ExxonMobil unveils expanded Jurong lubricant plant

Complex is its largest grease manufacturing site in Asia-Pac and only one in region producing flagship oil

Construction on ExxonMobil's new synthetic lubricant manufacturing plant was completed in March, and the plant started production in April.
Construction on ExxonMobil's new synthetic lubricant manufacturing plant was completed in March, and the plant started production in April.PHOTO: EXXONMOBIL

Oil giant ExxonMobil has completed the expansion of its lubricant facility in Jurong.

The complex is now the company's largest grease manufacturing site in the Asia-Pacific, and the only one in the region that produces Mobil 1, its flagship synthetic engine oil.

The expanded operation in Shipyard Road is integrated with ExxonMobil's adjacent Singapore refinery, which provides base stock through pipelines.

It houses a new grease manufacturing plant, which started production in January, and a new synthetic lubricant manufacturing facility that began operations in April.

ExxonMobil did not disclose the investment sum for the two new plants, although its Asia-Pacific chairman and managing director Gan Seow Kee told a briefing at the opening ceremony yesterday it was a "significant addition" to the company's investments in Singapore.

ExxonMobil is one of the largest foreign manufacturing investors here, with more than $20 billion in fixed-asset investments.

"These new production facilities demonstrate the company's commitment to long-term investments here in Singapore," noted Mr Gan.

"The expansion of our Jurong lubricant plant both strengthens ExxonMobil's integrated manufacturing base and helps improve the competitiveness of our business and the industry in Singapore."

He added that the new facility, which is highly automated, has created about 20 new jobs - all of which are "highly skilled, knowledge-based jobs". This is in addition to about 200 employees that ExxonMobil has at the Singapore lubricant facility, out of a headcount of over 3,300 across its operations here. At the opening ceremony, ExxonMobil said the expansion further strengthens the company's manufacturing facilities and its ability to meet the growing demand for grease and synthetic lubricant products in the Asia-Pacific.

"These facilities are strategically located close to key Asia-Pacific markets, ensuring the reliable supply of these premium products to our customers," said Mr Teoh Song Ping, Asia-Pacific lubricant sales director.

Mr Yeoh Keat Chuan, managing director of Singapore Economic Development Board, said: "The expansion of ExxonMobil's Jurong lubricant plant is a good example of companies taking advantage of Singapore as a strategic base to capture growth opportunities in Asia.

"The synthetic lubricant and grease plants underscore Singapore's emphasis on higher value- added manufacturing activities as we continue growing the chemicals sector in a competitive and sustainable manner."

ExxonMobil announced last month that it has reached an agreement to acquire the assets of Jurong Aromatics Corp - namely a refining, petrochemical plant on Jurong Island, one of the largest in the world. The acquisition - said to cost as much as US$1.7 billion (S$2.35 billion) - is expected to be completed in the second half of this year.

A version of this article appeared in the print edition of The Straits Times on June 07, 2017, with the headline 'ExxonMobil unveils expanded Jurong lubricant plant'. Print Edition | Subscribe