Klean Industries Calls for Volume Purchase Orders

Jesse Klinkhamer, CEO and Founder of Klean Industries Inc. (“Klean”), a leading tire pyrolysis equipment manufacturer that designs and builds pyrolysis projects for processing hydrocarbon-based waste such as end-of-life tires, offers a message to Tire Manufacturers, Carbon Black Producers, Rubber Compounders, and Plastic Masterbatch Manufacturers, in support of the tire pyrolysis industry:

“On the heels of the November 2023 Recovered Carbon Black Congress in Barcelona, Spain, which was attended by approximately 350 people, it is abundantly clear that the tire manufacturing industry is demanding product circularity. The attendees heard repeatedly throughout the event that the industry as a whole is ready and can consume the primary end products of the tire pyrolysis industry, specifically the recovered carbon black (“rCB”) and tire pyrolysis oil (“TPO”).

So, our question to the industry is: Where is the funding for such a transition?

All of these industry stakeholders have multi-billion-dollar balance sheets and access to low-cost capital and debt infrastructure funding so why are they not funding this industry to support the demands they are placing on the industry? Why are they putting all the risks on small companies to fulfill their sustainability demands for circularity? New partnerships need to be created, new alliances between technology companies and end-users need to be forged, new initiatives must be defined to foster greater financial and developmental support of one of the most pressing environmental needs today.

It’s time to put capital to work to grow this industry as the symbiosis between decarbonization and creating a circular economy solves the goal of zero end-of-life tires going to landfills.” — Jesse Klinkhamer, CEO of Klean Industries Inc.

Tire Pyrolysis is a Proven, Effective, and Sustainable Process for Managing End-of-Life Tires Globally:

As the world continues to face the challenges of climate change and environmental degradation, the tire pyrolysis industry has emerged as the most promising ally in the goal of reducing carbon emissions and creating robust circular management of scrap tires. This groundbreaking technology offers the chance for technology companies, recyclers, logistics companies, and manufacturers to partner in addressing the urgent need for decarbonization of the economy and the imperative to preserve our environment. In particular, the recovery of both tire pyrolysis oil and carbon black from end-of-life tires (“ELT”) presents a unique opportunity to take a global lead in the development of sustainable, circular economy practices.

This Is An Opportunity for Partners To Take a Global Lead in Sustainability.

As the world continues to face the challenges of climate change and environmental degradation, the tire pyrolysis industry has emerged as the most promising ally in the goal to reduce carbon emissions and create a robust circular management system for scrap tires. This groundbreaking technology offers the chance for technology companies, recyclers, logistics companies, and manufacturers to partner in addressing the urgent need for decarbonization of the economy and the imperative to preserve our environment. In particular, the recovery of both tire pyrolysis oil and carbon black from end-of-life tires (“ELT”) presents a unique opportunity for our industry to take a global lead in the development of sustainable, circular economy practices.

Mobilizing Industry Stakeholders for Sustainable Transformation.

As a key industry stakeholder, your commitment to integrating tire pyrolysis oil and recovered carbon black into your procurement strategies will set a positive example for the entire industry. Your leadership in adopting sustainable alternatives will inspire others to follow suit, driving a collective commitment to environmental stewardship. To unlock the full potential of tire pyrolysis and make a meaningful impact on decarbonization, we need your partnership and support in key areas:

First, Increase Purchase Orders.

We need you to increase the volume of purchase orders for tire pyrolysis oil and recovered carbon black. This not only ensures the financial viability of tire pyrolysis companies but also fosters a shift towards more sustainable practices across the industry.

Second, Establish Long-Term Off-take Agreements.

Long-term, meaningful offtake contracts and pre-purchase orders support the funding for these capital-intensive projects. These contracts not only secure a market for the produced tire pyrolysis oil and recovered carbon black but also facilitate long-term partnerships that drive sustainable development.

Third, Invest In These New Technologies and Companies.

Consider making your investment in the development and build-out of these game-changing technologies. Further, your support is critical for initiatives that drive development money into these programs through channels such as tipping fees and carbon credits.

The Value of Recovered Carbon Black and Tire Pyrolysis Oil Are Proven.

rCB is now an accepted product for new tire manufacturing, an industry that consumes approximately 65% of the virgin carbon black globally, which is predominately made from fossil fuels which have a significant negative impact on the environment.

TPO is a valuable byproduct of the tire pyrolysis process, which involves converting used tires into fuel and other useful products like specialty chemicals, which can go back into the new tire industry. This oil has proven to be an effective alternative to traditional fossil fuels, with a lower carbon footprint and reduced emissions. Furthermore, the production of tire pyrolysis oil also helps to address the issue of tire waste, which is a major contributor to landfills and pollution. By supporting the tire pyrolysis industry, stakeholders can contribute to the decarbonization of the economy and the preservation of the environment.

The Benefits of Tire Pyrolysis Are Clear:

• Decarbonization of the Economy: By replacing traditional fossil fuels with tire pyrolysis oil, we can significantly reduce our carbon footprint. The recovered carbon black further adds to this impact by providing a sustainable alternative to virgin carbon black production, which is typically derived from fossil fuels.
• Environmental Preservation: Tire pyrolysis technology allows us to transform used tires into valuable resources. This not only minimizes the environmental impact of tire disposal but also addresses the escalating problem of waste in landfills.
• Resource Efficiency: Recovering both tire pyrolysis oil and carbon black demonstrates a commitment to resource efficiency. By repurposing waste materials, we contribute to a circular economy, reducing the demand for virgin resources and promoting a more sustainable supply chain.

The time is now. We do not need to spend any further time evaluating if this can be done when companies such as Klean Industries, and its partners like ReOil, have proven that quality recovered products can be reliably and consistently produced at scale. What is the industry waiting for? It’s time to put capital to work to grow this industry as the benefits to the decarbonization of the economy are obvious.

If you are a stakeholder who needs recovered carbon black and tire pyrolysis oil, we encourage you to contact Klean Industries as we have several projects in Europe and North America where the products are available. However, these opportunities won’t fund themselves and we request that players understand that they need to commit to these projects so that we can build the infrastructure to deliver the product they desire.

Source: Klean Industries