SK Lubricants posted a fourth-quarter operating profit of 71.4 billion South Korean won (U.S. $65 million), up 26.4 percent from 56.5 billion won in 2013s fourth quarter. For the full fiscal year, operating profit reached 290.3 billion won, up 86.3 percent from 155.8 billion won for 2013.
Revenue for the fourth quarter reached 799.1 billion won, up 8.7 percent from 735.5 billion won a year earlier. For the full year 2014, revenue reached nearly 3 trillion won, up from 2.8 trillion during 2013.
In its quarterly earnings presentation, the company said it expects higher demand for API Group III base oil as eco-friendly and high-efficient needs grow.
SK operates a 40,000 barrel per day API Group II/III base oil facility at its refinery complex in Ulsan, South Korea. That includes a 26,000 b/d joint venture base oil plant built by SK Innovation and JX Nippon Oil & Energy, launched in May 2012.
SK Lubricants also has a joint venture plant with Pertamina in Dumai, Indonesia, with 10,000 b/d of Group III capacity.
The company partnered with Repsol in Cartagena, Spain, on an approximately 13,000 b/d Group II/III base oil plant that began production in October 2014.