Michelin is partnering with Enviro to develop and industrialize on a large scale an innovative pyrolysis technology to recycle tires at the end of their life.
For the tire industry and its customers, recycling is a major issue.
Each year, about 1 billion tires reach the end of their life.
Thanks to this recycling technology, tires considered as used give birth to new quality raw materials.
Swedish start-up of 20 employees founded in 2001, Enviro developed a technology to modify the chemical composition and physical phase of the pneumatic material during the pyrolysis process, while ensuring minimal energy consumption.
This highly innovative technology enables to produce high-quality products such as recovered carbon black, pyrolysis oil, steel or gas, products that can then be re-incorporated into the production circuit of different industrial sectors.
Thanks to this recycling technology, tires that are now considered as waste will be recycled into raw materials.
THE ENVISIONED PARTNERSHIP BETWEEN MICHELIN AND ENVIRO IS BASED ON FOUR AXES:
A Development Agreement to deploy Enviro’s pyrolysis technology on a larger scale
Michelin’s stake of +20% of Enviro’s capital, amounting to 32,526,262 SEK (around 3 million €), or the equivalent of 116,165,223 shares, making Michelin the largest shareholder.
The Group will support developing Enviro by its board representation expected to be proposed to the shareholder vote.
The shareholding subscription has been signed on April 15th.
The common project to build a factory to industrialize the technology.
The location of the plant will be confirmed at a later date.
A joint Supply Agreement between Michelin and Enviro.
This partnership will allow the complementary know-how of the two companies to be pooled in order to accelerate progress in tire recycling.
Michelin will bring its industrial know-how to the plant’s construction project and its know-how in terms of research and development and production.
Enviro will bring its patented pyrolysis technology, which will produce high-quality products.
The partnership we have just signed with Enviro fits perfectly with Michelin’s “All Sustainable” vision.
After the acquisition of Lehigh Technologies in 2017, a specialist in high-tech micro-powders derived from recycled tires, this is a further proof of Michelin’s long-term commitment to recycling and sustainable mobility.
Sonia Artinian-Fredou, Services and Solutions, High Technology Materials Business Director
Discussions are ongoing between the two companies with the objective to conclude a final agreement by mid-2020.