Spain’s base oils supply recovered in December at the same time as domestic and regional demand fell.Supply remained lower than usual, after already falling to a thirteen-month low in November.But unusually weak demand outweighed moves by regional refiners to maintain lower production..Italy’s December base oils output falls.The mismatch between supply and demand kept downward pressure on regional base oils prices late last year and during the first few weeks of this year.The sustained demand weakness complicated refiners’ base oils production plans. It incentivized them to focus on producing more middle distillates, whose prices remained firm.Spain’s gasoil output rose in December to a seven-month high. Diesel run-rates stayed unusually high.The trend raised the prospect of cushioning the impact of lower base oils demand.It also raised the prospect of tighter-than-expected supply if European demand revives more strongly than expected ahead of and during the spring oil-change season.Spain’s base oils supply of almost 70,000t in December rose from close to 57,000t the previous month, government and port data showed..Supply got a boost from a partial recovery in Group I base oils production. Output fell in November to a twelve-month low. The December volume was the second lowest in six months.Group I base oils output in December accounted for less than 0.5pc of Spain’s total refined products output for a second month. It had fallen below that level just once in the previous eleven months.Spain’s base oils imports also edged up in December to a three-month high amid a pick-up in shipments from the Netherlands.Spain’s total supply of close to 865,000t in 2022 rose by 13pc from around 765,000t in 2021 to the highest in at least four years.The higher volume mostly reflected a jump in supplies of premium-grade base oils from Cartagena..Europe’s December lube demand falls
Spain’s base oils supply recovered in December at the same time as domestic and regional demand fell.Supply remained lower than usual, after already falling to a thirteen-month low in November.But unusually weak demand outweighed moves by regional refiners to maintain lower production..Italy’s December base oils output falls.The mismatch between supply and demand kept downward pressure on regional base oils prices late last year and during the first few weeks of this year.The sustained demand weakness complicated refiners’ base oils production plans. It incentivized them to focus on producing more middle distillates, whose prices remained firm.Spain’s gasoil output rose in December to a seven-month high. Diesel run-rates stayed unusually high.The trend raised the prospect of cushioning the impact of lower base oils demand.It also raised the prospect of tighter-than-expected supply if European demand revives more strongly than expected ahead of and during the spring oil-change season.Spain’s base oils supply of almost 70,000t in December rose from close to 57,000t the previous month, government and port data showed..Supply got a boost from a partial recovery in Group I base oils production. Output fell in November to a twelve-month low. The December volume was the second lowest in six months.Group I base oils output in December accounted for less than 0.5pc of Spain’s total refined products output for a second month. It had fallen below that level just once in the previous eleven months.Spain’s base oils imports also edged up in December to a three-month high amid a pick-up in shipments from the Netherlands.Spain’s total supply of close to 865,000t in 2022 rose by 13pc from around 765,000t in 2021 to the highest in at least four years.The higher volume mostly reflected a jump in supplies of premium-grade base oils from Cartagena..Europe’s December lube demand falls