RCS - Loop Industries - Loop Industries Announces European Facility Site

Loop IndustriesAnnouncement

17/01/2022 08:10

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RNS Number : 5597Y  Loop Industries  17 January 2022

 

·      FACILITY TO SUPPORT SUSTAINABILITY OBJECTIVES OF EUROPEAN
CONSUMER PACKAGED GOODS COMPANIES

·      BREAKING GROUND OF NEW FACILITY TARGETED FOR 2023 WITH FACILITY
STARTUP AND COMMISSIONING APPROXIMATELY 18 MONTHS LATER

·      INFINITE LOOP™ MANUFACTURING MODEL DESIGNED TO PRODUCE 70,000
TONNES OF VIRGIN-QUALITY PET RESIN MADE FROM 100% RECYCLED CONTENT ANNUALLY

·      PROJECTED 255,000 TONNES OF CO(2) SAVINGS ANNUALLY( 1 ) COMPARED
TO VIRGIN PET RESIN MADE FROM FOSSIL FUELS

MONTREAL, QC / ACCESSWIRE / January 16, 2022 / Loop Industries, Inc.
(NASDAQ:LOOP) (the "Company" or "Loop"), a clean technology company, whose
mission is to accelerate a circular plastics economy by manufacturing 100%
recycled polyethylene terephthalate ("PET") plastic and polyester fiber, today
announced the selection of the site for its first European Infinite Loop™
manufacturing facility. As previously disclosed, Loop and leading French
environmental services group Suez, have announced their intent to form a joint
venture to build the first Infinite Loop™ manufacturing facility in Europe.
The two companies have secured exclusive rights until June 2022 to purchase a
130,000 m² parcel of land in Port-Jérôme-sur-Seine, in the region of
Normandy in Northern France. The purchase price for the land is approximately
€1.3 M.

The site is strategically located for waste plastic feedstock transportation
via the Seine River from the Paris region and is well located to service the
large French CPG brand companies. The capital investment required for the
project is expected to be €250 M and the project is expected to create 180
full-time manufacturing and engineering jobs. The next major steps for the
project include permitting, finalizing customer offtake agreements and
financing, including support from the French government. Following the
completion of permitting, construction of the facility is expected to begin in
2023, with commissioning approximately 18 months later.

The Infinite Loop™ manufacturing model is designed to produce 70,000 tonnes
of PET resin made from 100% recycled content per year. The facility will
provide an opportunity for global CPG brands based in France to accelerate the
achievement of their sustainability objectives by gaining access to locally
produced virgin-quality PET plastic and polyester fiber made entirely from
waste material. At full capacity, the facility is projected to save over
255,000 tonnes of CO(2) annually, when compared to virgin PET resin made from
fossil fuels. This CO(2) reduction is comparable to the emissions from over
108 million liters of gasoline or over 1 billion kilometers driven by an
average passenger vehicle. The majority of the incoming waste plastic
feedstock for the facility is currently not recycled and contributes to the
waste plastic pollution problem. The facility is aligned with European plastic
regulation and objectives, such as the EU's plastic levy, which charges €800
per tonne of non-recyclable plastic waste, as well as France's ambition to
transition to 100% recyclable plastic by 2025.

Port-Jérôme was selected after an extensive review of several dozen
potential sites across Europe. The Normandy region offers a skilled labor
pool, favorable logistics and a supportive regional government which has
articulated a clear vision of a more sustainable future focused on the
circular economy. The Infinite Loop™ France manufacturing facility will
create circularity in plastic packaging for leading global consumer brands
based in France, including Danone, L'Oréal and L'Occitane, and help them meet
their commitments for a high level of recycled plastic content.

Support From the French Government

Various levels of the French government recognize the value that circular
economy solutions like Loop's can bring to the country and have indicated
their support of the project. Agnès Pannier-Runacher, Minister Delegate for
Industry, attached to the Minister of the Economy, Finance and the Recovery
stated: "For the past five years, the Government has carried out a very
ambitious program to enhance the attractiveness of France. These efforts have
been rewarded in 2018, when France was designated, for the first time, the
leading host country in Europe for industrial foreign investments, and in
2019, for the whole foreign investments. A rank which we have held since. The
Infinite Loop™ project demonstrates investors' confidence in our country's
strengths. I am delighted that this new facility will benefit the strong
French ecosystem of packaging: this investment will contribute to the
transition of our country towards a more sustainable, low-carbon economy. It
is a milestone of the development of circular economy technologies."

Hervé Morin, the President of Normandy, is pleased to welcome Loop to the
region. Mr. Morin stated, "I am pleased that Loop Industries has selected
Normandy, after considering numerous site options in France and abroad. The
Loop investment in the facility in Normandy confirms that the economic
strategy adopted by the region is the right one: to reinforce our historical
industrial base and further enhance it by adapting to global developments and
supporting industries which will create value in the future. The circular
economy, as in the case of Loop, but also decarbonization, energy mix and
hydrogen economy, are examples of industries the region is supporting which
create economic value while reinforcing sustainable development. The region is
becoming recognized as an attractive area for projects based on sustainable
economic development."

Providing a Circular Solution for French Consumer Packaged Goods Brands

Loop and Danone's development partnership spans over four years, during which
time the businesses have worked in close collaboration to bring sustainable
packaging to consumers. Nicolas Grégoire, Vice-President Packaging Cycle at
Danone, said of the upcoming Infinite Loop™ France facility: "At Danone, we
believe that cutting-edge technologies will be instrumental to reach our
circularity and net zero climate ambition. The announcement of Loop's first
European facility in Port-Jérôme signals an important step to establish
'infinite' closed-loop recycling for PET bottles and enable the recycling of
hard-to-recycle packaging and materials. This facility in France not only will
sustain our transition to 100% recycled PET in our packaging, it will also
have a positive impact in the region and strengthen the local circular
ecosystem."

"We are very pleased to know that Loop technology will soon be available in
France to supply recycled PET plastic for our products," said Jacques Playe,
Head of Packaging & Development at L'Oréal. "We consistently strive to
deliver on our commitments to sustainability. By 2030, 100% of the plastic
used in our packaging will be either from recycled or bio-based sources. Our
partnership with Loop Industries is aligned with our ambition."

Loop client and international cosmetics brand L'OCCITANE en Provence also
voiced its support of the project, with David Bayard, R&D Packaging
Director stating: "L'OCCITANE en Provence is very conscious of the importance
of eco-design and sustainable packaging. We have been launching eco-refill
products, in-store recycling services and bottles made out of 100% recycled
plastic for more than 13 years and are continuing to progress on this. We are
delighted to partner with Loop Industries, whose innovative technology will
help us achieving our target of 100% sustainable PET plastic in all our
bottles by 2025. This new Loop Industries plant in France will enable us
access to locally sourced, 100% recycled PET plastic. The innovative
technology they provide is a game-changer that can help us fundamentally
contribute to solving the growing global concern about plastic pollution."

Choose France Business Summit

This announcement aligns with the objectives of the 2022 Choose France
Business Summit. The forum seeks to promote France's economic attractiveness
and encourage international investment across the country. This forum sets the
ideal stage to announce Loop's plans to import its technology and accelerate a
circular plastics economy in France.

About Loop Industries

Loop Industries is a technology company whose mission is to accelerate the
world's shift toward sustainable PET plastic and polyester fiber and away from
our dependence on fossil fuels. Loop Industries owns patented and proprietary
technology that depolymerizes no and low-value waste PET plastic and polyester
fiber, including plastic bottles and packaging, carpets and textiles of any
color, transparency or condition and even ocean plastics that have been
degraded by the sun and salt, to its base building blocks (monomers). The
monomers are filtered, purified and polymerized to create virgin-quality
Loop™ branded PET resin suitable for use in food-grade packaging and
polyester fiber, thus enabling our customers to meet their sustainability
objectives. Loop Industries is contributing to the global movement towards a
circular economy by reducing plastic waste and recovering waste plastic for a
sustainable future.

Common shares of the Company are listed on the NASDAQ Global Market under the
symbol "LOOP."

For more information, please visit www.loopindustries.com
(https://pr.report/3UpAC2KX) . Follow Loop on Twitter: @loopindustries
(https://pr.report/2HpqaRwy) , Instagram: loopindustries
(https://pr.report/x8R53IDh) , Facebook: Loop Industries
(https://pr.report/gLX3rlaM) and LinkedIn: Loop Industries
(https://pr.report/-yxdOANj)

Forward-Looking Statements

This news release contains "forward-looking statements" as defined in the U.S.
Private Securities Litigation Reform Act of 1995. Such statements may be
preceded by the words "intends," "may," "will," "plans," "expects,"
"anticipates," "should," "could," "projects," "predicts," "estimates," "aims,"
"believes," "hopes," "potential" or "continue" the negative of such terms or
similar words. These forward-looking statements include, without limitation
statements about Loop's market opportunity, its strategies, ability to improve
and expand its capabilities, competition, expected activities and expenditures
as Loop pursues its business plan, the adequacy of its available cash
resources, regulatory compliance, plans for future growth and future
operations, the size of Loop's addressable market, market trends, and the
effectiveness of Loop's internal control over financial reporting.
Forward-looking statements are not guarantees of future performance, are based
on certain assumptions and are subject to various known and unknown risks and
uncertainties, many of which are beyond Loop's control, and cannot be
predicted or quantified and consequently, actual results may differ materially
from those expressed or implied by such forward-looking statements. Such risks
and uncertainties include, without limitation, risks and uncertainties
associated with among other things: (i) commercialization of Loop's technology
and products, (ii) Loop's status of relationship with partners, (iii)
development and protection of Loop's intellectual property and products, (iv)
industry competition, (v) Loop's need for and ability to obtain additional
funding, (vi) building Loop's manufacturing facility, (vii) Loop's ability to
scale, manufacture and sell its products in order to generate revenues, (viii)
Loop's proposed business model and its ability to execute thereon, (ix)
adverse effects on Loop's business and operations as a result of increased
regulatory, media or financial reporting scrutiny and practices, rumors or
otherwise, (x) disease epidemics and health related concerns, such as the
current outbreak of a novel strain of coronavirus (COVID-19), which could
result in (and, in the case of the COVID-19 outbreak, has resulted in some of
the following) reduced access to capital markets, supply chain disruptions and
scrutiny or embargoing of goods produced in affected areas, government-imposed
mandatory business closures and resulting furloughs of Loop's employees,
government employment subsidy programs, travel restrictions or the like to
prevent the spread of disease, and market or other changes that could result
in noncash impairments of our intangible assets, and property, plant and
equipment, (xi) the outcome of the current SEC investigation or recent class
action litigation filed against Loop, (xii) Loop's ability to hire and/or
retain qualified employees and consultants and (xiii) other factors discussed
in Loop's subsequent filings with the Securities and Exchange Commission
("SEC"). More detailed information about Loop and the risk factors that may
affect the realization of forward-looking statements is set forth in Loop's
filings with the SEC. Investors and security holders are urged to read these
documents free of charge on the SEC's web site at http://www.sec.gov
(https://pr.report/G9d4TuSz) . Loop assumes no obligation to publicly update
or revise its forward-looking statements as a result of new information,
future events or otherwise.

For More Information:

Media Inquiries:

Stephanie Corrente, Director Marketing & Communications

Loop Industries, Inc.

+1 (450) 951-8555
scorrente@loopindustries.com (mailto:scorrente@loopindustries.com)

Laurent Auguste, President, Europe

Loop Industries, Inc.

+33 6 29 89 23 36
lauguste@loopindustries.com (mailto:lauguste@loopindustries.com)

Investor Relations:

Kevin C. O'Dowd, Vice-President Communications & Investor Relations

Loop Industries, Inc.

+1 617-755-4602
kodowd@loopindustries.com (mailto:kodowd@loopindustries.com)

 1  Source: 2021 Lifecycle Assessment of Loop Industries depolymerization
technology.

SOURCE: Loop Industries, Inc.

 

 

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