Dear Fellow H2X Shareholder,
The past month has been an important period for H2X as we continue the transition from technology development toward commercial execution.
There is considerable activity across the Company, but increasingly it is centred around a much clearer strategy: taking the hydrogen technology, engineering capability and international partnerships H2X has developed over several years and converting them into products, customers and revenue.
Our commercial focus is increasingly defined around three areas.
First, our hydrogen storage systems, where H2X has a proven product manufactured by an established partner and operating successfully in Europe.
Second, our hydrogen-electric vehicle platforms, principally the Paroo light commercial vehicle and Yarra heavy commercial vehicle, where our focus is increasingly on selecting the most efficient engineering and manufacturing pathways to address identifiable customer and fleet opportunities.
Third, we are progressing the commercial assessment of an additional hydrogen product opportunity. This has arisen for a simple reason: H2X continues to receive enquiries for a product that we do not currently offer. Rather than ignore that demand, we are examining whether existing H2X technology, engineering capability and our partner network can provide a capital-efficient pathway to bring a competitive product to market.
It is still too early to formally introduce that product, and we will only proceed where the commercial case is compelling. However, I am encouraged by the level of unsolicited market interest and look forward to providing shareholders with more information as the programme develops.
Alongside this commercial work, we are progressing several important corporate milestones: completing the FY2026 audit, progressing our next R&D Tax Incentive claim, advancing the pre-IPO capital raising, working toward the appointment of our Lead Manager and continuing preparations for H2X’s proposed public listing.
Importantly, relationships developed over the past year are also beginning to convert into tangible commercial partnerships.
Listing, Capital and the Next Stage of H2X
The proposed listing remains a central priority for H2X, and I am increasingly confident in the pathway we are establishing.
Since joining the Board, Giles Bourne has brought considerable capital-markets and technology-sector experience to this process, including a track record of securing expansion capital, strategic partnerships, joint ventures and licensing agreements. Giles and I have been actively engaging with the Australian broking and corporate finance community to identify the right Lead Manager to support H2X through the pre-IPO period and proposed listing.
During that process, H2X received a formal mandate proposal from one firm. After careful consideration, we made the difficult decision to decline it.
We appreciated the firm’s interest in H2X, but this is an important appointment. Our objective is not simply to appoint a broker; it is to establish the right capital-markets partnership for the next stage of the Company’s development.
Encouragingly, we believe we have now identified a group with whom there is strong alignment. We have received high-level commercial terms and are progressing the remaining diligence and engagement documentation. I look forward to discussing the proposed appointment at next week’s Board meeting with a view to obtaining Board approval and, subject to final terms, moving promptly into the next phase.
In parallel, H2X has opened its pre-IPO capital raising.
I would like to thank the existing shareholders and new investors who have already participated. We greatly appreciate that continued confidence in H2X and its strategy.
The pre-IPO round remains open, and I am always happy to speak directly with existing shareholders who are considering increasing their holding, or who simply want a more detailed discussion regarding the Company, the raising and our pathway toward the proposed listing.
Lower Silesia – From Introduction to Partnership
In my previous CEO Letter, I discussed H2X’s participation in the Australian Government-supported hydrogen delegation through Germany, Poland and the Netherlands and some of the relationships emerging from that programme.
I am pleased to report that one of those relationships has now progressed into a formal strategic partnership.
H2X has executed a Memorandum of Understanding with the Lower Silesian Hydrogen Valley Association and SIGMA Project, establishing a framework to jointly pursue the development, funding, integration and deployment of hydrogen-powered municipal vehicles across Poland, Central Europe and the Nordic region.
This is exactly the progression we want to achieve: introduction, engagement, partnership and ultimately commercial deployment.
Our immediate focus is the 24–26 tonne vehicle class, particularly hydrogen-powered refuse collection vehicles.
These vehicles present an attractive hydrogen application. They work intensive and predictable daily duty cycles, return to central depots, have significant energy requirements, operate auxiliary equipment and need to preserve productive payload while transitioning away from diesel.
The partnership allows H2X to contribute our hydrogen vehicle, storage and systems-integration capability while working with established European organisations with local engineering, municipal equipment, government, funding and customer relationships.
The objective is clear: move beyond discussing hydrogen vehicles and get H2X vehicles into funded projects and ultimately onto European roads.
Australian Government and Austrade Support
H2X’s international strategy continues to receive meaningful support through the Australian Government’s trade and export development network.
Over the past year, we have participated in two Australian Government-supported international delegations, including engagement surrounding the World Hydrogen Summit in Rotterdam. Those programmes have given H2X access to government, industry and potential commercial partners across Europe and helped accelerate relationships that otherwise could have taken considerably longer to establish.
Building on that engagement, H2X has now been selected by the Australian Trade and Investment Commission, Austrade, to participate in its Export Growth Pathway.
Austrade describes the EGP as providing intensive and tailored trade support to “a select group of Australia’s most promising exporters“. For H2X, selection provides a dedicated Austrade Account Manager and coordinated access to Austrade’s international network, together with targeted commercial introductions, market expertise, export leads and international business development support.
We are already seeing what effective collaboration between Australian industry and government can achieve. Relationships facilitated through the Australian Government’s international engagement contributed to the introductions in Poland that have now developed into our formal strategic collaboration with the Lower Silesian Hydrogen Valley Association and SIGMA Project.
That progression, government-supported delegation, targeted introduction, commercial relationship, formal partnership and now a pathway toward projects, is precisely the outcome these programmes are designed to facilitate.
We are grateful to the Austrade teams in Australia and Europe and to the broader Australian Government representatives who have supported H2X. Their willingness to open doors for an Australian technology company is making a tangible contribution to our international development.
FY2026 Audit and R&D Tax Incentive
H2X has maintained independently audited financial statements since the Company’s inception, with RSM Australia currently acting as our external auditor.
Every annual audit is important. The FY2026 audit is particularly important.
A significant amount of Board and management time over the past month has therefore been directed toward working with RSM to complete the audit of H2X’s financial statements for the year ended 30 June 2026. Those audited accounts are an important requirement for the proposed listing and will form part of the financial information provided to prospective Lead Managers, advisers and investors as we progress through the pre-IPO process.
Completion of the audit also supports our FY2026 Research & Development Tax Incentive claim.
H2X has historically received R&D Tax Incentive rebates against qualifying expenditure, providing an important source of non-dilutive funding for eligible engineering and technology development.
Importantly, H2X also holds an Overseas Finding from AusIndustry covering qualifying overseas R&D activities. This is particularly relevant to H2X’s operating model, under which specialist engineering and development activities are undertaken both in Australia and with our international engineering partners.
We are working with RSM Australia and William Buck, our R&D and tax advisers, with a clear sequence of priorities: complete the FY2026 audit, finalise the associated financial and tax work and progress the FY2026 R&D Tax Incentive claim without unnecessary delay.
These are not simply compliance exercises. They strengthen H2X’s financial foundations and support the next stage of commercial execution and our proposed listing.
Australian Technologies Competition
During the period, H2X has also progressed its participation in the 2026 Australian Technologies Competition.
While the competition includes a $100,000 in cash and support services, the value to H2X extends considerably further. It has required management to step away from the considerable technical detail behind our products and articulate the business in straightforward commercial terms: the problem we solve, our addressable markets, the technology, our competitive advantage, how H2X makes money and how we can scale.
That exercise reinforced an important point.
The H2X proposition is becoming simpler.
We do not need to manufacture every component or build every vehicle ourselves. Our strategy is to combine H2X technology, intellectual property and hydrogen engineering capability with established vehicle platforms, specialist engineering partners, proven manufacturers and commercial partners.
That is a substantially more capital-efficient route to market.
My sincere thanks to our ATC mentor, Tobias Byron, for his guidance and support through the process.
The next major milestone is 15 September in Sydney, with the Finalists’ Live Pitches followed by the National Awards.
Building the H2X Product Portfolio
As H2X moves further into commercialisation, I believe it is increasingly useful to think about the Company through its products rather than individual engineering projects.
Hydrogen Storage Systems
Our hydrogen storage systems represent the most mature part of the H2X product portfolio.
The important point is that this is proven technology.
H2X’s Type IV hydrogen storage systems have now operated through four seasons in Germany, providing meaningful real-world validation under changing operating and environmental conditions.
The feedback from our customer speaks for itself: “Our experience with your tank cylinders is very good. Parameters, documentation, delivery, quality and function is perfect so far. They operate so unobtrusively that we almost forget they’re there.”
In hydrogen storage, that is an excellent result. Reliability, documentation, manufacturing quality and predictable operation are fundamental.
During the first week of August, our South Korean manufacturing partner also hosted a group of H2X shareholders at its production facility. I am grateful to our partners for providing shareholders with direct access to the facility, production capability and engineering team.
Those shareholders came away impressed by both the quality of the operation and the expertise and engagement of our manufacturing partner.
This combination, proven technology, high-quality manufacturing, positive customer experience and real-world European operation, gives H2X a strong foundation.
The priority now is commercial.
We need to increase our European sales presence, build market awareness and convert a technically proven and, we believe, highly competitive product into an increasingly meaningful revenue stream.
Paroo: Light Commercial Vehicles
Development of the H2X Paroo continues, with our engineering work increasingly focused on identifying the most commercially efficient route to market.
One of the principal challenges is integration with modern vehicle electronic and cybersecurity architectures. Today’s vehicles are effectively sophisticated computer networks, with powertrain, braking, battery, safety and control systems communicating through increasingly secured electronic architectures.
Integrating a hydrogen-electric powertrain therefore requires much more than mechanically installing a fuel cell and hydrogen storage system.
Our engineering partners continue to work with H2X to identify the most efficient integration pathway for the Paroo, while we also assess alternative donor vehicles, particularly existing battery-electric platforms where appropriate manufacturer-supported software and systems access may provide a cleaner, faster and lower-risk route to commercial deployment.
We are deliberately remaining platform-agnostic.
The objective is not to force the Paroo onto a particular donor vehicle. It is to identify the platform that provides H2X with the best combination of roadworthiness, engineering accessibility, supply, economics and speed to market.
Yarra: Heavy Commercial and Municipal Vehicles
The H2X Yarra is our heavy commercial vehicle platform and is attracting renewed interest, particularly in European municipal applications.
Our current commercial focus is the 24 to 26 tonne class, including refuse collection vehicles, which aligns directly with the opportunity we are developing with our partners in Lower Silesia.
It remains early in that commercial process. Government-supported European projects necessarily move through funding, procurement and approval stages before becoming vehicle orders.
Nevertheless, I am encouraged by the opportunity.
Refuse collection is particularly well aligned with the characteristics of hydrogen-electric propulsion: intensive operation, substantial energy requirements, predictable routes, centralised depots, auxiliary power requirements and the need to preserve payload.
Again, our strategy is not to build every part of the vehicle ourselves. H2X provides the hydrogen technology, architecture and integration capability and works with established European partners for vehicle platforms, bodies, specialist equipment, engineering, funding and customer access.
That is the capital-efficient commercial model we intend to pursue.
A New H2X Product
There is another opportunity developing which I believe is worth briefly flagging for shareholders.
Over an extended period, H2X has received repeated enquiries from customers and industry participants seeking a hydrogen product that we do not currently offer.
The frequency of those enquiries has reached the point where we believe it warrants a structured commercial response.
During the past month, management and the technical team have therefore begun assessing whether H2X can bring an additional product to market using technology, engineering capability and supply relationships that already exist within H2X and our international partner network.
Our approach is deliberately disciplined. We are assessing market demand, customer applications, product specification, component supply, certification, manufacturing economics and the most capital-efficient pathway to commercialisation before committing material development capital.
I do not want to announce a product before we are satisfied that H2X has both a technically credible and commercially attractive pathway to market.
However, there is an important difference between inventing a product and responding to persistent customer demand for one.
In this case, the market has been asking H2X for the product before H2X has formally offered it.
That is an encouraging starting point.
Subject to completing the current assessment and the appropriate Board approvals, I hope to introduce this new addition to the H2X product portfolio in the near future.
Western Australia
I returned to Perth during the period for discussions with H2X shareholders, prospective investors, brokers and participants in Western Australia’s growing hydrogen industry.
Western Australia remains an important market for H2X.
I have previously had the opportunity to have a one-on-one lunch with Western Australian Premier Roger Cook, during which we discussed H2X and the broader hydrogen opportunity. The Premier encouraged H2X to consider Western Australia as a potential future Australian manufacturing location, and that opportunity remains firmly on our radar.
H2X Global is an Australian company.
Today, the commercially sensible approach is to utilise the engineering and manufacturing capability we have established in Europe and South Korea rather than prematurely duplicate infrastructure.
Over time, however, our ambition remains to establish physical manufacturing capability in Australia when commercial volumes justify it. A logical pathway could begin with vehicle assembly and systems integration before progressively expanding into broader manufacturing.
Western Australia’s renewable energy resources, mining and industrial base, long transport distances and developing hydrogen infrastructure make it particularly interesting in that context.
Independent Research
H2X is also working with an external research team on an independent research note examining the Company, its technology, markets and commercial strategy.
The analysts have been provided access to management and supporting information to allow them to develop their own assessment of the Company.
Subject to completion and appropriate approvals, we look forward to making that research available to shareholders and prospective investors. Independent analysis will become increasingly important as H2X moves toward the public markets and begins engaging with a broader professional and institutional investor audience.
AGM and Shareholder Engagement
Preparations are also beginning for H2X’s next Annual General Meeting.
Following the overwhelmingly supported constitutional amendments approved by shareholders at last year’s AGM, we expect this year’s meeting to be conducted entirely online for the first time.
After operating hybrid AGMs for several years, the new arrangements allow H2X to remove the unnecessary cost and administration of securing and operating a physical venue while maintaining shareholders’ ability to participate directly.
For a Company with shareholders across Australia and internationally, I believe that is both more efficient and more accessible.
As H2X progresses its pre-IPO raising and proposed listing, shareholder engagement becomes more important, not less.
I therefore hope shareholders will participate actively. The AGM will provide an opportunity to conduct the formal business of the Company and for shareholders to hear directly from the Board and management about our progress and priorities.
Formal meeting details and voting information will be distributed once finalised.
Looking Ahead
H2X enters this next stage with greater clarity around both what we sell and how we intend to scale it.
Our product strategy is taking shape.
We have proven hydrogen storage technology already operating in Europe and a clear objective to increase sales.
We have two defined hydrogen-electric vehicle platforms, the Paroo and Yarra, being progressed against identifiable market opportunities through a capital-efficient model that combines H2X technology with established vehicle, engineering and manufacturing partners.
And we are responding to persistent inbound demand by assessing an additional product that has the potential to broaden H2X’s addressable market using technology and capabilities already available within our network.
Around those products, the broader pieces of the Company are also coming together.
Our FY2026 audit is progressing. Our R&D Tax Incentive claim will follow. Our pre-IPO raising is underway. We believe we have identified the capital-markets group with whom we want to progress our proposed listing. Our European relationships are converting into formal partnerships. Austrade is supporting our international expansion, and H2X is developing a growing network of commercial, government, engineering and manufacturing partners.
There remains work to do, but the direction is increasingly clear.
The next phase of H2X is about commercialisation: selling storage systems, delivering vehicles, introducing carefully selected new products in response to demonstrated demand, converting international partnerships into projects and revenue, and building the financial and corporate platform required to take H2X successfully into the public markets.
We intend to execute that strategy with discipline. We will continue to use partnerships and existing manufacturing capability where that reduces capital requirements and accelerates market entry, while concentrating H2X’s resources on the areas where we create the greatest value—hydrogen technology, engineering, integration, intellectual property, product development and commercial relationships.
There is a growing sense of momentum across the Company. More importantly, that momentum is increasingly centred around tangible products and identifiable commercial outcomes.
That is where the Board and management are focused.
Thank you, as always, for your continued confidence and support of H2X. I look forward to reporting on the next milestones as we deliver them.
Kind Regards
Antony Tolfts
Chief Executive Officer
H2X Global Limited