Also in the Group I category, HollyFrontier lifted the posted price of its bright stock by 10 cents/gal on March 16.

Similarly, Paulsboro Refining will increase its bright stock by 10 cents/gal, with an effective date of March 18.

The revisions are reflected in the posted price table below and are said to be the result of a tightening supply/demand balance of the heavy-viscosity cuts — bright stock in particular – against improved market activity. “Orders have been solid,” a supplier confirmed.

On the other hand, buyers said that they had not encountered any difficulties in finding all the spot volumes they needed, with the exception of one or two cuts, which they agreed had become snug.

A number of base oil cargoes are also on the water to India, and traders were heard to be working on further opportunities to export U.S. base oils, but the market did not appear to be as flush with product as two months ago, sources explained.

In the Group II segment, Chevron implemented a 20 cent-per-gallon increase on its 100R, 220R and 600R oils on March 11.

Market players were slightly surprised – and buyers relieved – that no other Group II producers had revised posted values, following Chevron’s price move.

However, a number of sources speculated that, aside from undefined market dynamics, further base oil price revisions had been discouraged by fresh drops in crude oil pricing – at least for the time being.

West Texas Intermediate futures fell on expectations that Saudi Arabia would increase crude oil production to support the expansion of the country’s refineries. U.S. stockpiles also continue to rise, exacerbating the global supply glut. Crude futures advanced for two weeks in late February, but have retreated to the lowest levels since March 2009.

WTI futures settled on the CME/Nymex at $43.46 per barrel on Mar. 17, down $4.83 per barrel from a settlement at $48.29 per barrel on Mar. 10.

Brent crude was trading around $53.51 per barrel on the CME on March 17, down $2.88 per barrel from $56.39 per barrel a week ago.

There were no price changes on the naphthenic side of the business, with demand described as largely steady and availability considered to be more than adequate to cover current requirements.

In other industry news, a tentative national agreement to end the strike initiated by the United Steelworkers Union (USW) on Feb. 1 at 12 U.S. refineries is being discussed at eight plants as workers and companies are negotiating local issues, according to media reports.

The deal reached last week by the USW and industry negotiator Royal Dutch Shell Plc is initially likely to be approved at four plants owned or co-owned by Shell.

Workers at these plants, which include three Motiva refineries, have scheduled or are expected to hold votes this week to ratify the agreement, and workers could return to the plants next week if the agreement is approved.

The strike has not had any direct impact on Motiva’s base oil production at its Port Arthur, Texas, plant, which can manufacture 40,300 barrels per day of Group II oils.

Historic U.S. posted base oil prices and WTI and Brent crude spot prices are available for purchase in Excel format.