Sustainable packaging: Council signs off on new rules mandating increased use of recycled materials in the EU

OSLO, Norway - December 20, 2024 - Agilyx ASA (OSE: AGLX; OTCQX: AGXXF)("Agilyx" company") shares the Council of the EU press release on Sustainablepackaging new rules for less waste and more re-use in the EU.

o Council of the EUo Press releaseo 16 December 2024 10:00

Sustainable packaging: Council signs off on new rules mandating increased useofrecycled materials in the EU

Today, the Council formally adopted a regulation on packaging and packagingwaste.

The new rules will significantly reduce the generation of packaging waste bysetting binding re-use targets, restricting certain types of single-usepackaging and requiring economic operators to minimise the packaging used. Theregulation covers the full life cycle of packaging.

Safe, sustainable and recyclable packaging

The new rules comprise, among others, the following requirements forpackaging:

o 2030 and 2040 targets for a minimum percentage of recycled content (upto 65%for single use plastic bottles by 2040)o minimising the weight and volume of packaging and avoiding unnecessarypackagingo minimising substances of concern, including restricting placing on themarketfood contact packaging containing per- and polyfluorinated alkyl substances (PFAS) if theyexceed certain thresholds

Labeling, marking and information requirements (e.g. on material compositionorrecycled content) should facilitate consumer sorting and consumer choices.

Single-use plastic packaging

The new rules introduce restrictions on single-use plastic packaging for:

o pre-packed fruit and vegetables of less than 1.5 kgo food and beverages filled and consumed within hotels, bars andrestaurantso individual portions of condiments, sauces, milk creamer and sugar inhotels,bars and restaurantso small, single-use cosmetic and toiletry products used in theaccommodationsectoro very lightweight plastic bags (e.g. those offered at markets for bulkgroceries)

Re-use targets and re-fill obligations

The regulation sets new binding re-use targets for 2030 and indicative targetsfor 2040. The targets vary depending on the type of packaging used byoperators(for instance, binding targets of 40% for transport and sales packaging and10%for grouped packaging).

According to the new rules, take-away businesses will have to offer customersthe possibility of bringing their own containers to be filled with cold or hotbeverages or ready-prepared food, at no additional charge.

Next steps

The formal adoption by the Council today marks the final step in the ordinarylegislative procedure. The regulation will now be published in the EU'sOfficialJournal and will enter into force. The regulation will be applied 18 monthsafter the date of entry into force.

Background

Even though recycling rates have increased in the EU, the amount of wastegenerated from packaging is growing faster than the amount recycled. In 2022,the EU generated almost 186.5 kilograms of waste packaging per person, ofwhich36 were plastic packaging. This means that each day we produce half a kilogramof packaging waste per person in the EU.

The current EU packaging and packaging waste directive was first adopted in1994and has been revised several times. It lays down rules to prevent and managepackaging waste across EU member states. However, several assessments of thedirective have shown that it has not succeeded in reducing the negativeenvironmental impacts of packaging.

Against this backdrop, in November 2022 the Commission put forward a proposalfor a regulation on packaging and packaging waste that would replace theexisting directive and update the current framework for packaging andpackagingwaste across the entire life cycle, towards a circular economy and aclimate-neutral Europe.

The European Parliament and the Council adopted their positions on theproposedregulation in November and December 2023, respectively. The two co-legislatorsreached a provisional agreement on 4 March 2024 after two rounds of informalnegotiations.

For additional details including packaging waste regulation, circular economy,European Green deal, please visit:Sustainable packaging: Council signs off on new rules for less waste and morere-use in the EU - Consiliumorhttps://www.consilium.europa.eu/en/press/press-releases/2024/12/16/sustainable-packaging-council-signs-off-on-new-rules-for-less-waste-and-more-re-use-in-the-eu/

About AgilyxAgilyx ASA is at the forefront of plastic waste recycling, enabling theconversion of challenging post-use plastics into high-value, virgin-equivalentproducts. Recognizing that availability of high-quality custom feedstock iscritical for scaling recycling processes, Agilyx, through its Cyclyx jointventure, provides tailored feedstock solutions to global plastic producers. Byadvancing from a linear "make-take-waste" model to a sustainable circulareconomy, Agilyx supports the transition to a low-carbon future. Our adaptableapproach ensures bespoke solutions, leveraging extensive IP and Cyclyx'sfeedstock expertise to meet diverse customer needs. For more information,visitAgilyx's corporate website www.agilyx.com

For investor inquiries contact: investors@agilyx.com

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