Volume 15 Issue 7

SSY Base Oil Shipping Report

It has been a quiet week across the board. European coastal markets have slowed down, leaving just deep-sea routes with some excitement. The U.S. has been sedate, while Asian markets prepare for the Lunar New Year. U.S. Gulf Nothing exceptional has occurred out of the U.S. over the past week. Hopes of a U.S. Gulf-to-Far East revival have been smothered by Asian buyers retreating before the holiday break. Some base oils continue to be attempted into China and Singapore but products such as styren...

ExMo to Produce Group II at Rotterdam

ExxonMobil revealed plans Monday to produce API Group II base stocks at its Rotterdam, Netherlands, refinery starting in 2018. Esso Nederland BV, an ExxonMobil affiliate, recently filed an environmental impact assessment with the regional environmental protection agency for the project. Construction at the Rotterdam refinery – subject to obtaining regulatory approvals and final funding authorization by Esso Nederland BV – is scheduled to begin in 2016. The European [base oil] product...

SAE Adds Light Engine Oil Categories

SAE International has published the latest update of SAE J300, the Engine Oil Viscosity Grade Classification System. Revised and re-issued on Jan. 20, the global standard now includes two additional viscosity grades: SAE 8 and SAE 12. Lubrizols Mike Covitch, chairman of the SAE Engine Oil Viscosity Classification Task Force, sent out a notification at the end of January saying the revised standard is now available for purchase from SAE.Covitch indicated to Lube Report that the task force acted u...

Darwinian Fate for Group I Plants?

It is hardly news that global base oil production is shifting, as API Group I facilities are decommissioned or upgraded while Group II and III capacity increases dramatically. Several Group I plants closed in the last few years, and a few more are earmarked to shut down in the near future. The latest of these is Colas Group, which confirmed this month that it plans to end base oil production at its plant in Dunkerque, France, around the end of March. The plant has capacity to produce 5,200 barre...

Allegheny: Bigger, Better, Faster

Allegheny Petroleum Products Co. is nearly doubling the size of its Ambridge, Pa., facility, to make way for more blending and faster filling. The Wilmerding, Pa. – based lubricants and additives supplier has expanded its Ambridge site in stages, from its original 12,000 square feet to 40,000 sq. feet, and now 75,000 sq. feet – installing a new blending tank, high-speed filling lines for drums and five-gallon pails and three additional loading docks. Over the last several years, [All...

Engen Adds New Depot in Mozambique

Engens new 24,000 cubic meter depot will supply lubricants, petrol and diesel to the companys main hubs in Mozambique and elsewhere in Southern Africa. The depot is meant to serve as a platform for Engens future market targets and to establish another supply center in Southern Africa. As Managing Director of Engen Mozambique Teodomiro Sarmento said in a recent press release, Having sufficient capacity in the region will reduce our dependency on third parties, lessen our cost of supply through pi...

Defense Contractor, Rosneft Team Up

Russian oil major Rosneft and Uralvagonzavod have begun cooperating to meet the defense contractor’s lubricant needs in the face of embargoes by foreign governments. Under the deal, both companies pledged to form an alliance for development, production and application of high quality lubricating and other energy products in the manufacturing processes of UVZ. The deal was signed in May by Russian President Vladimir Putin, Rosneft head Igor Sechnin and Uralvagonzavod (UVZ) head Oleg Sienko....

Briefly Noted

TPC Group approved more funds to expand polyisobutylene capacity at its Houston facility – installing a third unit and debottlenecking existing production. Houston-based Kinder Morgan will purchase three terminals and one undeveloped site from Royal Vopak for approximately $158 million, including a 36-acre, 1.1 million-barrel storage complex for base oils, biodiesel and crude oil at Galena Park, Texas