Twenty-two percent of a lithium ion battery of an electric vehicle is made up of purified and processed graphite. USA imports nearly 100% of its graphite and 95% of the purified graphite comes from China. With five gigafactories (big battery makers) set to come online in the US by 2023, the foreign dependency of this critical mineral has now become a matter of national and economic security.
Urbix is believed to be the only US company with a proprietary technology able to mitigate the Chinese dominance and control of Battery Grade Graphite (CSPG) which is essential for the manufacture of electric vehicle batteries. Urbix’s certified proprietary clean-tech methodology offers both a more efficient and less expensive option and is being vetted currently with user operational testing expected to be completed in 2020.
The US giga factories that include Tesla and two of the world’ s largest automotive manufacturers will have an annual demand of 115,000 ($800M) tons of CSPG and are expected to go online in 2023. Urbix will be the only company outside of a consortium of China-based enterprises to be able to meet this demand in the US and beyond. Starting in 2021 Urbix will begin supplying the basic purified graphite market in the US ($500M+); however, the company will slowly transition to CSPG by 2023. The company projects revenues of $9.6M starting 2021 for basic graphite products. Urbix’ s management team includes the methodology’s developer, academics , and other experts, and maintains extensive government contacts (the DOE has given grants to Urbix) seeking to facilitate the availability, development, processing, and environmentally responsible production of critical minerals, in America, in order to mitigate foreign dependency.
The Urbix commercial purification facility can achieve pretax margins approaching 25%. Considering nuclear graphite for the new pebble reactors, purification related to rare earth elements, recycling of used battery graphite, and revenue from Graphene/strategic advanced mineral innovations, Urbix has the potential for $300M in sales revenue by 2025.
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