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Bergen Carbon Solutions AS (OB:BCS) presented its Q2 2025 results on August 20, highlighting significant cost reductions and technological advancements in its carbon materials for battery applications. The company, which transforms CO2 into high-quality carbon materials through electrolysis, has maintained its focus on financial discipline while advancing its core technology.
Financial Performance Highlights
Bergen Carbon Solutions reported an operating loss of NOK 14.3 million for Q2 2025, an improvement from the NOK 19.9 million loss in the same period last year. The company has successfully reduced its burn rate by 48% compared to the first half of 2024, extending its financial runway while maintaining a substantial cash position of NOK 147.9 million at the end of the quarter.
As shown in the following financial highlights table, the company continues to operate without significant revenue while improving its cost structure:
The company’s burn rate has shown consistent improvement over six consecutive quarters, demonstrating management’s commitment to financial discipline:
CEO Odd Strømsnes emphasized that the current strategy execution requires minimal additional capital expenditure, with the company focusing on relevant funding opportunities while maintaining operational efficiency.
Strategic Initiatives and Technology Development
Bergen Carbon Solutions has reshaped its organization to focus on core competencies, operating with fewer employees but higher expertise levels in critical areas. The company has expanded its in-house testing capabilities with a new battery lab and electrolyte scale cell, accelerating technology development and delivering more consistent results.
The following image illustrates how the company has reorganized to achieve more with fewer resources:
The company’s Molten Salt Carbon Capture Electrolysis Technology (MSCC-ET) continues to advance, with various cell sizes for different production scales:
A significant development has been the establishment of in-house battery testing capabilities, which has reduced feedback time and dependency on external partners. The company reported promising results from both LFP (Lithium Iron Phosphate) and Li-S (Lithium-Sulfur) battery applications, with testing now underway at global battery manufacturers.
Market Positioning and Industry Outlook
Bergen Carbon Solutions positions its "green carbon" as a sustainable alternative to fossil-based carbon materials, highlighting advantages in CO2 emissions, energy consumption, and reduced pollution:
The company is targeting the rapidly growing battery market, particularly the LFP sector which is projected to grow at 28% annually. The presentation highlighted significant opportunities in the evolving battery landscape:
The company also emphasized how its position in the battery value chain creates opportunities for partnerships across the industry:
Carbon nanotubes (CNT) represent a significant component in electric vehicle batteries, with the presentation highlighting that a Tesla (NASDAQ:TSLA) Model Y/3 with an LFP battery contains approximately 6kg of CNT, while next-generation Li-Sulfur batteries could require up to 12kg:
Partnerships and Commercialization Strategy
Bergen Carbon Solutions reported progress in establishing strategic partnerships, including agreements with Norwegian battery companies Morrow Batteries and Beyonder. The company is also in discussions with some of the world’s largest chemical companies, particularly targeting large-scale emitters with established use-cases for advanced carbons.
The presentation noted that the company has secured a letter of support from an undisclosed leading European chemical and material company, as well as a commercial development agreement with a global marketer and distributor of advanced materials.
Forward Outlook and Challenges
Despite the positive developments in technology and cost reduction, Bergen Carbon Solutions remains pre-revenue and continues to burn cash, albeit at a reduced rate. The company’s stock has declined 9.39% following the presentation, closing at NOK 4.34 on August 19, suggesting investor concerns about the path to commercialization.
The company faces challenges in meeting all CNT specifications and navigating the competitive landscape of carbon materials. However, management remains focused on process optimization, product customization, and securing technology agreements with industrial players.
Geopolitical trends may work in the company’s favor, as increasing trade restrictions and the EU’s upcoming battery passport regulations from 2027 create opportunities for local, sustainable suppliers like Bergen Carbon Solutions.
As the company continues its journey toward commercialization, investors will be watching closely for signs of revenue generation and further progress in battery applications that could validate the company’s technology and market approach.
Full presentation:
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