Carbios Obtains Building and Operating Permits, in Line With Announced Schedule, for World's First PET Biorecycling Plant in Longlaville

2023-10-26 04:48

CLERMONT-FERRAND, France--(BUSINESS WIRE)--Oct 26, 2023--

Carbios Obtains Building and Operating Permits, in Line With Announced Schedule, for World's First PET Biorecycling Plant in Longlaville

CLERMONT-FERRAND, France--(BUSINESS WIRE)--Oct 26, 2023--

Regulatory News:

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Emmanuel Ladent, Carbios CEO (third from left) and Mr Toudma, Mayor of Longlaville (second from right) with members of the Carbios team at the Nancy Prefecture (54). (Photo: Carbios)

Carbios, (Euronext Growth Paris: ALCRB) (Paris:ALCRB), a pioneer in the development and industrialization of biological technologies to reinvent the life cycle of plastic and textiles, announces that it has been granted the building permit and operating authorization for the world's first PET 1 biorecycling plant, allowing construction to start. The plant will be built in Longlaville (54) in the Grand-Est Region on a 13.7-hectare site adjacent to the existing PET production plant of Indorama Ventures, its strategic partner. This state-of-the-art facility, scheduled for commissioning in 2025, will play a crucial role in the fight against plastic pollution by providing an industrial-scale enzymatic recycling solution for PET waste. Carbios' technology enables PET circularity and offers an alternative raw material to virgin fossil-based monomers, allowing PET producers, chemical companies, waste management firms, public entities, and brands to have an effective solution to meet regulatory requirements and fulfill their sustainability commitments. The plant will have a processing capacity of 50,000 tons of post-consumer PET waste per year (mostly waste that is non-recyclable mechanically, equivalent to 2 billion colored PET bottles or 2.5 billion PET food trays) and will generate 150 direct and indirect jobs in the region.

Emmanuel Ladent, CEO of Carbios:"Everything is now in place so that construction of our plant can officially begin! We obtained the permits in line with the announced schedule, and we are eager to deliver a facility of great local and international significance for a circular economy of plastic. We would like to thank the French State and the Municipality of Longlaville for their support throughout the administrative procedure and for their commitment in issuing the operating and building permits in 10 months."

Lionel Arras, Director of Industrial Development:"I am very proud of the Carbios teams who have reached this critical milestone in this significant project. With more than 80 engineers involved, both internally and externally, it is a tremendous team effort with our goal of commissioning in 2025 on track."

Construction progress according to schedule

On 28 September 2023, Françoise Souliman, Prefect of Meurthe-et-Moselle, issued the environmental operating permit, followed by the building permit on 24 October 2023 by Mr. Hamdi Toudma, Mayor of Longlaville. These permits were obtained after an administrative procedure, including public consultation, which evaluated the site's future impacts on water resources and aquatic environment protection, energy consumption, landscape integration, traffic, etc.

Carbios submitted the authorization requests to local authorities last December. Construction of the plant can start before the end of this year for commissioning in 2025.

Carbios acquires Indorama Ventures' land

The plant will be built on a 13.7-hectare site acquired by Carbios on Indorama Ventures' existing PET plant site without suspensive conditions 2. The land area gives the possibility to double the facility's capacity.

A plant designed to minimize its carbon footprint

The plant is designed to maximize circularity, with high-quality output products, and minimize its environmental footprint, especially with regards to energy consumption. Optimizations are underway to further increase the recycling of water required for the process.

Located near the borders with Belgium, Germany, and Luxembourg, the plant's location is strategic for nearby waste supply. Moreover, Carbios' biorecycling technology can process complex waste that conventional technologies cannot recycle and produce food-grade products, enhancing the plant's flexibility for waste supply. Carbios and Indorama Ventures will collaborate to ensure the feedstock supply of the Longlaville plant, located in a geographical area where the supply potential could reach 400,000 tons in 2023, and up to 500,000 tons in 2030 with improved selective collection.

Carbios has already secured an initial supply source by winning part of the CITEO tender for the biorecycling of multilayer food trays. The consortium composed of Carbios, Wellman (a subsidiary of Indorama Ventures), and Valorplast has been selected to handle 30% of the tonnage proposed by CITEO. Carbios will handle the portion of the flow consisting of multilayer food trays at its Longlaville plant starting in 2025.

Plant funding secured

In July 2023, Carbios successfully completed its capital increase for approximately €141 million, the largest capital increase on Euronext Growth since 2015. This amount is mainly intended to finance the construction of this plant, for which the total investment is estimated at around €230 million. The portion of the investment not funded by the proceeds from the July 2023 capital increase is expected to be covered by Indorama Ventures, which plans to mobilize approximately €110 million for this project, French state subsidies of €30 million, and €12.5 million 3 from the Grand-Est Region, as well as a portion of Carbios Group's available cash, which amounted to €78 million as of 30 June 2023.

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About Carbios:

Carbios is a biotech company developing and industrializing biological solutions to reinvent the life cycle of plastic and textiles. Inspired by nature, Carbios develops enzyme-based processes to break down plastic with a mission to avoid plastic and textile pollution, and accelerate the transition to a circular economy. Its two disruptive technologies for the biorecycling of PET and the biodegradation of PLA are reaching industrial and commercial scale. Its biorecycling demonstration plant has been operational since 2021 and a first industrial plant, in partnership with Indorama Ventures, is due to be commissioned in 2025. Carbios has received scientific recognition, notably with the cover of Nature, and is supported by prestigious brands in the cosmetics, Food & Beverage and apparel industries to enhance their products’ recyclability and circularity. Nestlé Waters, PepsiCo and Suntory Beverage & Food Europe are members of a packaging consortium founded by Carbios and L’Oréal. On, Patagonia, PUMA, PVH Corp. and Salomon collaborate with Carbios in a textile consortium.

Visit www.carbios.com/en to find out more about biotechnology powering plastic and textile circularity.
Twitter: Carbios / LinkedIn: Carbios / Instagram: insidecarbios

Information on Carbios shares:
ISIN Code FR0011648716
Ticker Code Euronext Growth: ALCRB
LEI: 969500M2RCIWO4NO5F08

Carbios, founded in 2011 by Truffle Capital, is eligible for the PEA-PME, a government program allowing French residents investing in SMEs to benefit from income tax rebates.

This press release and the information contained herein do not constitute an offer to sell or a solicitation of an offer to buy or subscribe to shares in Carbios in any country.

Disclaimer on forward-looking statements and risk factors:

This press release contains forward-looking statements, not historical data, and should not be construed as a guarantee that the facts and data stated will occur. These forward-looking statements are based on data, assumptions and estimates considered reasonable by Carbios. Carbios operates in a competitive and rapidly evolving environment. It is therefore not in a position to anticipate all risks, uncertainties or other factors that may affect its business, their potential impact on its business or the extent to which the materialization of a risk or combination of risks could lead to results that differ significantly from those mentioned in any forward-looking statement. Carbios draws your attention to the fact that forward-looking statements are in no way a guarantee of its future performance and that its actual financial position, results and cash flows and the development of the sector in which Carbios operates may differ significantly from those proposed or suggested by the forward-looking statements contained in this document. In addition, even if Carbios’ financial position, results, cash flows and developments in the industry in which it operates are consistent with the forward-looking information contained in this document, such results or developments may not be a reliable indication of Carbios’ future results or developments. Readers are advised to carefully consider the risk factors described in the Universal registration document filed with the French Market Authority (“AMF”), as well as in the half-year financial report available free of charge on the Company’s website. Should all or any part of these risk factors materialize or others, in no case whatsoever will Carbios be liable to anyone for any decision made or action taken in conjunction with the information and/or statements in this press release or for any related damages. This information is given only as of the date of this press release. Carbios makes no commitment to publish updates to this information or on the assumptions on which it is based, except in accordance with any legal or regulatory obligation applicable to it.

Translation is for information purposes only.
In case of discrepancy between the French and the English version of this press release, the French version shall prevail

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1 PET = polyethylene terephthalate
2 Oher than the right of first refusal of the communes concerned and the absence of opposition to the division of land required for the sale
3 Implementation of this funding is conditional on approval by the European Commission of the corresponding state aid scheme, followed by the conclusion of national aid agreements.

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CONTACT: CARBIOS

Melissa Flauraud

Press Relations

melissa.flauraud@carbios.com

+33 (0)6 30 26 50 04Benjamin Audebert

Investor Relations

contact@carbios.com

+33 (0)4 73 86 51 76Press Relations (France)

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Marie-Virginie Klein

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