Orion S.A. signs supply agreement for tire pyrolysis oil with Contec S.A.
Orion S.A. (NYSE: OEC) has signed a long-term supply agreement with Contec S.A. for tire pyrolysis oil (TPO) to produce circular carbon black for tire and rubber goods customers. The partnership with Warsaw-based Contec helps Orion diversify its TPO sources.
TPO-based manufacturing represents the only circular technology advancing to industrial production for high-quality active carbon black. The process involves exposing end-of-life tires to high temperatures to create feedstock for virgin carbon black production. Notably, Orion stands as the sole company that has produced circular carbon black using 100% TPO feedstock, demonstrating that their circular products can substitute virgin carbon black in various applications.
Orion S.A. (NYSE: OEC) ha firmato un contratto di fornitura a lungo termine con Contec S.A. per l'olio di pirolisi di pneumatici (TPO) al fine di produrre carbon black circolare per i clienti di pneumatici e articoli in gomma. La partnership con la Contec, con sede a Varsavia, aiuta Orion a diversificare le sue fonti di TPO.
La produzione basata su TPO rappresenta l'unica tecnologia circolare che avanza verso la produzione industriale di carbon black attivo di alta qualità. Il processo prevede l'esposizione di pneumatici a fine vita a temperature elevate per creare materia prima per la produzione di carbon black vergine. È importante notare che Orion è l'unica azienda che ha prodotto carbon black circolare utilizzando il 100% di materia prima TPO, dimostrando che i loro prodotti circolari possono sostituire il carbon black vergine in varie applicazioni.
Orion S.A. (NYSE: OEC) ha firmado un acuerdo de suministro a largo plazo con Contec S.A. para aceite de pirólisis de neumáticos (TPO) con el fin de producir negro de carbono circular para los clientes de neumáticos y productos de caucho. La asociación con Contec, con sede en Varsovia, ayuda a Orion a diversificar sus fuentes de TPO.
La fabricación basada en TPO representa la única tecnología circular que avanza hacia la producción industrial de negro de carbono activo de alta calidad. El proceso implica exponer neumáticos al final de su vida útil a altas temperaturas para crear materia prima para la producción de negro de carbono virgen. Cabe destacar que Orion es la única empresa que ha producido negro de carbono circular utilizando un 100% de materia prima TPO, demostrando que sus productos circulares pueden sustituir al negro de carbono virgen en diversas aplicaciones.
오리온 S.A. (NYSE: OEC)는 콘텍 S.A.와 타이어 열분해유(TPO)에 대한 장기 공급 계약을 체결하여 타이어 및 고무 제품 고객을 위한 순환 탄소 블랙을 생산합니다. 바르샤바에 본사를 둔 콘텍과의 파트너십은 오리온이 TPO 공급원을 다양화하는 데 도움을 줍니다.
TPO 기반 제조는 고품질 활성 탄소 블랙의 산업 생산으로 발전하는 유일한 순환 기술을 나타냅니다. 이 과정은 사용 수명이 다한 타이어를 고온에 노출시켜 새로운 탄소 블랙 생산을 위한 원료를 생성하는 것을 포함합니다. 특히, 오리온은 100% TPO 원료를 사용하여 순환 탄소 블랙을 생산한 유일한 회사로, 이들의 순환 제품이 다양한 용도에서 기존 탄소 블랙을 대체할 수 있음을 입증하고 있습니다.
Orion S.A. (NYSE: OEC) a signé un contrat de fourniture à long terme avec Contec S.A. pour l'huile de pyrolyse de pneus (TPO) afin de produire du noir de carbone circulaire pour ses clients dans le domaine des pneus et des produits en caoutchouc. Le partenariat avec Contec, basé à Varsovie, permet à Orion de diversifier ses sources de TPO.
La fabrication basée sur le TPO représente la seule technologie circulaire qui progresse vers une production industrielle de noir de carbone actif de haute qualité. Ce processus implique l'exposition de pneus en fin de vie à des températures élevées afin de créer des matières premières pour la production de noir de carbone vierge. Il est à noter qu'Orion est la seule entreprise à avoir produit du noir de carbone circulaire en utilisant 100 % de matières premières TPO, prouvant que ses produits circulaires peuvent remplacer le noir de carbone vierge dans diverses applications.
Orion S.A. (NYSE: OEC) hat einen langfristigen Liefervertrag mit Contec S.A. über Reifenschwelöl (TPO) unterzeichnet, um zirkuläres Ruß für Kunden von Reifen und Gummiwaren zu produzieren. Die Partnerschaft mit dem in Warschau ansässigen Unternehmen Contec hilft Orion, seine TPO-Quellen zu diversifizieren.
TPO-basierte Fertigung stellt die einzige zirkuläre Technologie dar, die sich in der industriellen Produktion von hochwertigem aktivem Ruß weiterentwickelt. Der Prozess umfasst das Aussetzen von Altreifen an hohe Temperaturen, um Rohstoffe für die Produktion von jungfräulichem Ruß zu schaffen. Bemerkenswerterweise ist Orion das einzige Unternehmen, das zirkulären Ruß mit 100% TPO-Rohstoffen produziert hat, wobei nachgewiesen wurde, dass ihre zirkulären Produkte in verschiedenen Anwendungen jungfräulichen Ruß ersetzen können.
- Secured long-term TPO supply agreement expanding raw material sourcing
- Only company capable of producing circular carbon black from 100% TPO feedstock
- Demonstrated ability to replace virgin carbon black with circular products
- None.
Insights
This strategic supply agreement marks a pivotal advancement in the specialty chemicals industry's transition toward circular manufacturing. The partnership positions Orion (OEC) as the frontrunner in sustainable carbon black production, with several key competitive advantages:
1. Market Leadership: As the only manufacturer capable of producing carbon black from 100% TPO feedstock, Orion gains significant first-mover advantages in the rapidly growing sustainable materials market. This technological exclusivity creates substantial barriers to entry for competitors.
2. Supply Chain Optimization: The long-term agreement with Contec strengthens Orion's supply chain resilience by diversifying TPO sources, important for scaling circular production capabilities. This helps mitigate raw material risks and ensures consistent supply for growing customer demand.
3. Revenue Growth Potential: The agreement positions Orion to capture premium pricing in the specialty chemicals market, as major tire manufacturers increasingly commit to sustainability targets. The circular carbon black market is projected to experience substantial growth as automotive and rubber goods manufacturers transition to sustainable materials.
4. ESG Value Creation: This initiative addresses two critical environmental challenges: end-of-life tire waste and carbon black production emissions. The circular manufacturing process significantly reduces the carbon footprint compared to traditional methods, enhancing Orion's ESG profile and potentially attracting ESG-focused investors.
This development represents more than just a supply agreement - it's a strategic positioning that could reshape the competitive landscape in specialty chemicals, particularly as regulatory pressures and customer demands for sustainable materials continue to intensify.
The agreement with
“With the ConPyro® TPO supplied by Contec, Orion will be able to make large-scale volumes of circular grades of carbon black that will supply growing demand from the world’s leading tire and rubber goods producers,” Orion CEO Corning Painter said. “This is yet another way that Orion is accelerating the transition to a circular economy.”
TPO-based manufacturing is the only circular technology that is moving into industrial production to produce high-quality active carbon black. The process takes discarded end-of-life tires and exposes them to high temperatures to produce a feedstock Orion can convert into virgin carbon black.
Orion is the only company that has made circular carbon black from
“At Contec, sustainability is one of our core values. This partnership is a clear confirmation to the market that the industry is continuously evolving, and the circular economy is no longer just a vision for the future - thanks to collaboration with Orion, it is becoming a tangible reality today,” said Krzysztof Wróblewski, CEO of Contec S.A.
About Orion S.A.
Orion S.A. (NYSE: OEC) is a leading global supplier of carbon black, a solid form of carbon produced as powder or pellets. The material is made to customers’ exacting specifications for tires, coatings, ink, batteries, plastics and numerous other specialty, high-performance applications.
About Contec S.A.:
Contec S.A. specializes in end-of-life tire processing through chemical recycling, transforming discarded tires into circular, sustainable raw materials. What sets Contec apart is their proprietary Molten® technology, which utilizes molten salt as a heat transfer medium. This innovative approach ensures safer, more efficient, and economically viable production. Since 2017, Contec has been at the forefront of defossilization of the manufacturing industry by providing sustainable alternatives to virgin carbon black and petrochemical raw materials. Their commitment to environmental responsibility and cutting-edge solutions positions them as a leader in the tire recycling landscape.
Forward-Looking Statements
This document contains certain forward-looking statements within the meaning of the
View source version on businesswire.com: https://www.businesswire.com/news/home/20250204261496/en/
Orion Contacts:
William Foreman
Orion S.A.
Director of Corporate Communications
william.foreman@orioncarbons.com
+1 281-889-7833
Christopher Kapsch
Orion S.A.
Vice President of Investor Relations
christopher.kapsch@orioncarbons.com
+1 281-318-4413
Contec Contact:
Anna Goławska
Contec S.A.
Marketing & PR Manager
a.golawska@contec.tech
+48 664 322 088
Source: Orion Engineered Carbons S.A.
FAQ
What is the significance of Orion's (OEC) new TPO supply agreement with Contec?
How does Orion (OEC) create circular carbon black from TPO?
What makes Orion's (OEC) TPO technology unique in the market?
How will the Contec partnership impact Orion's (OEC) circular economy initiatives?
