Indian Oil and Golchha Group Sign Joint Venture Investment Agreement to Manufacture Servo Lube Blending Plant in Nepal

Kathmandu, June 2: A Joint Venture Agreement was signed between Golchha Group (HH & Co.), Nepal, and Indian Oil Mauritius Limited (IOML), Indian Oil’s wholly-owned subsidiary, to erect a state-of-the-art lube blending plant for local production of SERVO lubricants in Nepal. The JV will also explore the possibility of investment in other energy sectors, including waste to energy.

The Lube Blending Plant is expected to be ready by the end of 2024. In this industry, both companies are equal 50:50

A joint investment agreement has been reached. Under the first phase of this joint investment, the official capital investment will be approximately 600 million.

Speaking about the agreement, Shekhar Golchha, Chairman and Managing Director of Golchha Group, said, “We are thrilled to announce the commencement of a significant partnership with Indian Oil, India's largest company. This marks the beginning of a remarkable journey for us at Golchha Group, as we embark on our first joint venture. This milestone collaboration signifies a pivotal moment in the history of Nepali industrialists and the industrial landscape of our nation. The establishment of the plant is just the initial step in our extensive plans to foster further industrial growth and expansion. We express our utmost enthusiasm for this alliance and look forward to a prosperous and successful partnership with Indian Oil.”

The Joint Venture envisions future expansions, strategic partnerships, and diversification of product lines to meet the evolving needs of Nepal's growing energy needs and join hands in Nepal's growing economy.

The partners are dedicated to fostering regional economic growth, promoting self-reliance, and driving technological advancement in alternative energy, waste to energy, etc. The formation of the JV for erecting a lube blending plant in Nepal marks a significant milestone in realizing the vision of 'Made in Nepal' and advancing technology in the lubricant industry. Moreover, it signifies the partners' shared commitment to sustainable development, clean energy and responsible business practices.