Recon Technology Completes Construction of Innovative Plastic Recycling Plant in China

On August 25, 2025, Recon Technology Ltd., a Chinese company specializing in oilfield and low-carbon energy services, announced the completion of the main manufacturing plant for its chemical recycling initiative. This innovative facility, known as the Recon Plastic Chemical Recycling Project, focuses on the recycling of plastic waste, a significant step in addressing environmental issues caused by plastic pollution.

Project Overview

Situated in Shandong, the Recon Plastic Chemical Recycling Plant is a 40,000-ton-per-year facility dedicated to converting waste plastic into valuable products. After an investment exceeding $15 million, the project has reached a critical phase, entering the equipment installation and commissioning stages. Once fully operational by November 2025, it will initiate a one-month trial production phase in December 2025, in compliance with local regulations.

The facility spans approximately 50 acres and encompasses various cutting-edge components: six pyrolysis units, two distillation units, and advanced environmental protection installations. This project is projected to yield 30,000 tons of plastic pyrolysis oil and 6,000 tons of carbon residue annually, contributing an estimated annual revenue of $30 million while promoting the high-value conversion of waste resources.

Technological Advantages

The technology employed in the Recon Plastic Chemical Recycling Project is groundbreaking. Using a dual-process method that combines catalytic pyrolysis with catalytic reforming, it overcomes traditional challenges associated with plastic processing. Notably, the implementation of a horizontal screw-type three-stage continuous reactor addresses the common issue of plastic coking—a process that hampers efficiency in standard pyrolysis methods. By enhancing the olefin content of the produced pyrolysis oil, these advancements significantly elevate the market value of the output, ensuring better competitiveness.

Currently, the primary input for this innovative project is membrane film-type waste plastic, often deemed difficult to recycle through conventional methods.

Management Insights

Mr. Yin Shenping, CEO of Recon Technology, expressed his enthusiasm regarding the project's progress. He highlighted the completion of the main structures as a pivotal milestone that underscores the team's efficiency and commitment to pioneering approaches in the plastic chemical recycling sector. He noted that their core processes have passed rigorous scientific evaluations and have been verified for safety and reliability.

As the project transitions into its commissioning phase during 2025, Recon's focus will be on stabilizing production and ensuring that their products meet high-quality standards. The ambition is to establish the Shandong facility as a leader in the global plastic recycling arena, providing top-tier chemical feedstock for domestic and international markets.

Additionally, the plant aims to achieve international sustainability certifications, such as the ISCC, highlighting its commitment to environmentally responsible practices.

Future Directions

With a vision for a low-carbon, smart factory, Recon is advancing full-process digital management strategies to maximize efficiency and improve its environmental footprint. This model is designed not only to enhance operational performance but also to serve as a template for rapid scalability in waste plastic utilization. Upon commencement of its operations, the facility is expected to effectively process various low-value waste plastics, including those from municipal, industrial, and agricultural sources, thus addressing the pressing issue of 'white pollution' and promoting a circular economy.

Moving forward, Recon is dedicated to refining its technologies related to waste plastic recycling, optimizing its supply chain, and broadening its product offerings to build a comprehensive industrial ecosystem aimed at achieving greater economic and social benefits.

About Recon Technology

Recon Technology, Ltd. (NASDAQ: RCON) stands as China’s first NASDAQ-listed non-state-owned oil and gas field service provider. The company delivers advanced technology and equipment to major oil exploration firms including Sinopec and The China National Petroleum Corporation (CNPC), enabling improved efficiencies in petroleum extraction while decreasing production costs. With a strong presence in specialized market segments within the oil and gas industry, Recon has cultivated long-term partnerships with its primary clients.

For further details, please visit Recon's official website.