Page 52 - Plastics News March 2025
P. 52
BUSINESS NEWS
PureCycle maintains price
expectations for its R-PP resin
for roofing materials and asphalt applications.
The second co-product is a pelletized mixture
of PE and ash content. Spokesperson Christian
Bruey said in an email that the PE pellets have
attracted interest from companies that use black
or gray mechanically recycled resin.
In the earnings call, Olson said sales prices for
these co-products were in the 22-55 cent per
pound range, and proceeds would help lower
overall feedstock costs.
espite recent volatility in the virgin res-
in market, PureCycle has not adjusted Olson called the potential market for recycled
Dpricing expectations for its recycled PP, PP “enormous,” with the virgin market nearing
CEO Dustin Olson said in the company’s quar- 200 billion pounds a year globally.
terly earnings call.
Rigid packaging is the largest North American
Olson said the company still expects to sell its market for PP, at about 3.8 billion pounds each
R-PP at $1.36 per pound. He cited lower utility year, Olson said. Servicing this segment can help
costs at the Ironton site in Ohio, and startup of PureCycle ramp up production at “attractive unit
the company’s new plastics sorting facility in margins.”
Pennsylvania for helping offset the challenge of
competitively priced virgin resin and rising prices Flexibles and film also present opportunities, he
for post-consumer PP bales. said, and PureCycle has developed a 30% R-PP
compound for flexible applications, with two pi-
In the end, Olson said pricing for PureCycle’s lot trials in progress and more expected to begin
output is disconnected from virgin resin pricing. soon. “This is a massive largely undersupplied
“I feel really good about our pricing, really, re- market with very high demand,” he added.
gardless of where the virgin pricing goes.”
These and numerous other developments give
In addition, the company expects to generate the company a “tremendous amount of confi-
revenue from the site’s two co-products, which dence that we can sell out Ironton in the near fu-
comprise about 5% of the plant’s feedstock, Ol- ture,” Olson said. “Success in these trials should
son said. The first, a waxy material consisting pri- accelerate the need for a global expansion as
marily of low-molecular weight PP, has received our ability to supply our customers’ stated needs
interest from companies producing adhesives will be constrained.”
52 PLASTICS NEWS March 2025
