Avantium secures Resilux offtake deal in major boost to flagship PEF bioplastic plant
08 Apr 2021 --- Biopolymer pioneer Avantium has signed a conditional offtake agreement with Resilux, an international rigid plastic packaging supplier, for the supply of PEF (polyethylene furanoate) resin from the planned Avantium FDCA flagship plant, bringing the total of such offtake contracts to five.
The planned FDCA flagship plant is set to produce 5 kt of FDCA (furandicarboxylic acid) annually, the critical building block for fossil-free, recyclable PEF polymers.
Including an additional commitment from one of the previously announced offtake partners, the five conditional offtake agreements represent a total offtake volume of over 50 percent of the flagship plant’s FDCA production capacity.
Avantium indicates the Resilux agreement marks an important step toward a positive Final Investment Decision (FID) to construct the world’s first commercial FDCA plant, which it plans to open in 2023.
The company previously announced offtake contracts with specialty chemical company Toyobo (Japan), specialty polyester film producer Terphane (US), the beverage bottling company Refresco (Netherlands), and an undisclosed major global F&B brand owner.
Avantium is also collaborating with beer brewer Carlsberg to develop PEF-based beer packaging, notably the Green Fibre Bottle.
The offtake commitments are subject to a positive FID, financial closing, other customary approvals, and party-specific conditions.
PEF compliments PET recyclability
With the secured offtake commitment from Resilux (Belgium), PEF will be broadly introduced to the international market for high-value applications varying from monolayer bottles, multilayer bottles and polyester film products for F&B packaging and electronics.
The Resilux deal represents a milestone in Avantium’s plan to open the world’s first commercial FDCA plant in 2023.PEF can be used as a barrier material in multilayer PET bottles, leading to improved recyclability compared to multilayer bottles with other barrier materials such as nylon, Avantium highlights.
Resilux is convinced the unique properties of PEF are complementary to recycled PET and will improve the unique position PET already has in the market as a sustainable packaging material.
“With PEF we can continue to prove the power of PET as a safe, sustainable and recyclable packaging material,” says Dirk De Cuyper, Resilux Group CEO.
“In combination with our constant focus on the expansion and development of high-quality PET recycling solutions, PEF will allow us to offer sustainable solutions in special, high-end applications.”
“We are pleased to be one of the first companies that will bring this innovative material to the market as it builds upon the ‘Design for Recycling’ strategy Resilux has for all its products.”
Avantium CEO, Tom van Aken, adds: “We are delighted with the commitment of Resilux, who represents an important part of the value chain in making PEF packaging available for a range of beverages.”
“We value the support and the close collaboration with such an excellent partner. We believe that the five signed offtake commitments made to date mark an important milestone on our road to the final investment decision for the construction of FDCA flagship plant.”
Avantium indicates PEF can boost PET bottle recyclability and potentially replace PET altogether.
Can PEF replace PET?
Avantium has suggested its flagship biopolymer PEF can also replace PET as regulations against fossil fuel-based plastics become more stringent.
“We believe PEF – a 100 percent recyclable, plant-based and high-performance polymer – is the plastic material of the future,” van Aken told PackagingInsights in a recent in-depth interview.
“It helps meet the growing demand for circular and renewable products that tackle major environmental issues, such as climate change and plastic accumulation.”
One of the key challenges the industry faces in bringing PEF to market is cost, says van Aken. He explains that PEF production must reach a much higher scale to achieve a price competitive with PET.
“This is why we have decided to license our technology instead. Aside from being the most capital-efficient way to commercialize our technologies, we believe it is also the fastest way to bring our sustainable solutions to market and achieve the economies of scale to enable mass adoption of PEF.”
By Joshua Poole
