Lukoils Eastern European Lube Business Grew in 2016

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Lukoils lubricant branch in Eastern Europe posted improved sales results, and the company continues to expand its global reach.

Ploiesti, Romania-based Lukoil Lubricants East Europe is a regional subsidiary of LLK International, lube arm of Russian oil major Lukoil. LLKs Central and Western Europe production and distribution is covered by the Vienna-based subsidiary, Lukoil Lubricants Europe.

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Maxim Donde, LLKs general director, said in Ploiesti recently that the company has worked to secure global supply deals with large automakers. As a result, our European subsidiaries, including Lukoil Lubricants East Europe, are playing an increasingly important role.

Lukoil Lubricants East Europes sales revenue in Romania increased to 30 million (U.S. $35 million) in 2016, up by 50 percent compared to the year before, while its Romanian operating profits reached 2 million, Felician Dragu, Lukoil Lubricants East Europes director, told the Romanian media recently.

Dragu added that the management projected 2.6 million of operating profits for its Romanian business and allocated funds of roughly 1 million for investment in the production, development of new products and marketing in 2017. In the past 10 years, the company invested 11 million to expand and upgrade its production in Romania.

Lukoil Lubricants East Europe held a 15 percent share of Romanias 60,000 ton lubricant market in 2016, according to the company.

Lukoil Lubricants East Europe operates a 40,000 tons per year lubricant blending plant at the Petrotel-Lukoil refinery in Ploiesti. The facility employs 96 people and last year produced 27,000 tons of products. Thirty-five percent of this volume was shipped to the foreign markets of Southeast, Central and Western Europe. The company sold the rest in Romania.

In addition to the plant in Ploiesti, LLK has one blending plant each in Turkey, Austria and Finland.

Related Topics

Europe    Finished Lubricants    Region