The company announced this morning its intention to make a $1.6 million cash investment, plus the issue of 30 million new shares, for a 50% share in an aluminium-graphene synthesis and battery technology developed by Russian-born Australian-based scientist Victor Volkov.
The tech, which LWP says is being patented, is a chemical synthesis process needed to manufacture the highest quality graphene on a commercial scale, and the production of a battery technology that it claims offers energy density far superior to the lithium-ion technology that is currently the market standard.
It will create a new business, GraphenEra, to commercialise the process.
"This investment represents a major value-adding step for LWP and is consistent with the company's strategy of investing in technologies in the energy sector," the company said.
LWP says it has completed significant due diligence, and will invest its capital to develop battery prototypes for the first of three patents that have been lodged, believing that improvements in lithium-ion technology appear to be proving incremental rather than exponential, so there is an increasing appetite for batteries in areas such as electric vehicles, where energy storage can allow greater driving range and lower charging times.
It says the lithium-ion battery market is worth around $US30 billion per annum, and will grow as electric vehicles penetrate conventional markets, despite the fact, LWP says, that lithium is regarded as unstable and prone to fire risks.
Volkov "disruptive battery technology" has been tested in the lab and LWP says it offers 15% more power and 7.5 times the stored energy of conventional batteries, which, using a Tesla, dramatically expands the range from 426km to 3500km, while recharging times are just 15 minutes compared to 4.5 hours.
The battery is also said to be 30% lighter, much smaller, half the price at $11,450, and will last 15 years compared to the lithium-ion's estimated life of eight years.
The extraordinary potential of graphene has been recognised ever since its discovery in 2004, however it is still facing limited commercial applications.
LWP says Volkov's VVV Technologies' new patents could help change that.
They describe the chemical synthesis process to manufacture the highest quality graphene on a commercial scale.
The patents cover the energy storage and both metal-air electrochemical cells and metal-ion electrochemical cells, plus a metallurgical process for creating a productive metal-based conductive composite with improved mechanical and chemical properties.
They plan it to independently validate the process, and then commercialise it within 6-12 months by creating the first prototype batteries.
LWP chairman Siegfried Konig said the company had "secured a foothold in a patent pending innovation that could potentially change energy markets and the way the world commutes.
"We are witnessing the early stages of this disruption through greater take up of lithium-ion powered batteries and we believe that Al-Graphene-Oxygen battery technology is superior," he said.
He said the company remained committed to commercialising its ceramic proppant and frac sand technologies.
Graphene isn't the only rival to lithium.
Vanadium-made flow batteries have the potential to store large amounts of energy indefinitely, giving consumers better control of their energy consumption and could potentially revolutionise large scale renewable energy systems of the future, according to Australian explorer Australian Vandium.
Vanadium-made redox flow batteries is said to have advantages over other systems due to their scalability, lifespan of 20 years, immediate energy release, charge retention of up to one year, suitability for grid connection, ability to discharge 100% with no damage, and key features of using only one element in electrolyte.
LWP shares were flat at $0.006 this morning.
