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FGR to launch PureGRAPH® CEM into China

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(Very Positive)
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First Graphene (OTCQB:FGPHF) signed a Memorandum of Understanding with Sixth Element Material Technology to distribute PureGRAPH® CEM in China’s cement and concrete sector.

The MOU grants conditional exclusivity, sets sales milestones for a future manufacturing joint venture or licence in China, and may expand to global distribution.

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AI-generated analysis. How Rhea-AI works. Not financial advice.

Positive

  • MOU appoints Sixth Element as distributor for PureGRAPH® CEM in China
  • Conditional exclusivity in world’s largest cement and concrete market
  • JV or licence negotiations triggered after 200 tonnes of product sales
  • Local manufacturing JV or licence commences after 500 tonnes sold in China
  • Potential expansion for Sixth Element to sell PureGRAPH® CEM globally
  • Target market exceeds 2.3 billion metric tonnes of cement annually

Negative

  • None.
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Highlights

  • Memorandum of Understanding (MOU) signed with Sixth Element Material Technology to distribute PureGRAPH® CEM across China
  • Potential distribution agreement to enable future joint venture for a local manufacturing facility in China
  • Proposed agreement would establish a firm FGR presence in the largest cement and concrete industry in the world

SYDNEY, July 5, 2026 /PRNewswire/ -- First Graphene Limited (ASX: FGR; "First Graphene" or "the Company") (FRA:M11) (OTCQB:FGPHF) is pleased to announce a Memorandum of Understanding ("MOU") has been signed with The Sixth Element (Changzhou) Material Technology Co Ltd ("Sixth Element").

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The MOU appoints the Chinese-headquartered company as a key distributor in China for First Graphene's PureGRAPH® CEM additive.

The agreement allows exclusivity for Sixth Element, subject to annual purchase targets being achieved, and will target the cement and concrete sector in China, which is the largest globally.

The MOU also includes provisions upon sale of 200 tonnes of FGR's product to negotiate a joint venture or licencing agreement to manufacture PureGRAPH® CEM at a dedicated manufacturing facility located in China.

Once 500 tonnes of PureGRAPH® CEM product is sold in China, the joint venture or licencing agreement will commence, enabling PureGRAPH® CEM products manufactured in China to be distributed locally.

There is also opportunity expand this joint venture or licencing structure to authorise Sixth Element to sell PureGRAPH® CEM globally.

The cement and concrete industry in China is the largest globally at more than 2.3 billion metric tonnes[1], representing a significant commercial opportunity for First Graphene.

Cement production also generates up to 15% of China's national carbon emissions[2], reinforcing the opportunity for First Graphene's products to play a significant role in this nation's emission reduction activity.

First Graphene Managing Director and CEO, Michael Bell, said:

"The MOU with Sixth Element represents the largest commercial growth opportunity in FGR's global strategy, as we prepare for entry to the world's biggest cement and concrete industry in the world.

The scale of China's cement industry represents a valuable opportunity, with the sector producing roughly 21 times more cement than the United States and 175 times more than the UK.

For our Company, the potential to establish a localised manufacturing facility in China also provides a significant stepping stone towards further strengthening our presence in this market.

We look forward to working closely with Sixth Element to promote the benefits of our PureGRAPH® CEM products to this expansive new market for our Company."

References

[1] SciOpen

[2] Climate Analytics

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/fgr-to-launch-puregraph-cem-into-china-302817869.html

SOURCE First Graphene Limited

FAQ

What did First Graphene (OTCQB:FGPHF) announce about PureGRAPH® CEM in China on July 5, 2026?

First Graphene announced an MOU appointing Sixth Element as distributor of PureGRAPH® CEM in China’s cement and concrete sector. According to First Graphene, the agreement includes conditional exclusivity and a pathway to joint venture or licensing for local manufacturing.

How will the PureGRAPH® CEM distribution MOU impact First Graphene’s presence in China’s cement industry (FGPHF)?

The MOU is intended to establish a firm First Graphene presence in China’s cement and concrete industry. According to First Graphene, it targets the world’s largest cement market and could lead to a local manufacturing facility and broader regional or global distribution.

What sales milestones trigger a PureGRAPH® CEM joint venture or licence in China for First Graphene (FGPHF)?

The MOU outlines milestones tied to PureGRAPH® CEM sales volumes in China. According to First Graphene, negotiating a joint venture or licence begins after 200 tonnes sold, and the joint venture or licence commences once 500 tonnes have been sold in the Chinese market.

How large is the Chinese cement and concrete market targeted by First Graphene’s PureGRAPH® CEM (FGPHF)?

The targeted Chinese cement and concrete industry exceeds 2.3 billion metric tonnes annually. According to First Graphene, this scale represents a significant commercial opportunity as China’s sector produces far more cement than major markets like the United States and the United Kingdom.

When could local manufacturing of PureGRAPH® CEM start in China for First Graphene (FGPHF)?

Local manufacturing is planned to follow defined sales thresholds under the MOU. According to First Graphene, once 500 tonnes of PureGRAPH® CEM are sold in China, the contemplated joint venture or licensing agreement would commence, enabling production and local distribution from a dedicated facility.

Does the MOU allow Sixth Element to sell PureGRAPH® CEM outside China for First Graphene (FGPHF)?

The MOU includes an option to expand beyond China. According to First Graphene, there is an opportunity to broaden the joint venture or licensing structure so Sixth Element may be authorised to sell PureGRAPH® CEM products globally, subject to future agreement terms.