Dear Stakeholders,

As we reflect on 2024, I am proud to highlight the progress H2X Global has made in reshaping our business and accelerating our vision to transform commercial vehicles with zero-emission hydrogen power. This has been a year of strategic realignment, financial discipline, and results, all of which have laid a strong foundation for 2025 to also be an incredible year.

2024: A Year of Strategic Focus and Operational Efficiency

At the beginning of the year, we made the pivotal decision to shift our focus and pause the development of the Darling Van to concentrate on immediate deliverables: the Warrego and our retrofit strategy. By consolidating our engineering site, we have achieved cost savings while accelerating development and operational improvements across the board.

This strategic refocus has already delivered measurable financial improvements:

• Expense Reduction of $2.8M (41% decrease): Through workforce adjustments and targeted cost-saving initiatives, we reduced employment costs by $2.2M (50% decrease), optimising our operations and enhancing efficiency.
• Reduction in Professional Fees and IT Costs (30% decrease): By reassessing our advisory relationships, we have streamlined services and reduced related expenses.
• Net Asset Growth of Over $1.5M (200% increase): Our restructuring efforts have directly contributed to this growth, strengthening our financial position.
• Liability Reduction of Over $2M (40% decrease): We have actively addressed outstanding debts, enhancing financial stability and liquidity, positioning H2X for future expansion.

These financial improvements reflect our commitment to maintaining a lean, focused operation and building a more efficient business.

Warrego Development and Strategic Partnerships

The Warrego, the world’s only hydrogen-powered 4×4, has already garnered global attention, ranking #12 on TopSpeed’s “15 Hydrogen Cars to Look Out For.” With the first Warrego now in the final stages of roadworthiness testing, we are on the cusp of delivering a truly innovative, zero-emission vehicle to the market.

The addition of James Walker to the H2X Board has been instrumental in refining our strategy and preparing the company for an eventual public listing. His decades of experience in scaling high-growth businesses, IPOs, and M&A transactions has already been invaluable.

In 2024, we also welcomed Georg Zembacher, European Chief Innovation Officer at Toyota’s Innovation and Solutions Division, as a Non-Executive Director. His expertise in hydrogen and electrification solutions, drawn from his experience at Toyota, Siemens, and AVL, aligns perfectly with our mission to transition from diesel to zero-emission technologies. Georg’s insights will be critical in advancing H2X’s growth trajectory.

Challenges and Adaptation

While 2024 has been a year of progress, it has not been without its challenges. The stalled funding deal with Verde Mobility required us to adapt quickly, leading to tough but necessary decisions to maintain momentum. By focusing on the Warrego and retrofit opportunities, we have created immediate value and solidified our market position. Our agility and resilience will continue to define H2X as we transition into full vehicle production.

Looking Ahead to 2025

As we move into 2025, our primary focus is scaling production and fulfilling our commitments. With the Warrego nearing roadworthy completion, we are preparing for deliveries and ramping up production.

Additionally, the development of the Paroo truck is underway, further demonstrating our ability to scale hydrogen-powered solutions across multiple vehicle classes. Retrofitting remains a cornerstone of H2X’s phased business plan, allowing us to accelerate market entry while avoiding the substantial capital and time investments required for full-scale manufacturing from the ground up. This approach provides a proof of concept for our hydrogen-electric vehicles, instilling market confidence and laying the groundwork for future growth.

The Paroo truck’s “Retrofit Ready” design, arriving without an engine, transmission, or fuel system, allows us to seamlessly integrate our hydrogen powertrain technology. This brings us closer to producing fully proprietary vehicles and solidifies our technical leadership in the hydrogen vehicle sector.

 

IPO and Funding Requirements

As we prepare for H2X’s IPO on the AIM market of the London Stock Exchange in 2025, we continue to lay the groundwork for this significant milestone. We have engaged leading intermediaries, including auditors, legal experts, and Nomad advisors, to ensure a smooth and successful listing.

The IPO will provide H2X with access to capital, enabling us to scale our operations, optimise inventory ordering, and increase gross margins. Meeting the disclosure and governance standards required of a listed company will further strengthen our reputation and appeal to customers and partners worldwide.

In the meantime, we are raising funds to support the retrofit of our next wave of ordered vehicles and to cover the initial IPO costs. Securing additional funding now is critical to maintaining the momentum we have built. We sincerely thank our existing investors for their support thus far. Qualifying investors who wish to participate in this round, please contact H2X or our lead manager, Barclay Pearce Capital (BPC). Your continued support is essential to enabling us to execute our strategy and lead the global shift to hydrogen-powered transportation.

Recognition

We were honoured to receive the 2024 AFR BOSS Most Innovative Companies Award in the “Property, Construction, and Transport” category, coinciding with World Hydrogen Day. This recognition is a testament to the innovative work behind the Warrego’s development and reinforces H2X’s position as a leader in the hydrogen vehicle market.

Additionally, I had the privilege of visiting Toyota’s hydrogen fuel cell facility in Japan with our Chair, James Walker. This visit strengthened our partnership with Toyota and underscored the crucial role their technology plays in advancing H2X’s vehicles.

Conclusion

2024 has been a transformative year for H2X, marked by strategic decisions, financial discipline, and tangible progress. Our foundation is strong, our vision is ambitious, and with your continued support, we are poised to lead the global transition to hydrogen-powered transportation.

Thank you for being part of this journey.

Warm regards,
Antony Tolfts
CEO, H2X Global Limited

Dear Shareholders,

This month showcases our progress on multiple fronts as we work towards becoming a leading hydrogen-vehicle producer. With key milestones including the rights issue shortfall offer, an Australian roadshow, and a strategic visit to Toyota in Japan, we are pushing forward at an accelerated pace. As we move closer to an IPO and scale production, our vision of transforming the future of transport is steadily becoming a reality. Here’s how we are making it happen.

Rights Issue Shortfall
I would like to thank all shareholders who have already participated in the rights issue shortfall. I encourage both existing and new investors to consider this unique opportunity to invest in H2X as we enter our next phase of growth. The recent addition of Georg Zembacher, Toyota’s European Chief Innovation Officer of their Solutions Division, to our Board has further bolstered our capacity to scale production and meet the rising demand for hydrogen-powered solutions.

 If you have any questions about the shortfall offer, please feel free to contact H2X or our lead manager, Barclay Pearce Capital (BPC).

Roadshow with Barclay Pearce Capital
This week marks the beginning of our Australian roadshow in partnership with BPC. Over the next eight days, we will meet with both current and prospective investors in Sydney, followed by visits to Melbourne and Brisbane. This roadshow provides an invaluable opportunity to engage directly with our investors, and I look forward to connecting with many of you throughout this exciting tour. If you would like more information on how to participate, please reach out to BPC or H2X.

Recognition: AFR BOSS Most Innovative Companies Award
H2X Global was recently awarded the 2024 AFR BOSS Most Innovative Companies Award in the Property, Construction, and Transport category. It was fitting that this recognition coincided with the tenth World Hydrogen Day on 8 October 2024. This award celebrates the hard work that brought the Warrego to life—the world’s only hydrogen-powered 4×4—and firmly positions H2X as one of Australia’s most forward-thinking companies.

Operational Updates: Warrego and Future Builds
We are approaching the final stages of roadworthiness and compliance testing for the Warrego 4×4. While we have made significant progress, there have been a few unexpected delays. Our Electromagnetic Compatibility (EMC) testing, initially scheduled for 18 November, was cancelled due to a double booking at the testing facility. We are currently working with Kiwa to expedite the rescheduling and are exploring alternative sites to prevent further delays.

Additionally, the RDW (Dutch roadworthiness accreditation body) experienced reduced capacity in August, creating a backlog when operations resumed. The transition to the latest Warrego model—which includes enhanced futureproofing and performance improvements—required more time for integration and coding than originally planned. Compounding the delays, the unavailability of a suitable battery pack that met our specifications led us to develop a custom solution, which further extended the production timeline.

Updated Timeline for Warrego Final Stages:

1 November 2024 Road and compliance testing at G71 Engineering

4–13 November 2024 Vehicle available for driver and maintenance training

14 November 2024 Test drive with potential customers

18 November 2024 Original EMC testing (cancelled, rescheduling in progress)

20 November 2024 (Estimated) Full vehicle road and compliance testing at Lelystad, including acceleration, braking, and other performance tests

Looking ahead, we are optimistic about the production timeline for future vehicles, as we have now developed a plug-and-play coding system that will streamline the process. Additionally, we expect improvements in RDW processing times. As H2X moves toward full production, we are well-positioned to meet the growing demand for hydrogen-powered solutions.

Partnership with Toyota: Insights from Our Japan Visit
After rigorous testing of various technologies, H2X moved to integrate Toyota’s fuel cells into our vehicles due to their unrivalled reliability and ability to swiftly respond to power demands. The fuel cells allow us to optimise battery pack size, reducing costs by requiring only a small battery to assist with system start-up and provide extra power during acceleration or hill climbs. Toyota’s fuel cells are also highly adaptable, performing consistently across a wide range of temperatures and humidity levels. This partnership has been key to advancing our hydrogen-powered vehicle solutions, and Toyota’s technical support has been invaluable.

Last week, I had the privilege of visiting Toyota’s advanced hydrogen fuel cell facility in Japan, alongside our Chair, James Walker. H2X is one of only two companies to have been granted access to this cutting-edge facility, and the level of innovation we witnessed was remarkable. Having grown up with Toyota as a trusted family vehicle, I am particularly proud to now be partnering with such a respected global leader in the automotive industry.

Third AGM Scheduled
Our third Annual General Meeting (AGM) is scheduled for the last week of November. This will be a significant opportunity for shareholders to engage with the Board, ask questions, and contribute to the company’s future direction. I strongly encourage all shareholders to attend and participate.

Closing Remarks
H2X Global is on an exciting trajectory, but to fully realise our strategy and next phase of vehicle production and IPO, we need to close this funding gap.

Thank you once again for your trust and ongoing support.

 

Sincerely,
Antony Tolfts
CEO, H2X Global Limited

 

---

 

About H2X Global
Zero emissions, extended driving ranges, and under 5-minute refuelling times—H2X Fuel Cell Electric Vehicles set the standard for commercial transportation. As the world’s only hydrogen-powered 4×4, H2X is leading the way in the future of transportation.