RE: NovoCarbon JV - Same thoughts9 May 2019 09:58
Excellent post Robin. Those impatient people carping at the time it takes to secure the firm contracts from the collaborations should note the extract from the interview below, just shows the importance of VRS's graphene verification from the independent bodies.
Richard Baxter: Yes, it definitely does. It’s in the news now that Maxwell just got purchased by Tesla. A long time ago, I was an equity analyst covering Maxwell. They had been spending a lot of time and effort getting qualified by the different automotive OEMs. I remember one of the other analysts asking about that. The executive's answer was, “Look, the OEM’s are the hardest. It takes ten years and ten million dollars before you see the first dollar. After that, you’re qualified.” If you want to be a supplier of specialty materials to groups who have a voracious appetite now and continue to grow, then you have to be able to qualify for their material. And then you have to make sure that your entire supply chain is qualified so it isn’t just the initial samples they. They want, 10, 20, 50, or 100,000 tons to be the same quality. That takes effort and expertise in ensuring high-quality supply to those manufacturers.