The battery program is what the company admits it is focused on. This is a new direction and fortunately it is a direction that is available to the company because at this time the idea that Coretec would sell CHS by the train load is not an available option. When we last heard about Richman Chemical we were told that they had manufactured some CHS but not in the amounts needed. In my opinion the reason for this is that it is not economically feasible against existing gaseous silanes. The company more or less admitted so in the last call;
“Next, let’s talk a little bit about cyclohexasilane. The CHIPS Act was signed into law on August 9, 2022, and designed to boost U.S. competitiveness, innovation, and national security in the semiconductor industry. The law aims to increase investments in domestic semiconductor manufacturing capacity. The majority of this funding is aimed to encourage semiconductor manufacturers to create U.S.-based fabrication equipment and facilities. These are referred to as fabs. More importantly to us, it allocates funding for new R&D programs to support initiatives to improve semiconductor technology. CHIPS funding is a little unique in that it’s only being allocated to U.S.-based semiconductor companies. In order to receive this funding, Coretec will have to partner with a domestic semiconductor company. CHS has desirable properties because of its liquid state and low deposition temperature, which is attractive to semiconductor companies. It will require significant buy-ins of CHS. CHS funding will help assist us in refining cost-effective processes to manufacture CHS at scale. We are currently in discussions with a couple of companies with whom we could jointly apply for CHIPS funding”.
I included a large chunk of the discussion leading up to the statement regarding cost effectiveness for context. What is glaring is the need to “refine cost-effective processes to manufacture CHS at scale” and this leads to a conclusion that other silanes are still the cost effective materials to use when growing nano-wires (as Amprius does) or other nano materials for use in silicon anodes. Further, Coretec also admits using “other silanes” alongside CHS in the Endurion battery project. I made a bet when Michael Kraft stated that CHS would be commercialized in 2021, unfortunately that bet hasn’t paid off but I am bullish on the prospects for the Coretec battery. They have stated the technology is adaptable to ANY lithium ion battery so the potential market is huge. What must be demonstrated is that there is an advantage to using Endurion technology which includes measurements of economy, something that so far has really not been addressed. It may be acceptable that an Endurion battery is more expensive IF it has better cycling capacity for example. Maybe it has better energy density or charge capacity but it has to have advantages in some or all those categories otherwise Endurion will be buried by the competition. My belief is that it has advantages and the CHS enabled “engineered” SEI layer is significant. This is going to greatly enhance cycle life which is a characteristic that is lacking in Li batteries with silicon anodes and not often touted by battery manufacturers.
Back during the April conference call we heard it suggested that in nine months there might be some preliminary data available on the Endurion battery. The ninth month is here. Hopefully a report on the battery doesn’t get sucked into a black hole like the reports we were going to get from the CEA and Eindhoven. Time is of the essence as they say.
