Agreement was signed on October 17 with Total Vostok to cooperate in construction of lube oil plant in Vorsino Industrial Park, Kaluga Region. The investment project includes plans for production, storage and shipping of motor oils as well as lube oils and associated materials. The plant will become operational in 2018. Anatoly Artamonov, Governor of the Kaluga Region and Fabien Voisin, Director General, Total Vostok signed the document.
Total Vostok is the subsidiary of Total in Russia. Investments in the project will amount to USD 50 mln. Initial capacity of the plant will be 40 KTA, and it may be increased to 75 KTA following sales growth. 50 new jobs will be created. Efficient logistics of Vorsino Industrial Park will enable supply of lubricants not only to Russian market, but also export supply, in particular to Central Asia and Belarus.
The plant will manufacture wide range of lube oils both for car industry and for other industries (energy, ferrous industry, mining etc.): Quartz range of motor oils for cars, Rubia range of motor oils for trucks, Azolla and Equivis hydraulic oils, Seriola and Carter industrial oils, as well as Fuel Economy range of lubricants enabling to substantially decrease fuel consumption both of cars and trucks and special off-road vehicles.
Construction of the plant perfectly fits in import substitution policy. End users will enjoy advantages of shorter production and delivery terms, optimization of logistics costs and costs of storage for final products.
The plant will use stringent safety standards and the most advanced technologies in automated blending of components, filling final products and superfast cooling. Thoroughly thought storage infrastructure and quality control will be put in place.
As Fabien Voisin noted, Russia is the 5th largest market of lube oils in the world, and Total plans to boost its development by strengthening presence at the Russian market and achieving further growth. “Localization of production in Russia is the strategic program of the company. We intend to use high-quality feed from Russian manufacturers. We have already made preliminary arrangements”, - Fabien Voisin explained.
Fabien Voisin expressed his gratitude to the administration of the Kaluga Region for its assistance in project implementation. He stressed that comprehensible conditions for doing business were created in the region. Developed industrial infrastructure, efficient logistics and well-trained human resources were noted among the main advantages.
Total is a global integrated energy producer and provider, a leading international oil and gas company, and the world’s second-ranked solar energy operator with SunPower. Our 96,000 employees are committed to better energy that is safer, cleaner, more efficient, more innovative and accessible to as many people as possible. As a responsible corporate citizen, we focus on ensuring that our operations in more than 130 countries worldwide consistently deliver economic, social and environmental benefits.
Total sells its lube oil products in more than 150 countries worldwide under TOTAL and ELF brands for cars, bikes, agricultural equipment, trawlers, road equipment, aviation, and also specialized oils for industry and marine. Total Lubrifiants Division operated within full industrial cycle: beginning from production of base oils having ISO 9001 certificate, through sales of final products, including also delivery to other Group plants and logistics. Since any production business has its specific requirements for lubricants, Total developed a wide range of different high-tech lube oils for industrial and household use.
About Total Vostok
Total Vostok LLC is the subsidiary of Total Oil and Gas Company supplying motor oils and technical liquids under TOTAL and ELF brands, wide range of industrial oils and lubricants, and also specialized chemicals, additives for fuels and specialized fuel to the Russian market since 1993. Today, Total with its Total Vostok representation, established in 2008, is ranked 6 at the Russian market.