S-OIL, Approval for 'Bio-based Feedstock Processing' Regulatory Sandbox

Processing Bio Raw Materials Such as Waste Cooking Oil in Petroleum Refining and Chemical Processes

Establishing a New Energy Business Foundation for Aviation Fuel and Low-Carbon Product Production

S-OIL (CEO: Anwar Al Hizazi) has signaled a green light for promoting low-carbon new energy projects in the new year.

S-OIL Headquarters.

On the 27th, S-OIL received government approval for a regulatory sandbox exemption to conduct a pilot project for processing bio-based raw materials such as animal and vegetable oils in petroleum refining processes.

With this regulatory sandbox exemption approval, S-OIL will be able to actively pursue the production of bio-based fuels with low carbon intensity (such as Sustainable Aviation Fuel (SAF) and next-generation biodiesel) and bio-based petrochemical raw materials (such as naphtha and polypropylene) by processing waste-based bio raw materials like animal and vegetable oils (including waste cooking oil) in petroleum refining processes during the two-year pilot project period.

Following the approval of the pilot regulatory sandbox for pyrolysis oil from waste plastics last July, S-OIL is expected to launch its low-carbon eco-friendly new energy business in the new year with the additional approval for bio raw materials.

As part of its raw material procurement strategy, S-OIL has prepared for the new energy business by investing in Olsu, a waste cooking oil collection company, last year.

An S-OIL representative stated, “We plan to expand the production volume of eco-friendly products by adjusting the mixing ratios of new alternative raw materials such as bio-based raw materials and pyrolysis oil from waste plastics, while evaluating overall product yield changes and process impacts. We will pursue international sustainability certification (ISCC) for products made from alternative raw materials and concretize the carbon emission reduction effects to contribute to the government’s eco-friendly energy policies, low carbon initiatives, and circular economy.”