(Photo: REUTERS/Jessica Rinaldi/File Photo)
Exxon Mobil Corp. has announced a $200 million investment to significantly expand its advanced plastic recycling capacity in Texas, marking a major step in its effort to address the global plastic waste crisis. The initiative comes as the company faces a lawsuit from California accusing it of misleading the public about the efficacy of recycling in tackling the growing plastic pollution problem.
The expansion, targeting facilities in Baytown and Beaumont, Texas, will increase Exxon's capacity to recycle difficult-to-process plastics such as potato-chip bags, artificial turf, and industrial packaging. By 2026, Exxon aims to process up to 500 million pounds of plastic waste annually in Texas, up from 80 million pounds currently handled at its Baytown facility. The broader goal is to recycle 1 billion pounds of waste globally by 2027 using its proprietary pyrolysis-based Exxtend recycling technology.
Karen McKee, president of Exxon Mobil Product Solutions, emphasized the company's commitment to addressing environmental concerns. "We are as concerned as anybody else about the leakage of plastic waste into the environment," McKee said. "This is real, and, by the way, we're spending real money."
Exxon's announcement comes as California ramps up its legal challenge against the oil giant. Filed in September, the lawsuit accuses Exxon of misleading the public with marketing campaigns that promised recycling would address the burgeoning plastic waste problem. The complaint claims Exxon promoted recycling as a viable solution even as it increased production of single-use plastics. Exxon has denied the allegations, insisting that its advanced recycling technologies provide effective solutions.
"This investment is a testament to the potential of advanced recycling technologies to tackle plastic waste," McKee said, adding that Exxtend can convert previously non-recyclable plastics into petrochemicals for new products. She noted that customers are willing to pay a premium for certified circular plastics, which Exxon plans to sell as a sustainable alternative to virgin materials. "For every ton of post-use plastic that we are processing, we're backing out a ton of fossil-fuel feed," McKee said.
The United Nations estimates that 23 million tons of plastic waste enter the world's waterways each year, with less than 10% of all global plastic waste ever being recycled. Advanced recycling technologies like Exxon's Exxtend aim to tackle this problem by breaking down plastics that cannot be reprocessed using traditional methods. These innovations could play a crucial role in reducing the environmental impact of plastic waste.
Exxon's rivals are also advancing their recycling technologies. LyondellBasell Industries, a competitor in the chemicals space, is developing its MoReTec recycling technology. The company plans to install a large MoReTec unit in Houston after shutting down a local refinery next year.
Critics, however, remain skeptical about the overall impact of advanced recycling efforts. Environmental advocates argue that these initiatives fall short of addressing the root causes of plastic waste and are often used to deflect criticism from the industry's role in perpetuating single-use plastics.
Despite the criticism, Exxon asserts that its approach aligns with both environmental priorities and shareholder interests. "Revenue we raise from [certified circular plastics] is sufficient for us to have an attractive investment for our shareholders," McKee said.
The expanded recycling facilities in Texas will join Exxon's growing portfolio of advanced recycling operations worldwide. The company hopes that these efforts will not only reduce reliance on fossil fuels for new plastics but also demonstrate its commitment to tackling the environmental challenges posed by plastic waste.
