CalStar gives sneak peek of low-carbon brick factory

Newark, Calif.-based CalStar Products  started production on its pilot line last week, clearing the path to open its first factory for low-carbon bricks in Caledonia, Wis., in December.

The startup, which recently emerged from stealth, makes bricks using fly ash, a byproduct of coal-fired power plants. The company also developed a proprietary mix of standard industrial chemicals that reduces the energy intensity of the entire brick-making process.

“We’re not saying bricks are bad. We’re saying the way they’re made needs to change,” said Kane, who joined the company seven months go after 35 years of working in building materials.

The company is currently raising a $15 million Series C round, with the goal to close it by the end of the year. CalStar previously raised a $7 million Series A, and an $8 million Series B from Enertech Capital and Foundation Capital, Kane told the Cleantech Group.

CalStar’s brick is composed of 40 percent fly ash, 59 percent sand, and 1 percent chemicals. The first step of its proprietary process combines the three elements into a high-precision mixer to achieve uniform consistency. The mixer is also used in the pharmaceutical and food production industries.

See the mixer and brick-making machine at work »

The mixture is then fed into a standard brick-making machine that CalStar bought from China.  

See the bricks fresh off the machine »

Next, CalStar steam-cures the bricks for eight hours, first with a cool mist for three-to-four hours, then at 185 degrees for the remainder. The Wisconsin facility is planned to do this in one location, but the pilot line uses two separate chambers.

See the two curing phases »

CalStar says the low-heat process is key to its environmental footprint. A typical brick is almost entirely made up of clay, which is heated at 3,000 degrees Fahrenheit for 24 to 48 hours—a process that requires significant amounts of energy.

As a result, CalStar says each of its bricks creates 0.2 pounds of carbon dioxide emissions, while a traditional brick produces about 1.3 pounds.

“We’re not going to charge a premium for our product because we don’t have to spend a lot on energy,” Kane said, estimating that a CalStar brick will sell for $0.35, also the average wholesale cost of a traditional brick.

CalsStar has signed up a network of 22 wholesale brick distributors and plans to expand it to 30 to 35 before production begins at the Caledonia plant. CalStar then wants to build six more plants in the U.S. in the next five years.

The company has no immediate plans to sell to the global market, Kane said. That’s because CalStar’s process is dependent on a particular type of fly ash—Class C fly ash, or powder river basin coal fly ash—that is found more commonly in the United States. CalStar is able to avoid using clay because the fly ash contains calcium, which acts and looks similar to clay, Kane said.

See the fly ash »  

Initially, CalStar plans to produce bricks and pavers but wants to expand its product offerings to include the entire wholesale building materials market, which is estimated at $11 billion in the U.S. alone. After its initial products go to market, CalStar plans to sell roofing tiles, mortar bricks, and blocks.

“Pretty much everything that’s not glass and steel can be made with a fly ash product,” Kane said.

CalStar’s pilot line at its R&D facility in Newark, Calif., has a production rate of 22 bricks in two minutes. Kane called the plant a miniaturized version of the Wisconsin facility—CalStar brought in the same water, sand and fly ash that the Wisconsin plant will use to make sure the conditions are identical.

CalStar’s schedule calls for the Caledonia facility to begin operations in December, with full-scale manufacturing in January. CalStar plans to start shipping products in January or February, but the company is still heavily involved in R&D testing different chemical compositions to see what produces the best result using the lowest-cost chemicals.

See bricks in the R&D and testing phases »

The company has 22 employees and plans to add 20 in Wisconsin before the end of the year.

CalStar plans for the Caledonia facility to produce 12 million bricks in 2010, increasing to 40 million in 2011. Wisconsin Energy (NYSE:WEC) subsidiary We Energies, which is providing the fly ash for the Wisconsin facility, has helped defray the costs of the Caledonia facility by purchasing and retrofitting a building for CalStar to use under a long-term lease.

Kane declined to share the cost of the facility but said a standard brick plant with annual production of 100 million units would cost $40 million, while a 100 million-brick facility would cost CalStar $20 million because it doesn’t need a kiln.

Using fly ash in building materials is nothing new, as it’s already incorporated in products including Portland cement and asphalt concrete. However, it’s estimated that 65 percent of fly ash from coal-fired power plants worldwide goes to landfills, with the U.S. reporting a slightly lower 57 percent, according to the American Coal Ash Association.

Kane said the key to CalStar’s products is that they offer the same performance as aesthetics as traditional bricks, but without the energy use. Currently, the cost to buy a ton of fly ash in the U.S. ranges from about $5 to $30, but that could change as fly ash disposal faces tighter government restrictions, he said.

“The cost to send fly ash to landfills will go up, and utilities will be faced with finding the most beneficial use,” Kane said. 

CalStar Products is one of 11 potential new investment opportunities the Cleantech Group added to its innovation pipeline this week, available exclusively to members of the Cleantech Network. Members can click here to search the database.

Interested in emerging cleantech innovations? Here are two new international companies added to the Cleantech Group's database this week also looking for funding:

• Sweden-based NLAB Solar is seeking €4 million for its one-dimensional photonic crystals to increase the solar-to-electricity energy conversion efficiency. The company says the photonic crystal adds versatility in transparency and color to dye-sensitized solar cells.
• Switzerland-based SwissINSO is seeking $10 million for its mobile, solar-powered water purification units and solar air cooling thermal panels.

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