Late 2017 sparked buzz in the financial world as many investors started seeking alternative investment solutions in future technology. Competition amongst large-cap tech companies has started to push the envelope of research and development in fields of semiconductors and electronic appliances. One of the biggest questions on everyone's minds revolves around batteries. With increased production of electric vehicles and portable devices and machinery - the world of batteries is in demand for a serious change in the next couple of years. The solution to battery efficiency problems may lie in the future-tech material graphene.
Graphene is a material that has earned much warranted attention from the tech industry and investors in the last couple of years. Graphene is an aerogel material consisted of bonded carbon atoms aligned in sheets - it is both one of the strongest and lightest materials able to be produced. The technology is usable in water desalination, solar power, LED lighting, and super-charging batteries.
Unfortunately, due to difficulty in production and mining, very few graphene products have made it to the consumer market. When graphene does become scalable and viable to the market as a production solution it will be revolutionary to the entire technological sector.
One company that aims to tackle this issues is Group NanoXplore - one of the only publicly trading companies that produce graphene and hold production patents. The Montreal based company has a production target of 10,000 tonnes/year by 2020, while only producing 25 tonnes in 2017. Additionally they claim to be able to reduce the production cost of graphene to under $10 per kg from the current average of $125/kg.
Insofar as mining is concerned: Mason Graphite, a U.S. based graphite producer, has been raising capital in it's mining explorations in order to compete with Chinese graphite production. They also have a 25% stake in NanoXplore, but are experiencing increasing issues in the development of their mines and are currently a greatly overvalued company. Any mining cycle investment should be approached with caution as it is a high risk sector.
NanoXplore still appears to be the superior investment and already has a revenue stream stemming from graphene powder, pellets, and molds. The company also aims to acquire additional small cap "boutique" production companies in a bid to increase the application of their graphene technology. Out of tradable securities offered on the global markets NanoXplore holds the most potential for a low risk averse investor. Although the financials in this early-stage company are still weak there is incredible potential in its future.
NanoXplore shares are purchasable in the US OTC markets, as well as on the TSX venture exchange.
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If NanoXplore is able to generate enough capital to build an infrastructure that is able to support the increasing demand for graphene it will stand to become one of the world's biggest players in the field. Right now the graphene industry remains an attractive investment opportunity, but with very little public instrument exposure. It is up to NanoXplore to prevail over failing competitors and push to popularize its graphene products and support speculators through strong financials. This high-Beta investment may yield exceptional results in the future, but is by no means a secure investment.