Petronas Chemicals Group Berhad to construct Asia’s largest advanced chemical recycling plant with a capacity of 33 kilo-tonnes per annum (ktpa) to be located in Pengerang, Johor, and operational by the first half of 2026.
The announcement also saw the signing of the Technology License Agreement between PCG’s subsidiary and Plastic Energy Limited (Plastic Energy) and the awarding of the Engineering, Procurement, and Construction to Mutiara Etnik Sdn. Bhd.
As part of the group’s New Plastics Economy agenda to support the transition towards a circular economy and contribute to a sustainable plastics ecosystem, the plant will unlock plastics waste chemical recycling capabilities in Malaysia through the conversion of end-of-life plastics into pyrolysis oil or TACOIL™, which can be used as chemical feedstock towards the production of sustainable plastics.
“Through the advanced chemical recycling plant, we envision driving innovation across the plastics value chain while creating opportunities for all parties, from waste collectors to manufacturers, to jointly contribute to the circular plastics economy. This enables us to propel the nation’s aspiration in phasing out single-use plastics, in line with Malaysia’s Plastic Sustainability Roadmap 2021-2030, while fulfilling the growing demand from major brands for sustainable packaging,” said PCG Managing Director / Chief Executive Officer Ir. Mohd Yusri Mohamed Yusof.
PCG said the advanced chemical recycling plant will benefit Malaysia’s plastics value chain beyond closing the loop of the plastics life cycle by creating an ecosystem that promotes the transition to a circular economy.
