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Monday, July 23, 2018VOLUME 14 ISSUE 30
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TOTAL Tanzania Seeks Regulatory Approval to Acquire Petrolube Dar es Salaam Lube Plant

TOTAL Tanzania has applied for Fair Competition Commission (FCC) approval to acquire the FUCHS Petrolube lube bending plant in Dar es Salaam for an undisclosed amount. The facility includes a base oil tank farm with 2,200 metric tons storage capacity and can process 22,000 tons of lubricants and 2,000 tons of greases per annum.

The firm was appointed sole distributor for the region. The firm manages a 8,000 square-metre plant that makes use of computerised automated batch blending systems based on sophisticated supervisory control and data acquisition (SCADA).

According to FCC public notice issued, the commission is investigating the intended acquisition in line with the laid down procedures and rules under regulator docket. "FCC has powers to investigate, inter alia, entry into and exit from markets" with objective of promoting and protecting effective competition, FCC notice read. The notice intends to serve as a notification to any part that is objecting the merger in the next 14 days from last Wednesday. The notice failed short to disclose the deal amount and size

While Petrolub, an affiliated member of the global lubricants group Fuchs Group, was established almost two decades ago. Petrolube was found by Feroz Kassam in 1999 and thereafter quickly formed an alliance with Fuchs.

The blending plant was designed to Fuchs Petrolube AG specifications and built by Petroserv, the specialist Dubai engineering company.

Total Tanzania is a subsidiary of Total SA and was incorporated in 1969. Total Tanzania is wholly owned by the Total Group, with 99 per cent shares owned by Total Outremer and 1.0 per cent owned by Total Africa SA.

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