PORTSMOUTH, New Hampshire, USA, October 18, 2022 – Cyclyx International, ExxonMobil and LyondellBasell today announced they have signed an agreement to advance development of a first-of-its-kind plastic waste sorting and processing facility in the Houston area. The new facility addresses a critical missing link in the plastic waste supply chain by connecting community recycling programs to new and more advanced recycling technologies that have the potential to take a much wider variety of plastic materials.
The Cyclyx Circularity Center will be unique among plastic recovery facilities, producing feedstock for both mechanical and advanced recycling. The center will leverage new technologies to analyze plastics based on their composition and sort them according to customer specifications for their highest and best reuse.
The circularity center will be located in the Greater Houston area, with commercial start-up expected in 2024. The facility will be designed to produce 150,000 metric tons or 330 million pounds of plastic feedstock per year, supplying ExxonMobil and LyondellBasell advanced recycling projects as well as mechanical recycling markets. Total investment for the first circularity center is estimated to be $100 million, contingent upon a final investment decision in early 2023.
“To help increase the overall U.S. recycling rate and meet growing customer demand for circular products, more investment is needed by governments and industry to collect and sort waste,” said Dave Andrew, vice president of new market development at ExxonMobil. “With this new facility, we are making a substantial investment in plastic waste sorting infrastructure to accelerate our advanced recycling efforts in Baytown and along the Gulf Coast.”
“We are growing our global recycling capacity and actively pursuing opportunities to help capture more plastic waste from landfills in order to make it suitable for recycling,” said Yvonne van der Laan, executive vice president of circular and low-carbon solutions at LyondellBasell. “This agreement is a perfect example of how collaboration across the value chain can help close the gaps to make a circular economy possible, such as access to plastic waste feedstock.”
“This project serves as proof of how significant the need is for custom blended plastics feedstock,” stated Joe Vaillancourt, CEO of Cyclyx. “With our capability to accept and process a wide range of waste plastics based on their chemistry profile which we custom blend to the needs of our customers, we are creating a new set of recycling options for difficult-to-recycle waste plastics that today are sent to landfill. Our circularity centers will allow us to make available a much larger amount of waste plastic into usable feedstock than has been possible with the current recycling infrastructure. Additional circularity centers are under consideration on the Gulf Coast and other locations.”
Cyclyx, ExxonMobil and LyondellBasell are members of the Houston Recycling Collaboration whose mission is to help the City of Houston significantly increase plastic recycling rates, leveraging new technologies and infrastructure, such as this Cyclyx facility, to recycle nearly all plastics.
As of September 2022, ExxonMobil has processed more than 6,700 metric tons (nearly 15 million pounds) of plastic waste at its Baytown facility, recycling materials that may have otherwise gone to landfill or incineration. When the facility’s expansion is complete later this year, it will be among North America’s largest advanced recycling facilities, with an annual capacity to recycle 30,000 metric tons of plastic waste. Leveraging ExxonMobil’s existing manufacturing assets, plans are underway to build up to 500,000 metric tons (1 billion pounds) of annual advanced recycling capacity by year-end 2026 across multiple sites globally.
LyondellBasell has a goal to produce and market 2 million metric tons of recycled and renewable-based polymers annually by 2030. To deliver on this ambition, the company recently announced a new organizational structure including a Circular and Low-Carbon Solutions business segment and is strategically investing along the value chain.
Cyclyx has a goal of processing more than 650,000 metric tons of waste plastic per year by 2026. Consistent with this goal, Cyclyx is focused on its mission to help increase the plastics recycling rate from 10 to 90% by getting the right feed to the right technology, creating a new supply chain for waste plastic, and diverting post-use plastic from landfill.
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About Cyclyx International, LLC.
Cyclyx International, LLC. (“Cyclyx”) is a post-use plastic innovation company working with industry participants to develop innovative recycling solutions for all types of post-use plastics. The company’s mission is to increase the plastic recycling rate from 10% to 90% by using Cyclyx’s expertise in understanding the chemical composition of post-use plastic in collaboration with industry partners to create a new, innovative supply chain. Cyclyx was founded by Agilyx Corporation ("Agilyx"), a leader in advanced chemical recycling, together with ExxonMobil, one of the largest chemical companies in the world. Cyclyx has been formed to be a consortium-based entity and since its founding there have been a growing number of companies joining its membership. For more information, visit us at www.cyclyx.com.
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About ExxonMobil
ExxonMobil, one of the largest publicly traded international energy and petrochemical companies, creates solutions that improve quality of life and meet society’s evolving needs. The corporation’s primary businesses - Upstream, Product Solutions and Low Carbon Solutions - provide products that enable modern life, including energy, chemicals, lubricants, and lower-emissions technologies. ExxonMobil holds an industry-leading portfolio of resources, and is one of the largest integrated fuels, lubricants and chemical companies in the world. To learn more, visit exxonmobil.com and the Energy Factor.
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About LyondellBasell
As a leader in the global chemical industry, LyondellBasell strives every day to be the safest, best operated and most valued company in our industry. The company’s products, materials and technologies are advancing sustainable solutions for food safety, access to clean water, healthcare and fuel efficiency in more than 100 international markets. LyondellBasell places high priority on diversity, equity and inclusion and is Advancing Good with an emphasis on our planet, the communities where we operate and our future workforce. The company takes great pride in its world-class technology and customer focus. LyondellBasell has stepped up its circularity and climate ambitions and actions to address the global challenges of plastic waste and decarbonization. In 2022, LyondellBasell was named as one of FORTUNE Magazine's "World's Most Admired Companies" for the fifth consecutive year. For more information, please visit www.lyondellbasell.com or follow @LyondellBasell on LinkedIn.
Forward-Looking Statement for LyondellBasell
The statements in this release relating to matters that are not historical facts are forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual results could differ materially from the projections, anticipated results, or other expectations expressed in this release, including, but not limited to, the final investment decision related to the proposed facilities; the successful construction and operation of the facilities described in this release; the ability to obtain all necessary regulatory approvals; our ability to meet our sustainability goals, including the ability to increase production of recycled and renewable-based polymers to meet our targets and forecasts; and general economic conditions in geographic regions or markets served by LyondellBasell and its affiliates, or where operations of the company and its affiliates are located. While these statements and projections are made in good faith, LyondellBasell and its management cannot guarantee that anticipated future results will be achieved. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the "Risk Factors" section of our Form 10-K for the year ended December 31, 2021, which can be found at www.lyondellbasell.com on the Investor Relations page. LyondellBasell assumes no obligation to publicly update or revise any forward-looking statements made herein or any other forward-looking statements made, whether as a result of new information, future events, or otherwise.
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