Company: BNRG
Filing Date: 2025-03-04
Form Type: 20-F
Source: 0001213900-25-020178
Chunk: 2

Company: Brenmiller Energy Ltd.
Filing Date: 2025-03-04
Form: 20-F
Item: Item 3
Chunk 2
---
 exposed
to risk relating to volatility in the commodity price of fossil fuels and electricity prices, which could have a material adverse impact
on prices of alternative energies and related products that need to be consolidated into our business model. It is possible that the cost
of alternative energy and related products will impact our commercial efforts and affect our ability to become profitable.

We
expect to generate a portion of our revenues from the sale of products related to the production and use of alternative energy and electricity
as commodities. Some of the significant incentives for customers to use our intended products and services are the rising cost and scarcity
of fossil fuels such as oil, natural gas and coal. We offer our customers an alternative to fossil fuel reliance through the electrification
of industrial processes. As a result, we will be exposed to the fluctuating commodity prices applicable to fossil fuels and electricity.
Historically, fossil fuel and electricity prices have been volatile, and we expect such volatility to continue. Furthermore, future supply
of and demand for fossil fuels and electricity are unpredictable. There are many entities in the fossil fuels and electricity commodities
markets, such large energy companies, and governments, that are of far greater size and influence than us and which can often cause significant
movement in the short- and long-term supply and prices of fossil fuels and electricity. Fluctuations in the commodity price of fossil
fuels and electricity may have a materially adverse impact on our profitability. We have to factor these fluctuations into our business
plan in order to mitigate the associated commodity price risk. There is a risk that we may expend large sums of money to generate alternative
energy products and yet a market never properly develops for them and thus we may not become profitable due to the market volatility of
fossil fuels and electricity.

Alternative energies
are becoming increasingly important in the United States and world economy, causing increasing investment devoted to improvements and
development of new alternatives and technologies.

As
a result of increasing interest and investment in the development of alternative energy sources, it is expected that there will be significant
developments during the next decade. The development and implementation of new technologies may cause a reduction in the costs or use
of certain alternative energies or result in better alternatives. It cannot be predicted when new technologies may become available, the
rate of acceptance of new technologies by competitors and customers, or the costs associated with such new technologies. In addition,
advances in the development of alternatives energies could significantly reduce demand for or eliminate the need for certain other technologies.
Any advances in technology may require significant