Plastic2Oil Inc (PTOI)

[Justice37]

Ok, first off, this is just my interpretation and my speculation.

I think the 5% finder fee is on top of the whatever deal is made with a referral from Smurfit. However, I believe the agreement applies to Smurfit-Stone partners within travel distance of the JBI factory in Niagara Falls. There are seven Smurfit recycling facilities within a 1.5 hours drive of the JBI factory, six in Ontario and one ten minutes away in North Tonawanda New York. These are fully functioning recycling facilities that means they take plastic. While they buy some plastic, recycling facilities take all kinds of plastic, even plastic that has no value, because in order to get valuable plastic they have to take the plastic that has no value. For example, in the Niagara Region of Ontario, where I live, all of our plastic is collected, PET, HDPE but also plastic that has little value, plastic from frozen foods, straws, pop lids, large cat-litter buckets, you name it, we send it out in our recycling bin (for plastics, glass, and metal). Most of it is worthless but the municipality has to dispose of it all so in any contracts recycling facilities have to accept all the plastic in order to get the really good thirty cents a pound PET and other valuable plastic. If company or municipality has a contract to give solid waste to Smurfit, and the contract ends, and they decide to give the plastic to JBI, Smurfit's recycling facility is losing out on revenues that the JBI recycling facility can start using as the JBI recycling facility sells valuable plastic and paper. In order to keep a solid relationship with a large multi-billion partner, JBI provides the option of a finders fee so that Smurfit is able to not lose revenue from losing customer contracts to JBI.

The reason why I think this is a local agreement (local can include a good portion of the eastern U.S. and Canada) is that it's not likely that JBI will not bolt down P2O processors anywhere near their Niagara Falls, New York factory but just keep adding them at that site. JB on BNN said, he would rather have five or six processors at one site than five processors at five different sites. This leads me to believe JBI will start up a second site but this time at a Smurfit recycling facility in the southern or western United States. Locating it there means there is no conflict of interest, Smurfit maintains their client base and solid waste stream and JBI gets all the plastic feedstock they can use. Both sides are happy and a finder fee is a non-issue. I hope this makes sense.