Dow will play an important role in the partnership as a key off-taker of the circular feed that Mura produces. This circular feed, derived from plastic waste currently destined for landfill or incineration, reduces reliance on fossil-based feedstocks and will enable Dow to produce a recycled plastic feedstock for the development of new, virgin-grade plastics which are in high demand from global brands. By working together, Dow and Mura will ensure plastic has a viable way to be re-circulated into global supply chains, helping to advance a circular economy for plastics and increase the value of plastic waste.
These planned capital investments by Mura, as well as Dow’s off-take agreements, represent both companies’ largest commitment to date to advance and scale global advanced recycling capabilities.
“The strengthening of Dow and Mura’s partnership is another example of how Dow is working to build momentum around breakthrough advanced recycling technologies,” said Marc van den Biggelaar, Advanced Recycling Director for Dow. “By investing in new applications, Dow is working to meet the increased demand for recycled material from its customers and make a meaningful impact on the supply chain, helping to close the loop on plastic waste. Dow is committed to accelerating a circular economy for plastics and our expanded partnership with Mura marks a significant step on this journey. As a long-term partner, we are excited about the potential of this process to recycle plastics and help solve the plastic waste challenge.”
“This partnership continues to create momentum for Dow as we move towards feedstock flexibility and diversification, which is essential if we wish to advance a circular economy for plastics,” said Diego Donoso, President of Packaging & Specialty Plastics for Dow. “And a fully circular business model for plastics will also enable decarbonization and support us on the road to net zero.”
The collaboration is a further example of how Dow is working with companies across Europe and around the world to invest in innovative new recycling solutions, accelerate circularity and tackle the issue of plastics waste.
Fabrice Digonnet, mechanical recycling strategy leader for Dow Packaging & Specialty Plastics, said: “We are delighted to work with Valoregen on this innovative new project that can help give recycling in Europe a real boost. Recycling rates for plastics are still far too low and we need to help scale the technology and ensure a viable market for plastics waste. Our investment will help increase mechanical recycling rates and in doing so, help accelerate a circular economy for plastics and reduce carbon emissions. We are excited to offer our investment and expertise on this ground-breaking initiative, while continuing to scale up circularity solutions for our customers.”
The project, which is expected to be operational and delivering recycled materials at the end of Q1 2023, will mark an important step in bringing together mechanical recycling (which processes certain plastic waste into secondary products) and newer, advanced recycling processes (which breaks down mixed, hard-to-recycle plastics into their original naphtha-like liquid form to manufacture new virgin-like polymers).
Valoregen’s ultimate aim is to create a unique ecosystem capable of recycling all forms of plastic waste in one place. Both mechanical and advanced recycling technologies are complementary and essential to achieving Dow’s commitment to incorporate at least 100,000 tones of recycled plastics in its product offerings sold in the European Union by 2025.
Thierry Perez, president of Valoregen, commented: “Dow’s collaboration and trust in Valoregen’s innovative and disruptive model has been key to the project’s success and we are pleased to formalize this partnership. Our committed team has developed a concrete, agile solution that contributes to the circular economy of plastics and advances decarbonization. This next generation solution will achieve recycling for high-end technical packaging applications. We are delighted to work so closely with Dow towards circular solutions.”
By bringing these technologies under one roof, the plant will increase energy efficiency by enabling a a yield greater than 80%, well above the average conventional mechanical recycling efficiency of around 60-70% – minimizing waste - thanks to a smart energy management system. Valoregen will also reduce the overall carbon emissions produced from these processes as it strives to limit the transportation of waste products to different sites.
Dow will be the main recipient of post-consumer resins, which it will use to develop new plastic products marketed under Dow’s REVOLOOP™ product range. It will also provide significant expertise in recycling technology to Valoregen to support the development of its capabilities.