Hazer raises $5.4M through SPP to progress hydrogen production goal

Clean energy developer Hazer Group Ltd (ASX:HZR) has raised approximately $5.4M through a share purchase plan (SPP) to push towards its goal of scaling up production of hydrogen and graphite from the company’s commercial demonstration plant (CDP) in Western Australia.

The SPP – which ended on March 15 – had been set with a target of $4 million, but achieved well beyond that, with Hazer raising $5,393,000 before costs.

Overall, this involved applications for 10,786,000 new shares and 2,696,500 options.

Hazer had already boosted its coffers with a share placement last month which had raised $9 million, with shares being issued at $0.50 each.

The stock has been hotly-watched for years and its CDP has been hit with operational delays in the past, including faulty parts which required replacement.

CEO and managing director, Glenn Corrie said the successful fundraising would enable the company to focus on its production and development targets for the year.

“With the successful completion of our Placement and SPP, we can now move forward this year with a robust balance sheet focussed on delivering our CDP test program and commercialisation strategy,” he said.

“Hazer’s technology is now successfully proven in continuous operation at commercial demonstration scale and with interest multiplying, we are eager to provide potential customers with a low-cost hydrogen and decarbonisation solution that is available for deployment today.”

Founded in 2010, Hazer has been developing a carbon-negative process to convert natural gas and other feedstocks into hydrogen and graphite.

First production from its CDP in Perth was announced in January.

Hazer Group shares are trading at 50c.