Freepoint Eco-Systems, a Texas-based company that uses advanced recycling technology to secure and recycle plastic, has partnered with Dow, a leader in material sciences, to turn plastic waste into synthetic oil to manufacture new high-quality plastics in Dow's US Gulf Coast operations.

The proposed facility will process plastic waste in the region and is expected to convert ~70% of each ton of waste into pyrolysis oil. This oil will be supplied to Dow to manufacture new products equivalent to virgin-grade plastics. Freepoint’s facility in Eloy, Arizona, is scheduled to begin its first phase in 2026 and could recycle up to 180,000 tons of plastic waste annually when fully operational.

Analyst QuickTake: The latest partnership marks a significant step in Freepoint strengthening its operations in the US, having joined the Cyclyx consortium in July 2023 . Freepoint is also working to have its first commercial recycling facility operating by the second half of 2024 and initially announced plans for its Arizona facility in September 2023 .