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Dow and Freepoint Eco-Systems announce supply agreement to convert plastic waste into new circular products

The supply agreement for 65,000 tons of circular raw materials advances the companies’ shared goal of supporting a circular economy for plastics North America.

  • Upon completion, Freepoint Eco-Systems’ advanced recycling facility will be installed Arizonawill be ISCC Plus certified and will recycle post-consumer plastic waste from the region that would otherwise end up in landfill or incineration.
  • As the only buyer from phase one Arizona At the facility, Dow will convert the certified recirculating fluid supply into equivalent virgin plastics and develop new products to meet customer demand for recycled content through a mass balance approach.
  • The supply agreement demonstrates Dow’s momentum in achieving its “Transform the waste“The goal is to accelerate the circular ecosystem.

MIDLAND, Mich. And STAMFORD, Conn., May 16, 2024 /PRNewswire/ — Today, Dow (NYSE: DOW) and Freepoint Eco-Systems Supply & Trading LLC (“Freepoint Eco-Systems”) announced an agreement for an estimated 65,000 tons per year of certified, recyclable plastic waste pyrolysis oil to produce new, equivalent ones Virgin-grade plastics at Dow’s U.S. Gulf Coast operations. Together, Dow and Freepoint Eco-Systems are building a recycling system that converts plastic waste into valuable materials and promotes a circular economy for plastics in North America.

The pyrolysis oil will be produced at a new advanced recycling facility owned and operated by Freepoint Eco-Systems Eloy Recycling LLC, a subsidiary of Freepoint Eco-Systems. After completion, the new modern recycling plant will be built Arizona, will be ISCC Plus certified. The plant will process end-of-life plastic waste in the region and divert it from landfills or incineration by converting this waste into recycled pyrolysis oil. For every ton of plastic waste, approximately 70% is expected to be converted into pyrolysis oil and sold exclusively to Dow for the first phase of the plant starting in 2026.

Leveraging circular fluid supply, Dow will create new products using equivalent virgin plastics, replacing those made from traditional raw materials. The resulting circular products are suitable for use in various applications, including food-grade packaging (e.g. pet food, confectionery and snacks), as well as medical and pharmaceutical packaging, while maintaining existing product performance and reducing dependence on fossil raw materials.

“This agreement with Dow represents a significant step in accelerating the circular economy in the region and helps scale an important advanced recycling facility in the U.S.,” he added Jeff McMahon, Managing Director at Freepoint Eco-Systems. “We are expanding our capacity for more circular economy solutions for plastic waste worldwide.”

“Our agreement with Freepoint Eco-Systems represents another important step in Dow’s commitment to ensuring circular supply and transforming post-consumer plastic waste into products that help our customers meet their recycled content goals,” he said Victor Zapata, North America commercial vice president of Dow Packaging and Specialty Plastics. “The Dow team looks forward to working with an innovative partner like Freepoint Eco-Systems, who shares our commitment to building a much-needed circular plastics infrastructure.”

“Through this collaboration, Dow is redefining the way we source raw materials for our products while addressing the challenge of plastic pollution,” said Issam Lazraq, Dow Global Sustainable Feedstocks Director, Feedstocks and Commodities. “By converting locally available plastic waste that was destined for landfill or incineration into pyrolysis oil for our U.S. Gulf Coast operations, we are building a reliable circular feedstock supply portfolio.”

As Freepoint Eco-Systems has previously announced, once fully operational, the new facility will have a total capacity to recycle approximately 180,000 tonnes of plastic waste per year – equivalent to the weight of approximately 9,000 fully loaded semi-trailers. Phase one, scheduled to launch in 2026, will initially process 90,000 tonnes of waste, producing 65,000 tonnes of pyrolysis oil, which will be sold exclusively to Dow. The facility will be located in Eloy, Arizonaon 40 hectares of undeveloped land.

“The development of this advanced recycling facility by Freepoint Eco-Systems and its subsidiaries, supported by the agreement with Dow, represents progress Arizona Positioning itself as a leader in developing the circular economy for the region, creating high-quality green jobs and promoting continued sustainable economic growth Eloy” said Eloy mayor Micah Powell.

Dow and Freepoint Eco-Systems are jointly committed to advancing more sustainable, commercially viable and innovative solutions that build a global circular economy. This agreement is an example of how Dow is working with capable partners to scale a materials ecosystem aimed at unlocking the value of waste and building advanced plastics recycling infrastructure. Learn more at dow.com/materialsecosystem.

About Freepoint Eco-Systems
Freepoint Eco-Systems and its affiliates are subsidiaries of Freepoint Commodities LLC, a global commodities trader providing supply chain management services and environmentally friendly products and solutions to its customers. Among other things, Freepoint Eco-Systems specializes in ensuring the supply of plastic waste that is not recycled and converting this waste into reusable products through its advanced recycling facilities. Freepoint Eco-Systems and its affiliated companies operate in the industry US., EuropeAnd Asia. For more information, see www.FreepointEcoSystems.com

About Dow
Dow (NYSE: DOW) is one of the world’s leading materials science companies, serving customers in high-growth markets such as packaging, infrastructure, mobility and consumer applications. Our global footprint, asset integration and scale, focused innovation, leading business positions and commitment to sustainability enable us to achieve profitable growth and contribute to a sustainable future. We operate production sites in 31 countries and employ around 35,900 people. Dow had sales of about $45 billion in 2023. References to Dow or the Company include Dow Inc. and its subsidiaries. Learn more about us and our commitment to being the most innovative, customer-focused, comprehensive and sustainable materials science company in the world by visiting us www.dow.com.

For further information please contact:




Sarah Young

Kelly Logan

Dow

Freepoint ecosystems

+1 989-638-6871


(email protected)

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SOURCE The Dow Chemical Company

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