Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Canadian company turns waste plastic into ultra-low-sulphur fuel
Story
Comments (1)
Share
Send this page to your friends
Print
Create a hardcopy of this page
Font Size:
Default font size
Larger font size
Recommend this story?
0Share
Posted: Monday, January 30, 2012 12:00 pm | Updated: 12:08 pm, Mon Jan 30, 2012.
By Paul Wiseman
Special to the Oil Report | 1 comment
Over a 10-year period running through the mid-1990s, Canadian entrepreneur John Bordynuik saw the beverage industry switch from glass to non-biodegradable plastic bottles. He saw those bottles littering roads and filling solid waste facilities. He also saw the world’s increasing appetite for fuel, along with concerns about air quality.
Now he is convinced he has found a way to make inroads in all three categories by recycling waste plastic into ultra-low-sulphur fuels and carbon black while creating virtually no emissions.
The process, called Plastic2Oil®, currently uses post-industrial plastic to make a variety of mid-grade fuels, including diesel and heating oil, along with petcoke, also known as carbon black. Basically, the process involves heating the waste plastic in a gas-fired plant to break that plastic down into fuel. Approximately 10-12 percent of the output is in the form of butane, propane and hydrogen, which are used to fuel the fires that make the process work. The plant needs city-supplied natural gas only to start. “I start on natural gas for about the first four hours, then we cut over to our gas,” said Bordynuik. After it reaches a certain temperature, the off-gassed butane and propane are enough to run the plant. Another 1-3 percent is petcoke and the rest is fuel that is basically usable without further processing, Bordynuik stated.
Bordynuik’s company, JBI Inc., made the first processor in 2009. “We got a one-kilogram reactor that was making what I would call a ‘spec fuel’ at that time,” he recalled. “That was pretty exciting for us because there had been a lot of attempts to change plastic into some kind of product.” To get a usable form of fuel from it was particularly exciting from a marketing perspective.
“We evolved from a one-kg plant in 2009 to a fully commercial plant now, with permits, and over that time we increased from 1 kg every couple of hours to one ton to 20 tons per day and now to 4,000 pounds per hour in our latest plant, with no emissions,” he continued. This is the equivalent of 100 bbl/day of fuel output. Each pound of fuel contains approximately 10,000 BTUs of energy.
There are so few emissions, said Bordynuik, that plant permitting has been very simple in New York and other places where plants have been installed. In one test, the emissions were found to be cleaner than the air inside the plant. Emissions were tested at 13 ppm NOX, which he called “very, very low” and “basically no carbon dioxide, very little VOCs (volatile organic compounds).” He added that his plant’s emissions are typically about one-fifth those of a standard natural gas furnace.
Permitting is further simplified by the fact that the Plastic2Oil plants operate at atmospheric pressure, making blowouts highly unlikely.
JBI currently has contracts with plastics companies to receive their waste, and with trucking firms and fuel companies to buy the produced fuel. Waste plastic comes to JBI at no cost, which is still a bargain to suppliers because they avoid paying the landfill fees that would otherwise be required. Eventually the company wants to also take post-consumer waste but Bordynuik first sees a huge potential supply of the post-industrial variety.
He notes that the EPA estimates post-consumer waste to be 30 million tons per year. Although there are no estimates on industrial waste plastics, Bordynuik believes it is much higher.
RockTenn, a Georgia-based industrial packaging company that has one of the Plastic2Oil plants on its property, “has enough (waste plastic) to supply us for a long time” at JBI’s current rate of growth. “We also have a plant in Niagara Falls, NY, which is not on RockTenn property,” where, Bordynuik stated, “we bring our own plastic in.” Much of that comes from a nearby meat packing plant, which is one of the largest in the United States.
Each plant is owned and operated by JBI, with just two or three employees required for monitoring of the mostly automated equipment and to fill the inlet hopper with plastic. The plant is 10 feet wide and 120 long.
The process is able to use most plastic as feedstock, with PVC being a major exception because of its low BTU content. Also, the presence of chlorine makes it difficult to maintain the near-zero production emissions goal.
It is not an accident that the Plastic2Oil process is so clean. Bordynuik stated his goal in having it created was to do so with no trade-off-being environmentally sound in just one or two aspects.
Rather than expand too quickly and risk being buried by a resulting mountain of debt, JBI has adopted a pay-as-you-go philosophy other than selling stock. “We are not funded by investment banks,” he asserted. “We want to grow strategically, taking the lowest hanging fruit first.”
JBI has no plants in Texas currently, but RockTenn has some locations in the state, and JBI’s vice president of blending is from Texas, so Bordynuik said he feels his company is likely to establish a footprint in the state before long.
Given the large amount of waste plastic generated by both industry and consumers, Bordynuik believes his process eventually could make a difference in U.S. oil imports. Plus, it could significantly change landfill usage for the better.
Paul Wiseman can be reached at fittoprint@sbcglobal.net.
On the Web: JBI’s very informative website is www.plastic2oil.com.
© 2012 Mywesttexas.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Recommend this story?
0Share
I gotta feeling...This month's going to be a great, great month for JBII Longs!
Bid sitting since pre-open and what do you know, weeeeeeeeeeeeeeeeeeeeee
Kris, Another 500 shares for DZ at 1.24. Let's go JBII. Thanks for documenting
Another 1k for me at 1.23!
Kris- my 1k buy time stamp was:
11:00:34
OK, got 1k more at 1.23, can someone take the lid off from 1.24? Thanks for your help :)
Love it! Thanks HowTo and Rawnoc. REAL DD
Thanks C911, never really left except stopped out of a few shares from the last pro hit debacle. Addicted to seeing this business plan through execution. Looking forward to next PR/ 8K from JBI leaderhip.
Kris, picked up 1k more shares at 1.12, thanks for all you do! DZ
Thanks to the both of you! 2 trustworthy long time longs taking the physical approach to due diligence. FUD be gone
Thanks MikeO. Was back in. Stopped out. They stole 1400 shares. Can earn that back with the next piece of positive news! Go JBII, to the moon. Others can go in the opposite direction. Peace, DZ
Kris, where are you getting your L2 quotes from now that JBII L2 quotes were dropped from OTCmarkets.com?
I utilize Fidelity for L2 but never had the capacity in JBII. Please PM me. Thanks, DZ
Waiting on the news after 4PM. This was enough for me. Sold my 12k shares around 1.35. Too much ambiguity. Not enough solid facts. I will take my 6k loss, lick my wounds and move on with less stress. I will be around to watch this play out. Good luck all!
Great post as always Commando. No cheerleading or bashing, just honest healthy concern that many share.
THANKS Underdog!
Real time level II?
Anyone know where I can get real time level 2 quotes since JBII moved down a notch and http://www.otcmarkets.com/stock/JBII/quote does not provide any longer. My fidelity site does not either. Thanks! DZ
JBI, Inc. Secures New Financing for Its Plastic2Oil Technology 01/09 12:39 PM
THOROLD, Ontario, Jan. 9, 2012 (GLOBE NEWSWIRE) -- JBI, Inc. (JBII:$1.37,00$-0.05,00-3.52%) (the "Company") (OTCQB:JBII.PK) is pleased to announce that it closed agreements on January 6, 2012 for equity financing in the amount of US$2.795 million to build its Plastic2Oil ("P2O") technology.
Thirteen accredited individuals participated in this recent round of financing, which consisted of units purchased at $1.00 per unit. Each unit included a share of common stock and a warrant to purchase an additional one-half share at an exercise price of US$2.00 at any time for a period of 18 months.
"I think this is further validation of our business model by sophisticated investors who believe in the innovations and proprietary technology that JBI, Inc. (JBII:$1.37,00$-0.05,00-3.52%) has developed," commented John Bordynuik, CEO of the Company. "This financing will continue to support the operational build-out of our P2O processors at the Company's Niagara Falls facility and the initial site in our agreement with Rock-Tenn Company."
The Company believes that this new injection of capital will assist in increasing its production capacity more quickly in order to satisfy the recent fuel distribution agreements made with Indigo Energy Partners, LLC and XTR Energy Company Limited. It is yet another step in the development of the Company as it executes its vision of becoming a vertically integrated plastic recycling, fuel processing and fuel distribution company.
For more information on the details of this recent financing, please refer to the Company's Current Report on Form 8-K file on January 6, 2012 and posted on the Company's website at: www.plastic2oil.com.
About JBI, Inc. (JBII:$1.37,00$-0.05,00-3.52%)
JBI, Inc. (JBII:$1.37,00$-0.05,00-3.52%) is a domestic green Oil and Gas company. JBI, Inc. (JBII:$1.37,00$-0.05,00-3.52%) developed a process that converts waste plastic into fuel (Plastic2Oil), without the need of further refinement. JBI, Inc. (JBII:$1.37,00$-0.05,00-3.52%) scaled a 1kg process to a 20MT commercial processor in less than one year. For further information please visit www.plastic2oil.com and review our SEC filings, including without limitation our Form 10-K, as amended, filed with the SEC on July 18, 2011.
Forward Looking Statements
This press release contains statements, which may constitute "forward looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act. The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees as of 1995. Those statements include statements regarding the intent, belief or current expectations of JBI, and members of its management as well as the assumptions on which such statements are based, including the expected timing of the Company's Form 10-K, execution of the proposed agreements described above and consummation of the transactions contemplated by such agreements. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Such risks include, but are not limited to: (1) JBI has a history of net losses, and may not be profitable in the future; (2) JBI may not be able to obtain necessary licenses, rights and permits required to develop or operate our Plastic2Oil business, and may encounter environmental or occupational, safety and health conditions or requirements that would adversely affect its business; and (3) JBI may experience delays in the commercial operations of its Plastic2Oil machines and there is no assurance that they can be operated profitably. For a more detailed discussion of such risks and other factors, see the Company's amended Annual Report on Form 10-K/A, filed on July 18, 2011, with the Securities and Exchange Commission, and its other SEC filings. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
CONTACT: JBI Inc. (JBII:$1.37,00$-0.05,00-3.52%)
Investor Relations
1-877-307-7067
NITE loading up at 1.25 reset for their next round.
The market is ensuring this not getting over 2.35. Lack of strong bid side activity and forces on sell side helping to consolidate pps here.
Let the games and shenanigans begin 5000 traded 2.29 under bid 2.35 x 2.37
Most important comment I have read this year! Thanks C911 for your REAL due diligence!
"I KNOW for a fact tankers are being loaded and shipped. Why? Because I watched it being done."
DZ
LOL 27000 shares traded at 2.391 above the bid at 4pm and 3 seconds. I have never seen this kind of market manipulation of a stock in the last 15 years! People are moving faster now. I like the way we held up after so much early volume. Can you say building a beautiful base for the next leg up? Looks like it will be one helluva leg (ie: Julia Roberts style ;)
Go JBII Go!
Thanks 4K for your relentless work. I so appreciate you!
HAPPY NEW YEAR ALL!!!!!!! GO JBII, TO INFINITY AND BEYOND!
Chris, my predictions:
June 1- $10
Dec 31- $25
Time to BREAKOUT!!!
Was entertaining to watch. Happy that we held up well yesterday and today. We are down 13 pennies from the high put in on this run (2.43). Nice consolidation even with the games being played. I know I am sleeping well. Unsure if Nite et. al. can say the same. Go JBII
But, But, But, Shorting it could have made 300%
Here's to closing on the HOD and a last of 2011 PR about #2 and 3 tomorrow to catapult us into 2012!
Green, en vogue, and hot hot hot. What an awesome combination. EP, I wholeheartedly agree with you! DZ
Awesome detail 4K. Your diligence towards documenting is very much appreciated by this investor. I appreciate you and all your hard work as it gives me another angle (spin) to which I view what may happen in the future. Happy New Year all! DZ
Credit given where credit due. Nice job Nate, Risky, but nice job daytrading.
Let's see how much juice in the JBII power hour after a HUGE run up! WEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEE!!
Got my 400 shares on bid 2nd time around. Happy now to ring in the new year JBII style!
PERT 2.55 51500 12:08
BRING IT!
Rut Ro Rorty!
My last bid for 2011 WAS first on the bid at 2.38 at:
Status Open
Symbol JBII
Description JBI INC COM
Action Buy
Quantity 400 Shares
Route KNIGHT EQUITY MARKETS, L.P.
Order Type Limit at $2.38
Time in Force Day
Conditions None
Trade Type Cash
Market Session Standard
Order Date 12/28/2011, 11:32:28 AM ET
Thousands have gone off at 2.37 and 2.38 since. I am still not filled!
Anyone still say games not being played??
Correction, after $2.60
I gotta feeling! Next stop after $1.60 street, $2.93 Resistance Way!