LUKOIL and Rexam signed a comprehensive cooperation agreement

LLK Finland OY (a subsidiary of LLK-International, which is wholly-owned by LUKOIL) and Rexam Beverage Can Europe have signed an agreement envisaging supply of  LUKOIL STEELO 150 gear oil for equipment for manufacturing packaging cans at Rexam Group’s plants in Europe and Asia. This was made possible following LLK Finland OY’s victory in a tender that featured three other bidders. According to the terms of the four-year agreement, LLK-International will supply approximately 950,000 thousand metric tonnes of LUKOIL brand oils each year to Rexam Group’s plants in Europe and Asia.   

Rexam Group produces about 60 billion units of consumer receptacles and packaging a year. Rexam Beverage Can Europe Ltd. is one of the leaders in production of aluminium and steel can for beer, sparkling soft beverages, alcohol-containing cocktails, juices, water, coffee and other drinks. Rexam Beverage Can Europe Ltd. accounts for a substantial share of Rexam Group’s total output.

Co-operation between the companies was launched in 2010 with supplies of LUKOIL STEELO 150 oils to two Russian plants belonging to Rexam: in Naro-Fominsk (Moscow Region) and Argayash (Chelyabinsk Region).  In 2010 and 2011, active work was carried out by the Rexam R&D centre in the UK and the Administration for Scientific and Technical Development of LLK-International in Moscow. “The success of our co-operation provided us with the necessary qualifications and ensured our victory in the tender, despite the fact that the LUKOIL brand isn’t widely popular in Western Europe,” LLK Finland OY General Director Maxim Sazonov said. 

Tests confirmed that the lubricant and water-repellent qualities of the LUKOIL gear oils fully comply with the toughest requirements for continuous operation of the equipment at Rexam plants. 

Rexam and LUKOIL are currently studying the possibility of further co-operation involving nine more Rexam Group plants. Other questions under discussion include the potential for using other LUKOIL lubricants.