The Closed Loop Fund has announced it will invest US$ 3 million in Ohio-based firm PureCycle Technologies to help it scale up a promising polypropylene recycling technology.
PureCycle Technologies produces recycled polypropylene (PP) ‘with virgin-like properties’. Its innovative process is said to have the power to notably increase the recovery of contaminated and colored PP streams into higher-value applications. The US$ 3 million dollar investment by the Closed Loop Fund will allow PureCycle to establish its first facility in Ironton.
Once it is operational, the new recycling facility is expected to handle both post-consumer mixed rigid plastics and post-industrial scrap materials from material recovery facilities. At scale, PureCycle will have the capacity to treat more than 105+ million pounds of recycled PP every single year.
‘An unmet need’
‘This is a case where a hundred-billion-dollar industry required new technology to meet a compelling, unmet need,’ says Mike Otworth, ceo of PureCycle Technologies. ‘We’re thrilled to have Closed Loop as an investor and a supporter of PureCycle Technologies. Until now, recycled PP had limited applications. We’re single-handedly removing those limitations and giving companies the choice to use more sustainable, recycled resins,’ he adds.
‘Our goal is to build circular supply chains,’ comments Ron Gonen, ceo of the Closed Loop Fund, which was founded in 2014. ‘Our CPG partners want post-consumer recycled PP, but we need technologies like PureCycle to ensure enough material is available at the specifications brands need. We anticipate significant market opportunity for PureCycle,’ he goes on to state.
The Closed Loop Fund was launched to ensure cities in the US have the capital required to build comprehensive recycling programmes. Gonen points out that the fund intends to invest US$ 100 million by 2020 in a bid to boost recycling rates in communities across America and thus making the circular economy a reality.
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