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www.etvenergy.com Arnold Roth Chief Operating Officer Advanced battery technology for the emerging electric vehicle opportunity Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. A call to action • • • • Global warming Environmental pollution Geopolitics Oil prices Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 1 Establishing technology leadership in one of the most valuable segments of today’s global markets Collaboration: Industry Execution Experienced management team Track record of success Science Innovation Collaboration: Academia Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 2 Successfully addressing the key challenges calls for focus on energy density and cost (Wh/l) USABC long term target Volumetric energy density 800 4.7V (NMS) 600 Q1 2014 Battery for UAV 400 3.2V 1.2V NiMH 200 Li-ion LFP 3.6V - 3.8V Li-ion LCO, LMO NCA, NMC High5ive™ prismatic 1-2Ah 4.7 Volt cell Q4 2012 NiCd 0 0 50 100 150 200 250 Gravimetric specific energy Source: ETV Energy; BDG Battery Report - Dec. 2009, Roland Berger Target values are compared to USABC long term goal for EVs. Assumes 30% increase in weight and volume for battery pack and BMS 300 350 400 (Wh/kg) Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 3 High performance in key measures: energy density, power rating, safety Cycle life % capacity % C/2 C/5 Cycles High power performance 5.0 Minimal thermal runaway (safe) V Heat Flow (Wg-1) Cell voltage 4.5 4.0 0.6C 2C 3.5C 3.5 3.0 0% 20% 40% 60% Nominal capacity 80% 100% Temperature (0C) Graph: High voltage Nickel Manganese Spinel Oxides for Li-ion Batteries - Electrochimica Acta 53 (2008), CEA France Typical data obtained from ETV Energy 1Ah cell (4.7V) vs. graphite Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 4 Elimination of electrolyte oxidation by eliminating Manganese dissolution and deposition on the anode Anode: Protective layer to minimize deposition of Mn+2 into anode material Separator: Scavenging membrane minimizes the transfer of Mn+2 to anode without affecting Lithium conductivity Anode Cathode Cathode: Protective layer to minimize dissolution of Mn+2 into electrolyte and electrolyte oxidation IP secured by patent strategy Manganese ion Lithium ion Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 5 High5ive™ cell chemistry: outstanding performance • ETV’s goal is an enabling high voltage (>4.5V) technology platform, engineered to be ready for future developments and enhancements • NMS chemistry delivers significant customer value: • 50% to 100% higher energy density compared with state-of-the-art • As much as 30% lower cost of production and use of inexpensive materials • Power rating as good as the very best • Inherently as safe as the safest competitor Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 6 Validation in relevant market segments Underway Dec’10 Approved Collaboration with industry $Mn Addressable Market 100,000 10,000 >$50B 1,000 $500M 100 10 $100M Energy density + Power density Focused Medium + Cycle life + Operating temp + Storage 1 Technology requirement Broad Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 7 Partnering with industry leaders for mass markets, addressing niches directly Production Aviation Defense High Licensing Superbikes Up to $2,000/kWh Price kW/h Telecommunication JV Hand tools Low Cars, trucks, buses Mobile Electronics Electric bicycles and motorcycles <$500/ kWh 1 10 100 1,000 Market size 10,000 100,000 Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 8 Seasoned, accomplished management team Dror Ben David CEO Dr Arieh Meitav CTO Dr Neal Naimer Director Arnold Roth COO •Initiated and led multi-billion dollar technology programs at the Israeli air force •As chairman led Al Cielo Ltd (fiber-optics) to successful M&A transaction, achieving 20x return •Pioneer of the Lithium battery technology since mid seventies •Invented polymer supercap – company acquired by AVX; product commercial since 2001 •Invented large-format Zinc-Air batteries - implemented by US military •Led successful IPOs and exits in Israel, US and Australia Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 9 So in summary… • Team has proven track record of bringing new electrochemical systems to market and succeeding • A truly game-changing high-voltage electrochemistry • Strong patent position • Twice the energy density of state-of-the-art batteries • 30% lower cost of production and inexpensive materials • Blended go-to-market model : Licensing into highly competitive markets, with inhouse production of own-brand cells/batteries in high-profit niche markets • Once proven in market, High5ive line will strongly support ETV’s global technology licensing revenue stream • Exceptionally capital efficient – first revenues within 3 years of inception • Expecting to achieve break-even by 2013 Copyright © 2010-2011 ETV Energy Ltd. All rights reserved. 10 One of the company’s labs on the Bar Ilan University campus Comments and questions are welcome Arnold Roth • President and Chief Operating Officer • [email protected] Toll-free from the US • 1-888-875-5766 Herzliya, Israel +972-9-951-7277 Copyright © 2010-2011 ETV Energy Ltd. All rights reserved.