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Hexagon Energy Materials (ASX:HXG) makes progress on PFS for hydrogen project

ASX News, Materials
ASX:HXG      MCAP $10.25M
14 December 2021 10:39 (AEST)

Hexagon Energy Materials (HXG) has made progress on its pre-feasibility study (PFS) for its proposed Pedirka clean hydrogen project in the Northern Territory.

The company says its focus will initially be blue ammonia, as a hydrogen carrier, produced through fossil fuel feedstock and carbon capture and storage.

Longer-term, Hexagon plans to transition to green hydrogen in liquid form. The company says when hydrogen production technologies and liquid hydrogen handling and transportation technologies deliver further cost reductions, then fully renewable-based hydrogen may become a more commercially viable product.

Additionally, the company has applied for funding through the Federal Government’s “Clean Hydrogen Industrial Hub” grant program. It says it aims to fund a feasibility study for a hydrogen hub for Middle Arm at the port of Darwin.

Hexagon says its next step is the completion of financial modelling and commercial analysis work.

The company expects further announcements will be made as soon as possible, including in relation to the targeted December 31, 2021 PFS completion date.

Shares last traded at 7.5 cents at market close December 13.

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