Transforming old tires into sustainable fuels and chemicals: CIRCTEC choose TopDutch for revolutionary new plant

Tires are incredible pieces of technology – wildly tough products, full of valuable chemicals, that have taken a lot of CO₂ emissions to make. But when they’ve come to the end of their lifecycle, tires are often shipped off to landfills in Africa or Asia, or burned. What if instead we recycled that waste to produce green chemicals for circular plastics, or to make sustainable replacements for fossil fuels? That’s exactly what British firm CIRCTEC will be doing from their commercial-scale plant, currently under construction in the TopDutch region.

The run-up took a long time and was thorough, sometimes even quite intense. But in May, the first shovel was finally driven into the ground at the Oosterhorn-Zuid industrial area in Delfzijl, in the TopDutch region. This was the first step in the construction of a flagship plant for the British tire recycling company, CIRCTEC.

This isn’t just any factory that will soon join the Chemport Europe green chemistry cluster. It will be the largest plant in Europe for the chemical recycling of discarded tires. Through pyrolysis—an extreme heating process without oxygen—around 200,000 tons of used tires will be processed annually in the TopDutch region. To put that in perspective, that’s about 5% of all waste tires in the EU and roughly double the amount generated by Dutch drivers. A total of 28 reactors will be built in two phases. The first phase is expected to be completed by the summer of 2025. Shortly after, further expansion of the factory in Delfzijl will begin.

Green chemicals

"We think of ourselves as a chemical company," says Pieter ter Haar, Director of R&D at CIRCTEC. "Using our own pyrolysis technology, we turn old tires into renewable fuels and green chemicals. For example, we make circular naphtha, a petrochemical feedstock used to produce plastics. CIRCTEC also produces HUPA, a renewable drop-in marine fuel, which can replace fossil fuels. Additionally, our factory will recover the material that gives tires their black color and strength. This recovered carbon black can be used to make new tires and other products".

We can offset 3 to 5% of the CO₂ emissions from the entire Dutch chemical industry.

Pieter ter Haar, Director of R&D at CIRCTEC

Currently, many discarded tires are shipped to Asia or Africa, or burned as fuel in industries like cement production. It's a real waste because this seemingly-useless rubber can actually be perfectly recycled. "New carbon black is made by refining and burning petroleum," explains Pieter. "This is a highly energy-intensive and polluting process. By recovering carbon black instead of making more of it, we can achieve significant environmental benefits. The same goes for our biogenic drop-in fuel, which helps make the shipping industry more sustainable. In fact, once the factory in Delfzijl is fully operational, we can offset 3 to 5% of the CO₂ emissions from the entire Dutch chemical industry."

Accelerating growth

CIRCTEC was founded in 2009 by Allen Timpany and Robert Harper. After developing and refining their technology, they set up a demonstration plant in Poland about ten years ago, followed by the acquisition of a similar plant in Germany a few years later. "Our facility in Poland has grown to be more than just a demonstration plant. We can now process nearly 20,000 tires annually. In other words, we’re ready to accelerate our commercial efforts. That’s why we’re scaling-up in Delfzijl."

The demand for CIRCTEC's products is so high that long-term agreements have already been signed with British Petroleum (BP) and Birla Carbon, one of the world’s largest producers of carbon black. BP has committed to purchasing renewable fuel for ships and circular naphtha, while Birla Carbon has secured an agreement to buy the entire output of recovered carbon black from the new Delfzijl plant. "Even before the plant is fully operational, we're essentially sold out for the coming years," says Pieter.

Sustainable developments

CIRCTEC's developments haven't gone unnoticed in the world of finance. A.P. Møller Holding and NOVO Holdings, two renowned Danish investment funds, decided to invest €75 million in the construction of the new factory. In addition, the Dutch Ministry of Economic Affairs and Climate provided CIRCTEC with a grant through the DEI+ program (Demonstration Energy and Climate Innovation).

The Province of Groningen, the Groninger Groeifonds (Groningen Growth Fund), and the Investment and Development Agency for the Northern Netherlands (NOM) offered their support for the British company’s move to the TopDutch region.

[CIRCTEC] will soon make a vital contribution to creating a future-proof and circular economy across the region.

Sytze Hellinga, Investment Manager at NOM

"CIRCTEC's activities align perfectly with the sustainability goals of Chemport Europe," says Sytze Hellinga, Investment Manager at NOM. "The new factory will undoubtedly give a significant boost to the chemistry and green raw materials ecosystems. But more importantly, the company will soon make a vital contribution to creating a future-proof and circular economy across the region."

Emma Schakel, Investment Manager at Groninger Groeifonds, is also proud that the new factory will soon be located in the region. Not only will it significantly advance sustainability in the chemical industry, but it will also create substantial job opportunities. "We expect it will generate 100 to 150 jobs," she emphasizes. "For a chemical company, that's quite a lot. The impact on the region will be significant in many ways”.

Connections, culture and space

Why did CIRCTEC choose TopDutch? What made a Delfzijl location the right fit? "We were actively searching for a site near water," explains Pieter. "It also needed to be relatively close to the port areas of Amsterdam, Rotterdam, and Antwerp, as our business is closely connected to this ARA region. However, finding a suitable location there proved to be quite challenging. Delfzijl offered more and better space for the factory we were planning. Additionally, we were impressed from the start by the enthusiasm of Groningen Seaports, the Province of Groningen, the Groninger Groeifonds, and NOM to help make this project a success. Our project perfectly aligns with Groningen Seaports' ambition to position the area as Europe's circular hotspot."

The road to breaking ground took time, and sometimes included some speedbumps when it came to the complexities of obtaining permits and meeting environmental regulations. New technologies and processing methods naturally require more time, no matter where you are in the world. "Securing the necessary electricity and process water supply for the factory also proved to be challenging," Pieter reflects, "but thanks to strong regional co-operation, we were able to resolve these issues in a timely manner."

Securing the supply chain

In June, CIRCTEC shared some more exciting news: the company announced its acquisition of Granuband, a leading player in tire collection and recycling in the Benelux region. Granuband will ensure a steady supply of tires for the Delfzijl factory, while continuing to produce its own rubber products in Amsterdam. Pieter explains, "With this acquisition, we can now recycle a significant portion of waste tires on a national scale, effectively closing the recycling loop. This marks the creation of the first integrated circular chain for chemical tire recycling in Europe and is a key step for CIRCTEC in gaining a substantial market share on the continent".