Graphite is an industrial staple. Its various properties - including high refractoriness, corrosion resistance and flexibility - have cemented its place in markets such as foundries and refractories, where stable, long-term growth appears to be assured.
Yet for this traditional mineral, times are quickly changing. The last three or so years have seen a sharp rise in market interest, owing to the collision of several factors: falling supply and quality from China (the world’s largest natural graphite producer), increasing prices, and booming interest in new applications which serve the hi-tech sector.
Natural graphite (and in particular, large flake) has seen a surge in interest similar to the peak in the late 1980s. Yet the market situation today is vastly different: China - then an emerging low-cost supplier - has turned its back on bulk exports in favour of consolidation and the development of high-value, domestic industries. As a result, numerous...