Orion S.A. Announces Investment in Alpha Carbone Facility Upgrade
Orion S.A. Announces Investment in Alpha Carbone Facility Upgrade

Orion S.A. Announces Investment in Alpha Carbone Facility Upgrade

  • 14-May-2024 5:35 PM
  • Journalist: Li Hua

On 13 May 2024, Orion S.A. (NYSE: OEC), a leading specialty chemicals corporation, disclosed its investment in Alpha Carbone, a French tire recycling enterprise. This collaboration will facilitate the expansion of Alpha Carbone's operations, enabling the production of substantial quantities of tire pyrolysis oil and recovered carbon black for commercial purposes.

Additionally, the collaboration encompasses a lasting supply contract with Orion, designating them as the sole recipient of the tire pyrolysis oil generated by Alpha Carbone. This oil will serve as a crucial ingredient for Orion in the production of circular carbon black, catering to the needs of their tire and rubber goods clientele.

"With this investment, Orion is empowered to produce significant quantities of circular grades of carbon black, catering to the needs of our rubber customers who prioritize sustainable solutions," stated Corning Painter, CEO of Orion. "This move further solidifies Orion's stance as a forward-thinking innovator dedicated to advancing the transition towards a circular economy."

Approximately 500,000 metric tons of tires are disposed of each year in France. Orion has been collaborating closely with leading tire manufacturers for an extended period to pioneer circular carbon black. Tire pyrolysis stands as the sole established technology for producing circular carbon black suitable for incorporation into new tires.

Alpha Carbone's tire pyrolysis method involves subjecting discarded end-of-life tires to elevated temperatures, effectively eliminating wire, mesh, and other materials. This process also breaks down the tires into synthetic gas, recovered carbon black, and tire pyrolysis oil.

Orion stands out as the sole company capable of producing circular carbon black solely from 100% tire pyrolysis oil as its raw material. Additionally, the company has proven that its circular products can effectively substitute virgin carbon black across numerous applications.

The commencement of operations at Alpha Carbone's plant is anticipated by late 2025. In addition to providing pyrolysis oil to Orion, Alpha Carbone intends to vend the recovered carbon black to its own clientele, predominantly through long-term agreements.

"This investment will enable Alpha Carbone to enhance its facility in Dole, France, ensuring compliance with the most stringent industrial standards and satisfying the increasing demand for top-quality recovered carbon black and tire pyrolysis oil from our customers. This advancement aligns with the strategic vision of Alpha Carbone's primary shareholder, Alpha Recyclage Franche Comté, to provide optimal solutions for recycling end-of-life tires," stated Laura Pech, CEO of Alpha Carbone.

Orion S.A. (NYSE: OEC) is a premier global provider of carbon black, a solid carbon form manufactured in powder or pellet form. Customized to meet the exact requirements of customers, this material is utilized in tires, coatings, ink, batteries, plastics, and a range of other specialized, high-performance applications. Carbon black serves multiple functions such as tinting, colorization, reinforcement, conductivity enhancement, durability augmentation, and UV protection. With four innovation hubs and operations spanning 15 plants worldwide, Orion boasts the industry's widest array of production processes. Rooted in a corporate heritage exceeding 160 years, originating in Germany, Orion operates the world's longest-standing carbon black facility. Renowned for its innovation, Orion leverages an in-depth comprehension of customer requirements to deliver sustainable solutions.

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