Key Highlights

  • A paid study with a Japanese energy utility will assess Hazer hydrogen facilities of 30,000 and up to 300,000tpa.
  • The Whyalla process continues, with a decision expected as early as year-end 2026 and M Resources one of two final bidders.
  • Hazer graphite has been thermally purified to over 99.99%, and asphalt testing has been completed with Boral.
  • The pro-forma funding position is $12.9 million, with cash of $8.3 million and net operating cash outflows of $2.3 million.

Hazer Group Lodges Its September 2026 Quarterly Report

Hazer Group Ltd (ASX:HZR) is an Australian technology company that commercialises the Hazer Process, which uses natural gas or biogas and iron ore as a catalyst to produce hydrogen and high-quality graphite. On 19 October 2026, the company lodged its Appendix 4C and quarterly activities report for the three months ended 30 September 2026. Managing Director Glenn Corrie said industrial customers are seeking practical ways to reduce emissions while remaining competitive and securing reliable energy supplies.

KBR Alliance and Commercial-Scale Design

Hazer and Kellogg Brown & Root LLC continued to advance their alliance, building on the commercial-scale Process Design Package completed in April 2026. KBR is Hazer’s exclusive global partner for marketing, licensing and deploying the technology in the ammonia and methanol markets. The package is based on a 30,000 tonne per annum hydrogen plant and supports single-train plants of 10 to 50 ktpa and multi-train developments above 100 ktpa. The company reported that capital intensity improved by approximately 12% against prior Hazer estimates.

Japan Study, Whyalla and Project Pipeline

On 17 August 2026, the Hazer-KBR Alliance entered a binding agreement with a Japanese power and energy utility for a paid pre-feasibility study. It will assess hydrogen production capacities of 30,000 and 300,000 tonnes per annum and is expected to be completed by the end of 2026. Hazer also noted the grant of a key patent by the Japanese Patent Office, announced on 3 June 2026.

At Whyalla, M Resources remains one of two final bidders, with a decision expected as early as the end of 2026, and Hazer continues to support M Resources under its agreement to incorporate the Hazer Process into a proposed redevelopment. The Australian and South Australian governments have committed A$2.4 billion to the clean steel hub concept. Hazer is also working with FortisBC on a proposed British Columbia facility under a Project Development Agreement signed in May 2024, and with Energy Pathways on the Marram Energy Storage Hub in the United Kingdom. In addition, a delegation led by the Vice Governor of Hyogo Prefecture visited the Commercial Demonstration Plant in Western Australia.

Steelmaking and Strategic Relationships

The company described steelmaking as one of its most strategically important markets, noting that the Hazer Process uses an iron-ore catalyst to convert gas into hydrogen and graphite. It is pursuing opportunities in established steelmaking markets, including partnerships with POSCO in Korea and strategic relationships with Mitsui in Japan. Hazer also reported progress on opportunities across steelmaking, refining, ammonia, liquid fuels and data centres, supported by the KBR alliance, with customer engagement across Europe, the Middle East and the United States. The Hyogo Prefecture delegation also included representatives from Kobe Steel, Kansai Electric, Mitsubishi Heavy Industry and Kawasaki Heavy Industries.

Hazer Graphite Developments

Third-party testing by ANZAPLAN found that Hazer Graphite can be thermally purified to over 99.99% purity, enabling assessment for battery conductive agent and anode applications. The company noted that the qualification process for commercial offtake in these applications is known to take years. Separately, independent testing by Boral Construction Materials Technical Services indicated that Hazer graphite can replace a portion of petroleum-derived bitumen in heavy-duty asphalt formulations while maintaining or improving key performance characteristics, tested against Transport for New South Wales specifications.

Cash Flow and Funding Position

Cash and cash equivalents fell to $8.307 million at 30 September 2026 from $10.669 million at the start of the quarter. Net operating cash outflows were $2.334 million, comprising $438,000 for research and development, $1.488 million for staff costs and $501,000 for administration and corporate costs, partly offset by $98,000 of interest received. Financing activities used $28,000 for equity transaction costs. Bank balances were $7.366 million, compared with $9.736 million in the previous quarter.

The company reported a pro-forma funding position of $12.9 million, made up of $8.3 million of cash (including $0.82 million of restricted amounts), a $2.3 million FY26 R&D tax refund received and announced on 15 October 2026, and $2.3 million of remaining WA Government grant milestones yet to be earned. The Appendix 4C shows 3.56 estimated quarters of funding available, or 4.57 after adjusting for the R&D refund receivable. Payments to related parties were $219,000. Management will host an investor webinar on 20 October 2026 at 8:30am AWST.