Shell Starts Production at New Grease Plant in Indonesia

Shell Indonesia has inaugurated a new grease manufacturing plant in Bekasi, Indonesia, adding up to 12,000 metric tons of annual production capacity and expanding its local lubricants manufacturing footprint.

The new facility is located alongside Shell’s existing lubricants blending operations in Bekasi and will produce grease products for automotive, industrial and other applications. Shell said the plant is intended to support growing domestic demand, increase local production and reduce reliance on imported grease products.

By producing more grease within Indonesia, Shell also expects the facility to improve supply reliability and shorten lead times for customers. The plant complements the company’s existing lubricant blending operation at the site, giving Shell local manufacturing capability for both lubricating oils and greases.

Shell first announced plans for the grease facility in 2024 as part of an effort to strengthen its lubricants business in Indonesia and respond to increasing demand. The inauguration marks completion of that project and the start of production at the new plant.

Shell markets lubricants and greases in Indonesia for passenger vehicles, commercial vehicles and industrial customers. With the new facility, the company can supply those markets from domestic production rather than imports.

The plant has a production capacity of up to 12 kilotons per year, equivalent to approximately 12,000 metric tons annually.