Front derailleur is severely out of alignment in relation to the seat-tube and chainrings. It needs to be lowered on the seat-tube by about 12-15mm. No amount of lubrication, limit-screws or cable-adjustments will make it work optimally until it's re-positioned. Follow this Park Tool - Front Derailleur Adjustment guide. Most important for functionality in order:

1. vertical height adjustment - outer-cage should be about 1.5-2mm above big-chainring.

http://www.parktool.com/uploads/imag...p/ft_der_2.jpg

2. lateral yaw-rotation - outer-cage should be parallel to chain when in big-chainring/small-cog combination (fastest gear).

http://www.parktool.com/uploads/imag...p/ft_der_8.jpg

Once these two mechanical settings are correct it's 90% there. Then you can fiddle with limit-screw and cable-tension adjustments to fine-tune and dial-in the last 10%. Also helps if you use some needle-nose pliers and bend the tip of the inner-cage outwards by about 2-3 degrees.