LyondellBasell, KIRKBI invest in APK to develop recycling technology

GERMANY – Dutch chemical company, LyondellBasell has signed an agreement with KIRKBI, an investment company of the LEGO® brand, to make an investment in solvent-based recycling technology provider APK.

Germany-based APK aims to increase the recycling of multi-layer flexible packaging materials, which today make up the majority of mixed plastic waste from the consumer sector.

The firm is known for its unique solvent-based recycling technology for low-density polyethylene (LDPE), Newcycling process.

The Newcycling process separates the various polymers of multi-layer packaging materials and generates recycled materials with a high level of purity suitable for new packaging materials.

Under the agreement, LyondellBasell and KIRKBI will become minority shareholders in APK, and together with other co-investors will invest approximately €130 million (US$139.54m) in the firm.

The funds will be used to construct Newcyling Plants to increase the production capacity.

KIRKBI Circular Plastics Investment head Damir Hamzic said: “We are happy to announce our investment in APK.

“KIRKBI believes APK offers a promising scalable technology in LDPE recycling that can help increase the circularity of plastics and minimize plastic waste, to contribute to a more sustainable environment in the future.

“We look forward to providing strategic, financial and commercial support while APK establishes technology that will complement mechanical and chemical recycling.”

Commenting on the deal, Yvonne van der Laan, LyondellBasell Executive Vice President, Circular and Low Carbon Solutions said: “We need to advance the recycling of all types of plastic waste material generated today to support the goal of a circular economy and meet the increasing demand for high quality recycled products.

“Advancing this technology, through our investment in APK, will enable more plastic packaging waste to be reintroduced back into the value chain and will address the demand from consumers and brand owners for more sustainable packaging.

“Products made using this unique Newcycling® solvent-based technology will be a great complementary addition to our existing Circulen product portfolio, which currently offers mechanical and advanced recycling solutions to our customers.”

APK operates a facility in Merseburg, Germany, where it develops technologies under its Newcycling brand.

Susanne Küppers, Member of the Executive Board of APK AG and Managing Director of APK NCC concludes: “Our Newcycling® technology makes it possible to close the loop even with complex waste streams and to produce high-quality LDPE recyclates from mixed plastic waste – highly efficient and offering both economic and ecological advantages.

“We have been proving for years that this is also possible on an industrial scale at our plant in Merseburg.”

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