O'Fallon, MO (KSDK) - Shell Lubricant will be closing their St. Louis regional distribution center in O'Fallon, Missouri, and their Wood River Blending Plant in Roxana, Illinois.
The distribution center will close by the end of 2012, and the plant will close by the end of 2013. A packaging operation for the plant will also be closing by the end of 2012.
The plant was leased from ConocoPhillips, and the lease was not renewed. The distribution center handled products from the plant and will no longer be needed.
Around 100 people are expected to be laid off.
Shell Lubricants released the following statement to NewsChannel 5:
"As the US market leader, Shell Lubricants must ensure our facilities are equipped and located to support our customers and long-term growth. So, today we shared with our employees at the Wood River Blending Plant that we will be closing, due to its need for major upgrades and given we do not own this site. With this news, we will also close our St. Louis regional distribution center, as it is no longer optimally located to support our business. Given the investments we are making to other parts of our supply chain, we can serve customers through those facilities in and outside of our network. Shell is supporting our affected employees to apply for other roles within the company and offering those who do not find a position a competitive severance package."
KSDK