Q&A: Jon Stephens, Avangard Innovative

March 6, 2017, Avangard Innovative (AI), headquartered in Houston, announced that it would be expanding into the production of recycled low-density polyethylene (LDPE) pellets.  

The company, which provides sustainability solutions in 12 countries and focuses on waste reduction and maximizing commodities volumes, says it is investing $10 million to build a new state-of-the-art manufacturing facility that will convert LDPE film packaging scrap into high-quality postconsumer recycled (PCR) resin to be used in in film production.

AI says it manages approximately 100 million pounds of PE film scrap annually from the retail sector and from other generators of PE film packaging scrap throughout the Americas. Vertically integrating will allow the company to supply recycled LDPE for use in the production of new film.

Jon Stephens, executive vice president of AI, provided additional insight into the project in this Q&A with Recycling Today’s Managing Editor DeAnne Toto.

Recycling Today (RT): Will the new recycling facility be located on property Avangard Innovative already owns or did you have to purchase land for the project?

Jon Stephens (JS): This new facility will be located on currently owned Avangard Innovative property.`

RT: What does the $10 million investment encompass (building, equipment, etc.)?

JS: The investment encompasses the purchase of the building, all equipment and then of course working capital.

RT: How much of the LDPE scrap that you handle annually will flow through your new manufacturing facility?

JS: Approximately 50 percent of our LDPE scrap will flow through the new facility. We will still be marketing to current markets the remaining balance.

RT: How do you expect this move to affect the reprocessors you are currently supplying recovered material to?

JS: We feel there will be a minimal impact to preprocessors we are currently supplying recovered material to as we continue to increase the volume we manage.

RT: What specific generating sectors will you be targeting? Why?

JS: We have developed a proprietary blend of multiple industry streams we manage today.

RT: Do you have consumers of the material lined up? Can you share any of these names?

JS: We are pleased to have a lineup of consumers at this point in time and are continuing to develop new applications that we’re currently in the trial phase of.

RT: Can you please tell me more about the equipment that will be featured at the plant?

JS: The plant will use MSS optical technology. The film will be processed using two Starlinger recoSTAR dynamic 165C-VAC extruders.

RT: How will the facility be employing optical sorters? What benefits does this equipment offer?

JS: These optical sorters will be able to instantly remove contamination in a more efficient manner.

Some of the benefits this equipment offers is removing more contamination upfront, providing less pressure on the filtration, and we’ll end up with better color and quality.

RT: How much material do you expect to produce in phase one?

JS: We expect to produce roughly 2 million pounds per month in phase one.

RT: Does AI have plans to produce other recycled plastics in the future?

JS: Yes. We will have initial trialing of HD (high-density)/LD return bag mix (also commonly referred to as “wrap material”).

RT: Why did you decide to make this investment at this time?

JS: We seized the opportunity to position ourselves as advanced technology in recent years has enabled us to produce a quality PCR back into film. It was the right time for us to do this.