A GRAPHENE TECHNOLOGY COMPANY - Group … · •Low cost, large volume graphene technology platform...

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NOV 2017 INVESTOR REPORT A GRAPHENE TECHNOLOGY COMPANY Performance Through Carbon Chemistry

Transcript of A GRAPHENE TECHNOLOGY COMPANY - Group … · •Low cost, large volume graphene technology platform...

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A GRAPHENE TECHNOLOGY COMPANY

Performance ThroughCarbon Chemistry

D I S C L A I M E R

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Forward-Looking Statements. This presentation contains express or implied forward-looking statements, which are based on current expectations of

management. These statements relate to, among other things, our expectations regarding management’s plans, objectives, and strategies. All statements other

than statements of historical fact could be deemed forward-looking, including, but not limited to, any projections of financial information; any statements about

historical results that may suggest trends for our business and results of operations; any statements of the plans, strategies and objectives of management for future

operations, including the timing, funding and construction of planned manufacturing facilities; any statements of expectation or belief regarding future events,

potential markets or applications, the sizes of addressable markets, expected technology developments, strategic partnerships and collaborations, or enforceability

of our intellectual property rights; any statements about the projected or expected economic or other benefits of our products compared to petroleum-derived

equivalents, future sales and any statements of assumptions underlying any of the foregoing.

Forward-looking statements are subject to a number of risks, assumptions and uncertainties, many of which involve factors or circumstances that are beyond our

control.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that the events and circumstances

reflected in the forward-looking statements will be achieved or occur and the timing of events and circumstances and actual results could differ materially from those

projected in the forward-looking statements. Accordingly, you should not place undue reliance on these forward-looking statements. All such statements speak only

as of the date made, and we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future

events or otherwise.

Trademarks. Our trademarks may not be copied, imitated or used, in whole or in part, without our prior written permission. Other trademarks, registered

trademarks or logos, company names or logos displayed in this presentation are the property of their owners.

COMPANY HIGHLIGHTS

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NanoXplore is a graphene technology company based in Montreal, QC Canada

Mason Graphite is the largest shareholder of NanoXplore, owning approximately 25%.

✓ Largest Canadian producer of graphene and a global graphene market leader

✓ 25 tonnes/year current graphene production capacity

✓ Low cost graphene manufacturing

✓ 5 patents on graphene production and applications

✓ Two production facilities (45,000 sq. ft) near Montreal, QC

✓ Focused on graphene as an additive to plastic resins -400 tonnes/year graphene-plastic mixing and compounding line

✓ Fabricates and sells over 5 million plastics parts and assemblies per year

✓ Solid growth trajectory with 4X revenue growth year over year since 2012

✓ Significant market opportunity with potential graphene and graphene related products market size of $2.1B in 2025 growing by 46% CAGR(1)

✓ Near-term rapid growth opportunity through downstream acquisitions

(1) “Graphene: Technologies, Applications and Markets” Research and Markets 2016

LEADERSHIP WITH A PROVEN TRACK RECORD

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Luc VeilleuxCPA, CA

Chief Financial Officer

the Executive Vice President, ChiefFinancial Officer, and CorporateSecretary of Mason Graphite. Mr.Veilleux as over 20 years of executivemanagement, financial and operationalexperience in manufacturing and miningindustries including at Timcal (ImerysGraphite & Carbon) in the roles of ChiefFinancial Officer, COO and Vice-President of Finance (North America), atMaxi Canada Inc. in the roles of CEO andFinancial Director, and senior positionsat PricewaterhouseCoopers (PwC).

Jacques PoulinB.Eng., MBA,

Vice President of Sales

Jacques has over 30 years experience insales management, business development,operations and technology development inthe fields of telecommunications,renewable energy, and energy storage. Priorto joining NanoXplore, Mr. Poulin heldexecutive positions in large multinationalentities such as Global Vice President forProduct Development, Vice President R&Dand Vice President of Sales at EmersonNetwork Power. He was most recently theDirector for Energy Storage inTransportation at ABB. He also co-foundedSolpowered, a solar EPC firm.

Paul HigginsB.Eng.

Chief Operating Officer

Paul joined NanoXplore at Jan 2014 andhas been instrumental to the success ofthe company. He has held management,marketing, engineering and projectmanagement positions in both large,world class corporations (LockheedMartin, Unisys, Nortel, Emerson) andstart-up ventures (Silk Displays, DSIDatotech, Lumenon InnovativeLightwave Technology).

Soroush NazarpourPh.D.

President & CEO

Soroush is the founder of NanoXploreand has been President & CEO since2011. He is an acknowledged expert inthe field of graphene, and co-author of,“Graphene Technology From Laboratoryto Fabrication” published by Wiley & Coin 2016. Soroush holds a Ph.D inNanotechnology from the University ofBarcelona, Spain.

Denis LabrequePresident of NorCap Canada Ltd(Member of Audit Committee)

BOARD OF DIRECTORS Cameron Harris, Ph.D. President of Canadian Engineering Associates, former SVP and GM at SNC-Lavalin (Member of Compensation Committee)

Benoit Gascon, CPA, CA CEO of Mason Graphite (Chairman, Member of Compensation and Audit Committee)

WHAT IS GRAPHENE?

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•Discovered at Manchester University in 2004

•Nobel Prize 2010

GRAPHITE

GRAPHENE

Graphene Is a New Two Dimensional Carbon Nanomaterial

Great Additive to Industrial Materials

(Plastics, Batteries, Electronics, …)

•Conducts electricity better than copper

•Enhances battery capacity

•Much stronger than steel

•Transmits and releases heat

APPLICATIONS AND MARKETS

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Composites48%

Energy storage

15%

Coatings and paints

9%

TCF (non-ITO) incl. Flexible electronics

6%

Photovoltaics6%

Lubricants6%

Printed Electronics

4%

Water treatment

4%

Electronics (other)

2%

Source: Bulk Graphene Market and Pricing Report by FULLEREX, available exclusively from

www.thegraphenecouncil.org

Tires and rubbersEnhanced rolling resistance, carbon black replacement

Structural and electrical components in vehiclesWeight reduction, enhanced shielding

Energy StorageEnhanced capacity and fast charging

Paints and CoatingsFaster curing and enhanced anti-corrosion properties

Photonic and electronic enclosuresEnhanced cooling and shielding

Chemical packagingCost reduction

Medical and industrial partsEnhanced cooling and strength while reducing weight

PipesEnhanced heat transfer and strength, cost reduction

Smart textilesElectrically conductive yarns, functional fabrics

Bulk graphene market by industry application (2024)

• Low cost, large volume graphene technology platform

• Unique ability to mix with and add value to industrial materials

PATENTED TECHNOLOGY

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• 2 granted patents on processes to produce graphene and functionalized graphene powder.

• 3 provisional patents on mixing and applications derived from graphene in plastic for automotive, electronic, and packaging applications.

• Provisional patent on graphene-based formulations for graphene-silicon anodes and graphene-sulphur cathodes in Li-ion and Li-sulphur batteries.

Unique Graphene Production Technology

Proven and Patented Technology

MILESTONES

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$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

201331 June

201431 June

201531 June

201631 June

201731 June

Actual Yearly Revenue ($M)

2016 - Commissioned full production facility with

capacity of 25 metric tonnes/year - Acquisition financing by Investissement Quebec - Round B equity financing - New graphene compounding patent

2017 - NanoXplore became a publicly traded company

(CVE:GRA)- Raised $9.7M from institutional investors and

current shareholders- Acquired CEBO Injections SA (Switzerland)

2011- NanoXplore founded

2013 - First patent on graphene production process

2014- Seed investment and partnership with Mason Graphite - Three patents on graphene production and applications- Commissioned lab production facility (200kg/year)- Round A equity financing by high net-worth individuals

2015- Commissioned pilot production facility with capacity of 4

metric tonnes/year- Opened NanoXplore GmbH, German office- New HQ in Ville St-Laurent, Montreal QC- Added plastic compounding capability (400 metric

tonnes/year capacity)

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CARBON BLACK REPLACEMENT

Currently in the planning phase for a 10,000 tonne/year production scale-up.

GrapheneBlackTM is disruptive to the carbon black market:

• Superior performance with cost reduction at smalladded weight percent

• No dependency on oil price so avoids oil marketvolatility

Perf

orm

ance

$/kg for final product

(1) MarketsandMarkets, 2015 Carbon Black market report

Global Carbon Black Market:

- 2015: 8Mt/yr - US$11.2B in revenue

- 2021: forecast of US$13.8B(1)

Major Carbon Black Producers

VERTICAL INTEGRATION

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GRAPHITE

Lac Gueret, Quebec, Canada

Tires Paints

Sport

equipmentPlastic

Pipes

3D

printing

Batteries

Automotive

Industrial Packaging

Better Plastic ProductsImproved performance at lower cost

1 Graphene Production 2 Compounding 3 Plastic Forming

Mixing graphene with plastics Acquisitions

GRAPHENE POWDER

Additive In

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Increase

market shareLighter and stronger

plastics

Product

enhancementGraphene technology injection

AcquisitionPlastic forming businesses

We capitalize on opportunities for rapid growth

through our proven acquisition strategy.

1. Acquire companies to access existing capabilities and customer relationships.

2. Inject graphene technology and proprietary products to improve products and rapidly increase market share.

GROWTH THROUGH ACQUISITON

BEST IN CLASS R&D PROGRAMS

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External R&D programs

• University of Waterloo: Li-sulphur batteries using graphene anodes and cathodes

• McGill University, ETS, MITACS: Thermoplastic compounding, rheology, electrical/mechanical/ thermal performance

• NRC: Li-ion batteries

• CTMP: Thermoplastic compounding, barrier

• Concordia: EMI and electronic enclosure

Internal R&D programs

• EMI shielding for electronic enclosures

• Graphene production and de-agglomeration

• Graphene thermoplastic compounding

SDTC Funded Program

• Project budget is $10M over 4 years

• Primary goal is to replace metal components with graphene-enhanced polymers

• Government contribution up to $3.3M

• Project launched Sept. 2017

MARKET APPLICATION: VEHICLES

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Potential Benefits for Electric Vehicles

Range increase by lightweighting

• Electric motor structural components

• Heavy duty commercial vehicle components

Improved safety with EMI shielding enclosures and advanced electronic packaging

• Sensors and data links

• Battery packaging

CORPORATE STRUCTURE

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Trading Symbols:TSX Venture: GRAUS Grey Market: NNXPF

Capital Structure:Shares Outstanding: 87.7MFully Diluted: 94.2M

Analyst Coverage:Marvin Wolf

Last Equity Raised:C$9.7M at C$0.45/shareClosing on August 2nd 2017

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