Hazer Group Reaches Key Operational Milestone at Commercial Demonstration Plant
HZR (HZR) Share Update August 2024 Thursday 8th
Hazer Group Achieves Major Milestone with 240 Hours of Continuous Operation
Hazer Group Limited (ASX: HZR) has achieved a significant milestone in their performance test program with over 240 hours of continuous stable operation at their Commercial Demonstration Plant (CDP).
Instant Summary:
- 240 hours of continuous operation achieved at the CDP.
- 97.5% plant uptime during the performance test.
- Stable production of hydrogen and graphite.
- Unlocks next tranche of ARENA funding.
Operational Achievement
Hazer Group Limited has announced that they have achieved over 240 hours of continuous stable operation at their Commercial Demonstration Plant (CDP). This milestone is a key part of their performance test program, demonstrating the stability and reliability of Hazer's technology.
During this period, the plant maintained a 97.5% uptime, producing hydrogen and graphite continuously. This achievement is crucial as it unlocks the next tranche of funding from the Australian Renewable Energy Agency (ARENA), which will be released in January 2025.
Performance Test Details
The performance test campaign has shown that the CDP can operate in a steady state mode, producing commercially representative graphite. The graphite produced will undergo quality verification to ensure consistency before being distributed to major partners for large-scale testing and analysis.
Key objectives achieved during the 240-hour operation include the continuous injection of catalyst into the reactor bed, stable and reliable solids separation from the product gas stream, and operational reliability with process uptime above target.
Future Plans and Commercial Readiness
Following the current test run, the plant is scheduled for planned maintenance and inspections. The extensive steady-state operation dataset will be analyzed to optimize conversion rates towards design limits. The CDP is demonstrating Hazer's low-cost, clean hydrogen solution at a commercial scale, providing confidence in the plan to declare commercial readiness in 2024.
The results from the CDP are also being used to advance four existing commercial projects with POSCO, ENGIE, Chubu Electric/Chiyoda Corporation, and FortisBC, as well as to explore new customer projects and strategic partnership opportunities.
This achievement is a significant step forward for Hazer Group, as it demonstrates the reliability and stability of their technology at a commercial scale. The successful operation of the CDP and the subsequent release of ARENA funding will likely have a positive impact on the company's stock price. Investors may view this milestone as a strong indicator of Hazer's potential for commercial success and long-term growth.
Investor Reaction:
Analysts are expected to react positively to this announcement, as it showcases Hazer's progress towards commercial readiness. The successful performance test and the unlocking of ARENA funding provide a strong foundation for future growth and strategic partnerships.
Conclusion:
Investors should keep an eye on Hazer Group's continued progress and future announcements regarding their Commercial Demonstration Plant and commercial projects. This milestone is a promising sign of the company's potential to achieve commercial success and contribute to global decarbonization efforts.