ReSL Inks MoU with IndianOil to Establish Used Oil Circular Economy Ecosystem

Sustainability Limited (ReSL) has entered into a Memorandum of Understanding (MoU) with Indian Oil Corporation Limited (IndianOil) to develop a nationwide system for the structured collection and recycling of used lubricating oil. The partnership represents a major step toward creating a circular economy framework for lubricant management in India while supporting the country’s broader environmental and resource efficiency goals.

The collaboration aims to address the growing challenge of managing used lubricating oil by establishing a formal ecosystem for its recovery, processing, and reintegration into industrial supply chains. Through this initiative, the two organizations intend to create a system that captures the value of used oil and converts it into reusable base oil, reducing dependence on crude-derived raw materials.

A central element of the partnership is the creation of a Special Purpose Vehicle (SPV) that will oversee the development of a nationwide reverse logistics network for collecting used lubricating oil. The system will gather used oil from both industrial and automotive sources and channel it into advanced recycling facilities.

The recovered oil will be processed into Re-Refined Base Oil (RRBO), which can be reused in lubricant production. This approach helps reduce the need for fresh crude-based base oils while supporting more efficient use of existing resources.