Gazprom Neft launches motor oil production in Siberia

By Elena Zhuk, April 16, 2014

Gazprom Neft has launched Russia’s largest motor oil production at the Omsk lubricant plant. Construction of the facility began more than three years ago. In May 2012, the first stage was completed including a facility making packaging materials, a warehouse and a modern reservoir park. The launch of the second stage blending and packaging motor oils on April 14 was the finishing touch.

With the launch of the facilities exceeding all other Russian peers by blending and packaging capacity, designed to produce 110,000 tons of motor oil and packaging 180,000 tons of oil products, Gazprom Neft’s subsidiary Gazprom Neft SM is going to increase the share of lubricants on the Russian market from 14% to 18% by 2025. It is expected that the total capacity of Gazprom Neft SM’s five plants will rise to 633,000 tons by 2025.

Investment into the new motor oil plant amounted to around 3.4bn rubles. At the next stage, in 2018 it is planned to begin making group two and group three base motor oils, which have not been produced in Russia thus far. Gazprom Neft SM Aleksandr Trukhan said that high-purity lubricants would be made also at other plants of the company. It is planned to begin group three oil production at Yaroslavl NefteOrgSintez in 2016 at 100,000 tons per annum. Production of group two and group two plus base oils, 180,000 tons per annum, is to begin at NIS plants in Serbia in 2017.

Copyright: Oil&Gas Eurasia, 2014