Market Overview
Market Overview
The Time is Now
Almost every developed country in the world has a mandate to blend renewable fuels. Cielo intends to sell into this growing market. Mandates from federal, provincial and world governments for greener energy supplies make this the right time for wood by-product-to-fuel production.
The world’s energy needs continue to rise
There is a global need to reduce demand for fossil fuels
Numerous government mandates are being imposed for greener energy supplies
Railway ties represent an efficient input to generate low carbon intensity fuels
Conventionally Sourced Fuel Costs are Rising
Generally, price per litre of traditional “through the drill bit” production and fuel prices are ever increasing, both in production costs and prices incurred by the consumer. Renewable and biofuels demand a premium in many jurisdictions and offer the opportunity for additional revenue.
Cielo’s By-Product-to-Fuel Solution:
Early Mover in a Growing Global Market
Generally, price per litre of traditional “through the drill bit” production and fuel prices are ever increasing, both in production costs and prices incurred by the consumer. Renewable and biofuels demand a premium in many jurisdictions and offer the opportunity for additional revenue.
By-product management has become one of the largest, fastest growing solutions industries and Cielo’s proprietary technology cleanly converts by-product materials into high-quality transportation fuels.
Transforming Railway Ties Into Profitable, Renewable Fuel
Cielo has an exclusive licence in Canada for patented EBTL™and BGTL™technologies and related intellectual property and an exclusive licence in the United States for creosote and treated wood by-products. Our goal is to build facilities that process wood by-products (biomass), specifically hardwood railway ties, for the production of net zero Bio-SynDiesel™
Railway Ties
Large & Growing Serviceable Market
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There is an expansive supply of existing railway ties which continues to grow, with wood representing >90% of all new railway ties in North America.
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~21 million wood ties need to be replaced each year in North America.
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Rail industry under systemic pressure globally to responsibly dispose of the scrap railway ties.
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Currently available options for disposal, such as burning for cogeneration or sending to landfills, are increasingly unacceptable or no longer viable at all due to changing environmental regulations in both Canada and the US.
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Rail companies are facing elevated scrutiny and pressure from shareholders to embrace ESG policies.
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Not only is there an expectation that scrap ties will be disposed of responsibly, but also that the rail companies will burn a cleaner fuel in locomotives – both of which our technology accomplishes.
Cielo's Renewable Cycle for Railway Ties
