Innovative Green Chemistry1

Plaxica Optipure® The Route to Competitive High Heat & Performance PLA Grades

World Congress on Industrial Biotechnology, Montreal, July 25th 2017

Phil Goodier, CEO, Plaxicap.goodier@plaxica.com

Innovative Green Chemistry2

Plaxica Overview

Corporate• Original technology developed at Imperial College,

London

• Business model : Technology licensing

Mission• Transformational technology for green chemicals

– Cost leadership

– Sustainable, renewable

Focus• D-Lactic acid – enabling high performance PLA

• High value sugars and derivatives (e.g. xylose → xylitol) from hemicellulose

Innovative Green Chemistry3

Two Technology Platforms

Xylex®

Lignin

FermentableHydrolysed

Sugars

Hemicellulose by-product

streams

1. Xylex® - low cost, high value sugars

Products include:Sugar AlcoholsOrganic Acids

Fuels

• Partnering with the Paper & Pulp industry• Feedstock validation at industrially-relevant scale• Continuous process - low capital & variable cost

Innovative Green Chemistry4

Two Technology Platforms

Xylex®

Lignin

FermentableHydrolysed

Sugars

Polymer GradeD and / or L Lactic Acid

OptipureHemicellulose

by-productstreams

• Licensed to NatureWorks• Integrates with PLA production - adds value to co-

product streams• Continuous resolution (enzymatic) of isomers

1. Xylex® - low cost, high value sugars

Products include:Sugar AlcoholsOrganic Acids

Fuels

• Significant partnerships with the Paper & Pulp industry• Extensive feedstock validation at industrially-relevant scale• Continuous process ; low capital & variable cost

Low value lactic / lactide

species

High Performance

PLA

2. Optipure® - competitive D-lactic acid

Innovative Green Chemistry5

D-lactic acid improves the performance of PLA

Conventional PLA (“PLLA”)

• Outstanding green credentials:

– Biobased

– Sustainable

– Industrially Compostable

• Significant market penetration in containers, single use food service etc.

• Applications in consumer durables, fibers, hot-fill containers limited by moderate temperature performance

Innovative Green Chemistry6

D-lactic acid improves the performance of PLA

Conventional PLA (“PLLA”)

• Outstanding green credentials:– Biobased

– Sustainable

– Industrially Compostable

• Significant market penetration in containers, single use food service etc.

• Applications in consumer durables, fibers, hot-fill containers limited by moderate temperature performance

Heat stable PLA (including stereocomplex)

• Blends of PLLA and PDLA exhibit improved thermal and mechanical performance

• Tighter packing of chains increases crystallinity – Improves thermal, physical and gas barrier properties

• Tm 170 230°C

• HDT 50 110°C

• Requires D-lactic acid – which can cost 4 x L-lactic acid

• New markets : Durables, fibers, fracking

LLLL

LLLL

LLLL

DD

D

L

L

L

L L LL

L L LL

D DD D

Innovative Green Chemistry7

To compete with conventional polymers, high heat PLA requires a source of low-cost D-lactic acid

Conventional Approach : Fermentation

• L- lactic acid isomer

• High heat PLA requires D-lactic acid with very high optical purity– Less developed fermentation strains

– Sub-optimal strain performance and productivity

• Significant investment risk to build a world-scale D-lactic acid unit for market entry

Plaxica Optipure®

• Continuous chemical / enzymatic process

• Uses low value feedstocks - unwanted co-products of PLA production

• Enzymatic resolution of L- & D- isomers, Isolation of D-lactic acid by distillation

• Excellent integration with PLA manufacturing

Innovative Green Chemistry8

Fermentation

Conventional PLLASugarLactide &

Polymerisation

Meso-lactide co-product stream

+ other lactic species from PLA

production

L-Lactic Acid

Plaxica

Optipure®

Project Economics:• Low capital cost• Low feedstock cost – adds value to

a low-value co-product stream• Conversion cost <$300/Te• Excellent project returns

Plaxica’s Optipure Technology Integrated with PLA production to produce low cost D-Lactic Acid

D Lactic Acid / PDLA

Heat Stable or Stereo-complex PLA

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Demonstration & Commercialisation

Industrially relevant & scalable

• Known and proven unit operations

• Chemical / enzymatic, not biological

– Allows use of proven scaling strategies

• Lab Simulation Pilot plant Model validation Full Scale

First Commercial License sold to NatureWorks LLC in May 2017

Plaxica’s Pilot Plant in England