Marlborough business CarbonScape is revolutionising how we produce graphite

One Marlborough company is on the path to commercialise a sustainable graphite alternative that overseas companies can use to produce lithium-ion batteries and now a new investment will see them grow their team at home and overseas.

CarbonScape is a business that uses timber and forestry industry by-products and waste to make biographite, a carbon-negative graphite product for EV and grid scale battery supply chains.

They are the first to market this sustainable option and this week the company announced an US$18 million investment led by Stora Enso, a leading provider of renewable products around the world, and Amperex Technology Limited (ATL), a global lithium-ion battery producer and innovator.

CEO Ivan Williams said the company is “really passionate” about this project, and it was “pleasing” to be recognised by leading companies Stora Enso and ATL.

“It’s a fantastic team. We work really well together, and I guess it’s that passion that drives us forward and this investment obviously allows us to further grow our team,” Williams said.

Their product is a sustainable alternative to synthetic, petroleum-based and natural (mined) graphite.

There is an increasing demand for graphite in regions such as North America and the EU as the world moves to decarbonise through electrification. Graphite is a critical component in the batteries of cell phones, laptops and EVs.

Williams said the goal with the investment is to expand their business interests into the EU and the US, where CarbonScape can bring localised production of biographite to those countries.

Over 90% of the world’s graphite comes from China and CarbonScape technology can offer “relief to that” business risk, by providing US and EU battery manufacturers the technology to produce graphite locally, Williams said.

“We’re localising those supply chains.”

Graphite is in every lithium-ion battery and it is becoming a huge market globally and at the current rate of producing synthetic or natural graphite, by 2030 there will be an almost 800,000 tonne shortfall as demand increases.

The vision for Williams is to see biographite plants employing local forestry and timber by-products in the US and EU. This would help those regions to produce the material they need to fulfil their “domestic graphite needs” in the next few years.

Senior vice president, biomaterials growth businesses at Stora Enso, Juuso Konttinen said partnering with CarbonScape “marks another step” in the company’s journey to serve the “fast-growing” battery market with a sustainable option.

​ATL executive vice president, Joe Kit Chu Lam said demand for low cost, low emission solutions is increasing and partnering with CarbonScape allow ATL to continue to create the “technology of the future”.

An US$18 million investment in CarbonScape “justifies” the “hard work that we’re putting in”, Williams said.