LyondellBasell leans toward Europe for second MoReTec recycling plant
LyondellBasell's CEO Peter Vanacker said the group's second MoReTec chemical recycling plant is now expected to be sited in Europe rather than the US, citing stronger regulatory backing for circularity, though no final investment decision has been taken. The shift follows the group's 30 October agreement to sell its former Houston refinery site, once earmarked as a potential second recycling hub, to Valero for USD 320.5m in cash, a deal expected to close by end-2026.
Why this mattersLyondellBasell's preference for Europe over the US for a second MoReTec plant ties chemical recycling capacity to regulatory support, favouring European supply of circular polymers.
- CEO Peter Vanacker said on the Q3 2026 analyst call that MoReTec-2 is now more likely to be built in Europe than in the US, citing stronger regulatory support for circularity there.
- No final location or investment decision has been made; LyondellBasell postponed the MoReTec-2 investment decision last year and revised its circularity volume and value targets earlier this year.
- The first MoReTec plant, a semi-industrial unit, is under construction in Wesseling, Germany, and must be commissioned before MoReTec-2 proceeds.
- On 30 October LyondellBasell agreed to sell its former Houston refinery site, once considered for a second integrated recycling hub, to Valero for USD 320.5m in cash.
- The Houston sale is expected to close by end-2026 subject to regulatory approval and is forecast to improve LyondellBasell's annual cash flow by USD 50m-100m.
- The refinery at the Houston site was shut down in 2025.
Sources
industrylinqs.com