Budgeted Spending for FY 2025

FY 2025

no prior guidance

Approximately $190 million total spending (with breakdown: $45M for G&A, $50M for R&D, $100M for SN1/Baker) "

no prior guidance

Cash Position

FY 2025

no prior guidance

Expected to exit FY 2025 with approximately $350 million of cash on hand "

no prior guidance

LaPorte Testing

FY 2025

no prior guidance

Completion of two stages of LaPorte testing by the end of FY 2025 "

no prior guidance

Cost Optimization

FY 2025

no prior guidance

Development of a more competitive cost estimate for SN1 and identification of a better pathway for long-term LCOE "

no prior guidance

Interest Income

FY 2025

no prior guidance

Cash and cash equivalents earning roughly 5% interest per year "

no prior guidance

Financial Health & Capital Structure

Q2–Q4 2024 discussions emphasized robust cash positions ranging from approximately $609M down to $533M, detailed liquidity figures and project financing challenges (e.g., SN1 funding gap). " " "

Q1 2025 highlighted a strong balance sheet with no debt, approximately $500M in cash and cash equivalents, disciplined budgeting, and year‐end projection of ~$350M. "

Stable financial strength – The focus remains on healthy liquidity, though the narrative has shifted from nuanced financing challenges to celebrating a debt‐free, cash‐rich position.

Cost Reduction & Operational Efficiency

In Q2–Q4 2024, there was recurring emphasis on cost reduction via value engineering, LCOE targets (e.g., $60/MWh), and operational improvements through facility upgrades, multi-unit/fleet strategies, and detailed equipment validation at LaPorte. " " " " "

Q1 2025 continues to stress improving project economics with targeted cost reductions, planned LaPorte testing phases, and dedicated R&D spending ($50M for R&D and $100M for SN1 and turbine development). "

Consistent focus – Concerted efforts on lowering costs and boosting operational efficiency remain central, with ongoing testing and R&D reinforcing the commitment.

Strategic Partnerships & Investor Backing

Q2–Q4 2024 calls described strategic alliances (e.g., with Air Liquide, Baker Hughes) and detailed capital formation initiatives, as well as discussions on partner contributions and ongoing origination with investor groups. " " " "

Q1 2025 reinforced a high-level update: NET Power’s major strategic investors (Oxy, Constellation, Baker Hughes, SK Group, and the Rice family) own about 85% of the company, aligning with its technology vision. "

Consistent focus – Although the detailed partnership mechanics from earlier periods have been streamlined, the overall importance of strategic backing remains strong.

Growing Demand for Clean Firm Power (Data Centers & AI)

Q2–Q4 2024 extensively addressed the surge in demand due to data centers and AI-driven load growth, noting 24/7 power needs, grid tightness, and related regional market opportunities. " " " " "

This topic was not mentioned in Q1 2025.

Reduced emphasis/Absent – Previously a major theme, the discussion of data centers and AI-driven power demand is not referenced in Q1 2025.

Project Timelines, Delays & Revenue Generation Risks

Q2–Q4 2024 contained detailed analyses on Project Permian’s timeline (e.g., FEED completion, expected in-service dates between 2027–2028), potential delays due to permitting and cost inflation, and revenue risks arising from funding uncertainties. " " " "

Q1 2025 made only indirect references regarding project economics without delving into specific timeline risks or revenue generation challenges. "

Reduced emphasis – In Q1 2025 the detailed narrative on delays and revenue risks is scaled back compared to prior quarters.

Capital Cost Inflation & Project Financing Challenges

Q2–Q4 2024 discussions focused on rising CapEx estimates (from ~$950M to $1.7–2B for SN1), inflation in engineered components, and the challenges of closing a $600–900M funding gap despite strong liquidity. " " " "

This topic was not discussed in Q1 2025.

Less emphasized – The current period omits in‐depth discussion of cost inflation and financing challenges, shifting focus elsewhere.

Policy Environment & 45Q Tax Credit Dynamics

Q2–Q4 2024 earnings calls provided extensive commentary on the bipartisan support of the 45Q tax credit, its evolution from prior administrations (Obama, Trump, IRA enhancements), and its positive contribution (~$20/MWh subsidy) to NET Power’s LCOE. " " "

Q1 2025 did not mention policy dynamics or the 45Q tax credit, with no update provided on this matter. "

Reduced emphasis – Previously a key enabler for the economics, policy and 45Q dynamics are not addressed in the current period.

Technology Validation Concerns (Declining Focus)

Q2–Q4 2024 emphasized robust progress in technology validation – detailed equipment validation programs at LaPorte, digital twin development, and multi-phase testing (including burner selection and turboexpander evaluations). " " " "

Q1 2025 reaffirmed commitment to technology validation with upcoming LaPorte testing and sustained R&D investments, with no indication of any decline in focus. "

Consistent commitment – There is a steady continuation of validation efforts with no signs of a drop in focus.

Market Valuation Skepticism (Less Emphasized)

There was little to no explicit discussion of market valuation skepticism in Q2–Q4 2024.

In Q1 2025, the market’s valuation is questioned—NET Power’s share price is near its cash value, suggesting the market is undervaluing its technology compared to peers with higher valuations. "

New emphasis – Market skepticism about valuation has emerged in Q1 2025, raising concerns not explicitly highlighted in prior periods.

Emergence of Modular Plant Designs & Fleet Deployment Strategies

Q2–Q4 2024 calls covered modular plant design innovations (e.g., 2x50% ASU configurations), benefits of fleet deployments, standardized designs for cost reductions, and multi-unit site efficiencies to overcome transportation and construction challenges. " " " " "

This topic was not mentioned in the Q1 2025 earnings call.

Reduced emphasis – After extensive discussion in previous quarters, modular design and fleet deployment strategies were not addressed in Q1 2025.

CO2 Capture Capabilities & Decarbonization Infrastructure

Q2–Q4 2024 discussions detailed robust CO2 capture numbers (up to nearly 900,000 tons per plant/year), leveraging existing infrastructure (e.g., Oxy’s network, Carbon TerraVault) and strategic positioning near geologic sinks to enhance decarbonization and support policy incentives. " " " " "

In Q1 2025, the focus on CO2 capture and decarbonization infrastructure was minimal, with only brief mention of the importance of locations offering low-cost natural gas and CO2 storage. "

Less emphasized – Whereas previous quarters provided extensive coverage, Q1 2025 downplays detailed discussion on CO2 capture capabilities and decarbonization infrastructure.