| 1 | Compare the complete installed cost | For a plant processing approximately 10 tonnes of waste tyres per day, a typical preliminary budget may be US$700,000–US$1,800,000, excluding land, taxes, financing, and major site infrastructure. | A low equipment quotation may become expensive after adding reactors, condensers, pollution-control equipment, storage tanks, installation, utilities, commissioning, and spare parts. | Request a line-item quotation and identify which costs are excluded from the headline price. |
| 2 | Calculate feedstock and preparation costs | Delivered tyre costs can range from US$0–US$80 per tonne, depending on local disposal fees and collection logistics. Cutting or shredding may add approximately US$15–US$45 per tonne. | A gate fee or free feedstock can materially improve margins, while long-distance transport and intensive pre-processing can reduce or eliminate profitability. | Confirm tyre supply volume, contamination limits, delivery distance, collection cost, and contract duration. |
| 3 | Verify the product yield and quality | A planning mass balance for waste tyres may be approximately 35%–45% pyrolysis oil, 30%–35% recovered carbon material, 10%–15% steel, and 8%–15% non-condensable gas. | Actual yields vary with tyre composition, reactor design, operating temperature, residence time, and product recovery. Quality determines whether products can be sold directly or require upgrading. | Require representative test results, a documented mass balance, product specifications, and independent laboratory analysis. |
| 4 | Estimate recurring operating expenses | A broad preliminary operating-cost range is US$100–US$220 per tonne processed. This may include labor, electricity, start-up fuel, maintenance, consumables, waste handling, insurance, and routine testing. | At 3,000 tonnes per year, operating costs could be approximately US$300,000–US$660,000 annually, before debt service, taxes, and depreciation. | Ask for guaranteed utility consumption, maintenance intervals, staffing requirements, and annual spare-parts budgets. |
| 5 | Model revenue using conservative prices | For a 10-tonne-per-day plant operating 300 days annually, illustrative gross revenue may be US$560,000–US$1,200,000 per year, based on oil at US$350–US$600 per tonne, recovered carbon material at US$50–US$150 per tonne, steel at US$100–US$250 per tonne, and possible gate fees. | Revenue is highly sensitive to local product prices, buyer specifications, storage losses, transportation, sales commissions, and the percentage of operating days achieved. | Use signed offtake discussions or verifiable local market quotations instead of optimistic online price estimates. |
| 6 | Check environmental and compliance costs | Budget separately for permitting, emissions monitoring, fire protection, wastewater control, hazardous-material handling, operator training, and periodic inspections. These costs may represent 5%–15% of the initial project budget, depending on local requirements. | Delayed permits, inadequate emission controls, or non-compliant product handling can cause downtime, retrofit expenses, fines, and loss of buyers. | Obtain written confirmation of applicable permits, emission limits, fire codes, inspection obligations, and waste-product classifications. |
| 7 | Evaluate long-term value and payback sensitivity | Under favorable feedstock and offtake conditions, a preliminary simple payback target may be 2–5 years. Test the project at 70% plant utilization, 20% lower selling prices, and 20% higher operating costs. | A plant with a higher purchase price may create greater long-term value if it offers stronger uptime, lower energy consumption, safer operation, better emissions control, and reliable technical support. | Compare total cost of ownership, expected service life, warranty coverage, spare-parts availability, upgrade options, and resale value. |