Hyliion and Victory Execute Letter of Intent to Deploy up to 10 KARNO Generators to H2 Energy Group

Hyliion Holdings Corp. (NYSE: HYLN) (“Hyliion”), a developer of sustainable electricity-producing technology, Victory Clean Energy Inc. (OTC : VYEY) ("Victory"), a trailblazer in the green hydrogen energy sector, today announced they have entered into a non-binding letter of intent (LOI). Under the terms of the agreement, Victory will purchase up to 10 KARNO generators, to be deployed in the Hydrogen production facilities of their subsidiary, H2 Energy Group (H2EG). Specializing in green hydrogen production from renewable biomass, H2EG intends to utilize the KARNO generators to produce electricity using the hydrogen-rich syngas derived from the biomass to power their operations.

Under the terms of the LOI, H2EG is slated to receive their first five KARNO generators in the second half of 2025, each capable of producing an estimated power output of 200 kW, with a total capacity of 1MW. H2EG also plans to leverage the KARNO generators combined heat and power capabilities and utilize the excess heat to improve efficiencies in their manufacturing process. The LOI also includes the option for H2EG to purchase an additional five KARNO generators upon the successful deployment of initial units.

"Green Hydrogen, generated from renewable or low-carbon sources, plays a vital role in advancing global sustainability efforts. At H2EG, we take pride in producing Green Hydrogen from renewable biomass at competitive economics using existing technologies," said Christopher Headrick, Founder and Executive Chairman of H2EG. "Working with companies like Hyliion further strengthens our leadership in sustainability and enhances the efficiency of our hydrogen production facilities."

The KARNO generator is a fuel-agnostic solution that leverages a linear generator architecture to produce electricity economically and efficiently. Modular in design, the generator is expected to run on a range of fuels such as hydrogen, RNG, biogas, propane, and others, require significantly lower maintenance costs, and have a much lower emissions profile than conventional technologies.

"Hyliion is thrilled to partner with H2EG, whose groundbreaking method for producing Green Hydrogen from renewable biomass is instrumental in propelling clean energy initiatives forward. With our robust architecture and versatility to run on syngas, Hyliion’s KARNO generator will be well-suited for providing reliable heat and power to meet H2EG’s hydrogen production requirements,” said Thomas Healy, Founder and CEO of Hyliion.