Altech Chemicals (ASX: ATC) has unveiled the vision for its flagship and upgraded Silumina Anode product, after a successful prototype run of its energy saving silicon graphite product.
The company is currently expediting its quest to make affordable graphite silicon coating product, it calls Silumina Anode, for widespread use in the high-sale European EV market.
The product is a heavy-duty aluminum and silicon-based coating designed for application to lithium-ion anodes, conductive components inside EV batteries, to improve performance of the vehicles.
Altech's minds in the lab say the product will lead to faster charging speeds, increased energy retention within the treated battery (meaning longer distances to drive) and—according to the company—a more affordable vehicle.
For clarity: this monetary discount comes by way of cost savings as opposed to an EV without Silumina Anodes.
The pre feasibility study (PFS) work by Altech was undertaken via a Germany company compliant with relevant European Union (EU) expectations.
A capital investment of US$95m fuelled the PFS for Altech, and the company is confident its investment reflects net returns of US$507m, with yearly cashflow of US$63m (ex-fees).
Altech believes it can evade current geopolitical risk environments threatening its supply chain, by sourcing its graphite and feedstock from European suppliers.
Altech attributes a rejuvenated emphasis on the procurement of European materials for European transport manufacturing to recent geopolitical events.
As such, the sector currently enjoys a non-hostile regulatory atmosphere.
Altech has establishing supply partners for graphite and silicon in Europe, allowing it to observe Europe-based initiatives to secure domestic European supply chains.
Altech enjoys independent green accreditation; an appealing trait for ESG-minded investors.
The company will build a pilot plant for CICERO nearby to allow the latter the opportunity to verify Altech's Silumina Anodes product as an additional measure.
Altech holds, in commercial confidence, a partnership with two German automakers and a European based battery company.
Altech share price: A 12-month snapshot.
Get the latest news and media direct to your inbox