S-Oil has joined hands with an Indian company to produce and sell lubricant locally. This is the first time S-Oil has produced and distributed its products overseas.
S-Oil has formed a strategic partnership with Indian company Gulf Oil Lubricants and began producing premium lubricant "S-Oil Seven" at its Gulf Oil plant in Chennai, eastern India, since last month, a company spokesman said on Sept. 28. It is planning to release it in Indian markets in the fourth quarter of this year.
S-Oil is planning to actively target Indian markets with premium lubricants, which are high value-added products. Premium lubricants have an operating profit ratio of 30 to 40%. In the second quarter, S-Oil's lubrication business division recorded 271.3 billion won in sales and 103.3 billion won in operating profit.
"The entry into the Indian market was possible because of a win-win partnership with Gulf Oil," said Hussain Al-Qahtani, CEO of S-Oil. "It will help overcome the difficulties caused by the new coronavirus infection (COVID-19)."
"We expect S-Oil products, which are trusted by global car manufacturers for their superior quality to satisfy Indian consumers," Gulf Oil CEO Ravi Chawla said.