Lwart invests in the construction of a new used lubricating oil re-refining plant

Company will become the second largest re-refinery in the world by increasing the capacity of the unit located in Lençóis Paulista (SP) by 50%

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Lwart invests in new re-refining plant

Lwart invests in new re-refining plant – A 100% Brazilian company specialized in waste transformation, Lwart Soluções Ambientais announces an investment of R$1 billion (~US$ 200 million) in the expansion of the production park located in Lençóis Paulista (SP). With the investment, the processing capacity for used or contaminated lubricating oil will increase by 50%, from the current 240 million liters/year to 360 million liters/year. When the new plant comes into operation in 2025, the company will become the second-largest re-refinery in the world.

The expansion will allow Lwart Soluções Ambientais to produce a greater volume of high-performance base oil – called Group II –, a product that Brazil needs to import as it is not self-sufficient in its production.

“Lwart collects used lubricating oil throughout the country and with expansion we should grow even more in terms of coverage. This will ensure that a greater volume of waste is managed correctly and that there is, consequently, greater production of Group II base oil in the country. We are talking about high technology to transform waste into extremely high-quality oil that also reduces the need for imports, given that Brazil is not self-sufficient in the production of this type of oil. As the re-refining process can be carried out infinitely many times, there is a very positive impact on environmental preservation”, says Thiago Trecenti, President of Lwart Soluções Ambientais, who adds: “The fact that the ESG agenda has definitively entered the global agenda contributes directly to increase demand for the solutions offered by Lwart, which was born with the DNA of sustainability”.

Used or contaminated lubricating oil, known as OLUC, is a dangerous waste and one of the main environmental and health villains due to its high potential for contaminating water, soil and air, when incorrectly disposed of. Brazilian legislation stipulates that the only correct destination for OLUC is the re-refining process, a type of recycling that, through technology, transforms the residue into base oil for the production of new lubricants.

Maximization of waste transformation

The management of OLUC carried out by Lwart is a reference in the sector and an example of a circular economy. The technology used by the company allows transformation and maximizes the reuse of already used lubricating oil that enters the industrial process. The majority of this residue is transformed into high-performance base oil and reinserted into the production chain, the process of which can be carried out countless times, maintaining the characteristics and quality of a first-refining product.

The rest of the process generates byproducts, such as heat-generating fuel for the plant itself and an asphalt compound used in civil construction.

“We continually invest in innovation and technology to improve our performance and the quality of our products. This positions us as a national and international reference in reverse logistics and OLUC transformation and we understand that we can contribute a lot to the country’s development and the future of the planet”, adds Trecenti.

Job generation

During construction of the new plant, up to 1,200 new jobs are estimated to be created. After the construction period, the company estimates that 400 direct jobs will be added to the operation.

Energy self-sufficiency

Part of the investment is allocated to providing the factory complex with a new steam and electrical energy generation system powered by biomass, which will allow Lwart to achieve energy self-sufficiency in supplying the two factories.