The deliveries concern recovered carbon black, rCB, which will be produced at Infiniteria's recycling plant in Uddevalla. The agreement is multi-year and is based on a mutual term sheet, with the total order value estimated to be approximately 100 million SEK over the contract period. "With this agreement, the upcoming production in Uddevalla 1 is considered fully booked for both recovered carbon black and pyrolysis oil," says Enviro's CEO Fredrik Emilson.
The customer is a global manufacturer of technologically high-quality sealing systems and rubber components and intends to use the recovered carbon black as a raw material in their production process. The agreement has been signed by Infiniteria, the joint venture company formed by Enviro together with Antin Infrastructure Partners and supported by Michelin. Outside Uddevalla, Infiniteria is now constructing the first full-scale recycling plant, which, based on Enviro's leading pyrolysis technology, will recover valuable raw materials such as carbon black, oil, and steel from end-of-life tires.
"The pressure to secure volume from Uddevalla has continued to be very high, and where the initial idea was to maintain spare capacity in Uddevalla to qualify new customers, we have decided to release the remaining volume to a leading rubber manufacturer with significant potential for recovered carbon black", says Stefano Madeddu, CEO of Infiniteria.
The rubber manufacturer has been a customer of Enviro for some time and, based on what is produced at the Åsensbruk plant, has already ensured that the material meets set customer requirements.
"The entire production of the Uddevalla plant is now therefore substantially allocated. In parallel, various commercial discussions are ongoing with current and potential customers regarding additional production volumes from upcoming facilities, which are still under development and awaiting final investment decision", says Stefano Madeddu, CEO of Infiniteria
The plant in Uddevalla is expected to become operational by the end of 2025 and reach the Provisional Acceptance Certificate (PAC) by mid-2026. When the plant began construction in February 2024, Infiniteria had already signed off-take agreements for recycled raw materials worth a total of 2 billion SEK with terms ranging from 5 to 10 years. Once Uddevalla 1, which will have the capacity to recycle approximately 34,500 tons of end-of-life tires per year, reaches PAC, the plan is to double the capacity of the facility to approximately 70,000 tons per year.
For further information, please contact:
Fredrik Emilson, CEO Enviro, +46 (0) 706-05 67 83, fredrik.emilson@envirosystems.se
Fredrik Aaben, CFO Enviro, +46 (0) 729 70 78 91, fredrik.aaben@envirosystems.se
N.B. The English text is an in-house translation of the original Swedish text. Should there be any disparities between the Swedish and the English text, the Swedish text shall prevail.
Scandinavian Enviro Systems contributes to enhanced environmental and economic sustainability using a patented technology for the recovery of valuable raw materials from scrapped and end-of-life products, including tires. The production of new tires using carbon black recovered with Enviro's technology reduces carbon dioxide emissions by up to 93 per cent compared with the use of virgin carbon black. Enviro has its head office in Gothenburg and a plant for the recycling of end-of-life tires in Åsensbruk. The largest owner is the French tire manufacturer Michelin. Enviro was founded in 2001 and is listed on Nasdaq First North Growth Market. www.envirosystems.se
