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ExxonMobil to expand lubricants capacity in Louisiana

ExxonMobil to expand high-performance synthetic lubricants capacity in Louisiana

  • New facilities to include synthetic base stocks manufacturing and finished lube blending and packaging
  • More than $200 million investment to meet expected growth in product demand
  • Project will create construction and full-time jobs

Baton Rouge, Louisiana – Sept. 27, 2012 – ExxonMobil is investing more than $200 million to expand its Baton Rouge chemical and lubricants plants to increase capacity for synthetic lubricant base stocks manufacturing and lubricants blending, packaging and storage.

The expansion will increase ExxonMobil’s worldwide capacity of synthetic esters and alkylated naphthalene by more than 25 percent to meet the demand for high-performance lubricants made with these advanced products. The project will include construction of a state-of-the-art blending center for synthetic aviation oil at ExxonMobil’s lubricant blending plant in Port Allen, Louisiana.

"ExxonMobil continues to invest in its operations in Louisiana,” said Paul Stratford, manager of the Baton Rouge chemical plant. “Over the past three years, the corporation’s capital expenditures in the state exceeded $930 million. These investments help create jobs and contribute to the economic growth of the state and the region.”

Construction is expected to begin in late 2012. The project will create more than 400 direct construction jobs and the facilities will provide 45 new full-time local jobs when production begins in 2014.

This expansion project will make ExxonMobil’s Baton Rouge chemical plant the world’s largest producer of synthetic esters and alkylated naphthalene, which are used by producers and marketers of a wide variety of finished lubricants that includes vehicle motor oils, gear oils and greases, as well as specialized lubricants for aviation, marine and industrial applications.

The new facilities in Baton Rouge will replace ExxonMobil’s existing base stock manufacturing and aviation lubricants blending, packaging and storage operations in Edison, New Jersey, which will continue production until the new facilities in Louisiana begin operation.

“The new aviation lubricants blending center reflects our continuing commitment to safe and reliable supply of aviation and other lubricant products,” said Julius Bedford, manager of ExxonMobil’s lubricant blending plant in Port Allen, Louisiana. The 8.3-acre facility will manufacture more than 145 lubricant products and have an annual throughput of more than 90 million gallons.

The expansion, coupled with the new metallocene polyalphaolefins plant under construction at ExxonMobil’s chemical complex in Baytown, Texas, positions the company to meet long-term demand growth for high-performance lubricants that deliver greater energy efficiency, improved durability and extended drain intervals.

ExxonMobil operates 32 facilities in Louisiana with an annual payroll of more than $400 million. The company’s presence in the state includes more than 11,000 employees, retirees and contractors. ExxonMobil is one of Louisiana’s largest taxpayers, paying more than $116 million in annual state and local taxes. The company also provided more than $6 million in contributions to charitable and civic organizations in Louisiana last year.

More on ExxonMobil Chemical synthetic esters: Esterex™ esters add enhanced lubricating properties along with low volatility and good solubility characteristics to engine and industrial lubricant applications; Synesstic™ AN (Alkylated Naphthalene) blendstocks are outstanding base fluids and blendstocks for lubricants in a variety of automotive and industrial applications. Lubricants formulated with Synesstic AN can be more stable and higher performing.

About ExxonMobil

ExxonMobil, the largest publicly traded international oil and gas company, uses technology and innovation to help meet the world’s growing energy needs. ExxonMobil holds an industry leading inventory of resources, is the largest refiner and marketer of petroleum products, and its chemical company is one of the largest in the world. Follow ExxonMobil on Twitter at Twitter.com/ExxonMobil.

9/27/2012

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