Sunday, December 8, 2013

An Economic Perspective

Okay, so you're not buying the whole "adopt a graphene-based lifestyle" despite the overwhelming of facts showing you should. Instead of using graphene then, you may want to consider investing in it. The wonder-material is still in its early stages of production, meaning shares are cheap, and the multidimensional applications it possesses imply a dramatic stock market impact.

In recent years, the price of graphite, graphene's ancestor, has been on the rise. This is due to a number of factors, but largely because China has been limiting graphite exports. Compared to the rest of the world, China owns 73% of all discovered graphite deposits, which means increased demand for every country interested in producing graphene. Currently there are only a few graphite sources within the United States, so as graphene demand manifests itself shares of these sources will grow exponentially. Additionally, as growth in the plastics industry with respect to graphene comes to be, there will be a huge global demand for graphite.

Northern Graphite, a Canadian-based mining company specializing in the acquisition of graphite, has grown in worth from $2 million to $40 million since 2008 due to this gradual, worldwide demand. Shares for their company are currently under $1.00, and if prices are to increase at a rate similar to that of copper, which, according to the Outsider Club in their report How to Invest in the Graphene Revolution, they will (at the very least), graphene shares could quadruple within the next decade. To illustrate this likely increase, the following chart shows graphite prices since 2004, the year graphene was discovered:

graphite prices
source: http://www.outsiderclub.com/report/how-to-invest-in-the-graphene-revolution/941
So, clearly the demand for graphite-based materials has been rising significantly in recent years, largely due to the world's interest in graphene. If you're still skeptical about its direct application to your life, you should at least consider purchasing graphite shares; the evidence for the rise of graphene is simply undeniable.

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