HEG Signs Strategic MoU with TACC and CGT to Revolutionize Graphene Manufacturing

Vijay Singh
4 Min Read

HEG, India leading graphite electrode manufacturer, has entered into a strategic Memorandum of Understanding (MoU) with TACC (an innovation-driven venture of the LNJ Bhilwara Group) and Ceylon Graphene Technologies (CGT), a global leader in graphene production. This collaboration aims to explore joint manufacturing initiatives in the burgeoning graphene industry, leveraging the expertise of all three companies to push the boundaries of innovation and sustainability in advanced materials.

The Powerhouse Collaboration: TACC and CGT

TACC specializes in synthetic graphite and is recognized for its leadership in green technologies and graphene synthesis. Their focus on innovation in the advanced materials sector has made them a key player in the global market. On the other hand, CGT, a subsidiary of LOLC based in Sri Lanka, is renowned for producing premium vein graphite, which is essential for the high-quality production of graphene. With its deep knowledge of material science, CGT stands at the forefront of global graphene production, delivering cutting-edge graphene solutions to various industries.

Graphene Manufacturing in India

The MoU between TACC and CGT also includes plans to set up a state-of-the-art graphene manufacturing facility at TACC’s premises in India. This facility will enable large-scale production and distribution of sustainable graphene solutions to global markets. The partnership is poised to combine TACC’s synthetic graphite expertise with CGT’s premium vein graphite, creating a powerhouse for next-generation materials.

What is Graphene?

Graphene is a revolutionary material that consists of a single layer of carbon atoms arranged in a hexagonal lattice. Known for its exceptional strength, conductivity, and lightweight properties, graphene is considered a game-changer in numerous industries. From electronics and energy storage to coatings, composites, construction materials, and even textiles, graphene is at the heart of transformative advancements in technology and manufacturing.

HEG’s Role and Recent Financial Performance

HEG, a pioneer in graphite electrode manufacturing, has one of the largest integrated graphite electrode plants globally. It is known for producing Ultra High Power (UHP) electrodes, essential for the steel industry. However, the company has been facing some challenges in recent months, as evidenced by its Q2 FY25 financial results. HEG reported a 14.3% decline in consolidated net profit, which stood at ₹82.28 crore for Q2 FY25 compared to ₹95.98 crore in the same period last year. Additionally, the company witnessed a 7.6% year-on-year fall in revenue from operations, which totaled ₹567.60 crore.

Despite these financial setbacks, HEG remains committed to its growth strategy, especially in the graphene and advanced materials sectors, where it sees substantial long-term potential.

Market Reaction

The stock of HEG faced a decline of 3.18% on Friday, closing at ₹451.85 on the BSE. Investors will closely monitor how HEG’s collaboration with TACC and CGT impacts its performance in the coming quarters, particularly in the graphene space.

This partnership underscores HEG’s ambition to not only remain a leader in graphite electrodes but also pivot towards sustainable, cutting-edge materials that are set to redefine industrial applications worldwide. Keep an eye on this collaboration as it positions itself to lead in the graphene industry.

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