October 11, 2022 | By Mary Bailey
LyondellBasell Industries NV (Rotterdam, The Netherlands) and 23 Oaks Investments, Leiferde/Lower Saxony, Germany, have signed an agreement to create Source One Plastics, a joint venture that will build an advanced plastic waste sorting and recycling facility energy efficient in Germany. Using renewable wind and biomass energy, the new unit is designed to handle the amount of plastic packaging waste generated by around 1.3 million German citizens per year. This waste is not recycled today and is mostly incinerated. LyondellBasell also announced the formation of a plastics recycling JV with Chinese company Genox Recycling.
The Source One Plastics facility will produce processed waste that will provide a material portion of the feedstock for a state-of-the-art recycling plant that LyondellBasell plans to build at its site in Wesseling, Germany. Use of LyondellBasell Proprietary MoReTec technology, this plant will be the first commercial-scale single-lane advanced recycling plant designed to demonstrate its ability to scale further. LyondellBasell already operates on a semi-industrial scale MoReTec factory at its site in Ferrara, Italy.
LyondellBasell’s new plant is designed to convert hard-to-recycle post-consumer plastic waste into feedstock for new plastics. Once in service, it will make it possible to recycle most types of plastic materials such as multi-layer food packaging or mixed plastic containers. The final investment decision on this project is expected in the coming months. Both projects contribute to LyondellBasell’s sustainable ambition to end plastic waste in the environment.
“We are committed to helping our customers meet their demand for renewable and circular solutions,” said Yvonne van der Laan, LyondellBasell’s executive vice president, circular and low-carbon solutions. “To truly achieve a circular economy, we need to find creative solutions to meet the needs of society. We are taking an important first step upstream of the business to secure access to waste plastics that we will convert into new plastics at our advanced recycling plants. This will enable us to achieve our circularity ambition and produce two million tonnes of polymers annually from recycled or renewable resources by 2030.”
23 Oaks Investments is a strategic solutions provider in the recycling 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 sourcing, sorting and pre-treatment to provide suitable raw materials for the production of high quality PCR materials for a range of applications.
“With our global experience at all levels of the circular economy and our deep knowledge of all areas of the plastic recycling value chain, combined with our strong hands-on approach, we believe we have the right mix of skills to make Source One Plastics a success,” said Kai Hoyer, managing partner of 23 Oaks Investment. “With LyondellBasell’s commitment to expanding its circular polymer product offering and its work to develop advanced recycling into a technology at industrial scale, 23 Oaks can help make this a reality.”
In addition to its semi-industrial advanced recycling plant, LyondellBasell owns a 50% stake in Quality Circular Polymers (QCP). QCP uses a mechanical recycling process to produce premium plastic pellets from post-consumer packaging waste for applications such as electrical appliances, detergent bottles and suitcases.