Barnesville, Georgia--(Newsfile Corp. - January 14, 2019) - Attis Industries Inc. (NASDAQ: ATIS) is a diversified company with operations across the healthcare and biomass industries. After the successful divestment of its waste management services business in early 2018, the management is focusing on the biofuels market.
With its new proprietary technology in place, the Attis management believes that it will achieve a high economic yield on biomass. At the heart of the company's efficiency gains is its ability to maximize the commercial potential of lignin, which is a complex organic polymer found in the cell walls of most plants, making them rigid and woody.
Lignin is the second most prevalent abundant natural polymer in the world, surpassed only by cellulose, and is usually a waste output in traditional biomass processing plants. Pulp mills produce about 50 million metric tons of lignin annually, but only 2% of lignin is used for commercial purposes. For Attis, melt flowable lignin will be processed for use in various plastics applications, including bioplastics, carbon fiber, adhesives, and renewable fuels. Management estimates significant potential to impact these markets, with Attis' technology offering the potential to replace up to 25% of fossil fuel content used in the manufacture of some polyethylene and polypropylene plastics applications without compromising tensile strength. A similar opportunity exists within the carbon fiber market which is expected to aid Attis in entering the automobile sector.
However, the highlight of Attis' new offerings is its bioprocessing technology for renewable fuels. The management is using conventional processing methods to convert biomass and its high purity lignin into drop in fuels such as gasoline and diesel, with more than a 60% reduction in greenhouse gas emissions.
For the processing, the company has signed a letter of intent to purchase a 32-acre site in Barnesville, GA for their first commercial-scale bio-refinery. This refinery is strategically located in Georgia, providing ample feedstock supply and positioned to benefit from existing logistics and infrastructure. Attis expects the facility to have production capacity of 30,000 tons per year of pulp for sale into conventional pulp and paper markets, and as a feedstock for renewable fuel production. In addition, the company will manufacture 20,000 tons per year of a unique, melt flowable form of lignin, which is expected to generate about 50% more revenue per ton than conventional methods.
The management expects the Barnesville bio-refinery to generate $35 million of annualized revenue and also create a significant number rural jobs, to benefit the overall economy of the US.
About Attis Industries
Attis Industries Inc. is based in Milton, GA, a suburb of Atlanta. Attis is a holding company focused on advancing businesses that developing technology with the potential to bring about transformative change. The company is run by CEO Jeff Cosman, a former professional baseball player drafted by the New York Mets who has gone on to be a leading executive in the waste management, healthcare, and telecommunications industries. Attis divested its waste management services business to private equity firm Warren Equity at an enterprise value of over $100 million and operates two core business units today: Attis Innovations and Attis Healthcare. Attis Innovations has a highly differentiated approach to biomass processing that is centered around cost-efficiently harnessing the potential of cellulose and lignin for the creation of high value bio-based products. Attis Healthcare offers a suite of laboratory testing and therapeutic solutions provided to more than 200 pharmacies, clinics, hospitals, and healthcare providers across the United States. For more details about Attis Industries, please visit http://www.attisind.com.
Important Cautions Regarding Forward-Looking Statements
Certain matters discussed in this press release may be forward-looking statements. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; acceptance of the Company's products in the market; the Company's success in obtaining new customers; the Company's success in product development; the Company's ability to execute its business model and strategic plans; the Company's success in integrating acquired entities and assets, and all the risks and related information described from time to time in the Company's filings with the Securities and Exchange Commission ("SEC"), including the financial statements and related information contained in the Company's Annual Report on Form 10-K and interim Quarterly Reports on Form 10-Q. Examples of forward-looking statements in this release may include statements related to our strategic focus, product verticals, anticipated revenue, and profitability. The Company assumes no obligation to update the cautionary information in this release.
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