$DMNKF DNI Metals Inc: Expandable Graphite Market
If the Vohitsara preliminary results are confirmed next month, the expandable graphite sector (also known as: intumescent flake graphite) is a perfect fit for
those 8,000 micron Super Jumbo, as well as all the Jumbo and Large flakes that (should) make up ~ two-thirds of the deposit.
Introduction
• Expandable graphite is a compound of graphite that expands or exfoliates when heated
• Manufactured by treating flake graphite with reagents (such as acid, that migrate between the graphite layers) and heat
• When heated (~1,000°C), it rapidly expands to several hundred times its original size (expansion ratio)
• The expansion ratio is the volume of expandable graphite produced per gram of graphite product at a specified temperature – measured in grams per litre (how many grams of graphite required to produce 1L of expandable graphite)
• In general, coarser flake graphite typically has higher expansion ratios than smaller flakes
• Not all graphite is expandable and some graphite expands at greater rates than others
• Unique properties of expandable graphite include high heat resistance, corrosion resistance, softness, compression resilience and radiation resistance
Expandable Graphite Opportunity
• Chinese and South Korean governments recommending use of flame retardant building materials in future building construction, driving strong demand for expandable graphite
• The market for flame retardant building materials is growing rapidly from a small, specialised sector. Future demand could exceed the battery sector
Expandable Graphite Products
Graphite Foil
• Key product manufactured from expandable graphite
• Widely used in high power LED, smart phones, LCD, tablets, laptops and other electronic products.
• High thermal and electrical conductivity draws damaging heat away from electrical componentry
• Highly workable, so that it can be cut into any shape and bent many times
• Produced by rolling and compressing expandable graphite into thin sheets
• Produced from high quality flake graphite possessing the following qualities:
• High purity (>95% TGC)
• Coarse flake size (+50 mesh / +300 micron or better)
• Good expansion rates
• Premium priced product selling for up to US$50,000 per tonne
• Demand growth directly linked to growth in demand for electronic devices
Graphite Paper
• Graphite paper (flexible graphite sheet) forms the basic material for manufacturing a number of products including sealing gaskets, graphite tapes, packing and reinforced graphite sheets
• Suitable for end uses due to high temperature resistance, corrosion resistance and good elasticity
• Produced by rolling and compressing expandable graphite into thin sheets
• Graphite paper is produced from high quality flake graphite possessing the following qualities:
• High purity (>92% TGC)
• Coarse flake size (+80 mesh / +180 micron or better)
• Good expansion rates
• Graphite paper is a premium priced product
Flame Retardant Insulation foam/board
• Exponential demand growth expected for flame retardant building materials due to Chinese government recommendations for use in future construction –market size currently limited by supply shortage of quality flake graphite capable of expandability
• Adding expandable graphite to polystyrene foam:
• Improves the material’s thermal efficiency assisting with heat retention; and
• Provides the material with flame retardant properties
• Flame retardant insulation foam is produced from flake graphite possessing the following qualities:
• Lower purity required than other expandable graphite products (>85% TGC)
• Finer flake size is acceptable (+200 mesh / +75 micron or better)
• Reasonable expansion rates
• Flame retardant polystyrene insulation foam currently sells for US$2,625 per tonne
Expandable Graphite: From the Experts
• Independent third party expandable graphite pricing implies substantial upside to PFS pricing assumptions (implied US$1,577/t sale price)
• Environmental pressure on Chinese supply pushing up prices 5-20% in the last 12 months
• Certain flame retardants banned in EU from 2017 onwards –potential for increased demand for expandable graphite as replacement
Published Expansion Rates (mL/g)
• Kibaran: 490
• Magnis: 434
• Sovereign: 345
Keep in mind, that none of these three companies are currently in production. If DNI can get Vohitsara up and running within the next two years, and their expansion rates are similar, the advantage would be significant, to say the least.
If the Vohitsara preliminary results are confirmed next month, the expandable graphite sector (also known as: intumescent flake graphite) is a perfect fit for
those 8,000 micron Super Jumbo, as well as all the Jumbo and Large flakes that (should) make up ~ two-thirds of the deposit.
Introduction
• Expandable graphite is a compound of graphite that expands or exfoliates when heated
• Manufactured by treating flake graphite with reagents (such as acid, that migrate between the graphite layers) and heat
• When heated (~1,000°C), it rapidly expands to several hundred times its original size (expansion ratio)
• The expansion ratio is the volume of expandable graphite produced per gram of graphite product at a specified temperature – measured in grams per litre (how many grams of graphite required to produce 1L of expandable graphite)
• In general, coarser flake graphite typically has higher expansion ratios than smaller flakes
• Not all graphite is expandable and some graphite expands at greater rates than others
• Unique properties of expandable graphite include high heat resistance, corrosion resistance, softness, compression resilience and radiation resistance
Expandable Graphite Opportunity
• Chinese and South Korean governments recommending use of flame retardant building materials in future building construction, driving strong demand for expandable graphite
• The market for flame retardant building materials is growing rapidly from a small, specialised sector. Future demand could exceed the battery sector
Expandable Graphite Products
Graphite Foil
• Key product manufactured from expandable graphite
• Widely used in high power LED, smart phones, LCD, tablets, laptops and other electronic products.
• High thermal and electrical conductivity draws damaging heat away from electrical componentry
• Highly workable, so that it can be cut into any shape and bent many times
• Produced by rolling and compressing expandable graphite into thin sheets
• Produced from high quality flake graphite possessing the following qualities:
• High purity (>95% TGC)
• Coarse flake size (+50 mesh / +300 micron or better)
• Good expansion rates
• Premium priced product selling for up to US$50,000 per tonne
• Demand growth directly linked to growth in demand for electronic devices
Graphite Paper
• Graphite paper (flexible graphite sheet) forms the basic material for manufacturing a number of products including sealing gaskets, graphite tapes, packing and reinforced graphite sheets
• Suitable for end uses due to high temperature resistance, corrosion resistance and good elasticity
• Produced by rolling and compressing expandable graphite into thin sheets
• Graphite paper is produced from high quality flake graphite possessing the following qualities:
• High purity (>92% TGC)
• Coarse flake size (+80 mesh / +180 micron or better)
• Good expansion rates
• Graphite paper is a premium priced product
Flame Retardant Insulation foam/board
• Exponential demand growth expected for flame retardant building materials due to Chinese government recommendations for use in future construction –market size currently limited by supply shortage of quality flake graphite capable of expandability
• Adding expandable graphite to polystyrene foam:
• Improves the material’s thermal efficiency assisting with heat retention; and
• Provides the material with flame retardant properties
• Flame retardant insulation foam is produced from flake graphite possessing the following qualities:
• Lower purity required than other expandable graphite products (>85% TGC)
• Finer flake size is acceptable (+200 mesh / +75 micron or better)
• Reasonable expansion rates
• Flame retardant polystyrene insulation foam currently sells for US$2,625 per tonne
Expandable Graphite: From the Experts
• Independent third party expandable graphite pricing implies substantial upside to PFS pricing assumptions (implied US$1,577/t sale price)
• Environmental pressure on Chinese supply pushing up prices 5-20% in the last 12 months
• Certain flame retardants banned in EU from 2017 onwards –potential for increased demand for expandable graphite as replacement
Published Expansion Rates (mL/g)
• Kibaran: 490
• Magnis: 434
• Sovereign: 345
Keep in mind, that none of these three companies are currently in production. If DNI can get Vohitsara up and running within the next two years, and their expansion rates are similar, the advantage would be significant, to say the least.
