· Global base oils prices stay under sustained pressure versus competing fuel prices even as diesel values weaken versus crude prices.· Light-grade base oil export prices especially hold at steep discounts to diesel prices, ICIS data shows.· Trend raises prospect of more base oil refinery run-cuts or extension of plant-maintenance work as refiners focus on producing more diesel instead..· Relative ease with which light-grade base oils can be redirected back into diesel pool raises prospect of tightening availability of these supplies.· Trend shows signs of already materializing in China, where weaker-than-expected recovery in base oils production coincides with unusually weak base oils prices vs diesel..· Heavy-neutrals base oil price premium to diesel holds close to lowest in months, especially for export grades and especially in Europe and Asia. · Base oils price weakness versus diesel prices contrasts with relatively steadier values versus VGO.· Base oils values versus VGO continue to trend lower, even if at a slower pace than diesel.· Europe Group II light-grade values versus VGO edge down to lowest since early 2022..· US Group II light-grade values versus VGO edge down to lowest since early 2022..Global base oils - week of Aug 28: Demand outlook
· Global base oils prices stay under sustained pressure versus competing fuel prices even as diesel values weaken versus crude prices.· Light-grade base oil export prices especially hold at steep discounts to diesel prices, ICIS data shows.· Trend raises prospect of more base oil refinery run-cuts or extension of plant-maintenance work as refiners focus on producing more diesel instead..· Relative ease with which light-grade base oils can be redirected back into diesel pool raises prospect of tightening availability of these supplies.· Trend shows signs of already materializing in China, where weaker-than-expected recovery in base oils production coincides with unusually weak base oils prices vs diesel..· Heavy-neutrals base oil price premium to diesel holds close to lowest in months, especially for export grades and especially in Europe and Asia. · Base oils price weakness versus diesel prices contrasts with relatively steadier values versus VGO.· Base oils values versus VGO continue to trend lower, even if at a slower pace than diesel.· Europe Group II light-grade values versus VGO edge down to lowest since early 2022..· US Group II light-grade values versus VGO edge down to lowest since early 2022..Global base oils - week of Aug 28: Demand outlook
