Presentation on theme: "Tyre-/Plastics Processing South Africa Introduction and Overview of innovative, new technology Global Economist Forum, Bloemfontein 29 – 31st, October."— Presentation transcript:
Tyre-/Plastics Processing South Africa Introduction and Overview of innovative, new technology Global Economist Forum, Bloemfontein 29 – 31st, October 2013
Tyre-/Plastics Processing South Africa Technology-Concept by: Martin Walzer / C4 Solution AG, Switzerland Presentation by: Douglas Lund / Benchmark Construction & Development, South Africa
What is REDISA REDISA is the initiative to organize and collect old tires Producers and importers are commited to pay R2,30/kg on new tires sold REDISA provides no technical solution for processing old tires waste into worth is the purpose – not the solution
Our waste into worth business model consisting of 2 Units: UNIT 1 -Recycling of tires to rubber chips /steel -Recycling/cleaning of plastics to chips UNIT 2 -upgrading – refining mixture of rubber/plastics to fuels = worth
UNIT I - Recycling of tires in detail Car tires / truck tires / ML tires From old deposits or directly from market (REDISA) De-beading and cutting ML-tires and big truck tires Processing rubber chips <20mm (fibers included) with innovative technology separating steel from rubber completly Cleaning steel wire and pressing to briquets
Recycling of plastics For this business model we assume to purchase recycled plastics from market Plastics chips <20mm for use in refinery
UNIT II - Refining Innovative technology to refine rubber (60%) and plastics (40%) to clean fuels High conversion rate (~85%) to useable products Output of clean products according to industry specifications kerosene-optimized process due to good hydro-carbon-structure of rubber/plastics mixture (up to 60% kerosene potential)
UNIT II - refinery ART = advanced refining technology 120.000 tpy
UNIT II - ART = advanced refining technology This technology is designed to refine bio-feedstock and waste materials containing hydro-carbons like rubber and plastics. 90% is common refining technology you will find in crude- oil refineries in similar layout. The innovation in this process is an upstream plant component called reactor to convert and vaporize the raw materials. Feeding the reactor is required to be liquid product, depending on used raw materials the pre-processing has to be adjusted.
ART – layout The overall system, the layout and implementation of processes is made as kerosene-optimized the yield and kerosene potential of refining a mixture of rubber and plastic (mainly PE/PP) can be relatively high. Reasons are: Very positive relationship between carbon and hydrogen No or very little oxygen in the raw materials Favorable molecular structure of the raw materials, especially plastics PE/PP mixed with rubber Low aromatic content of plastics cheap places to break up the molecules
How it works - UNIT II refining Pre-processing Rubber chips plastics cleaning Carbon black silicats ZnO anorganics, dirt, etc. Gas gasoline Diesel fuel oil LCO Diesel fuel oil LCO kerosene fraction kerosene fraction HCO – therm. Gas – therm. polymerization olefin treatment Further treatment (merox, etc.) Jet Fuel A-1 ASTM D1655 Jet Fuel A-1 ASTM D1655 Petrol 95octane hydro treatment LCO Fuel Oil LCO Fuel Oil
Market data Imports and exports Kerosene (Jet A-1) and petrol are very valuable products with high and stable demand. SouthAfrica imports more JetFuel and petrol than it exports.
Market data JetFuel consumption Total JetFuel consumption in 2010 was 2.319 millions of litres. The production capacity of this planned refinery is 82 millions of litres, which represents approx. 3,5% market share.
Financial result Investment Overview and profit calculation
UNIT I tire recyclingplant 140.000tpy Investment overview The estimation of the total costs, running costs of the plant is based on the experience building and running existing plants in Europe. In this overview is included: the necessary planning (basic and detail engineering) permit application and engineering required by authorities whole machinery and plant control unit delivery, insurance, installation, commissioning 140.000 tpy tire recycling unitEURZAR tire recycling plant 13.220.000R 158.539.528 land, administration building, facilities 2.500.000R 29.981.000 miscellanous (startup, product stock, etc.) 1.149.320R 13.783.105 total investment tire recycling 16.869.320R 202.303.633
UNIT I tire recyclingplant 140.000tpy Financial result purchase of raw materials EUR / tonZAR / ton car tires- 25,85R -310,00 truck tires- 25,85R -310,00 ML tires 0,00R 0,00 product sales EUR/tonZAR / ton rubber chips 80,00R 959,39 steel 70,00R 839,47 0,00R 0,00 statement of incomefigures in thousands EURZARmargin sales revenue 10.214R 122.488 - operating expenses 7.015R 84.122 raw material- 2.502R -30.006 operating income 5.701R 68.37355,8% - depriciation 1.572R 18.852 - amortization 1.132R 13.580 operating income II (before interest+taxes) 2.997R 35.94029,3% - financial expense 993R 11.906 earnings before company tax 2.004R 24.03419,6% - company tax 561R 6.730 net income 1.443R 17.30514,1%
UNIT II ART refinery 120.000tpy Investment overview The estimation of the total costs of the plant is based on the experiences from refinery construction, supported by the recent work on another project with similar processing capacity. In this overview is included: the necessary planning (basic and detail engineering) permit application and engineering required by authorities plant control unit, MSR-T steel construction, pipline construction, etc. 120.000 tpy ART refineryEURZAR refinery 58.600.000R 702.754.640 land, administration building, facilities 2.050.000R 24.584.420 miscellanous (startup, product stock, etc.) 6.251.600R 74.971.688 total investment refinery 66.901.600R 802.310.748
UNIT II ART refinery 120.000tpy Investment in detail sectionEURZAR pre-processing and cleaning 3.807.000R 45.655.067 reactor and peripheral 14.039.000R 168.361.304 distillation 2.380.000R 28.541.912 olefin-reduction 3.569.000R 42.800.876 LCO hydrogenation 4.164.000R 49.936.354 polymerization plant 4.164.000R 49.936.354 tank storage and loading 6.544.000R 78.478.266 H2 section (external/own production) 2.380.000R 28.541.912 energy infrastructure, building services 5.235.000R 62.780.214 infrastructure general 4.759.000R 57.071.832 site specific work 4.759.000R 57.071.832 optimization and layout unit 2.800.000R 33.578.720 estimated cost refinery 58.600.000R 702.754.640
UNIT II ART refinery 120.000tpy Financial result purchase of raw materials EUR / tonZAR / ton rubber 80,00R 959,39 plastics 150,00R 1.798,86 product sales USD / tonZAR / ton Kerosene (Jet A1)$890,00R 10.673,24 Gasoline$850,00R 10.193,54 HCO, LCO$420,00R 5.036,81 Gas$0,00R 0,00 Coke, Loss$0,00R 0,00 by-products carbon black$0,00R 0,00 zink-oxid ZnO 0,00R 0,00 sulphur (sulphur compounds)$0,00R 0,00
UNIT II ART refinery 120.000tpy Financial result statement of incomefigures in thousands EURZARmargin sales revenue 62.454R 748.974 - operating expenses 34.084R 408.747 operating income 28.370R 340.22745,4% - depriciation 5.118R 61.376 - amortization 4.647R 55.731 operating income II (before interest, taxes) 18.605R 223.12029,8% - financial expense 3.706R 44.439 earnings before company tax 14.900R 178.68123,9% - company tax 4.172R 50.031 net income 10.728R 128.65117,2%