Month: August 2021

EMEA Base Oil Price Report 24.08.21

Fundamentals in European, Middle Eastern and African base oil markets are vastly different from those in Asia-Pacific and the United States, creating new arbitrage opportunities between the regions. Specifically, product availability is easing in Europe, the Middle East and Africa as supply increases and demand has diminished during the holiday season.

API Group I markets within EMEA regions had been resisting markdowns, but rumors are that in talking numbers for September delivery, prices succumbed to buyer pressure caused by the ever weakening export market and arguments that the June and July run-up in values was not sustainable. read more

EMEA Base Oil Price Report 10.08.21

The base oil scene is taking on the role of a balancing act on global basis. A number of arbitrage opportunities opening up may have the effect of increasing availabilities in tight markets, which may ultimately put pressure on prices to weaken. At the same time these opportunities may also deplete supplying sources, which may stabilize prices in those regions.

The arbitrage varies depending on type of base oil, but certainly there is scope for supplies from areas such as the Baltic to supply into regions such as the U.S. whilst at the same time Asia-Pacific sources have an open arbitrage for some grades such as API Group II and Group III for supply into both Europe and the United States. read more