Letter to Shareholders From CEO Tim Young

June 10, 2024

Dear SunHydrogen shareholders and supporters,

Since filing our first patent in November of 2011, we have worked steadfastly to bring our nanoparticle-based solar water-splitting technology to market and make low-cost, truly green hydrogen a reality worldwide. In the years since, we have made significant progress toward our goal: We have amassed multiple international patents, engaged numerous industrial partners at the cutting edge of our field, and navigated many challenges.

We believe our methodology for this completely homegrown multi-junction semiconductor will be the holy grail of green hydrogen production, and we are committed to making it happen: Most recently, we have worked diligently to translate our lab-scale success to commercial scale with our partner COTEC of South Korea, a world leader in industrial electroplating and electrochemical processes, as well as with several German companies and institutions through Project NanoPEC.

In the simplest terms, our nanoparticle technology involves depositing billions of microscopic multi-junction solar cells with catalysts, each able to efficiently split water molecules into hydrogen and oxygen. The goal is not only to scale this system to the size of today’s traditional solar panels, but to do so at a cost that is competitive with the highly pollutive natural gas-derived hydrogen used in the fertilizer, gas refining, and steel manufacturing industries. Furthermore, when integrated with fuel cell technology, renewable hydrogen from companies like SunHydrogen will one day be competitive with fossil fuel powered cars, buses, trains, and ships that dominate today’s mobility market.

As evidenced by the number of years our efforts have required, this methodology presents challenges and requires patience, but its merits in efficiency and economics demand that we continue pushing forward to make it a reality.

Approximately 18 months ago, we began developing a strategy we believed could bring us to market faster. This system utilizes commercially available and mass-produced thin film solar cells and modules which are re-engineered with our proprietary hydrogen module design to provide fault tolerance and improve hydrogen production efficiency. While this strategy operates on principles very similar to our nanoparticle technology, it benefits from a mature manufacturing platform, enabling earlier market entry. Through an introduction from scientific adviser Dr. Arthur Nozik, we collaborated with the National Renewable Energy Laboratory in Golden, CO to measure the efficacy of this method.

Over the past year, we have been working with a global innovator of thin film solar cell modules to minimize changes to the existing mass manufacturing process for electricity-producing modules so we can instead produce hydrogen-generation modules. These modules can be easily scaled into hydrogen producing-arrays, similar to the size of existing solar arrays you see on rooftops and solar farms around the world. They have also proven to be 98% recyclable after their expected lifetime of 20 years.

Visit our YouTube channel to view our first demonstration video outside the SunHydrogen laboratory in Coralville, Iowa.

We will soon be demonstrating this new green hydrogen production technology integrated into our housing reactors. We are working with top scientists and industrial partners to bring this to market, first in pilot scale and then onto full manufacturing.

As we share more information and milestones with you, I’d like to reiterate that we are fully committed to our patented nanoparticle approach to green hydrogen: This is simply the introduction of a new methodology that bears many similarities to our nanoparticle technology while benefiting from an already mature manufacturing platform.

Our primary goal has always been to replace fossil fuel-derived hydrogen with truly green hydrogen, and if we believe there is a way for us to more quickly achieve this goal and enter the market, we feel it is in our shareholders’ interest to use our existing foundation and breadth of knowledge to do so.

Thank you very much for your support and patience.

Sincerely,

Timothy Young, CEO
SunHydrogen, Inc.

About SunHydrogen, Inc.
SunHydrogen is developing breakthrough technologies to make, store and use green hydrogen in a market that Goldman Sachs estimates to be worth $12 trillion by 2050. Our patented SunHydrogen Panel technology, currently in development, uses sunlight and any source of water to produce low-cost green hydrogen. Similar to solar panels that produce electricity, our SunHydrogen Panels will produce green hydrogen. Our vision is to become a major technology supplier in the new hydrogen economy. By developing, acquiring and partnering with other critical technologies, we intend to enable a future of emission-free vehicles, ships, data centers, aircrafts and more. To learn more about SunHydrogen, please visit our website at www.SunHydrogen.com.

Safe Harbor Statement
Matters discussed in this letter may contain forward-looking statements. When used in this letter, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. Forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties and other factors, known and unknown, including the risk factors described from time to time in the Company's reports filed with the Securities and Exchange Commission. Forward-looking statements contained herein are applicable only as of the date on which they are made, and the Company does not assume any obligation to update any forward-looking statements, except as may be required under applicable law.

Press Contact:
info@sunhydrogen.com