Advanced Lubrication Specialties has bought Chemlube International LLC’s lubricants division, which features a finished lube blending plant and in Savannah, Georgia.
The transaction expands the customer base and manufacturing capacity of Bensalem, Pennsylvania-based ALS, one of the largest independent lubricant manufacturers in the United States. Meanwhile Chemlube said the sale will allow it to concentrate on its core business of base oil trading and distribution.
“The sale of our Savannah blending operation represents a strategic decision by Chemlube to focus on its larger core base oil distribution and trading business,” said Robert Nobel, Chemlube’s CEO. “We are confident that ALS will be able to expand the Savannah finished lubes business to the advantage of both our Savannah staff and our long-term finished lubes customers.”
The transaction is scheduled to close by the end of the month, the companies said in a joint news release. Price and other terms have not been publicly disclosed.
Chemlube’s Savannah lubricants division, which was established in 2001, produces a full range of lubricants that are distributed in bulk throughout southeastern U.S. The facility has 5.8 million gallons of storage in tanks ranging in size from 3,000 to 1.2 million gallons, according to the press release. The site also has eight railcar spots and deep-water dock access.
Advanced Lubrication Specialties develops, manufactures and markets automotive and industrial lubricants including greases. It already owns manufacturing facilities in Bensalem; Charleston, S.C.; Richmond, Calif.; and Hilton N.Y.
The Chemlube Group, consisting of Harrison, New York-based Chemlube International LLC and its Swiss sister company Chemlube SA, is a large independent distributor and trader of base oils, purchasing base oil from refiners around the world. In Europe it serves as exclusive distributor of Abu Dhabi National Oil Company API Group III base oils.