Contrary to global trends, African demand for API Group I base oils will continue rising in coming years and the grade remain the dominant choice of the regions lubricant market, an industry insider said at the ICIS African Base Oils and Lubricants Conference last month.
Chevron and Casablanca, Morocco-based energy company Akwa Group reached an agreement to create an African lubes hub in Morocco, the companies announced late last month.
Emirates National Oil Co. and Proserv Group will ramp-up lubricants blending in the growing Egyptian market after signing memorandums of understanding with local lubricant companies.
Biskra, Algeria-based Sarl Sopremac opened a lube oil blending plant in Algeria that has already begun production of multigrade motor oils and industrial lubricants.
African rerefiners agree that overcoming skeptical public perception of their rerefined base oils is a significant hurdle to growth. However, they debated about other factors - such as working with multinational companies and choosing the best production process - during a panel discussion at an industry conference in Cape Town, South Africa.
The African Continental Free Trade Agreement that went into force in May benefits Africas lubricants blenders by reducing tariffs and other barriers to doing business with other countries within the continent, industry insiders said Nov. 6 at a conference in Cape Town, South Africa.
Africa recycles less of its used lubricants into base oils than other regions, and several obstacles stand in the way of increasing that amount, industry officials said at a conference in Cape Town, South Africa, last month.
The European Unions energy demand is projected to decline by 11 percent by 2040, Africas energy consumption is expected to jump by 128 percent, and the Middle Easts energy consumption will grow 54 percent, according to the 2018 BP Energy Outlook.
The African lubricant markets lack of an adequate quality control mechanism - particularly for its engine oil segment - has led to ongoing challenges for industry players, speakers said during a panel at an industry conference last month in Cape Town, South Africa.
Half of Africas 54 countries have passed legislation regulating imports of used vehicles - either banning them completely or capping the age of units that can be brought in - and this is changing fleet mixes and gradually impacting base stock needs, an ExxonMobil official said at a conference here.
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