Resource Holdings expands into recyclables
Matrixx Resource Holdings, Inc. has entered
into an agreement in principle to form a joint venture partnership
engaging in the trading and processing of plastic and metal resources.
To run concurrently with the company’s oil and natural gas program,
Matrixx has agreed to form a subsidiary in which the partnership
will engage in the purchase, sale and processing of plastic and
metal commodities. Matrixx plans to trade and recycle post-consumer
polyethylene (PET) plastic bottles and their HDPE caps and sell
the recycled product to companies in the United States where
there is a high demand for recycled PET products.
The partnership is working on developing a proprietary equipment
design and process that will eliminate the human component in
the sorting process thus creating a more efficient and substantially
more cost effective system than is currently available on the
market today. The long term objective is to build a state of
the art recycling facility in the New York metropolitan area
that will incorporate renewable energy sources and serve as an
education center. The plant would be FDA certified and will be
able to further process the post-consumer plastics into high
quality grades of resin for potential use in food and beverage
containers as well as medical supplies.
Furthermore, the partnership has identified and initiated discussions
for the acquisition of certain processing facilities; and, for
purchase and sales contracts within and around Central and South
America. Included in this formula, the partnership plan provides
for specific collection and sales contracts of specified tradable
commodities, including plastic, brass, copper, aluminum and other
valuable tradable resources.
Under the terms of the agreement, Matrixx will retain a minority
percentage between 25 and 50 percent of the newly formed subsidiary.
To facilitate the transaction, the acting chief executive officer,
Catherine Thompson, has agreed to concede her accrued compensation
on record with Matrixx for the past two years. In addition to
the concessions, certain shareholders, including Thompson, have
agreed to retire approximately 130,000,000 shares of Matrixx
common stock to Treasury.
Additionally, the agreement calls for Matrixx to have managerial
control of the newly formed subsidiary thus allowing the company
to maintain consolidated financials.