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Private equity investment in waste tyre pyrolysis

Private equity investment in waste tyre pyrolysisPrivate equity investment in waste tyre pyrolysisPrivate equity investment in waste tyre pyrolysis

Driving innovation in waste-to-energy solutions

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overview of the project

Leading innovation through ESG investing

Thermo Lysi SA will be investing in the development of a Waste Tyre Pyrolysis Plant, designed to address the growing issue of management of End-of-Life Tyres (ELTs). Located in Greece and developed by Impactus Group with Pyrum Innovations AG as the technology provider, the project will be processing 20,000 tons of ELTs annually, converting them into valuable secondary raw materials (SRMs), namely, recovered carbon black (rCB) and recovered pyrolysis oil (rFO), thus pioneering circular economy. Leveraging Pyrum’s proven technology, the project will support EU’s sustainability goals, providing a scalable and environmentally friendly solution for tyre waste recycling. 


Investment Highights

Environmental Impact: The plant’s operation will significantly reduce CO₂ emissions by avoiding incineration and landfill disposal of tyres, aligning with EU environmental policies in circularity and CO₂ reduction. CO₂ emissions make the production of virgin carbon black a contributor to climate change, which is why more sustainable alternatives, such as rCB from pyrolysis processes, are gaining attention in the context of carbon reduction and circular economy. Thus, our Waste Tyre Pyrolysis project represents a vital step toward sustainable waste management and climate action in Greece, while supporting EU’s net-zero emissions policy 


project details

Asset Description

 

  • The Project Company is the first and only holder of an environmental and zoning license for End-of-Life Tyres (ELTs) Recycling with Pyrolysis in Greece with zero environmental footprint.
  • Greenfield project with first movers' advantage in the market.
  • Pyrum Innovations AG (Germany) is the technology provider with an EU-validated Waste Tyre Pyrolysis technology, operational on a commercial basis since 2020 in Dillingen, Germany.
  • The plant is self-sufficient in energy to a high degree.
  • Feedstock agreement which secures 20tkpa.
  • Off-take agreements (10-year) for the derivatives i.e. fuel oil, carbon black.
  • MunichRe has offered Technology Performance Insurance by transferring the Technology & Finance risks from the investor and lenders to the insurer.
  • Carbon avoidance technology.

Investment Rationale

 

  • Strong support for waste tyre recycling by the Greek government and the EU. 
  • Greek market disposes yearly circa 50k tones pa of ELTs, at an increasing rate.
  • The investment is eligible for a grant from the EU.
  • Time and capital-intensive process with high returns.
  • Greek Law prioritises waste tyre pyrolysis over mechanical recycling and waste to energy.
  • Strong investor appetite for operational ELT units in EU for timely exit.

Additional Risk Mitigants

 

  • Construction License secures Regulatory Risks.
  • -EPC Contract for Turnkey Project shifts project risk to Contractor.
  • Project Finance secured.
  • Pyrum Innovations A.G. participating with 15% in Thermo Lysi S.A. share capital.
  • Plant Performance Insurance mitigates Technology & Financial Risks.
  • Independent Technical Due Diligence validates the technology and plant performance.

About waste tyre pyrolysis

Eco-Friendly Waste Management

Economic and Industrial Benefits

Eco-Friendly Waste Management

 Waste tyre pyrolysis provides a sustainable solution for recycling used tyres, significantly reducing landfill waste and environmental pollution. 

Valuable Resource Recovery

Economic and Industrial Benefits

Eco-Friendly Waste Management

 Through the pyrolysis process, waste tyres are converted into useful products like pyrolysis oil, carbon black, and steel wire, which can be reused in various industries. 

Energy-Efficient Technology

Economic and Industrial Benefits

Economic and Industrial Benefits

 Modern pyrolysis systems are designed for high energy efficiency, utilizing the by-products of the process (such as syngas) to power the system itself and reduce external energy needs. 

Economic and Industrial Benefits

Economic and Industrial Benefits

Economic and Industrial Benefits

 Pyrolysis offers strong economic advantages by creating revenue streams from waste materials and contributing to a circular economy, while supporting industries like energy, construction, and manufacturing.

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T: +357 22 28 51 50
E: info@igfunds.eu

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