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RelaDyne Acquires Automotive Service, Inc. / Central Penn Oil of Pennsylvania
December 17, 2015
RelaDyne, one of the nation’s leading providers of lubricants, fuel, diesel exhaust fluid (DEF), and industrial reliability services, announced this week that it has acquired Automotive Service, Inc. / Central Penn Oil (“ASI”), a family owned and operated fuels and lubricants distributor since 1934.
For more than 80 years, ASI has been servicing a broad range of automotive, fleet, and industrial customers with lubricants, fuels, ancillary products, and lubrication equipment in the eastern and central Pennsylvania and southern tier New York markets from three strategic locations. The company prides itself on being large enough to provide competitive products while small enough to offer superior service to its customer base.
As part of RelaDyne, ASI will strategically expand RelaDyne’s geographic footprint further into Eastern Pennsylvania and upstate New York, providing additional avenues for lubricant and fuel sales as well as expansion of industrial reliability solutions through RelaDyne Reliability Services.
ASI customers can continue to expect the same level of customer service and will soon have additional avenues of interaction with ASI, including access to RelaDyne Express, RelaDyne’s e-commerce platform, where they’ll be able to order online and view account information such as orders and invoice histories anytime, anywhere.
John Palmer, third generation owner of ASI, will continue with RelaDyne as General Manager of the newly formed branch. Additional ASI team members will stay with RelaDyne as well to ensure continuity for customers and suppliers. “We are extremely excited to join RelaDyne and be given the ability to expand our product and service offerings to customers in order to better serve them,” says Palmer.
“The acquisition of ASI brings RelaDyne into new territories, allowing us to expand our service area and enhance our product availability in other markets,” notes Larry Stoddard, Chief Executive Officer for RelaDyne. “We welcome ASI customers and associates and look forward to providing them with additional offerings and opportunities for service.” Automotive Service, Inc. is RelaDyne’s sixth acquisition of 2015.
METALUBE Launches in the USA
December 17, 2015
METALUBE has appointed Indianapolis based – Fusion Chemical as their exclusive distributor in the USA. The alliance will proactively market the METALUBE range of lubricant products across the region.
METALUBE exports 95% of its products globally but until now has had little presence in the USA mainly due to having no representation in the region. Fusion Chemical headed by Matt East and Karl Kuchta is a specialised chemical company providing metalworking fluids and specialty chemicals to the manufacturing industry across the States, making them an ideal fit for METALUBE.
Commenting on the collaboration, METALUBE’s Commercial Director, Douglas Hunt says: “There are huge opportunities for METALUBE in the United States and we are fortunate to have found a perfect match with this ambitious partnership. Matt and Karl understand the quality and flexibility of our range of products and we look forward to expanding our presence in this exciting and important market.”
METALUBE manufactures a range of non-ferrous drawing oils and maintenance lubricants as well as a variety of corrosion protection and forming oils. This experienced exporter has offices in China, India and Brazil. www.metalube.co.uk
RelaDyne Acquires Mid-State Industrial Supply and J.B. Weimar, Inc.
November 11, 2015
RelaDyne, one of the nation’s leading providers of lubricants, fuel, diesel exhaust fluid (DEF), and industrial reliability services announced this week that it has acquired Mid-State Industrial Supply Inc. and J.B. Weimar, Inc. (“MSIS”), RelaDyne’s fifth acquisition of 2015. MSIS is strategically located in Nashville, Tennessee, offering extended strength and continuous product supply between RelaDyne’s existing Northern and Southern markets.
Mid-State Industrial has a strong and longstanding reputation in the Tennessee market with Jim and Anita Weimar, having owned and operated the business for over 39 years. The company services a wide range of automotive, commercial, and some industrial businesses, along with auxiliary products including equipment services, chemicals, and commercial and retail fuels.
As a part of RelaDyne, MSIS will be able to offer customers the full line of RelaDyne products and services, including an expanded line of industrial reliability services and automotive products backed by profit-enhancing programs built for customers. MSIS customers will also have access to RelaDyne Express, RelaDyne’s e-commerce platform, where they’ll be able to order online and view account information such as orders and invoice histories anytime, anywhere.
Jim Weimar, owner of Mid-State Industrial and J.B. Weimar, Inc., and his team will be staying with RelaDyne to ensure continuity for customers, employees, and suppliers. “We are excited to join the RelaDyne family and look forward to now providing our customers and associates with more opportunities than they ever had before,” states Weimar.
“The acquisition of MSIS helps solidify RelaDyne’s strategic position in the market by connecting the Northern and Southern RelaDyne regions along with expanding our product and services portfolio to these existing and new customers,” notes Larry Stoddard, Chief Executive Officer for RelaDyne. “We welcome all MSIS customers and associates to RelaDyne.”
Jeff Hart, Executive Vice President of Business Development for RelaDyne, commented on the acquisition, “This acquisition is the result of our team’s continuous execution of our acquisition strategy. RelaDyne continues to be the acquirer of choice for many companies in the fuel, lubricant and services business. This deal is our fifth acquisition in 2015, and we anticipate closing more acquisitions this year as we continue to create a national platform.”
RelaDyne, headquartered in Cincinnati, Ohio, is an industry leading lubricant, fuel, and DEF distributor providing customers with integrated reliability management services for industrial and commercial businesses in the United States. RelaDyne was formed in 2010 by the combination of four industry leaders – Mid-Town Petroleum, Inc. (Bridgeview, IL), Oil Distributing Company (Cincinnati, OH), The Hurt Company, Inc. (Houston, TX) and Pumpelly Oil Company (Sulphur, LA). RelaDyne’s distribution platform spans more than 25 locations serving states in the Central US. In May 2014, RelaDyne’s industrial services business expanded with the acquisition of Turbo Filtration Corporation (TFC), enhancing their offering to key industrial customers throughout the US. The company also benefits from the support of its business-building financial partner, AEA Investors LP, which manages funds worth approximately $6 billion of invested and committed capital. For more information, visit www.RelaDyne.com.
Keller-Heartt Expands Into Wisconsin, With New Facility
November 11, 2015
Keller-Heartt announced the opening of its new Wisconsin facility.
The new facility expands Keller-Heartt’s geographic footprint to service Illinois and southern Wisconsin, offering further reach in their core territory and more accessibility for their localized and long-term client base.
Brian McGrath, president and owner of Keller-Heartt, stated, “The new Wisconsin location is ideal for taking our sales skills to the next level and providing more opportunities for our partners. Prioritizing our best in class customer focus will ensure a secure future for Keller-Heartt employees and our suppliers.”
Keller-Heartt’s new 35,000 square foot facility is located in Southeast Wisconsin, just south of Milwaukee.
For more, visit www.Keller-Heartt.com.
Brenntag Enters into Agreements to Acquire two Leading US Lubricants Distributors
November 5, 2015
Brenntag, the global market leader in chemical distribution, today announces an expansion of its lubricants business in North America by signing agreements to acquire two leading distributors J.A.M. Distributing Company, LLC, and related entities, headquartered in Houston, Texas, and G.H. Berlin-Windward, headquartered in Manchester, New Hampshire.
J.A.M. and G.H. Berlin-Windward are distributing across the entire lubricant supply chain in a broad range of customer industries. Both companies offer integrated product and service solutions focused on a wide range of lubricants servicing to industrial, commercial, automotive, and marine end markets throughout the Gulf Coast, Texas and the northeast United States respectively.
Steven Holland, CEO Brenntag Group: “Both acquisitions are a significant investment in rebalancing our industry mix in North America and complement our existing business in the less volatile lubricants market. This represents a strategic review and shift to counteract the structural change in oil & gas earnings in North America.”
Markus Klähn, Member of the Management Board of Brenntag Group and CEO Brenntag North America: “Both companies are valuable additions to our existing business in the lubricants distribution market which is attractive in terms of size, growth and profitability. Moreover, the market is still very fragmented. Together, J.A.M. and G.H. Berlin-Windward will be an excellent platform for growth in this consolidating market. They will further diversify our industry portfolio and solidify our strong market position in lubricant distribution in North America.”
The combined companies are expected to contribute sales of approximately 780 million USD in the financial year 2016. The closing of the transactions will occur in the course of the next weeks, subject to contractually agreed closing conditions.
PetroChoice Acquires Badger Lubrication Technologies, Inc. in Wisconsin and Yankee Point Lubricants In Pennsylvania
November 2, 2015
PetroChoice Expands its Sales and Distribution Footprint in Wisconsin With its Purchase of Badger Lubrication of Milwaukee and Strengthens its Market Position in Pennsylvania with the Purchase of Yankee Point Lubricants.
PetroChoice, a leading provider of lubrication solutions, announced today that it has acquired Badger Lubrication Technologies, Inc., headquartered in Milwaukee, WI. PetroChoice is focused on acquiring best-in-class lubricant distributors to expand both its service offering as well as its geographic footprint. “Badger is a great family owned company whose core values include a deep dedication to its employees, a commitment to building strong customer relationships and an unwavering focus on quality. This makes them a natural fit to grow with PetroChoice,” said Steve King, Executive Vice President (EVP) of PetroChoice’s West Division.
Mike Havenga, Regional Vice President (RVP) of PetroChoice’s West Division added, “The Halvorson Family has built a great company that already approaches the Lubricants industry in a way reflective of PetroChoice. Because of this, their work ethic and resultant customer loyalty, I am comfortable that we will have a great transition and experience continued growth in the Wisconsin marketplace.”
From Left to Right: Mike Havenga – RVP West Division PetroChoice, Nicole Halvorson – Sales Manager, Jeremy Halvorson – Facility Manager, Mavis Halvorson – Consultant, PetroChoice (Formerly Badger CEO), Steve King – EVP West Division PetroChoice
The Halvorson Family will continue to be active in the company. Mavis Halvorson, the former CEO of Badger, will continue as a Consultant with PetroChoice, while Nicole and Jeremy Halvorson will assume the roles of Sales Manager and Facility Manager respectively for the Milwaukee location. Says Mavis, “Partnering with PetroChoice gives us ready access to technology, industry experience and resources to support our growth and take our business to the next level.”
Badger Lubrication Technologies, Inc. is a high quality full service distributor operating primarily in Wisconsin. The company provides a broad range of lubricants and specialty products for the passenger vehicle lubricant (PVL), commercial, and industrial markets. Their distribution reach today covers much of Eastern and Southeastern Wisconsin and a small portion of Northern Illinois. “Acquiring Badger expands our footprint in Wisconsin, and allows us to expand on our gains in the region around Milwaukee and Chicago,” said Mike Havenga. Jeremy and Nicole Halvorson agreed and added that they are excited to join the PetroChoice team and believe that their extensive knowledge and experience will help PetroChoice grow in the future.
The Yankee Point Lubricants Acquisition:
On September 28, 2015 Steve Henderson sold his company, Yankee Point Lubricants, to PetroChoice after 15 years in the Philadelphia regional market. “With a strong presence in the PVL market including repair, tire, and muffler shops, Yankee Point is a nice addition to our overall marketing plan for growth at PetroChoice,” said Fran Orobono Jr., RVP of the East Division of PetroChoice. He added, “Steve has developed a strong loyal customer base and will remain with PetroChoice as the primary point of contact for them.”
Mr. Henderson commented, “This was not an easy decision as there were a few companies that I was considering selling to, but after getting to know PetroChoice over the past year I felt they were the best fit to take my company to the next level. My customers will benefit immensely from this new opportunity.”
PetroChoice is a leading value-added provider of petroleum based lubrication products and services with 29 locations throughout the Mid-Atlantic, Midwest, and South-East Regions. The Company provides its customers with Lubrication Solutions to meet their Safety, Savings, and Sustainability goals. PetroChoice distributes an extensive product offering of lubricants, coolants, metalworking fluids, equipment, heaters, lifts, auto-lube and filtration systems, and contamination control devices backed by unmatched technical expertise and services.
For more information about PetroChoice visit www.petrochoice.com.
Castrol Announces 90-Second Oil Change Technology!
October 8, 2015
Castrol Announces ground breaking technology that will revolutionize the way motor oil is changed. Click link below for video.
Warren Oil Steps Out and Up with the First API Licensed SAE 0W-16 Full Synthetic PCMO
October 8, 2015
Warren Oil Company, Inc., one of North American’s largest independent lubricant manufacturers, is pleased to announce its LubriGold SAE 0W-16 Full Synthetic Motor Oil is the first API approved 0W-16 passenger car motor oil in the market. Expanding on its diverse portfolio of automotive engine oils, Warren’s LubriGold SAE 0W-16 Full Synthetic Motor Oil was developed to meet the needs of the growing number of Original Equipment Manufacturers (OEMs), and consumers requiring ultra-low viscosity (ULV) passenger car motor oil.
For those unfamiliar with motor oil grades, close to 52% of the passenger car motor oils currently in use are SAE 5W-30 grade products. Second and third are 5W-20 and 10W-30, with an estimated 23 and 12%, market share, respectively. Whereas 5W-30 and 10W-30 have been the workhorse motor oils for several decades, times are changing. In today’s world, although engine durability remains the primary concerns, fuel economy and other issues are driving motor oil demand towards lower viscosity grades (e.g. 5W-20, 0W-20, 0W-16). These products are designed to offer the best of both worlds (fuel economy and engine protection).
Irvin Warren, Chief Executive Officer and President of Warren Oil, Headquartered in Dunn, NC, says, “For these reasons, we made the decision to Step Up and Out with the first API licensed SAE 0W-16 Full Synthetic Motor Oil.” Although demand for this viscosity grade is currently limited in the United States, Mr. Warren adds “The trend towards lighter viscosity motor oils that offer meaningful increases in fuel economy without compromising engine durability is clear. We anticipate increasing demand for this grade and we are pleased to announce that LubriGold SAE 0W-16 Full Synthetic Motor Oil is the first API approved 0W-16 in the US market.”
Adding to this, Chris Spell, Corporate VP of Marketing at Warren Oil says, “Warren Oil’s success in the lubricants business is, in part, based on anticipating, planning for, and developing lubricants to assure we are ahead of the curve in meeting both current and emerging market needs, at a competitive price.” For these reasons, Spell says, “We made the decision to take a leadership role with the introduction of LubriGold SAE 0W-16 Full Synthetic Motor Oil.” In addition to LubriGold SAE 0W-16, Spell adds “Warren Oil’s product portfolio includes a number of other quality consumer, commercial and industrial lubricants.”
About Warren Oil
Warren Oil Company, Inc. currently owns and operates six efficient and modern lubricant manufacturing and packaging plants, including a new state of the art grease plant. Warren Oil markets it lubricants both conventional and synthetic, domestically and internationally to over forty countries, under the WARREN® brand, the LUBRIGUARD® brand, the LUBRIGOLD® brand, and the ITASCA® brand. Warren Oil also manufactures and markets private label products for a number of Fortune 500 companies in addition to manufacturing and marketing a full line of automotive and heavy duty chemicals, including anti-freeze and brake fluids, under its proprietary AUTOGUARD® brand name.
For more information on LubriGold and/or other Warren Oil products, please call 910-892-6456/800-779-6456 or email email@example.com.
Chevron Debuts ISOCLEAN ® Certified Lubricants and Services, the Industry’s First National Program Focused on Controlling Particle Contamination
October 8, 2015
Chevron Debuts ISOCLEAN® Certified Lubricants and Services, the Industry’s First National Program Focused on Controlling Particle Contamination.
Particle contamination is the number one cause of lubricant related failure in equipment.
Chevron Products Company, a Chevron U.S.A. Inc. division, today announced the launch of its ISOCLEAN Program, a first of its kind national program that offers a solution to particle contamination through products and in-plant services designed to assist customers in maximizing the life of their equipment by meeting stringent quality control standards set by original equipment manufacturers (OEMs).
Chevron’s ISOCLEAN program includes ISOCLEAN Certified Lubricants, which have been certified to meet the fluid ISO Cleanliness requirements of OEMs, and ISOCLEAN Services, which are in-plant services designed to clean up and manage contamination of in-service lubricants and operating systems. Both offerings are dependent on each other and help to reduce wear, decrease unscheduled downtime and extend the life of equipment.
Chevron’s ISOCLEAN Certified Lubricants meet a specific ISO Cleanliness code at the point of delivery, which represents the most stringent cleanliness standards and specifications for lubricants placed in equipment that are required by several leading OEMs. An important first step in controlling lubricant contamination is starting with a certified lubricant. These products help reduce the expense and manpower required by end customers to pre-filter non-certified lubricants to meet OEM requirements.
ISOCLEAN Services are performed by a national certified network of service providers at the plant location. Controlling particle contamination for in-service equipment is another critical element in maintaining efficient operation. The portfolio of services performed may include:
- Fluid purification and dehydration
- Varnish removal and mitigation
- High velocity flushing
- Reservoir and tank cleaning
- Condition monitoring and system audits
- Fluid handling consultation
Chevron began rolling out its ISOCLEAN program in early 2015 and has developed a national network of ISOCLEAN Certified Lubricant Marketers. The program has seen such dramatic success that it will begin to expand internationally in 2016. The company’s goal is to significantly increase the number of certified marketers throughout many regions.
“No other company is as dedicated to providing solutions for lubricant particle contamination as Chevron,” said Doug Hinzie, VP Americas Lubricants at Chevron. “Our ISOCLEAN Program with certified lubricants and services is proof that we are investing heavily in this crucial industry need. In response to the request for a turnkey solution from customers and OEMs, we developed this comprehensive national program because we know how important it is to provide a consistent solution which is certified and backed by Chevron, and delivered wherever our customers need it.”
The number one cause of lubricant-related failures in equipment is contaminant particles – most of which are so small that they are unable to be seen by the naked eye. Controlling fluid contamination early in the process can significantly reduce the costs to remove it later, which is a direct saving that goes to the bottom line of our customers.
“It doesn’t matter if you are in mining, construction or own a fleet of trash trucks, it is all about lubricants and high pressure lubricants – the cleaner that oil is the longer it is going to last, because downtime is a killer,” said Freddie Dodge, expert miner and star of “Gold Rush” on the Discovery Channel. “You get peace of mind with ISOCLEAN lubricant system because every gallon you use you get a certificate that it is free of harmful contaminants.”
Chevron offers more than 50 ISOCLEAN Certified Lubricants for critical equipment components from hydraulics to gear oils to synthetics for a variety of industries: agriculture, construction, manufacturing, mining, petrochemical refining, power generation, and waste hauling. ISOCLEAN Certified Lubricants give customers the opportunity to significantly maximize equipment component life: by 2 to 4 times in most cases.
These lubricants have undergone one of the most rigorous testing processes in the industry to verify that the lubricants performance is not compromised, which is exclusively done at the Chevron Research and Technology Center. All products delivered by ISOCLEAN Certified Lubricant Marketers meet the required certification process, which includes multiple tests, and follows stringent delivery processes to verify that the products meet specification on each delivery.
For more information on ISOCLEAN program or to contact an ISOCLEAN Certified Lubricant Marketer in a specific region, go to: www.chevronisoclean.com
About Chevron Products Company
Chevron Products Company is a division of an indirect, wholly owned subsidiary of Chevron Corporation (NYSE: CVX) headquartered in San Ramon, CA.A full line of lubrication and coolant products are marketed through this organization. Select brands include Havoline®, Delo® and Havoline Xpress Lube®. Chevron Intellectual Property LLC owns patented technology in advanced lubricants products, new generation base oil technology and coolants.
Smitty’s Supply Names Chad Tate as President
September 28, 2015
Smitty’s Supply Inc. announces that its Board of Directors has named Chad Tate as the Company’s new President.
Smitty’s says that Chad Tate steps into this new role with a solid background from all facets of the company having served in various roles during his tenure at Smittys. Chad has served as Executive Vice President and COO for the past year and previously held roles in sales, operations, and manufacturing throughout the organization. “Chad will lead and execute Smitty’s long-term strategy to be the global leader in lubricant manufacturing and distribution.”
Chad Tate joined the Smitty’s team in 2009 and started his journey working closely with Mr. Ed Smith on special projects where he learned the business from the ground up. Chad then moved into various other roles where he could contribute his expertise including the construction and start up of the grease facility, sales, and most recently in operations and manufacturing oversight roles. Chad’s capacity for knowledge enabled him to rise rapidly throughout the Smitty’s organization.
“On behalf of the board of directors, we want to thank Chad for his ongoing commitment to Smitty’s and look forward to a bright future with Chad leading our team”, stated Chuck Brister, Board member.
“Smitty’s has been a growing dominant force in the lubricant industry having earned the respect and admiration of its customers and competitors through an unwavering commitment to product quality, operational excellence, and outstanding customer service. I undoubtedly believe that Chad Tate will continue to strive to serve this vision that I set out for the company”, added Ed Smith, who will remain CEO and Chairman for Smitty’s Supply.
“I am honored by the opportunity to lead the Smitty’s team alongside a group of very talented executives who remain as committed to the vision of the company as I am. I will work tirelessly to serve Smitty’s Supply for a bright future and long standing growth while following the core values of outstanding service that were the foundation of the company that Mr. Ray Smith founded in 1969”, stated Chad Tate.
Vesco Oil Corporation Acquires Britsch Inc., Leading Supplier of Petroleum Products in Northwest Ohio
June 29, 2015
Vesco Oil Corporation, one of the largest distributors of branded automotive and industrial lubricants in the United States and a leading recycler of used oil and antifreeze, today announced the acquisition of Britsch Inc. Britsch Inc. is based in Wauseon, Ohio and is a family-owned, third generation distributor of both fuels and lubricants. Britsch Inc.’s marketing area consists of Northwest Ohio, the Toledo, Ohio metro area, and Southeast Michigan. Vesco Oil, a third generation family business founded in 1947, services the Michigan, Ohio, Pennsylvania, and Indiana markets.
For Vesco Oil the acquisition will enlarge its geographic footprint and expand its product and service offerings in Ohio. Britsch Inc. is a distributor of ExxonMobil branded products, and carries a full line of industrial lubricant and fuel products. The company has been in business since 1941. Britsch Inc. markets and distributes automotive, commercial and industrial lubricants as well as fuels, coolants, cleaners, degreasers, and solvents.
Vesco Oil Corporation Owners and General Managers Lilly Epstein Stotland and Lena Epstein made the acquisition announcement.
For Lilly Epstein Stotland, this is the perfect time for the two companies to unite. “Vesco Oil and Britsch Inc. are strong, successful family-owned businesses,” said Epstein Stotland. “Joining forces with a great company like Britsch Inc. is central to our plans to grow and remain independent.”
“This is an exciting day for us at Vesco Oil,” said Lena Epstein. “Britsch Inc. is a great company with a strong foundation and legacy. We are thrilled to have the Britsch Inc. team join the Vesco Oil family.”
Matt Britsch will join Vesco Oil as the Northern Ohio Industrial Sales and Operations Manager. “Our company was built on decades of hard work, integrity, and great expertise. Vesco Oil reflects all of those qualities and I am very happy to be part of the new team,” said Britsch.
In the last five years, Vesco Oil has expanded its business with existing suppliers including four new locations in Cleveland, Columbus, and Dayton, Ohio, and Pittsburgh, Pennsylvania.
Vesco Oil is one of the largest distributors of ExxonMobil and Valvoline branded lubricants. Other key supplier relationships include Castrol, Perkins Products, Inc., CAM2, Motorcraft, MOC Products, and Fortech Products.
About Vesco Oil Corporation:
Vesco Oil Corporation is an ISO 9001 – 14001 certified and environmentally conscientious distributor, providing automotive and industrial customers with a full range of high quality lubricants and supporting services. Founded in 1947 by Eugene Epstein, Vesco Oil Corporation is one of the largest distributors of branded automotive and industrial lubricants in the United States and is a leading recycler of used oil and antifreeze. The company also is a full service provider of automotive appearance products, operates a full line of metalworking fluids and a leading provider of bulk windshield washer solvent and antifreeze. Vesco Oil Corporation is a majority women-owned business, receiving Certification from the Women’s Business Enterprise National Council. For more information, call 800-527-5358 or visit www.vescooil.com.
Distinguished Chevron Fellow Jim McGeehan Retires – Chevron Brand, Technology & OEM team moving Delo® Leadership into the Future
May 28, 2015
Chevron Products Company, a Chevron U.S.A. Inc. division, announced that after 39 years of service, James (Jim) McGeehan, Consulting Scientist for Delo® Heavy Duty Engine Oils has elected to retire from Chevron effective June 30, 2015.
Jim began his career with Chevron in 1976 as a Research Engineer in Chevron Research Company. During his tenure, he has served as the Global Manager of Diesel Engine Oil Technology and was responsible for all global heavy-duty engine oil development and coordinating all diesel engine programs for Chevron’s lubricants businesses. He led the team responsible for the successful development of Chevron Delo 400, which is now a global product meeting worldwide requirements. Jim and his extended formulating team were recently honored by the Society of Automotive Engineers (SAE) for an Award for Research on Automotive Lubricants for the best technical paper related to the Adaption of Lubricants, Lubricated Automotive Systems or Components – SAE Paper 2012-01-1709 (published 2012) in April 2014.
“I would like to thank Jim for his dedication, passion and many contributions and mentorship to our company, personnel and industry over the past four decades. He has been a leader in our Lubricants Formulating Team and has set a high standard for all of us to follow into the future” said Brian Stripling, General Manager Brand, Technology & Original Equipment Manufacturer (OEM), Chevron Products Company.
Curt Knapp Rejoins Warren Distribution
May 28, 2015
Curt Knapp, who previously worked in a leadership role for Warren Distribution from 1994 to 1998, has rejoined Warren Distribution as Senior Vice President, Business Development.
Curt has spent much of his career in the lubricants industry, also working for Texaco Chemical Additives Division, Castrol, Sunoco and, most recently, Safety Kleen/Clean Harbors. He led marketing, sales and supply initiatives in those organizations.
Knapp says he is excited to rejoin Warren Distribution. In his words, “It’s great to be back home at Warren Distribution. I was COO when I left in 1998 to move back to the East Coast for personal reasons. Back then, my family and I loved Omaha, so it was tough to leave.” Knapp adds, “But far tougher was leaving Bob Schlott, the owner of what is now a 93 year-old, $450 Million family-run business, and the rest of the Warren Distribution family. That’s because Bob is a man of exceptionally high-integrity who deeply cares for his 500+ employees and it shows in the quality and value that the firm has always delivered for its customers. I learned a lot and it is an example that I have tried to emulate in my career since I left.”
Knapp will be working directly for Bob Schlott. His focus will be identifying and developing opportunities to grow the business and improve the bottom line.
About Warren Distribution
Warren Distribution, Inc. was founded in 1922 as Warren Oil Company by James Schlott, the grandfather of Robert N. Schlott, the current Chairman / CEO. The business began by supplying lubricating oils and related products to the agricultural business in the surrounding area. Such business remains the principle focus of the firm today. In 1971, Terminal Packaging Corporation was founded in Council Bluffs, Iowa, as the manufacturer of plastic bottles and a packager of automotive coolants. This operation was later expanded to include lube oil blending and packaging. Terminal Packaging Corporation became a subsidiary of Warren Distribution in 1990 and in 1994 was merged into Warren. The manufacturing operation is known as Warren Performance Packaging today, an operating division of Warren Distribution. Warren Distribution is a Nebraska Corporation with its corporate offices in Omaha. Manufacturing and distribution facilities are located in Council Bluffs, Iowa and Guntersville, Alabama. Click for more.
Parman Energy Establishes Employee Stock Ownership Plan
April 15, 2015
Parman Energy Corporation, a Nashville-based petroleum distributor is now an employee-owned company.
Parman Energy Corporation, a Nashville-based petroleum distributor, announced that it is now an employee-owned company. The company’s original owners, Don Crichton and Johnny Jewell III, sold stock to the company’s newly established Employee Stock Ownership Plan (ESOP) in a transaction that closed February 20, 2015.
“We are excited that our team members who provide industry-leading service to our customers will share in the rewards of our company’s future success,” said Steve Moore, CEO & President of Parman Energy.
The ESOP transaction will not change company operations. Moore and his leadership team will continue to lead the company and its employees, who will now be able to benefit from the value of annual allocations of stock in the company. Designed as a long-term retirement benefit for employee owners, all employees who accrue one year of service with the company will be eligible to participate in the ESOP.
“At Parman Energy, we not only want to recruit and retain top talent to join our team, but also want to reward those team members,” said Julie Pomeroy, Vice President of Human Resources. “We are very excited to now add to the company’s current benefits the reward of an Employee Stock Ownership Program. We look forward to continued success in our industry with dedicated employees – now dedicated owners – of Parman Energy.”
Since the beginning of the year, Parman Energy has continued to grow rapidly and opened a new branch in Mississippi last summer. The distributor was recently named the 14th fastest-growing private company in Nashville by the Nashville Business Journal.
About Parman Energy:
Parman Energy, an employee owned company, the company says it “is the most capable, reliable, and dynamic source for quality petroleum products and diesel exhaust fluid in the Southeastern region of the United States. We differentiate ourselves from our competitors by our commitment to excellence everyday. This commitment is demonstrated by the company’s continual investment in new technologies and ongoing infrastructure improvements, by our recognition in the industry as the market leader, and by daily actions of our employees. It is our goal to offer increased value to our customers through quality services, products and partnerships.” For more information visit website, Facebook page, Twitter, LinkedIn, or call 800-727-7920.
PEAK COMMERCIAL & INDUSTRIAL ENTERS STATIONARY GAS ENGINE OIL MARKET WITH NEW PARTNERSHIP AGREEMENTS WITH Q8OILS
April 15, 2015
Old World Industries, LLC, through an exclusive partnership agreement with Q8Oils, is expanding its product portfolio and will now offer a new line of engine oil products for the stationary gas engine market in North and South America.
PEAK Commercial & Industrial, a division of Old World Industries, is a market leader in the Americas for the supply of antifreeze (Fleet Charge and Final Charge) and diesel exhaust fluid (BlueDEF). And the company says it has already has excellent relationships with stationary gas engine operators and maintenance companies. With that, PEAK says its credentials are ideal for its expansion into the gas engine sector for natural gas compression and energy generated from landfill and biogas.
Commenting on the distribution agreement, Q8Oils’ General Manager, Pierpaolo Furno, says: “Q8Oils has already established itself in the U. S. market by building a reputation for quality, performance and reliability. The distributor agreement with Old World Industries will take us to the next level, marketing our product through a highly professional organization, employing people who really understand the market. This relationship also brings us closer to the customer, delivering a quality service and product.”
“The U. S. energy market for stationary gas engines is still growing; so before making this decision, we carried out an in-depth investigation into global suppliers of gas engine oils and found that Q8Oils’ reputation was built on proven performance with its customers,” said Khalid Bin Mahmood, President of Old World Industries, LLC, the parent company of PEAK Commercial and Industrial, which was founded more than 40 years ago. “We also found that, where other oils had failed, Q8Oils’ products were proving to be the solution to maximizing engine productivity and reliability. We are, therefore, confident that this partnership will be a great benefit to PEAK Commercial and Industrial, Q8Oils and our customers.”
Navitus Stationary Gas Engine Oil will be available from PEAK Commercial & Industrial by the second quarter of 2015. More information is available at www.PEAKHD.com.
AMALIE MOTOR OIL AWARDED VENDOR OF THE YEAR TROPHY BY THE PARTS HOUSE
April 15, 2015
AMALIE Motor Oil received the Vendor of the Year designation and was awarded the Vendor of the Year Trophy by The Parts House (TPH).
“What a way for AMALIE to start the New Year,” said Dennis Madden, senior vice president of global marketing and sales at AMALIE. The award was presented during TPH’s annual meeting, where TPH employees were also recognized for performance. During the meeting TPH praised AMALIE’s southeast regional manager, Rick Piotrowski, and national sales manager, Kenny Holder, for product knowledge, business skills and willingness to help grow TPH’s oil business. Piotrowski and Holder offered TPH sales, technical, and promotional assistance and also worked in the field with TPH’s sales team to help grow sales in a competitive product and marketplace environment.
Headquartered in Jacksonville, Florida, TPH is one of the largest premium automotive and warehouse distributors in the Southeast, with 40 locations in southeastern USA and the Caribbean. Competition for the Vendor of the Year award included national automotive parts and products manufactures. Exemplary performance, exceeding expectations and on-time delivery earned AMALIE the honor of receiving TPH’s 2014 Vendor of the Year award.
Bullseye Automotive Products Inc. Fined $711k for Violating State’s Weights and Measures Act
February 10, 2015
The Michigan Department of Agriculture and Rural Development (MDARD) today announced Bullseye Automotive Products Inc. of Illinois has been fined $711,415 in a default judgment issued by the Honorable Clinton Canady III in Ingham County 30th Circuit Court. Click more.
RelaDyne Acquires San Antonio based RediFuel
February 10, 2015
RelaDyne, one of the nation’s leading providers of lubricants, fuel, diesel exhaust fluid (DEF), and industrial reliability services announced today that it has acquired Sunwell Corporation dba RediFuel. RediFuel, founded in 1991, is a San Antonio-based fueling services company providing fuel products and services to reliability-centric customers.
RediFuel is a natural addition to RelaDyne’s reliability focused business model. RediFuel supplies the fuel to most of the data centers, hospitals, medical facilities, office buildings, and telecommunications infrastructure in San Antonio and Austin, Texas. RediFuel has built their business on strong customer relationships tied to excellent and reliable service.
John Sheesley and the entire sales and operations team of RediFuel will be staying with the company to ensure continuity for customers and employees. RediFuel will operate as a new location in RelaDyne’s gulf coast region. According to John, “RelaDyne is a great partner for the RediFuel business, as it gives our employees more opportunity to grow professionally and our customers a more robust offering while ensuring there is the consistent level of service they have come to expect from us. We are truly excited to be a part of the RelaDyne family and look forward to scaling the business in San Antonio, Austin and throughout the RelaDyne footprint.”
“RediFuel customers and associates are a great fit for RelaDyne. We look forward to growing together from the many opportunities this acquisition provides,” says Larry Stoddard, Chief Executive Officer for RelaDyne.
Jeff Hart, Executive Vice President of Business Development for RelaDyne, commented on the acquisition, “The acquisition of RediFuel is yet another example of how the RelaDyne platform can provide owners, employees and customers with more opportunity. RelaDyne continues to be the acquirer of choice for many companies in the fuel, lubricant and services business. RelaDyne brings capital, technology, resources, scale, and enhanced customer offerings that promote growth in the companies we acquire. This deal represents our third acquisition in 2015, and we anticipate closing significantly more acquisitions this year as we create a national platform in the industry.”
RelaDyne, headquartered in Cincinnati, Ohio, is an industry leading lubricant, fuel, and DEF distributor providing customers with integrated reliability management services for industrial and commercial businesses in the United States. RelaDyne was formed in 2010 by the combination of four industry leaders – Mid-Town Petroleum, Inc. (Bridgeview, IL), Oil Distributing Company (Cincinnati, OH), The Hurt Company, Inc. (Houston, TX) and Pumpelly Oil Company (Sulphur, LA). RelaDyne’s distribution platform spans 26 locations serving states in the Central US. In May 2014, RelaDyne’s industrial services business expanded with the acquisition of Turbo Filtration Corporation (TFC), enhancing their offering to key industrial customers throughout the US. The company also benefits from the support of its business-building financial partner, AEA Investors LP, which manages funds worth approximately $6 billion of invested and committed capital. For more information, visit www.RelaDyne.com.
The Flipside to the Downslide in Lubricant Prices
By Thomas F. Glenn
February 3, 2015
While price decreases were big news in the lubricants business in January 2015, there is an important back story about the higher cost and prices of some synthetics that needs to be told.
Price decreases started in 2015 when Chevron was the first to announce a general decrease in lubricant prices. Shell, ExxonMobil, Phillips 66, Valvoline, Castrol, Petro-Canada and others soon followed. The decreases were not a surprise to most lubricant marketers. In fact, many in the business anticipated decrease announcements in December 2014. This is because the price of crude was plummeting in the 4th quarter, base oil prices were dropping in response, and the highly visible price of gasoline was reaching levels not seen in years. With that, in the views of many lubricant marketers and end users, the pressure was on for majors and independents to respond accordingly by decreasing lubricant prices. And although it took a month longer than some expected, lubricant manufacturers did respond by announcing price decreases in January 2015. Most of these decreases, with effective dates in January and February, were in the area of 3 to 4%, which translates to roughly $0.35 to $0.45 a gallon.
But… an important point that may have been lost in the frenzy of the price decrease announcements is that not all lubricants are made from the same types of base oils. Because of this, while the industry was announcing decreases and price easing in white oils, API Group I, II and III, little notice was being made of continuing increases in Group IV (PAO) and Group V base fluids. As a result, while the prices of many lubricants were decreasing, the cost of lubricants made from Group IV (PAO) and Group V base fluids was on the rise.
One example is seen in the price of PAO which recently increased by close to 4%. Another is seen in the price of PAGs which marched up nearly every quarter in 2014. Adding to this are the ongoing increases in the price of nearly all types of esters.
So how is it that when the price of API Group I, II and III base stocks are decreasing and driving the price of many lubricants down that the cost of PAO and esters are increasing which in turn is driving the price of some synthetics lubricants up?
Part of the answer starts with an understanding that demand for PAO is increasing and supply is comparatively tight. Where many counted PAO out over a decade ago when Group III made its debut as a “synthetic,” demand for PAO for use in motor oils has increased to meet emission and fuel standards and regulations driving the movement towards higher performance lubricants with lower viscosities. This has resulted in increased demand for low viscosity PAOs.
While demand has increased, planned Normal Alpha Olefins (NAO) outages have had a negative impact on short-term supply of NAO feedstocks. As a result, PAOs have been on allocation worldwide for the better part of the past three years. Although plant de-bottlenecking has helped to elevate some of the shortfall in supply, supply continues to come up short of the growing demand for PAO.
And then there are the esters.
In general petroleum-derived products tend to follow crude prices, but for synthetic esters a different set of criteria govern the movement of the raw materials.
Synthetic ester raw materials closely track the movement of chemical feedstocks such as ethylene, propylene, butylene, and other specialized chemicals such as fatty acids. These raw materials, some of which are derived from crude oils and others from plant sources, have been on a rapid upward trajectory for the past two plus years. This has been driven by supply-demand conditions, with annual increases in high double digits, and cumulative increases approaching 40% over this period. Only recently have these increases moderated, but they are still climbing at a slower pace, in mid-single digits. Some of the specialized raw materials remain in tight supply with continued tightness for the foreseeable future. Much of this is coming from the suppliers of these specialized chemicals, and it is unlikely there will be significant decreases in the costs of these raw materials in 2015.
In addition to upward price pressure from the higher cost of the raw materials, increased demand for esters is also putting pressure on prices. Increasing use of esters in Food Grade applications and the need to use these stocks in applications requiring ever increasing higher temperature performance further enhances their value where there are fewer alternatives and once again demand may exceed supply leading to higher pricing. The so called “True” synthetic lubricants utilizing Group IV and higher quality base fluids may not require as many additives as petroleum counterparts, but many of these additives are increasing in costs and not decreasing as crude prices are doing.
So at the end of the day, whereas some might conclude that the price of all lubricants should decrease when the price of crude drops like a rock, there is more to the story when speaking about the cost and price of some synthetic lubricants. This is because the raw materials required to make some synthetics are distantly or not at all connected to the price of crude.
The end result is that when a buyer is expecting lower lubricant prices due to significant drops in the price of crude, it’s important to understand that not all lubricants are made from the same raw materials. Now, more than ever, price increases need to be justified and customers are expecting full documentation on the driving factors behind those increases. At the same time margins will suffer for those blenders that have customers that will simply not accept increases.
Never before have blenders of high-performance synthetic industrial lubricants had to look so carefully at their formulations to see where they might be able to find some savings to preserve those margins and not have a negative effect on lubricant performance.
RelaDyne Rings in the New Year with Multiple Acquisitions
January 29, 2015
RelaDyne, one of the nation’s leading providers of lubricants, fuel, diesel exhaust fluid (DEF), and industrial reliability services announced today that it has acquired Fentress Oil Company (“Fentress”).
Fentress, founded in 1930, has been an independent distributor of lubricants, fuel and related products and services in Oklahoma for over three generations. This acquisition further establishes RelaDyne’s commitment to growth in the lubrication and fuel markets with a strong focus on expanding its industrial services and solutions.
From its inception, Fentress has been known as the most customer-focused lubricant and fuel distribution business in Oklahoma with a strong reputation for service. Former owners, Si Fentress and Randy Perry, managed the business for industrial, commercial and automotive customers in Oklahoma. Fentress has three strategically located facilities in Oklahoma City, Tulsa and Ada, Oklahoma, ideal for servicing the Oklahoma market. The acquisition of Fentress is contiguous with RelaDyne’s Gulf Coast region, which includes Texas, Louisiana and Arkansas.
Si Fentress, Randy Perry, and the entire sales and operations team will be staying with the company to ensure continuity for customers, employees and suppliers. Fentress will operate as a new hub for RelaDyne with former owner, Randy Perry, as the branch manager going forward. According to Randy, “RelaDyne is a great fit for the Fentress business. The combination of these two market leaders will benefit our employees, customers, and suppliers as well as the great state of Oklahoma. We are excited to be part of the RelaDyne family and look forward to scaling the business in Oklahoma.”
“I welcome the customers and associates of Fentress Oil Company to the RelaDyne family and look forward to the opportunities this great event affords them!” says Larry Stoddard, Chief Executive Officer for RelaDyne.
Jeff Hart, Executive Vice President of Business Development for RelaDyne, commented on the acquisition, “The acquisition of Fentress represents an ideal acquisition candidate for RelaDyne in that it possesses quality people, an outstanding reputation, and is strategically located in a market that is new territory for us. RelaDyne brings the necessary components to fuel significant growth for Fentress in Oklahoma. These components include capital, technology, resources, scale, and enhanced customer offerings. We are excited to see what the team in Oklahoma can do with more ammunition at their disposal. This deal represents the 13th acquisition since RelaDyne’s inception in 2010, and we anticipate a significant increase in our pace and efforts as we create a national platform in this industry.”
In addition to the Fentress acquisition, RelaDyne also acquired the business of Greg Wright Supply in northern Indiana in order to expand its products and services reach. This acquisition closes the geography gap between the Chicago/northwest Indiana and Indianapolis markets. RelaDyne welcomes the Greg Wright team to the RelaDyne
RelaDyne, headquartered in Cincinnati, Ohio, is an industry leading lubricant, fuel, and DEF distributor providing customers with integrated reliability management services for industrial and commercial businesses in the United States. RelaDyne was formed in 2010 by the combination of four industry leaders -Mid-Town Petroleum, Inc. (Bridgeview, IL ),Oil Distributing Company (Cincinnati, OH), The Hurt Company, Inc. (Houston, TX) and Pumpelly Oil Company (Sulphur, LA). RelaDyne’s distribution platform spans 26 locations serving states in the Central US. In May 2014, RelaDyne’s industrial services business expanded with the acquisition of Turbo Filtration Corporation (TFC), enhancing their offering to key industrial customers throughout the US. The company also benefits from the support of its business-building financial partner, AEA Investors LP, which manages funds worth approximately $6 billion of invested and committed capital. For more information, visit www.RelaDyne.com.
More Price Decreases
January 29, 2015
Royal Mfg Co, LP located in Tulsa, OK and Schertz, TX, manufacturer of high quality and high performance lubricating oils and greases announces a substantial price decrease of approximately $1.00 per gallon on most finished products. The decrease went into effect January 19, 2015.
Bill Mallory, owner and CEO of Royal Mfg says, The recent price decreases in base oils is causing our decrease and Royal is passing along the decrease to our customers and prospects. Adding to this, Mallory says, “This decrease is considerably more than some of the major oil companies have announced that range of $0.35 to $0.50 a gallon.”
Petro-Canada announced there will be 3-5% across the board book price decrease for white oils and process oils, and up to a 3.5% book price decrease for all other products. The decrease is effective Monday, February 2, 2015.
Amalie Promotes Mitchell to VP National Accounts
January 29, 2015
Amalie Motor Oil company announces the promotion of Larry Mitchell to vice president of national accounts.
Mitchell joined Amalie as the national accounts manager in 2012 and during the past three years has aggressively led the expansion efforts of private label and branded products sold through national chains and large retailers.
“Larry exemplifies our company culture through his work ethic and desire to lead,” said Senior Vice President Dennis J. Madden. “He’s earned this promotion and we’re pleased to reward his hard work, effort and results.”
Castrol and Valvoline also Move Prices Down
January 16, 2015
Castrol Lubricants NA advised its marketers it will reduce prices up to 3.5% on some passenger car, commercial lubricants and ancillary products. This change is effective February 16, 2015.
Valvoline also announced it will decrease lubricants prices by up to 3.5%, effective February 2, 2015.
Summary of Major Moves
January 16, 2015
The following is a summary of price decreases majors have announced for finished lubricants so far this year. Although Chevron was first to announce a decrease, as shown below, Shell will lead the decreases with an effective date of January 19, 2014.
ADD SHELL TO THE LIST
January 13, 2015 – Evening Edition
In Addition to Chevron, Exxon, Phillips 66, you can now add Shell to the List of Majors Announcing a Price Decrease.
SOPUS Products (Shell) announced today that it will implement a price decrease of up to 3.5% on finished lubricants. The decrease is effective January 19, 2015.
ExxonMobil and Phillips 66 Follow Chevron with Price Reductions
January 13, 2015
As reported in the December 19, 2014 issue of JobbersWorld, Chevron was the first to announce a decrease in the price of finished lubricants in 2014.
This came as no surprise to most in the industry in that the price of crude had dropped to levels we have not seen in decades. What was a surprise to many was how long it took for lubricant prices to respond to plummeting price of crude. Whereas it may have taken more time than many expected, it appears the time has arrived.
Chevron was the first to move when it announced a general posted price decrease for our lubricants, gear oils and greases by up to 3.5% for most SKU’s, effective February 6, 2015.
You can now add ExxonMobil and Phillips 66 to the list of majors announcing a price decrease on finished lubricants.
– ExxonMobil announced that effective February 2, 2015, it will decrease the price of branded and unbranded lubricants and greases by up to 3.5%. This decrease, however, reportedly does not impact aviation product prices. In fact, the price of some of its aviation lubricants will increase on February 16, 2015.
– Phillips 66 announced that it will decrease the price of most of its finished lubricants by up to 4.5%. This decrease is effective February 2, 2015.
This should be an interesting week!