Saudi Investment Recycling Company (SIRC), a wholly-owned subsidiary of Saudi Public Investment Fund (PIF) and the Kingdom’s chemicals giant SABIC have entered into a Memorandum of Understanding (MoU) to join in SIRC’s first chemical recycling project which enables use of recycled plastic feedstock.
As part of the MoU, SIRC will source, collect, sort, and supply the feedstock for the facility from municipal solid waste, the SABIC’s statement said. Further, Mixed Plastic Waste (MPW) collected from the Materials Recovery Facility (MRF) would be used as feedstock to be converted into Pyrolysis oil.
“This strategic collaboration will help us in our efforts to contribute to fulfilling the Kingdom’s waste management objectives aligned with Saudi Vision 2030. This also reinforces the Saudi G20 Presidency’s commitment to Circular Carbon Economy (CCE) ensuring a sustainable future focusing on environment, energy and climate.”
The MoU has proposed a feasibility study on building the chemical recycling plant to convert MPW into pyrolysis oil. Both SIRC and SABIC will assess project feasibility and job creation, the statement noted.
“The collaboration with SABIC will give an impetus to our support to the success of various initiatives identified by the Kingdom’s Waste Management National Regulatory Framework. It will also help create new opportunities in the waste management sector,” added Ziyad Al Shiha, Chief Executive Officer of SIRC.
Commenting on the new partnership between SABIC and SIRC, Abdulrahman Saleh Al-Fageeh, Executive Vice President of Petrochemicals at SABIC, said, “We can now clearly foresee a significant role of Saudi Arabia having a tangible part in the Climate Change agenda. The new collaboration will be a milestone toward Saudi Vision 2030. We are very much confident of SIRC’s expertise and role in converting the waste into opportunity.”
The MoU is in line with SABIC’s TRUCIRCLE initiative which covers certified circular products, made through feedstock recycling of plastic waste, certified renewable products from second-generation bio-based feedstock, mechanically recycled products to improve recyclability and end-use properties and design for recyclability for products that have better recyclability characteristics.
The TRUCIRCLE initiative has applications in key end markets including packaging, electrical & electronics, transportation, construction and healthcare.