到和估計的速度還要快。電動車銷售勢頭似乎已重回正軌，從 2023 年 1 月到 24 年 1 月，電動車銷量年增 69%，1 月銷量首次突破 100 萬輛。

All markets are growing and year-end estimates keep trending upwards in most markets ESS market in 2023 was furthermore twice as high as initial estimates by reputable agencies and close above 100 gigawatt hours per year for the first time and solar deployment continues to develop at record pace. Everything else that can be electrified will be electrified and be driven by continued energy density improvements and strong cost reductions.

所有市場都在成長，大多數市場的年終預估保持上升趨勢 2023 年 ESS 市場規模是知名機構最初預估的兩倍，首次超過每年 100 吉瓦時，太陽能部署繼續創紀錄增長步伐。其他一切可以電氣化的東西都將實現電氣化，並由持續的能量密度提高和成本的大幅降低來推動。

All of this requires massive amount of automotive, domestic commercial and industrial scale, storage solutions and everything else that will be electrified for balancing out the variability of the renewable energy generation. Demand for batteries will continue to grow at the highest growth rates within the renewable energy industry and could become the largest segment in the new energy economy as early as 2013.

所有這一切都需要大量的汽車、國內商業和工業規模、儲存解決方案以及其他所有電氣化設備，以平衡再生能源發電的可變性。電池的需求將繼續以再生能源產業中最高的成長率成長，並可能最早在 2013 年成為新能源經濟中最大的部分。

However, while current installed capacity in China outstrips demand, their increasing challenges for Chinese companies to export product and established presence and invest abroad. Supply will also increasingly be regionalized over time as batteries are becoming a critical part of energy infrastructure and the backbone of the new energy system.

然而，儘管中國目前的裝置容量超過了需求，但中國企業出口產品、在海外建立業務和投資面臨的挑戰越來越大。隨著時間的推移，供應也將日益區域化，因為電池正在成為能源基礎設施的重要組成部分和新能源系統的支柱。

Ultimately, however, it will be the ability to ride learning curves and be on the left-hand side of the cost curve that will determine the winners in the long run. I'm therefore very proud to say that Triad has now finally proven that we're capable of producing electrochemical active electrodes through fully automated production of anodes and cathodes with the next-generation 24 m. technology.

然而，從長遠來看，最終決定贏家的將是駕馭學習曲線並處於成本曲線左側的能力。因此，我非常自豪地說，Triad 現在終於證明我們能夠透過新一代 24 m 全自動生產陽極和陰極來生產電化學活性電極。技術。

Furthermore, also increasingly mastering the electro-mechanical challenges at the CQP, which is now 94% complete. And we're on track to start fully automated production of batteries for testing by customers in the first half of 2024. This means that we are moving from an aspiring battery company to a company producing batteries, price strategy, thus remains intact and while we have had serious challenges to deal with, we are on track to become a Western Hemisphere based global champion for clean battery solutions as our actions initiated since the Q3 reporting is starting to show significant results.

此外，我們也越來越多地應對 CQP 的機電挑戰，目前已完成 94%。我們預計在 2024 年上半年開始全自動化生產電池，供客戶測試。這意味著我們正在從一家有抱負的電池公司轉變為一家生產電池的公司，價格策略因此保持不變，儘管我們面臨著嚴峻的挑戰，但我們有望成為西半球清潔電池解決方案的全球冠軍因為我們自第三季報告以來採取的行動開始顯示出顯著的成果。

As Birger and the management team will take you through our technology. Flexible strategy provides a differentiated and dual exposure to the battery industry, and we're making real headway along both tracks. With regard developing next-generation battery solutions that ultimately will be cost advantaged relative to conventional solutions.

Birger 和管理團隊將帶您了解我們的技術。靈活的策略為電池產業提供了差異化和雙重曝光，我們正在沿著兩條軌道取得真正的進展。關於開發下一代電池解決方案，最終將相對於傳統解決方案具有成本優勢。

And our industrialization partner of choice approach is generating strong and increasing interest, which is opening significant new near term commercial opportunities. All our strategic partners, customers and suppliers stand with us on this journey. And I would again like to thank our investors who have stood by us in these challenging times. We're deeply grateful for the patients who have shown us and I can reassure you that all stones have been turned and we've pushed all possible boundaries to ensure we can get on the offense again and regain momentum and trust in the marketplace.

我們選擇的工業化合作夥伴方法正在引起強烈且不斷增長的興趣，這正在開闢重要的新的近期商業機會。在這趟旅程中，我們所有的策略夥伴、客戶和供應商都與我們站在一起。我要再次感謝我們的投資者，他們在這個充滿挑戰的時期支持我們。我們非常感謝向我們展示的患者，我可以向您保證，所有的石頭都已經轉動，我們已經突破了所有可能的界限，以確保我們能夠再次進攻並重新獲得市場的動力和信任。

I will now hand it over to Birger and the team to take a deeper dive into how we are trending towards becoming a global champion in clean battery solutions produced in the Western Hemisphere through starting to produce fully automated batteries with next generation technology and delivering conventional solutions based on our partnership-based model.

現在，我將把它交給 Birger 和團隊，深入探討我們如何透過開始使用下一代技術生產全自動電池並提供傳統解決方案，成為西半球生產的清潔電池解決方案的全球冠軍基於我們的合作夥伴模型。

Birger, over to you.

比爾格，交給你了。

Thanks, Tom, and hello to everyone joining today's call. Turning to slide 4, let's look at where we stand today. And so our team is working on a number of exciting opportunities to generate value for you, our shareholders. As I alluded to in this morning's earnings press release, the changes we made in Q4 and throughout the company are bearing fruit. We've cut cash outflow by more than half year on year and flattened the organizational structure to ensure information sharing collaboration across our teams and accelerated execution against our key objectives.

謝謝湯姆，向參加今天電話會議的所有人問好。轉到幻燈片 4，讓我們看看我們今天的處境。因此，我們的團隊正在努力尋找許多令人興奮的機會，為您（我們的股東）創造價值。正如我在今天早上的收益新聞稿中提到的，我們在第四季度和整個公司所做的改變正在取得成果。我們的現金流年減了一半以上，並扁平化了組織結構，以確保團隊之間的資訊共享協作，並加速關鍵目標的執行。

As Oscar will touch upon later, battery production is capital-intensive, and we're committed to deploying your capital to only the highest value opportunities. While we focus on our two capital formation initiatives, DOE Title 17 application through the loan programs, office and project level equity discussions for GIG America, are more around ICTP. is the other area where we're seeing impressive performance from our people and close collaboration with our global network of vendors and strategic partners. Micros are cited in the WaveRunner brings more than 30 years of experience working in managing complex manufacturing and processing facilities, and he and his new team have driven strong progress in recent months.

正如奧斯卡稍後將談到的那樣，電池生產是資本密集的，我們致力於將您的資本僅部署到最高價值的機會上。雖然我們專注於兩項資本形成計劃，但透過 GIG America 的貸款計劃、辦公室和專案級股權討論來申請能源部第 17 條，更多的是圍繞 ICTP。在另一個領域，我們看到我們的員工取得了令人印象深刻的表現，並與我們的全球供應商和策略合作夥伴網路密切合作。WaveRunner 中提到的 Micros 帶來了 30 多年管理複雜製造和加工設施的經驗，他和他的新團隊在最近幾個月取得了強勁進展。

During the month of February, Mike and the team brought the CEQP into operating mode on a driving conditions. And we're now producing automated electrodes with active electrolytes. Very this is a meaningful step towards fully automated production at Giga scale rates. We're in the process of transitioning the CQP from installation and commissioning to production of sample battery cells for key customers, which is Freyr number one priority for the first half of 2024 the CQP as our means to achieve technical validation and broad customer acceptance of the 24 m. semi-solid product family following customer testing and sample Salix happens, we will move on to offtake conversions with key customers in turn triggering our next wave of capital formation.

2 月份，Mike 和團隊將 CEQP 在駕駛條件下進入運行模式。我們現在正在生產具有活性電解質的自動化電極。這是邁向千兆級全自動生產的有意義的一步。我們正在將 CQP 從安裝和調試過渡到為主要客戶生產樣品電池，這是 Freyr 2024 年上半年的首要任務，CQP 作為我們實現技術驗證和廣泛客戶認可的手段24 m。半固體產品系列在客戶測試和樣品Salix發生後，我們將繼續與主要客戶進行承購轉換，進而引發我們的下一波資本形成。

Moving to slide 5. Our technology strategy is yielding several promising opportunities to accelerate commercialization.

轉到投影片 5。我們的技術策略正在產生一些有希望的加速商業化的機會。

During our Q1 2022 earnings call, we unveiled a competitive strategy founded upon two key elements expanding on the battery value chain into high-value adjacencies to self-production 0.1 and cultivating partnerships across the cell production technology of the spectrum from conventional to next generation and with the 24 m. semi-solid platform as our foundational fit-for-purpose ESS. and e-mobility solution as 0.2. Two years later, much has changed in the industry and the macro environment. Interest rates are up and still high. The ESS market is growing close to triple digit Caja in USD terms and significantly above industry expectation. Capacity buildup in China and lower material costs have triggered a steep drop in cell market prices.

在2022 年第一季財報電話會議上，我們公佈了一項競爭策略，該策略建立在兩個關鍵要素的基礎上：將電池價值鏈擴展到自產0.1 的高價值領域，並在從傳統電池到下一代電池生產技術領域培養合作夥伴關係。與 24 m。半固態平台作為我們適合用途的基礎 ESS。電動車解決方案為 0.2。兩年後，產業和宏觀環境發生了很大變化。利率上升並且仍然很高。以美元計算，ESS 市場的 Caja 成長接近三位數，遠高於產業預期。中國產能建設和材料成本下降引發了電池市場價格的急劇下跌。

And finally, the IRA has materially changed capital flows. These rapid and to some extent, unpredictable changes reinforce our view that our strategy of retaining flexibility in both technology platforms and partnerships continues to be appropriate for frame. It will enable us to capitalize on our core competencies in manufacturing scaling while we expand our addressable markets in the US and in Europe and build a profitable position as the leading US-based battery maker. 24 m. is our next-generation platform to scale a Western technology stack that we believe will be a source of long-term competitive differentiation. We love the dynamics of the ESS market.

最後，愛爾蘭共和軍大大改變了資本流動。這些快速且在某種程度上不可預測的變化強化了我們的觀點，即我們在技術平台和合作夥伴關係中保持靈活性的策略仍然適合框架。它將使我們能夠利用我們在製造規模方面的核心競爭力，同時擴大我們在美國和歐洲的潛在市場，並建立作為美國領先電池製造商的獲利地位。 24 m。是我們擴展西方技術堆疊的下一代平台，我們相信這將成為長期競爭優勢的來源。我們喜歡 ESS 市場的活力。

And we believe that 24 m. has enormous potential to be a disruptive solution for storage as well as selected transportation applications. The flexibility of the semi-solid platform to work with different chemistries and to eventually evolve to fit new use cases is also an appealing characteristic of this technology in the longer term. While we scale 24 m. on the path to mass production of giga factories, establishing it a conventional technology footprint should also enable us to accelerate our path to commercialization and new addressable end market.

我們相信 24 m。具有成為儲存和特定運輸應用的顛覆性解決方案的巨大潛力。從長遠來看，半固體平台能夠靈活地處理不同的化學物質並最終發展以適應新的用例，這也是該技術的一個有吸引力的特徵。而我們的規模為 24 m。在實現千兆工廠大規模生產的道路上，建立傳統技術足跡也應該使我們能夠加速商業化和新的可尋址終端市場的道路。

This approach has been validated by the industry leaders. Technological differentiation is essential long term, but there's tremendous value in getting to market engaging with customers and driving transferable operational technical learnings, maturing our business as we grow our topline.

該方法已得到行業領導者的驗證。從長遠來看，技術差異化至關重要，但進入市場與客戶互動、推動可轉移的營運技術學習、隨著我們營收的成長而成熟我們的業務具有巨大的價值。

Turning to slide 6, which I'll walk you through with Jeremy. We're receiving validation of this technology approach in real time. Our team is focusing on five distinct project opportunities across the US and Europe for semi-solid unconventional technology applications and addressing the ESS commercial mobility and potentially passenger EV markets.

前往投影片 6，我將與 Jeremy 一起引導您完成該投影片。我們正在即時接收這種技術方法的驗證。我們的團隊專注於美國和歐洲的五個不同的專案機會，用於半固體非常規技術應用，並解決 ESS 商業移動和潛在的乘用電動車市場。

These five project pursuits which are in various stages of maturity, collectively encompass more than 100 gigawatt hours of potential capacity. All of these projects involve industry-leading customers and partners beyond those five distinct product opportunities. Jeremy and his team are also discussing other avenues to accelerate phase path to commercialization.

這五個項目處於不同的成熟階段，總共包含超過 100 吉瓦時的潛在容量。除了這五個不同的產品機會之外，所有這些項目都涉及行業領先的客戶和合作夥伴。傑里米和他的團隊也正在討論加速商業化階段的其他途徑。

Jeremy, over to you.

傑里米，交給你了。

Thanks, Birger. In addition to the opportunities that burger just described on slide 6, we have been reviewing several possible inorganic growth opportunities where firm's balance sheet is valued as a key component for growth. We're not in a position to speak about any of these opportunities today, but we do believe there are deals available to us and bring growth and the ability to generate revenue in the near term through possible acquisitions where synergies could be highly valuable. We will continue to evaluate these opportunities as we move forward and we look forward to sharing those deals as they materialize. Birger

謝謝，伯傑。除了漢堡剛剛在投影片 6 中描述的機會之外，我們還審查了幾種可能的無機成長機會，其中公司的資產負債表被視為成長的關鍵組成部分。我們今天無法談論任何這些機會，但我們確實相信我們可以進行交易，並透過可能的收購在短期內帶來成長和創造收入的能力，其中協同效應可能非常有價值。隨著我們的前進，我們將繼續評估這些機會，並期待在這些交易實現時分享它們。比爾格

Thanks, Jeremy. Moving to slide 7. Let's turn our attention to the CQP. This morning. We were pleased to announce that the acid mode team has realized another important milestone on the path to reaching fully automated production by successfully conducting anode casting trials with live electrolyte slurry. Our people are now operating in a drive room environment, as you can see from the photos on the right of the slide, which means that our collective mindset has shifted from building the tools that will produce battery cells to approaching the start of samples on production for our customers. And there are more milestones directly ahead in the first half of 2024.

謝謝，傑里米。轉到投影片 7。讓我們把注意力轉向 CQP。今天早上。我們很高興地宣布，酸模式團隊透過使用現場電解液漿料成功進行陽極鑄造試驗，在實現完全自動化生產的道路上實現了另一個重要里程碑。我們的員工現在在駕駛室環境中操作，正如您從幻燈片右側的照片中看到的那樣，這意味著我們的集體思維方式已經從構建生產電池的工具轉變為接近開始生產樣品為我們的客戶。2024 年上半年還有更多里程碑即將到來。

The next item on our punch list is to integrate the casting web across the cathode anode and merge kits using a next-generation multicarrier system or MCS. Upon completion of that task. And we can move to the anticipated start of automated production of functional sample cells for our key customers in H1.

我們的待辦事項清單上的下一項是使用新一代多載體系統或 MCS 將鑄造網整合到陰極陽極和合併套件中。完成該任務後。我們可以在上半年為我們的主要客戶開始自動化生產功能性樣品單元。

Producing customer sample cells with the full automation of the CKP. will be a major achievement. It is the gateway to validation of the semi-solid process technology, demonstrating product performance attributes that can convert offtake agreements to binding sales contracts and catalyzing capital formation through the DIDOE. Title 17 process on a project level, equity raise for Gig America. Our ultimate goal at CQP, therefore, is bringing the next-generation US-based technology to gigawatt scale production and co-lead our County, Georgia and in turn capitalizing on the benefits of the inflation Reduction Act.

透過 CKP 的全自動化生產客戶樣品池。將是一項重大成就。它是驗證半固體製程技術的門戶，展示產品性能屬性，可以將承購協議轉化為具有約束力的銷售合同，並透過 DIDOE 促進資本形成。Title 17 專案層面的流程，Gig America 的股權融資。因此，我們 CQP 的最終目標是將美國的下一代技術引入千兆瓦規模的生產，並共同領導我們的喬治亞州縣，從而充分利用《通貨膨脹削減法案》的好處。

Now I'll turn it back over to Jeremy to walk you through the latest on Giga America.

現在我將把它轉回 Jeremy，帶您了解 Giga America 的最新動態。

Thanks Birger. Moving to slide 8, the Giga American project team is excited about the progress we're making at CQP, and we look forward to being the flagship project that allows us to industrialize that technology at scale.

謝謝伯傑。轉到幻燈片 8，Giga American 專案團隊對我們在 CQP 的進展感到興奮，我們期待成為旗艦項目，使我們能夠大規模實現該技術的工業化。

As a reminder, we currently own 368 acres and complete accounting. George dislocation sits deep in the heart of the Southeastern United States, which is quickly becoming the clean energy and battery hub for the US, we continue to progress two distinct tracks that will enable us to develop hundreds of jobs include accounting while investing multiple billions of dollars of capital in the state of Georgia. The semi-solid technology track utilizing the 24 m. tech continues to advance on the back of the achievements realized at the CQP. As Birger mentioned, we are advancing our Title 17 application, indeed, coordination with the DOE loan program office.

提醒一下，我們目前擁有 368 英畝土地並完成會計。喬治錯位位於美國東南部的中心地帶，該地區正在迅速成為美國的清潔能源和電池中心，我們將繼續推進兩條不同的軌道，這將使我們能夠開發包括會計在內的數百個就業崗位，同時投資數十億美元喬治亞州的資本。半固態技術軌道採用 24 m。在 CQP 所取得的成就的支持下，科技不斷進步。正如 Birger 所提到的，我們正在推進我們的 Title 17 申請，實際上是與能源部貸款項目辦公室協調。

And we are focused on securing a conditional commitment from the DOE before the end of 2024. As we progress into the second half of the year. We will re-energize our project Global Equity conversations, demonstrating success from the CQP and the opportunity to fund the debt side of the capital stack from the Department of Energy. It is quite likely that the conventional technology track will end up being the first opportunity for production. On the fleet accounting side.

我們的重點是在 2024 年底之前獲得能源部的有條件承諾。隨著我們進入下半年。我們將重新啟動我們的全球股權對話項目，展示 CQP 的成功以及為能源部資本堆疊債務方提供資金的機會。傳統技術很可能最終成為第一個生產機會。在車隊會計方面。

We have been undergoing deep due diligence with multiple technology providers, and we're nearing a decision on which technology we will select to scale.

我們一直在與多家技術供應商進行深入的盡職調查，我們即將決定選擇哪種技術進行擴展。

On the Georgia side, we look forward to sharing our technology selection in the coming weeks. With the technology access secured, we will quickly move forward with both project finance and project level equity to fund the project. We believe project-level equity can be secured during the second half of the year, which would enable us to move the project execution forward as quickly as possible and get us to a start of production in 2026 utilizing the conventional technology.

在喬治亞州方面，我們期待在未來幾週內分享我們的技術選擇。在獲得技術准入後，我們將迅速推進專案融資和專案級股權為專案提供資金。我們相信下半年可以獲得專案層面的股權，這將使我們能夠盡快推進專案執行，並利用傳統技術於 2026 年開始生產。

I will now turn it over to Oscar for an update on the financial condition of fare, as well as an update on the redomiciliation efforts that we completed in December.

我現在將其轉交給 Oscar，了解票價財務狀況的最新情況，以及我們 12 月完成的遷冊工作的最新情況。

Oscar?

奧斯卡？

Thank you, Jeremy. Moving on to slide 9, we provide an update regarding our efforts to redomicile from Luxembourg to the United States, which were indeed successful and effective as of December 31, 2023. Want to thank our shareholders for supporting the transaction with their votes. This move dramatically expands our opportunity for equity index inclusion as historically only an estimated 3% of our shares were held by index funds, compared with a peer average of over 20%. We domicile it has the potential to drive incremental holdings of up to 45% of our current market capitalization. If we were helped by all the index funds we would qualify for as well as associated actively managed funds to benchmark against those indices.

謝謝你，傑瑞米。轉到幻燈片 9，我們提供了有關我們從盧森堡遷居到美國的努力的最新信息，截至 2023 年 12 月 31 日，這些努力確實是成功且有效的。感謝我們的股東以投票支持本次交易。此舉大大擴大了我們納入股票指數的機會，因為從歷史上看，指數基金僅持有我們約 3% 的股票，而同業平均超過 20%。我們所在地它有潛力推動增持我們目前市值的 45%。如果我們得到所有指數基金的幫助，我們將有資格獲得以及相關的主動管理基金來以這些指數為基準。

Moving our domicile to the US has also the added benefit of aligning fire with a country that has offered the highest incentives for battery manufacturer in the free world as well as the world's largest market for our products. U.s. and Delaware have well understood corporate governance and disclosure requirements, and we will still be able to maintain our European strategic strategies alongside our US efforts, our main office in the US is Newnan, Georgia, just down the road from our 368 acre plot in Calgary to counting other important benefits of the redomicile are noted on the slide.

將我們的住所搬到美國還有一個額外的好處，那就是與一個為自由世界的電池製造商提供最高激勵措施以及我們產品的全球最大市場的國家保持一致。我們。和特拉華州非常了解公司治理和披露要求，我們仍然能夠在美國努力的同時維持我們的歐洲戰略戰略，我們在美國的主要辦事處位於佐治亞州紐南，距離我們在卡爾加里的368 英畝地塊不遠幻燈片上也註明了重新住所的其他重要好處。

Moving now to slide 10, optimizing our spending, I will review our recent financial results for the quarter ended December 31, 2023, fire reported a net loss of $24 million, or $0.17 per share compared with net income of $25 million for the same period. Net income from last year's period benefited from a $60 million non-cash gain on our warrant liability fair value adjustment due to changes in our stock price. This line item reflects the gain when our stock price declines during any reporting period and a loss in our stock price increases.

現在轉到投影片10，優化我們的支出，我將回顧我們截至2023 年12 月31 日的季度的最新財務業績，Fire 報告淨虧損2400 萬美元，即每股0.17 美元，而同期淨利潤為2500萬美元。去年期間的淨利潤受惠於我們的認股權證負債公允價值調整帶來的 6,000 萬美元非現金收益，該收益因我們的股價變動而調整。該行項目反映了我們的股價在任何報告期間下跌時的收益以及股價上漲時的損失。

For the fourth quarter of this year, we recognized a $9 million non-cash gain on this item. For the full year ended December 31, 2023, the company reported a net loss of $72 million or $0.51 per share compared with a loss of $99 million or $0.83 per share for the same period last year, including warrant liability, fair value adjustments of $32 million, $14 million, respectively.

今年第四季度，我們確認該項目的非現金收益為 900 萬美元。截至2023年12月31日的全年，該公司報告淨虧損7,200萬美元，即每股0.51美元，而去年同期虧損9,900萬美元，即每股0.83美元，其中包括認股權證負債，公允價值調整為32美元分別為 100 萬、1400 萬美元。

Company reported higher general and administrative expenses as well as higher research and development costs for the full year 2023 compared to 2022. Logically, this was a function of our large organization, which had been managing more projects around the world prior to our December 2023 restructuring efforts. Prior reported a decline in G&A from the fourth quarter of 2022 compared with the fourth quarter of 2023. R&d increased quarter on quarter, primarily due to increased spending related to enhanced efforts to bring the CQP and test center online.

該公司報告稱，與 2022 年相比，2023 年全年的一般和管理費用以及研發成本更高。從邏輯上講，這是我們大型組織的一項職能，在 2023 年 12 月的重組工作之前，該組織一直在世界各地管理更多專案。Prior 報告稱，與 2023 年第四季相比，2022 年第四季的一般管理費用有所下降。研發環比成長，主要是由於與加強 CQP 和測試中心上線相關的支出增加。

Looking ahead to 2024, we have initiated a significant cost cutting and resource prioritization program, focusing on the CQP and Giga America, while putting big Arctic on pause. This significantly reduces our annual cash burn rate as we seek to extend our liquidity runway to two years into 2026 while before we raise additional capital. As such, we have budgeted a material reduction in G&A and capital commitments in 2024 compared to 2023.

展望 2024 年，我們啟動了一項重大成本削減和資源優先計劃，重點關注 CQP 和 Giga America，同時暫停大型北極計畫。這大大降低了我們的年度現金消耗率，因為我們尋求將流動性跑道延長至 2026 年兩年，然後再籌集額外資本。因此，與 2023 年相比，我們預計 2024 年的一般管理費用和資本承諾將大幅減少。

Most importantly, we exited 2023 with cash of $276 million. As a result of the restructuring in December, we incurred a $6 million one-time charge for severance expenses, virtually most of which will be paid out during the first quarter. By the end of the first quarter, we expect employee headcount will be reduced by 22% compared to November 2023 and the number of consultants and project support personnel will be reduced by 26%.

最重要的是，我們在 2023 年退出時擁有 2.76 億美元的現金。由於 12 月的重組，我們一次性支付了 600 萬美元的遣散費，其中大部分將在第一季支付。到第一季末，我們預計員工人數將比 2023 年 11 月減少 22%，顧問和專案支援人員數量將減少 26%。

Moving now to slide 11, optimizing our balance sheet. We ended 2023 with total assets of $732 million, including net PP&E of $366 million, total liabilities of $97 million and no debt and total shareholders' equity of $635 million, which implies a book value of $4.54 per share.

現在轉到投影片 11，優化我們的資產負債表。截至2023 年，我們的總資產為7.32 億美元，其中固定資產淨值為3.66 億美元，總負債為9,700 萬美元，無債務，股東權益總額為6.35 億美元，這意味著每股帳面價值為4.54 美元。

Total cash spending of $287 million during 2023 came in well under budget due primarily to a reduction in scope of our Giga Arctic spending plans during the year. While we continue to work with the Norwegian government on incentive programs to compete with the USIRA. and the ETCTS. programs and will do so throughout this year. We are not currently forecasting any significant capital expenditures for GIG Arctic in 2024.

2023 年現金支出總額為 2.87 億美元，遠低於預算，這主要是由於我們在這一年縮小了 Giga Arctic 支出計畫的範圍。同時，我們繼續與挪威政府合作制定激勵計劃，以與 USIRA 競爭。和 ETCTS。計劃，並將在今年全年這樣做。目前，我們預計 2024 年 GIG Arctic 不會有任何重大資本支出。

As such, the CQP Giga America and the pursuit of a conventional project are our primary areas of focus any significant capital expenditures in 2024, other than the capitalized costs related to the CTP. and test center will only be sanctioned once new financing is secured, given our current cash balances and reduce cash requirements for 2024 compared with 2023 pending any new financing, we have ensured prior has a two-year cash runway so our 2024 spending will be focused on getting to fully automated battery cell production at the CQP using 24 m. technology and the production ramp necessary to deliver testable cells from the CQP to our customers.

因此，除了與 CTP 相關的資本化成本外，CQP Giga America 和對傳統專案的追求是我們 2024 年任何重大資本支出的主要關注領域。測試中心只有在獲得新融資後才會獲得批准，考慮到我們目前的現金餘額，並在任何新融資之前減少2024 年的現金需求，與2023 年相比，我們已確保之前有兩年的現金跑道，因此我們2024 年的支出將集中使用 24 m 在 CQP 實現全自動電池生產。將可測試電池從 CQP 交付給我們的客戶所需的技術和生產量。

The continued development of Giga America, including the costs necessary to obtain conditional credit approval this year from the DOE Title 17 loan program for 20 prime-based giga factory and pursuing a conventional relationship and project to accelerate our path to first revenues. Indeed, we are actively evaluating significant opportunities which might merit short-term investment.

Giga America 的持續發展，包括今年從 DOE Title 17 貸款計劃中獲得 20 個優質 Giga 工廠有條件信貸批准所需的費用，以及尋求傳統關係和項目以加速我們實現第一筆收入的道路。事實上，我們正​​在積極評估可能值得短期投資的重大機會。

The lead to longer term capital formation on attractive terms in the near term, how the CTP. Giga America and these other opportunities develop might impact our spending for the year and we will keep investors well informed. We have entered 2024 with the company well positioned for the current environment. We have protected our balance sheet and extended our cash runway. We continue to pursue non-dilutive growth capital and are maximizing our project development opportunities. We have a great team of pristine balance sheet and a long list of opportunities across the battery value chain.

CTP 如何在短期內以有吸引力的條件導致長期資本形成。Giga America 和這些其他機會的發展可能會影響我們今年的支出，我們將讓投資者充分了解情況。我們已進入 2024 年，公司已為當前環境做好了充分準備。我們保護了我們的資產負債表並延長了我們的現金跑道。我們繼續追求非稀釋性成長資本，並最大限度地利用我們的專案開發機會。我們擁有一支優秀的團隊，擁有原始的資產負債表和整個電池價值鏈的一長串機會。

With that, I'll turn it back over to Berger for additional comments.

這樣，我會將其轉回伯傑以徵求更多意見。

Thanks, Oscar. I'd like to conclude on Slide 12. Before we turn to Q&A, it's been an intense start to the year for our team as we evaluate and pursue a number of potentially transformational initiatives, prefer to give you a better sense of the road ahead in 2024, we felt you would find it useful for us to share a roadmap of key goals and potential catalysts that we are targeting this year. Many of the conversations we're having are confidential.

謝謝，奧斯卡。我想在投影片 12 上做總結。在我們進行問答之前，對於我們的團隊來說，今年是一個緊張的開始，我們評估並推行了許多潛在的轉型舉措，希望讓您更好地了解2024 年的前進道路，我們認為您會發現它很有用讓我們分享我們今年的關鍵目標和潛在推動因素的路線圖。我們正在進行的許多對話都是保密的。

So this list is not exhaustive, but it should give you a reasonable picture what we aim to achieve our number one priority affair in H1 2024 is to demonstrate the semi-solid technology at Giga scale at CQP based on the momentum that the entire asset multibeam has built in coordination with our global network of vendors and partners we are on track for this in the first half.

因此，這個清單並不詳盡，但它應該讓您有一個合理的了解，我們的目標是在2024 年上半年實現我們的首要任務，即基於整個資產多波束的勢頭，在CQP 上展示千兆規模的半固態技術。與我們的全球供應商和合作夥伴網路建立了協調，我們預計在上半年實現這一目標。

On the conventional technology front, we're moving at pace to establish an accelerated path to commercialization for fair, and we're focused on finalizing and announcing an agreement during the first half of 2024.

在傳統技術方面，我們正在加快步伐，建立一條加速公平商業化的道路，我們的重點是在 2024 年上半年敲定並宣布一項協議。

We also continue to progress our capital formation initiatives. As Oscar mentioned earlier, we're collaborating closely with our colleagues at the DOE Loan Programs Office, and we're engaging with potential project with equity investors about bold technology tracks for Giga America. Our frame 2.0 growth initiative to formalize commercial relationships and pursue the five project opportunities I highlighted earlier, totaling more than 100 gigawatt hours of collective installed capacity is also gaining momentum.

我們也繼續推進我們的資本形成計劃。正如 Oscar 之前提到的，我們正在與美國能源部貸款計劃辦公室的同事密切合作，並且正在與股權投資者就 Giga America 的大膽技術路線開展潛在項目。我們的框架 2.0 成長計畫旨在正式建立商業關係並尋求我先前強調的五個專案機會，總裝置容量總計超過 100 吉瓦時，也正在獲得動力。

We look forward to sharing more detail about them when it's appropriate for the second half of the year, we're turning our focus to commercialization and capital formation with sample cells rolling out of the CKP. We're targeting customer validation of the centralized process and product performance characteristics, which we expect to trigger offtake conversions. And finally, we're targeting conditional commitment from the DOE through Title 17 LPO application before year end 2024, which is also a key catalyst for prospective project equity.

我們期待在下半年合適的時候分享更多有關它們的細節，我們將把重點轉向商業化和資本形成，樣品電池將從 CKP 中推出。我們的目標是讓客戶驗證集中流程和產品效能特徵，我們希望這能觸發承購轉換。最後，我們的目標是在 2024 年底前透過 Title 17 LPO 申請獲得能源部的有條件承諾，這也是未來專案股權的關鍵催化劑。

Before I turn it over to Jeff for the start of Q&A, I'd like to express my sincere gratitude to our employees around the world. That frame for my first day of job in August last year. You welcome me to the team and you inspire me with their dedication and professionalism and entrepreneurial spirit on behalf of their fresh prior leadership team and our Board of Directors. Thank you for all that you did. And with that, I'll hand it back over to Jeff, so we can take your questions, Mr.

在我交給傑夫開始問答之前，我想向我們世界各地的員工表達誠摯的謝意。這是我去年八月第一天工作的框架。你們歡迎我加入這個團隊，你們代表新任領導團隊和董事會的奉獻精神、專業精神和創業精神激勵了我。感謝您所做的一切。接下來，我會將其交還給傑夫，以便我們可以回答您的問題，先生。

Operator, we're ready to open up the line.

接線員，我們準備開通線路了。

(Operator Instructions)

（操作員說明）

Tyler DiMatteo, BTIG.

泰勒·迪馬特奧，BTIG。

Yes, good morning, everyone. Thanks for taking the time here. I wanted to start on the DOE loan process and the conditional commitment component I guess, can you provide more color on that in what shape maybe that could take the form of and a little bit of timing? Just anything else that you can add on that. Curious to hear kind of maybe at a high level, how you're thinking about that and what the conversations have been, Jeffrey, perhaps you want to pick that one up yes, so that you have so I'll take it.

是的，大家早安。感謝您抽出寶貴時間來到這裡。我想從能源部貸款流程和有條件承諾部分開始，我猜您能否提供更多信息，可能採取什麼形式，以及一點時間安排？您可以添加任何其他內容。我很想聽聽高層次的信息，你是如何看待這個問題的，以及談話內容是什麼，杰弗裡，也許你想選擇那個，是的，這樣你就有了，所以我會接受它。

Tom, thanks for the question. So on the deal, we it's an iterative process. We've been working with them for some time as you know, we continue to go kind of back-and-forth on different drafts and information around our Part two application. I remember we're entitled 17. Some of our peers have been in the ATVM program, which is more suitable for EV.

湯姆，謝謝你的提問。所以在交易上，我們這是一個迭代的過程。如您所知，我們已經與他們合作了一段時間，我們繼續就第二部分申請的不同草案和資訊進行反覆討論。我記得我們的名字是17。我們一些同行已經參加了ATVM項目，這個項目更適合EV。

So a little different process. The main thing to think about doing around timing is both ourselves, of course, and the DOE. are aligned with getting to conditional approval by year end. So there's a lot of work to do still a lot of work to do at CEQP to continue to provide data from that asset to the DOEI. And then later this year, there will be a former formal due diligence process where they add advisers and really dig into the details of the project. So again, we'll stick with the overall the overall view, which is targeting a year-end conditional approval.

所以過程有點不同。當然，圍繞時間考慮要做的主要事情是我們自己和能源部。與年底前獲得有條件批准保持一致。因此，CEQP 仍有大量工作要做，以繼續向 DOEI 提供該資產的資料。今年晚些時候，將有一個正式的盡職調查流程，他們將添加顧問並真正深入研究專案的細節。因此，我們將再次堅持總體觀點，目標是年底有條件批准。

Okay, great.

好的，太好了。

Thank you. And then on the technology here, you know, as we think about the semi-solid versus the conventional tech as we move through '24 and '25. I mean, I mean, how do we think about kind of balancing the two, I know you said there's potential to maybe bring some revenue in the opportunities that you highlighted, five of them. You could maybe bring some of those forward. I mean, just how do you think about balancing the two platforms here and kind of when you want to go to market?

謝謝。然後是這裡的技術，你知道，當我們在 24 世紀和 25 世紀前進時，我們會考慮半固體技術與傳統技術。我的意思是，我的意思是，我們如何考慮平衡兩者，我知道你說過，你強調的機會有可能帶來一些收入，其中有五個收入。你也許可以提出其中一些。我的意思是，當您想進入市場時，您如何考慮平衡這兩個平台？

Yes. And as we alluded to, there's some there's definitely opportunity to start serving many of the customers that we've been talking to for for some time now and to get going with our module to pack and then onwards to to systems sales to those customers. So one of the things we've been working on is is how we can make that happen even before we have ready production. But then we're not going to disclose anything more on that today, and we'll look forward to come back to it once we have those deals in.

是的。正如我們所提到的，肯定有機會開始為我們已經交談了一段時間的許多客戶提供服務，並開始對我們的模組進行包裝，然後向這些客戶進行系統銷售。因此，我們一直在努力的事情之一就是如何在準備好生產之前實現這一目標。但今天我們不會透露更多相關內容，一旦達成這些交易，我們將期待再次討論這個問題。

Okay.

好的。

Great. Thanks, everyone. Really appreciate the time. I'll turn it back to Gil.

偉大的。感謝大家。真的很感激這段時間。我會把它轉回給吉爾。

As a reminder, if you do wish to ask a question, please press star followed by one on your telephone and wait for your name to be announced that is star one, if you wish to ask a question. Currently, there are no further questions. So I'd like to hand back to our presenters.

謹此提醒，如果您確實想提問，請在電話上按星號，然後按星號，然後等待宣布您的名字（星號一號）。目前，沒有其他問題。所以我想把時間交還給我們的主持人。

All right. Thank you, everyone. For dialing in, and we appreciate the time and we hope to have all of you in person. Thanks very much.That will conclude the call.

好的。謝謝大家。感謝您撥通電話，我們非常感謝您抽出寶貴的時間，希望能與大家見面。非常感謝。通話就結束了。

All right, more.

好吧，還有更多。