📈 Live Market Tracking
AI-Powered NSE Corporate Announcements Analysis
Castrol India and HPCL Sign MoU to Develop Re-Refined Base Oil Ecosystem
Castrol India has entered into a Memorandum of Understanding (MoU) with HPCL to explore the development of a Re-Refined Base Oil (RRBO) ecosystem in India. The partnership aims to create a circular model for collecting used lubricating oil and re-refining it for use in lubricant production. Studies indicate that re-refining can recover 70-80% of used oil as high-quality base oil while using significantly less energy than crude-based refining. This initiative aligns with global sustainability trends and could potentially optimize raw material costs in the long term.
Key Highlights
MoU signed with HPCL to evaluate the technical and commercial feasibility of a circular RRBO model.
Re-refining technology can recover up to 70-80% of used oil as high-quality base oil.
The process is significantly more energy-efficient than refining virgin base oils from crude oil.
Castrol India to leverage its extensive network of over 150,000 retail outlets for potential collection.
Immediate assessment phase includes mapping collection channels and testing RRBO suitability for formulations.
💼 Action for Investors
This is a positive ESG-led strategic move that could improve supply chain resilience and long-term cost structures. Investors should monitor the progress from the assessment phase to commercial implementation.