BASF is to invest €20 million into Quantafuel, a specialist for pyrolysis of mixed plastic waste and purification of pyrolysis oil, headquartered in Oslo, Norway. Together, the partners aim to further develop Quantafuel’s technology for chemical recycling, consisting of an integrated process of pyrolysis and purification, towards optimizing the output for the use as feedstock in chemical production. In a second step, Quantafuel also plans to license the jointly developed technology to other parties.
Quantafuel plans to start up a pyrolysis and purification plant with a nameplate capacity of approximately 16,000 tons per year in Skive, Denmark in the fourth quarter of 2019. As part of the investment agreement, for a minimum of 4 years after the start-up of production of Quantafuel’s Skive plant, BASF will have a right of first refusal to all pyrolysis oil and purified hydrocarbons from this plant.
BASF will use these secondary raw materials in its ChemCycling(TM) project to develop the market for chemically recycled plastics with selected customers. At BASF’s Ludwigshafen site, the recycled raw materials will be fed into the production Verbund, thereby partially replacing fossil resources. Once the Quantafuel plant in Denmark reaches full capacity, BASF aims to deliver first commercial supply volumes of Ccycled(TM) products, meaning products based on chemically recycled plastic waste, to selected customers. To increase commercial offers, the parties furthermore aim to build jointly owned plants to produce purified hydrocarbons via chemical recycling.