KUALA LUMPUR (Dec 29): Nasdaq-bound Graphjet Technology Sdn Bhd, the world’s leading graphite and single-layer graphene producer, has signed a letter of offer to build its RM400 million production facility in Phase 3 of the Malaysia-China Kuantan Industrial Park.

The company, which is heading for a US$1.5 billion (RM6.64 billion) listing, is the first and only one in the world to transform palm industry waste materials, palm kernels, into graphite and single-layer graphene.

Graphene is known as a super material and was attributed the Nobel Prize in Physics in 2010.

"The revolutionary patented technology will transform palm kernel shell, a waste from palm kernel production, into single-layer graphene, at a significantly lower cost than the current production of single-layer graphene.

"The production plant is expected to produce 10,000 tonnes of graphite and 60 tonnes of single-layer graphene annually. It is expected to generate revenue of RM3.6 billion per year for Graphjet Technology," the company said in a statement on Thursday (Dec 29).

Its founder and chairman Lim Hooi Beng said the new 8.09ha (20-acre) integrated plant (upstream and downstream) is expected to be completed within 18 to 20 months after the initial public offering and generate up to 700 jobs over the next four years.

"We have great growth ambitions for Graphjet Technology and will not only stop with one plant.

"We expect the first products to come online in the first quarter of 2025 and serve customers across Asia, Europe, and the United States in the automotive and renewable energy businesses," he said.

Meanwhile, chief executive officer Aiden Lee Ping Wei expressed optimism that the development of the production plant in the East Coast Economic Region (ECER) would create a greater economic effect on the local community.

“Our project will lead and drive innovation and investment in the downstream new energy industry. This will play a vital role in advancing the development of new technology, future materials, and energy industry in Malaysia.

"We believe that the impact of our investment will have a far-reaching and positive spill-over effect in the country,” said Lee.