ReGen III Corp. a leading clean technology company specializing in the upcycling of used motor (“UMO”) oil into high-purity Group III base oils, has earmarked the rapidly expanding billion-dollar immersion cooling market for re-refined Group III base oils.
Immersion cooling is a cutting-edge technology in which servers are submerged in a non-conductive fluid, enabling superior thermal management, dramatically improved energy efficiency, and reduced water usage compared to traditional air-based cooling systems. Within this rapidly growing market, Group III base oils are emerging as an important dielectric fluid.
As global demand for advanced cooling solutions accelerates, driven by leading chip and AI innovators, immersion cooling is emerging as a critical enabler of next-generation data centers, AI infrastructure, and hyperscale computing. Valued at USD 2.1 billion in 2024, the market for liquid immersion cooling is forecast to more than triple to USD 7.2 billion by 2030.
Group III Base Oils: A Critical Ingredient
With favorable performance and cost efficiency, hydrocarbon-based fluids are expected to dominate the market with a 52.3% share. Synthetic base oils, including Group III, are increasingly specified as dielectric fluids in single-phase immersion cooling due to their high purity, chemical stability, and thermodynamic efficiency.
Sustainability: ReGen III’s Competitive Advantage
As a circular product, ReGen III’s high-quality Group III re-refined base oils deliver purity and stability while supporting longer product lifetimes and reduced environmental impact. The patented process transforms UMO into premium base oils, achieving up to 82% lower CO₂e emissions than virgin crude-derived oils. This fits the criteria of organisations, such as the Open Compute Project (“OCP”), that are championing the use of sustainable immersion fluids that are formulated for a long operational lifetime and have, amongst other properties, low global warming potential, low carbon footprints, and a defined end-of-life treatment.
“We are excited about the opportunity to help solve a critical challenge shared by the largest and fastest growing hyperscale data centers: the need to cool ever hotter, faster chips that exceed the limits of traditional air cooling,” stated Tony Weatherill, CEO and President of ReGen III. “As legacy dielectric fluids face growing environmental and regulatory scrutiny, including the phase-out of ‘forever chemicals’, our solution aligns with the circular economy and net zero priorities in a surging market.”
Special Committee: Independent Evaluation of Strategic Pathways
ReGen III has established a Special Committee to conduct a disciplined review of opportunities to integrate ReGen III’s base oils into immersion cooling, dielectric fluids, and EV thermal management systems. Strategic options under evaluation include: joint ventures and technical collaborations, long-term supply partnerships, and product qualification and commercialization programs.
About ReGen III
ReGen III Corp. is driving a new era in high-performance, sustainable lubricants. Harnessing its patented ReGen™ technology, the Company is commercialising an advanced process to transform used motor oil (“UMO”) into premium Group II and III base oils. These high-quality base oils are essential to high performance engines, turbines, industrial applications, and emerging applications such as data center dielectric fluids. As a circular technology, the ReGen™ process is designed to deliver up to 82% lower CO₂e emissions than virgin crude derived oils combusted at end of life.
With the vision of becoming the world’s largest producer of sustainable, re-refined Group III base oils, ReGen III is positioning itself at the intersection of the energy transition and the data-driven economy, through the production of circular, domestically sourced Group III base oils.
For more information on ReGen III or to subscribe to the Company’s mailing list, please visit www.regeniii.com.
