Hazer Group (ASX:HZR) has hit a milestone under the Australian Renewable Energy Agency (ARENA) funding agreement, facilitating a drawdown of $500,000.
In 2020, Hazer executed a binding funding agreement with ARENA for up to $9.41 million to support the design, procurement, construction and operation of the Hazer Process Commercial Demonstration Project.
The project is a 100-tonne-per-year low-emission hydrogen production facility that aims to be the first larger scale, fully integrated deployment of the Hazer process. The Hazer process enables the effective conversion of natural gas and similar methane feedstocks into hydrogen and high-quality graphite using iron ore as a process catalyst.
Hazer, which has a market capitalisation of $87.6 million, has completed the fourth milestone which recognises completing 12 months of operations at the commercial demonstration plant, as well as submitting other reporting deliverables.
The plant has achieved more than 1,250 hours of continuous operation and Hazer says the results provide confidence in the reliability of its process, alongside validating the design basis and operability of commercial scale projects.
Hazer adds this non-dilutive source of funds, coupled with the company’s recent lower carbon grant, further strengthens its near-term liquidity.
A further $1 million of ARENA funding is scheduled to be released between 2025 and 2026, subject to milestone deliverables that the company expects to achieve.
Hazer Group is an Australian technology company focused on global decarbonisation efforts with the commercialisation of the company’s climate-tech.
Write to Aaliyah Rogan at Mining.com.au
Images: Hazer Group
