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Publishers Letter

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At the recent ICIS meeting in Singapore, I listened to Alan Outhwaite, Chevrons U.K.-based base oil business development manager, outline the bright potential for API Group II base oils. Then I heard Nicholas Clague, SK Lubricants technical manager, also U.K.-based, describe the exciting future of Group III. Outhwaite argued compellingly that the future belongs to Group II. Then Clague offered a convincing case for the benefits of Group III, particularly in formulating lubricants for tomorrows cleaner, energy efficient vehicles.

Chevron and SK are both poised to become truly global base oil giants. Chevrons new 1.25 million metric ton per year Group II plant on the U.S. Gulf coast, in Pascagoula, Mississippi, is projected to begin production before this year is over.

SKs 630,000 t/y Group III base oil plant in Cartagena, Spain, a 70-30 joint venture with Repsol, will by far be Europes largest Group III plant when it begins production next year.

Big changes are coming in lubricant formulations, as a result of tightening global emissions legislation and resulting changes in engine design. Group II base oils meet tightening specifications for heavy-duty engine oils, are an excellent choice for most passenger car motor oils and motorcycle oils, and improve many industrial oils, said Outhwaite.

But only Group III – or higher priced polyalphaolefins or other nonconventional base stocks – can meet the challenges of formulating todays top-tier engine oils, said Clague. And theyll be essential as todays top tier becomes tomorrows mainline oils.

What is a formulator to do? Base oil selection is critical, and lubricant formulators certainly have no shortage of choices in todays marketplace.

Speaking of nonconventional base stocks, this month weve published the third and last of our annual series of Base Stock Guides. The 2013 Global Nonconventional Base Stock Guide lists more than 180 plants worldwide that make silicones, polyisobutene, esters, polyalkylene glycol, phosphate esters, PAO and Group III base stocks, giving locations and estimated capacities where relevant.

The nonconventional guide joins our regional Base Stock Guide for Europe, the Middle East and Africa, and our Global Guide for mineral base oil refining. For more information or to order copies, please visit www.BaseStockGuides.com.

Nancy J. DeMarco

nancy@LNGpublishing.com

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