Anellotech Breaks Ground on TCat-8™ in Silsbee, Texas

January 27, 2016
David Sudolsky, CEO of Anellotech and Simon Upfill-Brown, CEO of Trecora Resources, break ground on TCat-8 in Silsbee, Texas.
Operational in 2016, TCat-8 to confirm viability and suitability of Bio-TCat™ process for scale-up and commercialization

Pearl River, New York – January 27, 2016 – Anellotech, a sustainable technology company focused on producing cost-competitive renewable chemicals from non-food biomass, today announced that the Company has broken ground on the installation of its fully-integrated development and testing facility (TCat-8™). Construction of a building and related facilities to house the pre-built unit began today in Silsbee, Hardin County, Texas, on the site of Anellotech’s operating partner, South Hampton Resources (SHR), a wholly owned subsidiary of Trecora Resources (NYSE: TREC). SHR received the building permit from the Texas Commission on Environmental Quality on January 20th.

As an integral component in the bio-based value chain, Anellotech’s proprietary thermal catalytic biomass conversion technology (Bio-TCat™) cost-competitively produces “drop-in” green aromatic chemicals (benzene, toluene and xylenes, “BTX”) from non-food biomass. Scheduled to be fully installed and operational during 2016, TCat-8 will confirm the viability and suitability of the Bio-TCat process for scale-up, and generate the data needed to design commercial plants using Bio-TCat technology. The TCat-8 unit was jointly designed by Anellotech and its R&D partner IFPEN, and will use a novel catalyst under joint development by Anellotech and Johnson Matthey.

Anellotech recently made several key announcements supporting the development and commercialization of its Bio-TCat technology, including:

  • a $7 million first close of a $10 million equity round from a major multinational strategic investor in the BTX supply chain;
  • expansion of a joint R&D effort with its process development and scale-up partner, IFPEN, one of the largest process technology R&D institutions in the world, and;
  • a multi-year partnership with global beverage company Suntory to advance the development and commercialization of cost-competitive 100 percent bio-based PET beverage bottles. The partnership began in 2012 under a collaboration agreement that has provided more than $15 million in funding to date. Following verification of the continuous operation of TCat-8, Suntory plans to move ahead with studies to consider the development of the first commercial-scale Bio-TCat plant.
“We are very pleased to break ground on TCat-8 installation and continue our momentum as we work with our partners towards scale-up and commercialization of the Bio-TCat process,” said David Sudolsky, President and CEO of Anellotech. “I would like to thank the SHR team and Hardin County, as well as all of our employees, partners and investors for helping us achieve this important milestone. We are well-positioned to continue our program to commercialize the Bio-TCat process to cost-competitively produce renewable chemicals from non-food biomass.”

Hardin County Commissioner Chris Kirkendall commented, "It has been a blessing to work with the leadership teams of South Hampton Resources and Anellotech in seeing this project come to life. Hardin County is playing a significant role in supporting innovative products. In particular, we recognize the importance of developing cutting edge resource technologies like the Bio-TCat process. We need to thank Dean Robinson, Jessica Hill, and the Southeast Texas Economic Foundation for their collaborative efforts. Commissioners Court supports the efforts and encourages businesses to take advantage of the resources and work force in the region. Anellotech and its research and development partners are a welcome addition to our business community, and we look forward to watching their progress in Hardin County."

As part of a multi-year R&D collaboration with Anellotech, IFPEN will be integral in the commissioning and operation of TCat-8, leading to commercialization and exclusive licensing of Bio-TCat technology by Axens, Anellotech’s partner for industrialization, commercialization, global licensing and technical support. In addition to extensive activities at its R&D center in Lyon, France, IFPEN will dedicate three, full-time senior engineers and technical experts at SHR’s site in Silsbee for two years to support the efforts, beginning in 2016. Anellotech’s highly collaborative program leverages IFPEN’s specific expertise in catalytic reactor modeling, catalyst regenerator design and aromatics processing to provide additional depth and breadth of experience to the Bio-TCat development program.

About Anellotech

Anellotech is developing the Bio-TCat process to produce cost-competitive renewable aromatic chemicals (benzene, toluene and xylenes, “BTX”) from non-food biomass, in collaboration with IFPEN, Axens, Johnson Matthey, Suntory and other major multinational companies. This proprietary process will provide “drop in” bio-derived BTX as an alternative to their identical petroleum-derived counterparts. By using biomass as a source feedstock for aromatic chemicals, Anellotech is lowering these chemicals’ lifecycle carbon footprint. Anellotech complements its world-class R&D team with in-depth, highly-interactive, and long-term partnerships with leaders in process development, catalysis, engineering design, and licensing to accelerate development and drive cost-competitiveness. IFPEN is our process development and scale-up partner, Johnson Matthey is our catalyst development partner, and Axens is our partner for industrialization, commercialization, global licensing and technical support. Industry-leading strategic partners in the BTX supply chain, including Suntory and another multinational corporate investor that invested $7 million in November 2015, have provided capital to Anellotech. For additional information, please visit: www.anellotech.com

For further information contact:

David Sudolsky Anellotech Inc. +1 (845) 735 7700 DSudolsky@anellotech.com

Cory Ziskind ICR, Inc. (646) 277 1232 cory.ziskind@icrinc.com

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