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Ballard announces $40 million in DOE grants to support build-out of integrated fuel cell production Gigafactory in Rockwall, Texas

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TSX: BLDP) announced it has received notification from the Hydrogen and Fuel Cell Technologies
Office within the U.S. Department of Energy (DOE) that Ballard’s applications for two grants
totaling US$40 million under the Clean Hydrogen Electrolysis, Manufacturing, and Recycling
Program have been selected and recommended for negotiation of financial awards. The grants will
support Ballard’s construction and build-out of an integrated fuel cell production Gigafactory based
in Rockwall, Texas.

Ballard plans for the new facility, dubbed Ballard Rockwall Giga 1, to be located on a parcel of 22
acres of industrial land within the Rockwall Technology Park in Rockwall, Texas. In Phase I, Ballard
plans to invest approximately US$160 million (net of the US$40 million in expected DOE grants)
from 2024 through the end of 2027 to build and commission a new manufacturing facility with
annual production capacity of 8 million membrane electrode assemblies (MEAs), 8 million bipolar
plates, 20,000 fuel cell stacks, and up to 20,000 fuel cell engines per year, or the equivalent of 3
gigawatts of fuel cells. The land acquisition rights and facility design provide Ballard with optionality
for additional future phases at the Rockwall site. Future phases are expected to further increase
production scaling and capacity expansion with much lower capital requirements.

The facility represents the next stage of Ballard’s ‘local for local’ and advanced manufacturing
strategy. Ballard expects to make a final investment decision on this facility later in 2024, pending
completion of customary conditions, including necessary approvals, negotiation of final awards with
the DOE, and definitive agreements.

The $40 million in total DOE grants comprise a $30 million grant relating to advanced proton
exchange membrane (PEM) MEAs and automated stack assembly, with the additional $10 million
grant relating to a next-generation flexible graphite bipolar plate manufacturing line. The grants
have been awarded by the U.S. DOE’s Hydrogen and Fuel Cell Technologies Office to implement
provisions of the Bipartisan Infrastructure Law, providing for the award of $750 million for Clean
Hydrogen Electrolysis, Manufacturing, and Recycling. Ballard has also applied for additional funding
under other U.S. government funding programs.

“We are thrilled to be recommended for participation in the Clean Hydrogen Electrolysis,
Manufacturing, and Recycling Program,” said Randy MacEwen, Ballard’s President & Chief Executive
Officer. “We are grateful for the strong support of the DOE’s hydrogen policies that position the
U.S. for future scaling of hydrogen and fuel cells. This is particularly important as the U.S.
accelerates a path towards environmental sustainability and energy security, while continuing to
boost domestic manufacturing and bolster critical supply chains. We are also excited to unveil the
next stage of our ‘local for local’ manufacturing strategy, which will feature cutting-edge fuel cell manufacturing technologies across our fuel cell production value chain, enabling cost competitive
solutions at scale.”

Ballard has also received considerable support from the Rockwall Economic Development
Corporation (REDC), which owns and manages the Rockwall Technology Park. The REDC has
provided an attractive mix of land, financial, fee and permit incentives for the facility, while
assisting in the planning and approval process. The facility will also benefit from its proximity to the
Gulf Coast hydrogen hub.

“With an increasingly constructive policy environment and growing customer interest, it is critical to
invest in this innovative manufacturing line,” commented Dr. Lee Sweetland, Ballard’s Chief
Transformation Officer. “We have been working hard to develop next-generation, automated
production processes for MEAs, bipolar plates, and stack assembly that will position Ballard to meet
expected future market demand, while significantly driving down the cost of our market-leading
fuel cell engines. We are delighted to partner with the REDC to establish Ballard Rockwall Giga 1,
which we expect to contribute to the Rockwall tax base and add high quality jobs in Rockwall.”

“We are thrilled that Ballard chose Rockwall, Texas for this transformative project. We believe the
choice of Rockwall speaks to our strong advanced manufacturing workforce, logistical advantages,
and first-class shovel ready sites we have available in the Rockwall Technology Park,” said Phil
Wagner, President of the Rockwall Economic Development Corporation. “Ballard’s planned
investment will go a long way in enabling continued high-quality services at the city, county, and
school district levels. Likewise, we look forward to being a committed partner for Ballard in their
future growth.”

About Ballard Power Systems

Ballard Power Systems’ (NASDAQ: BLDP; TSX: BLDP) vision is to deliver fuel cell power for a
sustainable planet. Ballard zero-emission PEM fuel cells are enabling electrification of mobility,
including buses, commercial trucks, trains, marine vessels, and stationary power. To learn more
about Ballard, please visit

This release contains forward-looking statements concerning planned operations expansion,
related investments, product cost and market impacts, and anticipated implementation timeline.
These forward-looking statements reflect Ballard’s current expectations as contemplated under
section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended. Any such forward-looking statements are based on Ballard’s
assumptions relating to its financial forecasts and expectations regarding its product development
efforts, manufacturing capacity, and market demand.

These statements involve risks and uncertainties that may cause Ballard’s actual results to be
materially different, including general economic and regulatory changes, detrimental reliance on
third parties, successfully achieving our business plans and achieving and sustaining profitability.
For a detailed discussion of these and other risk factors that could affect Ballard’s future
performance, please refer to Ballard’s most recent Annual Information Form. Readers should not
place undue reliance on Ballard’s forward-looking statements and Ballard assumes no obligation to
update or release any revisions to these forward-looking statements, other than as required under
applicable legislation.

Further Information

Ballard Power Systems: Kate Charlton – VP Corporate Finance & Investor Relations +1.604.453.3939 or [email protected]

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