11 PLC, formerly known as Mobil Oil Nigeria, says it is expanding and modernizing its lubricant blending plant in Lagos after a Nigerian company acquired the Apapa lubricant plant and the Mobil fuels and lubricants businesses in the country from ExxonMobil in April 2017. 11 PLC declined to disclose the cost or scope of the project.
11 PLC is ExxonMobils sole authorized distributor and provider of Mobil lubricants in Nigeria. Abuja, Nigeria-based white oil supplier Nipcobought a 60 percent stake in the company in April 2017, when the American energy giant exited Nigerias downstream market. Later last year Nipco increased its stake to 70 percent through a stock buyback.
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Tunji Oyebanji, managing director and CEO of 11 PLC, mentioned the companys work on the blending plant during a recent promotional event. Thomas Dietz, the companys director lubricants, told Lube Report that it undertook the project to improve supply reliability.
While the project continues, Dietz said the company has already dramatically enhanced blending capacity, raw material storage and finished product storage. Key plant utilities such as boilers, compressors and power generation have been or are in the process of being upgraded, replaced and modernized, he said.These steps ensure plant reliability and efficiency.
While acknowledging that the Nigerian car parc is dominated by used cars, Dietz said 11 PLC plans to introduce higher grade engine oils produced from API Group II base stocks. The company also plans to introduce Pegasus 1005 to the local lubricant market, which he described as an advanced gas engine oil allowing users to significantly increase oil drain intervals and engine reliability.
Executive Secretary of Lubricant Producers Association of Nigeria Emeka Obidike said the expansion of lubricant operations at 11 PLC plant is a positive development for the Nigerian lubricant market. As the new distributors of the Mobil lubricant brand in Nigeria, it is expected that 11 PLC would bring innovations and a few changes to increase their capacity and expand their market base, Obidike added.