POWER SOLUTIONS: Engen A Major Player In Transformer Oil
Recent Western Cape Business News
ENGEN Lubricants have completed a R5 million investment to upgrade their transformer oil blending facilities. This investment has been undertaken in anticipation of a future growth in the transformer oil market.
Adnaan Emeran, lubricants marketing manager says the future growth will be spurred by Eskom’s capital expansion programme and its increasing need for transformer oil.
“As Eskom continues its capacity build programme, and undertakes wholesale refurbishment of its enormous transformer population, it will require more transformer oil to operate its equipment,” says Emeran.
“As Engen is a significant supplier of transformer oil in South Africa, our transformer oil business could soon take on even greater significance within the Engen Lubricants stable with Eskom’s increasing demand.”
Emeran adds that further prospects for expansion loom as Engen prepare to take their strong co-sourcing capability into Sub-Saharan Africa, which it is believed, will account for most of Engen’s growth in years to come. Engen Lubricants is the sole supplier of India-based APAR Industries transformer oils.
In 2006, Engen Lubricants signed an exclusive supply agreement with APAR Industries of India, a globally accepted supplier with 50% of India’s market share and the capacity to produce technically superior transformer oils in high volumes.
This association has ultimately led to Engen’s repositioning as a major supplier of a full range of high-quality transformer oils that meet all the latest global and equipment builder specifications.
Engen has dedicated facilities in Durban for the bulk import, storage and blending of various grades of transformer oils.
Emeran indicates that, while other marketers import only finished product, Engen has the flexibility to blend product locally for different market requirements and customer/manufacturer specifications.
Engen’s plant currently produces Power-oil Transformer Oil 1020 uninhibited oil.
Poweroil transformer oils are made from carefully selected naphthenic-base oils, produced using wax-free, low-sulphur naphthenic crude, along with selected base stocks that are refined to meet stringent international and local specifications.
Further, it is expected that, in the near future, Engen will also produce inhibited oils, in the form of Poweroil Transformer Oil 1020, for use in heavy-load transformers which operate at high temperatures.
Since conclusion of the agreement APAR Industries in 2006, throughput has more than doubled every year.
“This achievement is all the more remarkable considering that the corrosive sulphur and other quality related issues has turned the transformer oil market on its head overnight,” says Emeran.
“Until quite recently considered a commodity product, transformer oil became the target of some major quality assurance revisions in the last five years.”
Engen’s lubricants plant has the capability to produce 10Mt of transformer oil per hour.
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