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By Meg Flippin Benzinga
Graphite may not make daily headlines, but it's the quiet powerhouse behind the technologies shaping our future - from the batteries that EVs to the energy storage systems securing clean power, and even the defense applications protecting national interests. The World Bank projects demand for graphite in energy storage alone will soar by 500% by 2050, making it one of the most indispensable yet overlooked resources of our time.
Here's the catch: nearly all of it comes from China. The country controls about 95% of the world's supply of spherical graphite used in batteries, leaving the U.S., Canada, Europe, Japan, and Australia with a critical vulnerability. With zero U.S. production today and mounting geopolitical tensions, dependence on a single source raises alarms over price shocks, supply disruptions, and opaque environmental and social practices.
Governments are taking notice - levying tariffs, forging alliances, and investing in domestic mineral strategies. The race is on to build new, secure, and responsible supply chains. And in North America, one company is emerging as a serious contender to reshape the balance of power in graphite.
Nouveau Monde Graphite To The Rescue
Enter Nouveau Monde Graphite Inc. (NYSE: NMG) - the Canada-based mining and processing company aiming to be North America's first fully integrated, carbon-neutral producer of natural graphite.
Armed with large graphite deposits, NMG is building a vertically integrated supply chain designed to feed the battery boom - from AI data-center energy storage to defense systems to electric vehicles. The timing is fortuitous: the U.S. Department of Commerce is set to slap combined duties of up to 160% on Chinese graphite-based materials, driving OEMs and cleantech manufacturers to find local alternatives such as NMG.
https://www.youtube.com/watch?v=BPDrou4uk7E&feature=youtu.be
What separates NMG from others trying to catch this wave? The company already has demonstration-scale operations up and running, allowing it to qualify products with customers, fine-tune its processes, and de-risk its commercial rollout. That's not theory - it's traction.
NMG has drawn strategic and institutional interest in financing its two flagship projects: the Matawinie Mine and the Becancour Battery Material Plant.
With permits secured, an experienced team in place, and a feasibility study confirming strong economics, NMG says it is among the most advanced natural graphite projects in North America. President & CEO Eric Desaulniers says that the market feedback is encouraging - translating into active engagement with financiers, suppliers, customers, and governments as the company pushes toward a final investment decision (FID) on its Phase-2 build-out.
Image: Rendering of the Phase-2 Matawinie Mine set to produce ~106,000 tpa of flake graphite.
Why Investors Are Watching
The story is simple but compelling: demand for graphite is surging, supply is concentrated, and governments are desperate for local, transparent, and sustainable alternatives. That perfect storm creates opportunity for the few players able to step up - and NMG is already in motion.
From securing global OEMs as investors to de-risking production with early operations, NMG is positioning itself as a first mover in a sector where North America currently has no domestic champion. With FID on the horizon and tariffs tilting the playing field, the company's next steps could prove pivotal not just for the battery supply chain - but also for investors looking to capitalize on the race to onshore critical minerals.
To hear more, catch NMG CEO Eric Desaulniers on Benzinga's All Access on Thursday, October 9, 2025.
Featured image from Shutterstock.
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This content was originally published on Benzinga. Read further disclosures here.
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