Coconut oil (also known as coconut butter) is extracted from coconuts and consists of over 80 percent saturated fat. It is typically used in cosmetics as well as in baking and cooking. Charcoal produced from coconut shell is traditionally made using the pit or drum methods produce large volumes of noxious smoke and variable quality charcoal often contaminated with extraneous matter such as earth, leaves and twigs. Consequently charcoal-making is banned in urban areas and near to village residences. This record describes the application of coconut shell carbonization with a waste heat recovery unit, which was developed to virtually eliminate the evolution of noxious smoke evolved during the charcoal making operations and simultaneously enable the heat generated during the process - heat normally lost to the surroundings - to be used in the production of copra.