Enviro converts loan to grant due to construction of pyrolysis plant in Chile
Enviro has had a previous conditional loan totalling EUR 32,000 converted to a grant without a repayment requirement as a result of the tangible measures the company has taken to establish a recycling plant in Chile. The loan was issued by the Nordic Environment Finance Corporation (NEFCO).
In 2014, NEFCO, as fund manager for the Nordic Project Fund (Nopef), granted Enviro a conditional loan of EUR 32,000. The loan was granted to facilitate Enviro’s plans to establish a recycling plant for end-of-life tires in Chile in South America. The loan was paid out in two installments.
Since the loan was granted, Enviro has begun the construction of a recycling plant in Chile in conjunction with Michelin. Michelin and Enviro will jointly own the plant through a local joint venture, with Enviro owning 10% and Michelin owning the remaining 90%. The shared plant will have an annual recycling capacity of 25,000-30,000 tons, based on Enviro's unique pyrolysis technique.
The plant's construction in Chile is well underway. The parties agreed on a location in 2021, and Michelin engaged McDermott, a multinational consulting firm, to create a front-end engineering design (FEED) for the plant. Meanwhile, local recruitment of a manager for the facility has been ongoing for some time.
“Converting the loan to a grant is clearly financially beneficial, but most importantly, it provides further tangible evidence of how we are gradually executing and realising our commercialisation and expansion,” says Thomas Sörensson, CEO of Enviro.
To learn more about the topic, please proceed to the original article by Enviro.
Weibold is an international consulting company specializing exclusively in end-of-life tire recycling and pyrolysis. Since 1999, we have helped companies grow and build profitable businesses.