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Surprise Surprise... more price increases |
It what comes as no shock to anyone in the
business, when one major moves on price the others
tend to follow. Now it's
ConocoPhillips. Word on the
street is that ConocoPhillips announced it will
increase prices for finished lubricant and grease by
5 to 9% effective October 9,2006. Letters are said
to be in the mail...
Chevron Announced Last Wednesday
Chevron announced a general price increase for its
finished lubricants and greases to be effective
October 2, 2006. This increase will reportedly hike its
price of its lubricating oils by an average of 6% to
10%. It’s gear oil and grease prices will move up by
an average of 3% to 5%. Word on the street is the
price change for DELO 12/1s and 6/1s package will
be effective November 3, 2006. The price increase
for Delo in drums, pails, bulk, and other package
styles, however, will be effective October 2, 2006.
As always, and in what seems like the chant of every
other notification of price increases in the lubricants
business, Chevron attributes this increase to the rise
in the cost of base oil, additives, and packaging.
So there you have it Warren was the first to move,
ExxonMobil was second. Chevron was next - only to
be followed by ConocoPhillips. Stay tuned...
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Calumet Lubricants Company exiting the Finished Lubricants Business |
Calumet, based in Indianapolis, Indiana, has made
the strategic decision to exit the finished lubricants
business. According to Jobbers World sources, the
decision was made nearly three months ago and the
company has been quietly advising its customers of
its orderly exit since.
The reasons given for its exit are primarily related to
the challenges base oil companies have when they
both supply and compete with their customers. As a
long-time, full line supplier of naphthenic and
paraffinic base oils, Calumet’s decision to enter the
finished lubricant business nearly 3.5 years ago was
a difficult one to make. This is because base oil
customers are often reluctant to source base oil from
a company that also competes with it in finished
lubricant market. This challenge, together with
Calumet’s decision to invest in expanding its
Shreveport base oil facility, resulted in its decision to
exit the finished lubricants business.
So now it’s clear, Calumet is a full line supplier of
naphthenic and paraffinic base oils as well as
aliphatic
solvents and paraffin and microcrystalline waxes.
They do not compete in the finished lubricants
business.
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Pinnacle Expands its Marketing Base |
Pinnacle Oil announced that it has signed an
agreement to supply lubricants under the Marathon,
Speedway, SuperAmerica and Pilot brands. Marathon
Oil Corporation, through affiliated companies, owns or
participates in each of these brands.
Pinnacle Oil announced that it has signed an
agreement to supply lubricants under the Marathon,
Speedway, SuperAmerica and Pilot brands. Marathon
Oil Corporation, through affiliated companies, owns or
participates in each of these brands.
“We are pleased to be supplying Marathon and their
affiliated companies with a quality product,” said
Charles Collins, Pinnacle’s Vice President Sales. “This
expands our marketing base with one of the premier
companies in the Midwest."
Pinnacle Oil is an Indianapolis-based supplier of
lubricants for contract customers. The company
blends and packages automotive, industrial, aircraft,
2-cycle and other specialty lubricants for its
customers. Pinnacle recently opened Golden Triangle
Lubricant Services in Nederland, Texas, to focus on
Marine Lubricants and other products.
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Kost USA Launches a New Range Of High Performance Coolant/Antifreezes |
Further highlighting their growing presence in the
antifreeze market, KOST USA, Inc. announced the
launch of a new range of high performance
coolant/antifreezes called DefendAL. “The launch
of DefendAL – Your Coolant System’s Best Defense
represents the next step in our strategy to offer the
market product ranges that will not only compete
with the major brands on performance and packaging
appeal, but also extend component lifecycles” said
Steve Overdeck, Vice President of Sales and
Operations.
The DefendAL range is currently comprised of four
products; specifically formulated to OEM
specifications and precise performance levels. The
DefendAL range is offered in concentrate as well as
pre-mixed 50/50 with deionized water and consists
of; DefendAL Universal Coolant/Antifreeze, DefendAL
Heavy Duty Pre-Charged Coolant/Antifreeze,
DefendAL Heavy Duty Extended Life
Coolant/Antifreeze,
and DefendAL Global Extended Life Coolant/Antifreeze.
Each product has been formulated with field tested
and certified state-of-the-art additive technology to
protect coolant systems. The DefendAL range
exceeds OEM specifications for existing engine
designs and is positioned to meet any new
specifications for 2007 heavy duty diesel engines.
Additionally, the DefendAL range features KOST
USA’s Bitter-Aid Anti-Consumption Additive. Bitter-
Aid is a bitter agent that deters consumption.
Three states, California, New Mexico and Oregon
currently have laws requiring the use of a bitter
agent in antifreeze. The need for a bitter agent has
also received national attention. The House
Committee on Energy and Commerce passed H.R.
2567 (known as the Antifreeze Bittering Act) on July
12, referring the legislation to the House Judiciary
Committee. A companion Senate bill (S. 1110) was
approved in committee late last year, and awaits
action on the Senate floor.
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