Plans for a large-scale advanced soft plastics recycling facility in Australia have taken a step forward, with Cleanaway and Viva Energy completing a pre-feasibility study for the project.
The proposed facility would convert soft plastics into food-grade recycled material, using Cleanaway’s collection network and Viva Energy’s refining and polymerisation capabilities. The companies signed a Memorandum of Understanding on 3 April 2025 and will now begin a 12-month feasibility and engineering study.
Lachlan Pfeiffer, Chief Strategy Officer at Viva Energy, said there is a clear need and appetite for this infrastructure in Australia, driven by growing recognition of the need for a domestic circular solution to the soft plastic challenge.
“This is another example of Viva Energy expanding the diversity of feedstock being utilised through the refinery as we continue to navigate a new pathway for the future of this critical infrastructure.
“Ours is the only Australian refinery with a polypropylene plant, so Viva Energy will have a critical role to play in establishing a fully closed loop to transform waste plastics into new food-grade plastics in this country.”
This next phase will focus on sorting plastics and converting them into pyrolysis oil. It will involve working with technology providers and engineering firms to create an integrated concept design and assess capital and delivery costs.
The Front-End Engineering and Design (FEED) stage is expected to begin in 2026, pending finalisation of the Australian Government’s packaging reform, known as the Extended Producer Responsibility (EPR) scheme.
Frank Lintvelt, Executive General Manager, Strategy, Mergers & Acquisitions at Cleanaway, said
they are looking to establish a pathway to a fully circular solution for soft plastics in Australia.
“Soft plastics are high on the list in our conversations with municipal and commercial customers looking for sustainable outcomes for this problematic waste stream. Cleanaway is uniquely positioned to leverage its national collection and processing footprint to deliver a solution at scale together with Viva Energy.”
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