Brazil’s March base oils output falls

Brazil’s base oils output fell to a nine-month low in March, contrasting with a seasonal rise in domestic lube demand.

Total output of 31,850mᶟ (28,220t) in March fell from 46,680mᶟ the previous month, government data showed.

The volume was the lowest since June 2022 and down from typical levels of more than 48,000 mᶟ/month over the past year.

Supply fell because of a drop in Group I base oils output at Petrobras’ Reduc refinery to a nine-month low of 29,860mᶟ.

Base oils supply fell even as the refinery’s total oil products output rose to a three-month high.

The disconnect pointed to production issues with the refinery's base oils unit.