A Message from the CEO
Welcome to our first newsletter of 2026!
As last year drew to a close, we marked 20 years since Calix’s founding. 20 years since our Chief Scientist, Dr Mark Sceats, and his co-founder, the late Connor Horley, invented a new way to heat things up. And a better way to process minerals and metals.
Such an anniversary is a good reminder to reflect on how far we’ve come. From a simple but revolutionary idea for a new type of kiln, to a platform technology focused on some of the world’s largest heavy industries, working in partnership with global leaders across multiple sectors, guided by a clear strategy for demonstrating and licensing each application of the technology, and underpinned by a growing revenue base.
In the first half of this financial year, we added several significant milestones to this commercialisation journey.
A Joint Development Agreement with Rio Tinto established one of the world’s leading iron ore producers as a strategic partner for our green iron technology, Zesty. Rio Tinto will contribute over $35m worth of value to the commercialisation of Zesty, adding to the $44.9m in grant funding awarded by ARENA earlier in the year.
We also announced a partnership with leading global alumina producer, Norsk Hydro, to develop our technology for application in alumina refineries. I’m pleased to report that the first phase of material testing of feedstock from Hydro’s Alunorte refinery in Brazil has now been completed, and you can read more about this and some of the other recent work at the Calix Technology Centre in this newsletter.
In lithium, our joint venture with PLS completed construction of the Mid-Stream Demonstration Project—our first electric plant at commercial scale and an important proof-point across all our target applications. We look forward to keeping you updated as this project moves forward.
Most recently, we were pleased to announce that Frontier, an advance market commitment founded by Stripe, Google, Shopify, and McKinsey Sustainability to accelerate permanent carbon removal, had selected the Leilac technology to develop materials for Ocean Alkalinity Enhancement. Adding alkaline materials to the ocean offers a promising pathway to help restore local ocean health and deliver scalable and durable carbon dioxide removal. The cost-effective production of zero emissions lime or other alkaline materials is a key enabler of this carbon removal pathway, and the focus of our work with Frontier.
In our Magnesia business, we were delighted to announce our largest ever contract to supply water treatment products to a new customer in the U.S. for a 3-year term, with an option to extend for a further 2 years. The contract is expected to generate up to A$10m in additional annual revenue, and first product deliveries have commenced.
Revenue and gross profit growth and disciplined cash management remain a key focus of the group as we continue to progress and deliver our targeted commercial milestones. We look forward to updating shareholders on our performance in the first half of FY26 at our interim results on 24 February, and you can find a link to register for the results webinar in this newsletter.
Finally, this edition of the newsletter also includes an article on an exciting area of technology development for us—hybrid electric heating systems. As grid supply around the world becomes increasingly variable, and demand, driven in part by the AI and data centre boom, continues to grow, novel solutions to help stabilise our energy systems are needed. Hybrid electric industrial heating opens the prospect of integrating energy-intensive industrial facilities to the grid and enabling them to flexibly increase or decrease their electricity use on demand, all without interrupting industrial production. We believe this is a highly prospective and somewhat unique value proposition of our technology, with the potential for cross-cutting applications across industries to help minimise energy costs and balance energy grids. It is also enabling us to expand our value proposition to customers, as a solution to not just reduce carbon emissions, but to reduce their costs of production.
2026 is shaping up to be a great year. We have a busy customer material testing schedule at our Calix Technology Centre, a pipeline of commercial opportunities to advance, a lean and focused team, and a growing revenue stream. I wish you all a happy, healthy and successful year ahead, and hope you enjoy reading more about the latest news from Calix.
Phil Hodgson
Managing Director & Chief Executive Officer
Calix Limited and Rio Tinto execute Joint Development Agreement for Zesty™ Green Iron Demonstration Plant
Calix has executed a Joint Development Agreement with Rio Tinto, providing over $35 million in cash and in-kind support for the Zesty™ Green Iron Demonstration Plant in Kwinana, Western Australia. The project is designed to demonstrate low-emissions green iron production using a range of Australian iron ores, supporting the future competitiveness of the iron and steel value chain.
Construction complete: Lithium Mid-Stream Demonstration Plant
Construction is now complete on the Lithium Mid-Stream Demonstration Plant, developed in joint venture with PLS at the Pilgangoora Operation in Western Australia. Calix’s first electric plant at commercial scale is an important proof point for the platform technology across all our target applications.
Frontier selects Leilac to develop zero carbon lime solution
Frontier, an advance market commitment founded by Stripe, Google, Shopify and McKinsey Sustainability, has selected Leilac to develop zero-carbon lime materials for ocean alkalinity enhancement. The work aims to enable scalable, durable carbon dioxide removal while improving local ocean health.
Calix executes U.S. water treatment contract worth up to A$10m in additional annual revenue
Calix has executed its largest-ever water treatment contract in the United States, expected to generate up to A$10 million per year in additional revenue. The three year contract, with options for a further two years, will be serviced through Calix’s existing U.S. production and distribution network.
Customer testing at the Calix Technology Centre
The Calix Technology Centre continues to deliver paid material testing campaigns across multiple applications, including lithium battery recycling, alumina, supplementary cementitious materials and carbon dioxide removal. Increased demand is being supported by the addition of a third calciner, Thor’s Hammer, enhancing our customer service capability while further developing the Calix technology.
Hybrid heating: Unlocking cost-effective electrification of heavy industry
This edition also explores hybrid electric industrial heating, an area of technology development with high potential. By enabling industrial processes to flexibly increase or decrease electricity use in synchrony with a second fuel source, hybrid heating aims to provide a pathway to reduced costs, lower emissions, enhanced competitiveness, and improved grid stability.
Annual General Meeting
Calix held its 2025 Annual General Meeting in November 2025, Shareholders can catch up on the Chair’s Address and presentation from the CEO at the links below.
Upcoming Half Year Results
Calix will release its results for the first half year period of the 2026 financial year on 24 February 2026. The company will host an investor webinar with Managing Director and CEO, Phil Hodgson and CFO, Darren Charles to discuss the results.
