A G R E EN, E C ONOMI C S O LUT I ON

Introduction for carbon black users4Q -2019

Delta-Energy Group – who are we?

Put simply…we recover chemicals from post-consumer scrap tire rubber

Partnering with Delta-Energy means

• Lower raw materials costs → Protection from 2020 virgin CB price increases

• Higher recycled content → lower carbon footprint

• Excellent customer & technical service

Delta-Energy Group history

Roles of current equity stakeholders

• RJ Lee Group – Our founder and technical support partner

• Bridgestone – Our first outside investor and a current customer

• CCI – Our majority owner and growth partner

1999 → 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

DEPolymerization developed at

laboratory scale

3 reactor versions developed. Version 3 delivers first commercial

truckloads of rCB

DE running limited campaigns for market development. Supplying 3 major customers with

commercial scale quantities.

Equipment installed in

Natchez, MS

Reactor 1 upgraded. Reactors

2-4 installed

Delta-Energy, LLC founded

Delta-Energy Group founded(DE & Bridgestone JV)

CCI becomes majority investor and funds Natchez expansion

Bridgestone approves DE Black in consumer tires

Recession start Oil price drop

Full CapacityAt End 2019

First commercial products sold

DEPolymerization™• Unique → catalyzed, continuous and hundreds of degrees lower than typical pyrolysis• Preserves surface area and structure of original carbon black

The Delta-Energy difference

Delta-Energy carbon finishing process• Enables full access to the recovered carbon black surface• Increased reinforcement and ultimate compound durability

The Delta-Energy finishing process allows our customers to take full

advantage of D-E Black®

D-E Black®

• D-E Black is a blend carbon black materials typically found in consumer tires

• Our low temperature DEPolymerization™ process enables us preserve the original structure and surface area

• Colloidal testing is shown for illustration purposes only and is not predictive of compound performance.→ Testing in your specific compound is required

Typical pyrolysis charLoss of surface area and void volume…graphite

formation

D-E Black®Similar surface area and void volume

Virgin N326

Graphite

Same performance time after time

• D-E Black shows 100% modulus equivalent to virgin N762 with improved tensile and elongation

D-E Black® has insignificant

impact on cure rate

Typical max substitution rates

N700 Up to 100%

N600 Up to 100%

N550 Up to 50%

N300 Up to 30%

D-E Black® shows same

100% modulus

How much D-E Black®can you use?

Every rubber application is different. How you use D-E Black® depends on your formula’s performance requirements.

Look for our Product Application Guides at deltaenergy.com.

D-E Black® CO2 impact reduced by 86%

Virgin Carbon Black

(consumes oil)

Delta Energy Process

(produces oil)

CO2 (waste): 2 tonCO2 (waste): Less than 0.28 tons

1.73 tons of Oil and Gas

(444 gallons #6 equivalent)

DESolvTM : 3055 lbs

(392 gal)

Virgin Carbon Black:

1 ton (2000 lbs)

D-E Black™:

1 ton (2000 lbs)

D-E Gas™ : 432 lbs

(3460 cubic feet)

2.75 tons of tire chips

CO2 86% & saves 840 gallons of oil

Page 7Coming soon: see deltaenergy.com for the CO2 savings report

Phoenix Black® reduce carbon footprint

~62% CO2 footprint reduction by using Phoenix Black

Ingredients PHRFormula

weight

Ingredient CO2 contribution per ton of compound

Virgin carbon black, ton Phoenix Black, ton

SBR 100 0.61 0.23 0.23

Black Filler 50 0.31 0.74 0.14

Curatives 9 0.06 - -

Antidegradants 4 0.02 - -

Total 163 1.00 0.97 0.37

Page 8

Example rubber formula

Natchez, MS plant highlights

Our fully-funded plant

• Finished plant - ~840MT/Mo by the end of 2019• 4 DEPolymerizationTM reactors → installed and running• 2 state-of-the art finishing lines → one installed and running, second by mid-December 2019.

Packaging

• Delivery in 1MT semi-bulk bags → 44,100lb/truckload

• Bulk truck loading capability

• Pre-weighed bag options available

For technical information or samples…Dave Abdallah – VP Sales & Marketing

dabdallah@deltaenergy.com

330-328-6979

deltaenergy.com