Shell to be BMW Group's Recommended Oil Supplier

DUBAI, UAE, June 10, 2015 /PRNewswire/ --

Shell premium engine and motorcycle oils to be supplied for BMW service-fills in more than 140 countries 

Shell today announces that it has been chosen by BMW AG as its only recommended global supplier for aftermarket engine oils for the following BMW brands: BMW, BMW i, BMW M, MINI and BMW Motorrad.

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From the start of 2015, premium engine oils manufactured by Shell will be available to customers at BMW Group's network of more than 3,500 dealers, in more than 140 countries, including China, Germany, Russia, South Africa, South Korea, the UK and the USA.

The collaboration means that Shell will produce and supply BMW's branded engine oils. These products will meet the latest BMW engine specifications and are underpinned by Shell's PurePlus Technology. Shell PurePlus Technology is a breakthrough in how engine oils are formulated. It is a patented gas-to-liquid (GTL) process, developed over 40 years of research, which converts natural gas into a crystal-clear base oil.

Base oil, usually made from crude oil, is the main component of finished oils and plays a vital role in the quality of the finished engine oil. The base oil is produced at the Pearl GTL plant in Qatar, a partnership between Shell and Qatar Petroleum. From 2015, BMW service customers benefit from the integration of Shell's global lubricants supply chain with its gas value chain in Qatar.

Mark Gainsborough, Executive Vice President for Shell Lubricants, said: "We are honoured to become the BMW Group's recommended supplier of aftermarket engine oil. We look forward to jointly supplying, distributing and marketing these oils, as of start 2015."

"This is recognition of the benefits of Shell's engine oil expertise and cutting-edge technology by one of the world's leading premium manufacturer of automobiles and motorcycles. This includes an acknowledgment of the value of our most recent innovation: Shell PurePlus Technology for premium engine oils."

"This deal brings two leading brands together to offer the best of performance and technology to BMW service customers. Both companies have a very strong commitment to premium products and services, giving us much in common."

NOTES TO EDITORS 

• Aftermarket or service-fill oils refers to any oils put in any vehicles such as a car or motorcycle, during the after-sales service for the general upkeep of a vehicle in its lifetime.
• Genuine (parts) Oils are OEM (Original Equipment Manufacturer) owned branded oils such as Original BMW, Motorrad and MINI Engine Oils. They are specially formulated to meet specific needs of a given OEMs different vehicle components. 
• The motor oil industry is moving towards increased use of synthetic oils over mineral oils because of the improved performance benefits offered in line with stringent emission regulations and fuel efficiency demands. Synthetic oils are manufactured from crude oil or gas using advanced chemical processes. This is in contrast to mineral base oils, which are complex mixtures of naturally occurring hydrocarbons found in crude oil.  
• Base oil produced using Shell PurePlus Technology is a high-quality API Group III synthetic base oil. This innovative component provides a superior molecular structure which can help to: extend engine life, reduce maintenance costs, reduce oil consumption, maintain fuel economy and enable better cleanliness.
• Shell's world-class engine oil technology has enabled the development of oils that improve performance, help to improve fuel economy and extend engine life. Oils with lower viscosity can help lower fuel consumption, but they must also provide the right levels of engine protection and durability. Premium engine oils, containing Shell PurePlus Technology and proprietary advanced additive technology, are specifically designed to allow drivers to get the most from their modern engines. 
• Shell provides global accessibility to its leading products with a strong global lubricants supply chain network of 9 base oil manufacturing plants, 50 lubricant blending plants and 18 specialist grease plants. To provide Shell PurePlus Technology enabled motor oils around the world, Shell integrated its supply chain with its gas value chain in Pearl GTL, Qatar. This world-scale facility is the largest source of GTL products and the only commercial source of GTL base oil today.  

ABOUT SHELL LUBRICANTS 

The term "Shell Lubricants" collectively refers to Shell Group companies engaged in the lubricants business. Shell sells a wide variety of lubricants to meet customer needs across a range of applications. These include consumer motoring, heavy-duty transport, mining, power generation and general engineering. Shell's portfolio of lubricant brands includes Pennzoil, Quaker State, Shell Helix, Shell Rotella, Shell Tellus and Shell Rimula.  We are active across the full lubricant supply chain. We manufacture base oils in eight plants, blend base oils with additives to make lubricants in over 50 plants, distribute, market and sell lubricants in over 100 countries. 

We also provide technical and business support to customers. We offer lubricant-related services in addition to our product range. These include: Shell LubeMatch -the market leading product on-line recommendation tool, Shell LubeAdvisor - helps customers to select the right lubricant through highly trained Shell technical staff as well as online tools, and Shell LubeAnalyst - an early warning system that enables customers to monitor the condition of their equipment and lubricant, helping to save money on maintenance and avoid potential lost business through equipment failure. 

Shell's world-class technology works to deliver value to our customers.  Innovation, product application and technical collaboration are at the heart of Shell lubricants. We have leading lubricants research centres in China, Germany, Japan (in a joint venture with Showa Shell), and the USA.  We invest significantly in technology and work closely with our customers to develop innovative lubricants. We have a patent portfolio with 150 + patent series for lubricants, base oils and greases; more than 200 scientists and lubricants engineers dedicated to lubricants research and development. 

Customer benefits include lower maintenance costs, longer equipment life and reduced energy consumption. One of the ways we push the boundaries of lubricant technology is by working closely with top motor racing teams such as Scuderia Ferrari. These technical partnerships enable us to expand our knowledge of lubrication science and transfer cutting-edge technology from the racetrack to our commercial products. 

Cautionary note  

The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate entities. In this announcement "Shell", "Shell Group" and "Royal Dutch Shell" are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words "we", "us" and "our" are also used to refer to subsidiaries in general or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies. "Subsidiaries", "Shell subsidiaries" and "Shell companies" as used in this announcement refer to companies in which Shell either directly or indirectly has control, by having either a majority of the voting rights or the right to exercise a controlling influence. The companies in which Shell has significant influence but not control are referred to as "associated companies" or "associates" and companies in which Shell has joint control are referred to as "jointly controlled entities". In this announcement, associates and jointly controlled entities are also referred to as "equity-accounted investments". The term "Shell interest" is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in a venture, partnership or company, after exclusion of all third-party interest.

This announcement contains forward looking statements concerning the financial condition, results of operations and businesses of Shell and the Shell Group. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Shell and the Shell Group to market risks and statements expressing management's expectations, beliefs, estimates, forecasts, projections and assumptions. These forward looking statements are identified by their use of terms and phrases such as "anticipate", "believe", "could", "estimate", "expect", "goals", "intend", "may", "objectives", "outlook", "plan", "probably", "project", "risks", "seek", "should", "target", "will" and similar terms and phrases. There are a number of factors that could affect the future operations of Shell and the Shell Group and could cause those results to differ materially from those expressed in the forward looking statements included in this announcement, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell's products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments including regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; and (m) changes in trading conditions. All forward looking statements contained in this announcement are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward looking statements. Additional factors that may affect future results are contained in Shell's 20-F for the year ended 31 December 2013 (available at http://www.shell.com/investor  and http://www.sec.gov ). These factors also should be considered by the reader. Each forward looking statement speaks only as of the date of this announcement, 10 June 2015. Neither Shell nor any of its subsidiaries nor the Shell Group undertake any obligation to publicly update or revise any forward looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward looking statements contained in this announcement.

SOURCE Shell MECASTAN