Global finished lubricant demand isnít keeping up with expanding base oil supply, threatening the cash margins of mineral base oil producers, officials at Kline & Co. said in a webinar last week.
LNG Publishing Company
As assistant editor for Lube Report, Will Beverina writes and edits content for LubesíníGreasesí three weekly newsletters, while also managing video content and the companyís social media accounts. He joined LNG as editorial assistant in July 2018.
This is Willís first professional position after graduating from Radford University with a Bachelorís degree in communication and minor in technical and business writing.
The types of metals used in wide ranges of products have evolved in recent years, trending toward greater use of alloys and new kinds of alloys, and this creates challenges in the formulation of metalworking fluids.
Lubricant and grease production plants can improve efficiency and profitability by digitalizing their operations, an industry insider said at a conference in Chicago this month.
API Group II base oil has overtaken Group I in terms of global production capacity and will likely continue to distance itself in coming years, but Group I oils still offer unique properties that will keep them relevant, an industry insider said at a conference in Chicago last week.
Timken Co. reached an agreement to acquire Pegnitz, Germany-based automatic lubrication system supplier Beka Lubrication for approximately $165 million, the company announced this week.
MFG Chemical recently announced manufacturing upgrades at its facilities in Dalton, Georgia, that make surfactants, esters and derivative amines, and the company has an eye set on further growth.
Refineria di Korsou Ė the Curacao government entity that owns the Isla Refinery Ė issued non-exclusive letters of intent to multiple prospective operators of its sparsely run facility, the entity announced last week, taking one more step toward choosing a final preferred operator.
Indorama Ventures acquired Huntsman Corp.ís chemical intermediates and surfactants businesses for $2 billion, the companies announced last week. A number of products included in the acquisition can be used to make lubricants and metalworking fluid additives.
Calumet Specialty Products Partners LP reported a smaller net loss and decreased sales for the second quarter, while Cosanís Moove lubricants segment enjoyed higher revenues and increased sales volume.
Afton Chemicalís petroleum additives segment posted higher operating profit, while Quaker Chemical and HollyFrontierís lubricants segment recorded weaker financial results for the quarter ended June 30. Valvolineís performance was level with the same period of 2018, while Clean Harborsí Safety-Kleen segment had higher revenues.
Milacron reported a dip in operating earnings and sales for its Fluid Technologies segment in the second quarter, and Heritage Crystal-Cleanís oil business segment experienced a decrease in revenues.
Commerce, California-based U.S. Lubricants Inc. agreed to pay almost $200,000 in civil penalties under a settlement with the U.S. Environmental Protection Agency for violations of the Clean Water Act at one of its California storage facilities.
Companies have submitted non-binding proposals to manage and operate the sparsely run Isla Refinery in Curacao beginning next year, the owner of the facility announced. A formal timeline for choosing a preferred operator is also set.
Itís not an industry secret that the discrepancy between base oil production capacity and finished lubricants demand is growing, and that the current overhang is impacting the market as the bubble waits to burst. Insiders say rationalization within the industry is inevitable.
Demand for engine oil used in natural gas engines is projected to grow over the next few years as governments push for cleaner fuel alternatives, according to a market report by consultancy firm Kline & Co.