LyondellBasell has collaborated with Mondelez International, Amcor, and Taghleef Industries to launch a flexible packaging solution for Marabou chocolate bars containing 75% recycled content. The packaging utilizes LYB CirculenRevive polymers, which incorporate 100% attributed recycled content through an ISCC PLUS-certified mass balance approach. This initiative transforms hard-to-recycle post-consumer mixed plastic waste into high-quality materials suitable for food packaging.

The collaboration addresses the challenge of recycling flexible packaging waste, which has historically been difficult to process into materials meeting food-grade standards. LYB supplies the circular polymers, Taghleef Industries develops the base film, and Amcor converts the material into the final packaging solution. The new packaging supports European recycling ambitions and anticipated requirements under the European Union Packaging and Packaging Waste Regulation (PPWR).

Scaling circular polymers

LyondellBasell plans to supply future polymers for Marabou packaging through its MoReTec-1 facility, a commercial-scale catalytic chemical recycling plant under construction in Wesseling, Germany. Once operational, the facility is designed to produce 50,000 metric tons of feedstock annually for use in existing LYB production units. This integrated ecosystem connects advanced sorting and recycling infrastructure with the company's existing crackers and polymerization assets.

Source One Plastics, an LYB joint venture located in Eicklingen, Germany, processes mixed plastic waste into feedstock suitable for chemical recycling to support future supply to MoReTec-1. Currently, LYB sources recycled feedstock for CirculenRevive polymer production from third-party pyrolysis oil producers.

Value chain collaboration

The project highlights the role of cross-industry collaboration in advancing a circular economy for plastics. LYB connects chemical recycling innovation with the scale of its production network to convert hard-to-recycle plastic waste into circular feedstocks. The resulting polymers offer a drop-in, virgin-quality solution that allows brand owners to incorporate recycled content while maintaining performance and regulatory compliance.

BMO Capital analyst John McNulty has maintained a Market Perform rating on LyondellBasell Industries while lowering the price target to $64 from $88. The adjustment reflects a revised outlook on the company's valuation.

Rating and Target Changes

The firm continues to advise a neutral stance on the stock with a Market Perform recommendation alongside the reduction in the price objective. The new target of $64 represents a decrease from the previous estimate of $88.

The updated guidance provides investors with a revised benchmark for the stock's potential performance.