SKGC and PureCycle Announced Location of Asia’s First PP Recycling Plant
SK geo centric (SKGC) and PureCycle Technologies, Inc., a U.S. advanced recycling company revolutionizing plastic waste, signed a non-binding head of agreement to open Asia’s first recycled polypropylene (PP) plant in Ulsan, South Korea. The facility is expected to have an annual capacity of 60,000 tons and an expected completion at the end of 2024. The HOA progresses the business relationship between the two companies, which initiated in August 2021 with the signing of a memorandum of understanding (MOU).
Na Kyung-soo, President and CEO of SK geo centric, visited PureCycle’s Feedstock Evaluation Unit, an R&D facility and demonstration plant in Ohio, in November 2021 to evaluate its solvent extraction technology and discuss collaboration plans to deepen the relationship. On January 6 at CES 2022 in Las Vegas, SKGC and PureCycle agreed to key terms that will be included in the joint venture agreement to be negotiated between the two companies.
PureCycle is the world’s only company that has proprietary technology to separate contaminants, odors, and colors from PP plastic waste to transform it into ultra-pure recycled (UPR) plastic. This technology can be used for commercial production and to recycle contaminated food storage containers, colored detergent bottles, and automotive interior plastic–which are mostly incinerated because they are difficult to recycle–into UPR.
SK geo centric is a global leader in PP production and has deep technological capabilities, and wide marketing reach in Asia. The partnership between the two companies will combine SKGC’s strengths with PureCycle’s purification technology to supply a premium recycled plastic resin to the growing market. PureCycle will leverage its plant module construction processes and partnerships to accelerate the building of the plant in South Korea.
The cooperation between the two companies is designed to create a joint venture that will not only recycle plastic waste and provide South Korea with UPR, but also be able to develop diverse consumer products.