Riyadh: The Saudi Investment Recycling Company (SIRC), a fully owned subsidiary of the Public Investment Fund (PIF), has entered into a memorandum of understanding (MoU) with the US-based EIG Management Company, LLC. This agreement aims to foster cooperation in investment and diversify funding sources for the development and operation of infrastructure projects connected to the circular economy and waste management within the Kingdom of Saudi Arabia.

According to Saudi Press Agency, the MoU was signed by SIRC Group's Chief Executive Officer Eng. Ziad Al-Shiha and EIG's Chairman of MENA Operations Eng. Abdulaziz Al-Gudaimi. The agreement aims to strengthen the partnership between the two entities by exploring investment and financing opportunities for strategic projects that will support the growth of the circular economy in the Kingdom. It also emphasizes the exchange of knowledge and expertise related to future projects and market developments, adhering to regional and international laws and regulations.

The release further stated that the MoU involves joint efforts to develop pivotal waste management projects. Both parties intend to co-finance and establish advanced facilities for producing refuse-derived fuel (RDF) from waste, which will be used as an alternative fuel for kilns in heavy industries. Riyadh has been identified as the initial location for these facilities, with projected investments reaching approximately $375 million.

Moreover, the MoU plans to establish and operate specialized facilities for processing end-of-life tires into green energy products, like pyrolysis oil and recycled carbon black, with investments estimated at $250 million.

Eng. Al-Shiha noted that SIRC continually aims to form robust partnerships and collaborations with leading international players in the circular economy sector, aligning with the objectives of Saudi Vision 2030 and the Kingdom's ambition to lead in this rapidly evolving global field.

'Our partnership with EIG represents a significant step forward in supporting and accelerating the Kingdom's efforts to build a comprehensive and sustainable circular economy,' he added.