Oronite Expands in Singapore


Chevron Oronite announced last week the completion of a major expansion at its lubricant additive plant in Singapore. The project increased the facilitys capacity to produce dispersants and, according to Oronite, padded its position as the largest additive plant in Asia.

Officials said the expansion will help them meet the regions growing demand for lube additives, while also bolstering its global supply chain.

We eventually reached a point where a large-scale, comprehensive expansion was needed, Vice President for Sales and Marketing Jirong Xiao said. Oronite wanted to ensure we would not only be able to continue reliably serving our customers throughout the region in the short term, but also for the foreseeable future.

The company did not disclose the capacity of the plant or the cost of the project but they have said the facility has now more than doubled in size since opening in 1999. Besides adding reactors to increase dispersant production, the expansion:

* increased storage capacity for raw materials and intermediate products;

* upgraded production control processes;

* improved delivery efficiency with new construction of loading bays, additional ISO-tank parking and a jetty loading arm;

* built a new quality control lab.

Oronite President Des King told Lube Report Asia that the plant may expand detergent capacity in the foreseeable future.

We anticipate if the market continues to grow, in a few years we may be ready to do that, he said. He cited forecasts that Asias demand for lubricant additives will increase by 70 percent in the next decade.

The Singapore plant makes lubricant additive components such as dispersants, detergents and anti-wear additives. It also blends components made elsewhere to produce lubricant additive packages that customers combine with base stock to make finished lubricants.

The Singapore facility is one of three primary additive manufacturing and blending plants owned by Oronite; the others are in Gonfreville, France, and Belle Chasse, Louisiana, United States. Singapore is not the only one receiving investment, as the Gonfreville plant completed an expansion of dispersant manufacturing capacity last year and is now expanding detergent capacity.