From: Rabbi Moshe Sofer
To: Rabbi Eliezer Schapfloch
The Chasam Sofer rules that oil extracted from grape seeds of stam yeinam is clearly permitted on two independent grounds: the wine essence has been completely transformed into oil via nishtaneh, losing its prohibited status, and no wine taste whatsoever is detectable in the finished oil even by expert tasters. He also defends the Shach's position that grape seeds are themselves prohibited as a basis for yayin nesech, against the Dagul MeRevavah's challenge.
Source: Shu"t Chasam Sofer YD §117