Vertex Energy, Inc. (“Vertex” or the “Company”) today announced it is advancing a project at its Mobile, Alabama refinery to produce crude-derived conventional Group III base oils through the Company’s existing hydrocracker and related processing infrastructure, providing lubricant manufacturers and blenders with an additional domestic source of high-quality Group III supply.
The project is designed to add an incremental 6,000 barrels per day of conventional Group III production capacity and support production of 4 cSt, 6 cSt, and 8 cSt Group III base oils using an existing crude-derived hydrocracked vacuum gas oil stream produced at the Company’s Mobile, Alabama refinery. Combined with the Company’s existing re-refined Group III base oil production, this additional capacity is expected to make Vertex the leading Group III producer in North America. Vertex has completed preliminary design work and has procured a high-pressure lubricants hydrotreating unit. The Company plans to start production of conventional Group III base oils in 2029.
“This project reflects a major milestone in our continued focus on improved profitability and margin stabilization,” said Mark Smith, Chief Executive Officer of Vertex Energy. “We believe the planned investments, combined with our existing hydrocracker, give Vertex a compelling pathway to supply the conventional Group III market and support customers seeking reliable domestic supply.”
Group III base oils are used in a range of high-performance lubricant applications, including automotive and industrial lubricants that require strong performance characteristics and consistent product quality. The project will complement Vertex’s existing fuels and re-refined base oil operations, with the Company continuing to produce transportation fuels and 4 cSt and 6 cSt re-refined Group III base oils as part of its integrated platform while adding conventional Group III production capability.
For more information on Vertex, visit the Company’s website at vertexenergy.com.
ABOUT VERTEX ENERGY
Vertex is a leading specialty refiner of base oils and conventional fuels. The Company operates an integrated used motor oil (“UMO”) collection and processing network across the southern United States, securing a reliable feedstock supply for its base oil re-refining operations. Vertex provides U.S.-produced refined products with global reach, delivering solutions that enhance performance and value for its customers.
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