Braskem S.A. through its wholly-owned subsidiary Braskem Netherlands B.V., that it has entered into an agreement for the creation of a joint venture ("JV"), based in the Netherlands, with Terra Circular, whose majority partner has developed and implemented innovative technology with the capacity to convert low quality plastic waste into consumer products. With the agreement's execution and once its conditions precedents are fulfilled, Braskem will become the controlling shareholder of the JV with the possibility to expand the technology's use to other region's ("Transaction"). Terra Circular will transfer to the JV the shares in its subsidiary ER Plastics, a company with nominal capacity to mechanically recycle 23,000 tons per year of mixed plastic waste into compression molded products (e.g., boards for use in construction and pallets).