Gazprom officials said the company will use the plant as a springboard into Europes lubricant market and as a vehicle to obtain lube technology.

Acquiring a facility in Bari corresponds with the strategy of development of our business in the field of oils and lubricants production, Gazprom Executive Board Chairman Alexander Dyukov said. We acquire a fair production site in Europe as well as up-to-date technologies and a stable marketing outlet.

The Bari plant has capacity to manufacture 36,000 metric tons per year of lubricants and oils. In addition to the facilities, Gazprom acquired a license to use technical data and patents for products made at the plant. The plant has a product range of 150 automotive and industrial lubricants. Gazprom made particular notice of 25 high-technology lubes used in oil drilling applications.

The plant will be assigned to Gazproms lubricant arm, LLC Gazprom Neft – Lubricants. Management said it expects to achieve synergies between the Bari operation and the former lubricant activities of Serbian refiner Nis, which Gazprom acquired early this year.

Gazprom said the products manufactured in Bari will be marketed in Europe and in Russia.