Russian oil major Gazprom Neft posted a 10 percent increase in combined base oil and lubricant production in 2013 compared to the previous year and invested $55 million in its lube manufacturing.
In 2013 we produced 492,200 tons of lubricants [and base oil], a record output volume for the company, and we plan to achieve the same result this year too, Alexandar Trukhan, general director of Gazprom Neft Lubricants, told Lube Report on Monday. Of this total volume, around 200,000 tons are high quality lubricants that comply with the latest specifications.
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With its increased premium segment volume, the company is trying to compete with imported finished lubes. We are confident that our high quality finished lubes are a good replacement for the existing imported products, Trukhan said.
In 2014 the company expects to achieve the same or a little bit lower output because of its two-year maintenance schedule cycle, he noted. However, concerning the premium products, in 2014 we estimate a 10 percent volume increase, compared to 2013, he said.
Last year the oil major spent around 2 billion rubles (U.S. $55 million) on development of its lubricant production. We finished all work at our lubricant production complex in Omsk. The second phase of the finished lubricants production project is done, and now we have a fully automated blending facility there, Trukhan noted. The complex in Omsk includes a 70,000 tons per year lubricant blending plant and a 240,000 t/y API Group I base oil plant.
The company also operates a 30,000 t/y blending plant in Fryazino, Moscow Oblast, and a 250,000 t/y Group I base oil plant in Yaroslavl, under the Slavneft joint venture with Russian oil major Rosneft. In addition, Gazprom Neft owns two more blending plants in Italy and Serbia.
Gazprom Neft Lubricants 2012 production of around 450,000 tons of base oil and lubricants gave it a 14 percent share of Russias market.