Viridis Plastics UK, a newly created company, has acquired the assets of Plastics Sorting Ltd., an idled plastics recycling company based in Blackwood, Wales, with the goal of becoming one of the largest plastics recycling companies in the United Kingdom.
The Welsh Government is supporting the acquisition with repayable finance to ensure the assets and equipment of Plastics Sorting Ltd. are kept in Wales.
Plastics Sorting Ltd. established a 100,000-square-foot plastic sorting and recycling plant in Blackwood in 2007 to recycle plastic bottles and converted them into plastic flake. However, the company closed because of financial difficulties.
The investment by Viridis Plastics UK Ltd., owned by Ireland-based Viridis Plastics Group, will initially create 30 jobs, with the potential to increase the number of jobs to 80 within three years, according to the company.
Wales Business Minister Edwina Hart says, "I am pleased the Welsh government is supporting Viridis Plastics with repayable business finance to ensure that the Blackwood facility achieves its full potential and becomes a leader in the sector.
"By supporting this acquisition it provides an opportunity to create a sustainable business with potential for growth that brings economic benefits and jobs to Wales,” she continues.
"The company operates in the energy and environment sector, one of the Welsh Government’s priority sectors with potential for high growth, and I am pleased to hear of their longer term proposals for the business," Hart says.
Gregg Twomey, managing director of Viridis Plastics Group, says the company’s aim is to become a trusted supplier and processor of high-quality material and to establish one of the largest plastics recovery businesses in the U.K. The company says it also hopes to work with the nonprofit WRAP (Waste and Resources Action Programme) to develop other plastics recycling projects. WRAP is backed by government funding from England, Scotland, Wales and Northern Ireland.
"We have committed to a major, long-term investment in this project, and support from the Welsh government has been pivotal in getting it off the ground,” Twomey says.
He says the Blackwood facility is the only recycling facility of its type in Wales and the largest in the west of the U.K.
"We have some exciting and ambitious plans in the pipeline and want to grow the business in Wales. Our medium-term plan includes establishing a plastic sorting facility in the South Wales valleys with the potential to create up to 80 jobs over the next three years," Twomey adds.
The company has reportedly landed orders for 20,000 tons of PET (polyethylene terephthalate) and says it expects to reach production capacity within 18 months.
Initially, Viridis will be exporting its recycled PET plastic to France, Germany and Ireland.