COLOMBO, Dec 04, 2014 (EconomyNext) – Chevron Lubricants has commissioned a new, bigger blending plant in Sri Lanka saying it increases potential to benefit from the island’s post-war growth and for exports.
The semi-automated plant, in an industrial estate at Sapugaskanda near the government oil refinery north of Colombo, has a capacity to blend 45 million litres annually in a single shift operation.
"The new plant sets up opportunities for future growth," declared Colleen Cervantes, president of Chevron Lubricants at the opening ceremony.
"We have relocated our warehouse facility with the blending plant and streamlined operations so we can deliver product faster and more efficiently to customers."
Chevron Lubricants Lanka chief executive Kishu Gomes said the investment in the new plant enhances the firm’s capacity to benefit from Sri Lanka’s post-war growth.
Over the past 20 years the company expanded sales to the region as well with the market in Bangladesh sales growing strongly and in the Maldives as well as.
"We blend with Sri Lanka’s strategy to improve local production and to increase exports as well," Gomes said.
He said Chevron Lubricants Lanka blends locally 98 percent of the island’s lubricant requirements.
The rest is made up of products like coolants and brake fluids where sales were not big enough to make locally.
The new plant cost almost two billion rupees.
The new warehouse with a racking system has 1.4 million litre storage capacity for raw materials and finished products.
The plant is built on 4 ½ acres of land and has a floor area of 5,000 square metres.