Winnipeg, MB (PRWEB) December 08, 2011
Blue Diamond Technologies, LTD, ECO/BDT and Insigma Technology Co., Ltd. have formed a joint venture for establishment of as many as 13 facilities for production of reusable crumb rubber, clean steel and fiber from used vehicle tires. The joint venture, with initial funding of $8 million U.S. and exclusive rights for use of Blue Diamond Technologies, LTD’s patented process in China, will complete incorporation during January, 2012. The first facility, located in 60,000 square feet in Hangzhou, China, the capital of Zhejiang Province, will begin operations during the fourth quarter of 2012.
Once the first facility becomes operational, the joint venture partners anticipate the rapid establishment of an additional 12 facilities in other industrial regions of China. ECO BDT will turnkey all recycling projects in China. In total, the joint venture agreement may result in funding exceeding $100 million U.S. The government of the People’s Republic of China is supplementing the investments of the joint venture partners with public incentives.
Blue Diamond Technologies, LTD, the Canadian company engaged in the commercialization of its patents addressing large-scale global needs, is providing the joint venture with a clean process for breakdown of used tires into valuable crumb rubber without need for harmful environmental emissions. The high mesh, high quality crumb rubber will replace virgin materials presently required by Chinese companies producing rubber and polymer goods such as vehicle tires, gaskets, car parts, consumer products, and injection mold items.
Visitors to the Hangzhou, China facility will see the joint venture workers employing water-based technology for separation of a steady flow of old tires into clean, reusable industrial material. The process includes capture and re-use of the water used for materials separation.
Business units of Blue Diamond Technologies, LTD, Winnipeg, MB employ technologies developed by the company for generation of renewable energy and for extraction of value from waste streams. In operation in Canada are Blue Diamond Technologies, LTD inline waste effluent systems designed to economically remove nutrients from waste effluent created by the agricultural sector and human waste water. In addition, Blue Diamond Technologies is actively developing waste-to- energy projects in Vietnam.
With China experiencing the annual creation of 300 million scrap tires, Insigma and ECO BDT began planning for a joint venture in October, 2010. According to Hamburg, Germany-based trading and consulting organization Rubber Crumbs International, because of rising energy costs and increasing industrial demand, the price of crumb rubber increased 85 percent during 2011, after an increase of 92 percent during 2009/2010.
Insigma Technology Co., Ltd.’s due diligence included travel to the United States for viewing of Blue Diamond Technologies, LTD’s system in operation at a Minnesota location. Insigma Technology Co., Ltd., which has annual sales in excess of $1 billion, is part of an Insigma group of companies active in manufacturing and information technology industries, including joint ventures with U.S. companies General Electric and Microsoft. Insigma’s global headquarters office is in Hangzhou, China.
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For the original version on PRWeb visit: http://www.prweb.com/releases/prweb2011/12/prweb9020190.htm