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Sales of JSC Gazprom Neft motor oils and lubricants up 10% in 2013

Gazpromneft Lubricants, the operator for JSC Gazprom Neft’s motor oil business, reported a 10% increase in sales of oils and lubricants in 2013 compared with 2012, reaching a total of 492,000 tonnes. Sales of premium class products rose by 7% to 229,000 tonnes.

Gazpromneft Lubricants now has a 14% share of the Russian motor oils market and is the largest producer of lubricants with a market share of 16%. The company increased sales in Russia by expanding its sales territory and signing contracts with major industrial enterprises. Gazpromneft Lubricants supplies car manufacturers’ assembly lines and is continually expanding its product range. In 2013, the company brought out a range of consumer oils marketed under the Gazpromneft trademark. The new brand’s product line now comprises over 60 different oils.

The company is actively developing new markets abroad. Gazpromneft Lubricants expanded its overseas presence in 2013 and now supplies its G-Energy brand of motor oils to 42 countries. Marine oil sales increased by a factor of 2.4 to more than 2,000 tonnes, largely due to the company’s expansion into the new markets of Estonia and Latvia, as well as the development of a sales network in sea and river ports.

Levan Kadagidze, Director of JSC Gazprom Neft’s Commercial Directorate, commented, “JSC Gazprom Neft’s motor oil business strategy isn’t just about gaining a secure position on the domestic and international markets, it is also about developing new technologies and continually improving the quality of our products. In 2014, we will continue to invest in production development, new technology, marketing programmes, and service in order to provide a wide range of modern products that are affordable for Russian consumers. This will enable us to displace more expensive imported products. Other key objectives will be to develop an international distribution network and long-term partnerships with car manufacturers.”

Notes for editors

Gazpromneft Lubricants is a subsidiary of JSC Gazprom Neft, specializing in the production and sale of oils, lubricants, and other service fluids. Founded in November 2007, Gazpromneft Lubricants has five production facilities located in Russia, Italy, and Serbia.

The company’s portfolio includes oils for petrol and diesel engines of passenger cars and trucks, transmission and hydraulic oils, industrial oils, service products, and coolants sold under the G-Family and Gazpromneft brands, and marine oils sold under the Texaco brand.

Gazpromneft Lubricants’ management system and production assets comply with the requirements of ISO 9001, ISO 14001, and OHSAS 18001.

The company supplies products to the assembly lines of Mercedes-Benz Trucks Vostok, the Avtotor group (for General Motors vehicles), KAMAZ, and GAZ. A strategic agreement with the Chinese car manufacturer LIFAN was signed in 2013.

Gazpromneft industrial products are used by major manufacturing enterprises in Russia, such as Severstal, Sibur, Gazprom, EVRAZ, the Siberian Coal Energy Company, Apatit, Russian Coal, Polyus Gold, and many others. Gazpromneft Lubricants’ product range includes 500 types of oils and lubricants for all sectors of the market — over 1,200 products in total.

Gazpromneft Lubricants’ products are available at 2,000 service stations and over 6,000 retail outlets in the Russian Federation. The company also operates in southern Europe, Serbia, Ukraine, Belarus, Kazakhstan, and Central Asia.

G-Energy is JSC Gazprom Neft’s premium brand of motor oils. G-Energy motor oils are designed for the very latest European, American, and Japanese cars. The unique adaptive technology used in G-Energy motor oil delivers enhanced performance depending on how the engine is being used, by activating additives as and when they are needed. Products are manufactured at Gazpromneft Lubricants’ factories in Bari, Italy.

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