Total to invest 30 million euros in lubricant factory

BEIJING - Total Group, one of the largest integrated oil and gas companies in the world, announced a plan to invest 30 million euros ($42.6 million) in a new lubricant blending plant in Tianjin, a coastal city in northern China. The investment will help the company expand its presence in the world's second-largest lubricant market.

Tianjin Lubrication Oil Blending Plant, a new subsidiary of Total China, will produce a full range of lubricant and grease products. The plant, which is expected to be operational by the fourth quarter of 2012, is designed to reach a maximum capacity of 200,000 metric tons annually. "The new investment in Tianjin marks a strategic move from Total's existing lubricant manufacturing facilities in Guangdong province and Jiangsu province to cover the high-potential provinces in north and west of China," said Thierry Pflimlin, senior vice-president of Total Refining and Marketing for the Asia Pacific region.

The new plant with a-state-of-the-art production unit will produce a range of products for car drivers and motorcyclists, original equipment manufacturers (OEM) and the marine markets, the company said in its statement.