(SABIC), the world leader in the manufacture of various chemicals, signed a memorandum of understanding with the Saudi Investment Company for Recycling (SRC), a company wholly owned by the Public Investment Fund in the Kingdom of Saudi Arabia, to assist the latter in preparing the first chemical recycling project to enable the use of feedstock materials. Recycled plastic.

The memorandum was signed at SABIC headquarters in Riyadh on April 5, 2021, and included a feasibility study on building a chemical recycling plant in the Kingdom to convert mixed plastic waste into pyrolysis oil.

For his part, HE Yousef bin Abdullah Al-Bunyan, SABIC Vice Chairman and CEO, stressed that this strategic cooperation enhances the company’s efforts to contribute to achieving the goals of waste management in the Kingdom, in line with (Saudi Vision 2030). Adding that these efforts come as a confirmation of the commitment made by the G20 - during the Kingdom’s presidency - towards a circular carbon economy, in order to ensure the achievement of a sustainable future that focuses on the environment, energy and climate.

SRC aims to use mixed plastic waste collected from a material recycling facility; To be used as feedstock and to convert into pyrolysis oil.

Eng. Ziyad bin Muhammad Al-Shiha, CEO of SRC, stated that the memorandum aims to contribute to a vital role in the circular economy of the Kingdom, and aims to reduce global warming emissions, protect the environment, and provide a sustainable future for the Kingdom, stressing that the cooperation efforts and common experiences between SRC And (SABIC) will undoubtedly lead to the realization of this project an amazing success, and make it a role model in the Middle East.

Al-Shiha stressed that cooperation with SABIC will give impetus to support the success of the various initiatives set by the national regulatory framework for waste management in the Kingdom, and will also help create new opportunities in the waste management sector.

Within the framework of the memorandum concluded between the two parties, SRC will provide, collect, sort and supply feedstock materials from municipal solid waste to the chemical recycling facility. The two parties will also evaluate the feasibility study of the project, the proposed cooperation and job creation.

Eng. Abdul Rahman bin Saleh Al-Faqih, Executive Vice President of Petrochemicals at SABIC, said that the Kingdom’s pivotal role in the climate change agenda has begun to take shape clearly now, stressing that this cooperation represents a significant step towards achieving (Saudi Vision 2030), expressing his great confidence in SRC experiences and its role in converting waste into opportunities.

The memorandum comes in line with the Truecircle ™ initiative launched by SABIC as part of its vision to achieve a circular economy.

It is worth noting that the (Truecircle ™) package covers certified circular products made by recycling feedstock from hard-to-recycle plastic waste, and includes certified renewable products from the second generation of bio-feed materials, and mechanically recycled products to improve recyclability and usage characteristics. Ultimate, and products designed with concept and features that facilitate the recycling process. The package products are also used in major markets; Such as packaging, electrical and electronics, transportation, building and construction, healthcare and medical devices.