Laugfs Lubricants Ltd., a wholly owned subsidiary of LAUGFS Holdings, one of the largest diversified business conglomerates in Sri Lanka, last Tuesday said it is near to the completion of the first phase of its own Rs. 600 (US$4.5) million state-of-the-art blending plant in Malwatte. Laugfs Oil products are currently blended in Singapore to global standards using Group II Plus base oils and performance additives technology.
The first phase of the blending facility is located on a four acre land in the Malwatte Free Trade Zone and will be operational starting in September of this year, Laugfs Lubricants Managing Director Thilak de Silva told the local Sri Lanka news organization Daily FT.
Being the only Sri Lankan lubricant company, we see great potential in the industry, he added. There are other lubricant companies active in Sri Lanka, but they are based in other countries with operations in Sri Lanka.
The company has been incorporated as a Board of Investment (BOI) approved project, equipped with advanced technology and cutting edge R&D facilities and the plant will be geared to manufacture new generation engine oils and other industrial lubricants to serve growing industry needs.
Commenting on brand expansion plans overseas, de Silva said: Initially we will be looking at South Asia. We are in a better position to produce a whole range of products at our new facility. Thereafter our intention is to cater to international companies assuring a globally competitive lubricant brand.
"With this new facility, Laugfs will be in better shape to produce half of the current requirement in one shift. The gradual progress of the company would assess the second phase expansion in the years to come, thereby supporting rapidly growing market demand, he noted.
Laugfs Lubricants markets Laugfs Oil, a trusted brand offering a range of new generation automobile and industrial lubricant products. Laugfs Oil range was introduced with two multigrade and two monograde engine oils for diesel and petrol engines namely Power D40+, Power P40+, Supreme Petra and Supreme Dx. The range was recently expanded through the addition of Lubrex greases, Break and Clutch oil and GearonX manual gear oil.
It is the only Sri Lankan lubricant company to hold licenses from the American Petroleum Institute (API) for its motor oils. Laugfs Lubricants also has Original Equipment Manufacturer (OEM) approvals for Volvo, Renault and Porsche vehicles, testament to its superior quality.
Established in 1995, LAUGFS Holdings is a diversified Sri Lankan conglomerate with a wide range of interests in power & energy, consumer retailing, industrial, service, hospitality and education sectors. Laugfs Lubricants Ltd is a subsidiary of Laugfs Holdings Ltd which is a 100% Sri Lankan owned company. LAUGFS Lubricants was established in 2006 and the first Sri Lankan lubricant brand Laugfs Oil was launched in July 2008.
LAUGFS Lubricants last week also announced a strategic partnership with Japans Mitsubishi Corp., whereby the latter will be the sole base oil supplier to LAUGFS Lubricants.
"This strategic partnership with Mitsubishi Corporation will help us further strengthen our quality commitment, assuring a globally competitive lubricant brand. As a conglomerate, we are proud to offer products made to the highest international standards that can confidently compete with international brands," remarked Chairman of Laugfs Holdings, W.K.H. Wegapitiya.
