You are on page 1of 17

Environmental

scrap tire recycling technologies

• • • • • •
Shredding & Granulation Technology Project Consulting Asphalt Rubber Scrap Tire Devulcanization Industrial Rubber Recycling Project Consulting

www. arsciences .com


Disclaimer
This document is Confidential
This document may not be reproduced, redistributed or passed on, directly or indi-
rectly, to any other person, or published, in whole or in part, for any purpose without
prior written approval from Advanced Recycling Sciences, Inc.

This Document is not a Prospectus nor an Offer to Subscribe for Shares


This document is not a prospectus and does not contain or purport to contain all
the information in relation to a transaction that would be contained in a prospectus
or that you, the recipient, may require to evaluate the proposal. This is not an offer
to subscribe for shares.

No Representation or Warranty is made as to the Accuracy and Completeness of


the Document and no Liability Accepted
Whilst all reasonable care has been taken to confirm the reliability of the informa-
tion and opinions expressed herein, no representation or warranty is made as to
the accuracy or completeness of this document. Any assumptions, interpretations,
estimates and forecasts contained herein involve subjective judgments that may
be subject to significant uncertainties and contingencies and may not prove ac-
curate. Accordingly, any estimates and forecasts may not be achieved, and any
statements as to future matters may not prove correct and the differences may be
material. In all cases, the recipient must conduct his / her own investigation and
assessment and satisfy his / herself as to the completeness, accuracy or reliability
of the information herein.

2
“We have Tire Recycling
solutions in our hands.”
Table of contents
Advanced Recycling Sciences, Inc.

Corporate Overview 5

Overview of Business Projects 7

Project Consulting 9

Advanced Surfacing Technologies, Inc. 11

Deutsche Gummi Asphalt GmbH 13

Revultec, Inc. 14

Contact 17

4
Advanced recycling sciences
Corporate overview I

Advanced Recycling Sciences, Inc. (ARS), is a company Recent achievements include:


strategically focused on the acquisition and development
of environmental technologies and products primarily re- 1) Retaining a dedicated management team and Advisory
lated to waste tire and rubber recycling systems. Board to continue to forge new business relationships and
secure a future for the company
In 2008 there were 300+ million used tires discarded in the
2) ARS will form a new German Company, Deutsche
United States with a similar amount disposed of in Europe.
Gummi Asphalt, GmbH (DGA). Roads paved with Asphalt
While over half of these tires were recycled or otherwise
Rubber are made up of a blend of Bitumen and crumb rub-
utilized for other applications, approximately 110 million
ber which is mixed with aggregate to integrate the flexible
properties of tire rubber into liquid asphalt cement produc-
ing a binder material that is resistant to cracking. Experts
say this can translate directly into roads that last up to
three times longer and require less maintenance while sig-
nificantly reducing noise levels and braking distances.

3) Securing first round interim finance via a private place-


ment to enable the Company to pay for accounting and
overhead pending second round to finance audit and le-
gal costs, to file a Form 10 registration with the SEC for a
potential relisting on the OTC-BB & later on the Frankfurt
Exchange.

4) Revultec, Inc. (a subsidiary of ARS), a joint venture com-


were either illegally added to the 800+ million tires that are pany in development plans to commercialize a process
already stockpiled in the U.S. called “Liquid Rubber” (LR) that reclaims (de-vulcanizes)
scrap tire rubber in its original form to re-use it for making
ARS is uniquely positioned to meet this challenge, and to new tires and other industrial rubber products (including
unlock the potential $3 billion in hidden value to be derived automotive parts/components).
from these unused, wasted tires. ARS is now aggressively
pursuing the acquisition and development of technologies Revultec, Inc., was incorporated in June 2007 following
that can leverage this largely untapped value. more than 5-years of development work to recycle and
devulcanize tires and industrial rubber products. The pro-
cess is designed to allow LR to be an additive into new
product manufacture at much higher percentage content
than previously achieved in the market.

5
Advanced recycling sciences
Corporate overview II

REVULTEC, Inc. was formed as a 51% subsidiary Ad- in necessary hardware and eliminating the permit require-
vanced Recycling Sciences, Inc., and 49% owned by ments to operate the system.
Rashid S. Al Rashid & Sons Co., Limited in Saudi Arabia
(Saudi Group). The Saudi Group is a prominent Saudi in- Also, Revultec has engaged Burns and McDonnell Engi-
dustrial group which has interests spanning architectural neering in collaboration with APC to oversee the engineer-
design & engineering, construction, real estate, farming, ing development of the next generation 50-gallon SCF
local manufacturing with operations located in Riyadh, reactor which will be built at the APC facilities pending
Dammam, Al-Hassa and Al-Khobar. the design for a full scale, 5,000 gallon commercial plant
which is expected to be in operation by 2010.
The LR process uses a hydrocarbon-based solvent to
break sulfur bonds (de-vulcanize) the surface of the ARS Management:
crumb rubber utilizing a super-critical fluid technology. The Board of Directors and Executive Management
This process has been demonstrated in the laboratory. Keith J. Fryer, President, CEO, Director, Co. Secretary
Revultec’s next steps in the pre-commercialization phase Ehrenfried Liebich, Chairman, Director
are to: 1) optimize the process ensuring all the desired Leon Caldwell, CFO (Acting) Consultant to the Board
rubber properties are present in the producted material, 2)
open the operating window, and 3) demonstrate continu- Advisors:
ous operation supporting commercial production. This is Christoph Bruening (Germany)
all clearly feasible based on the innovative technologies Cees Nater (Holland/Spain)
used, and the recent compound test results obtained by Dr. William A. Farone (Revultec)
the company.
Future Developments from Equity or internal growth:
Revultec has selected Applied Power Concepts (APC) as
the primary technical associate to be able to complete the • Revultec™ Technology Development – commercial
technology development. ARS/Revultec and APC have plant
worked together over the last six years and have entered • Patented Compact tire-reduction and granulation tech-
into an exclusive contract to co-develop this technology. nology
However, all patent rights belong to Revultec. APC has • Tires2Energy technology (in development)
well-qualified staff with specific expertise led by Dr. Farone, • Eco Press system for value-added recycled rubber
a renowned scientist. Along with Dr. Farone’s expertise in products manufacturing
the field, the availability of APC’s local laboratory offers the • Patented heated floor mats / room heating system
added advantages of minimizing the required investment

6
Advanced recycling sciences
Overview of business projects I

ARS Project Consulting: any local financial incentive programs which may be avail-
able.
The primary sales and marketing arm of
the restructured Company, responsible Advanced Surfacing
for the sale of complete tire, rubber and other waste recy- Technologies, Inc.
cling systems and several after-market product manufac- (www.ast-paving.com )
turing technologies including; construction industry prod-
ucts, liquid rubber compounds, asphalt rubber and certain AST will utilize their proprietary technol-
plastics. In addition, this division will act as a primary con- ogy for Asphalt Rubber Paving in Germany. The special-
sultant to clients wishing to enter the scrap tire and waste ized blending technology is designed to enhance existing
recycling industries. asphalt paving companies by adding blended crumb rub-
ber to the top layers of paving for longer lasting and quieter
Work assignments have covered various tasks including, roads. In 2002 ARS provided the German state govern-
market research, technology sourcing and integration into ment of Mecklenberg-Vorpommern with an eleven (11Km)
a market study and Business Plan, characterizing the po- pilot road project with the view to independently monitor the
tential for the construction of an integrated tire recycling fa- project performance of the then state-of-the-art American
established Asphalt Rubber characteristics, by then well
cility combined with after-market product development op-
established in the Western United States. Since that time
portunities in various fields; including but not limited to floor
tremendous advances have been made in the industry and
tile and continuous roll pressed flooring products, devulca-
the ARS technology reflects those improvements.
nization for new tire manufacture, asphalt rubber and other
high volume crumb rubber consumption applications.
Highlights of Asphalt Rubber Road Paving:

ARS is able to prepare a detailed study, which will char-


• Enhanced braking safety through better traction and
acterize the market for the construction of a technology improved surface water dissipation
specific tire recycling plant and generally describe the mar- • Improved skid resistance for the same reasons
ket opportunities, together with the designated processing • Waterproofing of the surface to reduce or eliminate
equipment, to determine the appropriate site location and water penetration to the sub-base which can result in ice
integrate the production facilities and all other “site spe- cracking and other degradation
cific” data. • Provides a smoother ride
• Greatly reduced traffic noise, both inside and outside the
Once this data has been gathered, a detailed Business vehicle
Plan will be developed exploring the economics of the ven- • A 2” overlay of AR uses about 2,000 scrap tires per lane
ture and providing detailed financial projections including mile

7
Advanced recycling sciences
Overview of business projects II

ARS is working with a US industry leader who has deliv- and other industrial rubber products including automotive
ered numerous sets of specialized “hot mix” Asphalt Rub- components.
ber blending equipment to the top US road building and
civil engineering contractors based on quality, outstanding Through this collaboration and funding the Company has
performance and overall reliability with customer support successfully financed a “proof of concept” development
services second to none. ARS will merge the exclusive program for its supercritical fluid (SCF) de-vulcanization
rights to the equipment and technology for Germany. As- process.
phalt Rubber is a blend of 80% Asphalt and 20% Crumb
Rubber. Based on the original Goodyear tire recycling patent, ARS
is focused on this exciting opportunity and has success-
Deutsche Gummi Asphalt GmbH. fully adapted the Goodyear patent to utilize more eco-
(www.deutschegummiasphalt.de) nomical materials resulting in a new, world class material
and new Company owned patents.

This company will own and operate the asphalt rubber Development programs have already been initiated with
blending equipment. Once the new Company is formed, tire companies and industrial rubber companies in the
DGA will seek to work with existing paving contractors in US and Europe in which in-process cured scrap will be
Germany (as a service provider to the existing road build- treated with the Revultec process and returned to the cus-
ing industry) and work with them in conjunction with Ger- tomer for evaluation.
man state contracts wherein DGA will be an authorized
vendor for Asphalt Rubber road paving. Also, the plastic industry presents a huge additional op-
portunity for the Revultec process and resources will be
Revultec, Inc. deployed in this field from early 2009 to develop further
(www.revultec.com ) process enhancements so that these materials can be
successfully recycled as well.

The Company is an ARS majority owned subsidiary


operating as a joint venture company with the Rashid S.
Al Rashid Group in Saudi Arabia. The company is a de-
velopment stage company with plans to commercialize a
process called “liquid rubber” (LR) that reclaims (de-vul-
canizes) scrap tire and industrial rubber in its original form
to re-use with higher content levels, for making new tires

8
Advanced recycling sciences
Project consulting I

ARS has developed Feasibility Studies for various tire re- Project Validation Research
cycling projects around the world, incorporating tire sourc- & Business Plan Development
ing, shredding, granulating, local product manufacture, as
well as devulcanization of crumb rubber for incorporation
into new tire manufacture. Also, further work has been un-
dertaken in the US with prominent tire companies includ-
ing Goodyear and a number of industrial rubber companies
as well. A wealth of hands-on experience and intellectual
property rights has been gained in the international market-
place associated with these projects.

Work assignments have covered various tasks including,


market research, technology sourcing and integration into
a market study and Business Plan, characterizing the po-
tential for the construction of an integrated tire recycling fa-
cility combined with after-market product development op-
portunities in various fields; including but not limited to floor The ARS Project Consulting Division has the experience
tile and continuous roll pressed flooring products, devulca- and knowledge to assist clients with the development of
nization for new tire manufacture, asphalt rubber and other a successful business strategy combined with creating a
high volume crumb rubber consumption applications. professional project business plan, based on more than
15+ years of industry experience working on tire recycling
ARS is able to prepare a detailed study, which will char- projects located in the US and around the world, including
acterize the market for the construction of a technology Canada, Mexico, Europe, Saudi Arabia and China.
specific tire recycling plant and generally describe the mar-
ket opportunities, together with the designated processing Most technology manufacturers are unable or unwilling
equipment, determine the appropriate site location and in- to provide these services because they do not have the
tegrate the production facilities and all other “site specific” knowledge to determine exactly what the best end-prod-
data. ucts are for a specific region, and they generally only have
individual pieces of equipment (there are many individual
Once this data has been gathered, a detailed Business Plan components in a typical tire recycling system capable of
will be developed exploring the economics of the venture processing up to 2-3 million tires annually), so they leave
and providing detailed financial projections including any it up to the client to figure out all of these variables for
local financial incentive programs which may be available. themselves.

9
Advanced recycling sciences
Project consulting II

Most after-market product technology providers are un- business interests. Dr. Farone has developed patented
willing to even demonstrate their machines in operation technology which integrates chemical monitoring based
for fear of losing their competitive advantage! on Fourier Transform Infrared Spectroscopy with custom
hardware and software to control chemical and biochemi-
At ARS, we have the advantage of knowing some of the cal processes. Dr. Farone has also served as expert
best equipment manufacturing companies you will need, witness in a wide variety of litigation related to energy
coupled with extensive research and development exper- production, biotechnology, chemical measurements and
tise, combined with associates working in the field of end environmental issues.


product development and manufacturing. Most of the in-
formation we provide is both confidential and proprietary
and therefore we will define our client working relationship
within a non-disclosure agreement.

Scientific Advisory Board:

Our Scientific Advisory Board is comprised of eminent sci-


entists and experts in their fields from prominent educa-
tional institutes and private commercial industries.



Dr. Bill Farone - President and CEO of Applied Power


Concepts, Inc., developers of chemical technology and
biotechnology.

 Dr. Farone / APC Lab’s achievements in-
clude developing business and financial plans as well as
patentable, economical technology for client companies
involved in biotechnology, chemical production and en-
ergy production.

Projects involved range from $15,000,000 to $150,000,000


in asset worth. Dr. Farone is also involved as Officer or
Director with several other companies with common

10
ast-paving.com
Advanced surfacing technologies I

For over 30 years, researchers and engineers in the to patch existing signs of wear-and-tear, but also for major
United States and Canada have been experimenting and projects including highways, residential streets and heav-
testing the concept of adding crumb rubber to asphalt on ily used truck routes.
roadways, runways and other pavements. Advanced Re-
cycling Sciences, Inc. (ARS), through its subsidiary Ad- It is evident that the use of asphalt rubber on highways
vanced Surfacing Technologies, Inc. (AST), has followed and city/subdivision roadways of the world, in airport run-
this research for over half a decade and has become ways and mall parking lots, is the wave of the future. This
deeply involved in the processes and the equipment. proven technology and application will eventually spread
world-wide and will not only contribute to longer lasting,
safer and more quiet vehicle surfaces but will provide
a major incentive to recycle the unsightly and environ-
mentally damaging piles of scrap tires that disfigure the
landscape, and thus reuse a non-renewable natural re-
source.

AST, through its involvement in this emerging industry, in-


tends to vigorously and energetically contribute to both the
transfer of the technology to business and governments
of other countries and to the supply of the necessary tech-

Research and development has established beyond a


doubt that, in most applications, asphalt rubber makes
roadways safer and more durable. The tougher the condi-
tions the more advantages asphalt rubber has over con-
ventional asphalt. It flexes in freeze-and-thaw conditions,
resists wear from tire chains on vehicles as well as from
regular use, it doesn’t rut and crack as easily as conven-
tional asphalt and it lasts much longer than many other
paving materials.

Many states, including California, Arizona, Florida, New


Mexico and Texas, use asphalt rubber routinely, not just

11
ast-paving.com
Advanced surfacing technologies II

nology, equipment and engineering requirements needed tion with the Association to educate and promote the
to make asphalt rubber technology a practical, econom- use and unique advantages of asphalt rubber in Europe
ic and environmentally friendly practice throughout the and elsewhere around the world where AST operates.
world. In conjunction with the Rubber Pavement Association,
we are pleased to make available a video presentation
In August 2008, AST signed an exclusive representation called “Road to the Future” a 12 minute audio/video cov-
agreement with D+H Equipment (Cox Paving) a US com- ering the benefits, the costs and production techniques
pany established in 1967, specializing in the manufacture associated with crumb rubber modified asphalt paving.
of proprietary asphalt rubber blending and reaction sys- See the “Media Section” on the AST web site:
tems which will be deployed in Germany and later else- www.ast-paving.com

Also, via the AST parent company ARS, a full tire recycling
vendor technology portfolio can be provided to clients
who wish to set up a full tire recycling processing plant.
Additional proprietary and patented equipment for a uni-
versity developed Revultec™ devulcanization technology
is likewise available. ARS also provides development and
production of project design and feasibility programs.

where in Europe.
Under the terms of the agreement, AST will utilize its Eu-
ropean sales and marketing infrastructure (which will be
formed once an AST subsidiary is established in Germany
during 2009), to sell a wide range of asphalt rubber blend-
ing technology and products to the forefront of the Euro-
pean road building industry.

AST is an associate member of the Arizona based Rub-


ber Pavements Association (RPA) and work in conjunc-

12
deutschegummiasphalt.de
Deutsche Gummi Asphalt
ARS is in the process of forming a new Germany Com- In 2002 ARS provided the German state government of
pany, Deutsche Gummi Asphalt, GmbH (DGA). Roads Mecklenberg-Vorpommern with an eleven (11Km) pilot
paved with Asphalt Rubber are made up of a blend of Bi- road project with the view to independently monitor the
tumen and crumb rubber which is mixed with aggregate project performance of the then state-of-the-art American
to integrate the flexible properties of tire rubber into liquid established Asphalt Rubber characteristics, by then well
asphalt cement producing a binder material that is resis- established in the Western United States. Since that time
tant to cracking. Experts say this can translate directly into tremendous advances have been made in the industry and
roads that last up to three times longer and require less the ARS technology reflects those improvements.
maintenance while significantly reducing noise levels and
braking distances. ARS has made every effort to inform and keep up to date
BAST (Federal Highway Research Institute) with the latest
ARS is working with a US industry leader who has deliv- technological advances in asphalt rubber technology and
ered numerous sets of specialized “hot mix” Asphalt Rub- design. BAST has now agreed to sanction several auto-
ber blending equipment to the top US road building and bahn test road sections in Germany.
civil engineering contractors based on quality, outstanding
performance and overall reliability with customer support ARS has also kept the ADAC e.V. (Verkehrspolitik und Ver-
services second to none. ARS will merge the exclusive brauncherschutz Verkehr und Umwelt) informed about the
rights to the equipment and technology for Germany. As- noise reduction properties of asphalt rubber. ADAC has
phalt Rubber is a blend of 80% Asphalt and 20% Crumb already published reports covering noise reduction objec-
Rubber. tives of the EU and Germany and will monitor all the DGA
asphalt rubber roads as part of their ongoing directive.
This Company will obtain the intellectual property devel-
oped through years of research and development along Highlights of Asphalt Rubber Road Paving:
with actual test roads provided by ARS. ARS is able to de-
liver specialized proprietary technology commonly known • Greatly reduced traffic noise, both inside and outside the
as “Asphalt Rubber” blending equipment for sale in Ger- vehicle
many. Once the new Company is formed, DGA will seek • Enhanced braking safety through better traction and im-
to work with existing paving contractors in Germany (as a proved surface water dissipation
service provider to the existing road building industry) and • Improved skid resistance for the same reasons
work with them in conjunction with German state entities • Waterproofing of the surface to reduce or eliminate water
wherein DGA will be an authorized vendor for Asphalt Rub- penetration to the sub-base which can result in ice crack-
ber road paving. ing and other degradation
• Provides a smoother ride

13
revultec.com
revultec I

REVULTEC, Inc., is a subsidiary of Advanced Recycling Based on the Rubber Manufacturer’s Association (RMA)
Sciences, Inc., and is a joint venture with the Rashid S. Report of November 2006, there are 300+ million scrap
Al Rashid Group in Saudi Arabia. The company is a de- tires generated annually in the United States (one per per-
velopment stage company with plans to commercialize a son per year). In addition, about 2 billion scrap tires have
process called “liquid rubber” (LR) that reclaims (de-vul- accumulated in stockpiles. A tire is a thermoset material
canizes) scrap tire and industrial rubber in its original form that contains cross-link molecules of sulfur and other
to re-use with higher content levels, for making new tires chemicals, as well as a gallon of oil equivalent per tire.
and other industrial rubber products including automotive This makes scrap tires very stable and nearly impossible
components. to degrade under ambient conditions.

Utilization of scrap tires should minimize environmental


impact and maximize conservation of natural resources.
As a result, both government agencies and environmental
groups have strongly supported scrap tire management
programs. Each US state has its own scrap tire laws and
regulations regarding scrap tire storage, collection, pro-
cessing and use. The regulatory practices include landfill
bans and scrap tire disposal fees. Scrap tires can be recy-
cled into crumb rubber for use in hundreds of products.

Revultec is dedicated to developing innovative technology


to make a major contribution to the recycling industry and
contribute to “Landfill Free” recycling programs in order to
divert waste tires and various plastic products from land-
fills by creating a new and innovative truly devulcanized
material suitable for many product applications including
new tire manufacture, industrial rubber products and con-
struction markets for waterproofing, sealants, water/vapor
barriers.

14
revultec.com
Revultec II

It is clear that the tire industry is one of the biggest po- NON-TIRE APPLICATIONS:
tential users of Revultec devulcanized crumb rubber, with Manufacturers of industrial rubber goods (hoses, belts,
potential consumption in the millions of pounds per year. seals, molded products, etc) tend to be much smaller than
All tire companies are under constant pressure from in- tire companies, and are geographically widely dispersed.
creasing raw material costs, and there is a growing con- However, because their products are generally not as
cern that governments may mandate the use of scrap highly engineered as tires, their development cycles tend
tire-derived materials in new tire production. Given these to be shorter and they are more likely to be “early adopt-
factors, tire companies should look favorably on a ma- ers” of new technologies such as Revultec LR. Another
consideration is that molding processes tend to generate
relatively high levels of in-process cured scrap. The Re-
vultec process could be presented as a means of devul-
canizing this in-process scrap for reuse, thus avoiding
disposal costs.

OTHER MARKETING OPPORTUNITIES:


The plastic industry presents a huge opportunity for the
Revultec process and resources will be deployed in this
field from early 2009 to develop further process enhance-
ments so that these materials can be successfully recy-
cled as well.

terial such as Revultec LR, which may offer lower cost


and better performance than other recycle materials now
available. However, in order for tire companies to accept
our material they must conduct extensive laboratory, track,
and field testing in order to qualify new materials for use in
tires. Therefore we anticipate that a minimum of 6 months
to a year may be required before commercial sales could
be expected.

15
revultec.com
Revultec III
Scrap Tire Recycling Industrial Rubber Recycling

Revultec has developed a process that can produce a Development programs have already been initiated
variety of butyl rubber mixtures from tire crumb. The with automotive component manufacturing compa-
process devulcanizes and solubilizes the tire crumb nies in Europe in which in-process cured scrap will be
into a viscous fluid using supercritical fluid technology. treated with the Revultec process and returned to the
customer for evaluation. 

The materials can be used in rubber formulations both Two prominent automobile rubber component manu-
using organic solvents or mixed with latex (or other facturers in Germany are presently evaluating the
polymers) in water based applications. Since the ma- Revultec process for the recycling of EPDM and TPE
terial is made from recycled tires it does contain car- compounds and initial test results suggest that this will
bon, zinc oxide and some silica. provide excellent results and further tests are under-
way.

The Revultec process can adapt this material to a wide


Revultec in collaboration with Applied Power Concepts
variety of uses. That is, by varying the residence time
is developing construction industry applications for a
of the reaction, the supercritical fluid to tire crumb ratio
potential gas vapor membrane used in brown field re-
or the pressure and temperature a repeatable profile
mediation, as well as advanced roofing compounds
can be obtained for a specific application.
and paints.

16
CONTACT
Advanced Recycling Sciences, Inc.
411 E. Julianna Street
Anaheim, CA 92801

Contact: Keith J. Fryer / President

Tel: 714-502-1150 Ext. 148


Fax: 714-502-2450
Email: info@arsciences.com
Web: www.arsciences.com

Revultec, Inc.
411 E. Julianna Street
Anaheim, CA 92801

Tel: 714-503-1150 ext. 148


Email: info@revultec.com
Web: www.revultec.com

Advanced Surfacing Technologies, Inc.


www.ast-paving.com

Deutsche Gummi Asphalt GmbH


www.deutschegummiasphalt.de

© Advanced Recycling Sciences, Inc. / August 2010 / All rights Reserved. ARS/KJF/RZ/08-09-2010

www. arsciences .com 17

You might also like