Depending on where you live, the prices vary for used oil.
Here in California I have to pay someone to haul it away. This has been the case since 1987 when the "Dirty Oil Act" came about. The same is true in Alabama. After pickup, it is then recycled to remove any impurities and / or foriegn objects. It is then resold. I have a waste oil generator permit plus in many cities / counties a Hazerdous Materials Management Plan must also be filed and a fee paid to be permited. Here in the Peoples Repulic of Santa Cruz County it is not a cheap proposition.
In our fine Golden State only 33% of old oil is recycled and of that percentage nearly 1/2 is resold as a fuel source. The balance is used in a few other ways but mostly by Cal Trans as a weed killer along Interstate Highways.
With the price per barrel of crude up as high as it is, it now makes sense to utilize recycled motor oil to put back into our motor vehicles. When crude was at 50.00 a barrel this was not cost effective, but now it is. The process has been around for some time now, its just the mentality of putting "used" oil back into your car added to the fact that Quaker State and Pennzoil got most vehicle manufacturers to recommend oil changes every 3000 miles.
Anyhow off my soapbox for now...
Jeff