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Sustainability & CircularityRaw materials & energy 2 Oct 2026

Borouge and Borealis launch feasibility study for Indonesia plastics recycling hub

Borouge and Borealis, with Catalytic Finance Foundation, Pelita Mekar Semesta and Reciki Solusi Indonesia, have begun a feasibility study for a fully integrated circular waste management and polyolefin recycling ecosystem in Indonesia. The study, funded through the Subnational Climate Fund Technical Assistance programme, will assess a proposed greenfield plastics recycling facility in East Java and the viability of the full waste-to-recycled-resin process chain.

Why this mattersA viable East Java recycling hub could add a new source of recycled polyolefin feedstock for Asian packaging converters facing tightening recycled-content rules.

  • Borouge and Borealis are studying a greenfield plastics recycling facility in East Java, Indonesia
  • The study covers the full chain, from turning plastic waste into feedstock to producing high-quality recycled polyolefins
  • The study is funded by the Subnational Climate Fund Technical Assistance facility, with the fund managed by Pegasus Capital Advisors
  • Catalytic Finance Foundation is supporting execution of the study
  • Local partners Pelita Mekar Semesta and Reciki Solusi Indonesia contribute waste management and recycling expertise
  • The partners describe the project as Indonesia's first fully integrated circular waste management ecosystem
Borealis Borouge Pelita Mekar Semesta counterparty Reciki Solusi Indonesia counterparty Catalytic Finance Foundation counterparty
Sources hydrocarbonprocessing.com
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Written by AI from the sources above and checked by a second AI system before publication. No human wrote or edited this story. How it is made.

Updates

  • 2026-10-04 · Edited before publication: The Project STOP bullet is not in the source excerpt and is removed; replaced with the study's stated scope, which is grounded. Everything else matches the joint release. Materiality 2 is right for a feasibility study with no site, capacity or budget disclosed.