Today, Viva Energy Australia has completed a proof-of-concept project for the large-scale processing of soft plastics pyrolysis oil, with locally manufactured recycled polypropylene used to produce Nestlé KitKat wrappers.
The launch event in Geelong brought together industry leaders, government representatives and project partners to explore the future of sustainable packaging in Australia.
A panel discussion with Bill Patterson, Executive General Manager, Energy & Infrastructure, Viva Energy; Andrew Lawrey GAICD, General Manager, Confectionery & Snacks Oceania, Nestlé; Suzanne Toumbourou, Chief Executive Officer, Australian Council of Recycling (ACOR); and Richard Smith, Business Development Expert Advisor, Soft Plastics Stewardship Australia (SPSA), highlighted the opportunities, challenges and policy settings needed to support local recycling capability and advanced manufacturing solutions for soft plastics.
“Geelong Refinery is Australia’s only manufacturer of polypropylene and we have proven the use of soft plastics pyrolysis oil as a feedstock,” Bill Patterson said. “We have a highly skilled workforce and the right infrastructure and technology to play a key role in the emerging circular economy and this is a great demonstration of us doing just that. With the right policy settings, including for collection and processing of soft plastics, we could take advantage of the refinery’s capacity to process a lot more.”
The project marks a significant achievement, with the successful large-scale processing of soft plastics pyrolysis oil at the Viva Energy Hub Geelong, leading to the production of ISCC – the International Sustainability and Carbon Certification Plus – certified recycled polypropylene. This material was used to manufacture seven million Nestlé KitKat wrappers in March 2026.
Importantly, every stage of the production process, from refining and polymer manufacturing to packaging conversion, was completed in Victoria, showcasing the potential of local industry to support a more circular future. While the pyrolysis oil for this project was imported from the United States, it demonstrates how existing industrial infrastructure can help keep valuable materials in use for longer while strengthening Australia’s manufacturing capability.
As Andrew Lawrey from Nestlé noted: “Soft plastic should be treated as a key material, not a waste stream. Building local circular capability will strengthen supply resilience, support manufacturing, and keep valuable materials in the Australian economy.”
A huge thank you to our project partners Nestlé, Alterra, Amcor, and Taghleef Industries for helping bring this demonstration to life.
Together, we’re demonstrating what is possible when industry collaborates across the value chain to create practical solutions for a more sustainable future.
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