Here's why the Ecograf (ASX:EGR) share price is up 8% today

The graphite company is on the way to opening to a new facility in Australia.

| More on:
asx share price growth represented by cartoon man flexing biceps in front of charged battery

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Ecograf Ltd (ASX: EGR) share price is gaining today after the company released news it's one step closer to producing battery anode material at its Australian facility.

At the time of writing, shares in Ecograf are swapping hands for 67.5 cents apiece – 8% more than their previous closing price.

The battery anode producer has announced the results from a mechanical shaping program using a commercial-scale plant in partnership with a leading equipment manufacturer.

The program helped Ecograf get closer to finalising the engineering design for its Battery Anode Material Facility.

Successful mechanical shaping program

The Ecograf share price is reacting positively to news the program enabled the company to achieve an overall product yield of more than 60%.

Previously, Ecograf was able to reach an overall product yield of around 50%.

The mechanical shaping program looked at how to efficiently shape graphite. To sell graphite feedstock as battery anode product, a company has to be able to shape it to customer specifications.

The program found 3 core products that Ecograf's facility will be able to produce to maximise its yields. These are:

  • 15-16µm battery anode material.
  • ultrafine battery anode material, known as 'super' BAM products. 'Super' BAM products are used to make high-performance batteries. They can sell for between 20% to 25% more than other battery materials.
  • Fines bi-products – which can be used in industrial and alkaline batteries.

According to Ecograf, the findings of the program will help it to select equipment for its facility before construction starts.

Ecograf share price snapshot

The Ecograf share price has been performing exceptionally well lately.

Right now, it has gained 297% in 2021. It's also a whopping 988% higher than it was this time last year.

The company has a market capitalisation of around $303 million, with approximately 449 million shares outstanding.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. 

The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Energy Shares

a man in a business suit looks at a map of the world above a line up of oil barrels with a red arrow heading upwards above them, indicting rising oil prices.
Energy Shares

Woodside, Santos, and this ASX energy stock are storming higher on oil price jump

Oil prices jumped overnight amid escalating tensions between the US and Iran.

Read more »

Young man in shirt and tie staring at his laptop screen watching the Paladin Energy share price tank today
Energy Shares

Looking for opportunity? This sector has fallen the furthest in 2025

Whilst the ASX 200 has largely rebounded from a turbulent start to the year, this sector is yet to recover. 

Read more »

A female coal miner wearing a white hardhat and orange high-vis vest holds a lump of coal and smiles as the Whitehaven Coal share price rises today
Share Gainers

The Coronado Global share price just surged to a 114% weekly gain. Here's why

Investors have sent the ASX coal stock flying higher in June. But why?

Read more »

Worker inspecting oil and gas pipeline.
Dividend Investing

Should I buy Woodside shares today for their 8% dividend yield?

With an 8% dividend yield and a resurgent share price, should I buy Woodside shares right now?

Read more »

Happy coal miner.
Share Gainers

Up 75% this week, why is this ASX All Ords stock rocketing again today?

Investors are piling into this ASX 300 stock on Wednesday. But why?

Read more »

Man pointing at a blue rising share price graph.
Share Gainers

Guess which ASX 300 stock just rocketed 43% on big news!

Investors are piling into this ASX 300 stock on Wednesday. But why?

Read more »

A male oil and gas mechanic wearing a white hardhat walks along a steel platform above a series of gas pipes in a gas plant
Energy Shares

4 reasons to buy Santos shares right now

A leading expert forecasts Santos shares and dividends are set to grow. But why?

Read more »

Man with rocket wings which have flames coming out of them.
Share Gainers

Guess which ASX 200 stock has rocketed 86% since April?

This sky rocketing ASX 200 stock continues to defy short sellers. But how?

Read more »