Shell Eastern Petroleum, a unit of oil giant Shell (SHEL.L), said on Tuesday it has acquired Asia-based waste oil recycling firm EcoOils to expand its biofuels production.
The company will completely take over EcoOils’ subsidiaries in Malaysia and a 90% stake in its Indonesian subsidiaries through the deal, Shell Eastern said in a statement, but did not disclose the value of the investment.
“This acquisition provides secure access to a recognised, advanced feedstock, which can be used at Shell’s biofuels facilities to meet that aim,” said Sinhead Lynch, senior vice-president for low carbon fuels at Shell.
EcoOils has a production capacity of 65,000 tonnes per year of spent bleaching earth oil, a type of recycled oil that can be used as feedstock for biofuel production.
Bleaching earth is a clay material used to absorb impurities during the palm oil refining process.
(Source: Reuters, Nov. 1-2022)