A pilot project will take place this year to recycle several kilometres of asphalt on a section of Island highway using a recycling machine, says P.E.I. Transportation Minister Paula Biggar.

The province is providing a five-year $1.6-million loan to M and M Resources to buy a piece of equipment that does something called hot in-place recycling.

Paula Biggar

Transportation, Infrastructure and Energy Minister Paula Biggar hopes the project will help reduce greenhouse gas emissions. (CBC)

"The way the machine works is, if they are doing a section of highway they can grind up that section and then it goes right back into the machine ... and it adds the liquid asphalt that you need to do. And it will lay that strip of pavement back down," Biggar said.

"It is more efficient, it's more environmentally friendly. So what we wanted to do is to try that on a section of highway this year."

Biggar hopes the project will result in reduced greenhouse gas emissions, cost savings and conservation of road building materials.

She noted the machine should mean there won't be as many trucks transporting asphalt to the Island.  

An official with M and M Resources said the equipment is being built now. 

He said more details will be provided once the machine arrives, likely in August.