GERMANY – Germany-based chemical company BASF has concluded a framework agreement for the purchase of pyrolysis oil from mixed plastic waste with ARCUS Greencycling Technologies.

Under the agreement, the two companies will leverage their expertise to drive a circular economy and reduce CO2 emissions.

Based in Ludwigsburg, Germany, ARCUS will supply BASF with pyrolysis oil and expand its capacities in the coming years. BASF will use the oil in its production plants as a raw material for the production of Ccycled products.

The ARCUS process demonstration unit is the first of its kind on a commercial scale in Germany and produces pyrolysis oil from mixed plastic waste that is not recycled mechanically.

Daniel Odenthal, Chief Operating Officer of ARCUS Greencycling Technologies said: “With the guaranteed purchase of the oil produced, ARCUS can build further plants with higher capacity and thus make a significant contribution to closing material cycles together with BASF.

The agreement foresees the take-up to be increased to up to 100,000 tons of pyrolysis oil per year.

Commenting on the agreement, Christoph Gahn, Vice President of Chemical Recycling Business & Technologies at BASF said: “The collaboration with ARCUS underscores BASF’s commitment to conserving resources by using recycled raw materials in the chemical industry and to drive the transition to a circular economy.

“We are pleased to have found such a partner in Germany in ARCUS, who will be able to supply us with commercial quantities of pyrolysis oil for the production of Ccycled products in the future. In this way, we support our customers in achieving their sustainability goals.”

The agreement is another building block in the expansion of BASF’s ChemCycling business, which focuses on the chemical recycling of non-recycled post-consumer plastic waste on an industrial scale.

BASF will feed the pyrolysis oil supplied by ARCUS into its production network in Ludwigshafen, replacing fossil resources.

Meanwhile, the German chemical company had earlier signed another agreement with Sulzer Chemtech to advance technologies for renewable fuels and chemically recycled plastics.

The two companies agreed to drive the development of innovative, cost-effective chemical processing solutions to improve the conversion of plastic waste into new plastics.

The collaboration combines complementary areas of expertise, integrating Sulzer Chemtech’s capabilities in licensed processing technologies and mass transfer equipment with BASF’s cutting-edge high-performance adsorbents and catalysts.

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