Natural GraphiteNatural Graphite,Characteristics, Markets &

21st Industrial MineralsCongress & Exhibition

Applications

Congress & ExhibitionBudapest

26 March 2012 – 29 March 2012

Presented byPresented byMathis Wissler &Andy Rill

Outline

Superior Graphite at a GlanceSuperior Graphite at a GlanceCharacterization of Carbon and Graphite

Classification of Carbon and GraphiteNatural Graphite Market

Production volume today dominance of ChinaProduction volume today, dominance of ChinaProcessing Characteristics and applications

Graphite Application Markets Traditional and EmergingMarket sizes and quality requirements

Graphite Market in 10 Years – Some Trends

Profile

• US Mid Sized Graphite and Carbon CompanyUS Mid Sized Graphite and Carbon Company• Family-Owned – 4th Generation• Since 1917— +95 years experience in graphite solutions

• Headquarters – Chicago, Illinois, U.S.A

• Employees – 320

• >150 million USD in sales – global and serving customers in>150 million USD in sales – global and serving customers in 50 countries

• Facilities 8 production sites; 4 R&D facilities• Facilities – 8 production sites; 4 R&D facilities

• ISO 9001:2008—certification

CapabilitiespAdvanced electro-thermal purification technology

Powder Processing (Milling, Blending, Screening)

Manufacture of engineered graphite electrodes

Manufacture of advanced ceramic shapes & powders

Manufacture of carbon coatings

MarketsAdvanced Ceramics Lead Acid BatteryAgricultureAlkaline Battery

yLi-Ion BatteryLubricantsy

AluminumArmor

Oil FieldPlasticsArmor

ElectronicsFriction Materials

PlasticsPolymersPowder MetalFriction Materials

Fuel CellsGraphite Foil

Powder MetalRefractoriesSteelGraphite Foil

IronSteelToner

LocationsEurope Headquarters, Sundsvall, SwedenPlants, Sundsvall, Sweden

World Headquarters, R&D, Chicago, IllinoisPlants, Bedford Park, Illinois

OfficesHöhr-Grenzhausen, Germany

PlantRussellville, Arkansas

OzarkGraphiteGraphiteSpecialties

PlantsHopkinsville, Kentucky

OfficeShanghai, China

Characterization of Carbon & Graphite Powders

Definition of Purity Definition of CrystallinityAsh ContentLoss of Ignition

Definition of PurityCrystallite Height LcCrystallite Width LaI t l Di t /2

e t o o C ysta ty

gMoistureImpurities Degree of Graphitization

Interlayer Distance c/2

Definition of TextureReal DensityB lk D it

Definition of Particle Size% passing mesh size

Bulk DensityTap Density

Surface Area Intergranular PorosityIntragranular Porosity

d100d90

d50Pore Size DistributionParticle Shape

g y d50d10

Classification of Carbon & Graphite Powders

Unstructured CarbonsCokeCoal

Petroleum CokeNeedleRegular

R l

Secondary Superior

Unstructured Carbons CoalPitch Coke

NeedleRegular

Anthracite

SyntheticPrimary

y SuperiorProcess

AchesonProcessGraphite

Micro-crystallineNatural Flake

Process

Macro-crystallineNatural FlakeVein

Nano Carbons

Nanotubes

FullerenesNano Carbons FullerenesGraphene

Diamond

Natural Flake Graphite

CharacteristicsLow to high purity • High crystallinity • Flake like particle shape

Purity AshMoisture

<0.1 – 20 %<0.1 – 2.0 %

Crystallinity GraphitizationLc

95-100 %100– 300 nm

Texture Real density 2 2 2 25 g/ccmTexture Real density 2.2- 2.25 g/ccm

Flake graphite occurs in three forms:• Fine flake graphite• Mid-sized flake graphite• Large-sized flake graphite (Madagascar)

Natural Flake Graphite

Steps of Purification

Excavation

Open pit

Mechanical Separation

Sorting

Flotation

Flotation

Purification

Chemicallyp pUnderground

gCrushingMillingScreening

Wet classificationy

Thermally

2 –20 % Carbon 50-90 % Carbon 95-98 % Carbon 99.5-99.99 % Carbon

Natural Flake Graphite Thermal PurificationSuperior Process Acheson Process

CharacteristicsHorizontal processHorizontal processModerately efficientHigh-purityEnvironmentally not unproblematic

Conductive Graphite Core

Coke GraphiteSiC + SiO2 + C SiC

SiO2 + C SiO2 + SiC + C

CharacteristicsVertical process

Removable Side WallHighly efficientHigh- purityEnvironmentally-friendly

Removable Side Wall

Natural Flake Graphite Main Markets

Carbon Brushes and PartsFrictionThermal InsulationLubricant AdditivesMetallurgyPackaging and Seals Worldwide 896’000

Chi 655’000*

Estimated world production (tpa)

Powder MetallurgyPrimary and Secondary Batteries

China 655’000*China Export 155’000

America’s 110’000Asia 60’000Af i 10’000Refractory Industry Africa 10’000Europe 21’000Others 40’000

* China Domestic Market 500’000 Source SG

Natural Flake Graphite Derivatives

Expanded graphite, a unique product

Sulfuric Acid

Expanded Natural Flake Graphite

CharacteristicsHigh purity High crystallinitySheet-like particle shapep p

Purity Ash <0.1 – 0.5 %

Estimated production Worldwide 30’000 tpa

Crystallinity GraphitizationLcLa

90 - 95 %30 nm85 nm

Source SG

Worldwide 30 000 tpaTexture Real density 2.2- 2.25 g/ccm

Main applicationsGraphite foils • Graphite seals • Thermal conductivity additiveElectrically conductive additive • Battery component

pp

Natural Flake Graphite Derivatives

Spherodized graphite, the anode for Li Ion batteries

Excavation Mechanical separation Flotation

Purification Spherodization Milling

2000 kg5%

198 kg50%

105 kg95%

Purification Spherodization Milling

70% loss

33 kg95%28.5 kg

99.95%

99 kg95%

S rface treatment

70% loss

Surface treatment30 kg

Coated GraphiteFor 1 EV Car

Natural Graphite Spherodized

CharacteristicsHigh purity High crystallinitySpherical particle shapeSpherical particle shape

Purity <0.1 %<0.1 %

Estimated production coated (tpa)Worldwide 19’000

Crystallinity GraphitizationLcLa

95 %80 nm100 nm

Japan 8’080*China 7’870Korea 1’800

Texture Real densityTap densityBET

2.2- 2.25 g/ccm>1.1 g/ccm<1.0 sm/g

Source SG

others 1’250*Precursor graphite from ChinaMain application – Li Ion batteries

g

Natural Vein Graphite

CharacteristicsVery high crystallinityLarge single crystalsPurity 95 98 % CPurity 95 – 98 % COccurs in large lumps Country of origin: Sri Lanka

Estimated productionW ld id 10 000 t

Source SG

Worldwide 10’000 tpa

Carbon brushes and parts • Lubricant additive • Coatings & dispersionsMain Applications

Conductive additives • Powder metallurgy

Micro-crystalline Graphite (amorphous)

CharacteristicsLow to moderate purityHigh degree of graphitizationLow crystallite sizeLow crystallite size

Purity Ash 50-90 %yMoisture 0.5 - 2 %

Crystallinity GraphitizationL

90 – 95 %20

Estimated production (tpa)Worldwide 180’000

Main Applications

Lc 20 nm China 110’000** North Korea 30’000Mexico 20’000Others 20’000Metallurgy • Lubricant additive • Friction

Refractory market • Paints • SealsSource SG

Others 20 000** Lutang Mines closed since 2010

Production capacity 700’000 tpa ?

Graphite, main application fields, traditionalGraphite, Main Application Fields, Traditional

Recarburizer (Metallurgy)

Market size >1,000,000 tpa

Specifications:pAlmost any carbon is used

Growth rate worldwide:

Quality Bench Mark Product

Growth rate worldwide:1-3 % pa

Quality Bench Mark ProductSuperior Graphite’s

Graphite, main application fields, traditionalGraphite, Main Application Fields, Traditional

Refractory Industry

Market size >160,000 tpa

Typical specifications:(source IM)

Large flake graphite > 500 micronPurity > 85% C

M k l d

Growth rate worldwide:1-3 % pa

Market leaderChinese manufacturers

Graphite, Main Application Fields, TraditionalFriction Industry (Friction Parts, Clutch Facings)

Market size 66’000 tpaG hi ( h i h fl k ) 19’000Graphite (synthetic, amorphous, flake) 19’000 tpaCalcined petroleum coke 47’000 tpaTypical specificationsTypical specificationsSynthetic graphite Particle Size 150 – 800 micron

Purity >99% C (no SiC)Amorphous graphite Particle Size < 75 micron

Flake graphite Particle Size variousPurity >90 % C

Amorphous graphite Particle Size < 75 micronPurity >80 % C

High end resilient friction modifier

Purity >90 % C

Growth rate worldwide 2-4 % pa

High end resilient friction modifierSuperior Graphite’s

Graphite, Main Application Fields, TraditionalLubricating industry (Dry lubricants, oils, greases)Market size ?N t l hit ( h fl k ) 56’000 tNatural graphite (amorphous, flake) 56’000 tpaSynthetic graphite ? Growth rate 3%Increasingly important market due to energy savings

Market Size 41’000 tpa ?Carbon brushes, carbon parts

Increasingly important market due to energy savings

Market Size 41’000 tpa ?Natural graphite (vein, flake) 40’000 tpaPrimary high crystallinity synthetic graphite <1’000 tpaGrowth rate 1 2% paGrowth rate 1-2% pa

M k t i 30’000 tGraphite Foils and SealsMarket size 30’000 tpa Large flake natural graphite high purityGrowth rate >3% pa

Graphite – Emerging MarketsLi Ion Batteries 2011

Market volume 2011 (tpa) of graphite and Carbon( ) gNatural graphite spherodized 19’000Synthetic graphite 10’000MCMB type 2’700MCMB type 2 700Hard Carbons 600Total 32’300 Source: SGC

Geographical distribution by anode material producersJapan 62%China 31%Korea 6%others 1%Application distributionApplication distributionConsumers and stationary 95%Electrical vehicles 5%

Source SG

Graphite – Emerging MarketsLi Ion batteries estimated demand 2020 (tpa)o 2C, E-bikes, power tools, others (ann. growth 6%) 48,000o E cars

Market share (%)

Anode graphite(1000 kg)

Graphite 30% yield (1000 kg)

Graphite 70% yield (1000 kg)

o E-cars

share (%) (1000 kg) yield (1000 kg) yield (1000 kg)

2 12’000 40’000 17’0005 30’000 100’000 42’000

Source SG10 60’000 200’000 84’000

Assumptions:CAGR N f t bil 2010 2020 32%• CAGR: No of automobiles 2010 – 2020: 32%

• Number of cars produced in 2010 (development countries excluded): 61 Million• Weight of graphite / carbon per car: HEV 3 kg

EV 30 kgEV 30 kg• Ratio HEV/EV 3/1

Graphite – Emerging MarketsLi Ion Batteries in electric cars: Plus and minuses

Positive factors for market growthg• Reduction of gasoline consumption• Reduction of green house gas emissions• Noise reductionNoise reduction • Application of latest technology• Inventive car design

Negative factors for market growth• Investment costs by consumer

C ffi i ll i h i i d b i i• Cost efficient small cars with optimized combustion engines• Mild hybrid cars with Carbon lead acid batteries• Electricity and raw material availability• Safety

Graphite – Other Emerging Markets

Thermal insulation in polymer foams

Thermo sinks , heat dissipation

Other thermal conductivity applications

Self lubricating engineering polymersSelf lubricating engineering polymers

Lead acid batteries for mild HEV

PEM fuel cells

New battery systems

Graphite Market in 10 Years, some TrendsGeneral RemarksStrategic importance in many applications due to unique characteristicsTrend to higher purity and controlled crystallinity, higher consistencyTrend to higher purity and controlled crystallinity, higher consistency

Replacement of natural graphite with primary synthetic graphite in specific applications

Preferred product to use because of environmental friendliness

MarketsLi Ion Batteries will play a major role in the overall growth

applications

Future of the E-Car not predictable (1%, 5%, 10% ……. share)Rising importance in the energy savings measures (lubrication)Significant market growth in electrical, electronic and thermal markets

SourcesChina will remain dominant but will protect sources with trade barriers

g g ,

New mines will open primarily in America’s, overcapacities to be expectedChina will remain dominant but will protect sources with trade barriers

Mines in Africa and Asia (excl. China) will still remain under development

Thank You for Your Attention