The re-refined Base Oil recovered from Used Engine Oils is slowly and steadily becoming a significant business opportunity for large and small companies alike in the Middle East and all over the world. Although the European Nations and the US have a clear edge due to their positive environmental regulations, other countries are moving towards adopting these stringent regulations and soon the world will be catching up on this area of waste management.

The rapid increase in lubricant prices has spurred re-refiners to seek higher value for their re-refined base stocks. Improved re-refined base oil quality and advanced re-refining technology has boosted the quality of the re-refined base oils. The Middle East has a great un-tapped potential in this area of re-refining of Used Engine Oils with just a few re-refining units spread across the entire region.

Taking advantage of this situation, on the 22nd of January 2013, DAYA LUBRICANTS PVT. LTD., joined hands with SUCCESS INTERNATIONAL TRDG. EST., Jeddah, Kingdom of Saudi Arabia for setting up its first overseas joint ventures for re-refining of Used Engine Oils. The announcement came after weeks of talks and deliberations by the two parties and finally an agreement to the effect. The JV Company will set up a plant with a capacity of processing 14000 MT/Annum.

Daya Lubricants will use its state of the art re-refining technology. The technology used at this JV Company will be similar to the one being used at Daya Lubricants Mumbai Plant which is ACID FREE. The plant will consist of a pre-treatment unit, a fractionation unit and a finishing/polishing unit. The company has plans to add a hydro-treating unit in future.

  • Dehydration.
  • Chemical Pre-treatment.
  • Light Fraction Removal.
  • Agitated Thin Film Evaporation – Light to Medium Base Oil Fractionation.
  • Short Path Distillation - Separation of Heavy Lube base Oil.
  • Clay Polishing for removal of odor and improving the color of Base Oils.

In order to enhance the quality of the re-refined base oils, the company has plans to add a hydro-treating unit in future. The base oil recovered will be of very good quality API Group-II specifications. The JV Company comes in the wake of Daya Lubricants’ plans to broaden its base and venture overseas seeing potential partners in various countries.

The commissioning of the plant has been slated for June-July 2013.