Scrap tires the recovery of carbon black and fuel oil
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Scrap Tires The Recovery of Carbon Black and Fuel Oil. Ray Riek COO, Delta Energy, LLC [email protected] Scrap Tire Availability - USA ref: 7/04 Rubber Manufacturers Association Report. 290 million scrap tires generated in 2003 In “storage” Texas: 53 million abatement stalled

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Scrap tires the recovery of carbon black and fuel oil l.jpg

Scrap TiresThe Recovery of Carbon Black and Fuel Oil

Ray Riek

COO, Delta Energy, LLC

[email protected]


Scrap tire availability usa ref 7 04 rubber manufacturers association report l.jpg
Scrap Tire Availability - USAref: 7/04 Rubber Manufacturers Association Report

  • 290 million scrap tires generated in 2003

  • In “storage”

    • Texas: 53 million abatement stalled

    • New York 40 million abatement starting

    • Colorado: 35 million no abatement

    • Michigan: 25 million abatement starting

    • Ohio: 25 million abatement in progress

    • Alabama: 20 million abatement starting

    • Connecticut 20 million no abatement

  • Total in USA: 275 million scrap tires(grossly underestimated)

  • Unused scrap tires: 57 million per year (570 thousand tons)

  • Underutilized: Fuel & Civil Engineering uses - 186 million per year (1860 thousand tons)


Scrap tire utilization l.jpg
Scrap Tire Utilization

  • One scrap tire is generated per year per person in the USA

    • Similar expectation in all developed countries

    • Approx. 80% of scrap tires generated annually are recovered

    • Remainder is land-filled or dumped

  • Current market for scrap tires in a shredded form (tire chips)

    • Fuel (cement kilns, stationary power plants) – Btu value similar to coal

    • Raw material for crumb rubber for finished products such as doormats

    • Embankments, playground cover

  • More shred is currently produced than is consumed

    • Shred is therefore provided at a very low price

      • Frequently given away because of the lack of market


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Recovery of Raw Materials

  • Many failed attempts over second-half 20th century

    • Incomplete process and product development

    • Low commercial development experience

    • Inability to develop customers before plant investment

    • Poor funding

  • Several efforts underway (driven by spike in fuel oil price)

  • No historical success in bringing the recovered carbon black to market


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Active Recovery Efforts

Long list of failures and shuttered facilities

  • Titan Technologies, Inc. - founded in 1990; Albuquerque, New Mexico

    • Three plants in Asia are not believed to be operational due to poor economic conditions & competition for tires as a fuel source

    • Titan claims to have six plants in planning or construction; four along the US-Mexico border, one in Texas, and one in Columbus Ohio.

      • Status of these ventures is largely unknown and unverifiable

  • Earthfirst Technologies, Inc. – founded in 1997; Mobile, Alabama

    • Public Company: currently reports inability to sell the carbon black material recovered from their process

    • Licenses technology – no known sales


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Active Recovery Efforts Continued

  • Carbon Recovery Corp., recently founded; West Berlin, New Jersey

    • Microwave technology

    • Batch Process

    • Looking for funding

  • KOUEI Industries, recently founded; Vancouver, BC, Canada

    • Batch process

  • Delta-Energy, LLC, founded 2000; Pittsburgh, Pennsylvania

    • Demonstration facility

    • Patented technology

    • Qualified customers for recovered carbon black and oil

      • Only known company to qualify carbon black for sale

    • Looking for funding


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Technology Employed

  • Titan, EarthFirst, and Delta-Energy all employ a continuous reactor operating between 800-1100 degrees F.

    • Batch processing leads to prohibitive capital requirements and product variability

    • Catalyst use lowers operating temperatures and improves efficiency

  • Most operators historically have been content to recover the oil and gas from pyrolysis of tires

    • Borderline economics that have led to many bankrupted operations

  • Newest entrants are developing technology that enables the direct recycle of recovered carbon black

    • Low manufacturing cost enables competition with products produced from oil


A continuous operating facility courtesy delta energy llc l.jpg
A Continuous Operating FacilityCourtesy: Delta-Energy, LLC

Delta-Energy Demonstration Plant


Products from a shredded tire courtesy delta energy llc l.jpg
Products From A Shredded TireCourtesy: Delta-Energy, LLC

Pounds

D-E Black™(Reinforcing material used in rubber products)6.8

De-polymerized oil (1.1 gallon of oil generated per scrap tire) 8.5

Off-gas 1.4

Scrap (Balance after steel de-beading and shredding processes)0.3

Total shredded tire 17


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Summary

  • Technology has advanced sufficiently to enable economic recovery of commercially useful materials from scrap tires

  • Several developers are in the process of funding first commercial operations and looking for viable investors and operators

  • First commercial plants supplying products are expected to be in operation in 2006

    • Delta-Energy, LLC


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