Interview with Andreas Schüppel, CEO of PURAGLOBE … · Interview with Andreas Schüppel, CEO of...

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business EUROPEAN Interview with Andreas Schüppel, CEO of PURAGLOBE Holding GmbH Sustainable base oil products There may be disagreement amongst experts about when exactly peak oil will be reached but one thing is certain – the end is in sight for the cheap oil era. After a decade in which oil prices have fluctuated wildly and are now on the rise again, many sectors are looking at more sustainable alternatives. PURAGLOBE Inc. is the exclusive provider of UOP HyLube™ and HyLubeSAT™ process technology, which it uses to develop innovative, sustainable base oil products from used oil. Thanks to this technology, it is the only provider worldwide of sus- tainable Group III base oils made from used oil. In Germany it is represented by its subsidi- ary, PURAGLOBE Holding GmbH. Faced with the end of the oil era as we know it, industry is looking for alternatives. One axis of invest- ment for the automotive industry is in electric vehicles, but the day when electric cars outnumber diesel or petrol cars on the roads is still a long way off and they will still need petroleum-based lubricants. PURAGLOBE prides itself on oper- ating the most advanced, sustain- able base oil facilities in the world. Two of these are based in Zeitz, Germany while a further facility is currently being developed with the same capabilities as its European facilities in Tampa, Florida. “We combine American ingenuity with German engineering,” says CEO Andreas Schüppel. “Oil can be endlessly recycled and is graded accord- ing to quality. Group III is the highest qual- ity available, used for high performance car engines. With our oils, motorists can drive for 30,000 km before the next oil change.” This is made possible by UOP’s unique re-refining technol- ogy HyLube™ and HyLubeSAT™. “UOP holds the patents and we provide the tech- nology,” explains Mr. Schüppel. “We brought our first facility for HyLube™ technology on line in 2004. It is capable of pro- cessing 75,000 t of used oil to pro- duce 50,000 t of base oil a year. After an investment of almost 40 million EUR, we brought a second, larger facility on line in 2009. It has a capacity to produce 100,000 t of base oil from 150,000 t of used oil in total.” Since then, the company has been piloting its follow-on technology HyLubeSAT™. This will be the basis for its new plant in Zeitz, Germany, which will be commissioned in May 2017 and in Tampa, Florida, as well which is due to go into production in 2018. “We are the only company in the world with this technology,” says Mr. Schüppel. “As well as produc- ing sustainable, high grade motor oil, it also leads to significant re- ductions in carbon emissions. We estimate that the carbon footprint of our process will save 150,000 t of carbon compared to the production of crude oil on an annual basis.” The price of the lower grades of base oil is linked to the barrel price Recycling motor oil using UOP’s HyLubeSAT™ technol- ogy can reduce carbon emissions by 150,000 t per year PURAGLOBE’s used oil recycling activities extend the lifespan of the earth’s oil resources www.european-business.com

Transcript of Interview with Andreas Schüppel, CEO of PURAGLOBE … · Interview with Andreas Schüppel, CEO of...

Page 1: Interview with Andreas Schüppel, CEO of PURAGLOBE … · Interview with Andreas Schüppel, CEO of PURAGLOBE Holding GmbH Sustainable base oil ... provider of UOP HyLube™ and HyLubeSAT™

businessEURO

PEAN

Interview with Andreas Schüppel, CEO of PURAGLOBE Holding GmbH

Sustainable base oil productsThere may be disagreement amongst experts about when exactly peak oil will be reached but one thing is certain – the end is in sight for the cheap oil era. After a decade in which oil prices have fluctuated wildly and are now on the rise again, many sectors are looking at more sustainable alternatives. PURAGLOBE Inc. is the exclusive provider of UOP HyLube™ and HyLubeSAT™ process technology, which it uses to develop innovative, sustainable base oil products from used oil. Thanks to this technology, it is the only provider worldwide of sus-tainable Group III base oils made from used oil. In Germany it is represented by its subsidi-ary, PURAGLOBE Holding GmbH.

Faced with the end of the oil era

as we know it, industry is looking

for alternatives. One axis of invest-

ment for the automotive industry

is in electric vehicles, but the day

when electric cars outnumber

diesel or petrol cars on the roads is

still a long way off and they will still

need petroleum-based lubricants.

PURAGLOBE prides itself on oper-

ating the most advanced, sustain-

able base oil facilities in the world.

Two of these are based in Zeitz,

Germany while a further facility is

currently being developed with the

same capabilities as its European

facilities in Tampa, Florida. “We

combine American ingenuity with

German engineering,”

says CEO Andreas

Schüppel. “Oil can

be endlessly recycled

and is graded accord-

ing to quality. Group

III is the highest qual-

ity available, used for

high performance car

engines. With our oils,

motorists can drive for

30,000 km before the

next oil change.”

This is made possible

by UOP’s unique

re-refining technol-

ogy HyLube™ and

HyLubeSAT™. “UOP

holds the patents and

we provide the tech-

nology,” explains Mr.

Schüppel. “We brought our first

facility for HyLube™ technology on

line in 2004. It is capable of pro-

cessing 75,000 t of used oil to pro-

duce 50,000 t of base oil a year.

After an investment of almost 40

million EUR, we brought a second,

larger facility on line in 2009. It has

a capacity to produce 100,000 t of

base oil from 150,000 t of used oil

in total.” Since then, the company

has been piloting its follow-on

technology HyLubeSAT™. This

will be the basis for its new plant

in Zeitz, Germany, which will be

commissioned in May 2017 and

in Tampa, Florida, as well which is

due to go into production in 2018.

“We are the only company in the

world with this technology,” says

Mr. Schüppel. “As well as produc-

ing sustainable, high grade motor

oil, it also leads to significant re-

ductions in carbon emissions. We

estimate that the carbon footprint of

our process will save 150,000 t of

carbon compared to the production

of crude oil on an annual basis.”

The price of the lower grades of

base oil is linked to the barrel price

Recycling motor oil using UOP’s HyLubeSAT™ technol-ogy can reduce carbon emissions by 150,000 t per year

PURAGLOBE’s used oil recycling activities extend the lifespan of the earth’s oil resources

www.european-business.com

Page 2: Interview with Andreas Schüppel, CEO of PURAGLOBE … · Interview with Andreas Schüppel, CEO of PURAGLOBE Holding GmbH Sustainable base oil ... provider of UOP HyLube™ and HyLubeSAT™

businessEURO

PEAN

PURAGLOBE Holding GmbHHauptstrasse 30, Gebäude 37 06729 Elsteraue Germany

+49 3441 228150 +49 3441 2281510

[email protected] www.puraglobe.com

of crude. When this falls, then

PURAGLOBE’s turnover falls as

well. Although no one expects the

oil price to hit the highs of 100

USD a barrel of a few years ago,

recent rises are indicative of the

general direction of travel. “I can-

not see anywhere else for oil prices

to go than up,” says Mr. Schüppel.

“A lot of the oil producing coun-

tries cannot continue to survive

at less than 50 USD a barrel and

recent rises above this mark will be

sustained going into the future.”

The price for Group III base oil

is much more attractive, which

means PURABLOBE’s invest-

ments in this area should pay off

handsomely. “Our goal is to be a

fast and reliable supplier of Group

III basis oils,” says Mr. Schüppel.

“Modern engines are becoming

more compact while the demands

on performance are rising. This

will mean even greater demand

for our products.” PURAGLOBE

now offers ten different base oils

in its portfolio, having started out

in 2005 with just three. A further

seven are currently in develop-

ment. “We started developing the

HyLubeSAT™ technology together

with UOP seven years ago as a

pioneer in the market,” says Mr.

Schüppel. “No one else dared take

the risk. I am not worried by the

fluctuations in the oil price. We

have the technical expertise, the

contacts and supportive investors.

Our results are strong and I relish

the challenge of looking for new

customers.” As well as heading up

the German operation, Mr. Schüp-

pel has also been President and

CEO of the American operation

since 2013. He is passionate about

the potential of the technology. “I

came to PURAGLOBE, or PURA-

LUBE as it was then known, from

BP. I did not need to move but I

was fascinated by the technology

and the opportunity to build up an

international company. The first

stage has already been achieved

and further growth and interna-

tional expansion will follow in the

coming years.” ❙

Work on PURAGLOBE’s new Group III basis oil facility in Tampa, Florida is well underway and production should start next year

One of two HyLube™ used oil recycling facilities operated by PURAGLOBE in Zeitz, Germany

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