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PROPOSAL FOR A WASTE TIRE PYROLYSIS DEMONSTRATION PROJECT The following is a joint proposal from E Fuels , LLC ( E Fuels) and Preservation Energy , LLC ( PE ) in Joint Venture (JV) to design , erect and operate a pyrolysis unit for demonstration purposes at the IRC Solid Waste Disposal District landfill site . The purpose of this project ( Project) is to demonstrate the ability to convert waste tires to pyrolysis gas , which is recovered for process heat , and other products ( pyrolysis oil , char and steel ) that are marketable , and to demonstrate the ability to operate in a safe and environmentally acceptable manner . TECHNOLOGY Pyrolysis is the thermal decomposition of organic materials in the absence of oxygen into smaller, less complex molecules . The principal products of pyrolysis are pyrolytic gas , oil and char. Pyrolysis historically has been used on a variety of organic substances , including crop and wood wastes , plastics , coal and heavy crude oil . Pyrolysis is also known as destructive distillation , thermal cracking , coking and carbonization . The demonstration pyrolysis unit is commercial scale and designed to process 1 ton of tires per hour . It will convert waste tires to " pyro gas" by exposing prepared feedstock to moderately high temperatures ( 500 degrees Celsius ) under the near absence of oxygen . This gas is condensed to produce " pyro oil " which is directly usable for industrial heating and power generation . It can be refined for use as diesel fuel . The non -condensable gas , similar to natural gas , is returned to the pyrolysis unit to supply process heat . Excess gas can be used for electricity generation or will be flared . Pyrolysis is not incineration . With pyrolysis , the low oxygen environment is key to producing low combustion emissions . This is the primary differentiator between pyrolysis and incineration . With incineration , air is supplied in a greater- than -stoichiometric ratio to combust and destroy the waste materials as completely as possible . Incineration produces emissions of conventional and other pollutants that require robust air pollution control systems . Energy can be recovered from incineration whereby combustion heat is converted to steam or electricity generation . Pyrolysis is essentially a " cooking " process , vs . the " burning " process of incineration , meaning that the organic material is " cooked " down to condensable liquid and gaseous components , and a carbonaceous char. Pyrolysis differs from incineration , in that virtually all of the waste materials are converted into products that are recoverable for energy content and are marketable , while producing low emissions . PROPRIETARY AND CONFIDENTIAL Page 12