Encina Development Group, LLC announced the execution of a strategic Collaboration Agreement with BASF supporting the development of Encina?s planned United States Gulf Coast circular chemicals manufacturing facility. The Collaboration Agreement sets the framework for BASF to provide strategic advisory support services during the key project development phases, leading up to the Final Investment Decision. This includes advice on procurement strategy and project execution planning.
The agreement also provides BASF with rights to participate alongside Encina in future project development opportunities, including potential equity participation. The agreement builds upon the parties? previously announced long-term supply agreement for chemically recycled circular benzene derived from waste streams. BASF intends to utilize these circular feedstocks within its broad Ccycled® product portfolio, supporting customers across industries including packaging, textiles, automotive, and consumer applications seeking sustainable and circular material solutions.
In addition to supporting Encina?s first commercial-scale U.S. Gulf Coast project, the agreement establishes a framework for evaluating future collaboration opportunities between the parties for additional projects across international markets.
