by SHAFIQQUL ALIFF / pic AFP

PETRONAS Chemicals Group Bhd (PetChem), the petrochemical arm of Petroliam Nasional Bhd (Petronas), and ExxonMobil Corp have signed a memorandum of understanding to assess the potential for large-scale implementation of advanced plastic recycling technology to help create a circular economy for plastics in Malaysia.

In a statement, PetChem said that the company will also evaluate opportunities to support improvements to plastic waste collection and sorting in the country.

PetChem MD and CEO Mohd Yusri Mohamed Yusof said it has been continuously exploring and implementing innovative technologies to develop sustainable solutions demanded by its customers. The collaboration is yet another significant step towards the transition into a circular economy on the back of increased demand for circular products and it signifies PetChem’s commitment to using recycled raw materials in the chemical industry.

The agreement builds on a long-standing relationship between ExxonMobil and Petronas that has seen multiple successful collaborations and business ventures in Malaysia and abroad.

In 2019, PetChem signed an agreement with Plastic Energy to convert end-of-life plastics using a pyrolysis process and the facility is on track to be operational by 2025.

In addition, PetChem is collaborating with waste management companies to unlock the value within the solid waste ecosystem in Malaysia. These collaborations will help to divert plastic waste from landfills and create an ecosystem that is conducive to the transition to a circular economy.

Meanwhile, ExxonMobil VP of new market development Dave Andrew said that advanced recycling plays an important role in meeting the growing demand for circular products while helping to address the challenge of plastic waste by leveraging new technologies and the expertise of both organisations.

PetChem is committed to accelerating the region’s transition to a more circular economy for plastics and the company is currently conducting several feasibility studies on plastics recycling.