I suppose back in 1963 when Popular Mechanics recommended this and engine oil was mostly just oil this wasn't that bad of advice. Petroleum is "organic" after all (as in, it contains carbon).
Small enough amounts wouldn't have had that big of impact on the environment and bacteria in the soil would have eventually broken down the oil before it got into the ground water. Though there would have been some residual lead from the tetraethyl lead that was in the fuel as well as some metal filings from the engine.
Also I think missing from this description is that you should use a different spot at each oil change. Nowadays motor oil is filled with all kinds of synthetic additives that aren't readily broken down by natural processes so this shouldn't be done.
I beg to differ, the new class of GF6 oils use ionic liquids as additives which are more environmentally friendly. Tribodyn for example makes a fantastic oil which uses both ionic liquids and nanoparticles that are bio-degradable.
I generally agree though, don't be an asshole, dispose of your oil properly, help Valvoline make more oil to sell back to you by dumping your oil at your local auto parts store.
Well, you are kinda paying the oil company to clean the oil for re use with that logic.. but I am not sure how overpriced it is compared to if doing it yourself.
Well they spent about $130 million for their processing facility, so if you can do it cheaper, they'll pay you handsomely.
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