Although U.S. base oil refiners opened 2012 on an upward surge, their monthly output started to wobble in the summer and then proceeded to lose momentum until the year finally drew to its close. By then, U.S. base oil refineries had produced a total 57.6 million barrels of base oil, according to statistics recently released by the U.S. Energy Information Agency. Thats 7 percent below the 62 million barrel mark hit in 2011, and 4 percent less than the 60.2 million barrels refined in 2010. (Still...

Rerefining capacity in the United States is projected to increase from less than 800,000 metric tons per year in 2012 to more than 1.2 million metric tons by 2017, according to Kline & Co. The U.S. rerefining industry is poised to take off, with big growth expected in the used oil business, said Anuj Kumar, project lead for Klines Energy Practice, during a webinar March 5 based on Klines first comprehensive analysis of the used oil and rerefined lubricant market in the United States. The st...

Shell plans to open a new lubricants technical center in Shanghai, China, in 2014, driven by the companys growing lubricants business in the country. Our lubricants business in China has expanded so quickly that there is a need for greater technical research and service capacity in the country, a Shell spokesperson told Lube Report. In response to this need, we plan to build a new, larger technical center in Shanghai to be opened in early 2014. In August 2011, the company opened its first China...

Idemitsu Kosan of Japan projects that 85 percent of new income in its functional products division – which includes chemicals and agri-bio products – will come from increased lubricants sales. Earlier this month, Japan-based petroleum company Idemitsu Kosan announced its medium-term management plan for the next three years (fiscal years 2013-2015). Idemitsu has been successful over the past three years with returns on investment nearing 10 percent and revenue steadily increasing fro...

In a bid to strengthen its presence in the Russian lubricants market, Gazprom Neft-SM recently introduced a new line of automotive lubes using its nationally established Gazpromneft brand. The brand, previously used only for industrial oils, has been expanded to synthetic, semi-synthetic, and mineral automotive lubes for passenger cars and light trucks with gasoline and diesel engines, as well as to gear oils, greases and specialty fluids. Gazprom Neft-SM is the lubricants arm of Russian oil ma...

The United Nations Security Council recently strengthened sanctions against North Korea, adding perfluorinated lubricants to its list of prohibited items in part because of its resistance to a type of gaseous uranium compound. The scope of the sanctions was expanded in response to the countrys third nuclear test on Feb. 12, according to a Security Council statement earlier this month. In the effort to prevent direct or indirect supply of all banned items to North Korea, the Security Council gra...

Base stocks from Shell and Qatar Petroleums joint-venture GTL refinery in Qatar are beginning to make inroads into the process oils market. Shell announced an agreement to supply new Risella X process oils to a German company that will use them to make premium thermoplastic elastomers. Risella X process oils are made with gas-to-liquids base stocks from Shell and Qatar Petroleums joint-venture GTL refinery in Qatar. The German company, Kraiburg TPE, called the new elastomers a pioneering advan...

There has not been any great change to the situation in the U.S. Gulf, while some of the European routes reported reduced activity. It was really only in Asia where the markets could be described as lively. U.S. Gulf of Mexico Not much has happened in the U.S. markets since last week, and with the annual pilgrimage to San Antonio for the American Fuel and Petrochemical Manufacturers conference about to commence, it is unlikely that much will occur this week either. Most of the routes reported a...