Chevron Pakistan Lubricants last Wednesday announced more than PKR 2 billion (USD19 million) of investment over the next three years to increase the capacity of its lube blending plant in the West Wharf area of Karachi, and improve distribution network across the country. The company plans to boost its lube blending capacity from 55 million litres to 75 million litres per year.

“The investment will be made in phases from the equity and we’ll not go for financing,” said Muhammad Najam Shamsuddin, Chairman at Chevron Pakistan Lubricants said during a media briefing.

“Chevron Pakistan Lubricants firmly believes in a secure and long-term future in Pakistan and aims to continue investment and provide world-class products and services to its esteemed customers in Pakistan,” Shamsuddin said. “We have a more than 75-year legacy of service in this region, and are committed to sustain and grow in the Pakistani markets.”

Chevron Pakistan Lubricants trades under the Caltex name in Pakistan and markets its lubricant products in the country under the Havoline and Delo brands.

Chevron Pakistan Lubricants recently opened its 14,500 square metre head office at Harbor Front. To further invest in its future in Pakistan, the company has launched a brand new, innovative advertising campaign this month for its premium product Havoline.

Chevron Pakistan Lubricants is one of the major players in Pakistan’s lubricants industry and controls a market share of roughly 24%, according to Shamsuddin. Other major players include Shell, ZIC, Total and PSO.

Although he refused to divulge the company’s financials citing its status of a privately held entity, Shamsuddin said last year’s gross profit was PKR 3 billion (USD 28 million).

As part of its growth strategy in Pakistan, Chevron Pakistan Lubricants has at present developed a chain of 65 oil-change facilities nation-wide, and plans to further broaden the network to 150 by 2017.