Highlights

Binding strategic alliance with KBR (NYSE: KBR), a world-leading engineering group and global technology licensor set to supercharge Hazer's commercialisation strategy
Hazer is KBR's exclusive partner for marketing and licensing of methane pyrolysis technology
Clear revenue visibility targeting multiple license deals within 6 years, materially derisking Hazer's business

plan

Capital-lite licensing model maintained; KBR A$3million work program contribution preserves Hazer's robust funding position
Strengthens Hazer's market penetration into high-growth market segments of ammonia and methanol, and regions including North America and Middle East
CEO Glenn Corrie and other members of the management team will be hosting a webinar on Wednesday, 07 May 2025 at 09:00am (AWST) / 11:00am (AEST). Details provided below

PERTH, Australia, May 05, 2025 (GLOBE NEWSWIRE) -- Hazer Group Ltd ("Hazer" or "the Company") (ASX: HZR) is pleased to announce it has entered into a binding Alliance Agreement (the "Alliance") with Kellogg Brown and Root LLC (NYSE:KBR, "KBR")) a global leader in technology and engineering solutions, for the commercial deployment and licensing of Hazer's proprietary methane pyrolysis technology.

KBR – A Global Leader in Technology Licensing

KBR is a world-renowned engineering and technology company delivering engineering and cutting-edge technology licensing solutions to companies and governments across energy, chemicals, infrastructure and defence. KBR has licensed over 260 grassroots ammonia plants since 1943. Over 50% of the world's ammonia is produced using KBR's ammonia process.

KBR also brings a strong track record in commercialising breakthrough industrial technologies. Notable partnerships include ExxonMobil for next-generation catalyst development, and Mura Technology (including a US$100 million strategic investment) to scale its proprietary plastic recycling solution world-wide.

Under the Alliance, KBR will be Hazer's exclusive global partner for the marketing, licensing and deployment of Hazer technology to customers in the ammonia and methanol markets. KBR and Hazer will also work closely to pursue licensing opportunities in decarbonizing hydrogen markets beyond these exclusive markets.

KBR's President Sustainable Technology Solutions, Jay Ibrahim, said: "KBR's proven global expertise in deploying sustainable technology solutions complements Hazer's leading methane pyrolysis technology, making us ideal partners. Our market assessment and due diligence have highlighted Hazer's potential to decarbonize the global ammonia and methanol sectors. We are excited to partner with Hazer to provide a compelling low- carbon hydrogen production solution to meet growing global demand."

Hazer's CEO and Managing Director, Glenn Corrie, said: "We are excited to be joining forces with KBR to commercialise Hazer's world-leading clean hydrogen technology on the global stage. This is a transformational transaction for Hazer coming at a critical time when the world urgently needs affordable, low-emissions hydrogen to decarbonise legacy hard-to-abate industries. Building on the momentum of our successful Commercial Demonstration Plant and technology test program, which laid the foundations of commercialisation last year, this partnership represents a strong endorsement and the next logical step in delivering on our strategic roadmap and unlocking long-term value for shareholders.

KBR has the scale, capability and reputation to help accelerate the deployment of Hazer's technology at industrial scale. We see immediate potential in the ammonia and methanol sectors – industries with significant CO2 footprints and strong demand for clean alternatives. KBR's market leadership, global reach and execution strength make them an ideal partner to bring our vision to life."

Strategic Alliance to Commercialise Hazer's Leading Methane Pyrolysis Technology

Under the Alliance, Hazer and KBR will collaborate on the up-scaling, marketing and licensing of the Hazer technology for commercial deployment.

Under the terms of the agreement, KBR will be Hazer's exclusive licensing partner for the ammonia and methanol markets while working closely in other hydrogen sectors. The initial term of the Alliance is six (6) years with an option to extend subject to the achievement of performance metrics. The parties have agreed to collaborate on the development of a design package for Hazer facilities targeting hydrogen capacities of 50,000+ tonne per annum as well as the global sales, marketing and licensing of Hazer's technology. Hazer will be KBR's exclusive methane pyrolysis technology provider.

The total cost of the Alliance work program is anticipated to be in the range A$3.0-5.0 million of which KBR will contribute approximately A$3.0 million over the work program period. The Alliance is underpinned by performance objectives with a target of securing multiple firm licensing opportunities during the initial term.

In respect of royalty and licensing fee sharing, the Company will keep the market informed as license arrangements are signed. Hazer's pre-existing portfolio and opportunity pipeline is not subject to the terms of the Alliance. An incentive structure applies in the event KBR secures a license for the first commercial unit secured within three years. There is no financial impact at this stage as no client agreements are in place.

In other terms, the agreement can terminate if licensing performance metrics are not met. Hazer retains full ownership of its existing intellectual property. The agreement otherwise contains terms customary for an arrangement of this kind.

Strategic Rationale and Impact on Hazer's Business Plan

This landmark strategic alliance with KBR, a globally recognised leader in technology licensing, marks a transformational step in Hazer's commercialisation strategy. It provides a clear pathway to commercial scale unlocking the vast potential of the company's technology. At present, Hazer has a customer pipeline comprising of over 40 potential license opportunities in addition to currently announced projects. This transaction enables the acceleration of the company's business plan by adding multiple technology licensing opportunities within the next six (6) years. Additionally, it substantially boosts the ability to scale and deploy its technology at an unprecedented pace, dramatically increasing the likelihood of achieving the company's goal of ten (10) licensing deals in the next decade.

Material impact on Hazer's portfolio and business plan:

1.   New revenue streams: Creates access to global ammonia and methanol markets, significantly expanding market penetration.

2.   De-risks and accelerates project portfolio deployment: Leverages KBR's resources, execution capability

and market reach to fast-track industrial-scale delivery of Hazer technology.

3.   Capital-efficient growth: Maintains Hazer's robust funding position. Early phase project revenues and KBR's contribution to the work program minimises Hazer's funding requirements. Capital-lite licensing model drives early free cash-flow generation and reduces balance sheet risk.

4.   Market leadership and first-mover advantage: Positions Hazer at the forefront of low-emissions

hydrogen supply in two of the world's largest existing demand markets.

Disrupting a Large, Established and CO2 Intensive Market*

Hydrogen is critical to ammonia and methanol production, representing over 50% of global hydrogen demand (~54 million tonnes per annum) with the two markets having a combined value of US$120 billion. The current production process used to supply hydrogen to these markets is extremely CO2 intensive, responsible for over 500 million tonnes of CO2 emissions per annum globally.

Under the Alliance, Hazer's technology will deliver clean and affordable hydrogen supply as the critical feedstock for the ammonia and methanol industries. With KBR's market leadership, the Alliance enables the Hazer Process to be positioned as a "bolt-on" low-emissions alternative for both existing (brownfield) and new (greenfield) deployments across a large global market.

Ammonia and methanol are also increasingly recognised as preferred clean fuels for marine transport (and potentially future power generation) presenting further growth opportunities for Hazer under the Alliance.

Indicative Activity Plan and Next Steps

With the signing of the Alliance Agreement, the parties will commence development of a detailed activity plan. Key activities in the first 12 months are expected to include:

Development of a Process Design Package (PDP) for industrial scale Hazer facilities
Prepare the sales and marketing strategy
Development of the joint license agreement framework
Market engagement and licensing activities

Hazer Group Investor Webinar

Hazer CEO Glenn Corrie and other members of the management team will host a webinar to discuss the announcement and Q&A session to address shareholder questions. If you would like to join, please click on the link below to register:

Date: Wednesday, 7 May 2025

Time: 09:00am (AWST) / 11:00am (AEDT)

Registration: https://us02web.zoom.us/webinar/register/WN_EKYW5OznSkOrp8A4RojoyA To submit questions in advance, please email us at WE-AUHazer@we-worldwide.com

This announcement is authorised for release by the Board of the Company.

For further information or investor enquiries, please contact:

Corporate Enquiries

Hazer Group

Email: contact@hazergroup.com.au

Phone: +61 8 9329 3358

Media enquiries

WE Communications – Ana Harrop

Email: anah@we-worldwide.com

Phone: +61 452 510 255

About Hazer Group Ltd (ASX: HZR)

Hazer Group is an Australian technology company, driving global decarbonisation efforts with the commercialisation of the company's disruptive world-leading climate-tech. Hazer's advanced technology enables the production of clean and economically competitive hydrogen and high-quality graphite, using a natural gas (or biogas) feedstock and iron-ore as the process catalyst.

About KBR (NYSE: KBR)

KBR delivers science, technology and engineering solutions to governments and companies around the world. KBR employs approximately 38,000 people worldwide with customers in more than 80 countries and operations in over 29 countries.

KBR is proud to work with its customers across the globe to provide technology, value-added services, and long-term operations and maintenance services to ensure consistent delivery with predictable results. At KBR, We Deliver.

Visit www.kbr.com

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Forward-looking Statements

This announcement may contain certain "forward-looking statements" which may not have been based solely on historical facts but are based on the Company's current expectations about future events and results.

Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties, assumptions, and other factors, which could cause actual results to differ materially to futures results expressed, projected, or implied by such forward looking statements.

The Company does not undertake any obligation to release publicly any revisions to any "forward-looking statements" to reflect events or circumstances after the date of this announcement, or to reflect the occurrence of unanticipated events, except as may be required under the applicable securities laws.

Hazer and KBR Enter Global Deal to Accelerate Licensing and Commercialisation