I relation to your downside point 5;
It solves a serious environmental problem with what appears to be little waste. Though I wonder if the gap between dumping the tires versus recycling is large enough at the point of origin.
The proposed $50 a tonne to dump the tires will come down overtime as automation takes effect. Logistics will move to electric vehicles and potentially be made driverless which will drive the cost to dump the tires right down.
On the flip side increases in the cost of inputs (think energy to run the burner and wages to operators) will cause the cost per tonne to recycle to increase.
Feel free to shoot holes in my logic as I am largely free styling with what I know from similar businesses.
Today this isn’t a concern but looking 5 -10 yrs down the road the picture might look a lot different.
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