Zero Alpha HPA - not all 9s are created equal

Zero-Alpha HPA is a key next generation material for advanced packaging and power-semiconductor markets. This is a new and rapidly evolving development with customer demand for A4N's technology only outstripping future capacity (LOIs surpassing Stage 2 capacity) as of June 2026 (Fig ?). If Stage 2 is successfully delivered, A4N could emerge as the world’s largest single-site supplier of specialised HPA.

• Material Science is the next evolution in Moore's Law: From our semi-conductor industry expert discussion (video link) we have learnt that the next iteration of chip improvements driving Moore's Law is likely to come from material science, rather than shrinking geometries, which have historically been the key driver (Fig ?). In order to achieve this A4N's Zero Alpha HPA is required.
• Zero Alpha HPA - not all 9s are created equal: As A4N's name suggests, the company is capable of producing HPA with 4Ns (99.99%) or greater purity. What differentiates Alpha from other HPA is what remains. A4N's unique purification process eliminates detectable Uranium and Thorium (alpha emitters). This is critical for semiconductor production as alpha particles generate a charge that changes a stored bit value from 1 to 0 resulting in errors (bit flip). To our knowledge other HPA producers currently cannot eliminate alpha emitters from their remaining impurities, which make them less suitable for use in semiconductors.
• Orica partnership a vertically integrated moat: In our view A4N's moat extends beyond IP. Their Solvent Extraction (SX) process uses reagents from Orica's (ASX:ORI) neighbouring site, and returns them as upcycled chemicals, resulting in a waste-free process allowing A4N to produce HPA at lower cost relative to peers.

In our view A4N presents unique exposure not only to AI but also to semiconductor evolution. The company's unique zero alpha process combined with vertically integrated feedstock and reagents provide further barriers to entry beyond their proprietary IP.