Tupras, Turkey’s sole producer of virgin API Group I base oils, reported second-quarter earnings ahead of forecasts, supported by stronger production and sales volumes, the company said in its quarterly presentation.
Turkey’s base oil market as a whole, including Groups I, II and III, has grown moderately but consistently in recent years. One market forecast projects demand rising from about 1.24 million tons in 2024 to roughly 1.31 million in 2025.
The company’s base oil unit is located at its Izmir refinery on the Aegean coast and has capacity of 400,000 metric tons per year.
Production reached 7 million metric tons, 4% above forecasts, while sales of 7.6 million tons exceeded projections by 9.3%. The company’s net refining margin rose to $5.30 a barrel from $4.50 in the first quarter, though slightly below last year’s level.
Inventory gains, higher yields of white products and monetary income boosted pre-tax profit while narrower crude price spreads and higher energy costs limited margins.
On the flip side, overall sales volumes fell by 3% due to weaker demand from abroad, with export volumes down hefty 21%. Net sales revenue was TRY 183.16 billion, which was down 29% from a year earlier.
The company does not publicly disclose the amount of base oil it produces and sells. Tupras’s broader 2025 figures include an aggregate 7 million tons of production and 7.6 million tons of total product sales in the first half of 2025. However, these numbers encompass all refined products, not just base oil.