diff --git a/python/triton/runtime/build.py b/python/triton/runtime/build.py
index 960009595e..aae62030e4 100644
--- a/python/triton/runtime/build.py
+++ b/python/triton/runtime/build.py
@@ -23,7 +23,7 @@ def quiet():
         sys.stdout, sys.stderr = old_stdout, old_stderr
 
 
-def _build(name, src, srcdir, library_dirs, include_dirs, libraries):
+def _build(name, src, srcdir, library_dirs, include_dirs, libraries, extra_compile_args=[]):
     suffix = sysconfig.get_config_var('EXT_SUFFIX')
     so = os.path.join(srcdir, '{name}{suffix}'.format(name=name, suffix=suffix))
     # try to avoid setuptools if possible
@@ -74,6 +74,7 @@ def _build(name, src, srcdir, library_dirs, include_dirs, libraries):
     cc_cmd += [f'-l{lib}' for lib in libraries]
     cc_cmd += [f"-L{dir}" for dir in library_dirs]
     cc_cmd += [f"-I{dir}" for dir in include_dirs if dir is not None]
+    cc_cmd += extra_compile_args
 
     if os.getenv("VERBOSE"):
         print(" ".join(cc_cmd))
@@ -81,8 +82,6 @@ def _build(name, src, srcdir, library_dirs, include_dirs, libraries):
     ret = subprocess.check_call(cc_cmd)
     if ret == 0:
         return so
-    # fallback on setuptools
-    extra_compile_args = []
     # extra arguments
     extra_link_args = []
     # create extension module
diff --git a/third_party/intel/backend/driver.py b/third_party/intel/backend/driver.py
index 1db9b2c202..74358bc88a 100644
--- a/third_party/intel/backend/driver.py
+++ b/third_party/intel/backend/driver.py
@@ -5,6 +5,7 @@
 import tempfile
 from pathlib import Path
 from functools import cached_property
+from typing import Optional
 
 from triton.runtime.build import _build
 from triton.runtime.cache import get_cache_manager
@@ -14,7 +15,7 @@
 from packaging.specifiers import SpecifierSet
 
 
-def find_sycl(include_dir: list[str]) -> tuple[list[str], list[str]]:
+def find_sycl(include_dir: list[str]) -> tuple[list[str], Optional[str]]:
     """
     Looks for the sycl library in known places.
 
@@ -22,12 +23,11 @@ def find_sycl(include_dir: list[str]) -> tuple[list[str], list[str]]:
       include_dir: list of include directories to pass to compiler.
 
     Returns:
-      enriched include_dir and library_dir.
+      enriched include_dir and libsycl.so location.
 
     Raises:
       AssertionError: if library was not found.
     """
-    library_dir = []
     include_dir = include_dir.copy()
     assertion_message = ("sycl headers not found, please install `icpx` compiler, "
                          "or provide `ONEAPI_ROOT` environment "
@@ -35,7 +35,7 @@ def find_sycl(include_dir: list[str]) -> tuple[list[str], list[str]]:
 
     if shutil.which("icpx"):
         # only `icpx` compiler knows where sycl runtime binaries and header files are
-        return include_dir, library_dir
+        return include_dir, None
 
     oneapi_root = os.getenv("ONEAPI_ROOT")
     if oneapi_root:
@@ -43,7 +43,7 @@ def find_sycl(include_dir: list[str]) -> tuple[list[str], list[str]]:
             os.path.join(oneapi_root, "compiler/latest/include"),
             os.path.join(oneapi_root, "compiler/latest/include/sycl")
         ]
-        return include_dir, library_dir
+        return include_dir, None
 
     try:
         sycl_rt = importlib.metadata.metadata("intel-sycl-rt")
@@ -53,15 +53,16 @@ def find_sycl(include_dir: list[str]) -> tuple[list[str], list[str]]:
     if Version(sycl_rt.get("version", "0.0.0")) in SpecifierSet("<2025.0.0a1"):
         raise AssertionError(assertion_message)
 
+    sycl_dir = None
     for f in importlib.metadata.files("intel-sycl-rt"):
         # sycl/sycl.hpp and sycl/CL/sycl.hpp results in both folders
         # being add: include and include/sycl.
         if f.name == "sycl.hpp":
             include_dir += [f.locate().parent.parent.resolve().as_posix()]
         if f.name == "libsycl.so":
-            library_dir += [f.locate().parent.resolve().as_posix()]
+            sycl_dir = f.locate().parent.resolve().as_posix()
 
-    return include_dir, library_dir
+    return include_dir, sycl_dir
 
 
 class CompilationHelper:
@@ -71,6 +72,7 @@ class CompilationHelper:
     def __init__(self):
         self._library_dir = None
         self._include_dir = None
+        self._libsycl_dir = None
         self.libraries = ['ze_loader', 'sycl']
 
     @cached_property
@@ -78,10 +80,14 @@ def _compute_compilation_options_lazy(self):
         ze_root = os.getenv("ZE_PATH", default="/usr/local")
         include_dir = [os.path.join(ze_root, "include")]
 
-        include_dir, library_dir = find_sycl(include_dir)
+        library_dir = []
+        include_dir, self._libsycl_dir = find_sycl(include_dir)
+        if self._libsycl_dir:
+            library_dir += [self._libsycl_dir]
 
         dirname = os.path.dirname(os.path.realpath(__file__))
         include_dir += [os.path.join(dirname, "include")]
+        # TODO: do we need this?
         library_dir += [os.path.join(dirname, "lib")]
 
         self._library_dir = library_dir
@@ -97,6 +103,11 @@ def include_dir(self) -> list[str]:
         self._compute_compilation_options_lazy
         return self._include_dir
 
+    @cached_property
+    def libsycl_dir(self) -> Optional[str]:
+        self._compute_compilation_options_lazy
+        return self._libsycl_dir
+
 
 compilation_helper = CompilationHelper()
 
@@ -110,8 +121,11 @@ def compile_module_from_src(src, name):
             src_path = os.path.join(tmpdir, "main.cpp")
             with open(src_path, "w") as f:
                 f.write(src)
+            extra_compiler_args = []
+            if compilation_helper.libsycl_dir:
+                extra_compiler_args += ['-Wl,-rpath,' + compilation_helper.libsycl_dir]
             so = _build(name, src_path, tmpdir, compilation_helper.library_dir, compilation_helper.include_dir,
-                        compilation_helper.libraries)
+                        compilation_helper.libraries, extra_compile_args=extra_compiler_args)
             with open(so, "rb") as f:
                 cache_path = cache.put(f.read(), f"{name}.so", binary=True)
     import importlib.util