Metabolix Enters into MOU with CJ CheilJedang to Construct PHA Production Unit

Metabolix, one of the advanced biomaterials companies focused on sustainable solutions for the plastics industry, announced that it has entered into a Memorandum of Understanding (“MOU”) with CJ CheilJedang Corporation (“CJ”) for a strategic commercial manufacturing arrangement for specialty PHAs, including the Company’s newly launched amorphous PHA (“a-PHA”). Under the non-binding MOU, the companies have agreed to work together toward the successful conclusion of definitive agreements under which CJ will fund, construct and operate a 10 kilo ton PHA production unit at CJ’s Fort Dodge, Iowa facility based on Metabolix’s PHA technology. Under the contemplated definitive agreements, Metabolix will buy the specialty PHAs produced at the Fort Dodge facility from CJ, and market and sell the materials to its commercial customers. The companies also expect to define a framework for longer term expansion of the collaboration for larger scale PHA production and related commercial activities.


In late 2015 and early 2016, Metabolix and CJ undertook a comprehensive feasibility study and assessment of CJ’s Fort Dodge facility as a potential site for specialty PHA production. With the successful conclusion of the feasibility study and engineering plans, CJ is finalizing a detailed budget for the capital investment needed to establish 10 KT of annual PHA capacity on the site and the two companies are turning their attention to the definitive agreements for the project. 

The MOU with CJ provides a path to establishing the first tranche of commercial production capacity for our specialty PHA biopolymer materials,” said Joseph Shaulson, president and CEO of Metabolix. 

Source: Metabolix