According to sources, ExxonMobil was the Group I producer who had initiated the latest round of bright stock increases by lifting prices 10 cents/gal April 15, only a month after a previous increase of 10 cents was implemented by four Group I producers in the U.S.

While there have not been any other price adjustments this week – and the market may remain quiet as participants head to the ILMA Management Forum in Tucson, Ariz., this week – most players are tracking the supply of the heavy-viscosity grades such as Group I SN500 to SN700 and Group II 600N very closely, as availability is balanced to tight, sources explained.

A similar situation is mirrored in Europe and Asia, with numbers for the heavy-vis cuts edging up in those regions and prompting higher export prices for U.S. product.

Suppliers said they had received calls from buyers and traders looking for extra spot availability of these grades, as some producers are not in a position to offer extra volumes beyond those agreed under contract.

Strengthening crude oil prices offered additional support to the steeper price indications. Energy analysts believe that the worst is over for oil prices and that values are recovering.

Many compared what happened to oil prices last year to crude’s dramatic decline in 2008, when it lost nearly 80 percent of its value, and then staged a rally in 2009. Some insiders suspect that crude oil jumping above $54 per barrel this week – the highest level futures had reached in recent months – is a sign that numbers could bounce into the $60s per barrel range soon, according to an article in Yahoo Finance.

However, oil prices remain volatile, and fell slightly on Tuesday after Saudi Arabia announced the end of its military campaign in Yemen.

West Texas Intermediate (WTI) futures settled on the CME/Nymex at $55.26 per barrel on April 21, up by $1.97 per barrel from a settlement at $53.29 per barrel on April 14.

Brent crude was trading around $62.08 per barrel on the CME on April 21, up $3.65 per barrel from $58.43 per barrel a week ago.

In industry news, hazardous materials crews rushed to the Chevron refinery in Richmond, Calif., and a health advisory was issued after reports of flaring at the facility on Monday.

Chevron explained on Twitter that there was some visible flaring to allow for equipment de-pressuring. Flaring is a part of refinery operations.

County officials continue to monitor conditions around the refinery, but the flaring, which was due to the unplanned shutdown of a refinery unit, has since ended.

The Richmond refinery houses a base oil plant that can produce 20,700 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.