Pyrolyx is the industry leader in end-of-life tyre to recovered Carbon Black technology. It provides a sustainable, economic and environmentally friendly solution to the serious and growing global problem of disposing of end-of-life tyres (also known as waste tyres) as well as reducing the environmental footprint of taditionally toxic carbon black manufacturers.
Pyrolyx has developed a specialised process that transforms waste tyres into high-grade, valuable raw materials, primarily recovered Carbon Black, oil and steel. Carbon Black is used in the manufacture of tyres, and mechanical rubber products, as well as plastics and pigments.
Pyrolyx is the leading global supplier supporting consistent commercial-scale rCB production and product approvals from leading tyre, mechanical rubber goods and masterbatch customers. The Company has established customer relationships with major tyre, mechanical rubber goods and masterbatch manufacturers. Pyrolyx’s process delivers compelling benefits in comparison to the traditional manufacture of Carbon Black, including reduced carbon dioxide emissions and a superior quality product in certain applications.
Pyrolyx is headquartered in Munich, Germany and operates a test commercial production plant in Stegelitz, Germany and is expected to complete production of a large commercial production facility by June 2019. The Pyrolyx group owns the intellectual property rights to the Pyrolyx technology. The Company also has various patents and patents pending concerning the industrial production and application of recovered Carbon Black.
The Company has a substantial advantage over potential competitors in the Carbon Black market through the combination of its intellectual property, operating know-how and business development.
Pyrolyx offers an opportunity for an impact investor to contribute to resolving an environmental concern in a financially lucrative vehicle. Pyrolyx is one of the few environmentally sustainable opportunities which does not rely on governmental or other subsidies to be economically viable.
Pyrolyx is quoted on the over the counter (OTC) market of Dusseldorf Stock Exchange. Pyrolyx has further OTC listings on Frankfurt and Munich Stock Exchanges, and its shares can be traded via the XETRA trading platform operated by the Frankfurt Stock Exchange. Pyrolyx CDIs over ordinary shares in Pyrolyx are traded on the Australian Stock Exchange (ASX).
Pyrolyx Facilities USA
Pyrolyx’s first US production facility is located in Terre Haute Indiana. The facility’s 20 batch ovens will produce approximately 13,000 metric tons of high quality recovered carbon black per year. The Terre Haute facility is strategically located with onsite rail access and nearby highway access allowing for cost-effective and efficient product delivery to customers.
Terre Haute, Indiana is situated in Vigo County, Indiana, approximately 121km west of Indianapolis near Indiana’s border with Illinois. The closest large metropolitan centers are Chicago, St. Louis and Indianapolis. The city has population of approximately 60,000.
The plant at Terre Haute, Indiana will initially comprise 20 batch ovens. The area of the plant site is sufficient to accommodate more than two standard plants. Planning has already commenced for the construction of the second USA Plant to be constructed on the same Terre Haute site.
Please click on the hyperlinks below to view real time cameras of the construction of the Indiana facility expected to be operational by June 2019
Pyrolyx Facilities Germany
The pilot facility in Stegelitz was commissioned in 2012.
This pilot plant is equipt for commercial batch production of up to 3,600 metric tons of recovered carbon black per year and up to 12,000 metric tons of used tire shreds processed annually.
Carbon Black is essentially pure elemental carbon in the form of microscopic particles. Its physical appearance is that of black, finely divided 1 millimeter pellets.
Carbon Black is used as reinforcing filler in rubber products and as a black pigment in plastics, inks, toners and paints. Carbon black is essential in rubber products, improving tear-strength, abrasion-resistance, elasticity, resilience, and overall physical properties. In fact, without carbon black, tyres would last less than 8,000 kilometers (compared to 95,000 kilometers for a standard all-season radial).
Carbon black is produced through the incomplete combustion of heavy aromatic oil.
In the United States, producers use heavy residual fuel oil from petroleum refining as their primary feedstock, but other feedstock sources include raw coal tar or anthracene oil from coal tar distillation (common in China) or cracked ethylene tar from ethylene production (common in Europe). Carbon black is manufactured in highly controlled processes to produce particles and aggregates of varied structure and surface chemistry, resulting in a broad range of grades with different performance characteristics and applications.
Historically, once converted to its end product, Carbon Black was unable to be reprocessed due to its inability to rebind sufficiently for industrial re-use.
Recovered Carbon Black (Rcb)
Recovered Carbon Black (or rCB) is a material derived from scrap tyres by pyrolysis. It has reinforcing properties in the range of an N500–N700 traditional carbon black. While similar to traditional carbon black in application in tyre, non-tyre rubber and plastic masterbatch industries, recovered Carbon Black is far superior to traditional carbon black because of its environmental benefits.
Based on customer feedback and application testing, Pyrolyx estimates that recovered Carbon Black can substitute for virgin Carbon Black at rates from 10% up to 100% depending on the application.
Recovered Carbon Black has numerous competitive advantages:
- Recovered Carbon Black (or rCB) is a material derived from scrap tyres by pyrolysis. It has reinforcing properties in the range of an N500–N700 traditional carbon black. While similar to traditional carbon black in application in tyre, non-tyre rubber and plastic masterbatch industries, recovered Carbon Black is far superior to traditional carbon black because of its environmental benefits. Based on customer feedback and application testing, Pyrolyx estimates that recovered Carbon Black can substitute for virgin Carbon Black at rates from 10% up to 100% depending on the application. Recovered Carbon Black has numerous competitive advantages:
- rCB can offer extremely low levels of polycyclic aromatic hydrocarbons (PAH). PAH compounds are formed during the incomplete combustion of coal, oil, and gas and are heavily regulated in air, water, and soil due to their links to cancer and cardiovascular disease.
- rCB can offer more uniform particle size distribution (PSD), which means that the particles are all of roughly the same size. This is essential for high-end applications such as tyres.
- rCB can be pelletized just like virgin carbon black – pelletizing increases the bulk density of carbon black to ease shipping, storage, handling, and mixing.
- rCB offers a significantly better environmental profile than virgin carbon black in terms of greenhouse gas emissions – 2.5- 3.0 tons of carbon dioxide is emitted per ton of virgin carbon black compared to nearly zero for rCB.
- Unlike virgin carbon black, rCB production does not result in significant emissions of sulfur oxides and nitrogen oxides (SOx/NOx) or particulate matter. This is a growing concern as carbon black plants in the US are under pressure to reduce air emissions.
- rCB offers a cost-effective way for the carbon black and tyre industries to improve their carbon footprints.
- The use of rCB in tyres would allow the tyre industry to ‘close the loop’ on end-of-life tyres, something that has never before been possible and could yield invaluable marketing and brand positioning possibilities for new generations of green tyres.
- rCB offers a cost-advantageous solution to growing solid waste issues related to end-of-life tyres, particularly where scrap tyres are still being landfilled.
Recovered Carbon Black Use by Application
|10% - 30% rCB||30% - 50% rCB||50% - 100% rCB|
Carbon Black Market
Carbon black has three primary markets: tyres, non-tyre rubber goods, and specialty (which includes all non-rubber uses). Each of these markets has numerous sub-segments.
GLOBAL DEMAND BY APPLICAGTION ( million tonnes per year)
The Pyrolyx process
The Pyrolyx process takes one key input, end-of-life tyres, and produces four commercial outputs:
- Recovered Carbon Black: Pyrolyx’s core product for sale and use in the tyre, mechanical rubber goods and plastic industries.
- Pyrolysis oil: This can be used as fuel oil, feedstock (for example, in synthetic gas (syngas) production) or be further refined and blended with heating oil.
- Steel: Capable of being sold as scrap steel.
- Gas: The gas output has a calorific value comparable to natural gas and can be reused in the Pyrolyx process to produce energy or heat.
The focus of the Pyrolyx process is on the production of high quality recovered Carbon Black for reuse in tyres, mechanical rubber goods and plastic masterbatch. Other waste tyre processing technologies often focus on producing pyrolysis oil. For Pyrolyx, the pyrolysis oil is a byproduct of the recovered Carbon Black production process.
The figure below shows the four commercial end-products and their relative output based on approximately three tonnes of tyre shred input.
Benefits of recovered Carbon Black
|High quality product||
Pyrolyx technology – The solution
Pyrolyx technology is the world’s first, market-ready process to deliver a closed recycling loop for converting end-of-life tyres to recovered Carbon Black on a commercial scale. The Pyrolyx process breaks down waste tyre shreds into industrially usable raw materials, producing high-quality recovered Carbon Black for commercial use as well as pyrolysis oil, steel and gas.
Pyrolyx recovered Carbon Black can be integrated with “virgin” or traditional Carbon Black in the production of new tyres or other products, providing a sustainable solution to the global end-of-life tyre problem and avoiding the issues associated with existing solutions.
The Pyrolyx technology and operating experience is the result of over 25 years of combined development and investment by Pyrolyx and its founders, cct Stegelitz and Reklaim.
The Company originally established a pilot commercial scale plant in Drunen, Holland in 2011 and was later renamed Pyrolyx AG.
In June 2015, Pyrolyx acquired cct Stegelitz GmbH. Prior to the acquisition, cct Stegelitz had also developed recovered Carbon Black technology and to Pyrolyx’s knowledge was the only ISO 9001:2008 and ISO 14001:2004 certified recovered Carbon Black manufacturer in the world, operating and supplying customers since 2012.
In December 2016, Pyrolyx USA entered into a joint venture with Reklaim, Inc. (Reklaim). Reklaim has an approximate 6% interest in the joint venture. Reklaim was headed by Thomas Redd, who has assumed the position of CEO of Pyrolyx USA. Reklaim has manufactured, using a different but similar process to Pyrolyx, rCB primarily for the masterbatch and plastic industries.
Through these transactions, Pyrolyx has cultivated, both internally and by acquisition, substantial expertise and capabilities in waste tyre to recovered Carbon Black technology, production, business development, marketing & sales, which underpin its strong competitive position.
The CEO, Bernhard Meder is an entrepreneur and founder of the Meder Electronic Group, which he has established as a market leader in the field of electromagnetic component production. The company, which is also located in the US and Asia, was successfully sold in 2012. Mr. Meder is still CEO of Meder Holding AG in Switzerland and founder of M-Invest GmbH in Germany.
Michael Triguboff (*1955, Australia) is an experienced investment banker who is, or has been, a Director on numerous public and private companies in Asia, the US and Australia. He was a global partner of Lazard Freres & Co., and founder and owner of MIR Investment Management Group, an institutional fund manager specialising in Asia Pacific equities. He has a BA (Syd), LLB (UNSW), MBA (NYU), MBSys (Monash), MCS (UIUC/Columbia), LLM (Syd/ Melb) and MCrim (Syd).
CEO Pyrolyx USA
Thomas Redd has been chief executive officer of Pyrolyx USA, Inc. since December 2016. Mr. Redd was previously president and chief executive officer of Reklaim, Inc. prior to its joint venture with Pyrolyx AG to form Pyrolyx USA, Inc. Mr. Redd is a licensed, Professional Civil Engineer in the State of Washington, holds a Masters of Business Administration degree, a Masters of Science degree in Environmental Engineering, and a Bachelors of Science degree in Aerospace Engineering.
Andy F. Stecher
CFO Pyrolyx USA
Andy Stecher became Chief Financial Officer of Pyrolyx USA, Inc. in November 2018. Mr. Stecher was previously CEO of Plasmatreat North America, Inc. Mr. Stecher is bi-lingual and holds dual citizenship of the USA and Germany. He has worked in C-level functions of US subsidiaries for German headquartered companies throughout most of his career. Mr. Stecher holds a Masters Degree (MBA) of Benedictine University, Lisle, IL, a Bachelor Degree in business administration of DePaul University, Chicago, IL. Andy Stecher is a Senior Professional Human Resources (SPHR - SHRM) and holds a Licensed Banker Certificate of Germany (IHK).
Vice President Sales Pyrolyx USA
Mr. Renegar has over 42 years’ experience in the commodity and specialty chemical markets. He is an experience senior-level manager and has held positions in sales & marketing, laboratory management, quality control & service functions, and technical & customer service. He received a BS degree from southwestern College, a MS degree from Pittsburg State University, and an MBA degree from the University of Texas.
David F. Groves
Chairman of the Board
David Groves (*1955, Australia) is a private investor holding various directorships in ASX listed and private companies, eg Pengana Capital Group Ltd, Pengana International Equities Ltd, Pipers Brook Vineyard Pty Ltd, and Tasman Sea Salt Pty Ltd. He is a member of the Council at the University of Wollongong and sits on the advisory board of the Australian Rugby Foundation. He holds a Master of Commerce from the University of New South Wales, is a member of the Australian Institute of Chartered Accountants and is a Fellow of the Australian Institute of Company Directors.
Dr. Lars Franken
Dr. Lars Franken is Partner and member of the Managing Board of IVC Independent Valuation & Consulting. He regularly works on valuations under corporate law as a court appointed expert or as a neutral appraiser. Lars previously worked for PricewaterhouseCoopers and holds a PhD degree in economics of Ruhr-University Bochum. He is certified as an accountant (Wirschaftspruefer) and as a chartered financial analyst (CFA).
Guido Veit (*1967, Germany) studied process engineering at the University of Stuttgart. He has more than 20 years of international project and plant engineering experience and today is responsible for the global rubber, plastics and mixing business of Zeppelin Systems. His practical experience ranges from bulk material handling and liquid dosing through hot gas filtration to the recycling of rubber and plastics. He maintains excellent contacts with the tire industry and develops concepts for the rubber mixing room at both Greenfield and Braunfields.
David A. Steele
David Steele serves as board chair at Central Earthmoving Company P/L. He recently served as Group Managing Director for the international engineering company WorleyParsons, based in Houston. David holds a Master in Business Administration of Heriot-Watt University and is a graduate of the Australian Institute of Company Directors.