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How to 10X Your Money With theMillion-Mile BatteryINSIDE THIS...

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    How to 10X Your Money With the
    Million-Mile Battery
    INSIDE THIS ISSUE
    How to 10X Your Money With
    the Million-Mile Battery:
    Get ready to say goodbye to
    your local gas station! Fully
    electric cars are finally ready
    to dominate the automobile
    industry... and it won’t be long
    before most of the old-fashioned
    gas guzzlers are off the roads
    for good.
    This AI Pioneer Could One Day
    Save Your Life:
    This artificial intelligence pure
    play keeps bolstering its already
    extensive ties to government and
    military customers.
    Portfolio Position:
    Buy Novonix Ltd. (OTCBB:
    NVNXF) up to $9.00 per share.
    Buy Palantir Technologies Inc.
    (NYSE: PLTR) up to $27.50.
    Ray Blanco
    Editor
    TECHNOLOGY PROFITS CONFIDENTIAL
    2
    Batteries Are Big Business!
    The past two decades have seen some incredible breakthroughs
    in battery technology.
    Whether we’re talking about smartphones or electric
    cars, the goals have been exactly the same: Make batteries
    smaller, more powerful, more convenient and most
    importantly as inexpensive as possible.
    Some very smart people have put in a lot of time, effort
    and money to make it happen.
    Thanks to their work, the battery market alone is slated
    to grow by double digits per year, topping $85 billion by
    2025.
    Meanwhile, the batteries for electric cars have become so
    inexpensive and reliable that the electric vehicle market
    overall is expected to become larger than that for traditional
    vehicles by 2040.
    And that’s assuming battery development stays on its
    current path.
    It doesn’t consider a major development like the one Elon
    Musk has promised.
    Musk is the driving force behind Tesla Inc., which is
    probably the first company anyone thinks of when they
    hear the words “electric car.”
    And in April 2019, he announced that he was working to
    equip his Tesla cars with a million-mile battery.
    To be clear, Musk is not saying the battery will run for a
    million miles without charging.
    I’m pretty sure we’ll need to develop entirely new branches
    of physics before that’s possible.
    Instead, he’s talking about the battery’s overall longevity.
    Current electric-vehicle batteries only have an eight-year
    or 50,000-mile warranty on them. They’re expected to
    run for as many as 500,000 miles.
    Past that, they may no longer be able to hold a charge,
    meaning electric car owners will have no choice but to
    buy a whole new battery or a whole new car.
    Now, that might not sound like a big deal. Most folks
    only drive about 13,500 miles a year.
    But truckers, taxi drivers, and more could hit that limit
    much, much faster, which would make them reluctant to
    switch to electric vehicles.
    So obviously a battery that can keep charging and recharging
    after a million miles on the road will be a major
    game-changer.
    A Tiny Company With Revolutionary
    Tech
    Novonix specializes in improving batteries for phones,
    laptops, cordless equipment, renewable energy storage,
    and of course electric vehicles.
    The company started its life as GraphiteCorp back in 2012.

    TECHNOLOGY PROFITS CONFIDENTIAL
    3
    Graphite is a form of carbon, capable of becoming a diamond
    with enough heat and pressure.
    You probably know it best as the “lead” in a pencil. But
    it’s also a great conductor of electricity, making it an ideal
    substance for everything from solar panels to batteries.
    In fact, you literally cannot make a lithium-ion battery
    like the kind that powers electric cars without graphite. It
    makes up about 30% of a battery’s total cost.
    Graphite must be found, mined and processed for use.
    And that’s exactly what GraphiteCorp initially set out to
    do, dig graphite out of the ground in Australia to sell to
    battery manufacturers.
    A few years later, the company decided to expand its
    operations, looking to provide more than just the basic
    materials to build batteries.
    It acquired a pair of businesses that produced advanced
    battery materials and offered testing and other services to
    equipment manufacturers.
    One of those acquisitions was Novonix, which already
    had business relationships with Apple, Microsoft, 3M,
    GM, Dyson, Panasonic and, yes, Tesla.
    In fact, it was such a high-profile business that Graphite-
    Corp decided to take Novonix as its name in 2017.
    That was the same year the company founded a subsidiary
    called PUREgraphite.
    It built a facility in Chattanooga, Tennessee, to produce
    the battery components an electric car company like
    Tesla would need.
    Of course, that doesn’t mean Tesla will make a deal with
    Novonix.
    In fact, outside the vague mentions of a previous business
    relationship with Tesla, there are no obvious signs that
    the two companies are talking at all.
    But I’ve found three smoking guns that tell me Novonix’s
    share price is set to skyrocket 10-fold, if not more!
    Smoking Gun #1: The Tesla-Novonix
    Connections
    Novonix’s leadership has some interesting connections
    with Tesla.
    Let’s start with Dr. Chris Burns, who founded the original
    Novonix in 2013 and currently serves as the company’s
    CEO.
    He also just happened to be a senior research engineer at
    Tesla for about two years.
    More importantly, he started his career at Dalhousie
    University, where he worked alongside the legendary Dr.
    Jeff Dahn.
    Don’t worry if that name doesn’t ring a bell with you.
    When I call Dr. Dahn legendary, I mean within rechargeable
    battery circles!
    He’s a pioneer in lithium-ion batteries responsible for
    much of the research that led to their widespread use in
    portable electronics.6
    Dr. Dahn also figured out better ways to measure and test
    battery techniques that Novonix commercialized before it
    merged with GraphiteCorp.
    Put another way. Dr. Burns built an entire company
    around Dr. Dahn’s research.
    But Dr. Dahn wasn’t done breaking new ground.
    In 2016, Tesla partnered with Dr. Dahn and his team to
    explore ways to make batteries hold more charge and
    last longer.
    Just a few years later, in 2019, Dr. Dahn published a
    paper describing exactly how to build the most durable
    battery ever.
    In fact, he called it the million-mile battery.
    Let’s put this all in perspective.
    Novonix was founded and is currently run by Dr. Burns,
    using research he developed alongside Dr. Dahn at Dalhousie
    University.
    While Dr. Burns worked for Tesla for only a short time,
    Dr. Dahn is still on Musk’s payroll.
    And just last year, Dr. Dahn described how to build the
    exact kind of battery Tesla needs.
    Now, here’s where things start to get very interesting.
    TECHNOLOGY PROFITS CONFIDENTIAL
    4
    Smoking Gun #3: The Technology
    Tesla Needs
    My apologies for jumping ahead to Smoking Gun No. 3,
    but you’ll see why it makes sense here.
    As I said earlier, one of the biggest drawbacks of lithium-
    ion batteries is their cost.
    It’s not so much that the materials are overly expensive,
    but rather that building the batteries is time- and resource-
    intensive.
    Processing the lithium usually involves a piece of equipment
    called a continuous stirred tank reactor (CSTR).
    Essentially, the chemicals are combined in a giant vat
    and then mixed with immense amounts of water. The
    material is strained and then washed, creating even more
    wastewater.
    The process can easily involve up to 25,000 gallons of
    water per day.
    Then the material needs to be dried, usually involving
    heaters and fans. In other words, the plants use tons of
    electricity.
    But a team at Dalhousie University — the same place
    Tesla turned to for battery help — figured out a much
    simpler way to process battery materials.
    It’s called dry particle microgranulation (DPMG), and as
    the name implies, it doesn’t involve any water at all.
    That also means the material doesn’t have to be filtered
    and dried.
    In other words, DPMG lowers lithium battery production
    costs and produces less waste.
    I’d imagine Tesla would love to get its hands on this process.
    The problem is that the research was funded by another
    company, giving it sole intellectual property and patenting
    rights.
    I’m talking about Novonix, of course.
    Anyone that wants to use this process will need to come
    knocking on its door.
    But that’s not all.
    The Million-Dollar Battery Patent
    Battery longevity has long been a challenge for electric
    car makers.
    If you have a rechargeable electronic device, you probably
    know the feeling.
    Our smartphones and tablets start slowly losing power
    even when they’re idle. Recharging also becomes less effective
    over time as the amount of power the battery can
    hold diminishes over time.
    Without getting too technical, it’s because some of the
    crystal structures in a lithium-ion battery are cracked
    and fractured at the molecular level during the standard
    production process.
    Without those defects, the battery could hold its charge
    for much longer and be recharged many more times without
    losing any efficiency.
    It would require what’s called a single-crystal cathode. In
    fact, Dr. Dahn’s million-mile battery depends on a single-
    crystal diode.
    The problem is that there isn’t a way to manufacture
    these specialized materials in bulk, at least not yet.
    But back in May, Novonix filed for patent application No.
    3069168 for a process that can create single-crystal cathodes
    at a commercial scale.
    In other words, Novonix will soon have the only patent
    to create the essential material for a million-mile battery.
    By all indications, the process is competitive on cost with
    existing tech, too.
    That means Novonix’s battery materials can deliver greater
    efficiency, stability and longevity without substantially
    increasing production costs!
    In other words, companies can switch to Novonix’s superior
    technology without spending much more than they
    are now.
    This tech is so essential to Tesla’s plans that Musk must
    have Novonix in mind.
    TECHNOLOGY PROFITS CONFIDENTIAL
    5
    Just consider the companies that we know have partnered
    with Novonix and the ones that it’s dealing with off the
    books.
    Smoking Gun #2: Novonix’s Secret and
    Not-so-Secret Partners
    OK, so let’s get back to Smoking Gun No. 2 now.
    For a company that’s trading for under $9 a share, Novonix
    sure has a lot of big-name partners.
    I talked about some of the big names it has worked with
    in the past, like Apple, Microsoft and GM.
    Novonix also lists well over a dozen current customers
    on its website.
    Here’s a screenshot:
    You’ll also notice that little box at the bottom declaring
    this isn’t a comprehensive list. An unknown number of
    names are missing for confidentiality reasons.
    Two conspicuous absences are Samsung and Sanyo, two
    of the biggest battery makers in the world.
    But don’t worry. Novonix has agreements with both of
    them.
    Samsung has contracted to buy 500 tons of Novonix’s
    materials, with an option to extend the contract if it likes
    what it gets.
    Sanyo, meanwhile, has a memorandum of understanding
    to evaluate Novonix’s materials, which could lead to a
    purchasing agreement.
    Recently, the major energy company Phillips 66 agreed to
    buy a 16% stake in Novonix to support the development
    of the U.S. battery supply chain.
    And Tesla may just be another one of Novonix’s secret
    customers.
    Musk’s brainchild has already started building batteries of
    its own in its Gigafactory in Reno, Nevada. Right now it
    relies on imports for all the lithium and graphite it needs
    to build them.
    Obviously, Tesla would be a lot better off if it could buy
    its materials a little closer to home, say, from Chattanooga,
    Tennessee.
    It would be even better if those materials were specifically
    created with a million-mile battery in mind.
    And Dr. Burns has said Tesla is the type of company they
    would be interested in working with for materials.
    We know the two companies have worked together
    before. Novonix still lists Tesla as a client in some of its
    website material.
    So I will not be one bit surprised if Tesla announces an
    arrangement with Novonix in the near future.
    Even if it doesn’t, Novonix still won’t be a $6 stock for
    long.
    A Bright Future, With or Without Tesla
    Novonix is destined to have a very bright future.
    Its patented technology comes from some of the greatest
    minds in the field — minds who have worked with Tesla
    in the past, I should add.
    The company’s manufacturing process will revolutionize
    the industry, creating battery materials at lower costs and
    with less pollution than current methods.
    They’ll also be manufactured in the United States, sidestepping
    any environmental and human rights concerns
    that come from using Chinese suppliers.
    It’s already made major inroads with some of the biggest
    battery makers on the planet. And by 2030, Novonix
    plans to be churning out 100,000 tons of battery material
    a year.
    Considering that the world produced a total of 160,000
    tons of the stuff in 2019, you get the sense of just how
    big a player Novonix will be.
    And don’t forget that its materials will be superior to
    what’s currently out there with a much longer operational
    life than anything currently used.
    Best of all, it’ll be selling to customers in the electric vehicle
    market, which is expected to increase by double digits
    for the foreseeable future.
    The potential is so incredible that I cannot believe anyone
    can still pick up shares for under $9.
    TECHNOLOGY PROFITS CONFIDENTIAL
    6
    We’re talking about a chance to turn $1,000 into $10,000.
    Read Before You Buy:
    This small microcap company is speculative. So naturally,
    the share price can swing wildly and requires professional
    discipline for buying and selling. Do NOT chase the price
    higher. Because of the speculative nature of this opportunity,
    you should never invest more than you are willing to
    lose. Nothing in investing is guaranteed and this situation
    is no different.
    While my ultimate buy-up-to price for right now is $9,
    you should be able to get in much lower than that. I
    recommend putting in a limit order around the current
    market price. Use your own discretion and never chase
    shares higher than my ultimate buy price.
    Note from Ray: NVNXF is a very small stock and has the
    possibility of being very volatile. If you plan on investing
    in this stock, note the risk before you make any decisions.
    Remember never risk any money you can’t afford
    to lose, and don’t chase this stock.
 
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