Resin maker LyondellBasell Industries NV is pursuing two new plastics recycling facilities — one in China and one in Germany.
The company has an agreement with 23 Oaks Investments to create a new joint venture called Source One Plastics to build and operate a plastic waste sorting and recycling facility in Germany. That location will provide plastic feedstock to a LyondellBasell chemical recycling facility in Wesseling, Germany.
"We are taking an important first step into the upstream side of the business to secure access to plastic waste that we will convert into new plastic materials at our advanced recycling plants," said Yvonne van der Laan, LyondellBasell executive vice president of circular and low-carbon solutions in a statement. "To truly achieve a circular economy, we have to find creative solutions to meet society's needs."
A 23 Oaks Investment official pointed to that company's experience in plastics recycling.
"With our global experience at all levels of the circular economy and our extensive knowledge in all areas of the plastic recycling value chain combined with our strong hands-on approach, we feel we have right mix of competencies to make Source One Plastics a success," said Kai Hoyer, managing partner of 23 Oaks Investment, in a statement.
The Source One location expects to process an amount of plastic packaging waste that is equivalent to what 1.3 million German citizens produce each year. The facility will run on wind and biomass renewable energy.
Material initially processed there will move on to the Wesseling site where LyondellBasell will use the company's proprietary MoReTec pyrolysis technology. This location will be the company's first commercial-scale operation and follows a smaller-scale MoReTec plant already operating in Ferrara, Italy.
Pyrolysis uses heat and pressure in the absence of oxygen to break down plastics into molecular components. The process creates both a liquid that can then be used for fuels or to create new plastics and a gas.
The company also plans to work with Genox Recycling to build a recycling plant in Zhaoqing, China, that's expected to begin operations next year. The facility will use mechanical recycling equipment to process post-consumer plastics that will be sold under the CirculenRecover product line by LyondellBasell.
"This new joint venture will help develop the local plastics recycling infrastructure in China and is an important milestone for LyondellBasell to contribute to its goal to produce and market 2 million metric tons of recycled and renewable-based polymers annually by 2030," said Limin Fu, vice president of LyondellBasell China Polyolefins, in a statement.
Genox Recycling makes recycling equipment, including shredders and wash systems for plastics. The company's equipment also is used for tire, metal, electric vehicle lithium battery and refrigerator recycling.