INEOS Bamble AS and Puralube Nordic AS have announced an agreement to locate a new environmentally friendly lubricant oil production plant on the INEOS site at Rønningen, Bamble, Norway.

The new plant, which is to be built, owned and operated by Puralube, will convert waste oils into super-clean lubricants, which can be used in cars, transportation and a broad range of industrial applications.

Bill Reid, CEO of INEOS Polyolefins which owns the Bamble site said, “This is a great step forward for our strategy to grow a strong and diversified industrial environment at our Bamble site.”

“Most importantly, this environmentally attractive project will create around 40 new jobs, making use of utilities and services from the Bamble site and other suppliers in the surrounding area.”

Puralube Nordic AS plans to invest 400 million NOK in the new Bamble facility and when commissioned in 2010, the plant will be capable of producing around 75,000 tonnes per annum of high viscosity, low sulphur, water white lubricant oils.

Puralube runs an identical and very successful operation in Zeitz, Germany. The new Bamble plant will contribute to the increasing European demand to recycle waste oils.

As a result of the investment, Norsk Spesialolje will build a tank farm at the INEOS site for the collection of oils to be used in the new lubrication plant.