GP Petroleums Ltd (GPPL), one of the leading lubricant makers in India and part of the UAE-based GP Global, has signed an agreement with MAG Lube LLC, a leading manufacturer of lubricants in the Middle East, to manufacture and market IPOL lubricants across the world
Under the terms of the agreement, MAG Lube will pay a royalty to GPPL for the formulation technology and brand. The high quality of IPOL lubricants will be maintained across the world in accordance with the quality standards stipulated by GPPL for IPOL.
“The consolidation of lubricant brands around the world is seen as an opportunity to grow and GP Petroleums with its brand IPOL is well positioned to fill the space for affordable and high quality products in emerging markets,” said Hari Prakash M, CEO at GP Petroleums Ltd.
“In a short time span, MAG Lube is present in more than 50 countries and we are looking to leverage this presence to take IPOL global, and in the process create a new global brand,” said Sanjay Singh, chief operating officer at Maglube, the UAE.
GP Global aims to become a 250,000 mtpa lubricant company by 2021 and this agreement is crucial for the company in achieving the vision, Singh added.
“We are sure that our expertise and widespread presence in various countries along with GP Petroleums, veterans in the lubricant sector, will result in a great partnership. We are happy to be a catalyst and part of IPOL’s journey towards becoming an international brand”, said Mahmoud Al Theraawi, CEO at Maglube LLC.
The current focus will be in the Middle East, Africa and Far East markets mainly in the automotive and industrial lubricant space. Specialty products like neat cutting oils and rust preventives would be sourced from GPPL. The markets under focus have an aggregate demand of more than two mtpa.
MAG Lube LLC is one of the leading manufacturers of lubricants within the Middle East. The company’s lubricant products are distributed in more than 50 countries, with a strong representation in the Middle East and Africa. Its factory has the latest fully-automated blending system technologies designed in France and has a fully equipped, ultra modern laboratory focusing on research and development.
