15-20% increase today seems ok considering that Hazer is...

15-20% increase today seems ok considering that Hazer is something of a sleeper, the story is still unfolding and many are yet to even discover this gem.

Once the masses arrive there will be a steady increase towards true value, $150m MC is about where I believe it should sit at this stage, as they get closer to commercialization that figure increases rapidly.

The markets for our product are truly huge, as an example I saw these posts on LinkedIn recently by a person interested in low cost hydrogen for an African iron ore benefication project.

"Our project can do with some 650,000t/a of H2... and can provide space, ample sunlight and steady supply of CO2 for biomass, if that may help. Question is going to be all about the long-term economics - we can provide the largest single consumer of H2, but can it be supplied cost-effectively at THAT scale?"

"Southern Africa. We have an abundance of 'lower grade' iron ore which beneficiates quite nicely when milled to concentrates and pelletised. We have been working on project for coal-based reduction of these pellets at source to merchant pig iron - before dispatching it to the Asian or European steelmakers. To my understanding, hydrogen is an excellent reducing gas for ironmaking. However, at a proposed output of 7.2mtpa pig iron (by 2024) and an estimated hydrogen consumption of 83kg/t hot metal, the economics seem to be challenging"

So essentially they are a low grade iron ore mine looking for an economical mass supply of hydrogen for immediate consumption. The scale of a hydrogen plant to supply this would be around 40 times that of Hazer's full scale plant and they would also have a use for at least part of the graphite produced.

Based on my calculations (H2 $1/kg and Graphite $0.5/kg) a plant of this scale would be generate profit in the order of $850 million per year.

This gives some idea of just how big this company has the potential to grow, truly one of the biggest sleepers on the ASX