Shell-Exxon JV to invest $26.5 million to improve manufacturing, achieve net zero

SINGAPORE - Infineum, a specialty chemicals joint venture (JV) between Shell and Exxon Mobil, plans to invest US$20 million (S$26.5 million) from 2025 to 2035 to improve its manufacturing facilities worldwide, including those in Singapore.

The 10-year capital expenditure plan will also help the company, which makes petroleum additives for lubricants and fuels, achieve its net-zero goals, Infineum announced at an event in Singapore on Thursday.

Earlier in 2023, the company became the first major lubricant additives firm globally to set a target of 50 per cent reduction in its greenhouse gas (GHG) emission intensity by 2030 and achieve net zero by 2050 for its operating assets. This represented an extension of earlier efforts to reduce operational GHG emission intensity to 20 per cent by 2025.

The UK-based company started its Singapore operations in 1999. It now has its Singapore Business and Technology Centre at Keppel Bay Tower, and a component manufacturing and blending plant on Jurong Island. Its Singapore headcount has grown to 300. Infineum’s products have a broad range of applications across various industries, including automotive, electric and hybrid vehicles, marine shipping and gas engines, crude oil refining, and mining.

Mr Kevin Poindexter, head of sustainability at Infineum, said Infineum Singapore has made good strides towards its sustainability goals. The Jurong Island manufacturing plant recently optimised the centrifuge of its calcium sulphonate unit which led to a remarkable 75 per cent reduction in water consumption, resulting in daily savings of 48 cubic m, equal to 48,000 litres.

Another area of focus for Infineum Singapore is refrigerant control. In 2022, the company achieved an 80 per cent reduction in refrigerant losses. This corresponded to over 8,000 tonnes of carbon dioxide equivalent in GHG emission savings across its manufacturing plant.

“These achievements so far demonstrate the company’s alignment with Singapore’s environmental stewardship as well as the United Nations Sustainable Development Goals,” said Mr Poindexter.

In 2021, Infineum’s lubricant additive product called Infineum P5500 was recognised for its unique capabilities and its vital contributions to sustainability goals, winning the Made in Singapore Awards in the chemicals category.

“Infineum’s net-zero announcement earlier this year represented a key milestone on our sustainability journey that began five years ago,” said Mr Poindexter.

He said Infineum is also committed to helping its customers achieve their GHG emission objectives, and expects that its efforts could reduce scope 3 emissions by about 20 per cent by 2030.

Addressing the event in a pre-reorded video, Infineum chief executive officer Aldo Govi said: “Our aim is to lead our industry on this exciting journey, taking a collaborative approach and engaging on sustainability not just with our customers, but also with our colleagues, suppliers, shareholders and communities.”