Business
Four-year supply agreement
Four-year supply agreement.
About this update from Haydale Plc
[{"type":"text","content":"\n \nRNS Number : 4847Z Haydale Graphene Industries PLC 15 March 2017 \n\nThe information contained within this announcement is deemed by the Group to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 (\"MAR\"). Upon the publication of this announcement via a Regulatory Information Service (\"RIS\"), this inside information is now considered to be in the public domain.\n \n\n\n\n\nFor immediate release\n\n\n15 March 2017\n\n\n\n\n \n \nHaydale Graphene Industries plc\n('Haydale' or the 'Group')\n \nFour-year supply agreement with global industrial manufacturer\n \n \nHaydale Graphene Industries plc (AIM: HAYD), the global nanomaterials group, is pleased to announce that its subsidiary, Advanced Composite Materials LLC, (\"ACM\"), has entered into a four-year agreement (\"the Agreement\") to supply Silicon Carbide (\"SiC\") micro-fibre to a global industrial manufacturer of tooling and wear-resistant solutions (\"the Customer\"). This sole supply Agreement has a potential sales value of over US$2.6 million over the initial four year term with first orders to be delivered in the final quarter of this financial year. The Agreement has a minimum annual order quantity which the Board expects will equate to an average annual revenue of approximately US$600,000 (subject to the terms and conditions of the Agreement being met). \n \nFollowing a period of stringent testing, the Haydale SiC fibre has been approved for use in the production of SiC whisker reinforced (hard edged) cutting tools. There is considerable demand for SiC whisker reinforced cutting tools which are used extensively across a range of industries and more specifically, for the production, of land based turbines and jet engine fan blades. This Agreement marks a significant step forward for ACM, which is also now proactively selling Haydale's range of graphene enhanced composites, 3D printing filaments and additives into the North American market. ACM was acquired by Haydale in September 2016.\n \nCommenting on the agreement, Ray Gibbs, CEO of Haydale, said: \"We took the decision last year to invest in the USA through Haydale Technologies' acquisition of a speciality materials business, ACM. We are delighted with the integration of AC...