JSE-listed lubricants distributor African Group Lubricants (AGL) has acquired a state-of-the-art blending facility in Boksburg, Gauteng, which has boosted its operational capacity by 500% and follows a long-term commitment with global fuel companies ExxonMobil and Quaker Houghton.

The acquisition allows AGL to offer toll-blending and warehouse facilities, further secures future growth opportunities and has enabled the company to more than double its permanent staff in the past three years.

“The long-term commitment from our principals cemented the investment case for the acquisition of the CERA plant,” says AGL MD Mark Kerwan.

The advanced lubricant blending facility in Boksburg is independently owned, International Organisation for Standardisation (ISO) 9001:2015 and ISO 14001:2015 certified and is accredited according to ExxonMobil’s global quality standards.

The company currently operating the facility offers lubricant solutions to key industries ranging from transportation to retail, industrial, renewable energy, canning containers, steel and others.

Further, in addition to being awarded the rights to manufacture automotive lubricants in South Africa by ExxonMobil, AGL has also been granted local blending rights on certain product ranges for the mining, construction and agricultural sectors which it will be expanding into.

“AGL’s vision is to further expand our locally manufactured product portfolio offering competitive solutions into the South African market space and surrounding countries,” Kerwan says.

To accommodate growth and expand its distribution, AGL plans to further expand in the Southern African market in the coming years. This growth will stimulate the local economy by creating employment opportunities and further cementing AGL's position as a leading player in the lubricant industry, locally and across Southern Africa.

With a proven record, a growing market share and the capabilities to expand its operations, AGL is well-positioned to achieve its growth objectives and to continue delivering exceptional value to clients. The increased capacity, skills and products position AGL as one of the leading suppliers of premium lubricants, greases and industrial fluids in Southern Africa, he avers.

Further, the company’s success in offering world-class products at locally competitive prices is attributed to its ability to blend internationally acclaimed brands, as well as its capacity to manufacture local products. The manufacturing and distribution partnerships with global industry heavyweights ensure that AGL’s products adhere to international best practices, technological competence, and cutting-edge business solutions, Kerwan adds.

“Quaker Houghton is proud to be a long-term partner of AGL. Together, we strive to empower our customers with full confidence that they can meet the future efficiently and with ease,” says Quaker Houghton Middle East and Africa Southern Africa commercial director Andrew Laurens.

As a result of these worldwide partnerships, the South African company can supply world-class products and services with innovative technology at affordable prices to the market.

The specialty services comprise of an in-house team of lubrication engineers who test equipment and conduct product trials at the customer site. These insights help AGL recommend a lubricant or grease tailored to the customer’s specific application and equipment.

“This is to ensure that we provide optimal, energy and cost-saving solutions to our clients,” says Kerwan.

Further, AGL’s private label Centlube hosts a complementary range of ancillary products such as coolants, antifreeze, engine cleaner and brake fluid.

By diversifying its product range, AGL now caters to a broader customer base and enjoys a strengthened position in the marketplace, he added.