London, United Kingdom – SABIC has announced it has signed a memorandum of understanding (MoU) with UK-based PLASTIC ENERGY Ltd., a pioneer in chemical plastics recycling, for the supply of feedstock to support SABIC’s petrochemical operations in Europe, as per the company’s press release. SABIC and PLASTIC ENERGY intend to build a first commercial plant in the Netherlands to refine and upgrade a valuable feedstock, known as TACOIL. The plant is anticipated to enter commercial production in 2021.
TACOIL is a patented PLASTIC ENERGY product, which will be produced from the recycling of low quality, mixed plastic waste otherwise destined for incineration or landfill.
“Sustainability is a core value at SABIC and the circular economy is a cornerstone of our strategy as evidenced by this unique agreement”, said Frank Kuijpers, General Manager for Corporate Sustainability, SABIC. “SABIC is proud to be the first petrochemical company to implement a project for the chemical recycling of challenging plastic waste into feedstock for steam crackers. This exciting project is testament to our commitment to scale up advanced chemical recycling processes of plastics back to the original polymer.”
“We have already two industrial plants in Spain operating 24/7 and a technology team with more than 10 years of expe-rience developing this patented technology. Our advanced expertise will promote this new opportunity to turn plastic back into plastic as part of the circular economy,” said Carlos Monreal, Founder and CEO of PLASTIC ENERGY.
PLASTIC ENERGY has successfully commercialised a patented thermochemical conversion technology to convert a wide range of end-of-life, dirty and contaminated plastics, hardly recyclable for conventional processes, into usable feedstock. Plastics are melted in an oxygen free environment and then broken down into synthetic oils at which point the oils need to be refined and upgraded as feedstock for traditional petrochemical uses.