SK Geo Centric, a chemical company based in South Korea, has recently signed a memorandum of understanding (MoU) with Amcor to supply it with advanced recycled materials.
As part of this partnership, SK Geo will supply recycled polyethylene and polypropylene plastic materials from its integrated waste plastic recycling complex, the Ulsan Advanced Recycling Cluster (ARC).
SK Geo is currently in the process of establishing its Ulsan ARC site, where it will produce and sell recycled materials made by reusing pyrolysis oil derived from end-of-life waste plastic.
The supply of this recycled material from SK Geo to Amcor is expected to begin in 2025.
SK Geo CEO, Na Kyung-soo, said, “We are committed to contributing to a circular economy by expanding the supply chain where pyrolysis oil, produced from end-of-life plastic, can provide recycled content in consumer packaging. Providing Amcor with access to that material is an important step forward.”
Amcor has announced that it will utilize this recycled material to produce packaging solutions primarily for its food and healthcare customers in the Asia-Pacific region, as well as for its global clientele.
The packaging company already has access to advanced recycled materials through its existing partnership with ExxonMobil, as well as its recent investment in Licella, an Australian advanced recycling technology business.
All of these efforts together will help Amcor contribute to achieving its target of using 30% recycled content across its portfolio by 2030.
Amcor Flexibles Asia Pacific President, Mike Cash, added, “Our capacity to provide customers in all consumer categories with more sustainable packaging solutions that incorporate recycled materials is becoming increasingly significant.
“These partnerships will help enable Amcor to unlock opportunities for food and healthcare customers to leverage recycled content in their packaging and will also foster a circular economy by significantly reducing the need for virgin plastic.”
Earlier this year, SK Geo Centric partnered with Loop Industries, a Canadian company, to build a plastic recycling factory in Ulsan.
The joint venture will establish a plant capable of recycling 70,000 tonnes of plastic every year using the depolymerization technology of the Canadian firm.
SK Geo announced that the plastic recycling factory would be constructed by 2025, following the establishment of the joint venture in 2023.
The South Korean company will own 51% of the venture, while its Canadian partner will secure 49%.
