Hazer Group Ltd (ASX:HZR) noted in a shareholder update today that developing its frontend engineering studies for an initial commercial demonstration project will be its focus in
The company will also complete concept studies for a range of initial commercial-scale plants.
Hazer’s plans are supported by a very productive last six months with respect to operations of the fluidised bed reactor (FBR) pilot plant.
READ: Hazer Group has platform to take graphite and hydrogen process to commercial demonstration phase
Operation of the FBR and engineering study results are being used to configure and refine the most effective commercial demonstration plant.
This work will continue through the next months as Hazer continues to refine its engineering models and starts to work with specific sites and potential feed-gas supplies.
Studies completed to date provide sufficient confidence for Hazer to progress its discussions with potential hydrogen off-takers and project co-funders.
Operating a $10 million commercial demo plant in 2019
Hazer is looking at a commercial demonstration project capable of operating on a continual, 24/7, basis producing 100 tonnes per annum (tpa) of hydrogen and 375 tpa of graphite.
The target capital cost is around $10 million.
Securing an ongoing commercial demonstration project that allows Hazer to demonstrate hydrogen sales and build sales interest for graphite would be a material achievement for the company.
It remains a primary focus through the first half of next year to secure the agreements and partnerships necessary to do this.
Investment by director and CEO
Hazer’s directors and CEO Geoff Ward have invested a total of $400,000 in the company.
This was done through the purchase of 1 million existing options at 5 cents and the exercise of 1.4 million 25-cent options.
Geoff Ward also purchased and exercised 600,000 options and now has a holding of 600,000 ordinary shares.
Two patents granted, one accepted
Hazer has had Australian patent application entitled “A process for producing hydrogen and graphitic carbon from hydrocarbons” accepted by the Australian patent office.
The company has also had two innovation patents granted, both of which are entitled “A process for producing hydrogen and graphitic carbon from hydrocarbons”.
These patents will now be certified after which they will broaden Hazer’s future licensing pathways and provide additional protection to preserve its rights with regards to the Hazer Process.
Hazer’s CEO Geoff Ward said: “We are extremely pleased to have received the award of these innovation patents and acceptance of our first Australian patent.
“We will continue to pursue our remaining patent applications as part of our ongoing IP protection strategy.
“We look forward to continuing to develop our strong intellectual property portfolio position as we continue to learn more about our technology, its products and applications and progress the Hazer Process through commercial demonstration and scale-up phases.”