Neste, ReNew ELP and Licella to collaborate in utilization of waste plastic as a raw material for fuels and chemicals
Neste, the leading producer of renewable diesel, UK-based chemical recycling company ReNew ELP, and Australian technology developer Licella are collaborating in a development project to explore the potential of using mixed waste plastic as a raw material for fuels, chemicals, and new plastics.
In addition to studying liquefied waste plastic feasibility and sustainability as refinery raw material, the companies are also collaborating with the aim to facilitate regulatory acceptance for chemical recycling.
The collaboration is one of the steps towards Neste’s goal to introduce liquefied waste plastic as a future raw material to fossil refining, with a target to process annually more than one million ton of waste plastic by 2030. (Earlier post.)
ReNew ELP is commencing construction of a chemical recycling plant in Teesside, UK, with a target to recycle end-of-life plastic to produce raw material for a range of petrochemical products. This will be the first commercial scale plant based on Cat-HTR technology, a catalytic hydro-thermal liquefaction platform developed by Licella over the past ten years.
Using water at near or supercritical temperatures, the Cat-HTR process converts a wide variety of low-cost, waste feedstocks and residues into renewable biocrude oil, which can be refined using conventional refinery infrastructure to second-generation biofuels and valuable renewable chemicals.
The collaboration also involves Armstrong Energy, which, in a joint venture with Licella, is leading the financing of the Teesside facility and global deployment of the Cat-HTR technology. Although the plant construction is not included in this collaboration project with Neste, it will nevertheless contribute to a common goal of enabling more efficient waste plastic utilization in the future.
Neste has two approaches to plastics with regards to circular economy. While exploring ways to utilize plastic waste as raw material, Neste is preparing to start commercial scale production of durable and recyclable renewable plastics from bio-based raw materials, such as waste fats and oils.
Neste and IKEA collaboration is leading to a production of bio-based polypropylene (PP) plastic at a commercial scale for the first time during fall 2018. (Earlier post.)