Menhaden oil is extracted ( pressed ) out of menhaden minnows.
( A salt water bait fish ). It is filtered and processed ( purified ) to one extent or another depending on the processor. For fishing; It can be used as a smell attractant and / or an oil slick generator. Fish oil made from menhaden is also used as a dietary supplement, animal feed, and as a raw material for products such as lipstick. When processed for "human usages" most of the "good smelly stuff" is processed out. Jason; or one of the other masters would be better qualified to discuss placing it in raw or heated plastic. I do know it can be blended with worm oil ( and other additives / attractants ) and put in a bag of baits.
They are a net-able inshore fish with a relatively high commercial value. Atlantic Menhaden are being grossly overfished according to most atlantic sportfishing / ecological groups ( esp. striper fisheries experts ). They / along with herring / have been stocked in some inland lakes as a baitfish.