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Chemical Engineering

Shell inaugurates grease manufacturing plant in Indonesia

| By Mary Bailey

Shell Indonesia Corp. inaugurated a Grease Manufacturing Plant (GMP) in Indonesia. With a production capacity of up to 12,000 metric tons per year (m.t./yr), the facility complements Shell’s existing Marunda Lubricants Oil Blending Plant (LOBP) in Bekasi, Indonesia. Construction of the Grease Manufacturing Plant began in 2024 and it is one of Shell’s largest grease manufacturing plants globally. The plant is wholly owned and operated by Shell.

Agus Gumiwang Kartasasmita, Minister of Industry of the Republic of Indonesia, said, “We warmly welcome the inauguration of Shell’s Grease Manufacturing Plant in Indonesia as part of efforts to strengthen Indonesia’s manufacturing base. This investment is expected to support the needs of various industrial sectors such as manufacturing, mining, transportation, and other growing industrial activities. The government appreciates investments that produce high-value products and have linkages with national industries, thereby creating a multiplier effect for the national economy. Improving the competitiveness of the lubricants industry could position Indonesia as a grease manufacturing hub capable of bringing Indonesian products to the region and the world.”

“We express our appreciation to Shell Indonesia for its commitment to continuously developing manufacturing activities and strengthening its investment in Indonesia. The construction of the Grease Manufacturing Plant, or GMP, in Marunda is not merely an addition of production facilities, but is part of strengthening Indonesia’s manufacturing base. Going forward, we hope the journey of GMP Marunda will not stop at meeting domestic market needs. As production capacity and competitiveness grow stronger, we hope Indonesia can develop into part of Shell’s regional production base. We start from Indonesia, strengthen Indonesia, and in time bring Indonesian products to the region and the world.”

Jason Wong, Global Executive Vice President of Shell Lubricants, said, “The inauguration of Shell’s Grease Manufacturing Plant in Indonesia reflects our continued confidence in Indonesia’s growth potential and our commitment to supporting the growth of the country’s industry. By strengthening local manufacturing capabilities, we are enhancing supply resilience while bringing our products and expertise closer to customers. This investment also reaffirms our long-term commitment to creating value for customers, partners, and supporting Indonesia’s broader economic development.”

Andri Pratiwa, President Director & Managing Director of Lubricants Shell Indonesia, added, “We see demand for reliable lubrication solutions continuing to grow as industries in Indonesia expand. The presence of Shell’s Grease Manufacturing Plant enables us to support customers by delivering grease products as an effort to improve productivity and operational performance across various industrial sectors, backed by Shell’s technical expertise and understanding of domestic market needs.”

Shell’s Grease Manufacturing Plant is built with cutting-edge technology, including a contact reactor, which enhances operational flexibility and efficiency. The facility produces grease under the Shell Gadus trademark, used in a wide range of applications such as bearings and gears. Grease products from the Shell plant are available in various packaging types, including drums, pails, and fluid bags, to suit industrial needs.