Clean Harbors, Inc., based in Norwell, Mass., U.S.A., announced that they have formed a new business unit that will be dedicated to the research, development, sales and distribution of high-quality engine oils, lubricants and other automotive and industrial products.
Kleen Performance Products, headquartered in Richardson, Texas, U.S.A., will build on Clean Harbor’s 30-year record of innovation in oil refining processes and leadership position in the North American market for renewable oils and lubricants. Kleen Performance Products will offer a portfolio of products, including Safety-Kleen’s current EcoPower-lubricants and base oils produced with re-refined oil, and the Performance Plus line of full synthetic, synthetic blend and other finished lubricants.
These diverse offerings position the new business unit to serve the fast-growing market for high-performance lubricants tailored for modern engines, while supporting the reduction of greenhouse gas emissions and carbon footprints, the company said.
“The formation of Kleen Performance Products will enable Clean Harbors to capitalize on untapped growth opportunities in an expanding market and dedicate more resources to product development, sales and customer service,” said Alan S. McKim, chairman and chief executive officer of Clean Harbors. “We are well-positioned for long-term growth, with demand for superior lubricants being driven by the modernization of industrial machinery, the resurgence of manufacturing and the next generation of more fuel-efficient cars and trucks.
“Additionally, the creation of this standalone business and brand allows the Safety-Kleen organization to concentrate exclusively on its core business of environmental services, including the collection of approximately 220 million gallons of used oil annually,” McKim added.
The formation of Kleen Performance Products continues the implementation of recommendations stemming from a comprehensive strategic review of its business portfolio that Clean Harbors announced earlier this year. The review recommended that the company refocus its businesses on what each does best in order to maximize value. In addition to creating Kleen Performance Products and refocusing Safety-Kleen on environmental services, Clean Harbors also is in the process of carving out its Oil and Gas Field Services and Lodging Services segments as a standalone publicly traded company.
Clean Harbors intends to rename as Kleen Performance Products its current “Oil Re-refining and Recycling” reporting segment within its filings with the U.S. Securities and Exchange Commission (SEC).