A waste-to-energy firm and a recycling company have agreed to test and treat various types of medical and pharmaceutical wastes.

Tarpon Springs, Fla.-based MagneGas Corp. is partnering with Largo, Fla.-based Pioneer Recycling LLC to treat various types of liquid medical waste and expired pharmaceuticals through the placement of a MagneGas recycler for industrial processing and industry demonstrations after an initial test, according to a news release.

The two firms intend to form a joint venture to pursue a market that MagneGas estimates is a multi-billion dollar industry. MagneGas, a waste-to-energy firm, operates a process that converts liquid waste into a hydrogen-based fuel.

MagneGas said its strategy is to pursue opportunities in the liquid sterilization market through partnerships such as the agreement with Pioneer Recycling. It’s part of a broader strategy to treatment of manure, fish farm water and now medical waste.

Industrial and commercial recycler Pioneer has been working with the government and industry to explore new ways to treat medical and pharmaceutical waste. The firms believe the MagneGas process will treat the waste with lower cost and emissions.

The agreement could expand based on initial results, the firms said.