Italy’s base oils output rose in May to a seven-month high amid a pick-up in refinery run rates.Base oils output of 59,280t in May rose from 41,320t the previous month to the highest since last November, government data showed..Maintenance work on a base oils unit began last November and was scheduled to last about a month. The shutdown was extended because of damage caused by a fire during the maintenance work.The prolonged shutdown triggered a slump in Italy’s base oils output since then.Base oils production averaged less than 43,000 t/month in the five months to April. Output had averaged more than 92,000 t/month in the first 10 months of last year.The slump in output to less than half the usual levels exacerbated the tight supply of Group I base oils in the European market in the first half of this year.The drop in supplies from Russia compounded that tightness..Europe's April base oils supply rises.The base oils unit was expected to resume operations around late June or early July.But base oils output already began to rise before then.The rise in production coincided with a pick-up in Italy’s total refined products output in May.Output levels were some 18pc higher than average volumes during the first five months of the year. They were 19pc higher than average 2021 levels.The higher production boosted total diesel output. Diesel’s share of total output also rose compared with 2021 levels.Refinery production in other countries like Spain showed a similar trend. Unusually high diesel prices and tight supply has incentivized producers to raise output of the motor fuel..Spain's May base oils supply holds steady.Like those other countries, an effect of higher refinery run rates has been a rise in total base oils output.Like Spain, Italy’s base oils output as a share of the higher refinery production also rose in May. Its 0.85pc share of total output was up from an average of 0.75pc in the first four months of the year..Italy’s April base oils output stays low
Italy’s base oils output rose in May to a seven-month high amid a pick-up in refinery run rates.Base oils output of 59,280t in May rose from 41,320t the previous month to the highest since last November, government data showed..Maintenance work on a base oils unit began last November and was scheduled to last about a month. The shutdown was extended because of damage caused by a fire during the maintenance work.The prolonged shutdown triggered a slump in Italy’s base oils output since then.Base oils production averaged less than 43,000 t/month in the five months to April. Output had averaged more than 92,000 t/month in the first 10 months of last year.The slump in output to less than half the usual levels exacerbated the tight supply of Group I base oils in the European market in the first half of this year.The drop in supplies from Russia compounded that tightness..Europe's April base oils supply rises.The base oils unit was expected to resume operations around late June or early July.But base oils output already began to rise before then.The rise in production coincided with a pick-up in Italy’s total refined products output in May.Output levels were some 18pc higher than average volumes during the first five months of the year. They were 19pc higher than average 2021 levels.The higher production boosted total diesel output. Diesel’s share of total output also rose compared with 2021 levels.Refinery production in other countries like Spain showed a similar trend. Unusually high diesel prices and tight supply has incentivized producers to raise output of the motor fuel..Spain's May base oils supply holds steady.Like those other countries, an effect of higher refinery run rates has been a rise in total base oils output.Like Spain, Italy’s base oils output as a share of the higher refinery production also rose in May. Its 0.85pc share of total output was up from an average of 0.75pc in the first four months of the year..Italy’s April base oils output stays low
