There were also rumblings that a second producer had discussed the implementation of an increase with its customers, but no further details or confirmation were available at press time.

Other producers were heard to be mulling possible price movements as well, although no further initiatives emerged during the week. Most suppliers pointed out that the run-up in crude oil, vacuum gas oil, and diesel costs were hurting refiners margins.

Driven by the same strong market fundamentals, naphthenic producers have raised, or will be raising base oil prices between Sept. 28 and Oct. 4, with Ergon, Cross Oil, Calumet, and San Joaquin Refining all communicating increases of 15 cents/gal.

Players on both the naphthenic and paraffinic camps were keeping an anxious eye on crude oil prices, which were hovering near their highest levels since November 2014 as markets prepared for tighter supply if the United States sanctions on Iran come into full force in November as expected.

Analysts predicted that crude oil could rise to near $100 per barrel, because OPEC may struggle to cover the decrease in exports from Iran.

On Tuesday, Oct. 2, West Texas Intermediate October futures settled at $75.23 per barrel on the CME/Nymex, up $2.98 per barrel from $72.28/bbl on Sep. 25.

Brent was trading at $84.80/bbl on the CME Tuesday afternoon, and had settled at $81.87/bbl on Sep. 25.

Light Louisiana Sweet crude wholesale spot prices settled at $83.37/bbl on Oct. 1, compared to $79.48/bbl on Sep. 24, according to the U.S. Energy Information Administration.

Low sulfur vacuum gas oil was at Nov. WTI crude plus $17.50/bbl ($92.80/bbl) and high sulfur VGO was at crude plus $16.50/bbl ($91.80/bbl). By comparison, low sulfur VGO was hovering at $89.33/bbl and high sulfur VGO at $87.58/bbl on Sep. 24, according to data published by PetroChemWire.

Historic U.S. posted base oil prices and WTI and Brent crude spot prices are available for purchase inExcel format.