Malaysia’s Octagon expands scrap tyre pyrolysis to North America

Archiv – Octagon Consolidated Bhd is teaming up with two foreign companies to exclusively develop rubber and scrap tyre pyrolysis projects in northern America ‘€’ the United States, Canada and Mexico. Malaysia | Octagon Consolidated is starting to develop rubber and scrap tyre pyrolysis projects in northern America ‘€’ the United States, Canada and Mexico. The Malaysian company signed a heads of agreement with KK Incinerator Engineering & Construction Co Ltd (KKIEC) from South Korea and Canadian Carbon Converters LP (CCC) to set out the initial terms of setting up a joint-venture (JV) company for that purpose.
In a statement, Octagon says the parties aim to become the dominant player in North America using a more efficient, innovative and environmentally friendly technology. The joint venture will roll out three continuous process pyrolysis plants, each with a capacity of about 40 tonnes per day, simultaneously at an estimated cost of US$50 million (Euro 34 million) in North America.
Pyrolysis is the process of decomposing organic materials by heating in the absence of oxygen. ’The joint-venture company will also have the potential to grow into a company with a market capitalisation of US$1 billion over the next five to seven years in view of the huge potential of the North American market, according to Octagon.
The agreement signing ceremony was held in conjunction with the launching of a 10-tonne per day continuous process pyrolysis plant in Busan, Korea, which is supported by the Korean government. This marks Octagon’s second overseas venture after its subsidiary, Green Energy and Technology Sdn Bhd (GET), entered into an agreement to design, engineer, construct, commission and operate a US$115 million (Euro 78 million) waste to energy plant with a total capacity of 200 tonnes per day for Sri Lanka’€™s Colombo Renewable Energy (Private) Ltd.
KKIEC, a company incorporated in South Korea, provides environmental engineering solutions including incineration, water treatment, pyrolysis, flue gas treatment, energy plant and related system design software. CCC is a single-purpose company created by a group of investors from the US and Canada towards becoming a dominant player in the North American sector of clean fuels and renewable commodities recycled from scrap tyre within the framework of the fast growing cleantech industry.