Pennzoil-Quaker State Company, a subsidiary of Shell plc, and Blue Tide have successfully completed Blue Tide’s world-scale used motor oil (UMO) re-refining facility in Baytown, Texas. Blue Tide, a portfolio company of Tailwater Capital LLC, is developing a network of UMO re-refining facilities across North America to advance sustainability in the lubricants industry.
Advancing the Circular Economy
Terry McHugh, CEO, Blue Tide, said, “This milestone reflects the dedication and vision of our incredible team. We actively contribute to a circular economy by transforming used lubricants into high-performance base oils. Our innovative solutions reduce waste and promote resource efficiency.”
State-of-the-Art Technology for High-Quality Base Oils
The Baytown Facility features one of the largest hydrotreaters in the re-refining industry. This cutting-edge technology enables Blue Tide to produce and sell Group II+ base oils with a lower carbon footprint than traditional base oils. The hydrotreater enhances efficiency by removing impurities and improving the performance of re-refined base oils, meeting the growing demand for sustainable lubricants.
Shell and Pennzoil-Quaker State’s Commitment to Sustainability
Ade Ajala, CEO of Pennzoil-Quaker State Company and SVP at Shell Lubricants Americas, highlighted, “Completing the Baytown Facility is a significant step toward providing high-performance lubricants with a reduced carbon footprint. We are proud to collaborate with Blue Tide to leverage innovative technology, ensuring our re-refined base oils meet the highest standards while advancing sustainability in the industry.”
Impressive Capacity and Strategic Location
The Baytown Facility processes 5,000 barrels per day (BPD) of UMO. It converts UMO into premium base oils and other valuable products like gas oil and asphalt modifiers. The facility is located on Cedar Bayou near the Houston Ship Channel. It strategically transports raw materials and finished products efficiently by truck, rail, and barge.
Tailwater Capital’s Vision for Growth
avid Cecere, Partner at Tailwater Capital and Blue Tide Board Member, expressed excitement about the project’s success. “Blue Tide’s Baytown Facility represents the future of sustainable innovation in the lubricants industry. We are thrilled about its potential to drive growth while supporting a circular economy.”
According to the press release, the facility is now fully operational. Blue Tide is poised to lead the industry in sustainable lubricant production. It offers high-quality, eco-friendly solutions to meet evolving market demands.
