Graphite is fueling the Green Energy Revolution

What is Graphite?

In every flake of graphite we produce lies the power to drive the green energy revolution. From powering electric vehicles to innovating energy storage, we are not just mining graphite; we are creating a sustainable future.

Graphite is one of only two naturally occurring forms of pure carbon, the other being diamonds. Graphite occurs in a two dimensional, planar molecular structure whereas diamonds have a three dimensional crystal structure. Graphite generally occurs as flakes, which are multiple layers of graphene held together by weak bonds. Graphene is a single, one atom thick layer of carbon atoms arranged in a “honeycomb” or “chicken wire” pattern. It has been estimated that there are three million layers of graphene in a one millimeter thickness of graphite. The delamination or exfoliation of graphite flakes is therefore one method of making graphene.

Graphite is formed naturally through the metamorphism of carbon rich materials in rock which leads to the formation of either crystalline flake graphite, fine grained amorphous graphite, or crystalline vein or lump graphite. Graphite is a non-metal but has many properties of metals. It is an excellent conductor of heat and electricity and has the highest natural strength and stiffness of any material. It maintains its strength and stability to temperatures in excess of 3,600°C and is very resistant to chemical attack. At the same time it is one of the lightest of all reinforcing agents and has high natural lubricity.

The New Strategic Mineral

Widespread Electrification

There is growing demand for graphite for clean and green tech applications , fuel cells etc.

Driving the EV Revolution

  • Graphite, one of only two naturally occurring forms of carbon, is the anode material in Lithium-Ion batteries, and there are NO substitutes​​
  • Facing rising supply concerns, graphite has been declared a critical mineral by the U.S., Canada and the EU​​
  • Lithium-Ion battery usage and demand began to grow ​ ~ 5 years ago​​ and is set to skyrocket with the EV revolution

Industrial Applications

Traditional demand for graphite – in the steel industry, the automotive sector and heat management in industrial applications – is strongly correlated with GDP growth

EVs will Boost Graphite Demand

(Production demand for graphite, ‘000 tones)

Sources: International Energy Agency, EIU

Graphite, the anode material in Lithium-Ion batteries, is critical to the production of EVs as there is no substitute

      • Battery applications are set to account for ~50% of natural graphite consumption in 2028, compared to ~25% in 2021

EV Market expected to triple by 2023

      • Battery applications are set to account for ~50% of natural graphite consumption in 2028, compared to ~25% in 2021

Increased risk of disruption to graphite supply chains due to a high-tech trade war between the U.S. and its allies, and China

      • China: ~ 70% of current graphite supply and almost all processed supply​
      • Northern Graphite is the only producer in North America

EV sales in the U.S., the second-biggest market, will be buoyed by the IRA tax credit of US$7,500 for buyers when final assembly in North America​

      • More than 15 new U.S. Lithium-Ion battery gigafactories or expansions have been announced since 2021​

Graphite markets expected to be in a deficit that will drive higher prices as soon as 2025

Government Support

EV Purchase Incentives Driving Demand​

Landmark Initiatives to Drive North America EV Industry

  • Graphite designated a Critical Mineral by Canadian and U.S. governments
  • Subsidies/credits rollout under U.S./Canada energy transition policies​
  • Under the U.S. Inflation Reduction Act (IRA) and Foreign Entities of Concern (FEOC) measures, EV’s are eligible for tax credits of $7,500, as long as they are built using minimum components and minerals sourced in the United States or its trading partners, starting at 40 percent in 2023, rising to 80 percent by 2027 and 100 percent after 2030.

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