This Startup's Technology Aims To Produce Recycled Product for Tires — Lots of It

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The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

Carbon black is a very unhelpful product for the environment when it is first mined, emitting some of the most toxic greenhouse gases on the planet, according to startup Smart Tire Recycling Inc. (STR) citing data from the EPA.

But when it is recycled properly and cleanly, it can be a vital alternative source to make rubber tires, the Pittsburgh startup says. STR is banking on its new technology that has zero emissions and produces recovered carbon black (rCB) that is the equal of its newly mined sister product to make such tires.

And there’s plenty of original products available to recycle. While about 1 billion rubber tires are discarded into landfills annually, only about 15% of that total is recycled and even then only into largely shredded rubber with limited uses, STR says.

About 14 million tons of rCB are produced annually and sold. Approximately 70% of mined carbon black is used in the tire industry by companies such as Hankook Tire & Technology (KSE: 161390.KS) and Goodyear Tire & Rubber Co. GT. 

New Technology Improving Yields

Until now, the leading technology to produce rCB has been pyrolysis, which uses extreme heat to convert materials into liquid in the absence of oxygen. But, since its advent in 2005, the technique has been largely unable to produce sustainable results when it comes to rCB, STR says.

STR says its new green, patented technology corrects the weaknesses of previous pyrolysis attempts, allowing for faster, continuous production and an improved yield of rCB. The company is aiming to be the largest producer of rCB in the next 5 years with production plants located nationwide.

Team Combines Engineering, Scientific, and Financial Expertise

Smart Tire says its team is made up of engineers and scientists as well as finance professionals and is led by CEO and Founder Mendel Bassman, a veteran of the recycling industry.

Board member Raymond Riek has more than 30 years of experience with Monsanto Co. where he was the director of the company’s technology, rubber, and process chemicals division. Lacramioara Schulte auf'm Erley, a Ph.D. who serves as the company’s chief technology officer, started her career as a chemical engineer in the tire industry. Germany-based Martin Von Wolfersdorff is a pyrolysis expert and serves as a consultant to the STR team.

Smart Tire Recycling has already raised more than $750,000 in its first regulation crowdfunding campaign. The company is currently involved in a second crowdfunding campaign that has raised more than $280,000 so far. The campaign involves up to 7 tiers of investment with varying degrees of perks depending on the size of the individual pledge. Learn more about Smart Tire here. 

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.