Tyre Pyrolysis Plant Boosts Octagon Profits

Malaysia’s Octagon Consolidated Bhd, operator of what is said to currently be the world’s largest tyre pyrolysis facility, expects its green energy division to contribute as much as 30 per cent to both company turnover and pre-tax profit in the financial year ending October. The company commissioned the 120 tonne per day plant in May, after more than four years of development.

With fuel prices at record highs, Octagon sees greet potential for its green energy division. The company plans to establish a second waste tyre pyrolysis facility in Malaysia before expanding into overseas markets. The continuous process used by the facility recovers 50 per cent oil, 30 per cent carbon black and 10 per cent steel wires from each tyre. Octagon managing director and chief executive officer Mazlan Ali believes the facility’s patented Continuous Process Pyrolysis Technology, whereby rubber chips are fed through on one end continuously and the recovered individual components are discharged at the other end, to be much more efficient that the batch process methods used earlier.

During the previous financial year green energy contributed just over 10 per cent to the company’s total revenue.