It appears that graphite is next in line for a commodity boom. The market is driven by increasing demand from traditional applications, new technology uses, and China’s 75% control of supply, its depleting reserves, and efforts to consolidate operations.
Graphene offers remarkable possibilities. It also offers substantial profits for investors, but finding the right vehicle to catch the graphene wave will be a challenge – requiring both patience and close monitoring of companies that may benefit most as the new technologies evolve.
As the boundaries of technology continually expand, so does the demand for graphite. With uses developing and supply mainly controlled by China, prices for graphite should continue to climb, says the Encompass analyst and Malcolm H. Gissen & Associates portfolio manager.