LyondellBasell, one of the largest plastics, chemicals and refining companies in the world, and SUEZ, a global leader in smart, sustainable resource management, today announced the successful completion of a transaction making each company a 50 / 50 partner in QCP (Quality Circular Polymers).
“Partnering with SUEZ allows us to contribute to the circular economy in a way that no plastics company has before,” said LyondellBasell CEO Bob Patel. “For several years, we have seen increased demand for recycled and reused plastics, especially in Europe. With QCP, we have combined our respective expertise with SUEZ to create an innovative system that can be scaled as the circular economy grows.”
“The circular economy will increasingly develop into a critical part of the plastic value chain. Moving forward, we will bear in mind the economics of operating our businesses must be balanced with environmental awareness,” said SUEZ CEO Jean-Louis Chaussade. “As we move towards becoming value players in the circular economy, we will continue to seek opportunities for future growth.”
The joint business will leverage the two partners’ strengths. SUEZ will utilize its leading-edge technology solutions to improve the identification, separation and preparation of materials to be used as feedstock at QCP. LyondellBasell will apply its long-standing leadership in innovative plastic production technology, vast experience in product development and deep knowledge of important end markets such as consumer goods, where the company has a strong presence.
The QCP plant located in Sittard-Geleen will transform used plastic material into virgin-replacement quality PE and PP materials. The plant is capable of converting consumer waste into 25,000 tons of polypropylene (PP) and high-density polyethylene (HDPE) with an objective of 35,000 tons later in 2018 and 50,000 tons by 2020. The production capacity of the plant will address a growing need for improving the sustainability profile of high-quality plastics in Europe.
LyondellBasell will add QCP’s recycled products to its range of existing PE and PP materials to help meet increasing customer demand and in line with the EU’s Plastics Strategy.
Plastics recycling is also a key market for SUEZ, which operates nine dedicated facilities in Europe. In 2017, SUEZ processed 400,000 tons of plastic waste and produced 150,000 tons of new plastic resources. The company has set an objective of increasing its processing capacity by 50 percent to 600,000 tons in 2020.