European Chemical Industry News & Insights

BASF and ARCUS Partner to Produce Pyrolysis Oil from Plastic Waste

At a glance
  • ARCUS will supply up to 100,000 tons of pyrolysis oil per year to BASF.
  • The ARCUS process unit in Frankfurt is the first commercial-scale plant in Germany.
  • BASF will use the pyrolysis oil to produce Ccycled™ products.
  • The recycled raw material proportion is verified by an independent auditor.

Agreement Overview

BASF SE has signed a framework agreement with ARCUS Greencycling Technologies GmbH for the purchase of pyrolysis oil derived from mixed plastic waste. This collaboration aims to enhance the circular economy by recycling plastic waste that cannot be mechanically recycled and reducing CO2 emissions. ARCUS will supply BASF with pyrolysis oil and plans to expand its production capacities in the coming years.

Production and Supply

The ARCUS process demonstration unit in Frankfurt is the first commercial-scale plant in Germany to produce pyrolysis oil from mixed plastic waste. The agreement includes a provision to increase the supply to up to 100,000 tons of pyrolysis oil per year. This guaranteed purchase allows ARCUS to build additional plants with higher capacities, contributing significantly to closing material cycles.

Utilization in BASF's Production

BASF will integrate the pyrolysis oil into its production network in Ludwigshafen, replacing fossil resources. The recycled raw material will be allocated to products manufactured using a mass balance approach, verified by an independent auditor. Products labeled with the suffix “Ccycled™” will have the same properties as conventionally manufactured products, making them suitable for high-quality applications such as automotive parts.

Strategic Importance

This agreement is a key component of BASF’s ChemCycling™ business, which focuses on the chemical recycling of non-recycled post-consumer plastic waste on an industrial scale. The collaboration with ARCUS underscores BASF’s commitment to resource conservation and the transition to a circular economy.