Thailand’s base oils output recovered in January amid signs of steadier domestic and regional demand and ahead of planned maintenance work later in the first quarter.Base oils output rose to 60,940 kilolitres (53,980t) in January, up 19pc from 51,120kl the previous month. Production has now held above the 60,000kl level in 15 out of the past 25 months. Before 2020, output had exceeded the 60,000kl level just six times during the previous six years..Thailand’s higher-than-usual base oils production over the last two years coincided with a sharp pick-up in regional demand from the second half of 2020, as well as a fall in regional Group I base oils production for much of that period.The fall in Thailand’s base oils production in December followed a sharp fall in regional Group I base oil prices during the second half of last year. But prices have been steadier this year. Supply then faced the prospect of change ahead of and during partial maintenance work on one of Thailand’s two Group I base oil units later in the first quarter of the year.
Thailand’s base oils output recovered in January amid signs of steadier domestic and regional demand and ahead of planned maintenance work later in the first quarter.Base oils output rose to 60,940 kilolitres (53,980t) in January, up 19pc from 51,120kl the previous month. Production has now held above the 60,000kl level in 15 out of the past 25 months. Before 2020, output had exceeded the 60,000kl level just six times during the previous six years..Thailand’s higher-than-usual base oils production over the last two years coincided with a sharp pick-up in regional demand from the second half of 2020, as well as a fall in regional Group I base oils production for much of that period.The fall in Thailand’s base oils production in December followed a sharp fall in regional Group I base oil prices during the second half of last year. But prices have been steadier this year. Supply then faced the prospect of change ahead of and during partial maintenance work on one of Thailand’s two Group I base oil units later in the first quarter of the year.
