- BASF invests €20 million in Quantafuel for chemical recycling.
- Quantafuel's Skive plant to start in Q4 2019 with 16,000 tons/year capacity.
- BASF has first refusal rights on pyrolysis oil and purified hydrocarbons for 4 years.
- Recycled raw materials to be used in BASF's ChemCycling project at Ludwigshafen.
Investment and Collaboration
BASF SE is investing €20 million in Quantafuel, a company specializing in the pyrolysis of mixed plastic waste and purification of pyrolysis oil. The investment will be made through the subscription of new shares and a convertible loan. The partnership aims to enhance Quantafuel’s chemical recycling technology, which integrates pyrolysis and purification processes, to optimize the output for use as feedstock in chemical production. Quantafuel also plans to license this jointly developed technology to other parties.
Project Timelines and Capacities
Quantafuel plans to start up a pyrolysis and purification plant in Skive, Denmark, with a nameplate capacity of approximately 16,000 tons per year in the fourth quarter of 2019. For at least four years after the plant's start-up, BASF will have a right of first refusal to all pyrolysis oil and purified hydrocarbons produced at the Skive plant. These secondary raw materials will be used in BASF’s ChemCycling project to develop the market for chemically recycled plastics.
Production and Supply
At BASF’s Ludwigshafen site, the recycled raw materials will be fed into the production Verbund, partially replacing fossil resources. Once the Quantafuel plant in Denmark reaches full capacity, BASF aims to deliver the first commercial supply volumes of Ccycled products, which are based on chemically recycled plastic waste, to selected customers. The parties also plan to build jointly owned plants to produce purified hydrocarbons via chemical recycling.
Regulatory and Market Development
To fully develop the market for chemically recycled products, regulatory issues need to be addressed. Authorities are encouraged to establish a technology-open definition of recycling and provide equal incentives for all types of recycling. Full acceptance of mass balance approaches is also necessary to support the market development.
