NEW DELHI: Petronas Lubricants International, the lubricants manufacturing and marketing arm of Malaysia's national oil and gas company PETRONAS, announced $50 million investment in an lubricant oil blending plant, its first in India.
The company has signed a joint land lease agreement with Maharashtra Industrial Development Corporation (MIDC) for a lubricant blending plant of 60 kilo tonnes per annum (KTA) capacity in Patalganga area near Mumbai, Maharashtra.
The first phase of the plant is expected to be completed by the end of 2015. The plant has a provision to expand the capacity to 120 kta in the second phase.
"Since our venture into India in 2006, we have charted a five year cumulative annual growth rate of more than 57%, through the support of our distributors and business partners here," said Giuseppe Pedretti, Asia Regional Head of PETRONAS Lubricants International.
"Now that we have a good footing in the market, we are ready to take the next step towards establishing PETRONAS' lubricants business and brand in India - and this involves investing into building facilities that will support our supply chain network, as well as developing people to work with us in both manufacturing and marketing lubricants here," said Pedretti.
PETRONAS Lubricants International, a Fortune 500 company manufactures, markets and distributes high-end lubricants, transmission, anti-freeze and functional fluids for land transportation, machinery and other industrial equipment. The company already has a marketing and distributorship presence in India.
CEO of MIDC, Bhushan Gagrani said that all assured cooperation would be extended from the side of MIDC and Maharashtra government. "The investment being in US dollars will bring in more value to their final landed investment due to the devalued rupee and this must be capitalized by other foreign investors as well," said Gagrani.