KUALA LUMPUR, Malaysia—Green Rubber Global has signed an agreement for about $7.9 million with YMS Process Engineering Pte. Ltd. for the purchase of machinery to support its patented DeLink elastomer recycling process.
News reports from Malaysia said that the company, part of Malaysian technology group, Petra Group, signed the deal for its plant at Putra Industrial Park in Selangor.
According to the reports, the new plant has an area of 25,000 square feet and can produce 25,000 tons of green rubber, which the firm said will be exported. The plant is expected to be completed within four to six months and slated for operations in January 2016.
The new site is part of Petra Group's ambitions to produce 105,000 tons of green rubber per year in the next three years.
To that end, the group announced in late July that it was also investing about $19.2 million in a plant in the United Kingdom.
The green rubber product is similar to virgin rubber that can be used in high-end applications, including tires and automotive parts.
The DeLink recycling process involves micro-blasting technology to recycle rubber and produce green rubber for high-end products.
According to news reports, the new factory will work with a team from Tun Abdul Razak Centre in the United Kingdom, the research arm of the Malaysian Rubber Board.