UK’s February base oils output recovers

The UK’s base oils output rebounded in February to a 33-month high, helping to boost supplies in a region facing increasingly tight availability.

Output of 41,000t in February more than doubled from a four-month low of 17,000t in January, government data showed.

Production also far exceeded average levels of 29,000 t/month in 2021.

The recovery in base oils production coincided with a sustained drop in output from key sources like Italy and a gradual slowdown in shipments from Russia.

Both of those sources are key suppliers of Group I base oils both for Europe and for nearby markets like Africa.

The rise in the UK’s base oils output outpaced the 21pc month-on-month rise in base oil deliveries to the UK’s domestic market in February.

The rise in production and lower domestic consumption freed up more supplies for export.

These climbed in February to a three-month high of more than 33,000t. A growing share of that volume was moving to markets outside Europe.