Prices for base oils remain bullish this week after further increases to crude and feedstock values. Buyers throughout Europe, the Middle East and Africa expressed resignation base oil prices still face upward pressure since they have not yet caught up to crude levels.
Dated deliveries of Brent crude oil rose some $3 against last week’s level to post at $78.40 per barrel yesterday for July front month. West Texas Intermediate crude, however, increased by only around $1 to $71.10/bbl for June settlement. That $7/bbl spread is the widest in a couple years. ICE LS gas oil is again firmer at $685 per metric ton, now for June front month.