Can NoviqTech Sustain Growth Amid Rising Operational Costs and Market Competition?

Expanding Carbon Credit Frontiers

NoviqTech Limited (ASX – NVQ) has unveiled a series of strategic developments in its June 2025 quarterly report that underscore its growing influence in sustainability technology. Central to this progress is a new partnership with HYDI, which leverages hydrogen-on-demand technology to generate voluntary carbon credits. This collaboration integrates NoviqTech’s Carbon Central platform to track diesel usage and emissions reductions, tapping into HYDI’s deployed systems primarily in mining sectors. Early estimates suggest diesel savings of up to 8,000 litres per truck monthly, highlighting a scalable and impactful use case for heavy transport decarbonisation.

Driving Circularity in Battery Recycling

Furthering its sustainability agenda, NoviqTech has partnered with Livium to digitise and tokenise environmental benefits from battery recycling. This initiative focuses on recovering critical minerals such as lithium, nickel, and cobalt, reducing reliance on virgin extraction. By employing digital twins of Livium’s facilities, the Carbon Central platform automates emissions reporting and compliance with global battery standards, setting the stage for monetising circular economy benefits at scale.

Strengthening Blockchain Foundations

In a significant boost to its blockchain-powered solutions, NoviqTech extended its strategic collaboration with the Hedera Foundation for five more years. This extension includes a milestone-based grant of up to USD 735,000 aimed at accelerating customer acquisition and platform scalability. The partnership reinforces NoviqTech’s commitment to secure, energy-efficient distributed ledger technology as the backbone for trusted emissions reporting and carbon tokenisation.

Advancing AI-Driven Transparency

The company also reported progress on NoviqAI, its AI-first platform designed to enhance consumer transparency and enterprise supply chain intelligence. Currently in private beta, NoviqAI combines AI-generated sustainability scores with blockchain verification, offering both consumers and businesses a robust tool for tracking environmental claims and emissions. Growing interest from sustainability, retail, and logistics sectors points to promising commercial potential.

Financial Position and Outlook

Operational expenditures for the quarter totaled A$681,000, with a net operating cash outflow of A$680,000. To support ongoing activities, NoviqTech secured firm commitments to raise approximately A$1.25 million through a share placement, accompanied by listed options. The company remains confident in its ability to continue operations and meet business objectives, buoyed by its expanded use cases, strategic partnerships, and a strengthened capital base. Looking ahead, NoviqTech is also exploring quantum computing integration through its new subsidiary Quantum Intelligence Pty Ltd, signaling a forward-looking approach to sustainability technology innovation.