News of posted price decreases poured through the U.S. base oil marketplace this week. First out of the chute with a price notification was ExxonMobil, but other API Group I producers including HollyFrontier, Paulsboro Refining and Calumet quickly followed suit. All these suppliers announced reductions of between 10 cents and 15 cents per gallon. Sources indicated that the adjustments were not surprising, as downward pressure had gained momentum over the past several weeks due to waning demand for these grades.
Direct customers of ExxonMobil said that the major lowered its Group I postings on Monday, Oct. 24. Solvent neutrals 100, 150 and 330 were dropped by 10 cents/gal and 600 neutral and bright stock by 15 cents/gal.