Plastic2Oil, Inc., a technology development and licensing company, develops technology that converts waste plastic into ultra-clean, ultra-low sulphur fuel products through its proprietary plastic-to-oil (P2O or Plastic2Oil) process.
The company intends to license its technology to companies that generate significant waste plastics and desire to have a P2O processor on site to convert the plastics to useable fuel for their operations. It charges its customers for the P2O processor and related e...
Plastic2Oil, Inc., a technology development and licensing company, develops technology that converts waste plastic into ultra-clean, ultra-low sulphur fuel products through its proprietary plastic-to-oil (P2O or Plastic2Oil) process.
The company intends to license its technology to companies that generate significant waste plastics and desire to have a P2O processor on site to convert the plastics to useable fuel for their operations. It charges its customers for the P2O processor and related equipment, a royalty fee based on the amount of fuel generated, a licensing fee for the use of its proprietary catalyst, and a set up and service fee.
As of May 2019, the company had three fully-permitted, P2O processors at its Niagara Falls, NY facility and had the capability to produce and store the fuels at, and ship from, such facility.
Of the company’s three P2O processors, one is dedicated to research and development and two dedicated to fuel production during pilot runs for customer demonstration. The company has components for two additional processors, Nos. 4 and 5, which are in process of assembly for future sale. The company is offering one of its processors for sale, along with certain real estate. The company’s proprietary P2O process converts waste plastic into fuel through a series of chemical reactions.
The company’s patent-pending P2O conversion process involves the cracking of the plastic hydrocarbon chains at ambient pressure using a catalyst.
Processor Input
Waste Plastics: The company feeds primarily mixed unwashed waste plastics into the Plastic2Oil processors. Waste plastic is available, and focuses on improving the types and densities of the plastic that the company procures for optimal processor performance.
Heat Transfer Fluid: The company includes hydrocarbon base fluid as feed into the P2O processors.
Processor Output
The company is permitted to feed two tons, or 4,000 pounds, of waste plastic per hour into each processor by a continuous conveyor belt where it is heated by a burner that primarily burns off-gases produced from the P2O process. Plastic hydrocarbons are cracked into various shorter hydrocarbon chains and exit in a gaseous state. Any residue, metals, and or non-usable substances remain in the reactor and are periodically removed. Through the company’s proprietary process, Fuel Oil No. 6, Fuel Oil No. 2, and Naphtha are condensed from the reactor through the remainder of the process. The fuel output is then transferred to storage tanks automatically by the system. The company’s process is primarily operated by an automated computer system that controls the conveyor feed rate, system temperatures, off-gas systems, and the pumping out of newly created fuel to storage tanks. The plastic to liquid fuel conversion is approximately 86% by weight. Twenty tons of plastic could be processed into approximately 4,100 gallons of fuel. The company has three processors at its Niagara Falls, NY facility.
Fuel Produced: The fuel produced in the company’s processors is ultra-low sulfur fuel and is ready for end-users without the need for further refinement.
Off-gas: Approximately 8-10% of waste plastics fed into the processors are converted to a mixture of hydrogen, methane, ethane, butane and propane gas, which the company calls ‘off-gas’. Once its processors are in a state to begin the P2O process, they use their own off-gas to fuel the burners in the process.
Residue: There is approximately 2-4% residue from the company’s process, which is petroleum coke or carbon black (which the company calls ‘petcoke’) that needs to be removed on a periodic basis to a waste facility.
Feedstock
The company’s P2O process primarily uses post-commercial and industrial waste plastic that might otherwise be sent to a landfill by the commercial and industrial producers of such waste plastic.
Fuel Products
The company’s P2O process makes both light and heavy fuel products, which are Naphtha, Fuel Oil No. 2 and Fuel Oil No. 6, as defined by ASTM. Its process also generates two main by-products, a reusable off-gas similar to natural gas and a carbon residue known as petcoke. The company’s process produces ultra-low sulphur fuels, without the need for further refinement, which enables fuel sales directly from the processors to the end-user. The reusable off-gas that is produced by the P2O process is used to fuel the burner that heats the entire processor.
Strategy
The company’s strategy is to license its P2O technology and know-how to licensees for their use in producing fuel for their own operations directly from the waste plastics that such licensees generate from their own operations. The company’s strategy is to have its partners construct clusters of P2O processors at sources of large plastic waste streams, such as industrial sites, material recovery facilities and recycling centers.
Discontinued operations
In March 2018, the company’s Data Business was sold to 2335524Ontario Inc.
Customers
The company’s target customers for its processors are private companies and municipalities in the recycling industry who could operate on a commercial scale.
Suppliers
During the year ended December 31, 2018, two suppliers accounted for 34.3% of accounts payable. The two consist of Colgate Industries and 2335524 Ontario, Inc., for which terms are all past due.
Intellectual Property
As of May 2019, the company had pending two United States and one Canadian applications. It also holds a U.S. patent relating to its Data Business for the recovery of tape information. This was sold to 2335524Ontario Inc. on March 2, 2018.
The company also holds three United States trademarks, which include the standard character mark P2O; miscellaneous design; and the standard character mark Plastic2Oil.
History
The company was incorporated in 2006 under the laws of the state of Nevada as 310 Holdings, Inc. The company changed its name to JBI, Inc. in 2009 and further changed to Plastic2Oil, Inc. in 2014.
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