Research and Innovation Phillips 66 is one of the few downstream energy companies with in-house research and development capabilities via our Energy Research & Innovation (ERI) organization. In addition to supporting current operations, this team supports a lower-carbon future by helping to develop and commercialize new technologies. The scientists and engineers at our Phillips 66 Research Center in Bartlesville, Oklahoma, work to enhance the safety and reliability of our operations and to develop air, water and energy solutions, including battery technology and solid oxide fuel cells (SOFCs), which can be used for electricity storage. Phillips 66 has 399 active U.S. patents in specialty carbon, premium coke, low-carbon hydrogen, solid oxide fuel cells, carbon capture, organic photovoltaics and biofuels, as of Dec. 31, 2021. AT A GLANCE SOFCs Explained SOFCs generate electricity efficiently by oxidizing a fuel, such as natural gas, through electrochemical reactions rather than combustion. SOFCs can generate electricity at high efficiencies from an abundant, reliable and inexpensive fuel source. They produce no noise, have a 50% lower-carbon footprint than conventional power plants, have no combustion emissions and are an ideal technology for carbon dioxide (CO 2 ) capture. SOFCs also can be paired with solar- or wind-generated power, ensuring reliable energy even when the sun is not shining or the wind is not blowing. Their quiet, compact, modular design makes them a convenient source of on-site power for homes and businesses. Carpet, Cable Insulation, Nylon Dashboard Odorless Mineral Spirits Polypropylene, Cyclohexane Polypropylene, Cyclohexane, Sulfur Glass Fuel Coke Paint, Adhesives Fuel Coke, Hexane, Heptane, Odorless Mineral Spirits Steel Body Needle Coke, Odorless Mineral Spirits Battery Anode Needle Coke Tire/Rubber Sulfur, Hexane Bumper Polypropylene Aluminum Body Anode Coke SOLID OXIDE FUEL CELLS Phillips 66 continues to progress its solid oxide fuel cell technology, holding nine U.S. patents and 29 U.S. pending patent applications in our SOFC's intellectual property portfolio. • We published our patented SOFCs fabrication technique and research data in the Journal of the American Ceramic Society • We installed a field demonstration of this technology at a Phillips 66 pipeline that has been in operation since 2020 • We anticipate a second application will be installed at a Phillips 66 marketing site in 2022 • In 2021, we announced that Phillips 66 was awarded a $3 million grant from the U.S. Department of Energy to advance high-performance reversible SOFCs 9 Phillips 66 Research Center BARTLESVILLE, OK Single cell Air Fuel SOFC stack OUR BUSINESSES: TODAY AND TOMORROW