First Graphene Ltd (ASX:FGR, OTCQB:FGPHF) has inked a distribution agreement with South African-based Nanoproof Glade Chemicals Joint Venture to expand the sales reach of PureGRAPH® graphene across multiple markets in South Africa.
The deal with Nanoproof Glade Chemical Manufacturers JV will target multiple applications with a particular focus on the concrete market.
Expanded reach
The agreement expands First Graphene’s sales reach and representation into the construction and building sector, with multiple opportunities for the concrete admixture segment in South Africa.
Nanoproof Glade Chemicals JV specialises in nanotechnology solutions for concrete, grouts and mortars for the construction materials industry.
The distribution agreement has a four-year term and includes a minimum commitment of five tonnes of PureGRAPH® AQUA and powder products within year one to maintain exclusivity for the South African ready-mix mortar and concrete market segment.
The estimated value of sales is $A250,000 to A$285,000 in the first year, which is to be reviewed and mutually agreed upon in the following years of the agreement.
First Graphene previously collaborated with the Nanoproof Glade Chemicals JV on the development of PureGRAPH® enhanced concrete admixtures, which has resulted in the successful development of a range of products.
Reduced carbon emissions
The new agreement is a further step in First Graphene’s strategy to help the cement and concrete industries, which are responsible for up to 8% of global carbon dioxide emissions, to achieve a 25% emissions reduction by 2030.
These emissions targets are driving global demand to develop greener solutions within the cement and concrete segments.
First Graphene has partnered with several tier one and two industry partners across multiple facets of the cement and concrete materials market to develop PureGRAPH® enhanced solutions that will help the sectors achieve greener outcomes.
Adding low dosages of PureGRAPH® enhanced concrete admixtures to the concrete mix design results in significant increases in strength and durability.
Due to this increase in performance, the amount of cement used in the concrete mix can be reduced, thus decreasing the carbon footprint of the concrete produced.