Graphjet Technology is the world’s first and only company to own a technology that transforms palm oil waste, the palm kernel shell, into graphite, single-layer graphene, and graphene-based anode battery material. Pulse 2.0 interviewed Graphjet co-founder and CEO Aiden Lee to learn more about the company.
Aiden Lee’s Background
What is Aiden Lee’s background? Lee said:
“Throughout my career, I have developed a blend of skillsets thanks to my education, background, and the positions I’ve held in corporate finance, management, and project development. In 2019, my other three co-founders and I set out to establish Graphjet Technology, the world’s first and only direct agriculture waste-to-graphite technology developer and producer. We are dedicated to manufacturing clean and sustainable graphene and graphite using agricultural waste as feedstock.”
“Two core opportunities served as catalysts for Graphjet’s founding. First, as the electric vehicle (EV) revolution and the green energy transition continued to grow across the globe, we realized that graphite – a key material used to make lithium-ion batteries for EVs – would become of critical and strategic importance in the coming years. It’s actually more important than the lithium itself inside of a lithium-ion battery. Graphite has several other applications such as semiconductors and many next-generation consumer products.”
“Second, in my home country, Malaysia, we saw an overlooked opportunity to maximize byproducts in the palm oil industry, which was more than 5 million tonnes of palm kernel waste.”
“At the intersection of these two core trends, we founded Graphjet to produce graphite that can fuel the energy transition and EV markets and use a widely abundant waste product as feedstock. This way, we can significantly reduce our carbon footprint and cost while helping power the future.”
Core Products
What are the company’s core products and features? Lee explained:
“Our proven, commercial and patented technologies and processes cut Graphjet’s carbon footprint by 83% in addition to reducing raw material and operational costs by 80% compared to the traditional methods. Graphjet produces 2.95 C02 emissions per KG of graphite, compared to 17 C02 with synthetic graphite in China and even 9.2 with natural graphite in Canada.”
“ We are the first in the world to transform palm kernel shell residue into battery-grade artificial graphite with our patented technology. We firmly believe that graphite ranks above lithium as the key ingredient in the lithium-ion battery, and as EVs continue to proliferate the need for graphite will continue to increase. This need is why we believe our technology will be so important in the months and years to come.”
“In addition to graphite, we plan to produce graphene from graphite. Graphene is a high-profile revolutionary new material known for high conductivity, high strength, and ultra-lightweight. It is also known as the ‘black gold’ and the ‘king of new materials.’ It is more than 100 times stronger than steel and five times lighter than aluminum.”
“Historically, due to its cost, graphene has yet to reach mass consumer adoption. However, graphene is a core component in energy storage systems that are expected to steadily grow in line with the rise of clean infrastructure.”
“Graphene Research and Development is also making significant strides in the battery and semiconductor industries, offering a wide range of emerging applications. Most notably, aerospace can have graphene applications once companies like Graphjet are able to drive down its cost (currently around $800 per gram).”
Significant Milestones
What have been some of the company’s most significant milestones? Lee cited:
“We have really been on a tremendous journey, and we are just getting started.”
“In 2024, we were thrilled to list on the Nasdaq this year and to help set a great example for Malaysian companies trying to make a big splash globally. In addition, listing on Nasdaq was a very strategic move as we are focused on expanding into the US market, and going public will help increase our exposure to ideal stakeholders.”
Total Addressable Market
What total addressable market (TAM) size is the company pursuing? Lee assessed:
“More than 97% of the world’s graphite supply is controlled by China as of December 2023. China also refines more than 90% of the world’s graphite into the material that is used in virtually all EV battery anodes. China now requires special export permits for three grades of graphite, which is further expanding our total addressable market.”
“Ultimately, Graphjet is tapping into large, high-growth markets for graphite, $25 billion market size expected by 2027, CAGR 7%, and graphene, $2 billion market size expected by 2026. This growth is driven by demand across EVs and clean technology sectors.”
Differentiation From The Competition
What differentiates the company from its competition? Lee affirmed:
“As mentioned, our technology’s ability to reduce Graphjet’s carbon footprint by 83% and costs by 80% gives us a significant advantage over the incumbent players. In addition, our unique combination of patented technology and raw material sourcing advantages enable production at higher quality compared to existing market suppliers.”
“With China historically dominating the industry, Graphjet plans to be the leading source of graphite and graphene for the U.S. market. We are the first in the world to produce green graphite outside of China and the only palm kernel shell biomass waste-based graphite producer in the world. Importantly, we do not use coal or petroleum coke in our production process. We are a pioneer and currently have no direct comparable.”
“In addition, Graphjet has received several key endorsements, including a $30 million offtake agreement with Toyoda and a highly prestigious award from Frost and Sullivan.”
Future Company Goals
What are some of the company’s future company goals?
“We are laser-focused on getting our commercial production online as quickly as possible to address the growing demand for graphite on the heels of China’s recent export restriction. To support this goal, Graphjet is advancing the construction of our first manufacturing plant in Malaysia. We expect to commission this facility this year.”
“Its completion will enable us to begin producing graphite to supply our customer Toyoda and generate revenues in 2024. We also have plans to build our first US facility in Nevada, which will have the capability to produce 10,000 tonnes of graphite per year – enough material to power more than 100,000 EVs per year.”
“Overall, Graphjet is well positioned to become the leading source of graphite for the U.S. and we are excited to have Nevada serve as our launching pad. We look forward to investing in the region and creating many local green energy jobs as we build state-of-the-art green graphite production facilities.”
“More than half of the globe is in dire need of sustainable and reliable sources of this strategic material, and we are primed and ready to meet this need and pursue the immense number of opportunities for our sustainably produced graphite and graphene to help create a more circular economy.”
