Hydrograph signs LOI with Sparc Technologies

Executive Summary

• Hydrograph Clean Power Inc. has entered into a Letter of Intent (LOI) with Sparc Technologies Ltd. to collaborate on incorporating Hydrograph’s Fractal Graphene into Sparc’s ecosparc additives for protective coatings.
• The partnership aims to commercialize graphene-enhanced coatings for global infrastructure protection, targeting the $33-billion U.S. protective and marine coatings market.
• Initial laboratory testing by Sparc demonstrated significant performance benefits, including a 39% to 60% reduction in scribe corrosion creep, with further ISO 12944 cyclic corrosion testing planned.

Key Details

• Transaction Structure: Letter of Intent (LOI) dated March 23, 2026, establishing a framework for joint testing, product development, and potential commercial supply.
• Definitive Agreement Timeline: Parties intend to negotiate a definitive commercial agreement within approximately 12 months, subject to successful performance outcomes; no guarantee of a final agreement.
• Technology Integration: Hydrograph will supply its high-purity, low-carbon footprint Fractal Graphene (produced via proprietary explosion synthesis) to Sparc’s ecosparc additive platform.
• Performance Metrics (Initial Testing):
  • Sparc conducted initial laboratory testing up to 1,680 hours.
  • Incorporation of Hydrograph’s FGA-1 Fractal Graphene into commercial water-based coating systems resulted in a 39% to 60% reduction in scribe corrosion creep (per ASTM D1654-08).
• Upcoming Testing: Sparc will conduct ISO 12944 cyclic corrosion testing (4,200 hours) in solvent-based coatings to validate performance under industry-standard conditions.
• Market Opportunity:
  • Global protective and marine coatings market estimated at $33 billion (U.S.).
  • Target addressable market for ecosparc within anti-corrosive protective coatings estimated at approximately $1.0 billion (U.S.) per annum.
• Strategic Advantages:
  • Hydrograph’s graphene meets Graphene Council’s Verified Graphene Producer standards.
  • Sparc has established relationships with five of the eight largest protective coatings manufacturers globally.
  • Field trials and evaluations are currently underway with major end-users including BHP, Santos, and the South Australian government.
• Commercialization Focus: Joint marketing and commercialization activities planned for North America and global markets, focusing on consistent performance at low addition rates and reduced environmental impact.

Notable Quotes

• "Protective coatings represent one of the most immediate and scalable applications for graphene," said Kjirstin Breure, president and chief executive officer of Hydrograph. "We expect this collaboration to provide Hydrograph with a pathway into a large, established market through a partner with deep industry relationships and a proven additive platform. By combining Sparc's formulation expertise with our high-purity Fractal Graphene, we aim to deliver coatings that extend asset life, reduce maintenance cycles and improve sustainability outcomes."