A system and method for producing fuels and lubricant basestocks from gas oil boiling range feeds is provided. Desulfurization and conversion stages are used to form fuel and lubricant products. The product from a desulfurization stage can be fractionated, and a portion of the fractionated bottoms can be used as an input feed for a conversion or hydrocracking stage. The configuration can advantageously allow for reduced amounts of catalyst in the conversion stage.