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So. IL | Neighbor had a similar setup for used oil in his previous machine shed. I say previous because it's gone as of this past fall. He was storing used oil in the plastic shuttle totes also. Had a small fire that occurred while welding on a combine header. Had the used oil been in metal tanks he would still have his shed, machinery and tools. Instead it burned to the ground and there wasn't a damn thing that the fire department could do about it by the time they arrived on scene due to the burning oil and intense heat trapped inside the metal building.
If you are going to be storing used motor oil and other flammable liquids in bulk I highly recommend using metal containers and that you give consideration as to how much flammable material exists in a given location at one time.
Note that old gravity fuel storage tanks on a stand can be used for this application. They are relatively cheap at farm auctions.
My neighbor's "cheap" used oil storage system ended up costing over $750K. Fortunately no one was injured and machinery is replaceable.
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Suggestions for handling used engine oil
