Provaris Energy trades at deep discount to NAV as hydrogen and CCS opportunities advance, says RaaS
Provaris Energy Ltd (ASX:PV1, OTC:GBBLF) is trading at a deep discount to risked net asset value (NAV), offering investors leveraged exposure to the energy transition and emerging carbon capture and storage (CCS) markets.
In Research as a Service (RaaS)’s latest update report on Provaris, it values the company at $0.10–0.17 per share with a midpoint net asset value (NAV) of $0.14, compared with a recent share price of $0.016.
That implies an approximate 84% discount to the low end of the NAV range and reflects heavy risk-weighting of the early-stage hydrogen projects and tank technology rather than any lack of addressable market or strategic partners.
RaaS notes,
In our view, Provaris Energy Ltd (ASX.PV1) continues to represent a unique investment offering into the ‘clean and green’ energy sector and the complementary carbon capture and storage business, through its proprietary storage tank designs,
“We consider the innovative designs as proposed, to be a disruptor technology in that it can underpin a materially positive change to energy supply chains and the economics of CO2 transport – simply on the basis of shipping ‘more for less’ cost. In recent conversations with management and ASX releases it has become apparent that progress on the LCO2 business stream, that we had previously considered as a longer dated growth option, has made significant above expectation progress. Whilst the compressed hydrogen option should be the first revenue generator, being more advanced from a commercial perspective with two projects expected to result in FID (Final Investment Decision) in 2H 2026, the CO2 transport play could potentially progress to a tank fabrication and testing phase in the same timeframe.’Having road-showed the company’s IP wares through Asia recently, management has come back strongly encouraged as to the high level of engagement on a conceptual and practical basis. The strong level of interest and engagement likely indicates the greater latent demand in this part of the carbon abatement business despite the pull back from carbon targets by other nations and energy companies (including BP, Shell and Exxon in recent months). The success case will ultimately be underpinned by economics and the potential of the Provaris tank design to change the operating paradigm in Europe and Asia.”
What’s driving the NAV?
According to RaaS, the NAV is driven by two main components: compressed hydrogen projects and the tank technology IP.
- The hydrogen portfolio contributes $37–52 million (risked at 75%), based largely on the tri-party collaboration with Norwegian Hydrogen and Uniper and a growing Norwegian supply-chain footprint.
- The larger share of value sits in the proprietary tank technology, risked at $55–104 million. This reflects the potential for the same IP platform to be monetised across both hydrogen and LCO₂ shipping and storage, with a risk-weighted multiplier applied to capture future licensing and equity participation in vessels.
Recent policy and funding signals in Europe highlight the scale of the opportunity in carbon management, particularly for CO₂ transport and storage infrastructure.
In November 2025, the European Commission awarded €2.9 billion (AU$5,165BN) under the EU Innovation Fund to 61 net-zero technology projects, with a strong emphasis on carbon capture, CO₂ transport and storage.
New projects in Belgium, France, Italy, Greece and Romania are enabling inland CCS value chains, open-access hubs and maritime CO₂ corridors, while Spain’s COnet2 Sea project is developing a dedicated large-scale liquid CO₂ maritime transport service. Inland storage projects such as Romania’s Carbon Hub CPT01, and the emergence of transport-as-a-service and maritime capture pilots, highlight growing demand for flexible CO₂ shipping and storage solutions and the need for scalable, cross-border infrastructure to help Europe reach hundreds of millions of tonnes of annual CO₂ capture by mid-century.
The overall potential
Project potential is anchored by a clear development timeline.
Fabrication of the prototype hydrogen tank has restarted at the Fiskå ‘Innovation Centre’ in Norway, with Class approval targeted in 1Q 2026 – the critical technical de-risking point for the business. In parallel, the LCO₂ opportunity has accelerated faster than originally expected: a fully funded FEED program with Yinson is under way, targeting large-scale LCO₂ tanks (c.25,000 m³) for a 100,000 m³ floating storage and injection unit and potential CO₂ shuttle tankers. If successful, both hydrogen and CO₂ streams could be moving toward Final Investment Decision (FID) in 2H 2026.
The upside case rests on converting this technical progress into a scalable, capital-light revenue model. Provaris aims to earn early licensing income from its proprietary tank designs while retaining free-carried equity interests in vessel charter revenues over the life of contracts. Strategic relationships with K Line, Yinson and Baker Hughes provide third-party validation of the technology and support for commercial rollout.
What makes Provaris a differentiated proposition is its focus on a simple but powerful concept: transporting ‘more for less’ via disruptive compressed-gas tank designs that can materially alter the economics of hydrogen and CO₂ shipping.
With first-mover IP, advancing Class approval processes and partners that can execute at scale, the company offers asymmetric exposure to a potentially large, multi-decade build-out in clean energy and CCS infrastructure, starting from a very low market capitalisation base.
Menulog solicitor and accountant Adam Ahmed talked with Proactive about the company’s decision to exit the Australian market after nearly two decades of operation.
Ahmed outlined key financial and legal pressures that likely influenced Menulog’s closure, including rising labour-related costs and regulatory uncertainty surrounding the classification of gig economy workers. “The costs that they allocate to labour might be double what they actually had provision for,” he said, highlighting the impact of payroll tax, superannuation, and worker entitlements under Australian law.
The interview also examined the company’s declining market share—from 80% in 2014 to below 25%—and how this loss in volume undermined its business model, which relied heavily on scale and margin. Ahmed attributed part of the decline to intense competition from platforms like UberEats and to marketing shortcomings.
He also warned that Menulog’s cost issues could be systemic among gig economy firms that have not fully accounted for local compliance requirements. “If you’re wrong, you’re going to get hit with a very big bill and it’s going to go back,” he added.
Ahmed advised Australian businesses to better understand employment law to avoid similar financial risks.
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Provaris Energy trades at deep discount to NAV as hydrogen and CCS opportunities advance, says RaaS, source
