UK oil recycling deal agreed
12 Nov 2013
Oil recycling firm Hydrodec has announced it will collaborate with Essar Oil UK to develop a re-refining plant at the Stanlow refinery complex in Chesire.
The companies plan on installing two oil re-refining operations, initially recycling transformer oil and subsequently general used oil. These facilities will boast a combined recycling capacity of 130 million litres per year, according to Hydrodec.
This [oil recycling] project will combine Hydrodec’s proprietary technology with Stanlow’s operational expertise
Essar Oil UK CEO Volker Schultz
The three phase project will include the establishment of a transformer oil re-refining business using existing Hydrodec technology.
Hydrodec will also develop lubricant technology through a new pilot plant in the first half of 2014 and establish a general used lubricant re-refining arm as part of the deal.
Essar Oil UK chief executive officer Volker Schultz said: “This innovative [oil recycling] project will combine Hydrodec’s proprietary technology with Stanlow’s operational and project execution expertise.”
The deal, said to be worth around $150 million (£93m) per year, will ensure Stanlow is generating up to 27 million litres of new transformer oil and 100 million litres of high-grade used lubricant oil by 2016.
