Sparc Technologies has signed a non-exclusive MoU with UK graphene producer Levidian Nanosystems to develop and commercialise ecosparc-enhanced coatings across the GCC. The agreement sets targets for a binding commercial deal within 12 months and potential UAE manufacturing within 24 months, but commits neither sales nor revenue.
- Non-exclusive GCC commercialisation MoU with Levidian Nanosystems
- Levidian to supply graphene and facilitate access to regional infrastructure and oil operators
- Sparc to lead formulation, testing, qualification and field trials
- Binding development or supply agreement targeted within 12 months
- UAE manufacturing feasibility to be assessed within 24 months
Levidian partnership opens GCC commercialisation route
Sparc Technologies Limited (ASX:SPN) is taking ecosparc into a new regional market through a non-exclusive memorandum of understanding with UK graphene producer Levidian Nanosystems. The parties will develop and jointly market graphene-enhanced protective and industrial coatings across the Gulf Cooperation Council region, including to large infrastructure owners and national oil operators.
The arrangement gives Sparc a potential route into customers that would be difficult to reach through product development alone. Levidian will provide graphene, technical support and access to its Middle Eastern relationships, while Sparc will handle ecosparc formulations, laboratory testing and work with coatings manufacturers and end users on qualification programs, field trials and product specifications. The announcement does not identify any customers, commercial volumes or revenue commitments.
From first commercial shipment to regional expansion
The MoU extends Sparc's broader push to move ecosparc from testing into industrial adoption. That effort recently produced a first commercial ecosparc shipment to a major coatings manufacturer, while the company has also been progressing multiple testing programs with potential customers.
Levidian's role is based on more than a prospective supply relationship. The company says it has established graphene production with Dana Gas at the Sharjah Graphene Park and is working with industrial customers in the region. Its LOOP technology uses microwave plasma to convert methane into graphene and a hydrogen-rich gas, although the announcement does not specify the expected supply scale or pricing for Sparc's program.
Binding deal and UAE production remain conditional
The companies aim to negotiate a binding joint development or commercial supply agreement within 12 months. That agreement would need to settle market volumes, manufacturing and distribution arrangements, quality requirements, geographic scope and target pricing. A joint technical committee is due to meet monthly, but the core commercial relationship remains non-binding at this stage.
They will also investigate whether ecosparc additives could be manufactured in the United Arab Emirates within 24 months of commencement, subject to an agreed business case. The potential location could support a regional value chain from graphene production to formulated coatings, but the filing provides no capital estimate, production capacity, funding plan or investment commitment for such a facility. Sparc cited an Orr & Boss estimate that the Middle Eastern protective and marine coatings market will exceed 200ML by 2030, while noting that the figure is an external market estimate rather than company revenue guidance.
Bottom Line?
The MoU improves Sparc's access to a sizeable industrial region, but the next meaningful test is conversion of technical work and customer introductions into a binding agreement with defined volumes and economics.
Questions in the middle?
- Can qualification testing and field trials convert Levidian's regional relationships into named customer programs?
- What volumes, pricing and investment requirements would a binding supply or development agreement establish?
- Would a UAE manufacturing case require new capital, a local partner or additional production infrastructure?