Indonesia’s Group III base oils exports fell in February amid a pause in shipments to Europe for the second time in three months.Europe’s low Group III base oils prices relative to the US already cut the attraction of moving more supplies of premium-grade base oils to the region.A longer journey-time from Indonesia to Europe via southern Africa rather than via the Suez Canal added to the attraction of moving supplies to other markets instead.The drop in Group III base oils shipments to Europe extended to other sources like the UAE.Any extension of that trend into the second quarter of the year would coincide with the planned shutdown of a Group III base oils unit in Europe for maintenance work.Europe’s Group III base oils supply already fell to a three-year low at the start of this year.Indonesia’s Group III base oils exports of 10,000 tonnes in February fell from more than 27,000 tonnes the previous month, government data showed.The sharp disparity in the volumes between the two months likely reflected irregular cargo loading schedules during that period.Average volumes of around 15,600 tonnes/month in the three months to February were similar to typical export volumes during 2023.A reversion to more typical total export volumes concealed a change in the destination of the shipments.Exports to South Korea averaged more than 12,000 tonnes/month in the three months to February, up from less than 8,000 tonnes/month in 2023.Some shipments from Indonesia move to the US via South Korea.Average exports of 3,200 tonnes/month to Europe during the same three-month period were down from around 7,000 tonnes/month in 2023.Exports to Europe showed signs of reviving in March, when a cargo loaded from Indonesia at the start of the month before heading to the Netherlands.It was scheduled to reach northwest Europe in the coming week following a voyage around southern Africa.The shipment time of less than 40 days contrasted with closer to two months for a January cargo from Indonesia to Europe. It was only slightly longer than previous shipments that travelled via the Suez Canal..Singapore’s Feb base oils exports fall.S Korea’s February base oils exports fall
