SABIC, Plastic Energy to construct commercial chemical recycling unit in the Netherlands
Site of the new advanced recycling unit ready for construction in Geleen, The Netherlands.
Plastic Energy

SABIC, Plastic Energy to construct commercial chemical recycling unit in the Netherlands

The new unit, which will produce SABIC’s certified circular polymers, is expected to become operational in 2022.

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February 22, 2021

SABIC (Saudi Basic Industries Corp.), Riyadh, Saudi Arabia, and Plastic Energy, a U.K.-based company that is pioneering chemical plastics recycling, have announced plans to start engineering and constructing a commercial unit in the Netherlands that will produce SABIC’s certified circular polymers, part of its Trucircle portfolio, which are made from mixed and used plastics.

According to a news release from Plastic Energy, the new unit will be based in Geleen, the Netherlands, and is expected to be operational in the second half of 2022. The project is a 50/50 joint venture called “SPEAR” (SABIC Plastic Energy Advanced Recycling BV) and is being executed with a top sector energy subsidy from the Ministry of Economic Affairs in the Netherlands.

Plastic Energy says SABIC has worked with it and other leading customers and converters to produce and commercialize certified circular polymers since 2019. The new unit will enable SABIC to scale up production of certified circular polymers to provide customers with more access to sustainable materials.

“Advancements in this pioneering project take us one step closer to driving the change needed to become a circular global industry,” says Fahad Al Swailem, vice president of Polyethylene and Sales, at SABIC. “We have overcome significant external, global challenges to reach this important milestone and remain fully committed to closing the loop on used plastic. We are continuing to collaborate on an unprecedented level with our partners upstream and downstream to achieve this.”

“It has been an exciting journey in making our vision of building advanced recycling plants come to life, and we are delighted to announce the construction of this new facility with SABIC,” says Carlos Monreal, founder and CEO of Plastic Energy. “We have worked jointly with SABIC towards our common goal of making plastics more sustainable and moving towards a more circular economy for plastics.”

According to Plastic Energy, SABIC’s certified circular polymers are produced using Plastic Energy’s advanced recycling technology to convert low-quality, mixed plastics into Tacoil. SABIC will use the Tacoil produced in the new commercial unit in its production process as an alternative to traditional fossil materials.