India produces 1.3 million tonnes
of used oil every year.
Less than a sixth is recycled properly.

We are building a 30 KLPD re-refinery at Budaun, designed for 100 KLPD. It will turn used lubricating oil into Group I+ base oil at ASTM colour 0.5 — against the 2 to 4 that re-refined oil typically runs in this market. Commissioning late 2027.

✓MoU with Government of UP
✓ASTM Colour 0.5
✓Designed for 100 KLPD
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1.3MT
Tonnes of used oil generated annually in India
15%
Currently formally recycled through legitimate channels
30 KLPD
Feed capacity at commissioning, designed for 100 KLPD
50%
RRBO blending target mandated by EPR by FY2031

One site. Two stages.
The first pays for the second.

The plant at Budaun is designed for 100 KLPD and commissions at 30. Equipment and capacity are added as sales fund them, so no capital sits idle in steel that is not yet needed and no capacity is stranded by a design that cannot grow.

In March 2026 we signed a Memorandum of Understanding with the Government of Uttar Pradesh for the project. Investment under it is phased against capacity, on the same basis. The State is facilitating our approvals, registrations and clearances, and access to State and Central incentive schemes.

Memorandum of Understanding

CounterpartyGovernment of Uttar Pradesh
SignedMarch 2026
SiteBudaun, Uttar Pradesh
Design capacity100 KLPD
At commissioning30 KLPD
PHASE 1Commissioning late 2027

30 KLPD

Group I+ Base Oil

Continuous vacuum distillation and two stages of polishing. Design specification: ASTM colour 0.5, acid number and ash at or below 0.1.

  • 30 KLPD feed capacity at commissioning
  • SN 150 – SN 300 base oil grades
  • Residue recovered and sold as byproduct
PHASE 2Ramped as Phase 1 revenue funds it

100 KLPD

Expansion to 100 KLPD

Capacity is added on the same site, up to the 100 KLPD the plant is designed for. The land, sheds, tanks and power connection are built for 100 from the start, so nothing has to be rebuilt.

  • 100 KLPD design ceiling, same site
  • Same process, more throughput
  • Capacity added incrementally, not all at once

The Memorandum of Understanding records a project the company intends to build and the State's facilitation of it. It is not a funding commitment, an approval, or a partnership.

Investor Enquiries

Three audiences. One circular solution.

Investors

A staged plant where the first stage funds the second.

Budaun is designed for 100 KLPD and commissions at 30, expanding to 100 in Phase 2. Investment is phased against capacity under a Memorandum of Understanding signed with the Government of Uttar Pradesh in March 2026.

Used Oil Suppliers

We will be buying used oil across western UP.

Garages, fleet operators, petrol pumps and workshops. Collection begins as the Budaun plant commissions in late 2027. Fair price, proper documentation, and disposal that stands up to an audit. Tell us now and we will come to you first.

Lubricant Blenders

Base oil at ASTM colour 0.5, from late 2027.

SN 150 to SN 300, vacuum-distilled and polished in two stages. A reference sample of the grade the plant is designed to produce can be arranged ahead of commissioning, so you can put it through your own lab before you commit to anything.

From used oil to colour 0.5
in six steps.

Vacuum dehydration, continuous vacuum distillation, then two stages of polishing. No acid anywhere in the process, and polishing media that is regenerated rather than thrown away. The design specification is ASTM colour 0.5.

View Full Process →

Re-refined oil has a reputation. This is how we intend to change it.

Design specification vs conventional re-refined base oil

Colour (ASTM D1500)
Conventional re-refined2.0 – 4.0
Typical for re-refined stock in this market
Santosh (design)≤ 0.5
Close to water-white
Total Acid Number (mg KOH/g)
Conventional re-refinedHigher, variable
Varies batch to batch
Santosh (design)≤ 0.05 – 0.1
Low and consistent
Carbon Residue (wt%)
Conventional re-refinedHigher
Carries through from the feed
Santosh (design)≤ 0.05 – 0.1
Removed with the heavy ends
Viscosity Index
Conventional re-refined80 – 95
Adequate for basic lubrication
Santosh (design)80 – 150
Wider range, higher ceiling

Santosh figures are the plant design specification, not measured product. Bar lengths show magnitude, not a common scale. Conventional ranges are industry-typical values for conventionally finished re-refined stock, shown for comparison.

Two polishing stages. No acid, and nothing thrown away after one pass.

After vacuum distillation the oil goes through two polishing stages, and the second is what takes colour below 0.5. There is no acid treatment anywhere in the process. The polishing media is regenerated in place and reused for 200 cycles or more, where clay is used once and has to be disposed of.

Colour is the number a buyer can check himself.

Viscosity and flash point need a lab. Colour does not — pour a sample and look at it. At ASTM 0.5 the oil is close to water-white, against the 2 to 4 that re-refined stock typically runs in this market. It is the fastest way for a blender to tell our oil from the alternative, which is why we lead with it.

Built to go further than Phase 1.

The plant at Budaun is designed for 100 KLPD and commissions at 30. Phase 2 is the expansion to 100, on the same site. Phase 1 is not a smaller version of the plan. It is the first stage of it, and it funds the next.

66% LESS ENERGY

Re-refining uses 66% less energy than producing virgin base oil from crude. Every tonne of RRBO displaces virgin oil and reduces crude import dependency.

The circular economy
India is mandating.

India's EPR regulations under the Hazardous Waste Rules 2023 require lubricant manufacturers to blend increasing proportions of RRBO — starting 5% in FY2025, scaling to 50% by FY2031. The Budaun plant is being built to supply it from late 2027.

66%
Less energy vs virgin oil production
~70%
Base oil yield from used oil feed
1.3MT
Annual used oil generated in India
0
Waste to landfill — asphalt residue reused
THE MARKET IS MOVING

India's public sector oil companies have begun committing to re-refined base oil at national scale. The demand side of this market is no longer speculative, and the EPR mandate puts a floor under it.

EPR RRBO BLENDING MANDATE PROGRESSION

FY2025
5%EPR mandate begins
FY2027
15%Growing momentum
FY2029
30%Formal sector scales
FY2031
50%National target
Used OilWorkshops / FleetsRe-RefiningSantosh PlantRRBOGroup I+Lubricant → Used Oil → CollectionEPR-mandated circular economy5% FY2025 → 50% FY2031

Regulatory
Roadmap

Registrations and certifications are applied for at commissioning. None are held today.

GoUP MoU
Signed March 2026
PCB Registration
Hazardous Waste Rules 2016
CPCB Registration
Used Oil Recycler
BIS IS 18722
RRBO Standard
EPR Framework
Extended Producer Responsibility
ISO 9001
Quality Management

What people ask us

What is Santosh Petrochemical Innovations building?

A used-oil re-refinery at Budaun, Uttar Pradesh. It will turn collected used lubricating oil into Group I+ re-refined base oil (RRBO) for lubricant blenders.

When will the Budaun plant start production?

Commissioning is planned for late 2027. Until then the plant is not producing, and we are not selling base oil or collecting used oil yet.

What is the plant's capacity?

30 KLPD (30,000 litres a day) of used-oil feed at commissioning. The site is designed for 100 KLPD, and Phase 2 expands it to that on the same site.

How will the oil be re-refined?

Vacuum dehydration to remove water and light ends, continuous thin-film vacuum distillation to separate the base oil from the heavy residue, then two polishing stages. No acid is used, and the polishing media is regenerated and reused.

What grades and specification will the plant produce?

Group I+ base oil, SN 150 to SN 300, with a design colour of ASTM D1500 0.5 or better. Most re-refined base oil in India runs at colour 2 to 4. The full design specification is on the Products page; batch Certificates of Analysis will come from our own laboratory from commissioning.

Can I get a sample before the plant is running?

Yes. We can show you a reference sample of the grade the plant is designed to produce, so you can test it in your own lab. It is a reference sample, not Santosh production. Request one through the Register Interest page.

What is re-refined base oil, and why does EPR matter?

Re-refined base oil is base oil recovered from used lubricating oil and cleaned to be blended into new lubricants. India's Extended Producer Responsibility rules require lubricant producers to use a rising share of it, reaching 50% by FY2031.

Who is behind the company?

Santosh Petrochemical Innovations is led by Lalit Bindal, an Indian Oil Servo distributor in western Uttar Pradesh since 2003, and before that a C&F agent and stockist for Caltex India. The head office is in Ghaziabad.

Talk to us before we commission.

The plant commissions in late 2027. The people we want to hear from now are investors, workshops and fleets with used oil to sell, and blenders who want to see the specification early. We reply within one business day.

Investors: The phased plan, capacity and the GoUP MoU
Used Oil Suppliers: Register now, and we come to you first at commissioning
Lubricant Blenders: Specification sheet, and a reference sample on request

Or WhatsApp us directly at +91 98101 21438

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