A Message from Our CEO

Dear MGA Community,

We’re pleased to share this quarter’s update as MGA Thermal continues to accelerate toward commercialisation and scale. From technical milestones to industry recognition, momentum is building across every front.

Our 5 MWh demonstrator plant was successfully assessed by an independent tier 1 global engineering firm - an important milestone confirming the reliability and performance of our thermal energy storage system.

Commercial traction continues to grow, including with our 180 MWh project in Kwinana paving the way for industrial-scale deployment and positioning MGA as a leader in renewable heat.

We were proud to attend the 2025 Australian Renewable Heat Conference, where MGA Thermal received a major industry award recognising our breakthrough contributions to decarbonising industrial heat. Engineers Australia also recognised Annie Lacombe, our Head of Engineering, for her outstanding leadership, innovation, and advocacy across the sector. These awards are a powerful endorsement of our team’s work and vision.

We’re also progressing our A2 capital raise, which will accelerate business development, move customers through the FEED stage, and support deployment of our first commercial systems. It will also fund the design of our scaled-up Block manufacturing line, targeting over 1 GWh of annual production.

As always, we remain committed to safety, innovation, and delivering real value to our customers and stakeholders. Thank you for your continued support as we enter this exciting next phase.

Warm regards,

Mark Croudace, CEO

Demonstration Plant Update

We recently completed performance testing of our 5 MWh demonstration plant alongside a tier 1 global engineering firm – and the results are compelling.

The unit has successfully delivered stable steam output at a nominal rate of 700 kg/h, with pressures between 3.7–3.5 MPag and temperatures ranging from 365–350°C. This performance was sustained for up to 10 hours using stored heat.

Once the boiler is primed, the plant consistently delivers its rated 500 kW output entirely from stored energy, with zero grid input. That’s 5 MWh of clean, dispatchable power, ready on demand.

These results are a testament to the ingenuity and dedication of our engineering team, who continue to set new benchmarks for industrial-scale energy storage.

Commercial Update

Major Customer Milestone: 180 MWh Industrial Scale Project

Located in Western Australia, the project represents one of the country’s most advanced industrial decarbonisation initiatives, capable of delivering 20 tonnes per hour of steam to industrial sites while being economically competitive with traditional fossil fuel technologies.

The project highlights a significant market shift, with momentum building across industrials to implement economic decarbonisation solutions - especially as safeguard mechanism deadlines approach for 2030.

What makes this project particularly significant is its scale. While the initial 180 MWh plant represents a substantial energy asset, the participating companies are evaluating the technology for potential deployments 10+ times larger at their industrial sites globally.

The project also positions Western Australia as a leader in practical decarbonisation, offering a blueprint for energy-intensive industries to navigate the energy transition while maintaining competitiveness.

Click here to read more.

Open Funding Opportunities

Grant funding offers an attractive lever to accelerate the development and deployment of innovative TES projects. However, grant programs are competitive and favour first movers. Industrial electrification is a hot topic in government policy and there are several programs that you should know about, including:

• ARENA: Powering the Regions, Industrial Transformation Stream

• Victorian Government, Energy Innovation Fund

• NSW Government, High Emitting Industries Grants

• Federal DCCEEW, Grid Enhancing Technologies program

Reach out if you would like to understand which of these could be relevant to you.

Annie Lacombe awarded Newcastle’s 2025 Professional Engineer of the Year!

Who’s Been Touring Site?

MGA Thermal held an exclusive behind-the-scenes group tour, with representatives from Kagome Australia, Simply Energy, AGL, Fichtner, Alsco Uniforms Australia, DETA, Vulcanic, and ARENA. Guests saw first-hand how our ETES technology delivers low-cost, renewable heat – without compromising performance.

We also had the pleasure of hosting Senator the Hon. Tim Ayres, Federal Minister for Industry and Innovation and Minister for Science, along with Ms Meryl Swanson MP, Federal Member for Paterson.

Out & About

After becoming members of the Australian Alliance for Energy Productivity (A2EP), MGA Thermal attended the 2025 Australian Renewable Heat Conference, where our CEO, Mark Croudace, shared how our technology is economically reshaping the future of industrial heat.

In the Media

Big impact and bold coverage - here are a few of our favourite media highlights from the quarter:

• Energy Source & Distribution Magazine: The heat is on!

• Energy Source & Distribution: MGA Thermal’s first commercial-scale TES deployment

• PV Magazine: MGA Thermal and Knode advance Australia’s largest industrial-scale thermal storage project

• Business News Australia: Australia's largest thermal storage project passes another hurdle in path to commercialisation

• Renew Economy: Australia’s largest thermal storage project takes important next step

R&D Update

MGA Thermal’s R&D team continues to push the boundaries of ETES with exciting developments that reinforce the reliability of our MGA Blocks.

Recent inspections inside the demo plant using a borescope have shown that the MGA Blocks are performing exactly as expected. No changes were observed in the material structure, confirming their durability and stability under real operating conditions.

People Update

Engagement

In late 2023, MGA held an organisation-wide, voluntary collaboration initiative, titled ‘Achieving Our Potential’. Now in 2025, we are currently conducting our second round of this initiative, incorporating several key enhancements based on learnings from our previous version. These improvements include:

• Promoting ideas that aim to deliver meaningful, long-term impact.

• Dedicating more time in each session to explore and refine the highest-voted ideas.

• Enhancing the process for converting ideas into measurable, actionable outcomes.

The ‘Achieving Our Potential’ initiative continues to serve as an opportunity for each volunteer to contribute ideas towards the continuous improvement of MGA Thermal.

Our Team

We were excited to welcome two outstanding additions to the MGA Thermal team this quarter:

Stay Connected

Thank you for your continued support and interest in MGA Thermal. To be the first to hear about new opportunities and company updates, make sure to follow us on LinkedIn and subscribe to both our careers and announcements mailing lists.

We look forward to sharing more updates with you soon!

Renewables in the News

Our top picks for recent renewables news; with an Australian focus.