- Carbonxt Group is a manufacturer of patented activated carbon products designed to treat toxic pollutants in both air and water.
- Carbonxt currently has an addressable US market of US$290 million with a 5 percent market share. Its recently finalized joint partnership with Kentucky Carbon Processing has the potential to increase this market to more than $900 million.
- Together, Kentucky Carbon Processing and Carbonxt will form the joint venture company NewCarbon, affording Carbonxt several advantages:
- Increased US-based production capacity to 21,000 tons with the potential for further expansion.
- Control over input costs, considerably improving base margins.
- High-quality raw materials.
- In the near future, much of Carbonxt's growth will be driven by the United States Environmental Protection Agency's increasing regulation of PFAS.
- There are currently 50,000 water utility companies in the United States, 4,000 of which serve 10,000 or more customers. Collectively, they account for roughly 50 percent of the granular activated carbon market with annual expenditures of over US$300 million.
- Carbonxt is well-positioned to serve these companies, providing activated carbon pellets that offer improved filtration with a lower pressure drop as a replacement for granular activated carbon.
- The company is working with Kentucky Carbon Processing to convert the Inez waste-to-energy plant into an activated carbon plant. It expects the new plant to be operational by the end of 2023.
- In addition to a highly experienced leadership team, Carbonxt’s strong revenue and earnings growth potential from NewCarbon make the company an attractive investment prospect.
Most people don't realize how important activated carbon is in our day-to-day lives — or the role it plays in both emissions compliance and overall safety. Typically derived from sources such as coconut husks and coal, activated carbon is among the most common ways to filter contaminants from both water and air.
Activated carbon is so named because the process by which it's produced oxidizes the carbon, 'activating’ a series of small, low-volume pores that considerably increase its surface area. There are a few different methods for producing the material, including carbonization, gas treatment and chemical treatment.
Activated carbon is incredibly microporous. A single gram of the material has a total surface area of over a thousand square meters. This characteristic, along with its capacity to attract and retain organic chemicals, makes it invaluable for a wide range of use cases across multiple industries, including healthcare, chemistry, agriculture, oil & gas and even food preparation.