Re Sustainability , IOCL sign MoU for recycling lubricating oil

ReSustainability has signed a Memorandum of Understanding (MoU) with Indian Oil Corporation Limited(IOCL) on Friday to launch India’s first initiative for the collection and recycling of used lubricating oil. The partnership is meant for building a circular ecosystem for lubricant oil management and advancing India’s transition towards a resource-efficient and low-carbon economy.

The collaboration will focus on establishing a dedicated Special Purpose Vehicle (SPV) to create a nationwide reverse logistics and collection ecosystem for used lubricating oil. The platform will aggregate used lubricants from industrial and automotive sectors and develop advanced Re-Refined Base Oil (RRBO) refining infrastructure to produce Group I and Group II+ base oils from recovered lubricants in partnership with ReSustainability and its technology partners.

Bankim Patra, Country Head (Lubes), Indian Oil Corporation Limited, said that under the collaboration, recovered oil will be processed to produce Re-Refined Base Oil (RRBO) which can be reintroduced into lubricant manufacturing value chains. Masood Mallick, Managing Director & Group CEO, Re Sustainability Limited, said that by building an integrated ecosystem for used lubricant recovery and re-refining, a transition is being enabled from waste management to resource recovery. 

The MoU is signed with a targeted annual collection upto 100 KTA (kilotonnes per annum) of used lubricating oil supported by a network of aggregation, logistics and traceability systems. As part of the initiative, the partners will establish a state-of-the-art re-refining facility at mutually agreed locations. The facility is expected to have a processing capacity of 50–100 KTA and is targeted to be commissioned within the next three years.