HIGHLIGHTS:

• Provaris has finalised a $3 million convertible bond facility  with Macquarie Bank, to be issued in multiple tranches; with the first tranche of $500,000 committed and further tranches subject to Provaris’ discretion.
• The Facility provides Provaris with access to cost-effective standby capital during its two-year term.
• The Facility will help support Provaris’ forward-looking development program in 2024-2025, including development costs for potential hydrogen production and export sites in the Nordic region in collaboration with Norwegian Hydrogen and future working capital requirements for the production and sale of small-scale tanks based on Provaris’ proprietary technology.

  Provaris Energy is pleased to announce it has secured a two-year $3 million Convertible Note facility  with Macquarie Bank Limited  to provide a funding alternative for the Company’s hydrogen development plans in 2024/25.

  The Facility provides Provaris with up to $3 million of standby capital over the next two years providing invaluable flexibility for the Company to pursue its capital-raising endeavors in tandem with the progression of its hydrogen development projects and the commercialization of its intellectual property (IP) and hydrogen supply chain solutions.

  A first tranche of $500,000 Convertible Bond has been executed as part of the Facility agreements, with a two-year term to maturity. The issuance of further tranches remains at the discretion of Provaris and Macquarie, ensuring strategic alignment with the Company’s evolving financial requirements.

  Each Convertible Bond will convert into ordinary shares of the Company with the exact number of shares based on the share price at the time of conversion. Further details of the Facility and attaching call options are available in the Annexure to this announcement.

  Macquarie’s Commodities and Global Markets group provides capital and financing, risk management, market access, physical execution, and logistics solutions to clients across commodities, financial markets and asset finance, including a broad range of solutions focused on the energy transition.

  Martin Carolan, Provaris Managing Director and CEO commented:

  “This standby facility with Macquarie increases the flexibility of future funding alternatives available to our various projects and development activities which are aligned with the achievement of further commercial and technical milestones ahead for 2024.

  The Facility also complements today’s announcement of a Share Purchase Plan offer to eligible shareholders and strengthens the Company’s financial position and aligns with our development program funding requirements over time. Activities which include collaboration for hydrogen production, final class approvals for shipping, joint development of an import terminal, activities related to MOUs with utilities in Germany, and an exciting venture to produce small-scale tanks for sale which could position the Company to have a commercial product in 2024. “