Japan's Cosmo had halted exporting base oils recently after the earthquake, as it had to prioritize supplies in its own country, revealed a company source. The timetable for resumption remained sketchy yet, he added.
Meanwhile, the source denied the rumor that its base oil production was crimpled by the quake.
Most other Japanese refineries which had suspended exports expressed willingness to resume base oil supplies to their underlying lubricant plants based outside Japan and to exotic long-term contracted buyers as soon as possible.
However, as Japan rationed power supplies after the explosions at its nuclear power station, most Japanese refineries would cut base oil output while prioritizing production of such products as fuel oils, gasoil and gasoline, which were all in urgent demand in the country, most Chinese marketer worried.
Cosmo, located in Japan's Yokkaichi City, has a Group I base oil production capacity of 180,000mt/yr.
