Page 46 - Plastics News January 2022

BUSINESS NEwS

Dow Invests In Recycler, Mr. Green Africa, To Petrobras To Sell Its

Address Waste Management Stake In Braskem

impact the lives of 5,000 razilian state-run oil company
waste pickers and engage BPetrobras (PETR4.SA) expects
more than 250,000 to sell 100% of its preferred stake
consumers in separation in petrochemical producer Braskem
at source programs. Mr. SA (BRKM5.SA) by February.The
detailed timeframe came after Petrobras
Green Africa converts announced earlier in the day that the
locally collected plastic move was planned for the first quarter
waste into high-quality of 2022.Petroleo Brasileiro SA, as
PCR (Post Consumer the company is formally known, also
Recyclates) which is then reiterated in a securities filing that
sold as a substitute for the move will be conducted through
imported virgin plastics a joint follow-on share offering with
as invested in Mr. Green Africa to help to close the conglomerate Novonor. The oil giant
h- the first recycling company in loop on plastic waste. Alongside Dow, has hired JPMorgan to manage the offer.
Africa to be a Certified B Corporation Mr. Green Africa works closely with Petrobras had repeatedly expressed its
- to enable further diversion of plastic brand owners and third-party plastics intention to sell its 36.1% stake in the
waste from informal dumpsites and the manufacturers to access ethically sourced, petrochemical company. Novonor,
environment, drive positive change in locally produced PCR, and support formerly known as Odebrecht, holds
a 38.3% stake in Braskem. Petrobras
local communities, address inadequacies companies in meeting their sustainability is likely to be a key beneficiary of
in existing waste management systems targets. Marco ten Bruggencate, Dow’s that return to profitability, given its
and close the loop on plastics waste Commercial Vice President for Packaging operational flexibility, investment in
across Africa.This investment marks and Specialty Plastics for EMEA said:
the first of its kind from Dow on “Our partnership with Mr. Green Africa
the continent and expects to enable is testament to our commitment to play
approximately 90 kilotons (kt) of plastic our part in solving the plastics waste
waste to be recovered over four years and issue in Africa, where waste collection
recycled into new packaging applications. and sorting is a real challenge. We are
With the support from Dow and other delighted to announce this milestone in
investors, Mr. Green Africa plans to our continued collaboration with Mr.
expand its operations in Kenya where Green Africa, which will enable us to
it is headquartered as well as in other have an even greater impact on diverting
countries in Africa, further extending plastic waste from landfill and giving this
the capabilities of its recycling efforts valuable material a second life.“We’re exploration and productionFinancially,
across the continent. In addition, Dow fully committed to advancing the circular the company is first-in-class, with
and Mr. Green Africa also aim to co- economy for plastics in Africa and the profitability in excess of its peers.
develop more traceable, fair, high-quality rest of the world to mitigate the negative Petrobras' revenues tell the tale of the
post-consumer recyclate (PCR) that impacts of environmental degradation, capital cycle. Revenue for 2020 was
can be used in the production of new in line with our global sustainability $53.68 billion, compared to nearly
flexible plastic packaging – helping brand goals.”Dow’s partnership with Mr. Green $76.6 billion in 2019. Although the
owners and other plastic manufacturers Africa officially launched in November pandemic is responsible for that
achieve their goals towards sustainable 2019 in Kenya and was specifically steep 2020 decline, witnessed by the
company's current/trailing twelve
packaging solutions in Africa. At full established to drive the collection and months (TTM) revenue of $76.5
scale, the investment is expected to create recycling of flexible packaging, which billion, that is still below the company's
approximately 200 more direct jobs, was not supported by existing systems. 2016 numbers: $81.4 billion.

46 PLASTICS NEWS JANUARY 2022