First Commercial Deployment New Product Confi-Gel

 20 January 2016

Graphene NanoChem PLC

("Graphene NanoChem" or the "Group")

First Commercial Deployment of New Product Confi-Gel

Graphene NanoChem (AIM:GRPH), is pleased to announce the Group's first commercial order for Confi-Gel, its nano-engineered gelling agent or viscosifier developed using patented cavitation technology, SimPlat 5, is ready for deployment.

The purchase order valued at US$33,300 was secured for Confi-Gel following more than six months of comprehensive testing and full lab trials by Scomi Oiltools, for inclusion into its supply chain to service global market requirements.

The product will be deployed for use in Scomi's existing contract in Pakistan in Q1 2016 and gradually into further markets in Turkmenistan, Indonesia, Thailand, Vietnam, Myanmar and India.

Confi-Gel is used as an additive in base-drilling fluids to decrease fluid loss to the well surroundings and ensure wellbore stability throughout the drilling activity. The product was developed to complement the Group's PlatDrill Series.

The superior performance of the viscosifier is attributed to its microstructure. This enables precise customisation and integration, ultimately translating into significant cost reduction for customers.

Viscosifiers form a significant component of drilling fluids and enables the Group to address Scomi's current order book and a market valued today at approximately US$20.0 million.

Jespal Deol, Chief Executive Officer of Graphene NanoChem, commented: 

"Today's news marks another milestone for the Group and is in line with our strategy of developing the mainstream market for our products range. The oil and gas market has suffered significant downturn from the volatility of oil prices and the fact that our product addresses the industry pain-points has generated significant traction in the commercialisation of our oil and gas product range. The Group looks forward to capitalising on its leading product range further in today's global market.

"Separately, I am pleased to update that our debt-restructuring plan is still progressing and an announcement will be released in due course."

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About Graphene NanoChem

Graphene Nanochem plc is a technology commercialisation company that operates two commercial platforms, the Advanced Chemicals platform that manufactures renewable chemical products for high growth sectors and the Advanced Materials platform that focuses on graphene nanomaterials applications for selected industries targeting high performance use.

Headquartered in Malaysia, Graphene Nanochem was admitted to the AIM Market of the London Stock Exchange on 26 March 2013, following the reverse acquisition of Biofutures International plc, and trades under the symbol GRPH.L. To find out more, please visit www.graphenenanochem.com.