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O-I GLASS TRANSFORMS PROCESSING OF RECYCLED GLASS WITH INNOVATIVE MOBILE SYSTEM

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O-I Glass has developed MOGRA, a mobile glass processing machine that enables efficient recycling of glass packaging. MOGRA can be transported easily and deployed quickly, processing up to 6,000 MT of recycled glass annually. This innovation allows O-I to implement full-service, closed-loop recycling programs, reducing transportation costs and emissions. The system enhances the quality of recycled glass by removing metallic content, contributing to O-I's goal of increasing recycled content in glass packaging to 50%. The initiative supports sustainability by conserving natural resources and lowering energy consumption.

Positive
  • MOGRA processes up to 6,000 MT of glass annually.
  • Reduces transportation costs and emissions.
  • Enhances quality of recycled glass by removing metallic content.
  • Supports O-I's goal of 50% recycled glass content in packaging.
  • Conserves natural resources and reduces energy consumption.
Negative
  • Potential logistical challenges in deploying MOGRA systems.
  • Dependent on market adoption and customer interest.
  • Initial costs of deploying mobile systems may be high.

Insights

O-I Glass's introduction of the MOGRA mobile processing system has several financial implications. Firstly, the ability to process up to 6,000 metric tons of glass annually per unit could significantly reduce operational costs associated with recycling logistics. By decentralizing and localizing glass recycling, the company can save transportation expenses and reduce emissions, which could improve profit margins in the long term.

Additionally, the move aligns with broader industry trends toward sustainability, which has become a critical factor for attracting investment. Ventures like MOGRA that emphasize environmental stewardship are increasingly valued by ESG (Environmental, Social, Governance) investors. The MOGRA system's capability to enhance the quality of recycled glass can also lead to the production of higher-quality final products, making O-I's offerings more competitive in the market.

However, one should also consider the initial investment costs and the potential risks of deploying new technology. The scale of MOGRA's deployment and its integration into existing systems will be key factors to monitor. If the system's rollout faces challenges or delays, the projected cost savings and environmental benefits might not materialize as planned.

From a sustainability perspective, O-I Glass's MOGRA system is a notable advancement. By facilitating localized recycling, the system reduces the carbon footprint associated with transporting recycled materials over long distances. This move not only aligns with global emissions reduction targets but also addresses the logistical challenges that often hinder recycling efforts, especially in remote or underserved areas.

The increased use of cullet, or recycled glass, in the production process is particularly beneficial. Cullet melts at a lower temperature than raw materials, which means less energy is required in the furnace. This directly translates to reduced greenhouse gas emissions. According to industry data, every ten percent increase in recycled glass content leads to a five percent reduction in emissions. This substantial decrease can make a significant impact when scaled across O-I’s various production facilities.

Moreover, the mobile nature of MOGRA means it can be deployed in regions without existing recycling infrastructure, effectively expanding the network of places where glass can be efficiently recycled and reused. This could help increase overall recycling rates and contribute positively to the circular economy.

The introduction of MOGRA by O-I Glass could have meaningful market implications. By offering a modular and mobile glass processing system, O-I can tap into new markets and customer segments that previously lacked the infrastructure for efficient glass recycling. This could include smaller communities, remote areas and emerging markets where setting up traditional recycling facilities would be cost-prohibitive.

The ability to provide localized recycling solutions can be a significant selling point for O-I's customers, including brewers, distillers and bottlers, who are increasingly under pressure to meet sustainability goals. The MOGRA system’s potential to enhance the quality of recycled glass could also lead to better packaging solutions, attracting more businesses to opt for glass over other materials, such as plastic, thus increasing market share.

Furthermore, O-I's innovation aligns with the rising consumer demand for sustainable packaging options. Brands that use O-I’s glass packaging can market it as a more environmentally friendly choice, potentially driving higher consumer preference and loyalty. It’s also worth noting that being a first mover in this space can give O-I a competitive edge, setting industry benchmarks for sustainable practices.

  • Transformative mobile equipment brings glass recycling solutions to untapped markets 
  • Movable on a truck bed, the modular system enables full-service, closed-loop recycling programs 
  • A single system can process up to 6,000 MT in a year 

Perrysburg, Ohio, June 06, 2024 (GLOBE NEWSWIRE) --  O-I Glass, Inc. (“O-I Glass” or “O-I” has completed the development and testing of a transformative, low-cost mobile glass processing machine that is easily transported and deployed to clean and crush recycled glass to be used as recycled content. Dubbed “MOGRA” (MOblie Glass Recycling Asset), the mobile processing system creates opportunities to recycle glass into furnace-ready glass where there was previously no infrastructure.

“MOGRA builds on the long tradition of innovating the sustainable capabilities of glass packaging by enabling O-I to deploy full-service, closed-loop recycling programs with our customers and local communities, while generating furnace-ready cullet for producing glass packaging with increased recycled content,” said Randy Burns, Chief Sustainability and Corporate Affairs Officer for O-I. Through the agile, transformative capabilities of MOGRA, O-I is increasing our network capability to pursue our sustainability and recycling goals in an effective manner with a single asset.”

MOGRA systems are engineered to fit on a truck trailer, enabling it to be moved and co-located at O-I facilities or other locations anywhere, across the U.S. The system can be unpacked, plugged in, and operational within a single day, quickly processing glass packaging for recycling from brewers, distillers, bottlers, or communities into localized raw material for making glass with recycled content. The mobility of the MOGRA system increases the viability of glass recycling by reducing logistical details, transportation costs and associated emissions.

MOGRA has been engineered to crush glass to a specified size, while removing any metallic content, such as caps, closures, and capsules, to improve the overall quality of the glass for recycling. The mobile system can process up to 6,000 MT of glass packaging per year. 

“As recycled content continues to be a priority in helping our customers to achieve their sustainability goals, innovative solutions from O-I will help the company to increase the cullet content of our glass packaging, and advance the overall sustainability of our packaging options,” said Burns. “Glass is 100 percent and endlessly recyclable, by solving for gaps in processing glass for recycling, we are helping our glass packaging to live up to its full potential in the circular economy.” 

O-I has the ambitious goal to increase the recycled content of its packaging to a global average of 50 percent. Glass is made with four basic ingredients, limestone, soda ash, silica sand and cullet (recycled glass). Increasing the volume of cullet used in glass production conserves natural resources and reduces the energy needed to produce glass packaging. Cullet melts at a lower temperature, and every ten percent of recycled glass used reduces overall emissions by five percent. Each ton of cullet used to make glass packaging, conserves 1.6 tons of natural resources for future generations.  

As part of the company’s vision to be the most sustainable, and chosen, supplier of brand-building packaging, O-I glass is transforming the way glass is made and recycled with innovative, breakthrough solutions. 

“MOGRA has the potential to build on the flexibility of the flexible and modular capabilities of our MAGMA production technology and can transform the footprint of glass production as it is done today,” said Burns. For O-I our journey to a sustainable future with glass packaging is paved by innovation.”

To learn more about sustainable innovation for glass packaging by O-I, visit the company’s website at: http://o-i.com/sustainability.  

ABOUT O-I GLASS   

At O-I Glass, Inc. (NYSE: OI), we love glass, and we are proud to be one of the leading producers of glass bottles and jars around the globe. Glass is not only beautiful, it is also pure, healthy, and completely recyclable, making it the most sustainable rigid packaging material. Headquartered in Perrysburg, Ohio (USA), O-I is the preferred partner for many of the world’s leading food and beverage brands. We innovate in line with customers’ needs to create iconic packaging that builds brands around the world. Led by our diverse team of approximately 23,000 people across 68 plants in 19 countries, O-I achieved revenues of $7.1 billion in 2023. Learn more about us:  o-i.com / Facebook / Twitter / Instagram / LinkedIn  


FAQ

What is the purpose of O-I Glass's MOGRA system?

MOGRA is designed to facilitate efficient glass recycling by processing up to 6,000 MT of glass annually and enabling closed-loop recycling programs.

How much glass can MOGRA process annually?

MOGRA can process up to 6,000 metric tons of glass each year.

What advantages does MOGRA offer in glass recycling?

MOGRA reduces transportation costs and emissions, improves glass quality by removing metallic content, and supports sustainability goals.

How does MOGRA contribute to O-I's sustainability goals?

MOGRA helps O-I increase the recycled content in glass packaging to 50%, conserving natural resources and reducing energy consumption.

What are the logistical benefits of the MOGRA system?

MOGRA's mobility allows it to be easily transported and quickly deployed, making glass recycling more viable in various locations.

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