Chambers County has helped fund a new recycling support center in Mont Belvieu that will process post-consumer plastic materials. Photo via Getty Images.

TALKE USA Inc., a Houston-area arm of German logistics company TALKE, broke ground on its new Recycling Support Center in Mont Belvieu Aug. 1.

The facility will process post-consumer plastic materials, which will then be further processed at Cyclyx's new Houston-based Circularity Center, a first-of-its-kind plastic waste sorting and processing facility that was developed through a joint venture between Cyclix, ExxonMobil and LyondellBasell.

The materials will ultimately be converted into recycling feedstock.

“We’re proud to break ground on a facility that reflects our long-term vision for sustainable growth,” Richard Heath, CEO and president of TALKE USA Inc., said in a news release. “This groundbreaking marks an important milestone for our team, our customers, and the Mont Belvieu community.”

The new facility was partially funded by Chambers County, according to the release. The Baytown Sun reports that the county put $1 million towards the construction of the project, which brings advanced recycling and mechanical recycling to the area.

TALKE USA said it plans to share more about the new facility and its impact in the future.

Meanwhile, the Houston-based Cyclyx Circularity Center (CCC1) is slated to open this year and is expected to produce 300 million pounds of custom-formulated feedstock annually. A second circularity center, CCC2, is expected to start up in the Dallas-Fort Worth area in the second half of 2026. Read more here.

The Houston area's Cyclyx Circularity Center is one step closer to reality — and more to know this week. Photo courtesy of Cyclyx

Houston plastics circularity center reaches new milestone — and more things to know this week

take note

Editor's note: It's a new week — start it strong with three quick things to catch up on in Houston's energy transition: an event not to miss, a Q&A to check out, and more.

Circular plastics project in Houston takes one more step toward becoming a reality

Cyclyx International, a joint venture that Houston-based ExxonMobil recently bought into with Agilyx and LyondellBasell, announced that it has made a final investment decision to build the first Cyclyx Circularity Center.

"This milestone is evidence of the real progress we are making to increase the circularity of plastic waste as a resource," Joe Vaillancourt, CEO of Cyclyx, says in a news release. "The first-of-its-kind CCC in Houston will serve as a blueprint, which we can replicate across the U.S. to progress our long-term goal of increasing the recycling options for plastic waste. Cyclyx is proud to be an innovator and enabler for unlocking plastic's potential."

Houston organizations ExxonMobil and LyondellBasell have committed $135 million into Cyclyx to fund operating activities and construction costs, which is expected to begin in mid-2025.

Event not to miss

There's one last energy-related event for the year. On December 19, the UH Tech Bridge's Innov8Hub Pitch Day is your last chance of the year to network with industry experts, and discover the next big thing. Register.

Why Cindy Taff is betting on geothermal

There's no silver bullet to the energy transition, but Cindy Taff of Sage Geosystems is pretty positive geothermal energy is going to be a power player in the mix of technologies sure to make a difference. In a Q&A with EnergyCapital, she explains why she's so optimistic about geothermal and her company's technology — and why the traditional oil and gas industries should take note.

"My extensive experience in both geothermal and the O&G sector is a testament to the synergistic relationship between these industries. The skills honed in O&G are not only transferable—they are essential to advancing geothermal technologies," she tells EnergyCapital. She adds that "the O&G industry can make a huge impact to geothermal by systematically driving down costs while scaling up, which is exactly what we did for unconventional shales." Read the full interview.

LyondellBasell bought into a joint venture, Cyclyx International, that was formed in 2020 by Spring-based energy giant ExxonMobil and Tigard, Oregon-based plastic recycling innovator Agilyx. Photo courtesy ExxonMobil

Houston energy company buys in on plastic recycling

Cyclyx secured

Dutch chemical company LyondellBasell, whose U.S. headquarters is in Houston, has purchased a 25 percent stake in a joint venture that seeks to accelerate advancements in plastic recycling.

The joint venture, Cyclyx International, was formed in 2020 by Spring-based energy giant ExxonMobil and Tigard, Oregon-based plastic recycling innovator Agilyx.

In 2022, Cyclyx announced it had inked a deal with ExxonMobil and LyondellBasell to develop a first-of-its-kind plastic waste sorting and processing plant in the Houston area. The estimated $100 million facility, set to open in 2024, is poised to annually produce 330 million pounds of plastic feedstock, which is made up of recycled materials that can be used to manufacture new plastics.

“Investing in plastic waste value chain experts such as Cyclyx, together with Agilyx and ExxonMobil, helps create the robust supply chains we all need to increase access to circular and renewable feedstocks,” Yvonne van der Laan, executive vice president of LyondellBasell, says in a news release.

In conjunction with the LyondellBasell announcement, Cyclyx says it’s expanding the licensing-only model for its recycling centers to add a “build, own, and operate” option. Cyclyx says this shift will enable it to control custom-blended feedstocks from sourcing through delivery.

Last year, Cyclyx revealed it had completed a pilot project for grocery store chain Food Lion.

At the outset of the project, plastic waste at certain Food Lion stores was collected for recycling. Cyclyx then sorted and pre-processed the waste before sending it to ExxonMobil’s recycling facility in Baytown. In Baytown, ExxonMobil used its Exxtend technology for advanced recycling to create new “virgin quality” plastics and other products.

ExxonMobil says the Baytown facility, which began operating in 2021, can process more than 80 million pounds of plastic waste per year. The company says the Exxtend technology it uses there breaks down hard-to-recycle plastic waste — such as synthetic athletic fields, bubble wrap, and motor oil bottles — that previously would have headed to landfills.

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Japanese company plans $357M solar manufacturing plant in Houston area

coming soon

Japanese solar manufacturing company TOYO Co. Ltd. plans to invest $357 million to bring a 1.5-gigwatt solar cell manufacturing facility to the Houston area.

TOYO’s latest state-of-the-art facility will be co-located at its existing solar module site in Humble, according to a news release from the company. It will produce heterojunction (HJT) solar cells, which are known to be more durable and efficient with a higher heat threshold.

TOYO reports that the new facility will create 400 full-time manufacturing jobs. The project is expected to be completed in 20 months, which includes an initial pilot production.

"Expanding into domestic cell manufacturing is the natural next step in our commitment to creating an integrated onshore solar supply chain from polysilicon to panels," Takahiko Onozuka, chairman and CEO of TOYO, said in the news release. "Co-locating 1.5 GW of HJT cell capacity at our Houston module site significantly optimizes our capital allocation and infrastructure spend.”

TOYO entered the Houston market in 2024 through its acquisition of a majority stake in Solar Plus Technology Texas LLC.

Earlier this year, it began producing solar modules at its 567,140-square-foot plant in Lovett Industrial’s Nexus North Logistics Park. At the time, the company said it planned to expand manufacturing capacity to 6.5 gigawatts.

"The new cell plant reflects TOYO's long-term strategy to build a fully FEOC-compliant domestic manufacturing platform focused on serving the needs of the U.S. utility-scale solar market," Rhone Resch, TOYO's chief strategy officer, added in the release. "By producing premium solar products in the United States, we will be well positioned to meet the market's evolving domestic content requirements while strengthening supply chain security and reliability. Looking ahead, we believe HJT is the optimal technology platform for integrating next-generation perovskite solar cells, which we expect will drive the next major advancement in solar conversion efficiency and support TOYO's long-term technology roadmap.”

New survey reveals concerns over AI data center growth in Houston

data findings

A new report out of the University of Houston shows that area residents remain wary of the long-term effects of operating data centers.

The recent survey from the University of Houston’s latest SPACE City Panel, conducted by the Center for Public Policy at the Hobby School of Public Affairs, shows that while 85 percent of Houston-area residents use AI, nearly 63 percent oppose the construction of AI data centers within 1 mile of their homes.

Respondents’ concerns centered around data centers’ high energy demand and the area’s power grid reliability. According to the survey, 32 percent of residents who oppose local data center projects would be more likely to support the centers if they relied on renewable energy over fossil fuels.

“Respondents understand that AI can bring economic and educational benefits, but they are also concerned about the physical infrastructure needed to fuel AI, especially data centers,” Soran Mohtadi, post-doctoral fellow at the Hobby School and a researcher on the report, said in a news release. “This physical infrastructure demands more electricity and water, leading to environmental impacts.”

Experts estimate that 6.5 gigawatts of data center capacity will be added to the Texas grid by 2030. And Houston’s data center capacity is predicted to more than double by 2028.

The Electric Reliability Council of Texas also projects electricity demand could reach 218 gigawatts by 2031, which would be more than double the record peak set in August 2023. Data centers are expected to account for 86 gigawatts of that new demand.

Survey respondents also said they are concerned about the state's future water supply, given the large amounts of water that data centers need to stay cool.

In terms of who’s responsible for that issue, 57.6 percent of respondents said they put the onus on Texas lawmakers, while 31.5 percent say tech companies should be responsible.

Additionally, more than 75 percent of respondents believed that data center developers and technology companies—not residents—should bear the cost of infrastructure upgrades to support data centers.

“Every decision legislators make has implications on residents’ everyday lives and local infrastructure now and in the future,” Maria P. Perez Arguelles, lead researcher on the report and research assistant professor at the Hobby School, added in the news release. “This issue is going to become more important in years to come, so this is just the beginning.”

Read the full report here.

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This article originally appeared on our sister site, EnergyCapitalHTX.com.