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PureCycle Technologies Inc. (NASDAQ:PCT) is one of the 10 Stocks With Unbelievable Gains.

PureCycle Technologies climbed by 21.47 percent on Thursday to finish at $12.39 apiece, after securing a regulatory milestone seen to position itself as a critical supplier of polypropylene resin in New Jersey.

This followed the approval of the state’s Department of Environmental Protection, which recognized the PureFive resin as a “post-consumer recycled content” (PCR) under its Recycled Content Law.

PureCycle’s polypropylene purification plant. Photo from PureCycle website

Under the said law, manufacturers of rigid plastic containers, beverage containers, and other regulated packaging to meet the minimum threshold of post-consumer recycled content.

The law initially set a 10 percent threshold for rigid plastics in 2024, and is required to rise by 10 percent every three years until reaching 50 percent.

PureCycle Technologies Inc. (NASDAQ:PCT) is set to work on a permanent approval over the next 12 months, part of which would require providing documentation on feedstock sources, the type of feedstock processed, and PureFive end-use applications, among others.

“This is a landmark moment for PureCycle and for every brand owner working to meet the mandates set by this law. We’ve had significant customer interest due to this mandate, but many were simply waiting for this regulatory clarity from the NJDEP before moving forward,” PureCycle Technologies Inc. (NASDAQ:PCT) CEO Dustin Olson said.

“Generating demand for recycled content is exactly the kind of policy action the world needs if we’re serious about creating circular economies,” he noted.

In other news, PureCycle Technologies Inc. (NASDAQ:PCT) swung to a net loss of $33 million in the first quarter of the year from an $8.8 million net income in the same period last year. Revenues, however, increased by 159 percent to $4.1 million from $1.58 million year-on-year.

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