Machinery Lubrication May June 2014 May June 2014 | Page 41

MLI

REPORT
DHIREN SHAH

BASE OIL REPORT
Crude oil prices were at an all time low
in Asia early Monday with the market
waiting for cues on events in the Ukraine
and the outlook from the Fed later this
week. On the New York Mercantile
Exchange, U.S. crude oil for delivery
in July traded at $101.60 a barrel, up
0.01%, after settling at at $101.58 a
barrel by close of trade last week. New
York-traded crude oil futures edged
higher on Friday, amid indications
that the U.S. economy is shaking
off the effect of a weather-related
slowdown over the winter. Meanwhile,
heightened tensions between Russia
and Ukraine remained in focus, amid
concerns over a disruption to supplies
from the region. The conflict between
pro-Russian separatists and Ukrainian
forces continued on Friday, stoking
fears that the crisis will further develop
and drag the U.S. deeper into the
standoff. The July Brent oil contract
rose 1.69% or $1.86 a barrel on the
week, amid growing concerns over a
disruption to supplies from Libya. The
spread between the Brent and the WTI
crude contracts stood at $8.17 a barrel
by close of trade on Friday, compared
to $7.90 in the preceding week.
The Third Base Oil & Lubes Middle
East Conference 2014 was held at
Intercontinental Dubai Festival City,
Dubai on 16-17 April 2014 which
was jointly organized by Conference
Connection & Petrosil Group and
Hosted by ENOC. Eminent speakers &
Co Chairmen like Mr. Mohammed El

Sadak( ENOC Marketing LLC, UAE),
Dr Nadim Najim(Al Khaja Holding,
UAE),Ms Geeta Agashe( Kline Group,
USA), Dr. Henderson( K& E Petroleum
Consulting, USA) Dr. Valentina SerraHolm( Nynas AB, Sweden), Dr.Suhair
Abdelhalim(Ford Motor Company,
UK), Mr. Bhaskar Mukherjee(Chevron
Oronite S.A,UK) and others delivered
their presentation on various aspects
of the base oils, additives & technology.
The Conference was successful and
well attended by base oil producers,
exporters,
importers,
additive
manufacturers, storage companies,
OEM’s, consultants,, etc
The Indian domestic market Korean
origin Group II plus N-60–70/150/500
prices at the current; level is steady.
As per conversation with domestic
importers and traders prices have
inched up for N – 60/ N- 150/ N 500 grades and at the current level
are quoted in the range of Rs. 60.50
– 60.70/61.70 – 62.10/64.10 - 64.25

per liter in bulk respectively with an
additional 14 percent excise duty and
VAT as applicable, no Sales tax/Vat if
products are offered Ex-Silvassa a tax
free zone. The above mentioned prices
are offered by a manufacturer who
also offers the grades in the domestic
market, while another importer trader
is offering the grades cheaper by
Rs.0.25 – 0.35 per liter on basic prices.
Light Liquid Paraffin (IP) is priced at
Rs. 61.60 – 62.05 per liter in bulk and
Heavy Liquid paraffin (IP) is Rs. 66.05
– 66.20 per liter in bulk respectively
plus taxes extra.
Approximately 9381 MT of Light &
Heavy White Oil has been exported
in the month of March 2014 from
JNPT, Mundra, Raxaul LCS, and
Chennai port. Compared to last
month i.e. February 2014, exports
of the country have gone up by 20%
in the month of March 2014. It has
been exported to Argentina, Algeria,
Australia, Bangladesh, Bulgaria, Brazil,

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