Two companies with big plans in plastics recycling have a new supply agreement.
Circularix, which has plans to open a network of recycling plants around the United States, already has one facility operating in Hatfield, Pa., and is working on a second plant in Ocala, Fla.
Republic Services, which previously collected recyclables before sorting and sending them along for further processing, has now decided to move deeper into the plastics processing business. In the new deal, Republic Services will supply flaked PET to Circularix that will then make recycled PET pellets that can then be used by others to create new plastic packaging.
"We are committed to sustainable practices and are excited to collaborate with Republic Services to accelerate the buildup of domestic recycling capabilities," Circularix CEO Leon Farahnik said in a statement. "This agreement aligns with our environmental goals and our dedication to providing beverage brands and CPG companies the material needed to make good on their sustainability commitments."
Republic Services is working on the company's first Polymer Center in Las Vegas, a $50 million project that will create food-grade recycled PET flake as well as further process high density polyethylene and polypropylene to create higher value output compared to traditional material recovery facilities operated by the company.
Republic Services, like Circularix, has a vision to create a network of recycling facilities around the country.
"Through our Polymer Center network, we're helping customers achieve their ambitious recycled content goals by producing high-quality recycled plastics for use in sustainable packaging," said Pete Keller, Republic Services vice president of recycling and sustainability, in a statement. "Our agreement with Circularix will promote true plastics circularity, enabling a PET bottle to be recycled into a new PET bottle."
Circularix also indicated the company expects its plant in Ocala to be open during the first half of this year.