USA – LyondellBasell, a chemical company, has announced its acquisition of mechanical recycling assets from PreZero, a leading recycling and waste management service provider, in California, US.
This acquisition includes the leasing of PreZero’s processing facility located in Jurupa Valley, California, which boasts a production capacity of approximately 50 million pounds of recycled materials annually. LyondellBasell anticipates commencing operations at this facility in 2025.
Yvonne van der Laan, Executive Vice President of Circular and Low Carbon Solutions at LyondellBasell, emphasized the strategic significance of this acquisition, stating, “This acquisition further strengthens our U.S. presence and will deliver value for our customers and plastic recycling rates on the West Coast.”
She highlighted the company’s commitment to leveraging its experience in plastic recycling in Europe to establish a state-of-the-art mechanical recycling facility in the United States, meeting the increasing demand for recycled products.
Under its Circulen portfolio, LyondellBasell intends to produce postconsumer recycled resins using plastic scrap feedstock at the newly acquired mechanical recycling plant in California.
These recycled polymers will be marketed under the CirculenRecover brand, contributing to the company’s efforts to build a circular economy for plastic, combat plastic waste, and meet the rising demand for sustainable products.
Furthermore, this transaction aligns with LyondellBasell’s broader strategy to enhance its competitiveness in the U.S. recycled products market.
Combined with its equity stake in the Cyclyx joint venture and investment in the Cyclyx Circularity Center in Houston, this acquisition underscores the company’s commitment to sustainability and circularity.
PreZero, with its headquarters in Neckarsulm, Germany, and operations in 10 countries, including the USA, has been a significant player in the environmental services industry.
Although it closed its facility in Westminster, South Carolina, in 2022, PreZero remains committed to its vision of environmental sustainability and continues to expand its operations globally.
Last month, LyondellBasell agreed to acquire a 35% stake in Saudi Arabia’s National Petrochemical Industrial Company (NATPET) from Alujain Corporation for approximately US$500 million.
This joint venture, facilitated by LyondellBasell’s Spheripol polypropylene (PP) technology, is poised to strengthen the company’s core PP business by accessing advantageous feedstocks and expanding product marketing capacity in a strategically significant region.
However, the completion of the transaction is subject to regulatory approvals and customary closing conditions.
Alujain and LyondellBasell are evaluating the potential construction of a new propylene facility and a PP facility at the NATPET site, contingent upon a final investment decision, demonstrating the company’s commitment to strategic growth and sustainability initiatives.
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