Anteo Diagnostics clinches confidentiality agreement with major battery end-user for AnteoCoat

Disruptive technology developer Anteo Diagnostics (ASX: ADO) has clinched a confidentiality agreement with an undisclosed major battery end-user regarding its AnteoCoat product.

The confidentiality agreement was secured at the recent Japan Battery conference after Anteo carried out in-depth discussions with multiple end-users and battery material manufacturers.

AnteoCoat is based on nano-coating technology and the coating is being trialled in varying concentrations on silicon as a replacement for graphite in the lithium-ion battery anode.

Silicon can store up to 10 times more energy than graphite, but it unusable at the moment because it expands and contracts while charging and discharging which rapidly degrades the battery’s life.

However, when Anteo’s AnteoCoat product was coated over silicon in the company’s proof of concept test work, the coating stabilised the silicon and prevented contraction and expansion.

Late last year, Anteo teamed up with US-based Polaris Battery Labs to test its AnteoCoat product on lithium-ion batteries.

The results from the six-month project are due mid-year.

However, Anteo chief executive officer Dr Stefan Enderling said further studies would be required to gain a better understanding of how AnteoCoat could be incorporated into existing production processes.

Anteo has filed a patent for its technology in 18 countries.

Lithium-ion battery market dynamics

At the recent conference, Anteo reported conference proponents were forecasting a seven-fold increase in lithium-ion battery production throughout the next eight years.

This has been largely attributed to the anticipated growth in electric vehicle sales.

Major car manufacturer Volkswagen has allocated around A$54 billion toward building electric vehicles, autonomous driving and other new mobility services by 2022.

Another key theme arising out of the conference, was the electric vehicle faced challenges such as reducing the battery cost, boosting energy density, enhancing safety and developing faster charging capabilities.

To circumvent these hurdles, high capacity anodes and cathodes are needed.

As a result, Anteo said there was a “considerable focus” on using high capacity silicon anodes within the battery.

The company stated it would continue researching ways its AnteoCoat could improve battery performance.

Shares in Anteo soared more than 14% to hit A$0.016 by early afternoon trade.