Afluena Oil, the largest recycling plant for lubricating oils and production of green lubricants in Central America and the Caribbean, with the capacity to process up to 8 million gallons per year, will be inaugurated in the first quarter of 2025 in Panama, announced its president, Geraldo Peters, during a meeting with the Minister of Commerce and Industries, Julio Moltó.
With an initial investment of 40 million dollars in equipment, the plant uses a model based on the circular economy (collects, processes, transforms and returns the product to the market), which allows 75% of the lubricating bases of the used oil to be recovered. The remaining 25% is converted into fuels and clean water, which are reused in operations. This process prevents the spill or burning of millions of liters of used oil, contributing to the protection of Panama’s rivers and soils.
“This project represents a significant investment for Panama, reaffirming our commitment to sustainability and innovation. The plant will be an engine of economic development, positively impacting the generation of employment, environmental protection and the strengthening of the value chain of recycling and the production of lubricants,” said Minister Moltó, highlighting the strategic relevance of the project for the country’s economy.
Located in the Panama Logistics Park (PLP) in the December 24 area, the plant occupies 24,500 square meters and is equipped with advanced technologies that reduce emissions and minimize environmental impact. Through these processes, Afluena Oil reinforces its commitment to industrial sustainability in Panama and supports government policies to promote ecological and responsible practices.
This project is part of the KPX, an Afluena Oil initiative that is divided into two main areas: Recycling and refining of used lubricating oil: The used mineral oil is transformed into SN 500 and SN 200 lubricant bases, which are then used to produce lubricating oils that will be marketed locally and internationally, consolidating Panama as a green lubricant hub.
Blending (mixture) of lubricating oils: Afluena Oil acquires virgin bases and mixes them with additives to produce high quality lubricating oils, complying with international standards. This operation diversifies its offer for the automotive and industrial sectors.
The new plant will also boost job creation, creating a hundred jobs over the next 5 years in areas such as manufacturing, logistics, research and other key sectors.
“Panama, with its strategic location, natural wealth and qualified talent, has the potential to lead high-tech industrial projects in the region. Afluena Oil promotes this vision with an innovative and environmentally responsible plant, positioning the country as a benchmark in the production of green lubricants,” Peters stressed.
In addition to transforming local industry, this project has the potential to generate a positive global impact, consolidating Panama as a leader in the sustainable production of oils and fats for the automotive and industrial sectors.