Japan’s base oil production for April fell 20 percent compared to the same month last year, according to data recently released by the country’s Ministry of Economy, Trade and Industry.
Stated-owned Thai Oil Group’s base oil business reported a major increase in net profit on lower sales revenue in the first quarter.
Base oil production in China has largely returned to normal levels, but demand in other parts of the world is still down significantly because of the Covid-19 pandemic and may not recover much until late in the year, according to industry insiders and an analyst speaking at a webinar Wednesday.
Chevron Lubricants Lanka Plc reported sharp declines in profit and sales for the quarter ending March 31, compared to the same period a year ago.
As China slowly reopens its economy, domestic lube suppliers see survival at the top of the agenda and are using promotional events and new distribution channels in attempts to jump start sales.
GS Caltex reported increased operating profit for its base oil and lubricant business, and KH Neochem Co. poster lower operating profit for its performance materials segment, which includes raw materials for refrigeration lubricants, for the first quarter. Meanwhile, 2019 financial year profit was up for lubricant company Yushiro Chemical Industry.
The Malaysian state of Sabah allowed palm oil plantations and mills to reopen last month after setting conditions aimed at preventing the spread of Covid-19.
Among South Korea’s large base oil refiners, S-Oil and Hyundai Shell Base Oil both posted large increases in operating profit for the first quarter, while profits were down in the quarter for SK Lubricants.
GP Petroleums Ltd. and Gulf Oil Lubricants India Ltd. announced the reopening of blending plants in India, after receiving permission from local authorities to operate under guidelines in accordance with Covid-19 safety precautions.