Hexagon Energy's Strategic Gas Supply Agreement

Hexagon Energy Materials (ASX:HXG) has announced a pivotal development in its WAH2 Clean Ammonia Project. The company has entered into a non-binding agreement with Chevron Australia for an Indication of Gas Supply. This agreement is a precursor to a formal gas sales and purchase agreement expected by September 2025, crucial for the project's aim to produce low-emissions ammonia.

Hexagon's Ambition for WAH2 Project

Hexagon Energy Materials has taken a substantial step forward with its WAH2 Project by securing a gas supply agreement with Chevron. This agreement will cover 60% of the project's Phase 1 requirements starting from 2029, with plans for a formal agreement by September 2025. The project aims to commence production by the end of 2028, focusing on delivering low-emissions ammonia to the Asia Pacific, particularly targeting Japan and South Korea. Hexagon's strategic goal is to displace more carbon-intensive energy sources and support the region's transition to cleaner energy, backed by strong partnerships and infrastructure development.

Executive Commentary on Chevron Agreement

The agreement with Chevron marks a significant milestone for Hexagon in advancing the WAH2 Project. It underscores our commitment to developing a viable clean ammonia business and our strategy to provide low-emissions energy solutions to the Asia Pacific region.