Hazer Group Ltd. · ASX:HZR
Hazer — 13th Australian Microcap Investment Conference 2024
32 slides from Hazer's conference presentation, Oct 28, 2024
Slide 1: Investor Presentation ASX announcement
Hazer Group Limited (ACN 144 044 600) Level 9, 99 St Georges Tce, WA 6000 PO Box Z5511, St Georges Tce, Perth, WA 6831 INVESTOR PRESENTATION PERTH, AUSTRALIA; 28 October 2024: Hazer Group Ltd ("Hazer" or "the Company") (ASX: HZR) is pleased to attach the investor presentation materials which will be
Slide 2: Hazer Group Microcap Conference October 2024
ASX:HZR For personal use only Hazer Group Microcap Conference Oc tober 2 024
Slide 3: Disclaimer
2 Disclaimer Important information This presentation has been prepared by Hazer Group Limited (“Hazer” or “the Company”) Forward Looking Statements Statements contained in this document or made during or in connection Summary Information This document contains a summary of information about Hazer Gr
Slide 4: Decarbonising gas with a world-leading climate technology
For personal use only 3 “Decarbonising gas with a world-leading climate technology; accelerating delivery of affordable clean hydrogen; at scale”
Slide 5: Hazer's technology advantage
4 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation Hazer’s technology advantage For personal use only Innovative low emission, low-cost methane pyrolysis technology producing clean hydrogen and graphite • Hazer Group Limited is a technology development company und
Slide 6: Hazer's unique market advantage
5 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation Hazer’s unique market advantage For personal use only Hazer has a distinguishing competitive edge that sets us apart in the clean hydrogen arena Advanced TRL Low Cost Graphite Driven by low energy intensity Unique
Slide 7: Cost competitive against all H2 types
6 Cost competitive against all H2 types For personal use only Competitive LCOH^ against all hydrogen production types H2 per kg Cost Range by Type* $7 • Hazer cost-competitive & clear path to further $6 optimisations at scale; built-in graphite upside $5 • “Blue” hydrogen (SMR+CCS) is technically fe
Slide 8: Graphite production diversifies earnings
7 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation Graphite production diversifies earnings For personal use only A synthetic, low emissions product with differentiated morphology and properties • Highly structured vs amorphous carbon black • Iron inclusions produ
Slide 9: Advanced technology readiness
8 Advanced technology readiness For personal use only Project Rapid development since company founding and advancing Tech Readiness Level (TRL) Development Pipeline (1 00 t pa H 2 continuous) (~<2 kg/hr* semi-continuous) (~1Kg* batch) (<100g* batch) (<1g* batch) 2007–2013 2016–present 2017 2017–2021
Slide 10: "Plug-in" technology using existing infrastructure
9 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation “Plug-in" technology using existing infrastructure For personal use only End-use deployment and application of the Hazer Technology eliminates H2 transport risk and reduces cost • Eliminates requirement for H2 tra
Slide 11: Hazer's global partners & projects
10 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation Hazer's global partners & projects For personal use only Tier-1 partners developing commercial projects in North America, Europe and Asia-Pacific
Slide 12: Key activities
11 Key activities Today For personal use only CY2024 CY2025 H1 H2 H1 100 hours 240 hours 360 hours CDP Commercial Demonstration Plant (100 tpa) ✓ Online ✓ ✓ ✓ Commercial Readiness Targeted Production & Testing Program Commercial Scale-up ✓ License Initial FEED Study Framework Revenues License Agreem
Slide 13: Hydrogen Market
For personal use only Hydrogen Market
Slide 14: Hydrogen market set to grow over 5x by 2050
13 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation Hydrogen market set to grow over 5x by 2050 For personal use only Hydrogen will play a key role in the decarbonisation of hard-to-abate sectors Current market Existing Technologies ~95MTPA Steam Methane Reforming
Slide 15: Methane pyrolysis: a fast, affordable path to clean H2
14 Methane pyrolysis: a fast, affordable path to clean H2 For personal use only Hydrogen production technology comparison Energy Intensity (kWh/kg H2 ) Carbon Intensity (kg CO2/kg H2)^ Commercial Viability Natural Gas Hydrogen (1 Tonne) 0 - 5kg 8 - 10kWh Electricity Graphite (3 T) (11 T) Natural Gas
Slide 16: Commercial Demonstration Plant (CDP)
For personal use only Commercial Demonstration Plant (CDP)
Slide 17: Commercial Demonstration Plant achieves 360hrs
16 Commercial Demonstration Plant achieves 360hrs For personal use only Worlds first fully-integrated demonstration of Hazer’s technology Project Summary • 100 tpa H2 and ~380 tpa Hazer graphite 1 • First H2 & graphite achieved in Jan 2024 • Carbon negative process with biogas feedstock • Campaign b
Slide 18: Ongoing results provide confidence in scalability
17 Ongoing results provide confidence in scalability For personal use only Stable H2 and graphite production with continuous reliable operation achieved • 362 hours of continuous operation achieved with controlled catalyst injection • Production uptime over 97% underpins the resilience of technology
Slide 19: CDP performance test program delivery on track
18 CDP performance test program delivery on track For personal use only Targeting commercial deployment readiness in 2024 Global Commercial Projects Commercial Demonstration Plant (CDP) Continuous Operation 24hr run completed 100+hrs extended operation run Solids handling demonstration Scale-up vali
Slide 20: Commercialisation Strategy
For personal use only Commercialisation Strategy
Slide 21: Overview of key scale-up development projects
20 Overview of key scale-up development projects For personal use only BC, Canada Nagoya, Japan Montoir, France Pohang, Korea • Project Development • Existing LNG import • Existing LNG import • Integration into low Agreement Signed terminal or power station terminal site identified carbon steel maki
Slide 22: World-first project in strategic North America market
21 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation World-first project in strategic North America market For personal use only Partnership with FortisBC to develop a 2,500tpa hydrogen facility in Canada • Binding agreement for commercial scale plant, 25x CDP • Fo
Slide 23: POSCO & Hazer collaborating on low-carbon steel
22 Hazer Group Ltd – 13th Annual Australian Microcap Investment Conference Presentation POSCO & Hazer collaborating on low-carbon steel For personal use only Hazer’s technology is uniquely positioned to support decarbonisation of the steel manufacturing process • 6th largest steel producer worldwide
Slide 24: Chubu Electric and Chiyoda – first project in Japan
23 Chubu Electric and Chiyoda – first project in Japan For personal use only Collaboration with world-class partners for a 2,500tpa hydrogen facility in Nagoya • Chubu Electric imports ~12-15MTPA of LNG* • Chubu Electric recognises Hazer’s inherent carbon capture and storage feature; targeting graph
Slide 25: Business Model & Valuation
For personal use only Business Model & Valuation
Slide 26: "Capex-lite" business model enables early free-cashflow
25 “Capex-lite” business model enables early free-cashflow For personal use only Hazer business plan premised on licensing and royalty revenues avoiding large-scale capex exposure Hydrogen Royalties • One technology, two valuable markets • Flexible combination of license fees and royalties Licensing
Slide 27: Illustrative plant economic indicators
26 Illustrative plant economic indicators For personal use only Illustrative Plant (50ktpa H2 ktpa) Cash Flows* 500 Illustrative Plant Owner Returns: 400 • 50 ktpa of H2 production, 195 ktpa of graphite 300 • NPV8 at FID (20 years) ~A$460mln (~US$320mln) 200 • Project IRR ~27% (ungeared) 100 • ROI ~
Slide 28: Growth ambition of plants in years
27 Growth ambition of 10 plants in 10 years For personal use only Potential for over 500 KTPA of Hazer installed H2 capacity across target markets by 2035 2024 Current Portfolio 2035 Aspired Portfolio Current Plant Pipeline 4 Plants 1. North America – BC, Canada and other US >500 2. Asia-Pacific – J
Slide 29: Investment highlights
28 Investment highlights For personal use only Low-cost, clean H2 technology with strong competitive advantage Commercially ready today and co-locates with end- user infrastructure Capex-lite” license model unlocks early cash-flow Tier-1, global partnerships across strategic markets Rapidly growing
Slide 30: Hazer Group Ltd
Hazer Group Ltd For personal use only ASX:HZR Investor Relations Enquiries: contact@hazergroup.com.au Media Enquiries: anah@we-worldwide.c om
Slide 31: Abbreviations and units used
30 Abbreviations and units used For personal use only ARENA Australian Renewable Energy Agency CCS Carbon Capture & Storage CDP Commercial Demonstration Plan IP Intellectual Property FID Final Investment Decision KTPA thousands of tonne per annum LCOH Levelised cost of hydrogen LNG Liquified Natural
Slide 32: Assumptions and notes
31 Assumptions and notes For personal use only Slides 6 - H2 per kg cost range by type chart Sources: Company analysis and projections, modelling a range of notional outcomes: 1. Feedstock gas - North America ~US$2.0/mmbtu, Asia Pacific US$10/mmbtu, Europe ~US$8.5/mmbtu 2. ~US$400/tonne graphitic ca
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