The Hydrogen-Electric Cessna Grand Caravan

become five times more cost-effective than Synthetic Fuel in 2050. https://www.euractiv.com/section/aviation/news/fossil-jet-fuel-price-expected-to- soar-as-eu-taxes-bite/ � � 7 Hydrogen combustion offers some promise with up to 75% emissions reduction potential, but hydrogen-electric propulsion, such as the ZA600, is predicted by the same report from 2020 to offer up to 90% greenhouse gas reduction across the lifecycle. With advances in technology, and greater understanding, this is thought to be even higher today. Furthermore, the ZA600 engine is far more efficient than the turbine it replaces, roughly twice as efficient, with that efficiency advantage cascading back through the fuel value chain. Hydrogen has 15-50 times more energy density than the best electric batteries today . This means that, where batteries struggle to deliver payload and range for most commercial applications of an electrified Caravan, fuel cells can overcome that challenge. Example: a Tesla battery cell holds about 260wh/kg, or 0.9MJ/kg (less if additional pack containment and cooling is included), while Hydrogen provides 120MJ/kg, or approximately 15 MJ/kg inclusive of gas containment and at least 50 MJ/kg inclusive of liquid containment) � � 8 In a high utilization market like aviation, battery cycle life will also drive high replacement costs. While batteries are the right solution for passenger cars, the high utilisation and cycling of aircraft (over 6hrs of operational time per day comprised of multiple flights) and high energy intensity (requiring a lot of onboard energy, at least possible mass) mean they are not well suited despite higher overall energy efficiency. The intensity of use will drive frequent battery replacement and variance in useful energy onboard as battery capacity decays, impacting operations and driving high costs. Batteries also present an infrastructure problem, requiring high power connections to support sub-30 minute turn around for practical commercial operations. This likely entails significant on ground electrical storage with its own conversion efficiencies and costs to manage on one side grid stability and on the other highly intermittent and intense aircraft charging operations. Moving molecules is easier. 9 Hydrogen is also abundant, as opposed to fossil fuels, and has a specific energy that is 2.8 times higher than traditional jet fuel. The ZA600 will also be >2 times more efficient than the turbine engines it replaces, and due to the lower temperature and pressure conversion processes, will face less wear and tear. All this means significantly lower operating costs for airline operators, as outlined later in this paper. 10 While hydrogen-electric systems will initially mean reduced theoretical range for aircraft in which they replace combustion engines, ZeroAvia’s converted Cessna Grand Caravan aircraft will be able to fly more than 95 percent of the missions flown today (including reserves). Hydrogen-electric propulsion is plainly the solution to addressing aviation’s climate impact long-term, but for Caravan also makes the most business and technological sense of all sustainable aviation solutions. In the next section, we will provide a technical overview of the system architecture and target component performance of the ZA600 as it approaches submission for certification. Following this, we examine projected aircraft performance for Cessna Grand Caravan aircraft fitted with ZA600 engines and look also at example routes. 10 The ZA600 is a 500 to 750 kW continuous-class hydrogen-electric powertrain and the first commercial product from ZeroAvia. It will deliver zero-emission flight for thousands of 9-19 seat regional turboprops, beginning with the Cessna Grand Caravan variant of the powertrain which will receive supplemental type certification for retrofit and linefit of the popular airframe. The first ZA600 equipped commuter platform will be ready for service in 2025, fueled by gaseous hydrogen tanks and capable of carrying passengers up to 250 NM plus reserves, The retro-fit arrangement is depicted in Figure 1. Powertrain Timeline 2025 9-19 seats 300 NM range First commercial offering 2027 40-80 seats 1,000 NM range 2030 100-200 seats 2,000 NM range 2035 200 seats 3,000NM range 2040 200+ seats 5000 NM range Technical Overview 11 Figure 1 - Key Components for Retrofit Hydrogen-Electric Cessna Caravan Hydrogen Tanks Three lightweight compressed hydrogen tanks are stored in the Caravan’s cargo pod, while two are wing-mounted, collectively storing around 70 kg of gaseous hydrogen at 350 bar pressure. Electric Motor High-performance direct-drive motor designed in-house delivering exceptional torque and power density. Inverters ZeroAvia’s in-house state-of-the-art silicon- carbide inverter technology converts DC generated by fuel cell system to AC to power electric motors. Fuel Cell SuperStacks Space efficient configuration configuration of custom PowerCell fuel cell stacks controlled by in-house optimised balance of plant to enable required energy density necessary for certifiable system for 208B Caravan. 12 Offering Improved System Reliability The first question asked around any new aviation system is that of safety. Hydrogen-electric propulsion systems like ZA600 can offer several key safety and reliability benefits. Firstly, the fuel cell systems will operate at nearly around 13-14 times lower temperature than a combustion engine, and also at much lower pressure, with the lower intensity system being less prone to failure. Fuel cells already have 10,000 or more hours of use before significant maintenance events are required, and 20,000 or more hours of operation are achievable. The electric side of the powertrain can also have much lower maintenance costs as it has fewer moving parts than a combustion engine. ZeroAvia has also designed the electric propulsion systems, including the inverters and electric motors, to incorporate additional redundancy to protect against failure. Cutting Edge Development Several of the components of ZA600 represent world- leading innovation in fuel cell systems and electric propulsion for aviation; notably the Fuel Cell SuperStacks, the inverters and the electric motor. ZeroAvia’s strategy of vertical integration at component level brings whole system thinking to improve performance and fault tolerance and ensure certifiability. The focus on the Cessna Grand Caravan as the launch vehicle for ZA600 has led to rapid integration of these components into a certifiable design with target entry-in-service by 2025. 13 ZA600 Fuel Cell SuperStack Module Working with fuel cell stacks provided by leading heavy vehicle supplier PowerCell, ZeroAvia has developed one of the highest power-density multi-stack modules available. The “SuperStack” module is capable of generating 400kW continuously, encapsulates many of the latest aviation fuel cell componentry technologies, and offers an industry- leading scalable power block with specific power in excess of 1.5 kW/kg. ZA600 Inverters ZeroAvia has developed a 400kW continuous power inverter which biodirectionally converts high-voltage DC into three phase AC to power the ZA600 motor. Advanced thermal management technologies and integration enable reliable high performance at altitude and successful engine compartment location. The inverters are 98-99% efficient vs. load and speed and operate at 450kW max power. ZA600 Motor The ZeroAvia Motor is a 660kW max power, surface permanent magnet based high- efficiency machine with bidirectional operation, specifically designed for direct drive installations mounted to the propeller. Having a stator core divided into 4 sections enhances fault tolerance and allows higher input current from the inverters. The optimized motor cooling allows for very efficient heat transfer within the motor to allow it to run cooler and for longer. The motor offers a max speed of 2500 rpm and high torque (3169 Nm) and power density (5 kW/kg). 14 Figure 2 - Cessna Caravan 208b Airframe Age 100.0% 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 Age of Aircraft In Service Cumulative Percentage In Storage The Hydrogen-Electric Caravan - Aircraft Performance 15 ZeroAvia is offering the zero-emission ZA600 powertrain for the Cessna Grand Caravan as its launch airframe, working closely with Textron Aviation towards certification and entry-in-service in 2o25. There are more than 2,000 Cessna Caravan 208b in service or storage globally today, with many having decades of service time left (see Figure 2). The median age of aircraft sits around 15 years. At that age, the airframe has potentially 20-25 years of service remaining. 16 The hydrogen tank range and overall system have been designed to capture the overwhelming majority of commercial flying and maximize usable payload. Crucially, the ZA600 for Caravan is designed to match the existing power requirements and mission profile of the airframe. If cargo operators also run shorter missions, but increased payload is required, the tanks are modular, allowing for removal of fuel capacity to provide additional cargo space or weight. Capacity Range Tailpipe CO2 Emissions Shaft Power Entry In Service 9 - 12 PAX / 855 kg+ 250-300 nm 0 g/nm 533 kW 2025 The hydrogen-electric engine will have a theoretical range penalty due to lower overall energy density when compared to the stock engine. However, as we will see in the next section, the overwhelming majority of scheduled flights across the world today using the Caravan platform can be replaced with the alternative propulsion system, while preserving payload. The hydrogen-electric propulsion system will offer Caravan operators significant maintenance and fuel savings and the opportunity to explore new routes and expand their businesses. With the full retrofitted powertrain system and hydrogen tank capacity, the remaining weight for the aircraft stands at 855 kg. With assumed passenger weight of 95 kg, this allows for 9-passenger flights at maximum range. Wing-mounted hydrogen tanks preserve internal space for passengers and cargo, at the expense of a ~5 percent drag penalty. Operational knots true airspeed (KTAS) will be marginally lower than the traditional combustion- engined aircraft, but with minimal impact on typical Caravan routes and schedules. 17 18 The hydrogen tank range of ZA600 has been designed to capture the majority of commercial flying and maximize usable payload. The ZA600 is designed for the mission profile of the airframe, enabling Cessna Grand Caravan operators to switch to zero-emission, hydrogen-electric aviation and maintain range for 95% of missions flown today. The ZA600 system for Caravan targets entry-in-service in 2025 with a 250 nautical mile range plus reserves, carrying 9 passengers or just under 900 kg in cargo weight. This opens up a range of existing routes in flight today, as detailed in Figure 3. 0% 20% 40% 60% 80% 100% 0-25 25-50 50-75 75-100 100-125 125-150 150-175 200-225 175-200 225-250 250-275 275-300 300+ Figure 3 - Range distributions of key ZA600 Airframes % market operations at given range Routes Seats ASNM Route Analysis Overview �https://sacd.larc.nasa.gov/wp-content/uploads/sites/167/2021/04/2021-04-20-RAM.pdf In addition, NASA’s report into the impacts of zero-emission flight on regional air mobility in the US finds that any reduction above 40% in operating costs will generate a “huge expansion” in demand for flights, presenting new opportunities for operators. However, even replacing the existing routes flown offers substantial opportunities for emissions and cost savings (as we will see in the next sections). https://sacd.larc.nasa.gov/wp-content/uploads/sites/167/2021/04/2021-04-20-RAM.pdf 19 � � This represents a 78.7% reduction from jet fuel emissions and a 41% reduction from a typical 30% blended SAF bio mix fuel (see Figure 5 on the next page). For SAF, emissions from NOx and CO2 (captured for production) are reduced, while emissions due to water vapor are increased, compared to conventional jet fuel. As one of the first zero-emission aircraft to fly commercially, even as a smaller aircraft, the Cessna Grand Caravan and its operators will garner headlines for efforts to tackle climate change. The attention will be justified. Converting Cessna Caravan 208b to hydrogen-electric propulsion can position Caravan operators as leaders in the global race to decarbonize aviation. Cumulative emissions savings to 2040, for the projected converted Cessna Caravan market, is 2.22 million metric tons CO2 equivalent (mMTCO2e). That is higher than the US State of Rhode Island’s annual home heating emissions.� Figure 4 - Cumulative emissions savings across projected Cessna Caravan market replacement with ZA600 product to 2040 0.0 0.5 1.0 1.5 2.0 2.5 3.0 2024 2025 2026 2027 2028 2029 2030 2032 2031 2034 2033 2035 2036 2037 2038 2039 2040 GWP mMTCO2e Emissions Savings https://dem.ri.gov/sites/g/files/xkgbur861/files/programs/air/documents/ghg-quick-facts17.pdf 20 � Figure 5 - Cumulative emissions across projected Cessna Caravab market replacement with ZA600 product to 2040 0.0 0.5 1.0 1.5 2.0 2.5 3.0 2024 2025 2026 2027 2028 2029 2030 2032 2031 2034 2033 2035 2036 2037 2038 2039 2040 GWP mMTCO2e SAF emissions Jet fuel emissions H2 - Electric emissions Of all practical options for reducing climate warming and clean air impact of Cessna Grand Caravan operations, hydrogen- electric propulsion is by some margin the furthest-reaching solution. As we will also see, it offers major operating cost savings as well. Together, this amounts to strong motivation for airline and cargo operators to convert Caravans in service or to switch to the platform with line-fitted engines at the time of fleet replacement. 21 Critically for the adoption of zero-emission solutions in aviation, hydrogen-electric propulsion offers significantly improved operating costs. It is therefore attractive for both the environmental and commercial impact, making speedy adoption and high demand from operators a high likelihood. ZA600 offers Caravan operators the opportunity to potentially half operating costs on the most advantageous routes (see Figure 6), and substantially reduce on the vast majority. The operating cost savings are driven by two primary factors which we will explore in the next page - lower cost of hydrogen as a fuel, and engine maintenance savings. 22 Operating Cost Savings 23 Maintenance Savings Engine maintenance savings are driven by longer time between overhauls (TBOs) and generally less onerous maintenance events. Fuel cell systems operate at significantly lower temperatures and pressures than internal combustion engines, and therefore represent lower intensity systems with less degradation. As is now well understood thanks to the proliferation of electric road vehicles, electric propulsion systems are less prone to component breakdown than internal combustion engines. ZeroAvia calculates that the electric side of our powertrain can have 10 times lower maintenance costs than a conventional engine. Fuel cells are already at 10,000+ hours of use before significant maintenance events are required. ZeroAvia projects that 20,000+ hours are achievable. This compares highly favorably to the 1800-3600 hours between major maintenance, repair and overhaul (MRO) events for conventional engines. Combining both fuel and maintenance, ZeroAvia estimates potential cost savings of between 30 and 50% depending upon route type. https://www.irena.org/-/media/Files/IRENA/Agency/Publication/2022/May/IRENA_Global_Hydrogen_Trade_Costs_2022.pdf?rev=00ea390b555046118cfe4c448b2a29dc https://rethinkresearch.biz/articles/market-dynamics-to-drag-green-hydrogen-to-1-50-kg-by-2030/ https://www.euractiv.com/section/aviation/news/fossil-jet-fuel-price-expected-to-soar-as-eu-taxes-bite/ Fuel Savings The price of jet fuel is expected to double in next 25 years, with on-going risk of market shocks on feedstocks and fossil fuels. According to IRENA predictions, green hydrogen production costs could reach levels of $0.65/kg H2 by 2050 in the best locations, while reaching levels of $ 1.15/kgH2 in less optimistic cost assumptions. Some see that cost trajectory even more optimistically. Average cost of green hydrogen is set to fall to $1.50/kg by 2030 as electrolyser capacity ramps up 50-fold, according to Rethink Energy, in what it labels a “conservative estimate.”� According to a report from McKinsey and Clean Aviation, hydrogen, even in liquid form, is predicted to be five times more cost-effective than Synthetic Fuel in 2050.� Hydrogen-electric engines enable further fuel savings through their higher efficiency (2-3 times more efficient than combustion engines). ZeroAvia’s Cessna Caravan engine will be twice as efficient as the turbine it replaces, halving the energy needed to fly a given mission. � � � � 24 Flight Time (mins) 51 51 9 9 1,125 1,125 174 25 Jet Fuel $375 51% Jet Fuel H2 Jet Fuel H2 125 nm $185 $640 $360 H2 Max Passengers Available Seat Miles Block Fuel (kg) Flight Time (mins) Max Passengers Available Seat Miles Block Fuel (kg) 100 100 9 9 2.250 2.250 278 48 Jet Fuel 250 nm H2 44% Trip Fuel Powerplant Maintenance Carbon Tax Figure 6 - Conventional vs. Hydrogen-Electric Engine: Sample Route Comparison Assuming annual utilisation of 1000 FH & 1500 Fc at maximum payload, in 2005 economics. H� price = $3.95 per kg Jet fuel price = $1.21 per kg. Carbon price = $106 per ton CO�. No inflation assumed. HyPerHour - Derisking Adoption ZeroAvia is signing agreements with operators based on its HyPerHour model - providing hydrogen-electric propulsion on a fixed hourly cost, as well as a smaller percentage upfront investment in the powertrain and retrofit. HyPerHour agreements will most often involve hydrogen fuel supply and maintenance, thus de-risking early adoption for customers by providing surety of fixed operating costs for zero-emission propulsion. These fixed agreed costs will represent long-term savings when compared against future jet fuel costs as described above. Retrofit and Maintenance ZeroAvia is building a global support network of Retrofit and Maintenance Centers to ensure the smooth entry into service, and in-service support, of our powertrain products. Through partnering with established aviation maintenance providers, ZeroAvia will be leveraging existing aviation skill sets and also upskilling the aviation workforce to prepare for the transition to new clean aviation technology. ZA600 Retrofit: The retrofit will require the removal and replacement of the conventional aircraft turbine and fuel system components, in order to make way for the new zero- emission powertrain. Each step of the retrofit will be supported by ZeroAvia experts and carried out by ZeroAvia approved centers The removal of the conventional turbine engine is a common procedure carried out as part of overhaul maintenance intervals, although additional supporting electrical and mechanical system components will be required to be removed, alongside the fuel system and supporting fuel subsystem components. 25 1. The turbine engine is removed along with the associated furl systems and structures 2. The aircraft is preprared for the new engine including mounting structures, pipework, electrical harnesses and avionics 3. ZeroAvia’s hydrogen-electric powertrain is installed 4. Hydrogen tanks and aerodynamic fairings are installed The installation will require preparation of the airframe to house, mount and attach the new subsystems, such as the electrical motor, inverters, hydrogen tanks, and fuel cell stacks. Once installed the systems can then be inspected and tested to ensure the full powertrain system functions as expected. ZeroAvia customers will be supported throughout the retrofit process and through maintenance inputs once in service through our planned global service support network, dedicated customer support team and in-house design team experts. With the replacement of the combustion engine with fuel cell and electric propulsion systems, less maintenance is expected due to the lower temperature, pressure and fewer moving parts. The aircraft is inspected and tested before returning to the customer. 26 27 Hydrogen Fuel Production and Airport Refuelling In addition to developing the world’s first certified zero- emission propulsion system for commercial aviation, ZeroAvia is working to deliver low cost, low carbon, resilient and reliable hydrogen to remove emissions from airport ecosystems and provision fuel for hydrogen-electric flights. ZeroAvia is approaching this challenge by both demonstrating and rolling out refueling infrastructure for early adoption, as well as partnering with major energy companies such as Shell, Fortum and Masdar, and leading airports, ensuring operator and lessor confidence in the refueling ecosystem as flight routes are planned. The company envisages Caravan operations relying on either a “Distributed Production” hydrogen infrastructure model with proven flexible mobile refuelers, or “Plug and Play” services, with centralized production supporting scale-up and network coverage. With the Caravan requiring around 70 kg of hydrogen per mission, hydrogen supply and refueling infrastructure can be established relatively easily. 27 1. Plug and Play • 3rd party hub provides green H2 • ZeroAvia mobile refueler transports and dispenses to the aircraft • Most suitable for smaller airports / smaller aircraft fleets / early deployment • Complements future distributed production system Limits infrastructure investments Flexibility to deploy / support network expansion quickly - launch customers or adding airport nodes Re-deployable infrastructure, enabling continued network expansion As demand grows, plug and play solutions will transition to distributed production. 2. Distributed Production • ZeroAvia produces (on-site via electrolysis), transports and dispenses green H2 to aircraft • Most suitable for larger airports, also potentially serving broader hydrogen users such as heavy ground transportation • Primary model for airport fixed infrastructure Ability to drive down costs through scale and smart management Strengthens the value proposition for all parties Leverages outside capital – ZeroAvia demand aggregates 28 Aircraft with Hydrogen-Electric Propulsion System Hydrogen Refuelling Pipeline Hydrogen Refueler Hydrogen Compressors and Storage Green Hydrogen Production - Electrolysis Renewable Energy Source Figure 7 - ZeroAvia’s distributed production, storage and refueling infrastructure 29 Hydrogen Airport Refueling Ecosystem (HARE) ZeroAvia has already developed a fully functioning microcosm of potential refueling operations. The Hydrogen Airport Refueling Infrastructure (HARE), developed as part of the HyFlyer projects in conjunction with the European Marine Energy Center (EMEC), has demonstrated green hydrogen production through to airside fueling. The company is building an updated version of the HARE in both California and Gloucestershire, UK, to power testing and demonstration flights. The next generation will include proprietary software and battery buffer designed to optimize the production cost of hydrogen through an algorithm which can decide when to channel the renewable power generated into the electrolyzer (green hydrogen production), battery storage or sell it back to the grid. Refueler Electrolyser H2 Infrastructure Case Studies 30 Rotterdam Rotterdam the Hague Airport, ZeroAvia and Shell are collaborating on a concept of operations for hydrogen in airports and demonstration flights to European destinations by the end of 2024, gearing up for commercial passenger flights by 2025. This specific collaboration will focus on serving the first hydrogen flight from Rotterdam, including operation at the airport, developing on-the-ground infrastructure and operations to satisfactorily pilot distribution, storage, and dispensing of hydrogen for aviation, leading towards decarbonizing the whole airport ecosystem. Edmonton International Airport ZeroAvia and Edmonton International Airport are working together to develop hydrogen infrastructure at both the main airport and Villeneuve Airport. The partnership will leverage EIA’s on-site solar farm to produce green hydrogen for refueling demonstration flights before building towards initial flight operations. 31 Conclusion With hydrogen-electric powertrains coming to market for the Cessna Grand Caravan, this iconic airframe will be the first zero- emission commercial aircraft in the world. Several factors are aligning to make early adoption for operators attractive: reduced operating costs, readiness of hydrogen fuel supply infrastructure, government incentives, and public and investor pressure to reduce aviation emissions. ZeroAvia is leading the way in helping operators and lessors take advantage, with nearly 2,000 powertrains under pre-order and already establishing production to meet demand. • True zero-emission flight and fuel - tackling 95 per cent of the climate change impact of flight • Lower and more stable fuel costs - low-carbon hydrogen on track to beat jet kerosene and SAF; overall powertrain system energy efficiency will be double meaning optimized use of fuel • Lower maintenance costs - smaller turbine engines range from 1,800 to 3,600 hours between major service or overhaul; a hydrogen-electric powertrain promises more than 10,000 hours of flight between major servicing events • Lower noise and improved ground air quality - replacing engine combustion and exhaust with negligible noise of fuel cells and electric systems leaves only propulsor noise, while removal of all tailpipe emissions removes impact on airport community air quality Caravan operators can benefit from adopting hydrogen-electric propulsion in the following ways: 32 Connect with us to explore how we can work with you, starting with: • Detailed route studies for existing and future operations with hydrogen-electric propulsion • Fleet longevity analysis for retrofit and new aircraft opportunities • Assessment of refueling needs and provision opportunities • Modeling operating cost and environmental benefits of zero-emission propulsion 33 US 90 Skylane Dr, Hangar 1, Hollister, CA 95023 3101 111th St SW, Suite Q, Everett, WA 98204 Contact us: info@zeroavia.com www.zeroavia.com UK Hangar C2 Cotswold Airport, Kemble, Cirencester, England, GL7 6BA The Office Group, 20 Eastbourne Terrace, London W2 6LG