Environmental Recycling grants exclusive US licence

Plastic destined for US landfills was set to be turned into useful products for the industrial and railway sectors on Friday, with the announcement that Environmental Recycling Technology (ERT) had granted an exclusive licence for the country to James Plastics.

The AIM-traded company hold the patent rights to the Powder Impression Moulding (PIM) process, which was designed to convert mixed waste plastics into commecially viable products.

ERT said the licence to James Plastics allowed for the the manufacture and sale of rigid industrial matting and load-bearing substrates for the industrial sector, and for products for the railway industry within the United States.

Under the terms of the licence, James would pay ERT a royalty twice per year, based on product sold.

"This is a welcome step forward in the development of our relationship with James Plastics' parent company, James Marine, which has been a PIM licensee since August 2012," said ERT chairman Michael Rowan.

"It has been actively developing new applications for our proven PIM technology, and we are delighted that new products will very soon be coming to market," he added.

James Plastics already had an order book, and had invested in product research and development. Production was expected to start soon, with the first royalties paid to ERT in the current half of the calendar year.

At 1300 GMT, shares in Environmental Recycling Technology were flat at 0.08p.