Chevron Lubricants Lanka to invest LKR1.9 billion in new facility

As the lease on the land on which Chevron Lubricants Lanka PLC’s (CLLP) blending plant is built is due to expire in July 2014, the Board of Directors of CLLP decided to relocate the existing plant to Sapugaskanda at an estimated cost of LKR1.9 billion (US$14.1 million), which will include replacement of certain equipment with the latest technology available in the world and increased storage capacity for base oil and other raw materials.
“A state-of-the-art warehouse facility will also be built within the plant premises for optimum cost and operational efficiency and business partner convenience,” a spokesman for the company said.
The new facility will consist of blending, filling and warehousing with a storage capacity of 1.4 million liters for raw materials and finished products.
The total area of the plant buildings will be 5,000 square meters, with the capacity to produce 45,000 metric tons (mt) of finished lubricants in a single shift operation, and has been designed to improve material flow for optimal efficiency and productivity.
The new facility is to be commissioned in the third quarter of next year.