IRVING, Texas--(BUSINESS WIRE)--
ExxonMobil has completed the acquisition of PT Federal Karyatama (FKT), one of Indonesia’s largest manufacturers and marketers of motorcycle lubricants, from PT Mitra Pinasthika Mustika Tbk. and its affiliate. The acquisition, first announced in April, includes the Federal Oil brand and a 700,000 barrel per year blending plant in Cilegon, Indonesia.
The acquisition of FKT and its distribution network, which is supported by about 40 dealers, 3,200 Federal Oil centers and more than 10,000 retailers in Indonesia, strengthens ExxonMobil’s position in a key growth market and will contribute to building the Mobil lubricant brand in Indonesia.
“Indonesia is one of the fastest growing lubricants markets in Asia,” said Russ Green, vice president of ExxonMobil Finished Lubricants. “Federal Oil’s expertise in motorcycle lubricants complements the Mobil lubricants offer in other sectors where ExxonMobil has significant experience, which will help us continue to grow and better serve our customers in Indonesia.”
ExxonMobil will manage both the existing Indonesian Mobil-branded lubricants business and the FKT business.
“Federal Oil is a quality brand with a long history in Indonesia,” said Louise M. McKenzie, president of ExxonMobil Indonesia. “The knowledge and experience of FKT employees and distributors will play a key role in achieving our lubricants business’ objectives in the region.”
Subsidiaries of ExxonMobil and its predecessors have operated in Indonesia for more than 120 years, and have invested more than $23 billion in the country since 1979. Ninety-seven percent of ExxonMobil’s more than 800 employees, which now include FKT employees, are Indonesian.
ExxonMobil, the largest publicly traded international oil and gas company, uses technology and innovation to help meet the world’s growing energy needs. ExxonMobil holds an industry-leading inventory of resources, is one of the largest refiners and marketers of petroleum products, and its chemical company is one of the largest in the world. For more information, visit www.exxonmobil.com or follow us on Twitter at www.twitter.com/exxonmobil.
Exxon Mobil Corporation (XOM) has numerous affiliates in Indonesia, names that include ExxonMobil, Exxon, Esso, and Mobil. For convenience and simplicity in this release, those terms are used as abbreviated references to specific affiliates or affiliate groups.
Statements of future events or conditions in this release are forward-looking statements. Actual future results, including business plans and growth, could differ materially due to factor such as changes in oil, gas and petrochemical prices and other market conditions affecting markets for lubricant products; future economic conditions in the relevant markets; the outcome of commercial negotiations; the actions of competitors; changes in political or regulatory conditions; unforeseen technical or operating difficulties; and other factors discussed under the heading Factors Affecting Future Results on the Investors page of our website at www.exxonmobil.com.