Entyr Secures $3.79M Boost for Thermal Desorption R&D
Entyr Limited has received a $3.79 million R&D tax incentive payment for its innovative thermal desorption project targeting rubber waste, reinforcing its position in sustainable tyre recycling technology.
- Entyr received $3.79 million cash R&D tax incentive for 2023/24
- Funding supports thermal desorption technology for rubber waste
- Technology offers low emissions and no hazardous by-products
- Company operates under a Deed of Company Arrangement
- R&D incentive is a 43.5% refundable tax offset from Australian government
Entyr’s R&D Tax Incentive Payment
Entyr Limited (ASX: ETR), an environmental technology company focused on tyre recycling, announced it has received $3.79 million in cash from the Australian Government’s Research and Development (R&D) Tax Incentive program for the 2023/2024 financial year. This payment, which includes interest and precedes associated costs, reflects the company’s eligible expenditure on its core project: the commercial application of thermal desorption technology to rubber waste.
Innovating Sustainable Tyre Recycling
Entyr’s technology represents a significant advancement in waste tyre processing. Unlike conventional methods, its next-generation thermal desorption process operates with low emissions, produces no hazardous by-products, and requires no chemical intervention. This unique approach has met stringent Australian regulatory emissions standards, positioning Entyr as a leader in sustainable tyre waste management.
Financial and Operational Context
The R&D Tax Incentive is a federal government initiative jointly administered by AusIndustry and the Australian Taxation Office, offering eligible companies a 43.5% refundable tax offset on qualifying R&D expenditure. For Entyr, this substantial cash injection provides critical funding to advance its technology development amid ongoing operational challenges, including its current status under a Deed of Company Arrangement (DOCA).
Strategic Implications and Outlook
This funding milestone not only validates Entyr’s innovative approach but also enhances its capacity to commercialise its thermal desorption technology. Given the increasing regulatory and market focus on sustainable waste management solutions, Entyr’s progress could attract further government incentives and industry partnerships. However, the company’s DOCA status remains a factor to monitor as it navigates its financial restructuring and growth ambitions.
Bottom Line?
Entyr’s $3.79 million R&D boost underscores its potential to transform tyre recycling, but financial restructuring risks linger.
Questions in the middle?
- How will Entyr’s Deed of Company Arrangement impact its ability to scale commercial operations?
- What are the timelines for commercial rollout of Entyr’s thermal desorption technology?
- Could further government incentives or partnerships accelerate Entyr’s market penetration?
