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Scandinavian Enviro Systems and Treadcraft Limited extend the MoU that was signed on June 29th, 2018 by six months. The parties intend to establish a Joint Venture for co-ownership of a tyre pyrolysis plant with an annual capacity of 30,000 tonnes tyres. The plant is planned to be established at 1501 College Avenue, Niagara Falls, New York, USA. “The fact that we have a specified site for the plant is an important step forward. We will now continue to formalize the terms and conditions of the project. Within the next six months, legal, financial and license issues will be clarified, and a plant order will be established. Joint ownership is in line with Enviro’s new business model and it means that we will benefit from the returns that will be generated by a plant” says Thomas Sörensson, CEO of Enviro.

The move comes after the Austrian firm earlier presented its innovative way of tire recycling that seeks to recycle rubber from tires into solid carbon, also known as recovered carbon black. Alternatively, the method allows getting a hydrocarbon mixture like pyrolysis oil and gas. Apart from commercial application of recycled products, the process is of value as it is totally in line with circular economy’s principles and it does not require external energy sources.

A Dutch company Black Bear is ready to advance its tire recycling process transforming tires into carbon black, and it managed to receive additional funding of €5 million; the recent growth capital follows prior funding of €11million. The most recent sum became available thanks to a venture capital company from Belgium Capricorn Venture Partners and Particon that provides investment to innovators in tech. Following this investment, the overall financing has managed to reach €16 million.

In tire recycling, one can create different types of output depending on production technology. From each output type, several applications can be produced, hence different industries and markets can be targeted. Currently, there is a wide range of products that can be developed via tire recycling. However, to significantly increase profits, R&D activities prove to be an integral part of tire recycling. Success of products on the market largely depends on the regions where they are sold.

Oil makes up approximately 35-45% of pyrolysis output depending on process conditions. Recovered fuel oil consists of three fractions with the middle fraction prevailing and it cannot be considered a substitute for traditional fuels before purification and sometimes additional treatment. Width of application of tire-derived pyrolysis oil depends on regulations in particular countries where a project is carried out. In countries with strict environmental protection regulations pyrolysis oil may require additional treatment and refinement, which in turn will increase production costs and lower profit margins.

On the 6th of February, American Society for Testing and Materials (ASTM) announced opening a committee which will develop standards for the recovered carbon black (rCB). The goal of the ASTM’s new committee D36 will be to establish and update standards in end-of-life tire (ELT) and scrap rubber decomposition, standards in material characteristics and sustainability. ASTM declared that the committee will be formed and governed by the members of its existing committee on carbon black (D24) who engaged in working with a vast portfolio of standards on recycled carbon black goods.

The Intellectual Property Authority of the European Union (EUIPO) recently approved a trademark EnviroCB which belongs to the company Scandinavian Enviro Systems. Enviro is the first company in the world which commenced supplying recycled carbon black (rCB) to the premium segment of automotive industry. Now that the trademark has been registered, Enviro has a chance to deliver rCB to other markets and industries to substitute virgin carbon black.

Recently, a joint venture was formed by Pyrolyx AG from Munich, Germany and Reklaim, Inc. based in Seattle, USA. New JV is going to focus at the tire-derived carbon black recovery and will operate in North America. German Pyrolyx AG owns 81% of Pyrolyx USA, Inc. At new facilities throughout North America, the JV will use manufacturing process from the German parent company. Moreover, Pyrolyx USA will be run by German top management. Location of facilities and the volume of investment are not disclosed yet. The company will recover carbon black (rCB) from end-of-life tires and rubber. Reportedly, the company is going to suggest a sustainable and cost-effective substitute to original carbon black which will be well-suited for numerous rubber and plastics applications, including even tire compounders. Three days later from the JV announcement, European Rubber Journal reported that Thorsten Gohlke, The chairman of Pyrolyx AG‘s supervisory board, was going to step down at the next annual general meeting of the company for personal reasons. The date for the next annual general meeting has not yet been given, but the last meeting was held in August 2016.