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Dow and Freepoint Eco-Systems Supply & Trading LLC announced an agreement for an estimated 65,000 metric tons per year of certified-circular, plastic waste-derived pyrolysis oil to produce new, virgin-grade equivalent plastics in Dow's U.S. Gulf Coast operations. Together, Dow and Freepoint Eco-Systems are building a recycling system that converts plastic waste into valuable materials and fosters a circular economy for plastics in North America.
The pyrolysis oil will be produced at a new advanced recycling facility owned and operated by Freepoint Eco-Systems Eloy Recycling LLC, a Freepoint Eco-Systems affiliate. Once completed, the new advanced recycling facility, to be constructed in Arizona, will be ISCC Plus-Certified. The facility will process end-of-life plastic waste in the region, diverting it from landfills or incineration, by converting that waste into recycled pyrolysis oil. For every ton of plastic waste, approximately 70% is expected to be converted to pyrolysis oil and sold exclusively to Dow for phase one of the facility, beginning as early as 2026.
Utilizing the circular liquid supply, Dow will produce new products with virgin-grade equivalent plastics, replacing those made from conventional feedstock. The resulting circular products will be suitable for use in various applications including food-grade packaging (such as pet food, confectionery, and snacks) as well as medical and pharmaceutical packaging, while maintaining existing product performance and reducing reliance on fossil feedstocks.
As Freepoint Eco-Systems previously announced, once fully operational, the new facility will have a total nameplate capacity to recycle approximately 180,000 tons of plastic waste per year – equivalent to the weight of approximately 9,000 fully loaded semi-trailer trucks. Phase one, expected to start up in 2026, will initially process 90,000 tons of waste, yielding 65,000 metric tons of pyrolysis oil sold exclusively to Dow. The facility will be located in Eloy, Arizona, on 40 acres of undeveloped land.
Dow and Freepoint Eco-Systems share a commitment to advancing more sustainable, commercially viable, innovative solutions that build a global circular economy. This agreement is an example of how Dow works with expert partners to scale a materials ecosystem that aims to unlock the value of waste and build a progressive recycling infrastructure for plastics. Explore more by visiting dow.com/materialsecosystem.