Sparc Technologies Hits 25% Corrosion Resistance Gain in Solvent Coating Tests
Key Takeaways
- 16-week cyclic corrosion testing of ecosparc® additives using HydroGraph Fractal Graphene recorded a 25% reduction in scribe creep (6.80mm to 5.13mm) in solvent-based epoxy coatings at the ISO 12944-6 C5 Very High durability specification.
- The solvent-based result builds on prior water-based coating tests that showed up to 60% improvement, extending the performance proof-of-concept across a second commercially significant coating type.
- Extended 25-week (4,200 hour) testing is currently underway, with results expected in November 2026 — a positive outcome triggers negotiations for a definitive commercial supply and collaboration agreement between Sparc and HydroGraph.
- The target addressable market for ecosparc® within anticorrosive protective coatings is estimated at approximately US$1.0 billion per annum, within a broader protective and marine coatings market estimated at US$33 billion.
- Sparc Technologies has a Share Purchase Plan open at A$0.175 per share — a 16.7% discount to last traded price — targeting up to A$1.75 million, with the offer closing 24 September 2026.
ecosparc® additive delivers 25% corrosion resistance gain in new solvent-based coating tests
Sparc Technologies (ASX: SPN) has announced that 16-week cyclic corrosion testing of HydroGraph Clean Power Inc.’s (CSE: HG) Fractal Graphene (HFG) within its ecosparc® additives in solvent-based coatings has delivered a 25% improvement in corrosion resistance. The result builds on prior water-based coating tests that showed up to 60% improvement, with extended 25-week (4,200 hour) testing now underway and results expected in November 2026.
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What the 16-week test results show
Testing was conducted on garnet blasted hot rolled steel panels coated with a commercially available 2-pack solvent-based epoxy product, at a dry film thickness of approximately 500 microns, and run for 2,688 hours. Results were assessed using ISO 12944 procedures within Sparc’s own laboratories; the tests have not been independently verified.
The core metric is scribe creep (see below for a plain-English explanation). The commercial reference coating recorded 6.80mm of scribe creep, while the same coating dosed with ecosparc® containing HydroGraph Fractal Graphene recorded 5.13mm, representing a 25% reduction. The 16-week exposure corresponds to the cyclic ageing specification under ISO 12944-6 for C5 Very High (C5-VH) durability.
Nick O’Loughlin, Managing Director, Sparc Technologies
“The results of 16-week cyclic corrosion testing of ecosparc® additives using HydroGraph’s Fractal Graphene are highly encouraging and provide further confidence in the prospect of deepening our collaboration with HydroGraph in protective coatings. Securing sources of high quality, sustainably produced, western supply of graphene remains a key focus for Sparc as it builds its customer base and expands its product range across multiple high-value coating segments.”
Kjirstin Breure, President and Chief Executive Officer, HydroGraph
“We are pleased to see these preliminary results in solvent-based coatings as we expand the library of verifiable data documenting the performance benefits from integrating HydroGraph Fractal Graphene into many industrial applications. Batch-consistent supply of graphene at scale enables these applications to move into large commercial markets where the advantages derive economic benefits to the end user.”
Building on water-based coating results
Prior water-based coating testing using HydroGraph Fractal Graphene showed up to 60% improvement in corrosion resistance. The solvent-based result reported here extends the proof-of-concept across a second coating type. Both results are lab-based and have not been independently verified.
What is ISO 12944, and why does it matter for corrosion protection?
ISO 12944 is widely recognised as the premier international standard for assessing the corrosion protection of steel structures by protective coating systems. It sets out test methods, durability classifications, and performance benchmarks that coatings manufacturers and asset owners use globally.
The C5 Very High (C5-VH) durability classification is a durability classification specified within the standard. It applies to coatings intended for marine environments, offshore structures, and harsh industrial settings — applications where coating failure carries significant safety and cost consequences.
Scribe creep is a key performance measure within corrosion testing. A scribe tool cuts a deliberate scratch through the coating layer and into the steel beneath. Testers then measure how far corrosion spreads outward from that scratch over the test period. The smaller the spread, the better the coating is performing. Less creep means the coating is holding the barrier between steel and the corrosive environment.
A 25% reduction in scribe creep at the C5-VH specification level is a commercially meaningful result. Coatings that qualify at this standard are used in some of the most aggressive real-world environments, so performance gains at this level translate directly into potential product differentiation for coatings manufacturers.
Commercial pathway: from LOI to supply agreement
Sparc Technologies and HydroGraph have been collaborating under a Letter of Intent (LOI) signed in March 2026. The LOI formalises testing arrangements and responsibilities, and contains binding provisions covering data use, intellectual property, and confidentiality. The roadmap from here follows a defined sequence:
- 25-week (4,200 hour) extended cyclic corrosion testing is currently progressing, with results expected in November 2026.
- Subject to positive results from the 25-week test, the parties intend to negotiate a definitive commercial supply and collaboration agreement covering graphene supply and product marketing for the commercialisation of ecosparc® additives.
- The LOI governs the current testing period and remains in effect until the later of the execution of a definitive agreement and 90 days following the 25-week test results.
| Milestone | Timeline | Status | Dependency | Outcome if Positive |
|---|---|---|---|---|
| Water-based coating test results | Prior period | Up to 60% improvement in corrosion resistance | LOI in place | Supports expanded testing across coating types |
| 16-week solvent-based corrosion test | Completed September 2026 | Positive (25% improvement) | LOI in place | Basis for 25-week extended testing |
| 25-week (4,200 hour) solvent-based test | Results expected November 2026 | In progress | 16-week results completed | Triggers commercial agreement negotiations |
| Definitive supply and collaboration agreement | Post November 2026 (subject to results) | Pending | Positive 25-week results required | Commercial graphene supply and ecosparc® marketing terms |
Market context: the ecosparc® commercial opportunity
- The protective and marine coatings market is estimated at US$33 billion, based on an average of multiple market forecast sources.
- The target addressable market for ecosparc® within the broader anticorrosive protective coatings segment is estimated at approximately US$1.0 billion per annum.
- Multiple global coatings companies are currently undertaking product evaluation of ecosparc® in their anti-corrosive coatings.
- Field trials are underway in a variety of corrosive environments. The company is targeting infrastructure owners in the government, defence, mining, and oil and gas sectors.
- These are estimated figures. There is no guarantee that any portion of the target addressable market can be converted into revenue, and these figures should not be read as guidance on potential revenue.
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SPP currently open: key details for eligible shareholders
Sparc Technologies is currently running a non-underwritten Share Purchase Plan (SPP), targeting up to A$1.75 million (before costs). The SPP is intended to support execution of the company’s growing commercial pipeline.
Key terms:
- SPP Issue Price: A$0.175 per share
- Discount to last traded price (A$0.210, 17 August 2026): 16.7%
- Discount to 5-day VWAP (A$0.218, ending 17 August 2026): 19.7%
- Discount to 20-day VWAP (A$0.221, ending 17 August 2026): 20.9%
- Eligible Shareholders: Those with a registered address in Australia or New Zealand as at 7:00pm AEST on 19 August 2026
- Maximum application per shareholder: A$30,000, with no brokerage or transaction costs
- Offer period: Opened 28 August 2026; expected to close at 5:00pm AEST on 24 September 2026 (unless extended or closed earlier at the company’s discretion)
Because the SPP is not underwritten, it may raise more or less than A$1.75 million. If applications exceed this amount, the board may, at its absolute discretion, accept applications in whole or in part that result in the SPP raising above A$1.75 million, subject to compliance with the Corporations Act 2001 (Cth) and ASX Listing Rules.
Eligible Shareholders are urged to read the SPP Offer Booklet carefully before deciding whether to participate. If you are uncertain whether SPP Shares are a suitable investment, you should seek independent financial advice.
For investors wanting to understand the full terms and participation mechanics before the 24 September 2026 close date, our full explainer on the Sparc Technologies Share Purchase Plan covers eligibility criteria, application procedures, and the board’s discretion around scale-back and oversubscription.
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