Florida-based chemical recycling firm PureCycle Technologies Inc. says beginning early this month at its polypropylene (PP) recycling facility in Ironton, Ohio, it has reached a feedstock introduction rate of “over 10,000 pounds (five tons) per hour and has twice processed more than 200,000 pounds (100 tons) of feedstock in one day.”
The company calls those outcomes “meaningful progress,” and PureCycle CEO Dustin Olson remarks, “These were two of our near-term goals that we announced during our previous corporate update. The inflection in production that we discussed during the Q2 earnings call is visible, and we are excited with these results.”
Adds Olson, “The facility has continued to show progress in the key production areas of feed rates and uptime. This gives us confidence in our ability to achieve our third quarter goal of 1 million pounds ( tons) of production in a week, and we look forward to updating the market in due course.”
The increase in scale prompts Olson to add, “PureCycle is also excited to enter a new phase as the company transitions from a pre-revenue company to a commercial operation.”
Also on the commercialization front, PureCycle says it continues to make progress with its compounding strategy, customer sampling efforts and plans for increased revenue in this year’s fourth quarter.
The company says it has compounded approximately 25,000 tons to date, with another 500 tons planned for September, and more than 1,500 tons per month planned for the fourth quarter. PureCycle says it “expects the majority of this material to be sourced into the [fabric] fiber market following the company’s early successes with these applications.”
The plastic recycling company also says it has entered into a series of transactions with California-based Sylebra Capital Management and New York-based Samlyn Capital LLC “to raise gross proceeds of $90 million.”
The transactions involve PureCycle common and preferred stock and an extension of Sylebra Capital’s $200 million line of credit to PureCycle through the end of March 2026.
PureCycle says the capital raised is expected to enable it “to continue executing on its plan to bring its world leading purification process to the market.”
“This capital not only supports our existing operations but will also help fund additional activities associated with our Augusta project,” says Olson of the firm’s plans to operate a facility in Georgia. “This investment combined with the progress we are seeing on our production and commercialization efforts at the Ironton facility should enable us to drive toward our long-term goals.”
Remarks Dan Gibson, chief information officer of Sylebra Capital Management, “Bringing to market next-generation technology is never easy, but the tangible production progress we are seeing in Ironton is undeniable. The operational momentum we are building is increasing our confidence in PureCycle’s long-term success.”
Courtesy : recyclingtoday.com
