A major step forward for Europe’s circular economy strategy has been secured as Thermo Lysi SA, in partnership with Pyrum Innovations AG, received €29.4 million in funding approval from the European Innovation Fund (EIF).
The grant finalizes financing for a €100 million tyre recycling plant in Livanates, Greece, a facility set to process 45,000 tones of end-of-life tyres annually and rank among the continent’s most advanced pyrolysis sites.
The EIF’s involvement underscores the increasing prioritization of industrial-scale recycling solutions capable of addressing Europe’s waste challenges while supporting decarbonization goals. End-of-life tyres, of which the EU generates over 3.5 million tones annually, remain a significant environmental concern due to limited recycling infrastructure and the persistent reliance on incineration and landfilling.
The new Greek plant aims to counter this bottleneck through Pyrum’s proprietary thermolysis process, a closed-loop technology that decomposes rubber waste into secondary raw materials such as recovered carbon black, oil, and gas. Pyrum claims its system achieves net-negative CO₂ emissions by substituting fossil-based feedstocks in downstream industries. However, industry analysts note that pyrolysis technologies still face scrutiny over scalability and product quality consistency — two barriers that have historically slowed commercial adoption.
With six Pyrum reactors forming the technological core, the Livanates facility will be twice the originally planned size, positioning it as a potential benchmark for industrial tyre recycling across Southern Europe. The plant’s design phase, valued at approximately €2.2 million, is already underway. All environmental and building permits have been secured, and construction is scheduled to advance under an EPC (Engineering, Procurement, and Construction) contractor, with commissioning expected after 2026.
For Pyrum, which plans to acquire at least a 10% equity stake in the project, the EIF’s endorsement carries strategic weight. It not only validates the company’s thermolysis approach but also strengthens its financial leverage for future expansion. CEO Pascal Klein characterized the funding as “a clear signal” that Pyrum’s model aligns with EU decarbonization and circular economy objectives.
Still, the sector’s competitive landscape remains challenging. Several EU-backed pyrolysis ventures have struggled to transition from pilot to commercial scale due to feedstock logistics, regulatory inconsistencies between member states, and high capital costs. Greece’s selection as the host country reflects both opportunity and risk: while it benefits from growing regional demand for green industry investment, it also faces infrastructural and policy hurdles that could influence project execution timelines.
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