The Nappy Loop Project, led by Kimberly-Clark Australia, aims to address the issue of the estimated 1.5 billion disposable nappies ending up in Australian landfills annually. In collaboration with CSIRO, Peats Soils and Garden Supplies, Solo Resource Recovery, and G8 Education, the trial has been underway in South Australia since July 2022. Laboratory and field-scale trials demonstrated successful separation of the super-absorbent polymer (SAP) from other nappy components. The project team has effectively showcased anaerobic digestion as a viable option for converting the organic materials in used nappies into nutrient-rich compost, as well as bioenergy. Since the pilot began over 4 tonnes of soiled nappies have been collected and recycled. Future steps involve evaluating scaling opportunities, assessing the safety of separated SAP for compost, and exploring dry separation for plastic recycling. This pioneering project offers a promising solution to the environmental challenges of nappy waste disposal in Australia.