Hazer takes to ARENA for funding

Clean technology developer Hazer Group (ASX:HZR) is set to draw down another $950,000 under an agreement with the Australian Renewable Energy Agency (ARENA) after ticking off a key funding milestone.

The funding agreement relates to Hazer’s Commercial Demonstration Plant for its namesake low-emissions hydrogen and graphite production process. 

Under the terms of the arrangement, the $950,000 was locked up until Hazer completed the commissioning of the demonstration plant’s hot operations, which the company says it has now achieved. 

It’s part of the same tranche of funding that saw Hazer draw down just shy of $3 million back in early February 2023 for commissioning the plant’s cold operations. 

Further, the funding milestone comes less than 2 weeks after Hazer completed a $9 million share placement and launched an accompanying share purchase purchase plan to raise an additional $4 million from shareholders. 

Hazer says that combined with the recent capital raise, the ARENA funding boost further strengthens its near-term liquidity. 

Company CEO and MD Glenn Corrie says the completion of the Commercial Demonstration Plant underscores the ‘solid’ progress the company has made in advancing its tech to development. 

“We gratefully acknowledge and appreciate the support of the Australian Government through the Hazer technology development.

The fresh funding drawdown does not mark the end of the ARENA support — Hazer is still set to receive a further 3 tranches of funding between now and 2026, subject to the company continuing to achieve its technological milestones. 

Hazer’s technology is designed to enable the effective conversion of natural gas or similar feedstocks into hydrogen and high-quality graphite, using iron ore as a process catalyst. 

At the end of December 2023, meaning prior to the capital raise or the ARENA funding achievement, Hazer Group had just under $10.7 million cash and cash equivalents at hand.

Images: Hazer Group
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Written By Joshua Smith
Joshua Smith has years of experience in the media sector, having worked as a markets reporter, features writer, and editor since completing a Communications and Journalism degree and a Creative Writing degree. Josh is an avid board game fan and a self-professed coffee snob.