The Anteotech Ltd (ASX: ADO) share price is up 9% this morning, after the company shared news it is to be a part of a major battery project.
AnteoTech will be the supplier of silicon composite to the Super Anode Project, a 4-year project designed to kickstart Australia's battery industry.
Investors seem to be exited about the news too. After the company announced its participation, the AnteoTech share price rose to an intraday high of 28 cents, a 16.6% gain on yesterday's closing price.
At the time of writing, the AnteoTech share price is trading for 26 cents apiece.
Let's look closer at AnteoTech's news and the Super Anode Project.
Is this the beginning of the future for AnteoTech?
AnteoTech announced this morning that it has signed an agreement to participate in Future Battery Industries Cooperation Research Centre's (FBICRC) Super Anode Project.
As well as its involvement, AnteoTech estimates it will contribute $500,000 to the project and receive some intellectual property rights over the resulting technology. It assures investors it will retain all intellectual property rights of its products used in the project.
AnteoTech says its participation also gives it access to skilled researchers with sophisticated equipment to develop and refine its own silicon composite material. The project itself will also work towards achieving better performance from the company's silicon composite material.
The Super Anode Project will work to complete two equally funded major tasks. Firstly, to develop Australia's flake graphite production by changing processing measures, allowing Australia's graphite to meet the standards of global battery manufacturers. Secondly, to develop high-capacity, silicon-containing anodes that meet future capacity requirements.
The FBICRC is made up of nearly 60 industry participants, 8 universities, the CSIRO and Federal and State Governments. It's a 6-year research and development program targeting all points of the battery value chain to deliver commercial, proprietary outcomes. It hopes to allow Australia to become a future leader in battery industries.
It has a budget of around $130 million of cash and contributions.
Commentary from management
AnteoTech's head of energy Manuel Wieser said its participation in the Super Anode Project will be a great opportunity to collaborate with other key players in the Australian battery industry.
We have already demonstrated solid results with our in-house testing of half cell batteries. This Project will take our work to the next level providing scale-up, demonstration and validation opportunities for the silicon composite development work being undertaken by AnteoTech while creating a marketable product and expanding AnteoTech's (intellectual property) portfolio.
AnteoTech share price snapshot
The AnteoTech share price is having a great year on the ASX so far.
Currently, it's up 131.8% year to date. It's also up by 1,175% over the last 12 months.
AnteoTech has a market capitalisation of around $449 million, with approximately 1.8 billion shares outstanding.
