Preparatory engineering works have begun to create a new access road to the 12-acre plot on the eastern edge of the port.
Planning permission for a processing facility was originally granted by Sunderland City Council in February 2023. An exclusivity agreement for the site has now been signed between the council and TCP Circular.
Councillor Michael Mordey, Leader of Sunderland City Council and Chair of the Port Board, said: “The port is already home to a growing cluster of businesses operating in the circular economy.
“TCP’s investment would be yet another key milestone in our journey as we embed and grow Sunderland’s reputation as a global hub for sustainable investment.”
The project was previously being developed by Norwegian firm Quantafuel ASA, with an anticipated opening date of 2025.
TCP Circular is now taking the development forward, with the plant expected to be operational in 2028.
Recycling soft plastics
The proposed facility is intended to process mixed plastic waste from across the north of England that would otherwise be incinerated or potentially sent to landfill.
It will be designed to handle around 100,000 tonnes per year of plastics, including soft food packaging and a range of domestic and industrial plastic materials.
Chris Lach, CEO of TCP Circular, commented: “We’re pleased to announce our intention to develop a plastics recycling plant at the Port of Sunderland and look forward to bringing our plans to life in the months ahead.
“Facilities such as this are greatly needed across the UK as we move towards a more circular economy and reduce CO2 emissions.”
Waste to oil pyrolysis technology
The Sunderland plant will use pyrolysis technology, a form of chemical recycling, to treat mixed plastic waste.
Under this process, plastics are heated in the absence of oxygen. This causes the material to melt and break down into shorter hydrocarbon chains, producing pyrolysis oil.
This oil will then be used as a feedstock in the manufacture of new plastic products.
TCP Circular said that the raw materials produced at the plant will be shipped directly from the port to customers in the petrochemical industry.
Lach added: “We believe it’s an excellent site and are excited to be working with Sunderland City Council, playing a small part in their ambitious plans to transform the city into a key hub for businesses in the sustainable technologies and green industries.
“We look forward to updating the community as our plans develop.”