Paint and Coatings is the business area that has come the furthest in terms of commercialization. Here, sales are ongoing and a number of customers have begun marketing paint and coating products. The focus is primarily on thermal insulation coatings, for example, when Quartzene is mixed with paint, it will prevent a surface from getting hot.

Quartzene considerably reduces heat conduction. This means that surfaces containing aerogel can conserve energy and limit heat loss. Energy savings and reduced costs are the driving forces in the insulation coating segment.

Traditional insulation uses materials such as stone wool, glass wool, cellulose, polyurethane and polystyrene foam. This type of insulation consumes more space than insulation coatings in which aerogel has been mixed. A new, thinner material, combined with good insulation capability is sought after in many contexts.

Insulation coatings are currently used in manufacturing, building and construction, vehicles, aviation and marine. Applying insulation coatings to applications in these areas provides great energy savings, lower heating costs, safer working environments and space savings.

In this business area, we have noticed a great deal of interest and believe that our solution can reach the end market relatively quickly. We currently have close partnerships with several partners. Some of our partners are already in the process of launching products where Quartzene plays a central role. They are all in different stages, but they all display great enthusiasm for our material. As they roll out their solutions and products to their customers, the foundation for Svenska Aerogel’s growth is being established.

In 2015, 348 kilotons of finished end products were estimated to be on the global market. The compound annual growth rate (CAGR) is estimated at 5.8%, to reach 485 kilotons in 2021. The fastest growth is in Asia with a compound annual growth rate of 7.7%, and a market share of 40.0%. North America accounts for the second largest share of the market at approximately 24.0% and is estimated to grow by approximately 4.9% annually until 2021. Europe, including Russia, is the third largest, at about 21.8%, and is expected to grow by 3.5% per year until 2021. The market value is now estimated at SEK 45 billion and is estimated to grow to SEK 70 billion by 2021. It should be kept in mind that these assessments are based on the development of the aerogels market according to current production costs and applications.

To achieve an insulating effect in thermal insulation coatings, various materials such as silicon, clay, plastic foam and other materials are used. The best results are achieved with aerogels and a number of glass spheres, which also have a large market share. In 2021, thermal insulation coatings containing aerogels are estimated to be used for SEK 1.7 billion and glass spheres for SEK 1.6 billion. Since Svenska Aerogel can halve the price of aerogels and offer twice as good insulation capability at slightly higher prices than glass spheres, we have a competitive offer. This means that prices will go down on thermal insulation coatings and sales volumes will increase, which is expected to markedly increase demand while broadening the use of this ”super material”. Overall, we believe we can reach a turnover of SEK one billion in this segment.

Another use of Quartzene© came to fruition during the second quarter of 2017 – printability on paper. We have run a project together with the Swedish research institute Rise (a merger of Innventia, SP and Swedish ICT) and three major paper and pulp companies. By adding Quartzene into the paper coater used on the paper, we achieve sharper print and decreased ink drying time, thus improving productivity of the printer.