Lanolin is the odiferous, pale-yellow, natural oil found on sheep’s wool. It can be separated from wool by boiling the wool and/or squeezing it through a pair of rollers. As a waste product in wool processing, it’s also known as wool oil, wool wax, wool fat, or wool grease. It is a natural water repellant to waterproof the sheep. Lanolin also has anti-fungal and antibacterial properties that protect the sheep’s skin from infection. Derived from the animal’s oil glands, lanolin is a mixture of wool fat and 25-30% water. It is about 20% cholesterol.