Circular Economy Lyondell Basell, 23 Oaks Investments Establish JV for Plastic Waste Sorting and Recycling Plant
Under the terms of the agreement, Lyondell Basell and 23 Oaks Investments, a solution provider in the upcycling of PCR plastic waste, will establish a joint venture called Source One Plastics. The JV will aim to develop an advanced plastic waste sorting and recycling facility in Germany which will produce processed waste for Lyondell Basell’s new advanced recycling plant in Wesseling, Germany.
Rotterdam/Netherlands – Lyondell Basell and 23 Oaks Investments, Leiferde/Lower Saxony, Germany, signed an agreement to create Source One Plastics, a joint venture that will build an energy efficient, advanced plastic waste sorting and recycling facility in Germany. Using renewable energy from wind and biomass, the new unit is designed to process the amount of plastic packaging waste generated by approximately 1.3 million German citizens per year. This waste is not recycled today and is mostly incinerated.
The Source One Plastics facility will produce processed waste that will provide a material, part of the feedstock, for an advanced recycling plant that Lyondell Basell plans to build at its Wesseling, Germany, site. Using Lyondell Basell's proprietary Moretec technology, this plant will be the first commercial scale, single-train advanced recycling plant, designed to demonstrate its capability for further scalability. Lyondell Basell already operates a semi-industrial scale Moretec plant at its Ferrara, Italy, site.
Lyondell Basell's new plant is designed to convert hard-to-recycle post-consumer plastic waste into feedstock for new plastic materials. Once in operation, it will enable recycling of most types of plastic materials such as multi-layered food packaging items or mixed plastic containers. The final investment decision on this project is scheduled for the coming months. Both projects contribute to Lyondell Basell'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, Lyondell Basell Executive Vice President, 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 two million tonnes of polymers from recycled or renewable resources annually by 2030."
23 Oaks Investments is a strategic solution provider in the upcycling of post-consumer recycled (PCR) plastic waste with extensive experience in the plastics industry. The Source One Plastics joint venture will provide a broad portfolio of services including waste procurement, sorting, and pre-treatment to deliver feedstock suitable for producing high-quality PCR material for a range of applications.