Tire Recycler Inks Deal with Malaysian Firm

The Tirex Corp. announced that Simpro S.p.A., located in Torino, Italy, has signed a Memorandum of Understanding of about $20.8 million with Enchantex Solutions of Malaysia to manufacture, deliver, commission and warrant a turnkey tire recycling facility using Tirex’s tire recycling technology, the TCS System.

“This is a major milestone for Tirex and our TCS technology as it begins the production of the first commercial tire recycling system to freeze tire rubber with cold air as opposed to using expensive liquid nitrogen,” according to Tirex’s CEO John Threshie, Jr.

“The completion of the TCS purchase agreement(s) will allow us to offer reduced price points of its higher value-added crumb rubber ideally suited as infill in the expanding and lucrative synthetic turf industry,” Threshie pointed out.

Simpro is licensed by Tirex to manufacture, install, commission and warrant turnkey TCS facilities and offer a performance bond guarantee.

The MoU is subject to the approval of the boards of directors of all parties, among other things, and is subject to change. The MOU must be ratified by all parties in its final form by July 20, 2009 at a scheduled meeting to close and sign a TCS purchase agreement.