Used Cooking Oil as Petroleum Product? ... S-OIL Advances New Energy Business

S-OIL is accelerating its low-carbon eco-friendly new energy business.

S-OIL has applied to the government for a regulatory sandbox to conduct a pilot project that processes bio-based raw materials derived from waste such as used cooking oil and animal and vegetable oils in existing petroleum refining processes.

Earlier in March, the company applied for a special regulatory sandbox to pilot the production of fuel oils such as gasoline and diesel, as well as petrochemical raw materials, by inputting pyrolysis oil from waste plastics into existing petroleum refining processes.

Upon approval of the regulatory sandbox, S-OIL will implement a pilot project that processes alternative raw materials such as bio-based feedstocks and pyrolysis oil from waste plastics together with crude oil in existing petroleum refining processes to produce gasoline, kerosene, diesel, and naphtha.

S-OIL stated that through this, it can produce products and intermediate materials with the same quality as existing fuel oils and petrochemical products but with lower carbon intensity.

The new energy business will undergo a stabilization process during the initial testing phase after regulatory sandbox approval. Subsequently, by adjusting the mixing ratios of pyrolysis oil from waste plastics and bio-based raw materials, S-OIL plans to evaluate changes in overall product yield and process impact, thereby expanding the production volume of eco-friendly products.

S-OIL Anwar Al Hizazi CEO.

An S-OIL official said, “Under current laws, it is legally and institutionally impossible to process alternative raw materials classified as waste in existing petroleum refining facilities, and the complex licensing procedures take a long time, so a temporary regulatory exemption or simplification is necessary.”

He added, “We will actively promote low-carbon, circular new energy-related businesses to realize the company’s vision of becoming an ‘eco-friendly energy chemical company with the best competitiveness and creativity,’ and we will continuously strive to achieve social value and keep pace with eco-friendly trends.”

S-OIL is actively pursuing new energy sector businesses as part of its ESG management strategy in preparation for the government’s eco-friendly energy policies and the strengthening of global environmental regulations.

In particular, products produced based on bio-based raw materials and pyrolysis oil from waste plastics have received the international sustainability certification (ISCC PLUS), concretizing the carbon emission reduction effect and expected to contribute to a low-carbon, circular economy.