Hazer Group Limited
Appendix 4E
Preliminary final report
1. Group details
Name of entity:
Hazer Group Limited
ABN:
40 144 044 600
Reporting period:
For the year ended 30 June 2025
Previous period:
For the year ended 30 June 2024
2. Results for announcement to the market
$
Revenues from ordinary activities
up
124% to
8,512,485
Loss from ordinary activities after tax
down
60% to
(7,619,639)
Loss for the year
down
60% to
(7,619,639)
Dividends
No dividend has been declared.
Comments
The loss for the Group after providing for income tax amounted to $7,619,639 (30 June 2024: $19,067,366).
Revenues from ordinary activities increased by 124% to $8,512,485 primarily due to receipt of $4.3 million of Grant Income. The Grant
Income is made up $3.8 million being first milestone payments of the Lower Carbon Grant - Gorgon Fund grant from the Department of
Jobs, Tourism, Science and Innovation (JTSI) in recognition of the emissions reducing focus of our capital programme; along with $500,000
from ARENA milestone 4.
Loss from ordinary activities after tax decreased to $7,619,639 in 2025 (2024: $19,067,366): primarily due to receipt of Grant Income;
significantly decreased spending on the CDP construction resulting in no impairment for the year ended 30 June 2025, compared to the
prior year's impairment of $3,570,610. Along with lower than prior year spending on consulting and research expenses which were also
lower in line with the reduced programme at the CDP.
Other non-cash expenditure for 2025 included share-based payments associated with options issued to management and employees of
$1,404,946 (2024: $1,626,869) and depreciation and amortisation expenses of $102,648 (2024: $115,430).
The Group’s total operating expenses decreased by 17% to $14,624,530 (2024: $17,548,686) and comprise; decreased consulting and
research costs $4,388,758 (2024: $6,838,097) due to the reduced programme at the CDP and completion of testing on the Canada project;
and lower employee benefits of $7,886,673 (2024: $8,144,699) due to lower headcount.
The net operating cash outflow for the year was $5,152,709 (2024: $15,815,886). Primary operating cash outflows for 2025 were for
payments to suppliers and employees of $15,053,256 (2024: $18,822,926). Cash inflows in 2025 came from the receipt of the research and
development tax incentive rebate of $5,068,604 (2024: $2,536,015)- the Australian Federal Government’s R&D Tax Incentive program
provides a cash refund on eligible research and development activities performed by Australian companies and is an important program
that strongly supports Australian innovation; $3,833,305 JTSI grant and $610,873 for engineering services provided to its Canada Project
client FortisBC.
Investing cash outflows of $1,446,195 (2024: $7,497,658) during the year related to capital costs associated with the Hazer CDP and future
next reactor scale up development.
Financing cash inflows were a net inflow of $6,311,622 (2024: net inflow $26,856,769). Funds were generated during the current financial
year from: the issue of 22,798,551 shares (2024: 59,432,927 shares). In 2025 there were proceeds from borrowings of $nil (2024:
$1,759,000 proceeds from borrowings then full repayment of this facility of repayment the facility plus interest of $1,850,568).
The Group’s cash and cash-equivalent were $12,534,265 at 30 June 2025 (2024: $12,821,547) and net assets at 30 June 2025 were
$13,711,232 (2024: $13,570,549).
Hazer Group Limited
Appendix 4E
Preliminary final report
3. Control gained over entities
Not applicable.
4. Loss of control over entities
Not applicable.
5. Details of associates and joint venture entities
Not applicable.
6. Audit qualification or review
The financial statements have been audited and an unmodified opinion has been issued.
7. Attachments
The Annual Report of Hazer Group Limited for the year ended 30 June 2025 is attached.
8. Signed
Signed ___________________________
Date: 26 August 2025
Tim Goldsmith
Chairman
Hazer Group Limited
Cover
For the year ended 30 June 2025
Hazer Group Limited
ABN 40 144 044 600
Annual Report – 30 June 2025
Hazer Group Limited
Corporate directory
For the year ended 30 June 2025
1
Directors
Tim Goldsmith (Non-Executive Chairman)
Danielle Lee (Non-Executive Director)
Andrew Hinkly (Non-Executive Director)
Jack Hamilton (Non-Executive Director)
Glenn Corrie (Executive Director)
Company Secretary
Joan Dabon
Registered office
Level 9, 99 St Georges Terrace
Perth WA 6000
Principal place of business
Level 9, 99 St Georges Terrace
Perth WA 6000
Share register
Automic Group
Level 5, 191 St Georges Terrace
Perth WA 6000
Auditor
RSM Australia Partners
Level 32, Exchange Tower, 2 The Esplanade
Perth WA 6000
Solicitors
Hopgood Ganim
Level 27, 77 St Georges Terrace
Perth WA 6000
Bankers
Commonwealth Bank of Australia
95 William Street
Perth WA 6000
Stock exchange listing
Hazer Group Limited shares are listed on the Australian Securities Exchange (ASX code: HZR)
Website
www.hazergroup.com.au
Corporate Governance Statement
https://hazergroup.com.au/investors/#corporategovernance
Hazer Group Limited
Chairman's Letter
For the year ended 30 June 2025
2
Dear Shareholder
On behalf of the Board, it is with great excitement and optimism that I present to you the Hazer Group’s Annual Report for the
financial year ended 30 June 2025.
Financial year 2025 has been a transformative year for Hazer. We made significant strides in advancing our proprietary Hazer
Process - a breakthrough technology that enables the sustainable and cost-effective production of clean hydrogen and
graphite from methane feedstocks. Our ongoing commitment to decarbonisation and clean energy innovation continues to
position Hazer as a leader in the global energy transition. Over the past year, we have strengthened our commercial and
technological capabilities and reached several key milestones on our strategic roadmap - moving us closer to full-scale
commercial deployment and long-term value creation.
Milestones That Moved Us Forward
Among the year’s key achievements was the successful completion of the performance test program at our Commercial
Demonstration Plant (CDP) at Woodman Point WA. The results confirmed the scalability, reliability and robustness of the
Hazer process – a critical step in paving the way for full-scale commercialisation.
We also secured a transformative global strategic alliance with Kellogg Brown & Root LLC (KBR), a world-leading engineering
and technology company. This partnership represents a pivotal step in accelerating the scale-up and commercial deployment
of the Hazer process. Under the agreement, KBR will act as our exclusive global licensing and engineering partner in the key
hydrogen markets of ammonia and methanol, while working together in other industries. KBR’s deep expertise and global
reach will be instrumental in efficiently scaling our technology and unlocking high-value licensing opportunities across North
America, Asia, Europe and the Middle East.
In Japan, Chubu Electric and Chiyoda have now successfully completed their pre-feasibility study and the project has
advanced with the identification of a preferred site location, initial design and engineering activities, and satisfied themselves
the technology is cost-competitive and delivers favourable project economics..
Hazer continues to collaborate with Japanese trading house Mitsui on the commercialisation of Hazer graphite. Joint market
and application development efforts by Hazer and Mitsui have identified several high-potential applications and offtake
opportunities, reinforcing the competitive advantages of the Hazer process offering diversified product and revenue streams.
Hazer recently hosted a high-level Japanese delegation at the Company’s CDP in Perth including senior Members of the
National Diet of Japan, as well as representatives from the Australian Department of Foreign Affairs and Trade (“DFAT”), the
Australian Embassy in Tokyo, and Mitsui. The visit highlighted the potential for Hazer’s technology to support Japan’s
decarbonisation objectives by enabling locally produced clean hydrogen and graphite using existing energy infrastructure
while reducing exposure to sovereign supply chain risk.
In Canada, the FortisBC project continues to make steady progress and represents a significant step in scaling up our first-
of-a-kind technology. During the year, critical testing milestones were achieved, successfully validating the commercial design
of the reactor and process configuration. While site selection has taken longer than anticipated, it has progressed in parallel
with offtake discussions — which are inherently linked, as securing commercial commitments often requires site certainty, and
vice versa. A preferred site and host have now been identified, and commercial offtake discussions are underway. This project
remains a strategic priority for Hazer, and we are encouraged by both the strong technical validation and increasing
commercial interest – together forming a solid foundation for future expansion beyond the initial phase of the project.
Momentum In a Changing Market
A growing number of “green” hydrogen projects, using electrolyser technology and renewable energy are being delayed or
cancelled due to economic and technical challenges. As a result, there is increasing interest in the Hazer process as a scalable
clean hydrogen alternative – one that is available to decarbonise hard-to-abate industries today. We are well-positioned
relative to competing technologies, underpinned by strong technical development, robust R&D program, an alliance with KBR
and the demonstrated success at our flagship CDP.
Operationally, our team has delivered strong results, laying a solid foundation for our commercialisation strategy. During the
year, we continued to strengthen the team in areas that support the scale-up, marketing and licensing of our technology in
conjunction with KBR.
A Strengthening Financial Position
Financially, we have maintained our robust funding position through successful capital raising and continued support from
government and industry partners supporting the next phase of growth and innovation. These financial outcomes reflect our
commitment to building a resilient and scalable business model that supports long-term value creation for shareholders.
Hazer Group Limited
Chairman's Letter
For the year ended 30 June 2025
3
•
Capital Raise: In June Hazer completed share placement to institutional and professional investors raising gross
proceeds of $8.1 million. This includes $1.1 million from Board & Management that will be received subject to shareholder
approval at the Company’s AGM in the second quarter of financial year 2026, In July, we announced successful
completion of our Share Purchase Plan which raised an additional $2.6 million;
•
Grant Funding Success: In FY25 Hazer secured a $6.2 million Lower Carbon Grant from the Western Australia
Government. These non-dilutive funds provide for local innovation and projects which support decarbonisation. Hazer
also successfully completed Milestone 4 of the existing ARENA funding agreement: unlocking a further $500,000 in cash
during the financial year.
Looking Ahead
I would like to acknowledge the dedication of our Board, management team, and employees. Their expertise, resilience, and
shared commitment to our mission have been the cornerstone of our success. As we look ahead, we are excited by the
opportunities to commercialise and expand our technology’s impact and reach across global markets and contribute
meaningfully to a low-carbon future.
To our shareholders, thank you for your continued support and belief in our vision. Together, we are building a cleaner, more
sustainable world.
Yours faithfully
Mr Tim Goldsmith
Non-Executive Chairman
Hazer Group Limited
Managing Director's Report
For the year ended 30 June 2025
4
Financial year 2025 marked a pivotal phase for Hazer as we continued to de-risk our disruptive technology and confirm its
readiness for commercial deployment. Against a backdrop of growing demand for low-emissions hydrogen — and increasing
challenges facing electrolyser-based projects — Hazer made meaningful progress in offering a technically validated, scalable
alternative. Through rigorous testing, validation, and operational progress, we laid a strong foundation for scale-up and near-
term commercial licensing. At the same time, we built momentum across our commercial pipeline, advancing key partnerships
and projects that are positioning Hazer as the leading clean hydrogen and graphite technology provider. Our growing
international footprint of prospective customers and collaborators reflects that progress. Together, these achievements place
us in a strong position as we move into the next stage of our commercialisation strategy.
COMMERCIAL READINESS CONFIRMED
Following the successful completion of the Commercial Demonstration Plant (CDP) test program in November 2024 and its
continuous operation of over 1,250 hours in aggregate, confidence in the commercial readiness of Hazer Process technology
strengthened throughout the year. Detailed analysis, evaluation and modelling of the process performance data – including
temperature, flow, pressure and methane conversion – confirmed the techno-economic viability, scalability and
competitiveness of the Hazer Process.
These advantages are underpinned by Hazer’s key differentiators against other hydrogen production types, principally lower
energy intensity, the proven scalability of fluidised bed technology, high methane conversion, and our valuable and sought
after graphite co-product.
During the year, Hazer engaged LRQA, a globally recognized independent assurance provider, to conduct a comprehensive
assessment of the CDP's operational stability and process performance during a 2024 test program. The assessment included
a detailed review of operational data, on-site inspections, and analysis of production outputs. This work provided important
validation critical to the commercialisation of Hazer technology.
Key findings included:
•
Demonstrated high process stability and over 1250 hours of continuous operation in aggregate.
•
Verification of robust process control and monitoring systems, supporting reliable and safe operations.
During the test period, the Company also verified the following key observations:
•
Consistent methane conversion rates, meeting or exceeding design specifications at operating temperature and
pressure.
•
Hydrogen and graphite output consistently achieving the required purity and quality standards for commercial
applications.
•
Emissions and waste management processes confirmed as compliant with environmental regulations and Hazer's
low-carbon objectives.
Together these outcomes provide strong third-party validation of the Hazer Process and confirm its readiness for commercial-
scale deployment. In addition, the performance test data and subsequent technology modelling confirms the economic
robustness of Hazer’s technology driven by low energy intensities and graphite value upside.
COMMERCIAL PARTNERSHIPS AND OPPORTUNITIES
Hazer continues to advance discussions and engage with a range of potential customers and strategic partners, with a focus
on hard-to-abate sectors, particularly in Australia, North America and Asia. The existing pipeline of prospects comprises of
over 45 individual potential customers and partners.
Kellogg Brown & Root LLC (KBR) Alliance
As announced on 5 May 2025, Hazer entered into a binding Alliance Agreement (the “Alliance”) with KBR – a global leader in
technology and engineering solutions – to support the commercial deployment and licensing of Hazer’s proprietary methane
pyrolysis technology.
The Alliance positions Hazer’s technology as a “bolt-on” low-emissions alternative to emissions-intensive Steam Methane
Reforming (SMR) hydrogen, for both brownfield and greenfield ammonia and methanol markets. With KBR’s market leadership
in these segments, the partnership enables targeted entry into large-scale global markets where demand for cleaner hydrogen
solutions in accelerating.
Key highlights of the transaction:
Hazer Group Limited
Managing Director's Report
For the year ended 30 June 2025
5
•
6-year initial term, extendable subject to licensing performance metrics.
•
Develop design package for Hazer units over 50,000 tpa to meet growing demand for large scale facilities.
•
Alliance targets multiple licenses deals in the first 6 years – combination of KBR deal-flow and Hazer pipeline.
•
Joint global marketing and licensing of Hazer technology to existing and new customers.
•
KBR contributes $3mln to the alliance work program.
•
KBR is Hazer’s exclusive licensing partner for ammonia and methanol markets; collaboration in other markets and
industrial sectors (e.g. steelmaking, refining and petrochemicals).
•
Hazer is KBR’s exclusive methane pyrolysis technology provider – reinforcing the competitiveness of Hazer.
The strategic alliance significantly enhances Hazer’s access to the global ammonia and methanol markets, which are ripe for
disruption. It also provides a strong entry point into key geographical markets, particularly North America and the Middle East,
where KBR has an established and influential presence.
Canada FortisBC Client Project
Hazer continued to support FortisBC in advancing the Hazer hydrogen project in British Columbia, Canada. Our team attended
the pilot rig for testing, a major milestone for the government support from Clean BC. The rig was designed to mimic key
aspects of the Hazer process for producing hydrogen and graphite at commercial scale.
The performance test series culminated in a flawless continuous 4-day operation, confirming the processes stability under
extended operating conditions using commercial equipment. Testing also provided valuable insights into heat transfer
behaviour over a range of process operating conditions and identified opportunities for optimising both capex and process
performance. These findings will inform final engineering work ahead of a Final Investment Decision by FortisBC.
Chubu Electric and Chiyoda project
Hazer continues to support the planned Hazer production facility in Nagoya, Japan. The project is being developed in
collaboration with Chubu Electric Power Company Inc. (“Chubu Electric”), a major Japanese energy utility and Chiyoda
Corporation (“Chiyoda”), a global engineering company (refer announcement of 11 April 2023). The project will use Hazer’s
proprietary methane pyrolysis technology under a license agreement and is initially designed to produce 2,500 tonnes per
annum of clean hydrogen and high-quality graphite. By leveraging Chubu Electric’s existing LNG infrastructure in the Nagoya
region, the project is expected to benefit from lower development cost and rapid deployment.
The facility is designed as a scalable platform, with potential to expand in response to growing regional demand for clean
hydrogen and graphite. Following Chubu Electric and Chiyoda’s successful completion of their project pre-feasibility study,
they have identified a preferred site. Chubu Electric has also commenced engagement with potential graphite offtakers in the
Nagoya region. Several priority customers have been identified with product testing and commercial discussions underway.
In parallel, the project partners are actively pursuing funding options, including potential co-investment and grant opportunities
under Japanese government initiatives aimed at supporting industrial decarbonisation.
Particulate Solids Research Inc (PSRI) Collaboration
Hazer’s collaboration with PSRI, a leading consortium in fluidisation technology, provides access to world class expertise to
support commercial scale-up. Building on the success of 2024 CDP test campaign, the initial work program is focused on
large scale cold flow testing to deepen understanding of Hazer Graphite fluidisation behaviour, validate reactor modelling
approach, optimise process design and de-risk scale up. Results from these tests will be integrated into the process design
package which will be marketed and licensed in conjunction with KBR. PSRI’s proven approach to scaling fluid solids
technologies aligns with Hazer’s strategy and allows for low-cost, high impact activities that accelerate commercial deployment
while managing technical risk.
EnergyPathways Memorandum of Understanding (MOU)
Hazer signed a non-binding MOU with UK based EnergyPathways (EPP) to assess the development of a Hazer licensed
hydrogen production facility (refer announcement 15 July 2025).
Under the MOU, Hazer and EPP will work towards a binding agreement to undertake concept engineering studies for a
proposed Hazer facility with an indicative hydrogen production capacity of 20,000 tonne per annum. The facility will be
integrated into EPP’s Marram Energy Storage Hub (“MESH”) project in the Northwest of England using feedstock from MESH
to produce, store and distribute hydrogen, ammonia and graphite.
Hazer Group Limited
Managing Director's Report
For the year ended 30 June 2025
6
The UK Government has recognised methane pyrolysis as a viable clean-energy pathway, supporting its potential to
decarbonise of hard-to-abate sectors and the reduce scope-3 emissions. EPP is actively engaging with government and key
stakeholders as its advances its strategic MESH project – a flagship energy hub initiative that aligns with the UK’s broader
net-zero ambition to reduce industrial emissions.
GRAPHITE APPLICATION AND MARKET DEVELOPMENT
As announced on 19 May 2025, Hazer progressed its graphite valorisation program, with a focus on characterising and
developing high-value applications for its unique graphite co-product. This work being advanced through an extended
collaboration with The University of Sydney via the Australian Research Council Industry Fellowship scheme. The partnership
will continue to support Hazer’s commercialisation strategy by further evaluating the performance of Hazer graphite across
multiple end-use markets.
Strong Market Dynamics for Graphite
The global graphite market is experiencing strong structural growth underpinned by increasing demand from energy transition
sectors such as electric vehicles, energy storage, battery anode production and a broad range of industrial applications.
Recognised as a critical mineral by the United States, Australia and many other major economies graphite plays an essential
role in the production of lithium-ion batteries and other clean energy technologies.
Beyond the current markets, demand is growing across sectors where low emissions graphite can replace traditional
emissions intensive materials. These market dynamics are expected to favour an attractive long-term pricing outlook. Despite
graphite’s strategic importance, domestic production capacity in many key regions remains limited, leading to heavy reliance
on imports primarily from China which controls over 80% of global graphite. Recent export restrictions from China and
anticipated US tariffs, have intensified global concerns around supply chain security. In response, governments are
accelerating efforts to diversify supply and invest in local graphite production to mitigate geopolitical risk.
Hazer’s Graphite Marketing Strategy
Hazer is uniquely placed to address these current market challenges. Its innovative technology enables the localised
production of low emissions graphite and effectively a de-coupling from existing international supply chains. The results is a
high quality, low-emissions graphite product with differentiated properties and broad commercial potential across multiple
sectors.
Potential applications for Hazer graphite include:
•
Iron and steel manufacturing: – suitable for both traditional blast furnace and green-steel manufacturing processes
due to its unique structured composition and iron inclusion.
•
Thermal energy storage: – Excellent thermal conductivity and stability make Hazer graphite an efficient medium for
heat transfer and thermal storage.
•
Water purification and PFAS2 removal: – unique properties of Hazer graphite provide enhanced PFAS removal
potential.
•
Infrastructure and construction: – applications including asphalt, bitumen and concrete.
•
Rubber manufacturing: – used in car tyres and a range of industrial manufacturing applications.
•
Defence: – several governments are exploring graphite’s strategic role in next-gen defence applications.
Our continued collaboration with Mitsui on the commercialisation of Hazer graphite (refer announcement 16 November 2022
and subsequent updates) provides a clear route to market for Hazer’s graphite product and supports broader
commercialisation. In parallel, Hazer is engaging directly with potential offtakers across multiple industries to build a flexible
marketing strategy with long-term value potential.
Successful Capital Raise
As of 30 June 2025, Hazer held a strengthened funding position at over $16 million – comprising cash and cash equivalents
of $12.5 million bolstered by proceeds from the first tranche of a share placement that was successfully completed during the
year. An additional $1.1 million from the second tranche will be received subject to shareholder approval at the Company’s
AGM in the second quarter of financial year 2026.
Subsequent to year end, the Company’s Share Purchase Plan (“SPP”) closed, successfully raising an additional $2.6 million
(refer to announcement of 16 July 2025).
Hazer Group Limited
Managing Director's Report
For the year ended 30 June 2025
7
I would like to thank all of the staff, shareholders and other stakeholders for your support during the year.
Mr Glenn Corrie
Managing Director and Chief Executive Officer
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
8
The directors present their report, together with the financial statements, on the Group (referred to hereafter as 'the Group') consisting of
Hazer Group Limited (referred to hereafter as the 'Company' or 'parent entity') and the entity it controlled at the end of, or during, the year
ended 30 June 2025.
Directors
The following persons were Directors of Hazer Group Limited during the whole of the financial year and up to the date of this report, unless
otherwise stated:
●
Tim Goldsmith
●
Danielle Lee
●
Andrew Hinkley
●
Jack Hamilton
●
Glenn Corrie
Principal activities
During the financial year, the principal continuing activities of the Group consisted of research and development of novel graphite-and-
hydrogen-production technology, and business development activities to commercialise.
The Group has intellectual property rights to a technology (the ‘Hazer Process’), which enables the production of hydrogen gas from the
thermo-catalytic decomposition of methane (natural gas) with negligible carbon dioxide emissions and the coproduction of a high-purity
graphite product.
Dividends
There were no dividends paid during the year.
Review of operations
The loss for the Group after providing for income tax amounted to $7,619,639 (30 June 2024: $19,067,366).
Revenues from ordinary activities increased by 124% to $8,512,485 primarily due to receipt of $4.3 million of Grant Income. The Grant
Income is made up $3.8 million being first milestone payments of the Lower Carbon Grant - Gorgon Fund grant from the Department of
Jobs, Tourism, Science and Innovation (JTSI) in recognition of the emissions reducing focus of our capital programme; along with $500,000
from ARENA milestone 4.
Loss from ordinary activities after tax decreased to $7,619,639 in 2025 (2024: $19,067,366): primarily due to receipt of Grant Income;
significantly decreased spending on the CDP construction resulting in no impairment for the year ended 30 June 2025, compared to the
prior year's impairment of $3,570,610. Along with lower than prior year spending on consulting and research expenses which were also
lower in line with the reduced programme at the CDP.
Material Risks
As a pre-revenue company, Hazer relies on securing funding to support operations until client projects’ revenues are secured, comprised
of engineering support during construction, followed by licence fees and production royalties when projects become operational. The
company has a strong history of successful equity raising, including a notable capital raise in June 2025. Hazer also benefits from
government grant funding, which this financial year including a $500,000 milestone payment from ARENA and first payments of $3,833,305,
as part of a $6.2 million grant awarded under the JTSI Lower Carbon Grant – Gorgon Fund. Additionally, Hazer receives annual R&D tax
refunds and has recognised a receivable of $4,526,189 for this financial year.
Risk associated with the company’s ability to scale up the Hazer process and advance Technology Readiness Level (TRL) has been
mitigated by the successful CDP test program through 2024 and execution of an Alliance Agreement with Kellogg Brown and Root LLC
(KBR) a global leader in technology and engineering solutions. This allows Hazer to maintain its competitive position against other methane
pyrolysis or similar technologies.
Finally, a key risk for Hazer is Intellectual Property. Hazer has a robust active IP protection strategy in place with key patents secured in
multiple jurisdictions, with 70+ patents awarded / pending in over 30 countries / jurisdictions. During this financial year, the World Intellectual
Property Organisation (WIPO) has confirmed that all the claims from Hazer’s latest international patent application satisfy WIPO’s
requirement for patentability. WIPO is the specialist body of the United Nations administers global intellectual property protection right
regimes, including patents via the Patent Cooperation Treaty. This treaty covers over 150 countries, including all key markets in which hazer
has commercial interests.
Significant changes in the state of affairs
There were no significant changes in the state of affairs of the Group during the financial year.
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
9
Matters subsequent to the end of the financial year
On 15th July 2025, Hazer signed a non-binding MOU with UK based EnergyPathways (EPP) to assess the development of a Hazer licensed
hydrogen production facility. Under the MOU, Hazer and EPP will work towards a binding agreement to undertake concept engineering
studies for a proposed Hazer facility with an indicative hydrogen production capacity of 20,000 tonne per annum.
On 16th July 2025, the Company announced completion of its Share Purchase Plan (SPP). The SPP, targeting $2.0 million, closed on 9
July 2025 with strong demand resulting in valid applications for 8,438,231 New Shares raising $2,615,900 (before costs).
No other matter or circumstance has arisen since 30 June 2025 that has significantly affected, or may significantly affect the Group's
operations, the results of those operations, or the Group's state of affairs in future financial years.
Likely developments and expected results of operations
Information on likely developments in the operations of the Group and the expected results of operations have not been included in this
report because the Directors believe it would be likely to result in unreasonable prejudice to the Group.
Environmental regulation
Hazer manages environmental and social risk assessment on its Corporate Risk Register which is periodically reviewed by the Board and
Audit & Risk Committee. The Company has assessed and is complying with all applicable regulations and approvals. This includes
operational reporting, regulatory reporting, financial reporting, maintenance of and adherence to the Company’s ESG-relevant policies.
Further Hazer is out of scope for climate-related reporting as it does not meet any of the reporting thresholds under the Climate Change Act
2008 s292A, specifically:
●
Corporate size thresholds, either number of employees or gross assets test.
●
Emissions threshold. No reporting under the National Greenhouse and Energy Reporting Act 2007.
●
Value of assets threshold due to primarily having cash and cash equivalents assets only.
Information on Directors
Name:
Tim Goldsmith
Title:
Non-Executive Chairman (Independent Director)
Length of service:
Director since 24 July 2017
Qualifications:
Bachelor of Commerce from the Polytechnic of North London (now North London University).
Member of the Institute of Chartered Accountants Australia and New Zealand.
Experience and expertise:
Tim was CEO of Rincon Ltd from November 2017, assisting with addressing corporate issues
and maintaining solvency. After that was taken over in 2020, Tim ceased that role and became
CEO of its subsidiary Rincon Mining Pty Ltd which evaluated and readied for development the
strategically important Rincon lithium project in Salta Province in Argentina. In March 2022 this
asset was sold to Rio Tinto and Tim completed his role. He was also Executive Chairman for
another subsidiary, Natural Soda, an operating bicarbonate of soda mine in Colorado, US. This
asset was sold in December 2021.
Prior
to
that
time,
Tim
was
a
partner
at
global
professional
services
firm
PricewaterhouseCoopers (PwC) for over 20 years. Tim was PwC’s Global Mining Leader. Tim
was also an early participator in the China growth story and initiated a China focus in 2002 and
worked with many Chinese companies over the following 15 years as they looked to invest
offshore.
Other current directorships:
Non-Executive Director of Pantera Resources Ltd (ASX: PFE)
Former directorships (last 3 years):
Non-Executive Director of Costa Group Holdings Ltd (ASX: CGC)
Special responsibilities:
Member of the Audit and Risk Committee and Member of Remuneration and Nomination
Committee
Interests in shares:
2,549,071
Interests in options:
525,000
Contractual rights to shares:
None
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
10
Name:
Danielle Lee
Title:
Non-Executive Director (Independent Director)
Length of service:
Director since 16 September 2015
Qualifications:
Bachelor of Economics from the University of Western Australia, Bachelor of Laws from the
University of Western Australia (first class honours), Graduate Diploma in Applied Finance and
Investment from the Securities Institute of Australia
Experience and expertise:
Danielle is an experienced company director and qualified lawyer with over 25 years’ experience
providing corporate advisory and governance services to ASX listed and other companies across
broad range of industries. Danielle brings skills and insights in corporate governance, legal risk
management and capital markets.
Other current directorships:
None
Former directorships (last 3 years):
Non-Executive Director of Openn Negotiation Ltd (ASX: OPN)
Non-Executive Director of Rare Foods Australia Ltd (ASX: RFA)
Special responsibilities:
Chair of Audit and Risk Committee and Member of Remuneration and Nomination Committee
Interests in shares:
1,007,371
Interests in options:
345,000
Contractual rights to shares:
None
Name:
Andrew Hinkly
Title:
Non-Executive Director (Non-Independent Director)
Length of service:
Director since 21 April 2021
Qualifications:
Master of Business Administration from the University of Manchester and Bachelor of Science in
Civil Engineering from the University of Loughborough.
Experience and expertise:
Andrew is the Founding Managing Partner of AP Ventures. As Managing Partner at AP Ventures,
Andrew has been involved in numerous investments in the hydrogen sector across all aspects of
the hydrogen value chain.
Prior to AP Ventures, Andrew has enjoyed a high profile career spanning more than 25 years
working in commercial roles across the automotive and mining industries, including senior
leadership positions at Anglo American, where he worked for a decade and was a member of
Anglo American Platinum Executive Committee, and the Ford Motor Company where he was a
member of the North American Executive Committee. At Ford, he led the Production Procurement
operations of Ford Americas and was responsible for $45 billion of annual purchases from over
40,000 suppliers.
Other current directorships:
None
Former directorships (last 3 years):
None
Special responsibilities:
None
Interests in shares:
Indirect interest, as Managing Partner of AP Ventures, 10,445,901 shares
Interests in options:
None
Contractual rights to shares:
None
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
11
Name:
Jack Hamilton
Title:
Non-Executive Director (Independent Director)
Length of service:
Director since 1 November 2021
Qualifications:
Bachelor of Engineering (Chemical) and Doctorate of Philosophy (Engineering) from the
University of Melbourne. A Fellow of the Australian Institute of Energy (FAIE) and a Fellow of the
Australian Institute of Company Directors (FAICD).
Experience and expertise:
Jack Hamilton is a highly experienced senior executive and board director with extensive expertise
across technology, operations and manufacturing, project management, business development
and commercial ventures.
Dr Hamilton has held senior positions locally and internationally across the energy sector,
including heading up Australia's largest resource project as Director of North West Shelf Ventures
for Woodside Energy Ltd.
Other current directorships:
Non-Executive Director of Iondrive Ltd (ASX: ION)
Former directorships (last 3 years):
Non-Executive Director with Calix Ltd (ASX CXL)
Special responsibilities:
Chair of Remuneration and Nomination Committee and member of the Audit and Risk Committee
Interests in shares:
663,265
Interests in options:
345,000
Contractual rights to shares:
None
Name:
Glenn Corrie
Title:
Managing Director and Chief Executive Officer
Length of service:
Chief Executive Officer since 10 October 2022 and Managing Director since 3 April 2023
Qualifications:
MBA from the University of Chicago-Booth School of Business and an honours degree in
geophysics from Adelaide University. Undergraduate degree in geophysics from Queensland
University of Technology.
Experience and expertise:
Glenn is a proven business leader and senior executive with over 30 years of international energy
industry, private equity and investment experience, and a track record of successfully leading
large listed and private equity backed companies. Glenn has substantial capital markets
experience as well as extensive global M&A experience.
Glenn was previously an executive board member of Suriname's State Oil company, Staatsolie,
responsible for the offshore directorate and advising on strategic financing projects. He was the
founding CEO of NEO Energy in the UK, a private equity funded full-lifecycle oil and gas start-up,
and prior to that, the CEO and Managing Director of ASX listed Sino Gas and Energy, a leading
China focused natural gas production and development firm. During his career, he has also held
senior positions with Ophir Energy PLC and Temasek Holdings Ltd, Singapore's state-owned
investment company responsible for global energy investments, including renewables. From
1998-2010 he held a variety of senior positions with Shell International.
Other current directorships:
Non-Executive Director of TMK Energy Limited (ASX: TMK)
Former directorships (last 3 years):
Nil
Special responsibilities:
Managing Director
Interests in shares:
775,278
Interests in options:
4,100,000
Contractual rights to shares:
None
'Other current directorships' quoted above are current directorships for listed entities only and excludes directorships of all other types of
entities, unless otherwise stated.
'Former directorships (last 3 years)' quoted above are directorships held in the last 3 years for listed entities only and excludes directorships
of all other types of entities, unless otherwise stated.
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
12
Company Secretary
Joan Dabon - appointed 1 December 2023
Joan is a Chartered Secretary with Source Governance and has over 8 years’ experience in providing company secretarial and corporate
advisory services to ASX and NSX listed companies across a variety of sectors including mining, property development, logistics and
distribution, consumer services, manufacturing, and agriculture.
She has also acted as company secretary for public unlisted and proprietary companies, monitoring and managing their corporate
governance and compliance frameworks. Joan has Juris Doctor degree and is an associate member of the Governance Institute of Australia.
Meetings of Directors
The number of meetings of the Company's Board of Directors ('the Board') and of each Board committee held during the year ended 30
June 2025, and the number of meetings attended by each Director were:
Full Board
Audit and Risk Committee
Remuneration
and Nomination
Committee2
Remuneration
and Nomination
Committee
Attended
Held1
Attended
Held1
Attended
Held1
Tim Goldsmith
9
9
5
5
3
3
Danielle Lee
9
9
5
5
3
3
Andrew Hinkley
6
9
-
-
-
-
Jack Hamilton
9
9
5
5
3
3
Glenn Corrie
9
9
5
5
2
3
1 Held: represents the number of meetings held during the time the Director held office.
2 Both Audit and Risk Committee and Remuneration and Nomination Committee members are Tim Goldsmith, Danielle Lee and Jack
Hamilton. Glenn Corrie attends meetings by invitation.
Remuneration report (audited)
The remuneration report details the key management personnel remuneration arrangements for the Group, in accordance with the
requirements of the Corporations Act 2001 and its Regulations.
Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the
entity, directly or indirectly, including all Directors.
The remuneration report is set out under the following main headings:
●
Principles used to determine the nature and amount of remuneration
●
Details of remuneration
●
Service agreements
●
Share-based compensation
●
Additional information
●
Additional disclosures relating to key management personnel
Principles used to determine the nature and amount of remuneration
The objective of the Group's executive reward framework is to ensure reward for performance is competitive and appropriate for the results
delivered. The framework aligns executive reward with the achievement of strategic objectives and the creation of value for shareholders
and is considered to conform to the market best practice for the delivery of reward. The Board of Directors ('the Board') ensures that
executive reward satisfies the following key criteria for good reward governance practices:
●
competitiveness and reasonableness
●
acceptability to shareholders
●
performance linkage/alignment of executive compensation
●
transparency
●
capital management
The Remuneration and Nomination Committee is responsible for determining and reviewing remuneration arrangements for its directors
and executives. The performance of the Group depends on the quality of its directors and executives. The remuneration philosophy is to
attract, motivate and retain high performance and high-quality personnel, and it is based on the following factors:
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
13
Alignment to shareholders' interests:
●
focuses on sustained growth in shareholder wealth, consisting of dividends and growth in share price, as well as focusing the executive
on key non-financial drivers of value
●
attracts and retains high calibre executives
Alignment to program participants' interests:
●
rewards capability and experience
●
reflects competitive reward for contribution to growth in shareholder wealth
●
provides a clear structure for earning rewards
In accordance with best practice corporate governance, the remuneration structure of non-executive directors and executive directors is
separate.
Non-executive directors’ remuneration
Fees and payments to Non-Executive Directors reflect the demands and responsibilities of their role. Non-Executive Directors' fees and
payments are reviewed annually by the Remuneration and Nomination Committee. The Remuneration and Nomination Committee may,
from time to time, receive advice from independent remuneration consultants to ensure Non-Executive Directors' fees and payments are
appropriate and in line with the market. The Chairman's fees are determined independently to the fees of other Non-Executive Directors
based on comparative roles in the external market. The Chairman is not present at any discussions relating to the determination of his own
remuneration.
Non-Executive Directors do not receive any retirement benefits, other than statutory superannuation.
ASX listing rules require the aggregate Non-Executive Director’s remuneration be determined periodically by a general meeting. Aggregate
fixed remuneration for all Non-Executive Directors as determined by the Board is not to exceed $300,000 per annum. Directors’ fees cover
all main board and committee activities.
The level of Non-Executive Director fixed fees as at the reporting date are as follows:
Tim Goldsmith
$ 75,000 plus statutory superannuation per annum
Danielle Lee
$ 50,000 plus statutory superannuation per annum
Andrew Hinkley
Reimbursement of reasonable fees and expenses in attending one annual face-to-face meeting
of the Board in Australia.
Jack Hamilton
$ 55,750 per annum
Non-Executive Directors may also receive performance-related compensation via options following receipt of shareholder approval. The
issue of share-based payments as part of Non-Executive Director remuneration ensures that Director remuneration is competitive with
market standards and provides an incentive to pursue longer-term success for the Company. It also reduces the demand on the cash
resources of the Company and assists in ensuring the continuity of service of Directors who have extensive knowledge of the Company, its
business activities and assets and the industry in which it operates. Details of share-based compensation is contained in this report.
Executive remuneration
The Group aims to reward executives based on their position and responsibility, with a level and mix of remuneration which has both fixed
and variable components.
The executive remuneration and reward framework has four components:
●
base pay and non-monetary benefits
●
short-term performance incentives
●
share-based payments
●
other remuneration such as superannuation and long service leave
The combination of these comprises the executive's total remuneration.
Fixed remuneration, consisting of base salary, superannuation, and non-monetary benefits, is reviewed annually by the Nomination and
Remuneration Committee based on individual and business unit performance, the overall performance of the Group and comparable market
remunerations.
Executives may receive their fixed remuneration in the form of cash or other fringe benefits (for example, motor vehicle benefits) where it
does not create additional costs to the Group and provides additional value to the executive.
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
14
Performance-based short-term incentives ('STI') may be provided to executives to align the business targets with those executives
responsible for meeting those targets.
The long-term incentives ('LTI') include long service leave and share-based payments. Shares and options may be awarded to executives
based on long-term incentive measures, including increasing shareholder value. Share-based LTIs issued to the Managing Director are
subject to shareholder approval.
Use of remuneration consultants
During the financial year ended 30 June 2025, the Group requested benchmarking data, to measure remuneration for Directors and all
personnel, from our independent Human Resources consultants Source HR. This work was performed as part of a monthly retainer
agreement.
Voting and comments made at the company's Annual General Meeting ('AGM')
The Company received 90.38% “for” votes on its Remuneration Report for the year ended 30 June 2024.
Details of remuneration
Amounts of remuneration
Details of the remuneration of key management personnel of the Group are set out in the following tables.
The key management personnel of the Group consisted of the following Directors of the Company:
●
Tim Goldsmith – Non-Executive Chairman
●
Danielle Lee - Non-Executive Director
●
Andrew Hinkly – Non-Executive Director
●
Jack Hamilton – Non-Executive Director
●
Glenn Corrie – Executive Director
Executive Management are not considered to be Key Management Personnel.
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-based
payments 1
Cash salary
Cash
Non-
Super-
Long service
Equity-
and fees
bonus
monetary
annuation
leave
settled
Total
2025
$
$
$
$
$
$
$
Non-Executive
Directors:
Tim Goldsmith
75,000
-
-
8,625
-
98,777
182,402
Danielle Lee
50,000
-
-
5,750
-
64,911
120,661
Andrew Hinkly
-
-
-
-
-
-
-
Jack Hamilton
55,750
-
-
-
-
64,911
120,661
Executive Directors:
Glenn Corrie
510,000
79,050
-
29,912
-
560,076
1,179,038
690,750
79,050
-
44,287
-
788,675
1,602,762
1 Share-based payments relate to options issued in prior periods vesting over multiple periods and shares issued in the current year.
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
15
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-based
payments 1
Cash salary
Cash
Non-
Super-
Long service
Equity-
and fees
bonus
monetary
annuation
leave
settled
Total
2024
$
$
$
$
$
$
$
Non-Executive
Directors:
Tim Goldsmith
75,000
-
-
8,250
-
91,916
175,166
Danielle Lee
50,000
-
-
5,500
-
60,402
115,902
Andrew Hinkly
-
-
-
-
-
-
-
Jack Hamilton
55,500
-
-
-
-
60,402
115,902
Executive Directors:
Glenn Corrie
480,000
93,046
-
27,396
-
1,068,477
1,668,919
660,500
93,046
-
41,146
-
1,281,197
2,075,889
1 Share-based payments relate to options issued in a current period vesting over multiple periods.
The proportion of remuneration linked to performance and the fixed proportion are as follows:
Fixed remuneration
At risk - STI
At risk - LTI
Name
2025
2024
2025
2024
2025
2024
Non-Executive Directors:
Tim Goldsmith
46%
48%
-
-
54%
52%
Danielle Lee
46%
48%
-
-
54%
52%
Andrew Hinkly
-
-
-
-
-
-
Jack Hamilton
46%
48%
-
-
54%
52%
Executive Directors:
Glenn Corrie
46%
30%
11%
6%
43%
64%
Service agreements
Remuneration and other terms of employment for key management personnel are formalised in service agreements. Details of these
agreements are as follows:
Name:
Glenn Corrie
Title:
Executive Director and Chief Executive Officer
Agreement commenced:
10 October 2022
Term of agreement:
Open
Details:
Base salary for the year ending 30 June 2025 of $510,000 plus superannuation. In addition to
the Base Salary, a bonus of up to 50% if KPIs set by the Board are met. Achievement of set KPIs
is at the discretion of the Nomination and Remuneration Committee. Further the Executive will
be entitled to the Initial Long-Term Incentive of 4.1million performance Based Options to acquire
fully paid ordinary shares in the Company. Three-month termination notice by either party. Twelve
months non solicitation clause after termination.
Share-based compensation
Options
No options over ordinary shares granted, vested, exercised or lapsed by Directors and other key management personnel as part of
compensation during the year ended 30 June 2025 (2024: nil).
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
16
Additional information
The earnings of the Group for the five years to 30 June 2025 are summarised below:
2025
2024
2023
2022
2021
$
$
$
$
$
Revenues
614,239
-
-
-
-
Other income
7,898,246
3,794,229
2,705,670
1,297,805
2,664,459
(Loss) after income tax
(7,619,639)
(19,067,366)
(12,205,599)
(16,414,826)
(11,656,094)
Net assets
13,711,232
13,570,549
3,939,477
12,451,967
13,316,270
The factors that are considered to affect total shareholders return ('TSR') are summarised below:
2025
2024
2023
2022
2021
Share price at financial year end ($)
0.30
0.37
0.63
0.76
0.86
Total dividends declared (cents per share)
-
-
-
-
-
Basic earnings per share (cents per share)
(3.30)
(9.28)
(7.19)
(10.38)
(8.22)
Additional disclosures relating to key management personnel
Shareholding
The number of shares in the Company held during the financial year by each Director and other members of key management personnel of
the Group, including their personally related parties, is set out below:
Balance at the
start of the
year
Received as
part of
remuneration
Additions
Disposals/
Other
Balance at the
end of the year
Ordinary Shares
Tim Goldsmith
2,549,071
-
-
-
2,549,071
Danielle Lee 2
910,597
-
-
-
910,597
Andrew Hinkly 1
10,445,901
-
-
-
10,445,901
Jack Hamilton
663,265
-
-
-
663,265
Glenn Corrie
628,660
-
146,618
-
775,278
15,197,494
-
146,618
-
15,344,112
1 Indirect interest as the Managing Partner of AP Ventures.
2 Participated in the Share Purchase Plan (SPP) that completed on 16 July 2025 and was allotted 96,774 shares under the SPP. Refer to
Appendix 3Y lodged on that date. Adjusted balance held would be 1,007,371 shares.
Options
The terms and conditions of each grant of options over ordinary shares affecting remuneration of directors and other key management
personnel in this financial year or future reporting years are as follows:
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
17
Name
Number of
options
granted
Grant date
Vesting date and
exercisable date
Expiry date
Exercise price
$
Fair value per
options at
grant date
$
Tim Goldsmith
175,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.636
Tim Goldsmith
175,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.565
Tim Goldsmith
175,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.504
Danielle Lee
115,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.636
Danielle Lee
115,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.565
Danielle Lee
115,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.504
Jack Hamilton
115,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.636
Jack Hamilton
115,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.565
Jack Hamilton
115,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.504
Glenn Corrie
800,000 24/11/2022
24/11/2024
22/12/2027
0.001
0.630
Glenn Corrie
1,000,000 24/11/2022
24/05/2025
22/12/2027
0.001
0.562
Glenn Corrie
1,200,000 24/11/2022
24/11/2025
22/12/2027
0.001
0.505
Options granted carry no dividend or voting rights.
Options vest based on the provision of service and performance of the share price over the vesting period whereby the executive becomes
beneficially entitled to the option on vesting date. Options are exercisable by the holder as from the vesting date. There has not been any
alteration to the terms or conditions of the grant since the grant date. There are no amounts paid or payable by the recipient in relation to
the granting of such options other than on their potential exercise.
Option holding
The number of options over ordinary shares in the Company held during the financial year by each Director and other members of key
management personnel of the Group, including their personally related parties, is set out below:
Balance at the
start of the
year
Granted
Additions
Expired
Forfeited/
exercised
Balance at the
end of the year
Options over ordinary shares
Tim Goldsmith
910,418
-
-
(385,418)
525,000
Danielle Lee
433,996
-
-
(88,996)
345,000
Andrew Hinkly
824,676
-
-
(824,676)
-
Jack Hamilton
586,794
-
-
(241,794)
345,000
Glenn Corrie
4,327,395
-
-
(227,395)
4,100,000
7,083,279
-
-
(1,768,279)
5,315,000
Expired options were the HZRO listed options with an exercise price of 75c which expired on 28th February 2025. These options were
attached to shares purchased by directors, as approved by shareholders, in the prior year.
Other transactions with key management personnel and their related parties
There are no other transactions with key management personnel and their related parties.
This concludes the remuneration report, which has been audited.
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
18
Shares under option
Unissued ordinary shares of Hazer Group Limited under option at the date of this report are as follows:
Options series
Grant date
Expiry date
Exercise price
Number under
option
Unquoted Options
24/11/2022
22/12/2027
$0.001
4,100,000
Unquoted Options
24/11/2022
22/12/2027
$0.001
1,215,000
Unquoted Options
10/05/2023
01/01/2028
$0.001
1,604,755
Unquoted Options
09/08/2024
01/07/2028
$0.001
3,708,378
Unquoted Options
09/08/2024
01/01/2028
$0.001
259,345
10,887,478
No person entitled to exercise the options had or has any right by virtue of the option to participate in any share issue of the Company or of
any other body corporate.
Shares issued on the exercise of options
The following ordinary shares of Hazer Group Limited were issued during the year ended 30 June 2025 and up to the date of this report on
the exercise of options granted:
Options series
Grant date
Expiry date
Exercise price
Number of
shares issued
Quoted Options
22/08/2023
28/02/2025
$0.75
7,941
Indemnity and insurance of officers
The Company has indemnified the Directors and executives of the Company for costs incurred, in their capacity as a Director or executive,
for which they may be held personally liable, except where there is a lack of good faith.
During the financial year, the Group paid a premium in respect of a contract to insure the Directors and executives of the Group against
liability to the extent permitted by the Corporations Act 2001. The contract of insurance prohibits disclosure of the nature of the liability and
the amount of the premium.
Indemnity and insurance of auditor
The Company has not, during or since the end of the financial year, indemnified or agreed to indemnify the auditor of the Company or any
related entity against a liability incurred by the auditor.
During the financial year, the Company has not paid a premium in respect of a contract to insure the auditor of the Company or any related
entity.
Proceedings on behalf of the Company
No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the Company,
or to intervene in any proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all
or part of those proceedings.
Non-audit services
There were no amounts paid or payable to the auditor for non-audit services provided during the financial year by the auditor.
Auditor's independence declaration
A copy of the auditor's independence declaration, as required under section 307C of the Corporations Act 2001, is set out on the following
page.
Auditor
RSM Australia Partners continues in office in accordance with section 327 of the Corporations Act 2001.
Hazer Group Limited
Directors' report
For the year ended 30 June 2025
19
This report is made in accordance with a resolution of Directors, pursuant to section 298(2)(a) of the Corporations Act 2001.
On behalf of the Directors
___________________________
Tim Goldsmith
Chairman
26 August 2025
RSM Australia Partners is a member of the RSM network and trades as RSM. RSM is the trading name used by the
members of the RSM network. Each member of the RSM network is an independent accounting and consulting firm
which practices in its own right. The RSM network is not itself a separate legal entity in any jurisdiction.
RSM Australia Partners ABN 36 965 185 036
Liability limited by a scheme approved under Professional Standards Legislation
RSM Australia Partners
Level 32 Exchange Tower, 2 The Esplanade Perth WA 6000
GPO Box R1253 Perth WA 6844
T +61 (0) 8 9261 9100
www.rsm.com.au
AUDITOR’S INDEPENDENCE DECLARATION
As lead auditor for the audit of the financial report of Hazer Group Limited for the year ended 30 June 2025, I
declare that, to the best of my knowledge and belief, there have been no contraventions of:
(i)
the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
(ii)
any applicable code of professional conduct in relation to the audit.
RSM AUSTRALIA
Perth, WA
ALASDAIR WHYTE
Dated: 26 August 2025
Partner
Hazer Group Limited
Contents
For the year ended 30 June 2025
21
Statement of profit or loss and other comprehensive income
22
Statement of financial position
23
Statement of changes in equity
24
Statement of cash flows
25
Notes to the financial statements
26
Consolidated entity disclosure statement
51
Directors' declaration
52
Independent auditor's report to the members of Hazer Group Limited
53
Shareholder information
57
Contents
General information
The financial statements cover Hazer Group Limited as a Group consisting of Hazer Group Limited and the entities it controlled at the end
of, or during, the year. The financial statements are presented in Australian dollars, which is Hazer Group Limited's functional and
presentation currency.
Hazer Group Limited is a listed public company limited by shares, incorporated and domiciled in Australia. Its registered office and principal
place of business are:
Registered office
Principal place of business
Level 9, 99 St Georges Terrace
Level 9, 99 St Georges Terrace
Perth WA 6000
Perth WA 6000
The Directors' report includes a description of the nature of the Group's operations and its principal activities, which is not part of the financial
statements.
The financial statements were authorised for issue, in accordance with a resolution of Directors, on 27 August 2025.
The Directors have the power to amend and reissue the financial statements.
Hazer Group Limited
Statement of profit or loss and other comprehensive income
For the year ended 30 June 2025
Consolidated
Note
2025
2024
$
$
The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes
22
Revenue
Revenue
4
614,239
-
Other Income
6
7,898,246
3,794,229
8,512,485
3,794,229
Expenses
Finance costs
20
(69,219)
(171,418)
Administration
(2,279,880)
(2,394,472)
Consulting and research expenses
(4,388,758)
(6,838,097)
Employee benefits expenses
(7,886,673)
(8,144,699)
Share based payments
27
(1,404,946)
(1,626,869)
Depreciation and amortisation expense
(102,648)
(115,430)
Impairment expense on commercial demonstration plant
10
-
(3,570,610)
Loss before income tax expense
(7,619,639)
(19,067,366)
Income tax expense
19
-
-
Loss after income tax expense for the year
18
(7,619,639)
(19,067,366)
Other comprehensive income for the year, net of tax
-
-
Total comprehensive loss for the year
(7,619,639)
(19,067,366)
Cents
Cents
Basic earnings per share
29
(3.30)
(9.28)
Diluted earnings per share
29
(3.30)
(9.28)
Hazer Group Limited
Statement of financial position
As at 30 June 2025
Consolidated
Note
2025
2024
$
$
The above statement of financial position should be read in conjunction with the accompanying notes
23
Assets
Current assets
Cash and cash equivalents
7
12,534,265
12,821,547
Trade and other receivables
8
4,585,248
5,228,097
Other current assets
9
457,724
321,695
Total current assets
17,577,237
18,371,339
Non-current assets
Commercial Demonstration Plant
10
-
-
Plant and equipment
11
3,548
10,462
Right-of-use assets
12
169,003
199,758
Total non-current assets
172,551
210,220
Total assets
17,749,788
18,581,559
Liabilities
Current liabilities
Trade and other payables
13
1,195,891
2,249,472
Provisions
14
490,193
348,218
Lease liabilities
12
117,508
102,926
Contract liabilities
15
500,000
500,000
Total current liabilities
2,303,592
3,200,616
Non-current liabilities
Lease liabilities
12
102,495
119,902
Contract liabilities
15
500,000
1,000,000
Provisions
14
1,132,469
690,492
Total non-current liabilities
1,734,964
1,810,394
Total liabilities
4,038,556
5,011,010
Net assets
13,711,232
13,570,549
Equity
Issued capital
16
95,214,418
88,731,322
Reserves
17
3,742,154
2,519,398
Equity - accumulated losses
18
(85,245,340)
(77,680,171)
Total equity
13,711,232
13,570,549
Hazer Group Limited
Statement of changes in equity
For the year ended 30 June 2025
The above statement of changes in equity should be read in conjunction with the accompanying notes
24
Issued
Accumulated
Total equity
capital
Reserves
losses
Consolidated
$
$
$
$
Balance at 1 July 2023
61,505,433
1,630,088
(59,196,044)
3,939,477
Loss after income tax expense for the year
-
-
(19,067,366)
(19,067,366)
Other comprehensive income for the year, net of tax
-
-
-
-
Total comprehensive loss for the year
-
-
(19,067,366)
(19,067,366)
Transactions with owners in their capacity as owners:
Contributions of equity, net of transaction costs (note 16)
27,071,289
-
-
27,071,289
Shares issued pursuant to the exercise of options (note 16)
281
-
-
281
Share-based payments (note 16 and note 17)
154,319
1,472,549
-
1,626,868
Transferred expired options to accumulated losses (note 18)
-
(583,239)
583,239
-
Balance at 30 June 2024
88,731,322
2,519,398
(77,680,171)
13,570,549
Issued
Accumulated
Total equity
capital
Reserves
losses
Consolidated
$
$
$
$
Balance at 1 July 2024
88,731,322
2,519,398
(77,680,171)
13,570,549
Loss after income tax expense for the year
-
-
(7,619,639)
(7,619,639)
Other comprehensive income for the year, net of tax
-
-
-
-
Total comprehensive loss for the year
-
-
(7,619,639)
(7,619,639)
Transactions with owners in their capacity as owners:
Contributions of equity, net of transaction costs (note 16)
6,349,418
-
-
6,349,418
Shares issued pursuant to the exercise of options (note 16)
5,958
-
-
5,958
Share-based payments (note 16 and note 17)
127,720
1,277,226
-
1,404,946
Transferred expired options to accumulated losses (note 18)
-
(54,470)
54,470
-
Balance at 30 June 2025
95,214,418
3,742,154
(85,245,340)
13,711,232
Hazer Group Limited
Statement of cash flows
For the year ended 30 June 2025
Consolidated
Note
2025
2024
$
$
The above statement of cash flows should be read in conjunction with the accompanying notes
25
Cash flows from operating activities
Receipts from customers
610,873
-
Payments to suppliers and employees (inclusive of GST)
(15,053,256)
(18,822,926)
Interest received
392,104
479,195
Interest and other finance costs paid
(4,339)
(8,170)
Research & development tax rebate received
5,068,604
2,536,015
Grant income received
3,833,305
-
Net cash used in operating activities
(5,152,709)
(15,815,886)
Cash flows from investing activities
Payments for Commercial Demonstration Plant
(1,446,195)
(7,497,658)
Net cash used in investing activities
(1,446,195)
(7,497,658)
Cash flows from financing activities
Proceeds from issue of shares
7,067,551
29,103,806
Proceeds from exercise of share options, net of share issue costs
5,956
-
Proceeds from borrowings
-
1,759,000
Repayment of borrowings
-
(1,850,568)
Repayment of lease liability
(136,046)
(126,599)
Share issue transaction costs
(625,839)
(2,028,870)
Net cash from financing activities
6,311,622
26,856,769
Net (decrease)/increase in cash and cash equivalents
(287,282)
3,543,225
Cash and cash equivalents at the beginning of the financial year
12,821,547
9,278,322
Cash and cash equivalents at the end of the financial year
7
12,534,265
12,821,547
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
26
Note 1. Material accounting policy information
27
Note 2. Critical accounting judgements, estimates and assumptions
32
Note 3. Operating segments
33
Note 4. Revenue
33
Note 5. Financial risk management objectives and policies
34
Note 6. Other income
35
Note 7. Cash and cash equivalents
35
Note 8. Trade and other receivables
36
Note 9. Other current assets
36
Note 10. Commercial Demonstration Plant
37
Note 11. Plant and equipment
37
Note 12. Right-of-use assets
38
Note 13. Trade and other payables
39
Note 14. Provisions
40
Note 15. Contract liabilities
41
Note 16. Issued capital
41
Note 17. Reserves
43
Note 18. Equity - accumulated losses
43
Note 19. Income Tax
44
Note 20. Finance costs
45
Note 21. Key management personnel disclosures
45
Note 22. Remuneration of auditors
45
Note 23. Contingent assets and liabilities
45
Note 24. Commitments
46
Note 25. Related party transactions
46
Note 26. Reconciliation of loss after income tax to net cash from/(used in) operating activities
47
Note 27. Share based payments
47
Note 28. Interests in subsidiaries
48
Note 29. Earnings per share
49
Note 30. R&D tax rebate
49
Note 31. Events after the reporting period
49
Note 32. Parent entity information
49
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
27
Note 1. Material accounting policy information
The accounting policies that are material to the Group are set out below. The accounting policies adopted are consistent with those of the
previous financial year, unless otherwise stated.
New or amended Accounting Standards and Interpretations adopted
The Group has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards
Board ('AASB') that are mandatory for the current reporting period.
Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been adopted early.
Basis of preparation
These general purpose financial statements have been prepared in accordance with Australian Accounting Standards and Interpretations
issued by the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate for for-profit oriented entities.
These financial statements also comply with International Financial Reporting Standards, as issued by the International Accounting
Standards Board ('IASB').
Historical cost convention
The financial statements have been prepared under the historical cost convention, except for, where applicable, the revaluation of financial
assets and liabilities at fair value through profit or loss, financial assets at fair value through other comprehensive income, investment
properties, certain classes of property, plant and equipment and derivative financial instruments.
Critical accounting estimates
The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise
its judgement in the process of applying the Group's accounting policies. The areas involving a higher degree of judgement or complexity,
or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 2.
Parent entity information
In accordance with the Corporations Act 2001, these financial statements present the results of the Group only. Supplementary information
about the parent entity is disclosed in note 32.
Principles of consolidation
The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of Hazer Group Limited ('Company' or 'parent
entity') as at 30 June 2025 and the results of all subsidiaries for the year then ended. Hazer Group Limited and its subsidiaries together are
referred to in these financial statements as the 'Group'.
Subsidiaries are all those entities over which the Group has control. The Group controls an entity when the Group is exposed to, or has
rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities
of the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are de-consolidated from
the date that control ceases.
Intercompany transactions, balances and unrealised gains on transactions between entities in the Group are eliminated. Unrealised losses
are also eliminated unless the transaction provides evidence of the impairment of the asset transferred. Accounting policies of subsidiaries
have been changed where necessary to ensure consistency with the policies adopted by the Group.
The acquisition of subsidiaries is accounted for using the acquisition method of accounting. A change in ownership interest, without the loss
of control, is accounted for as an equity transaction, where the difference between the consideration transferred and the book value of the
share of the non-controlling interest acquired is recognised directly in equity attributable to the parent.
Where the Group loses control over a subsidiary, it derecognises the assets including goodwill, liabilities and non-controlling interest in the
subsidiary together with any cumulative translation differences recognised in equity. The Group recognises the fair value of the consideration
received and the fair value of any investment retained together with any gain or loss in profit or loss.
Foreign currency translation
The financial statements are presented in Australian dollars, which is Hazer Group Limited's functional and presentation currency.
Foreign currency transactions
Foreign currency transactions are translated into Australian dollars using the exchange rates prevailing at the dates of the transactions.
Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at financial year-end
exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 1. Material accounting policy information (continued)
28
Foreign operations
The assets and liabilities of foreign operations are translated into Australian dollars using the exchange rates at the reporting date. The
revenues and expenses of foreign operations are translated into Australian dollars using the average exchange rates, which approximate
the rates at the dates of the transactions, for the period. All resulting foreign exchange differences are recognised in other comprehensive
income through the foreign currency reserve in equity.
The foreign currency reserve is recognised in profit or loss when the foreign operation or net investment is disposed of.
Revenue recognition
The Group recognises revenue as follows:
Revenue from engineering services provided to customers
Revenue is recognised at an amount that reflects the consideration to which the Group is expected to be entitled in exchange for transferring
services to a customer. For each contract with a customer, the Group: identifies the contract with a customer; identifies the performance
obligations in the contract; determines the transaction price; allocates the transaction price to the separate performance obligations on the
basis of the relative stand-alone selling price of each distinct service to be delivered, and recognises revenue when or as each performance
obligation is satisfied in a manner that depicts the transfer to the customer of the services promised.
Revenue from government grants
Government assistance received from government agencies are subject to accounting under AASB 120 Accounting for Government Grants
and Disclosure of Government Assistance. In accounting for government grants, they may be categorised as grants relating to assets or
grants related to income. Where grants relate to assets, grant funding received is offset against the carrying amount of the CDP: any amount
exceeding the carrying amount of the CDP will be recognsied as other income in the statement of profit or loss and other comprehensive
income in the period in which it became receivable, when the residual grant was unconditional and provided immediate financial support
with no future related costs. For grants related to income, amounts are presented as other income in the statement of profit or loss and other
comprehensive income.
Interest
Interest revenue is recognised as interest accrues using the effective interest method. This is a method of calculating the amortised cost of
a financial asset and allocating the interest income over the relevant period using the effective interest rate, which is the rate that exactly
discounts estimated future cash receipts through the expected life of the financial asset to the net carrying amount of the financial asset.
Other revenue
Other revenue is recognised when it is received or when the right to receive payment is established.
Income tax
The income tax expense or benefit for the period is the tax payable on that period's taxable income based on the applicable income tax rate
for each jurisdiction, adjusted by the changes in deferred tax assets and liabilities attributable to temporary differences, unused tax losses
and the adjustment recognised for prior periods, where applicable.
Deferred tax assets and liabilities are recognised for temporary differences at the tax rates expected to be applied when the assets are
recovered, or liabilities are settled, based on those tax rates that are enacted or substantively enacted, except for:
●
When the deferred income tax asset or liability arises from the initial recognition of goodwill or an asset or liability in a transaction that
is not a business combination and that, at the time of the transaction, affects neither the accounting nor taxable profits; or
●
When the taxable temporary difference is associated with interests in subsidiaries, associates or joint ventures and the timing of the
reversal can be controlled and it is probable that the temporary difference will not reverse in the foreseeable future.
Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable that future taxable
amounts will be available to utilise those temporary differences and losses.
The carrying amount of recognised and unrecognised deferred tax assets are reviewed at each reporting date. Deferred tax assets
recognised are reduced to the extent that it is no longer probable that future taxable profits will be available for the carrying amount to be
recovered. Previously unrecognised deferred tax assets are recognised to the extent that it is probable that there are future taxable profits
available to recover the asset.
Deferred tax assets and liabilities are offset only where there is a legally enforceable right to offset current tax assets against current tax
liabilities and deferred tax assets against deferred tax liabilities; and they relate to the same taxable authority on either the same taxable
entity or different taxable entities which intend to settle simultaneously.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 1. Material accounting policy information (continued)
29
Research and Development tax rebate
Research and Development Tax Rebate (R&D Rebate) judgements are made by Management, utilising the Group’s specialist R&D Tax
advisers. The process includes interviews, documentation and assessment of the various activities undertaken by the Group to determine
if the activities meet the statutory eligibility requirements for an R&D Rebate claim.
The R&D tax rebate is recognised when a reliable estimate of the amount's receivable can be made and accrues the amount as either
income in the statement of profit or loss and other comprehensive income or, where appropriate, as an offset against capitalised
development costs.
Provision for restoration
Provisions for restoration are made to recognise obligations to restore a site to its original condition and is periodically reviewed and updated
based on the facts and circumstances available at the time. Changes to the estimated future restoration costs for the site are recognised in
the statement of financial position by adjusting the asset and the provision. Where there is a reduction in the provision that exceeds the
carrying amount of the asset, this is recognised in profit or loss.
Current and non-current classification
Assets and liabilities are presented in the statement of financial position based on current and non-current classification.
An asset is classified as current when: it is either expected to be realised or intended to be sold or consumed in the Group's normal operating
cycle; it is held primarily for the purpose of trading; it is expected to be realised within 12 months after the reporting period; or the asset is
cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period.
All other assets are classified as non-current.
A liability is classified as current when: it is either expected to be settled in the Group's normal operating cycle; it is held primarily for the
purpose of trading; it is due to be settled within 12 months after the reporting period; or there is no right at the end of the reporting period to
defer the settlement of the liability for at least 12 months after the reporting period. All other liabilities are classified as non-current.
Deferred tax assets and liabilities are always classified as non-current.
Cash and cash equivalents
Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short-term, highly liquid investments
with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant
risk of changes in value. For the statement of cash flows presentation purposes, cash and cash equivalents also includes bank overdrafts,
which are shown within borrowings in current liabilities on the statement of financial position.
Trade and other receivables
Trade receivables are initially recognised at fair value and subsequently measured at amortised cost using the effective interest method,
less any allowance for expected credit losses. Trade receivables are generally due for settlement within 30 days.
The Group has applied the simplified approach to measuring expected credit losses, which uses a lifetime expected loss allowance. To
measure the expected credit losses, trade receivables have been grouped based on days overdue.
Other receivables are recognised at amortised cost, less any allowance for expected credit losses.
Property, plant and equipment
Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is
directly attributable to the acquisition of the items.
Depreciation is calculated on a straight-line basis to write off the net cost of each item of property, plant and equipment (excluding land)
over their expected useful lives as follows:
Plant and equipment
3-7 years
The residual values, useful lives and depreciation methods are reviewed, and adjusted if appropriate, at each reporting date.
An item of property, plant and equipment is derecognised upon disposal or when there is no future economic benefit to the Group. Gains
and losses between the carrying amount and the disposal proceeds are taken to profit or loss.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 1. Material accounting policy information (continued)
30
Right-of-use assets
A right-of-use asset is recognised at the commencement date of a lease. The right-of-use asset is measured at cost, which comprises the
initial amount of the lease liability, adjusted for, as applicable, any lease payments made at or before the commencement date net of any
lease incentives received, any initial direct costs incurred, and, except where included in the cost of inventories, an estimate of costs
expected to be incurred for dismantling and removing the underlying asset, and restoring the site or asset.
Right-of-use assets are depreciated on a straight-line basis over the unexpired period of the lease or the estimated useful life of the asset,
whichever is the shorter. Where the Group expects to obtain ownership of the leased asset at the end of the lease term, the depreciation is
over its estimated useful life. Right-of use assets are subject to impairment or adjusted for any remeasurement of lease liabilities.
The Group has elected not to recognise a right-of-use asset and corresponding lease liability for short-term leases with terms of 12 months
or less and leases of low-value assets. Lease payments on these assets are expensed to profit or loss as incurred.
Trade and other payables
These amounts represent liabilities for goods and services provided to the Group prior to the end of the financial year and which are unpaid.
Due to their short-term nature they are measured at amortised cost and are not discounted. The amounts are unsecured and are usually
paid within 30 days of recognition.
Contract liabilities
Contract liabilities represent obligations which are not yet satisfied in relation to government grant in financing the Commercial
Demonstration Plant. Contract liabilities are recognised as revenue and as an offset to Commercial Demonstration Plant when the
performance obligations in the contract are satisfied.
Lease liabilities
A lease liability is recognised at the commencement date of a lease. The lease liability is initially recognised at the present value of the lease
payments to be made over the term of the lease, discounted using the interest rate implicit in the lease or, if that rate cannot be readily
determined, the Group's incremental borrowing rate. Lease payments comprise of fixed payments less any lease incentives receivable,
variable lease payments that depend on an index or a rate, amounts expected to be paid under residual value guarantees, exercise price
of a purchase option when the exercise of the option is reasonably certain to occur, and any anticipated termination penalties. The variable
lease payments that do not depend on an index or a rate are expensed in the period in which they are incurred.
Lease liabilities are measured at amortised cost using the effective interest method. The carrying amounts are remeasured if there is a
change in the following: future lease payments arising from a change in an index or a rate used; residual guarantee; lease term; certainty
of a purchase option and termination penalties. When a lease liability is remeasured, an adjustment is made to the corresponding right-of
use asset, or to profit or loss if the carrying amount of the right-of-use asset is fully written down.
Finance costs
Finance costs attributable to qualifying assets are capitalised as part of the asset. All other finance costs are expensed in the period in which
they are incurred.
Provisions
Provisions are recognised when the Group has a present (legal or constructive) obligation as a result of a past event, it is probable the
Group will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. The amount recognised
as a provision is the best estimate of the consideration required to settle the present obligation at the reporting date, taking into account the
risks and uncertainties surrounding the obligation. If the time value of money is material, provisions are discounted using a current pre-tax
rate specific to the liability. The increase in the provision resulting from the passage of time is recognised as a finance cost.
Employee benefits
Short-term employee benefits
Liabilities for wages and salaries, including non-monetary benefits, annual leave and long service leave expected to be settled wholly within
12 months of the reporting date are measured at the amounts expected to be paid when the liabilities are settled.
Other long-term employee benefits
The liability for annual leave and long service leave not expected to be settled within 12 months of the reporting date are measured at the
present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the
projected unit credit method. Consideration is given to expected future wage and salary levels, experience of employee departures and
periods of service. Expected future payments are discounted using market yields at the reporting date on corporate bonds with terms to
maturity and currency that match, as closely as possible, the estimated future cash outflows.
Defined contribution superannuation expense
Contributions to defined contribution superannuation plans are expensed in the period in which they are incurred.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 1. Material accounting policy information (continued)
31
Issued capital
Ordinary shares are classified as equity.
Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.
Earnings per share
Basic earnings per share
Basic earnings per share is calculated by dividing the profit attributable to the owners of Hazer Group Limited, excluding any costs of
servicing equity other than ordinary shares, by the weighted average number of ordinary shares outstanding during the financial year,
adjusted for bonus elements in ordinary shares issued during the financial year.
Diluted earnings per share
Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account the after income
tax effect of interest and other financing costs associated with dilutive potential ordinary shares and the weighted average number of shares
assumed to have been issued for no consideration in relation to dilutive potential ordinary shares.
Goods and Services Tax ('GST') and other similar taxes
Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the
tax authority. In this case it is recognised as part of the cost of the acquisition of the asset or as part of the expense.
Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or
payable to, the tax authority is included in other receivables or other payables in the statement of financial position.
Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are
recoverable from, or payable to the tax authority, are presented as operating cash flows.
Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the tax authority.
Share-based payments
The Company provides benefits in the form of share-based payments, whereby persons render services in exchange for shares or rights
over shares (‘equity settled transactions’). The Company does not provide cash settled share-based payments.
The cost of equity-settled transactions is measured at fair value on grant date. Fair value is independently determined using an option-
pricing model that takes into account the exercise price, the term of the option, the impact of dilution, the share price at grant date and
expected price volatility of the underlying share, the expected dividend yield and the risk free interest rate for the term of the option, together
with non-vesting conditions that do not determine whether the Company receives the services that entitle the employees to receive payment.
No account is taken of any other vesting conditions.
The cost of equity-settled transactions is recognised as an expense with a corresponding increase in equity over the period in which the
service conditions are fulfilled, ending on the date on which the relevant persons become fully entitled to the award (the ‘vesting period’).
The cumulative charge to profit or loss is calculated based on the grant date fair value of the award, the best estimate of the number of
awards that are likely to vest and the expired portion of the vesting period. The amount recognised in profit or loss for the period is the
cumulative amount calculated at each reporting date less amounts already recognised in previous periods.
All changes in the liability are recognised in profit or loss. Market conditions are taken into consideration in determining fair value. Therefore,
any awards subject to market conditions are considered to vest irrespective of whether or not that market condition has been met, provided
all other conditions are satisfied.
If equity-settled awards are modified, as a minimum, an expense is recognised as if the modification has not been made. An additional
expense is recognised, over the remaining vesting period, for any modification that increases the total fair value of the share-based
compensation benefit as at the date of modification.
If the non-vesting condition is within the control of the Company or employee, the failure to satisfy the condition is treated as a cancellation.
If the condition is not within the control of the Company or employee and is not satisfied during the vesting period, any remaining expense
for the award is recognised over the remaining vesting period, unless the award is forfeited.
If equity-settled awards are cancelled, it is treated as if it has vested on the date of cancellation, and any remaining expense is recognised
immediately. If a new replacement award is substituted for the cancelled award, the cancelled and new award is treated as if they were a
modification.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 1. Material accounting policy information (continued)
32
Research and development
Research costs are expensed in the period in which they are incurred.
Capitalised Development Cost for Commercial Demonstration Plant
Costs directly attributable to create, produce and prepare the Commercial Demonstration Plant to be capable of operating in the manner
intended by management are recognised as an asset when the following criteria are met:
●
It is technically feasible to complete the Commercial Demonstration Plant so that it will be available for use;
●
Management intends to complete the Commercial Demonstration Plant and use it;
●
There is an ability to use the Commercial Demonstration Plant;
●
It can be demonstrated how the Commercial Demonstration Plant will generate probable future economic benefits;
●
Adequate technical, financial, and other resources to complete the development and to use the Commercial Demonstration Plant and;
●
The expenditure attributable to the Commercial Demonstration Plant during its development can be reliably measured.
Following initial recognition of the development expenditure as an asset, the asset is carried at cost less any accumulated amortisation and
accumulated impairment losses. Amortisation of the asset will begin when the development is complete, and the asset is available for use.
It will be amortised over the period of expected future benefit. Amortisation will be recorded in profit and loss.
Impairment of non-financial assets
Goodwill and other intangible assets that have an indefinite useful life are not subject to amortisation and are tested annually for impairment,
or more frequently if events or changes in circumstances indicate that they might be impaired. Other nonfinancial assets are reviewed for
impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is
recognised for the amount by which the asset's carrying amount exceeds its recoverable amount.
Recoverable amount is the higher of an asset's fair value less costs of disposal and value-in-use. The value-in-use is the present value of
the estimated future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cash-generating unit to which the
asset belongs. Assets that do not have independent cash flows are grouped together to form a cash-generating unit.
Going concern
The financial statements have been prepared on the going concern basis, which contemplates continuity of normal business activities and
the realisation of assets and discharge of liabilities in the normal course of business.
New Accounting Standards and Interpretations not yet mandatory or early adopted
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory, have not been
early adopted by the Group for the annual reporting period ended 30 June 2025. The Group does not anticipate that the application of the
new or amended Accounting Standards and Interpretations in the future will have an impact on the Group’s financial statements.
Note 2. Critical accounting judgements, estimates and assumptions
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported
amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities,
contingent liabilities, revenue and expenses. Management bases its judgements, estimates and assumptions on historical experience and
on other various factors, including expectations of future events, management believes to be reasonable under the circumstances. The
resulting accounting judgements and estimates will seldom equal the related actual results. The judgements, estimates and assumptions
that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities (refer to the respective notes)
within the next financial year are discussed below.
Impairment of non-financial assets other than goodwill and other indefinite life intangible assets
The Group assesses the impairment of non-financial assets, other than goodwill and other indefinite life intangible assets at each reporting
date by evaluating conditions specific to the Group and to the particular asset, that may lead to impairment. If an impairment trigger exists,
the recoverable amount of the asset is determined. This involves fair value less costs of disposal or value-in-use calculations, which
incorporate a number of key estimates and assumptions.
Share-based payment transactions
The Group measures the cost of equity-settled transactions with employees by reference to the fair value of the equity instruments at the
date at which they are granted. The fair value is determined by using either the Binomial or Black-Scholes model taking into account the
terms and conditions upon which the instruments were granted. The accounting estimates and assumptions relating to equity-settled share-
based payments would have no impact on the carrying amounts of assets and liabilities within the next annual reporting period but may
impact profit or loss and equity.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 2. Critical accounting judgements, estimates and assumptions (continued)
33
R&D tax rebate
Significant judgement is required in determining the R&D tax rebate receivable. There are many processes undertaken in determining the
claim and satisfying the statutory eligibility requirements for which the ultimate outcome is uncertain. The Group recognises a R&D tax
rebate when a reliable estimate of the receivable can be determined in consultation with its independent R&D tax advisors.
Where the outcome of the R&D tax rebate claim is different from the carrying amounts, such differences will impact the statement of profit
or loss and other comprehensive income or, where appropriate, as an offset against capitalised development costs in the period in which
such determination is made.
Provision for restoration
The provision for restoration is measured at the undiscounted cost expected to restore the Site back to its original condition given the current
technologies available, at the earlier of the termination date or when the Commercial Demonstration Plant is decommissioned. The
calculation of this provision requires assumptions such as the application of closure dates and cost estimates. The provision recognised for
the site is periodically reviewed and updated based on the facts and circumstances available at the time. Changes to the estimated future
costs for the site, is recognised in the statement of financial position by adjusting the asset and the provision. Reductions in the provision
that exceed the carrying amount of the asset will be recognised in profit or loss.
Lease term
The lease term is a significant component in the measurement of both the right-of-use asset and lease liability. Judgement is exercised in
determining whether there is reasonable certainty that an option to extend the lease or purchase the underlying asset will be exercised, or
an option to terminate the lease will not be exercised, when ascertaining the periods to be included in the lease term. In determining the
lease term, all facts and circumstances that create an economical incentive to exercise an extension option, or not to exercise a termination
option, are considered at the lease commencement date. Factors considered may include the importance of the asset to the Group's
operations; comparison of terms and conditions to prevailing market rates; incurrence of significant penalties; existence of significant
leasehold improvements; and the costs and disruption to replace the asset. The Group reassesses whether it is reasonably certain to
exercise an extension option, or not exercise a termination option, if there is a significant event or significant change in circumstances.
Note 3. Operating segments
The Group has considered the requirements of AASB 8 – Operating Segments and has identified its operating segments based on the
internal reports that are reviewed and used by the Board of Directors (chief operating decision-makers) in assessing performance and
determining the allocation of resources.
The Group operates as a single segment being research and development of novel graphite-and-hydrogen-production technology. There is
no difference between the audited financial report and the internal reports generated for review. The Company is domiciled in Australia and
its subsidiary is domiciled in Canada. The Group is currently in the development phase and hence has not begun to generate revenue from
operations. All the assets are located in Australia.
Note 4. Revenue
Consolidated
2025
2024
Engineering services revenue
614,239
-
Engineering services revenue
Hazer has a binding Project Development Agreement (“PDA”) with FortisBC to pursue the development of a hydrogen production facility in
British Columbia based on Hazer’s technology. Under the terms of the PDA, Hazer receives ongoing payment for Early Project Development
Work associated with leading engineering activities relating to the core Hazer technology components.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
34
Note 5. Financial risk management objectives and policies
The Group’s principal financial instruments comprise cash and short-term deposits only.
The Group manages its exposure to key financial risks, including interest rate and liquidity risk in accordance with its financial risk
management policy. The objective of the policy is to support the delivery of its financial targets whilst protecting future financial security.
The Group uses different methods to measure and manage different types of risks to which it is exposed. These include monitoring levels
of exposure to interest rate risk and assessments of market forecasts for interest rates. Liquidity risk is monitored through the development
of future rolling cash flow forecasts.
Primary responsibility for the identification and control of financial risks rests with the Board. The Board reviews and agrees policies for
managing each of the risks identified below.
Interest rate risk
At the reporting date, the Group had $12,534,265 (2024: 12,821,547) in cash and cash equivalents exposed to interest rate risk.
At the reporting date, if interest rates had moved, as illustrated in the table below, with all other variables held constant, net loss and equity
would have been affected as follows:
Net Loss Higher/(lower)
Net Equity Higher/(lower)
2025
2024
2025
2024
+0.5% (50 basis points)
62,671
64,108
62,671
64,108
-0.5% (50 basis points)
(62,671)
(64,108)
(62,671)
(64,108)
The movements are due to higher / lower interest revenue from cash balances.
Other financial instruments held by the Group aside from cash and short-term deposits are predominantly fixed interest liabilities, and as
such, are not exposed to interest rate risk.
Liquidity Risk
Liquidity risk is managed through the Group’s objective to maintain adequate funding to meet its needs, currently represented by cash and
short-term deposits sufficient to meet the current cash requirements.
The table below summarises the maturity profile of the Group's financial liabilities based on contractual undiscounted payments:
Note
Less than 3
months
3 to 12 months
1-5 years
>5 years
Total
$
$
$
$
$
Year ended 30 June 2025
Trade and other payables
13
1,195,891
-
-
-
1,195,891
Lease liabilities
12
27,033
90,475
102,495
-
220,003
Contract liabilities
15
-
500,000
500,000
-
1,000,000
1,222,924
590,475
602,495
-
2,415,894
Year ended 30 June 2024
Trade and other payables
13
2,249,472
-
-
-
2,249,472
Lease liabilities
12
25,777
77,149
119,902
-
222,828
Contract liabilities
15
-
500,000
1,000,000
-
1,500,000
2,275,249
577,149
1,119,902
-
3,972,300
The cash flows in the maturity analysis above are not expected to occur significantly earlier than contractually disclosed above.
Fair value of financial instruments
Unless otherwise stated, the carrying amounts of financial instruments reflect their fair value.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 5. Financial risk management objectives and policies (continued)
35
Collateral
The Group has pledged part of its cash on deposit in order to fulfil the collateral requirements for its lease contracts and corporate credit
card facilities. At 30 June 2025 the fair values of the short-term deposits pledged was $332,542 (2024: $332,542). The counterparties have
the obligation to return the securities in the form of bank guarantees on termination of the lease agreement, subject to make good
requirements on the leased properties being fulfilled, or on termination of the credit card facilities.
Capital management
The primary objective of the Group’s capital management is to ensure that it maintains a strong credit rating and healthy capital ratios in
order to support its business and maximise shareholder value.
The Group monitors capital with reference to the net debt position. The Group’s current policy is to keep the net debt position negative, such
that cash and cash equivalents exceed debt.
Note 6. Other income
Consolidated
2025
2024
$
$
Interest income
392,104
479,195
Grant income - JTSI
3,833,305
-
Grant income - ARENA
500,000
-
R&D Rebate
3,172,837
3,315,034
7,898,246
3,794,229
During the year, the Company received government grants and R&D rebate that exceeded the carrying amount of the CDP. The portion
equal to the carrying amount was applied to reduce the asset balance to nil. As the residual grant and rebate are unconditional and provided
immediate financial support with no future related costs, the JTSI grant income and unused portion of R&D rebate was recognised as other
income in the period in which it became receivable.
JTSI
During the financial year, the Company received $3,833,305 in grant income from the Department of Jobs, Tourism, Science and Innovation
(JTSI) as part of their Lower Carbon Grants Program - Gorgon Fund (LCG) for the capital programme.
ARENA
The Company has received grant funding from ARENA, an independent agency of the Australian federal government, to support the design,
procurement, construction, and operation of the Commercial Demonstration Plant. As the Group achieved 12 months operational
performance in the 2025 financial year, we met funding milestone 4 and released $500,000 of funds to the Group.
Note 7. Cash and cash equivalents
Consolidated
2025
2024
$
$
Cash at bank
10,928,901
10,782,403
Cash on deposit
332,542
332,542
Cash at bank – restricted
1,272,822
1,706,602
12,534,265
12,821,547
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 7. Cash and cash equivalents (continued)
36
Cash on deposit
The Group has amounts held in term deposits with varying maturities. Amounts held in term deposits are for the purpose of fulfilling collateral
and security requirements associated with lease arrangements and corporate credit card facilities held.
Cash at bank - restricted
The Group has received grant funding from ARENA, an independent agency of the Australian federal government, to support the design,
procurement, construction, and operation of the Commercial Demonstration Plant. To access the grant funding, the Group must meet the
operational and technical requirements of agreed funding milestones in a form acceptable to ARENA. This restricted cash represents the
grant funding received where the milestone criteria are yet to be satisfied and the funds are not yet freely available for use by the Group.
Note 8. Trade and other receivables
Consolidated
2025
2024
$
$
GST refundable
55,693
159,494
R&D tax rebate receivable
4,526,189
5,068,603
Accounts Receivable
3,366
-
4,585,248
5,228,097
GST refundable
GST refundable relates to amounts receivable from the Australian Taxation Office (ATO) in relation to the GST portion paid or payable to
trade creditors, which are claimable as input tax credits. GST refunds are generally received from the ATO in the following month, and no
allowance for expected credit losses have been recognised in the period ended 30 June 2025 (2024: Nil).
R&D tax rebate receivable
R&D tax rebate receivable represents refundable tax offsets from the Australian Taxation Office (ATO) in relation to expenditure incurred in
the current year for eligible research and development activities. Research and development activities are refundable at a rate of 43.5% for
each dollar spent, subject to meeting certain eligibility criteria. Funds are expected to be received subsequent to the lodgement of the
income tax return and research and development tax incentive schedule for the current financial year.
Note 9. Other current assets
Consolidated
2025
2024
$
$
Prepayments
445,528
309,499
Deposits
12,196
12,196
457,724
321,695
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
37
Note 10. Commercial Demonstration Plant
Consolidated
2025
2024
$
$
Commercial Demonstration Plant
37,199,598
36,309,103
Commercial Demonstration Plant – R&D offset
(11,507,147)
(10,153,795)
Commercial Demonstration Plant – restoration asset
1,041,191
578,334
Commercial Demonstration Plant – accumulated amortisation & impairment
(18,823,642)
(18,823,642)
Commercial Demonstration Plant – Grant offsets
(7,910,000)
(7,910,000)
-
-
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:
Cost and grant
offset
Amortisation
and impairment
Total
Consolidated
$
$
$
Balance at 1 July 2023
15,253,032
(15,253,032)
-
Additions
6,751,321
-
6,751,321
ARENA grant - release of contract liability
(951,000)
-
(951,000)
R&D Offset
(2,229,711)
-
(2,229,711)
Impairment of assets
-
(3,570,610)
(3,570,610)
Balance at 30 June 2024
18,823,642
(18,823,642)
-
Additions
1,353,352
-
1,353,352
R&D Offset
(1,353,352)
-
(1,353,352)
Balance at 30 June 2025
18,823,642
(18,823,642)
-
The Commercial Demonstration Plant (CDP) is a key stage in the development and scale up of the Hazer process. Development costs
directly attributable to create, produce and prepare the Commercial Demonstration Plant for the purpose intended by management is
recognised as an intangible asset when the criteria under AASB 138 Intangible Assets are satisfied.
Impairment of the Commercial Demonstration Plant
At 30 June 2025, the Group performed its annual impairment test and identified indicators of impairment in line with AASB 136 Impairment
of Assets. At the test date, it was determined that due to the experimental nature of the CDP, future cashflows associated with operating
the CDP asset over its expected useful life are not expected to exceed potential revenue from the sale of hydrogen and graphite products.
Key assumptions used in the value in use calculation are based on market rates for the cost of labour and feedstock required to operate the
CDP, along with potential sale price for hydrogen & graphite products.
Accordingly, the Group has concluded that the recoverable amount of the asset derived through its value in use is nil and should be fully
impaired.
Note 11. Plant and equipment
Consolidated
2025
2024
$
$
Plant and equipment - at cost
51,585
74,909
Less: Accumulated depreciation
(48,037)
(64,447)
Net book value for the period ended
3,548
10,462
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 11. Plant and equipment (continued)
38
Cost
Depreciation
Total
Consolidated
$
$
$
Balance at 1 July 2023
74,909
(53,747)
21,162
Additions
-
(10,700)
(10,700)
Balance at 30 June 2024
74,909
(64,447)
10,462
Additions
-
(6,914)
(6,914)
Disposals
(23,324)
23,324
-
Balance at 30 June 2025
51,585
(48,037)
3,548
Note 12. Right-of-use assets
The Group has lease contracts for the occupation of various office and storage sites used in its operations. Leases of office space and
storage sites generally have lease terms of 2 to 5 years, and also include some extension options of up to 2 years. The Group is restricted
from assigning and sublease the leased assets. The Group’s obligations under the leases are secured by the lessor’s title to the leased
assets and the amounts held as collateral with lessors in the form of security deposits or bank guarantees issued.
Set out below are the carrying amounts of right-of-use assets recognised and the movements during the period:
Consolidated
2025
2024
$
$
Right-of-use assets
At 1 July
199,758
265,350
Remeasurement
64,979
39,138
Depreciation expense
(95,734)
(104,730)
At 30 June
169,003
199,758
Consolidated
2025
2024
$
$
Lease liabilities
At 1 July
222,828
261,262
Remeasurement
64,979
39,138
Accretion of interest
68,242
49,028
Payments
(136,046)
(126,600)
At 30 June
220,003
222,828
Consolidated
2025
2024
$
$
Lease liabilities classification
Current
117,508
102,926
Non-current
102,495
119,902
220,003
222,828
The maturity analysis of lease liabilities is disclosed in note 5.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 12. Right-of-use assets (continued)
39
Consolidated
2025
2024
$
$
The following are amounts recognised in the profit or loss:
Depreciation expense of right-of-use assets
95,734
104,730
Interest expense on lease liabilities
68,242
49,028
163,976
153,758
The Group had total cash outflows for leases of $136,046 in 2025 (2024: $126,600). The Group also had non-cash additions to right-of-use
assets and lease liabilities of $64,979 in 2025 (2024: 39,138). The future cash outflows relating to leases that have not yet commenced are
disclosed below.
The Group has several lease contracts that include extension options. These options are negotiated by management to provide flexibility in
managing the leased-asset portfolio and align with the Group’s business needs. Management exercises significant judgement in determining
whether these extension options are reasonably certain to be exercised.
Set out below are the undiscounted potential future rental payments relating to periods following the exercise date of extension options that
are not included in the lease term:
Within 5 years
More than five
years
Total
At 30 June 2024
Extension options expected not to be exercised
15,600
-
15,600
At 30 June 2025
Extension options expected not to be exercised
-
-
-
Note 13. Trade and other payables
Consolidated
2025
2024
$
$
Accounts payable
572,340
1,825,518
Other payables
623,551
423,954
1,195,891
2,249,472
Trade and other payables are non-interest bearing and generally have a term of 30-90 days.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
40
Note 14. Provisions
Consolidated
2025
2024
$
$
Current liabilities
Employee benefits
490,193
348,218
Non-current liabilities
Employee benefits
51,988
69,506
Lease make good
20,000
20,000
Provision for restoration
1,060,481
600,986
1,132,469
690,492
1,622,662
1,038,710
Employee benefits
The current provision for employee benefits represents annual leave and long service leave entitlements accrued by employees. It is
measured as the value of expected future payments for the services provided by the employees up to the reporting date.
Non-current provisions for employee benefits represents annual leave and long service leave not expected to be settled within 12 months
of the reporting date and are measured at the present value of expected future payments to be made in respect of services provided by
employees up to the reporting date using the projected unit credit method. Consideration is given to expected future wage and salary levels,
experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting
date on corporate bonds with terms to maturity and currency that match, as closely as possible, the estimated future cash outflows.
Provision for restoration
The Group has entered into a Collaboration Deed with Water Corporation for the use of land and other resources at the Woodman Point
Water Resource Recovery (Site) facility to construct and operate the Commercial Demonstration Plant. At the termination date of the
Collaboration Deed, it imposes an obligation for the Group to decommission the CDP and restore the Site back to its original condition,
unless otherwise agreed with Water Corporation at a later stage.
The provision for restoration is measured at the discounted cost expected to restore the Site back to its original condition given the current
technologies available when the CDP is decommissioned.
During the year ended 30 June 2025, the Group engaged a third party expert to provide an independent estimate of the cost to dismantle
the CDP. The provision for restoration has been adjusted accordingly.
Provision for
restoration
At 1 July 2024
600,986
Additional provision recognised
462,857
Unwinding of discount and changes in the discount rate
(3,362)
At 30 June 2025
1,060,481
Lease make good
The provision represents the present value of the estimated costs to make good the premises leased by the Group at the end of the
respective lease terms.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
41
Note 15. Contract liabilities
Consolidated
2025
2024
$
$
Current liabilities
Current Contract liabilities
500,000
500,000
Non-current liabilities
Non-current Contract liabilities
500,000
1,000,000
1,000,000
1,500,000
The Group has received grant funding from ARENA, an independent agency of the Australian federal government, to support the design,
procurement, construction, and operation of the Commercial Demonstration Plant. To access the grant funding, the Group must meet the
operational and technical requirements of agreed funding milestones in a form acceptable to ARENA. Contract liabilities represent the grant
funding received where the milestone criteria are yet to be satisfied, and the funds are not yet available to the Group.
The amount of contract liabilities are allocated by grant milestones relating to the practical completion and commencement of commissioning
for the Commercial Demonstration Plant, along with the completion of 12, 24 and 36 months of operations.
As the Group achieved practical completion in the 2024 financial year and 12 months of operational performance in the 2025 financial year,
amounts attributable to Milestone 5 (being 24 months of operational performance) are classified as current liabilities and are expected to be
released in the next 12 months from 30 June 2025. The amount relating to operational Milestone 6 is classified as non-current as the Group
is required to fulfil a minimum of 36 months of operations prior to being eligible for the application of funds.
Note 16. Issued capital
Consolidated
2025
2024
2025
2024
Shares
Shares
$
$
Ordinary shares - fully paid
253,326,552
230,112,506
95,214,418
88,731,322
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 16. Issued capital (continued)
42
Movements in ordinary share capital
Details
Date
Shares
Issue price
$
Opening balance 1 July 2023
1 July 2023
170,443,743
61,505,433
Issue of Shares
22-August-2023
16,063,594
$0.48
7,710,525
Issue of Shares
25-August-2023
13,145,381
$0.48
6,309,783
Issue of Shares
02-October-2023
1,437,952
$0.48
690,217
Issue of shares on exercise of options
12-February-2024
375
$0.75
281
Share Purchase Plan issue
26-February-2024
16,074,000
$0.50
8,037,000
Share Purchase Plan issue
20-March-2024
10,786,000
$0.50
5,393,000
Executive 2023 STI Share Issue
16-April-2024
235,461
$0.66
154,319
Share Purchase Plan issue
08-May-2024
1,926,000
$0.50
963,000
Share issue transaction costs, net of tax
-
$0.00
(2,032,236)
Closing balance 30 June 2024
230,112,506
88,731,322
Executive 2023 STI Share Issue
20-November-2024
146,618
$0.36
52,049
Issue of shares on exercise of options
06-December-2024
160
$0.75
120
Issue of shares on exercise of options
09-December-2024
82
$0.75
62
Issue of shares on exercise of options
27-December-2024
2,750
$0.75
2,063
Issue of shares on exercise of options
13-January-2025
750
$0.75
563
Issue of shares on exercise of options
28-January-2025
449
$0.75
337
Issue of shares on exercise of options
26-February-2025
3,750
$0.75
2,813
Executive 2024 STI Share Issue
03-April-2025
260,936
$0.29
75,671
Issue of Shares
20-June-2025
21,717,905
$0.31
6,732,551
Issue of Shares
24-June-2025
1,080,646
$0.31
335,000
Share issue transaction costs, net of tax
-
$0.00
(718,133)
Closing balance 30 June 2025
253,326,552
95,214,418
Ordinary shares
Ordinary shares entitle the holder to participate in dividends and the proceeds on the winding up of the Company in proportion to the number
of and amounts paid on the shares held. The fully paid ordinary shares have no par value and the Company does not have a limited amount
of authorised capital.
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have
one vote.
Share buy-back
There is no current on-market share buy-back.
Capital risk management
The Company's objectives when managing capital is to safeguard its ability to continue as a going concern, so that it can provide returns
for shareholders and benefits for other stakeholders and to maintain an optimum capital structure to reduce the cost of capital.
Capital is regarded as total equity, as recognised in the statement of financial position, plus net debt. Net debt is calculated as total
borrowings less cash and cash equivalents.
In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to
shareholders, issue new shares or sell assets to reduce debt.
The Company would look to raise capital when an opportunity to invest in a business or company was seen as value adding relative to the
current Group's share price at the time of the investment. The Company is not actively pursuing additional investments in the short term as
it continues to integrate and grow its existing businesses in order to maximise synergies.
The Company is subject to certain financing arrangements covenants and meeting these is given priority in all capital risk management
decisions. There have been no events of default on the financing arrangements during the financial year.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 16. Issued capital (continued)
43
The capital risk management policy remains unchanged from the previous financial reporting year.
Note 17. Reserves
Consolidated
2025
2024
$
$
Options reserve
3,742,154
2,519,398
Option reserve
The option reserve records items recognised as expenses on the valuation of share options.
Movements in reserves
Movements in each class of reserve during the current and previous financial year are set out below:
No of Options
Value
$
Opening balance 1 July 2023
10,632,890
1,630,088
Options issued during the current year vesting immediately
22,520,756
-
Options exercised during the period - Series S
(375)
-
Options lapsed during the period - Series N
(3,450,000)
(583,239)
Existing options issued in prior periods vesting over multiple periods
-
1,472,549
Opening balance 1 July 2024
29,703,271
2,519,398
Options exercised during the period
(7,941)
-
Options lapsed during the period
(22,775,575)
(54,470)
Existing options issued in prior periods vesting over multiple periods
-
1,183,943
Options issued during the current year vesting over multiple periods
3,967,723
93,283
Closing balance 30 June 2025
10,887,478
3,742,154
Note 18. Equity - accumulated losses
Consolidated
2025
2024
$
$
Accumulated losses at the beginning of the financial year
(77,680,171)
(59,196,044)
Loss after income tax expense for the year
(7,619,639)
(19,067,366)
Transfer expired options to accumulated losses
54,470
583,239
Accumulated losses at the end of the financial year
(85,245,340)
(77,680,171)
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
44
Note 19. Income Tax
The major components of income tax expense for the years ended 30 June 2025 and 2024 are:
Consolidated
2025
2024
$
$
Current income tax
-
-
-
-
Deferred tax
-
-
Relating to the origination and reversal of temporary differences
(397,588)
(1,897,685)
Under / over from prior periods
(8,285)
220,417
Derecognition of current year temporary differences
405,873
1,677,268
Income tax expense/(benefit) reported in the statement of profit or loss
-
-
Reconciliation of tax expense and accounting profit multiplied by Australia's prima facie tax rate of 25% for 2025 and 25% for 2024:
2025
2024
$
$
Accounting loss before income tax
(7,619,639)
(19,067,366)
Tax on loss at Australian prima facie tax rate of 25% (2024: 25%)
(1,904,909)
(4,766,842)
Impact of tax rates applicable outside of Australia
(24)
41,203
Expenses eligible for R&D rebate
1,500,535
2,081,126
Share based payments
351,236
406,717
Other non-deductible expenses
448,783
1,168,870
R&D rebate received on eligible expenses
(793,209)
(828,759)
Under / over from prior periods
(8,285)
220,417
-
At the effective income tax rate of 25% (2024: 25%)
(405,873)
(1,677,268)
Tax losses not brought/(brought) to account
405,873
1,677,268
Income tax expense/(benefit) reported in the statement of profit or loss
-
-
2025
2024
$
$
Tax losses not recognised
Unused tax losses for which no deferred tax asset has been recognised
21,354,842
19,192,342
Potential tax benefit at 25% (2024: 25%)
5,338,710
4,798,085
Availability of tax losses
The availability of the tax losses for future periods is uncertain and the recoupment of available tax losses as at 30 June 2025 is contingent
upon the following:
(a)
the Company deriving future assessable income tax legislation of a nature and of an amount sufficient to enable the benefit from
the losses to be realised;
(b)
the conditions for deductibility imposed by income tax legislation continuing to be complied with;
(c)
there being no changes in income tax legislation which would adversely affect the Company from realising the benefit from the
losses.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 19. Income Tax (continued)
45
Given the Company is currently in a loss making position, a deferred tax asset has not been recognised with regard to unused tax losses,
as it has not been determined that the company will generate sufficient taxable profit against which the unused tax losses can be utilised.
Note 20. Finance costs
Consolidated
2025
2024
Interest and other finance costs
69,219
171,418
Note 21. Key management personnel disclosures
Compensation
The aggregate compensation made to Directors and other members of key management personnel of the Group is set out below:
Consolidated
2025
2024
$
$
Short-term employee benefits
769,800
753,546
Post-employment benefits
44,287
41,146
Share-based payments
788,675
1,281,197
1,602,762
2,075,889
Executive management are not considered to be Key Management Personnel.
Note 22. Remuneration of auditors
During the financial year the following fees were paid or payable for services provided by RSM Australia Partners, the auditor of the Group:
Consolidated
2025
2024
$
$
Audit services
Audit or review of the financial statements
84,800
81,200
Note 23. Contingent assets and liabilities
The Group has given bank guarantees as at 30 June 2025 of $297,542 (2024: $297,542) to various landlords and Western Power in
association with the Commercial Demonstration Plant.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
46
Note 24. Commitments
Committed at the reporting date but not recognised as liabilities:
Consolidated
2025
2024
$
$
Research collaboration agreement:
Committed at the reporting date but not recognised as liabilities, payable:
Within one year
-
100,000
Later than 1 year but not later than 5 years
-
-
More than five years
-
-
-
100,000
Construction of Commercial Demonstration Plant
Committed at the reporting date but not recognised as liabilities, payable:
Within one year
85,876
1,136,908
Later than 1 year but not later than 5 years
-
-
More than five years
-
-
85,876
1,136,908
Other Research and Development
Committed at the reporting date but not recognised as liabilities, payable:
Within one year
297,469
-
One to five years
188,933
-
486,402
-
Hazer's contracting and procurement strategy is for all commitments to be cancellable in nature where possible.
Future commitments reflect the planned collaboration with PSRI.
Note 25. Related party transactions
Key management personnel
Disclosures relating to key management personnel are set out in note 21 and the remuneration report included in the Directors' report.
Transactions with related parties
During the current financial year and the previous financial year, the entity did not enter into any transactions with related parties other than
those disclosed in note 21 and the remuneration report included in the Directors' report.
Receivable from and payable to related parties
There were no amounts receivable from related parties at the current or previous reporting period.
Loans to/from related parties
There were no loans to or from related parties at the current and previous reporting date.
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
47
Note 26. Reconciliation of loss after income tax to net cash from/(used in) operating activities
Consolidated
2025
2024
$
$
Loss after income tax expense for the year
(7,619,639)
(19,067,366)
Adjustments for:
Share-based payments
1,404,946
1,626,869
Depreciation
102,648
115,430
Finance costs
64,880
163,248
Impairment expense
-
3,570,610
Change in operating assets and liabilities:
Other current assets
(136,029)
(160,238)
Trade and other payables
(532,463)
(2,166,103)
Employee benefits
124,457
163,364
Trade and other receivables (including R&D refund)
1,938,491
(61,700)
receipt of ARENA grant funding (contract liabilities)
(500,000)
-
Net cash used in operating activities
(5,152,709)
(15,815,886)
Note 27. Share based payments
For the year ended 30 June 2025:
Set out below are summaries of the movements of options granted to key management personnel, employees and contractors of the Group:
Grant date
Expiry date
Exercise
price
Balance at the
start of the year
Granted
Exercised/
Quoted as
Listed options
Expired/
forfeited/ other
Balance at the
end of the year
No.
No.
No.
No.
No.
24/11/2022
22/12/2027
$0.001
4,100,000
-
-
-
4,100,000
24/11/2022
22/12/2027
$0.001
1,215,000
-
-
-
1,215,000
10/05/2023
01/01/2028
$0.001
1,867,890
-
-
(263,135)
1,604,755
09/08/2024
01/07/2028
$0.001
-
3,708,378
-
-
3,708,378
09/08/2024
01/01/2028
$0.001
-
259,345
-
-
259,345
7,182,890
3,967,723
-
(263,135)
10,887,478
Weighted average exercise price
0.001
0.001
0.000
0.001
0.001
For the year ended 30 June 2024:
Set out below are summaries of the movements of options granted to key management personnel, employees and contractors of the Group:
Grant date
Expiry date
Exercise
price
Balance at the
start of the year
Granted
Exercised/
Quoted as
Listed options
Expired/
forfeited/ other
Balance at the
end of the year
No.
No.
No.
No.
No.
14/11/2018
30/06/2024
$0.900
2,000,000
-
-
(2,000,000)
-
18/10/2019
30/06/2024
$0.900
1,450,000
-
-
(1,450,000)
-
24/11/2022
22/12/2027
$0.001
4,100,000
-
-
-
4,100,000
24/11/2022
22/12/2027
$0.001
1,215,000
-
-
-
1,215,000
10/05/2023
01/01/2028
$0.001
1,867,890
-
-
-
1,867,890
10,632,890
-
-
(3,450,000)
7,182,890
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 27. Share based payments (continued)
48
Weighted average exercise price
0.293
0.000
0.000
0.900
0.001
None of the options issued have vested at the reporting date and so none are exercisable at the end of the financial year.
The weighted average remaining contractual life of options outstanding at the end of the financial year was 2.66 years (2024: 1.35).
For the options granted during the current financial year, the valuation model inputs used to determine the fair value at the grant date, are
as follows:
Grant date
Expiry date
Share price at
grant date
Exercise Price
Expected
volatility
Dividend yield
Risk-free
interest rate
Fair value at
grand date
%
%
%
$
09/08/2024
01/07/2028
$0.33
$0.001
60.00%
-
3.72%
0.2451
09/08/2024
01/07/2028
$0.33
$0.001
60.00%
-
3.72%
0.2289
09/08/2024
01/07/2028
$0.33
$0.001
60.00%
-
3.72%
0.1965
09/08/2024
01/07/2028
$0.33
$0.001
60.00%
-
3.72%
0.1673
09/08/2024
01/07/2028
$0.33
$0.001
60.00%
-
3.72%
0.1163
09/08/2024
01/01/2028
$0.33
$0.001
60.00%
-
3.72%
0.0881
09/08/2024
01/01/2028
$0.33
$0.001
60.00%
-
3.72%
0.0882
09/08/2024
01/01/2028
$0.33
$0.001
60.00%
-
3.72%
0.0719
09/08/2024
01/01/2028
$0.33
$0.001
60.00%
-
3.72%
0.0310
09/08/2024
01/01/2028
$0.33
$0.001
60.00%
-
3.72%
0.0098
Expenses arising from share-based payment transactions
Total expenses arising from share-based payment transactions recognised during the year were as follows:
Consolidated
2025
2024
$
$
Options issued to KMP
736,626
1,281,198
Shares issued to KMP
52,049
-
Options issued to employees
540,602
191,352
Shares issued to employees
75,669
154,319
1,404,946
1,626,869
Note 28. Interests in subsidiaries
The consolidated financial statements incorporate the assets, liabilities and results of the following wholly-owned subsidiaries in accordance
with the accounting policy described in note 1:
Ownership interest
Principal place of business /
2025
2024
Name
Country of incorporation
%
%
Hazer Group Canada Limited
Canada
100.00%
100.00%
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
49
Note 29. Earnings per share
Consolidated
2025
2024
$
$
Loss after income tax
(7,619,639)
(19,067,366)
Number
Number
Weighted average number of ordinary shares used in calculating basic earnings per share
230,944,306
205,369,909
Cents
Cents
Basic earnings per share
(3.30)
(9.28)
Diluted earnings per share
(3.30)
(9.28)
The Company has 10,887,478 (2024: 29,703,271) options at 30 June 2025, which could potentially dilute basic earnings per share in the
future but were not included in the calculation of diluted earnings per share because they are anti-dilutive for the period presented.
Note 30. R&D tax rebate
Management applied judgement to estimate the amount of Research & Development rebate (R&D rebate) available to the Company for the
financial year ended 30 June 2025 to be $4,526,189: $1,353,352 offset against the capitalised CDP expenditure and $3,172,837 recognised
as Other Income in the Statement of Profit and Loss and Other Comprehensive Income in the period.
Note 31. Events after the reporting period
On 15th July 2025, Hazer signed a non-binding MOU with UK based EnergyPathways (EPP) to assess the development of a Hazer
licensed hydrogen production facility. Under the MOU, Hazer and EPP will work towards a binding agreement to undertake concept
engineering studies for a proposed Hazer facility with an indicative hydrogen production capacity of 20,000 tonne per annum.
On 16th July 2025, the Company announced completion of its Share Purchase Plan (SPP). The SPP, targeting $2.0 million, closed on 9
July 2025 with strong demand resulting in valid applications for 8,438,231 New Shares raising $2,615,900 (before costs).
No other matter or circumstance has arisen since 30 June 2025 that has significantly affected, or may significantly affect the Group's
operations, the results of those operations, or the Group's state of affairs in future financial years.
Note 32. Parent entity information
Set out below is the supplementary information about the parent entity.
Statement of profit or loss and other comprehensive income
Parent
2025
2024
$
$
Loss after income tax
(7,620,858)
(19,067,366)
Other comprehensive income for the year, net of tax
-
-
Total comprehensive loss
(7,620,858)
(19,067,366)
Hazer Group Limited
Notes to the financial statements
For the year ended 30 June 2025
Note 32. Parent entity information (continued)
50
Statement of financial position
Parent
2025
2024
$
$
Total current assets
17,577,124
18,371,229
Total non-current assets
172,662
210,331
Total assets
17,749,786
18,581,560
Total current liabilities
2,303,590
3,200,617
Total non-current liabilities
1,734,964
1,810,394
Total liabilities
4,038,554
5,011,011
Net assets
13,711,232
13,570,549
Equity
Issued capital
95,214,418
88,731,322
Reserves
3,742,154
2,519,398
Accumulated losses
(85,245,340)
(77,680,171)
Total equity
13,711,232
13,570,549
Guarantees entered into by the parent entity in relation to the debts of its subsidiaries
Guarantees for the parent are the same as for the Group.
Contingent liabilities
Contingent liabilities for the parent are the same as for the Group.
Capital commitments - Property, plant and equipment
Capital commitments for the parent are the same as for the Group.
Material accounting policy information
The accounting policies of the parent entity are consistent with those of the Group, as disclosed in note 1, except for the following:
●
Investments in subsidiaries are accounted for at cost, less any impairment, in the parent entity.
Hazer Group Limited
Consolidated entity disclosure statement
As at 30 June 2025
51
Place formed /
Ownership
Tax
Jurisdiction for Foreign
Entity name
Entity type
Country of incorporation
interest %
Residency
tax residency
Hazer Group Limited
Body corporate
Australia
100.00%
Australian
N/A
Hazer Group Canada Limited
Body corporate
Canada
100.00%
Foreign
Canada
Hazer Group Limited
Directors' declaration
For the year ended 30 June 2025
52
In the Directors' opinion:
●
the attached financial statements and notes comply with the Corporations Act 2001, the Accounting Standards, the Corporations
Regulations 2001 and other mandatory professional reporting requirements;
●
the attached financial statements and notes comply with International Financial Reporting Standards as issued by the International
Accounting Standards Board as described in note 1 to the financial statements;
●
the attached financial statements and notes give a true and fair view of the Group's financial position as at 30 June 2025 and of its
performance for the financial year ended on that date;
●
there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable,
and
●
the information disclosed in the attached consolidated entity disclosure statement is true and correct.
The Directors have been given the declarations required by section 295A of the Corporations Act 2001.
Signed in accordance with a resolution of Directors made pursuant to section 295(5)(a) of the Corporations Act 2001.
On behalf of the Directors
___________________________
Tim Goldsmith
Chairman
26 August 2025
RSM Australia Partners is a member of the RSM network and trades as RSM. RSM is the trading name used by the
members of the RSM network. Each member of the RSM network is an independent accounting and consulting firm
which practices in its own right. The RSM network is not itself a separate legal entity in any jurisdiction.
RSM Australia Partners ABN 36 965 185 036
Liability limited by a scheme approved under Professional Standards Legislation
RSM Australia Partners
Level 32 Exchange Tower, 2 The Esplanade Perth WA 6000
GPO Box R1253 Perth WA 6844
T +61 (0) 8 9261 9100
www.rsm.com.au
INDEPENDENT AUDITOR’S REPORT
To the Members of Hazer Group Limited
REPORT ON THE AUDIT OF THE FINANCIAL REPORT
Opinion
We have audited the financial report of Hazer Group Limited (the Company) and its subsidiaries (the Group), which
comprises the consolidated statement of financial position as at 30 June 2025, the consolidated statement of
comprehensive income, the consolidated statement of changes in equity and the consolidated statement of cash
flows for the year then ended, and notes to the financial statements, including material accounting policy
information, the consolidated entity disclosure statement and the directors' declaration.
In our opinion, the accompanying financial report of the Group is in accordance with the Corporations Act 2001,
including:
(i)
Giving a true and fair view of the Group's financial position as at 30 June 2025 and of its financial
performance for the year then ended; and
(ii)
Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for Opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those
standards are further described in the Auditor's Responsibilities for the Audit of the Financial Report section of
our report. We are independent of the Group in accordance with the auditor independence requirements of the
Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board's
APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are
relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in
accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been given to
the directors of the Company, would be in the same terms if given to the directors as at the time of this auditor's
report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the financial report of the current period. These matters were addressed in the context of our audit of the financial
report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
Key Audit Matter
How our audit addressed this matter
Research and development tax rebate - Refer to Note 8 in the financial statements
The Group claims a refundable tax offset for eligible
expenditure under the research and development
(R&D) tax incentive scheme.
Management appointed an independent expert to
perform a detailed review of the Group’s total
research and development expenditure to determine
the potential claim under the R&D tax incentive
scheme.
The Group recognises the R&D tax rebate income on
an accrual basis. The receivable at year-end for the
incentive is $4,526,189, representing the estimated
claim for the eligible expenditure for the year ended
30 June 2025.
This is a key audit matter due to the size of the accrual
and a high degree of judgement and interpretation of
the R&D tax legislation required by management to
assess the eligibility of the R&D expenditure under
the scheme.
Our audit procedures included:
•
Obtaining the R&D rebate calculations prepared by
management’s expert and engaging a R&D Tax
Expert to assess the methodology and determine
the reasonableness of the estimate;
•
Reviewing the expenses applied against the
eligibility criteria of the R&D tax incentive scheme to
assess whether the costs included in the estimate
were appropriate to meet the eligibility criteria;
•
Assessing the eligible expenditure used to calculate
the
estimate
to
evaluate
consistency
with
accounting records;
•
Testing on a sample basis of individual expenditure
items included in the estimate, to the underlying
supporting
documentation
to
ensure
these
expenditure
items
have
been
appropriately
recognised in the accounting records and related to
eligible expenditures; and
•
Assessing the appropriateness of disclosures in the
financial statements.
Other Information
The directors are responsible for the other information. The other information comprises the information included
in the Group's annual report for the year ended 30 June 2025 but does not include the financial report and the
auditor's report thereon.
Our opinion on the financial report does not cover the other information and accordingly we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information and, in doing
so, consider whether the other information is materially inconsistent with the financial report or our knowledge
obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other
information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the Directors for the Financial Report
The directors of the Company are responsible for the preparation of:
a. the financial report (other than the consolidated entity disclosure statement) that gives a true and fair view
in accordance with Australian Accounting Standards and the Corporations Act 2001; and
b. the consolidated entity disclosure statement that is true and correct in accordance with the Corporations
Act 2001, and
for such internal control as the directors determine is necessary to enable the preparation of:
i.
the financial report (other than the consolidated entity disclosure statement) that gives a true and fair view
and is free from material misstatement, whether due to fraud or error; and
ii.
the consolidated entity disclosure statement that is true and correct and is free of misstatement, whether
due to fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the Group to continue as
a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of
accounting unless the directors either intend to liquidate the Group or to cease operations, or have no realistic
alternative but to do so.
Auditor's Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from
material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion.
Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance
with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements
can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably
be expected to influence the economic decisions of users taken on the basis of this financial report.
A further description of our responsibilities for the audit of the financial report is located at the Auditing and
Assurance Standards Board website at: https://www.auasb.gov.au/admin/file/content102/c3/ar2_2020.pdf This
description forms part of our auditor's report.
REPORT ON THE REMUNERATION REPORT
Opinion on the Remuneration Report
We have audited the Remuneration Report included within the directors' report for the year ended 30 June 2025.
In our opinion, the Remuneration Report of Hazer Group Limited, for the year ended 30 June 2025, complies with
section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the Remuneration Report
in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the
Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.
RSM AUSTRALIA
Perth, WA
ALASDAIR WHYTE
Dated: 26 August 2025
Hazer Group Limited
Shareholder information
For the year ended 30 June 2025
57
ASX Additional Information
The Company’s ordinary shares are quoted as ‘HZR’ on ASX.
The shareholder information set out below was applicable as at 28 July 2025.
Number of holders of each equity security
Total Number
Issued
Number of
Holders
Shares
261,764,783
13,397
Unquoted options at $0.001 and expiring 1 January 2028
1,864,100
21
Unquoted options at $0.001 and expiring 1 July 2028
3,708,378
25
Unquoted options at $0.001 and expiring 22 December 2027
4,100,000
1
Unquoted options at $0.001 and expiring 22 December 2027
1,215,000
3
Equity security holders
Top 20 – Fully paid ordinary shares (Shares)
Ordinary shares
% of total
shares
Number held
issued
BNP PARIBAS NOMS PTY LTD
12,353,770
4.72
UBS NOMINEES PTY LTD
10,769,540
4.11
BNP PARIBAS NOMINEES PTY LTD IB AU NOMS RETAILCLIENT
10,322,458
3.94
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
8,061,954
3.08
BNP PARIBAS NOMINEES PTY LTD CLEARSTREAM>
5,850,980
2.24
CITICORP NOMINEES PTY LIMITED
4,881,742
1.86
CITOS SUPER PTY LTD CITOS PTY LTD SF A/C>
4,696,774
1.79
OOFY PROSSER PTY LTD DRONES FAMILY A/C>
1,787,340
0.68
MR ADRIAN JOHN MCTIERNAN
1,616,129
0.62
NETWEALTH INVESTMENTS LIMITED SUPER SERVICES A/C>
1,588,090
0.61
SHARESIES AUSTRALIA NOMINEE PTY LIMITED
1,531,366
0.59
MRS LORRAINE ALYSSA GOLDSMITH
1,480,407
0.57
BNP PARIBAS NOMINEES PTY LTD HUB24 CUSTODIAL SERV LTD>
1,398,241
0.53
MR MARK STEPHEN EDWARDS
1,353,276
0.52
PURUSHA HOLDINGS PTY LTD PURUSHA HOLDINGS SUPER A/C>
1,163,906
0.44
MR ROBERT WEBB TRADING 1 A/C>
1,149,951
0.44
CVCV PTY LTD CVC VELLIOS SUPER FUND A/C>
1,096,774
0.42
MOLLYGOLD SUPERANNUATION PTY LTD MOLLYGOLD SUPER A/C>
1,068,664
0.41
RAYFOIL PTY LTD THE JAMNL FAMILY A/C>
1,060,359
0.41
NETWEALTH INVESTMENTS LIMITED WRAP SERVICES A/C>
1,027,584
0.39
74,259,305
28.37
Hazer Group Limited
Shareholder information
For the year ended 30 June 2025
58
Distribution of equitable securities
Analysis of number of equitable security holders by size of holding:
Holding Ranges
Holders
Total Units
%
1 to 1,000
3,385
2,160,220
0.83
1,001 to 5,000
5,277
13,596,142
5.19
5,001 to 10,000
1,737
13,352,502
5.10
10,001 to 100,000
2,630
80,128,881
30.61
100,001 and over
368
152,527,038
58.27
13,397
261,764,783
100.00
Holding less than a marketable parcel
3,405,062
4,199
-
Unquoted equity securities
Unquoted options at $0.001 and expiring 1 January 2028
Holding Ranges
Holders
Total Units
%
-
-
-
1 to 1,000
-
-
-
1,001 to 5,000
-
-
-
5,001 to 10,000
-
-
-
10,001 to 100,000
15
953,845
51.17%
100,001 and over
6
910,255
48.83%
21
1,864,100
Unquoted options at $0.001 and expiring 1 July 2028
Holding Ranges
Holders
Total Units
%
1 to 1,000
-
-
-
1,001 to 5,000
-
-
-
5,001 to 10,000
-
-
-
10,001 to 100,000
7
483,487
13.04%
100,001 and over
18
3,224,891
86.96%
25
3,708,378
Unquoted options at $0.001 and expiring 22 December 20271
Hazer Group Limited
Shareholder information
For the year ended 30 June 2025
59
Holding Ranges
Holders
Total Units
%
1 to 1,000
-
-
-
1,001 to 5,000
-
-
-
5,001 to 10,000
-
-
-
10,001 to 100,000
-
-
-
100,001 and over
1
4,100,000
100.00%
1
4,100,000
1 Mr Glenn Corrie holds 100% of this class of unquoted options
Unquoted options at $0.001 and expiring 22 December 2027
Holding Ranges
Holders
Total Units
%
1 to 1,000
-
-
-
1,001 to 5,000
-
-
-
5,001 to 10,000
-
-
-
10,001 to 100,000
-
-
-
100,001 and over
3
1,215,000
100.00%
3
1,215,000
The unquoted equity securities were issued to key management personnel, employees and contractors of the Group.
Substantial holders
There are no Substantial holders in the Company as of 28 July 2025.
Voting rights
The voting rights attached to ordinary shares are set out below:
Ordinary shares
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have
one vote.
There are no other classes of equity securities.
On-market Buy-back
There is no current on-market buy-back of the Company’s securities in place.