A partner in the Finnish joint venture L&T Recoil Oy said last week that it is nearing completion of a 60,000-metric-ton base oil rerefinery in Hamina, Finland, and plans to open the facility in May. Officials from EcoStream added that the Hamina plant is just the first step in a long-term plan that calls for eventual construction of four other rerefineries.
We are committed to becoming a major supplier in this market, Trader Kari-Matti Elo told Lube Report during an interview Thursday at the ICIS World Base Oils and Lubricants Conference in London.
EcoStream, based in Espoo, Finland, owns 50 percent of L&T, which first announced the Hamina plant in mid-2007. At that time the facility was scheduled to open in 2008. Elo and other EcoStream officials said last week that the plant is now due to open in May.
The 45 million plant, which is located on Finlands southern coast, is designed for an output of 60,000 tons per year, including 50,000 tons of 150 neutral and 500 neutral base oils. Officials said the base oils will be API Group II+ quality, the highest quality produced by any rerefinery. The plant is fed by used lubricants collected within the Nordic and Baltic countries and Finland.
EcoStream officials said the joint venture conducted a stock offering last year to finance is growth plan. The joint venture is close to finalizing plans for the second plant, which will be located in Central or Eastern Europe. They expect an announcement on that project this spring. The company is eyeing other parts of Europe for the future plants.
EcoStreams partner in L&T is Lassila & Tikanoja, a Helsinki-based company that specializes in environmental management and property and plant support services. EcoStreams background is in fuel oil trading and lubricant recycling.