Lubham Oil and Grease Company was opened on Tuesday in Gelan town of the Oromia Special Zone, which is located some 37 on south east of Addis. Nastech Petroleum, the owner of Lubham Oil and Grease Company, which is currently investing in Ethiopia, is looking for future expansion of the factories with the aim of boosting the automobile industry, according to Eng. Nazar Ibraheim Omar, chairman and CEO of Nastech Petroleum.
The Sudanese-based petroleum firm is known to have an oil investment in the United Arab Emirates and Ethiopia and has attracted the firm to invest a non-existing type of investment. "We believe Ethiopia catches eyes for investment and this is what we thought the best way to enter it is," the chairman said.
Mebrhatu Melis (Ph.D.), state minister of Industry acknowledged the investment made by Nastech Petroleum that would inspire many to engage in the automobile industry. Mulugeta Kebede, mayor of the Gelan town said that the company would bring in variety as the town hosts a number of firms engaged in commodity production. Moreover, it will encourage other giant companies to invest in the industry town. "This company has invested millions of dollars and is hiring the local labor force," he said.
Lubham Oil and Grease Company commenced with an initial investment of USD 10 million and hundreds of labor from the locality. It is also one of the 276 investments in Gelan town.