Singapore base oil producer raises prices further

A Singapore-based base oil producer is raising its ex-tank Singapore prices for all of its grades. The price increase is its fifth this year and second this month.

The producer is raising its ex-tank Singapore price for Group I SN 150 by $40/t. It is raising its price for SN 500 by $80/t and its bright stock price by $190/t. The producer is also raising its Group II N150 price by $40/t and its price for N500 by $80/t. The new prices are effective 16 March.

The producer's bright stock premium to SN 500 will rise to $215/t, the widest since August 2016. Its bright stock premium to SN 150 will rise to $750/t, the widest level in more than a decade.

The producer's SN 500 premium to SN 150 will rise to $535/t, also its widest level in more than a decade.

Its Group II N500 discount to Group I SN 500 will stay at $235/t, the widest discount in more than a decade. The producer's Group II N500 premium to N150 will rise to $235/t, also the widest in more than a decade.

The price trends reflect the continuing strength of supply-demand fundamentals for heavy-grade base oils relative to light grades in Asia-Pacific.