Struggling to keep pace with rising costs, lubricant marketers in the United States are pushing through another round of price hikes for finished products. Major suppliers haveannounced markups that take effect this month or next, and independents sound eager to follow. Three rounds of increases so far this year have helped to offset the impact of higher costs for base oils and additives. But blenders say they have gained little relief due to increases in other expenses and the markets reluctanc...

Neste Oil Corp. announced Thursday that it has agreed to form a joint venture with Bahrain Petroleum Co. to build a Group III base oil plant in the tiny Middle Eastern kingdom. The project, scheduled to come online in 2008, joins a growing list of new-generation base oil plants planned in the Middle East and along the Pacific Rim. Nevertheless, Neste officials said they are undaunted about the extent of prospective competition. We see demand [for Group III oils] growing at such a rapid pace, tha...

The lubricant additive market is roiling this month after a declaration by Chevron Oronite Co. that it currently cannot meet contractual supply obligations formany of its lube additive products. Oronite, one of the worldsmajor suppliers of lube additives, confirmed Monday that it issued a global force majeure notice on Aug. 11. The company attributed its action to strong demand for additives and tight supply for raw materials and said it does not expect the problem to ease at least until the fir...

In the face of challenges presented by rising costs of petroleum products, Fuchs Petrolub AG reported a 34-percent jump in its profit for the first half of 2005, compared to the same period of 2004. The Mannheim, Germany, company attributed the performance to a combination of growth, cost-cutting and lower financing costs, as well as increases in its own prices. One of the worlds two largest independent lubricant firms, Fuchs said Aug. 11 that it earned 31.1 million (U.S. $37.9 million) during t...

Avatar Corp. is nearly tripling the size of its lubricant and specialty release agent manufacturing facilities in University Park, Ill., with a $5 million project that will add 64,000 square feet of production, warehouse and logistical space and 8,300 square feet of offices. Scheduled for completion in February, the expansion reaffirms our commitment to the University Park plant, President and CEO Michael Shamie said. We anticipate the creation of 20 new jobs from this expansion. This investmen...