Allegheny: Bigger, Better, Faster

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Allegheny Petroleum Products Co. is nearly doubling the size of its Ambridge, Pa., facility, to make way for more blending and faster filling.

The Wilmerding, Pa. – based lubricants and additives supplier has expanded its Ambridge site in stages, from its original 12,000 square feet to 40,000 sq. feet, and now 75,000 sq. feet – installing a new blending tank, high-speed filling lines for drums and five-gallon pails and three additional loading docks.

Over the last several years, [Allegheny Petroleum has] acquired a lot of drum-filling business, both for its own products and from outside clients [including government contracts], and needed additional equipment to accommodate customers, President James Kudis told Lube Report.

The expansion also allows for a new solubilizing unit for viscosity index improvers, an in-line homogenizer and a heat exchange unit, as well as additional office space.

With three new loading docks, Allegheny hopes to triple its loading speed, reducing manpower needs in that part of the business by around 30 percent. However, that reduction will be offset because of an increase in business due to several newly acquired contracts, according to Vice President Barbara Kudis. The site employs 23 employees and has 15 temporary jobs which may turn into full-time positions.

The company has not disclosed the cost of the Ambridge expansion, but said its seeking grants to help fund the cost of purchasing – rather than leasing – the additional space.

Allegheny has added around 100,000 gallons of blending capacity in the last year, James Kudis added, to total around 40 million gallons per year at its Ambridge, Pa., Wilmerding, Pa., and Boonville, Ind., blending facilities. It will also add 10 million g/y at its Angleton, Texas, facility, which it hopes to have running at full capacity later this year.

Its next location will be in Jamaica, Kudis added, alluding to a possible joint venture with its Jamaican distributor, Paramount Chemicals, to set up a blending plant and retail network there.

Allegheny manufactures automotive and industrial lubricants, metalworking fluids, greases, and lubricant and fuel additives.