Page 1

HazerGroup Local Technology for Global Markets Hazer Group Limited ( ACN 144 044 600 ) Level 9 , 99 St Georges Tce , WA 6000 PO Box Z5511 , St Georges Tce , Perth , WA 6831 APPENDIX 4C - 31 MARCH 2021 QUARTERLY ACTIVITIES & CASHFLOW REPORT Highlights : Hazer Commercial Development Project - commencement of site works , including the mobilisation of equipment , site - clearing and civil earthworks . Key contracts , including the reactor and furnace packages , have been awarded in March and April 2021 . Hazer maintains a strong financial position with cash reserves of $ 25.4 million as at 31 March 2021 . Subsequent to the end of the quarter , additional funds were received via $ 4 million proceeds from AP Ventures Convertible Notes being issued and proceeds from exercise of options totalling $ 0.240 million . PERTH , AUSTRALIA ; 30 APRIL 2021 : Hazer Group Ltd ( " Hazer " or " the Company " ) ( ASX : HZR ) lodges the following activity update and attached Appendix 4C Quarterly Cashflow Report for the nine - month period ended 31 March 2021 . Key activities undertaken during the quarter are outlined below : Commercial Demonstration Plant update A key focus of the Company's activities continues to be the execution of the Hazer Commercial Development Project ( " CDP " or " Project " ) . Successful execution of the CDP demonstrating Hazer's technology scale - up represents the key next step in fully commercialising the Hazer Process . Good progress continues to be made on the Project despite a very challenging operating environment due to ongoing impacts of Covid - 19 . The CDP is a 100 tons per annum , low - emission hydrogen production facility that will be the first larger scale , fully integrated deployment of the Hazer Process . The CDP will be located at the Water Corporation's Woodman Point waste - water treatment plant in Western Australia and utilise biogas produced at the treatment plant as feedstock to produce renewable , low emission hydrogen and graphite . During the quarter , Hazer further advanced engineering , procurement and permitting activities related to the CDP and commenced civil site works at the project location within the Woodman Point waste - water treatment facility . We are pleased to highlight progress was made in the following key areas . Contracts for the supply of materials and fabrication for the reactor and reactor heating systems were awarded in March and April , respectively , following completion of a detailed review of the material specifications , design requirements and operating specifications required for the CDP . The placement of these orders is a significant milestone , and the Hazer project team will now work with the chosen suppliers on the detailed implementation of these complex packages . Hazer was granted access to the project site at Woodman Point waste - water treatment facility for the Hazer Commercial Demonstration Project . Mobilisation of equipment , site clearing , and civil earthworks commenced . The civil site preparation works are planned to be completed in early May 2021 , with concreting and civil construction activities starting mid - year . First vendor equipment packages have been received and will be securely stored ahead of installation scheduled for the second half of 2021. These include receipt of the hydrogen fuel cell package supplied by Horizon Fuel Cell Technologies . During the quarter , we advised that the expected cost of the Project was now estimated to be between 5 - 10 % above our initial indicated capital cost estimate of $ 17 million in an expected range of $ 17.9 million - $ 18.7 million and an expected target completion date of November / December 2021 . The increase in cost is due to a number of factors , including ; an increased budget for the reactor and furnace packages as the revised design has required more complex metallurgy and manufacturing to be able to safely WWW.HAZERGROUP.COM.AU CONTACT@HAZERGROUP.COM.AU 1