Nh3 Clean Energy Limited · ASX:NH3

Nh3 Clean Energy — Hexagon Energy Materials — Corporate Update (February 2022)

38 slides from Nh3 Clean Energy's corporate update, Feb 28, 2022

Slide 1: Hexagon's Pedirka Clean Hydrogen Project PFS Findings
Hexagon Energy Materials Ltd Hexagon’s Pedirka Clean Hydrogen Project Pre-Feasibility Study (PFS) Findings 28 February 2022 © 2022 Hexagon Energy Materials Limited (ASX:HXG)
Slide 2: Important Notices
Important Notices DISCLAIMER The purpose of this presentation is to provide background information to assist in obtaining a general understanding of the Company’s proposals and objectives. This presentation may contain some references to forecasts, estimates, assumptions and other forward-looking st
Slide 3: Hexagon's overall corporate strategy
Hexagon’s overall corporate strategy Assets/Projects Commodity Value Creation Historic Halls Creek Farm In Agreements Gold - Base Metals - Gold ($ Upfront / $ Exploration / Skills) In Progress PGE Future Energy Materials South Star Battery Metals Earn In Option Ceylon (USA) Graphite ($ Exploration /
Slide 4: Hexagon's clean Hydrogen strategy
Hexagon’s clean Hydrogen strategy Growth Build a portfolio of large scale projects that commercially deliver into the emerging clean Hydrogen markets. Risk Management Use proven-at-scale technologies to deliver on time and budget with guaranteed, sustained operational performance over the shortest p
Slide 5: Contents
Contents 1 Executive Summary 2 Pedirka PFS Outcomes 3 WA’s Hydrogen Advantage and Introduction of Hexagon’s WA Blue Hydrogen Project 4 The Clean Hydrogen Market Outlook Hexagon’s Pedirka Clean Hydrogen Project PFS Close Out. 5 Moving Forward © 2022 Hexagon Energy Materials Limited (ASX:HXG)
Slide 7: Pedirka PFS Findings and Hexagon's clean Hydrogen Plans Moving Forward
Pedirka PFS Findings and Hexagon’s clean Hydrogen Plans Moving Forward. • Pedirka clean Hydrogen PFS which commenced in April 2021 is now complete. • Range of findings and insights gained through the PFS scope of work addressing: • Engineering & design across plant, equipment & supporting infrastruc
Slide 8: Hexagon's clean Hydrogen project development view
Hexagon’s clean Hydrogen project development view Northern WA combines plentiful energy availability with well established infrastructure including for CCS Natural Gas Feedstock Pedirka – Middle Arm, Darwin •Australia’s largest offshore oil and gas resources. •Well established Dampier to Bunbury (DB
Slide 9: Hexagon to progress optimised North Western Australia project location
Hexagon to progress optimised North Western Australia project location 0.8 MTPA blue Ammonia clean Hydrogen project situated in North Western Australia Progress achieved to date 1. A land lease (80 ha) application made to WA Government at Onslow (in the Ashburton North Strategic Industrial Area (SIA
Slide 11: Pedirka PFS project background
Pedirka PFS project background Development of large scale, commercial, clean hydrogen project delivering into global export markets Key Dates Pedirka ASX Announcements No. Title/Heading Date of Release • April 2021: Acquisition of Pedirka (Ebony Energy Limited) Completed. 1. Ebony Energy Ltd Acquisi
Slide 12: Pedirka PFS status on completion
Pedirka PFS status on completion PFS progress versus critical success factors at PFS completion ✓ 01 ✓ 02 03 Engagement with governments a) Identify a technology ✓a) Determine coal resource Northern and other stakeholders to partner for gasification and hydrogen production Territory ensure projects
Slide 13: The Program of Work completed for the Pedirka PFS
The Program of Work completed for the Pedirka PFS included 1. Plant Engineering and Design. • High Level energy, mass and carbon balances and for a 1.6 MTPA Coal Gasification plant at Brewer Industrial Park in Alice Springs and at Middle Arm, Darwin and 0.8 MTPA Steam Methane Reformation (SMR) at Mi
Slide 14: Pedirka PFS raw material and end product logistics review
Pedirka PFS raw material and end product logistics review Middle Arm Port of Darwin A$2 billion Port Infrastructure Upgrade Planned (Berthing, Brewer Industrial Park Channel etc related) Source: Northern Territory Government, Investment Territory (InvestNT) Middle Arm Sustainable Development Precinc
Slide 15: Pedirka PFS risk management approach
Pedirka PFS risk management approach Technical Environment & Stakeholders Engineering & OH&S Design Engagement has included: Approvals across: • Government agencies Use of proven-at-scale, multi-operation performance • Drilling and Mining, as (federal, state, local) record technologies: appropriate
Slide 16: Pedirka Plant Overview
Pedirka Plant Overview Coal Power Water Or Middle Arm, Darwin Plant Source: Genesis Energies, 2021, adapted. Hexagon’s Pedirka Clean Hydrogen Project PFS Findings 16 © 2021 Hexagon Energy Materials Limited (ASX:HXG)
Slide 17: Life of project operating cost - comparisons Alice Springs vs. Middle Arm
Life of project operating cost - comparisons Alice Spring Vs. Middle Arm Carbon capture major operating cost element with large variance in feedstock conversion costs Brewer Industrial Estate, Alice Springs, 1.6 MTPA blue Ammonia Middle Arm Darwin coal gasification coal gasification with CCS plant w
Slide 18: Key insights for Pedirka
Key insights for Pedirka Total plant capital and blue Ammonia price driving commercial sensitivities • Large scale, global energy export plants are typically coastally located to minimise end product logistics costs • First movers in emerging markets look to minimise costs by accessing already estab
Slide 19: Pedirka PFS Findings and Hexagon's clean Hydrogen Plans Moving Forward
Pedirka PFS Findings and Hexagon’s clean Hydrogen Plans Moving Forward. • Pedirka clean Hydrogen PFS which commenced in April 2021 is now complete. • Range of findings and insights gained through the PFS scope of work addressing: • Engineering & design across plant, equipment & supporting infrastruc
Slide 20: WA's Hydrogen Advantage & Introduction of Hexagon's WA Blue Hydrogen Project
WA’s Hydrogen Advantage & Introduction of Hexagon’s WA Blue Hydrogen Project 20 © 2022 Hexagon Energy Materials Limited (ASX:HXG)
Slide 21: Western Australian clean Hydrogen projects – Hexagon in context
Western Australian clean Hydrogen (H2 & NH3) projects – Hexagon in context There are 12 clean Hydrogen/Ammonia projects underway in WA – 4 large scale ( > 0.08 m.t.p.a H2 equiv.) • Plenty of green (no CCS requirements) activity in Mid West but major challenges remain: • Access to suitable major port
Slide 22: CCS is KEY and Northern WA is the most advanced and prospective area
CCS is KEY and Northern WA is the most advanced and prospective area Majors are developing large scale, multi-user, lowest cost CCS services in Northern WA Santos ~ 3 mtpa (initial phase) expanding. • Using Thevenard Island processing facilities and associated Santos Reindeer fields and infrastructu
Slide 23: Australia is well placed to leverage off substantial CCS experience
Australia is well placed to leverage off substantial CCS experience and learnings As listed below, since the 1980’s blue Hydrogen with CCS has been successfully in use globally. H2 Production Facility Location Started H2 Production Capacity Hydrogen Use Process Enid Fertiliser U.S.A 1982 0.07 m.t.p.
Slide 24: The Pilbara interconnected Hydrogen hub
The Pilbara interconnected Hydrogen hub … Not only has the potential to support a substantial hydrogen sector (Blue and Green) but could strengthen and expand the NWIS, unlock gas for LNG export, decarbonise large industrials through open access to renewables. ‘In the mix’ Hydrogen Hub wise Renewabl
Slide 25: Hexagon FRV Australia renewable energy & green H2 strategic partnership
Hexagon FRV Australia renewable energy & green H2 strategic partnership WA Hydrogen project agreement related discussions have commenced • FRV has developed 9 solar farms investing + A$1 B in Australia (800 MWdc generation capacity) to date • 2,000 MW of renewable energy generation installed globall
Slide 26: Hexagon's WA – North Western - Hydrogen project snapshot
Hexagon’s WA – North Western - Hydrogen project snapshot Practical and optimised establishment cost with lowest risk, underpinning potential commercial success Strategically based in Blue Ammonia through Modular Plant for rapid Locally sourced natural gas Northern Australia proven SMR (conventional
Slide 27: Considerable progress has been made by the Hexagon team
Considerable progress has been made by the Hexagon team Deep local networks, market knowledge and complex integrated project development experience (incl in Hydrogen) underpinning project success. Customer Offtake Renewable Energy • Multiple parties Local cost in export effective markets. Quality su
Slide 28: Financing opportunities with major Japanese trading houses
Financing opportunities with major Japanese trading houses An LNG business (financing) model is likely to be adopted in Hydrogen Taking differing equity in the whole value chain - acting as foundation Long Term LNG customer and underpinning the commercial viability of new LNG Projects. Mitsui, Mitsu
Slide 29: Clean Hydrogen Market Overview
Clean Hydrogen Market Overview 29 © 2022 Hexagon Energy Materials Limited (ASX:HXG)
Slide 30: The emerging clean Hydrogen market
The emerging clean Hydrogen market Hydrogen is a clean, versatile energy source with strong growth in demand forecast Hydrogen Use by Sector & Hydrogen Production by Source EJ • The global clean Hydrogen market is forecast to reach Emission Based Net Zero US$300B (+A$410B) in sales revenue by 2050*.
Slide 31: Clean Hydrogen market opportunities
Clean Hydrogen market opportunities Hexagon’s focus is Clean Ammonia (NH3) for Coal fired power stations and Maritime fuels Coal Fired Power Stations Fuels - Maritime H2 & Renewable Energy Storage • Co-firing of Ammonia to reduce • Fuel flexible combustion engines under • Renewables intermittency ca
Slide 32: Hexagon's end target markets with DCAmmonia fuel
Hexagon’s end target markets with DCAmmonia fuel Hexagon’s DCAmmonia unlocking global carbon abatement targets as new, clean fuel source Coal-Fired Power Stations Maritime/Shipping Vessels Source: Image Credits, c-job.com, https://www.marineinsight.com/shipping-news/ammonia-as-ships-fuel-c-job-plans
Slide 33: Why? Markets are rapidly emerging & on the move
Why? Markets are rapidly emerging & on the move Japan developing long term blue & green Hydrogen & Ammonia supply chain Source: S&P Global Platts https://www.spglobal.com/platts/en/market-insights/latest-news/energy-transition/021822-japans-jera-eyes-up-to-500000-mtyear-ammonia-long-term-supply-from
Slide 35: Distinct advantages in Northern WA for commercial hydrogen project
Distinct advantages in Northern WA for commercial hydrogen project Advanced CCS third party solutions, natural gas supply options and well-established large scale infrastructure will all significantly impact Hexagon’s WAH2 project economics both short and long term Land, Water, Natural Gas Feedstock
Slide 36: Northern Australia focus: WA Hydrogen Project
Northern Australia focus: WA Hydrogen Project Practical, low risk and establishment cost with high potential for commercial success. Large scale, clean hydrogen project supplying domestic and global markets Generic Specific Future / Emerging + CCS • Site WA Government owned Strategic Industrial Area
Slide 37: Hexagon Overall Moving Forward
Hexagon Overall Moving Forward Secure and leverage technical and commercial alliances, by commodity. Core future energy and future energy materials projects have central focus. Green H2 small scale plant 1. Future Energy: Clean Hydrogen a) WA blue Ammonia Project (WAH2) priority – Update over the co
Slide 38: For further information, please contact
FOR FURTHER INFORMATION, please contact: FOCUSSED ON FUTURE Hexagon Energy Materials Limited Merrill Gray Media Enquiries Nick Howe ENERGY AND Managing Director GRACosway [email protected] [email protected] ENERGY +61 8 6244 0349 +61 02 8987 2121 MATERIALS IN NORTHERN hxgenergymate

Hexagon Energy Materials — Corporate Update (February 2022) on 6ix

Nh3 Clean Energy — Hexagon Energy Materials — Corporate Update (February 2022)

Slide 1: Hexagon's Pedirka Clean Hydrogen Project PFS Findings

Slide 2: Important Notices

Slide 3: Hexagon's overall corporate strategy

Slide 4: Hexagon's clean Hydrogen strategy

Slide 5: Contents

Slide 6: Executive Summary

Slide 7: Pedirka PFS Findings and Hexagon's clean Hydrogen Plans Moving Forward

Slide 8: Hexagon's clean Hydrogen project development view

Slide 9: Hexagon to progress optimised North Western Australia project location

Slide 10: Pedirka PFS Outcomes

Slide 11: Pedirka PFS project background

Slide 12: Pedirka PFS status on completion

Slide 13: The Program of Work completed for the Pedirka PFS

Slide 14: Pedirka PFS raw material and end product logistics review

Slide 15: Pedirka PFS risk management approach

Slide 16: Pedirka Plant Overview

Slide 17: Life of project operating cost - comparisons Alice Springs vs. Middle Arm

Slide 18: Key insights for Pedirka

Slide 19: Pedirka PFS Findings and Hexagon's clean Hydrogen Plans Moving Forward

Slide 20: WA's Hydrogen Advantage & Introduction of Hexagon's WA Blue Hydrogen Project

Slide 21: Western Australian clean Hydrogen projects – Hexagon in context

Slide 22: CCS is KEY and Northern WA is the most advanced and prospective area

Slide 23: Australia is well placed to leverage off substantial CCS experience

Slide 24: The Pilbara interconnected Hydrogen hub

Slide 25: Hexagon FRV Australia renewable energy & green H2 strategic partnership

Slide 26: Hexagon's WA – North Western - Hydrogen project snapshot

Slide 27: Considerable progress has been made by the Hexagon team

Slide 28: Financing opportunities with major Japanese trading houses

Slide 29: Clean Hydrogen Market Overview

Slide 30: The emerging clean Hydrogen market

Slide 31: Clean Hydrogen market opportunities

Slide 32: Hexagon's end target markets with DCAmmonia fuel

Slide 33: Why? Markets are rapidly emerging & on the move

Slide 34: Moving Forward

Slide 35: Distinct advantages in Northern WA for commercial hydrogen project

Slide 36: Northern Australia focus: WA Hydrogen Project

Slide 37: Hexagon Overall Moving Forward

Slide 38: For further information, please contact