What if you could turn one of your biggest waste streams into a revenue-generating, regulation-ready feedstock — without sacrificing product quality or profitability?
For today’s petrochemicals, every input matters. Regulatory constraints are tightening. Carbon targets are closing in. The pressure to innovate is heating up. At the same time, global plastic output has surged past 380 million tonnes per year.
Chemical recycling technologies, particularly plastic-to-olefins (PTO), are emerging as a promising pathway for turning post-consumer waste into high-value petrochemical feedstocks.
One of the most compelling innovations in this space is the closed-loop PTO process, which chemically converts plastic waste into olefins like ethylene and propylene, the building blocks of new plastic products. This process not only addresses the environmental burden of plastic waste but also aligns with decarbonization targets, helping to reduce the carbon footprint of virgin olefin production, which ranges from 0.85 to 1.8 tonnes of CO₂ per tonne of ethylene.
The drive toward PTO is fueled by several converging trends. Regulatory bodies are pushing for stricter landfill limits and promoting circular economy practices. Simultaneously, the global market for recycled plastics is booming, particularly in the Asia-Pacific region, where sustainability demands are coupled with high manufacturing activity. Companies are also under increasing pressure to meet net-zero commitments, making technologies like PTO vital in their decarbonization strategies.
But while PTO holds great promise, executing it effectively requires a deep understanding of complex processes, including pyrolysis, hydroprocessing, and steam cracking. Each step plays a critical role in ensuring that the final olefins are of high enough quality to re-enter the plastic production cycle.
After proper categorization by polymer type and contamination level, the sorted plastic waste enters the pyrolysis reactor, where heat thermally decomposes the polymers into pyrolysis oil. This step is highly sensitive to operational parameters such as temperature and residence time, with product yield and quality strongly influenced by the type of plastic used - such as polyethylene (PE), polypropylene (PP), and other common polymers.
The next critical phase is hydroprocessing, where impurities in the pyrolysis oil are removed through hydrotreating, and heavier long-chain hydrocarbons are broken down via hydrocracking. This refining step significantly improves the oil’s quality, making it suitable for steam cracking, where the upgraded synthetic naphtha is thermally cracked into valuable olefins.
At this stage, advanced simulation tools, such as Petro-SIM®, play a pivotal role. They help in conducting case studies, what if analysis and ultimately optimize conditions by maximizing yield and reducing energy consumption. The produced olefins are then polymerized into new plastics - completing the closed-loop cycle. For added sustainability, carbon capture and utilization (CCU) can be integrated to further reduce emissions.
Integrating pyrolysis oil into olefin production requires a deep understanding of its complexities such as:
With simulation, teams can make informed decisions, cut down on uncertainty, and accelerate sustainability ROI.
Figure 2 summarizes this process - illustrating how a simulation-driven approach supports feed characterization, process analysis, and decision-making for integrating plastic-derived pyrolysis oil into olefin production.
Yet, even breakthroughs have barriers. Here’s what could slow adoption:
The solution? Overcoming hurdles of technology development will require innovation, fostering collaboration, and strengthening regulatory support, where process simulation can play a vital role in overcoming technological hurdles.
PTO isn’t just an emissions-reduction tool. It’s a strategic platform that enables refineries and petrochemical operators to:
In the journey to net-zero, PTO represents a commercially viable and technically sound solution. With simulation, its performance is measurable, repeatable, and scalable.
Curious what PTO could look like for your plant? Read the full article for case studies, data insights, and a deeper look at how simulation powers PTO success.