OAO LukOil announced last week that it has entered a cooperation agreement to supply lubricants to Russian truck manufacturer OAO Kamaz, the latest notch for the oil giants new strategy of tying up with original equipment manufacturers.
LukOil now has similar arrangements with four manufacturers, all signed within the past 10 months. A spokesman said it should not be the last.
We are definitely developing agreements with other manufacturers here [in Russia], said TeimurAkhundov, vice director of marketing for OOO LLK-International, LukOils subsidiary lubricant business.
The agreement with Kamaz, announced April 4, calls for LLK to provide lubricants for the trucks and buses that Kamaz produces. LLK will also launch a motor oil to be marketed under the Kamaz brand and will work with Kamaz to develop lubricants for existing and future models.
To us, the agreement with OAO Kamaz is important not only from the point of view of economic efficiency, but also from the point of view of establishing engineering cooperation with one of the largest consumers, LukOil First Vice President Vladimir Nekrasov said. This would allow us to develop new types of high quality lubricants, perform comprehensive tests and eventually create the best customized product particularly for this consumer.
Based in Russias Tartarstan Republic, in the city of Naberezhnye Chelny, Kamaz claims to be Russias largest vehicle manufacturer, producing 66,000 heavy-duty trucks and buses per year and reporting annual revenue of RUB 60 billion (U.S. $2.3 billion).
LukOils other cooperative agreements are with carmaker OAO Avtovaz; OOO Gaz Group, which manufactures a wide range of vehicles; and OAO Agromashholding, which builds tractors and other agricultural equipment.