LyondellBasell forms joint venture to build plastic material sorting and recycling facility

Rotterdam-based LyondellBasell and 23 Oaks Investments, Leiferde, Germany, have signed an agreement to create Source One Plastics, a joint venture to build an energy-efficient, advanced plastic waste sorting and recycling facility in Germany. Using renewable energy from wind and biomass, the new facility can process the amount of plastic packaging material generated by about 1.3 million German citizens annually, the partners say.   

According to a news release from LyondellBasell, Source One Plastics will produce processed material that will provide a substantial part of the feedstock for an advanced recycling plant that it plans to build at its Wesseling, Germany, site. Using LyondellBasell's proprietary MoReTec technology, the company says this plant will be the first commercial-scale, single-train advanced recycling plant and is designed to demonstrate its capability for further scalability. LyondellBasell operates a semi-industrial scale MoReTec plant at its Ferrara, Italy, site.  

LyondellBasell's new plant is designed to convert hard-to-recycle postconsumer plastic material into a feedstock for new plastic products. Once in operation, it will recycle most types of plastic materials, such as multilayered food packaging items or mixed plastic containers. The final investment decision on this project is scheduled for the coming months. Both projects contribute to LyondellBasell's sustainability ambition to end plastic waste in the environment.  

"We are committed to supporting our customers to meet their demand for renewable and circular solutions," says Yvonne van der Laan, LyondellBasell executive vice president of circular and low carbon solutions. "To truly achieve a circular economy, we have to find creative solutions to meet society's needs. 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. This will enable us to meet our circularity ambition and produce 2 million [metric tons] of polymers from recycled or renewable resources annually by 2030."  

23 Oaks Investments says it is a strategic solution provider in upcycling postconsumer recycled (PCR) plastic with extensive experience in the plastics industry. The Source One Plastics joint venture will provide a broad portfolio of services, including material procurement, sorting and pretreatment to deliver feedstock suitable for producing high-quality PCR material for various applications.  

"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 the right mix of competencies to make Source One Plastics a success," says Kai Hoyer, managing partner of 23 Oaks Investment. "Together with LyondellBasell's commitment to expanding on its circular polymer product offering and its work to develop advanced recycling into an industrial scale technology, 23 Oaks can contribute its part to make this a reality."  

In addition to its advanced recycling semi-industrial scale plant, LyondellBasell holds a 50 percent share in Quality Circular Polymers. The company uses a mechanical recycling process to produce premium plastic pellets from postconsumer packaging for applications like electrical appliances, washing detergent bottles and suitcases.