Peter Vanacker
Chief Executive Officer at LyondellBasell Industries
Thank you, Dave, and welcome to all of you. We appreciate you joining us today as we discuss our third quarter 2022 results. Let's begin with our safety results on slide number three. Our team continues to deliver outstanding safety performance in 2022. LyondellBasell's year-to-date incident rate for employees and contractors is 0.12, roughly half the rate seen in recent years. Safety is a core value at our company and will continue to receive the utmost attention. The focus and commitment our metrics reflect will remain a cornerstone of our company's culture and a key enabler of our future success.
Let's now turn to slide number four to discuss our financial results. During the third quarter, as you would expect, our team remains very focused on cash generation while navigating the well-known, very challenging environment. LyondellBasell's business portfolio faced headwinds from rising costs and weaker demand at the same time. Earnings were $1.96 per share. EBITDA was $1.2 billion. Nonetheless, we delivered an impressive $1.4 billion of cash from operating activities. By the end of the quarter, we increased our balance of cash and short-term investments to $1.5 billion and had $5.3 billion of total available liquidity.
The strength of our balance sheet and our disciplined approach to capital allocation enables us to confidently move forward with our strategy while continuing to provide attractive and strong returns to shareholders through all stages of the business cycle. Despite significant headwinds our company generated a 19% return on invested capital over the past 12 months. On slide number five, we highlight some of LyondellBasell's existing and emerging sources of advantage for generating differential value and high returns over a range of market conditions.
Our company is widely recognized for our deep commitment to safe operations, cost management and operational excellence. These values are part of our DNA. LyondellBasell's global portfolio of businesses benefit from both geographic and end market diversity, leading positions in the diverse markets, balance the portfolio and reduce risks from market concentration. Last quarter, I mentioned the work that is underway to identify a north star that provides clarity and guiding principles for our strategic decisions. Some of the early decisions from this work adds to our capability and resiliency for generating value and high returns. Market leadership in circular and low-carbon solutions has quickly emerged as an essential parts of our path forward.
We believe circular and low-carbon solutions will provide advantage under a wide range of economic scenarios. We will talk about this more in a few moments. An intense and consistent focus on people and culture is a key enabler for driving differential value. On October 1, we implemented a new organizational structure that will improve agility and accountability across our company. One example is our decision to align strategy and execution by moving the global responsibility for manufacturing under the strategic business unit leaders. The strategic business unit leaders will have the ability to run their businesses based upon the required value propositions and business models. We also launched customer and commercial excellence initiatives to elevate our levels of service, quality and innovation.
With the right organizational structure and improved customer focus, our company will have even more capacity to capture differential value. After a very comprehensive diagnostic phase, a well-structured value enhancement program targeting $750 million in recurring annual EBITDA improvements have been launched. I will describe this program in more detail shortly. When these portfolio advantages are combined with our track record of efficient cash conversion, our investment-grade balance sheet and our secure steadily growing dividend, I think you will agree that LyondellBasell has the winning formula for generating high returns and differential value for our investors under a wide range of economic scenarios.
On slide number six, I would like to share more detail on one of the decisions that quickly emerged from our strategy work, the creation of our new circular and low-carbon solutions business unit. In my view, circular and renewable solutions businesses require a differentiated business model and a more entrepreneurial mindset to succeed. We're setting up our new circular and low-carbon solutions business unit with this in mind. This business unit is led by Yvonne van der Lann and is accountable for building scalable technologies and profitable businesses to serve rapidly growing customer demand for our circular and low-carbon solutions. Since we launched the Circulen brands in 2019, we've sold products with more than 150,000 tons of recycled and renewable content.
Our current goal is to sell at least 2 million tons per year of these products by 2030, with our new business unit leading the way. For perspective, 2 million tons represents about 20% of our 2021 global sales of polyethylene and polypropylene. In just the past few weeks, we have announced our participation in several agreements related to new capacity for our circular and low-carbon solutions business in several regions. We are partnering on plastic waste sorting facilities in Houston and Germany. The sorting plants will convert longer plastic waste into usable feedstocks for mechanical and or advanced recycling. In Germany, we expect the facility will provide a material amount of the feedstock required for our first advanced recycling plants using LyondellBasell's proprietary MoReTec Technology.
In India, we are forming a joint venture for a fully automated 50,000 tons per year mechanical recycling facility. And in China, we are developing another joint venture to mechanically recycle post-consumer waste in the Guangdong Province. I am confident that these and future actions will accelerate our circular and low-carbon solutions offering to position LyondellBasell as the preferred supplier for customers and brand owners seeking to lower the greenhouse gas impact of their business and increasing the circular content of their products. Our recently announced collaboration with Air Liquide, Chevron and Uniper on a U.S. Gulf Coast low-carbon hydrogen and ammonia project is but one additional example of our progress.
We're quickly and methodically building a robust supply chain to support attractive growth opportunities for our circular and low-carbon solutions business. Let's turn to slide number seven and discuss the launch of our value enhancement program. LyondellBasell has a well-earned reputation as a cost leader in our industry. But after 12 years with a singular focus on managing costs, a significant number of untapped value opportunities have accumulated. We believe this untapped value can be unlocked with modest incremental investments in resources. Our value enhancement program utilizes a proven stage gate methodology to identify, implement and track progress on hundreds of initiatives across the company. Over 2,000 IDs have been generated, and we have validated more than 1,500 initiatives to date.
But we're just getting started. We organized value opportunities into three categories: manufacturing and operational excellence, procurement and supply chain and commercial excellence. We have confidence that our value enhancement program is capable of achieving an estimated $750 million of annual recurring EBITDA improvement by the end of 2025. And with the continuous evergreen process in place, we look forward to regularly extending our goals. We will keep you apprised of our progress and look forward to sharing more details on this program during our upcoming Capital Markets Day in March. Before I turn the call over to Michael, I would like to describe the new organizational responsibilities for the business leaders on this call. Joining us on the call today is Kim Foley, who assumed responsibility for the Intermediates and Derivatives and Refining segments from Torkel Rhenman.
Kim began her career with our company more than 30 years ago as a chemical engineer and has served in a broad range of leadership roles, spanning manufacturing, strategic planning, finance and supply chain. She is a proven leader with a deep knowledge of our company and value voice on our Executive Committee. Torkel Rhenman is now in charge of our Advanced Polymer Solutions segment. In order to be a market leader, our APS business requires a customer service focus that is differential for most of LyondellBasell's other businesses.
Torkel will develop the appropriate culture and service model to maximize the full value potential of our APS business. Torkel's prior experience as a CEO at other companies will serve us well in this role. Ken Lane will continue to have responsibility for our two olefins and polyolefins segments. And Jim Guilfoyle, who formally led APS is relocating to Rotterdam and reporting to Ken as the leader for the O&P business in Europe, Africa, the Middle East and India.
With that, I will turn the call over to Michael first and then to each of our business leaders who will describe our financial and segment results in more detail.