Growth pushes motor oil maker LIQUI MOLY to invest $21 million to expand in Germany
At the same time, the motor oil plant itself will expand also. More storage area will be created and additional mixing vessels and storage tanks will be installed. The investments at the plant amount to an additional $5 million. Production will continue during the construction work.
"This is a major step for our mineral oil plant and for the employees in the company," Ernst Prost, manager of LIQUI MOLY, said at the cornerstone laying ceremony.
The tank farm will be constructed at the inland waterway harbor of the City of Dillingen a few miles from the oil plant. The 10 tanks with a volume of 1,800 cubic meters each supplement the storage capacity already present at the plant. The tank farm will cost $11 million and is scheduled to go into operation next summer.
"An absolutely essential investment," Prost said. "Without it we could not continue our growth to the extent planned. It would be almost impossible to fulfill these plans without the new tank storage facilities."
LIQUI MOLY was elected the most popular motor oil in Germany this year. And LIQUI MOLY's most important export markets include the United States, which is growing in double digits.
Another reason for this construction project: The additional storage capacity for 18 million liters make the motor oil manufacturer less dependent on price variations on the crude oil market.
"Construction of the tank farm is a clear commitment to our 'Made in Germany' production policy," Prost said.
LIQUI MOLY produces motor oils exclusively in Germany.
"People are essential for our growth plans and strategies. Naturally the tank farm is important, but it also requires people for its operation. Without employees, not one single hinge moves," Prost said.
When the tank farm is put into operation, it will no longer be necessary for tank trucks to drive hundreds of miles daily from the refineries in the Netherlands and Belgium to the oil plant. Then, only one inland river barge will be required every two weeks. Trucks will then only have to drive the last few miles from the tank farm to the oil plant.
"The tank farm will therefore provide a positive contribution to preserving our environment," Prost said.
You can reach TN's Hawke Fracassa at [email protected] Follow him on Twitter @HawkeFracassa.
Image source: LIQUI MOLY