Quantafuel

Regulatory Filings • Jun 9, 2021

Quantafuel ASA | Quantafuel takes lead position in the Danish waste market

Quantafuel ASA | Quantafuel takes lead position in the Danish waste market

Quantafuel strengthens its presence in the Danish waste market by investing in a plastic pre-treatment line in Aalborg to secure feedstock for the Skive plant and start building volumes for a larger plant in Esbjerg.

Today, Quantafuel is pleased to announce its plans to invest in a plastic waste sorting line adjacent to Geminor’s existing operations in Aalborg, Denmark. This is an important step to secure the feedstock needs both for Quantafuel’s plant in Skive and the planned new plant in Esbjerg. At Quantafuel’s plants, used plastic waste is upgraded into valuable products with minimal pollution, creating a circular economy, complementing mechanical recycling of plastics.

The investment will enable Quantafuel via Geminor to participate in waste tenders early, and gain experience operating a plastic waste sorting line catering to Danish household waste for both the chemical and mechanical recycling industry. The total CAPEX for the investment is NOK 60 million. The pre-treatment plant will be operational in Q1 2022, have a capacity of 20.000 ton per year and is expected to generate NOK 30 million in additional revenue with an IRR of 22%.

“Our investment will help Denmark reach its ambitious strategy to become a pioneer within recycling in Europe, as well as enabling their goal of 60 percent actual recycling in tenders going forward. This is great news for all municipalities wondering how to reach these targets, as we are confident we have the solution,” says Quantafuel’s CEO Kjetil Bøhn, and continues:

“By investing in our own pre-treatment line, we can provide an integrated service to every municipality. In just a few years’ time, municipalities will be required by law to recycle more of their plastic waste. Today, household plastic waste contains 30-40 percent other materials, so it must be sorted before we, or anyone else, can recycle it. Together with Geminor, we will help solve this challenge,” Bøhn continues.

“We are pleased that the Climate Plan for a green waste sector and circular economy from 2020 is already creating a strong, Danish market for recycling companies. Quantafuel’s large investments in Denmark is an example if this. The industry is ready to take on the task of recycling the Danish people’s waste if they are given the opportunity to do so,” says Karin Klitgaard, the Deputy Director of The Confederation of Danish Industry (DI), Denmark’s largest business- and employers’ organisation.

Together with Geminor, Quantafuel aims to provide fully integrated, independent sorting and recycling plants with mechanical and chemical recycling capacity, as well as tracking and logistics capacity that can document every step of the value chain. These plants will deliver certified, recycled material to leading consumer goods companies, completing the circular economy of plastic waste in a transparent and documented manner. Quantafuel has already been granted certificates both from ISCC PLUS and REDcert2, making us a frontrunner in the recycling industry.

Esbjerg on track

Esbjerg City Council unanimously approved Quantafuel’s Environmental Impact application in May and we have initiated work to secure strategic and financial partners on the project.

For further queries, please contact:

Kjetil Bøhn, CEO +47 91573818

Kristian Flaten, CFO +47 95092322

About Quantafuel | https://quantafuel.com

Quantafuel is a technology-based energy company converting waste plastics back into low-carbon synthetic oil products replacing virgin oil products. Quantafuel is establishing, operating and owning dedicated plastic-to-liquid (PtL) plants and plans to establish several plants throughout Europe and beyond.