Saudi Aramco CEO: Saudi Aramco's maximum oil production capacity can be sustained for an entire year at 12 million barrels per day.
Saudi Aramco's Chief Executive Amin Nasser said that the company can maintain crude oil production of 12 million barrels a day (bpd), for an entire year, without incurring any additional costs. Saudi Arabia has a large share of the world’s spare oil supply – idle oil that can be quickly brought to market. Nasser, speaking at the Energy Intelligence Forum held in London, projected that global oil demand will rise by between 1.1 and 1.3 million barrels per day (bpd) this year, as well as by 1.2 to 1.4 millions bpd by 2026. Nasser stated that Aramco's oil extraction costs were $2 per barrel equivalent (boe), and $1 for gas.
Milei's Argentinean counterparts could face challenges if Vaca Muerta oil production slows down.
The Vaca Muerta oil field in Argentina, which is the fourth largest unconventional oil reserve in the world, has plateaued due to low oil prices and increasing costs. This slowdown could complicate Javier Milei's political agenda. The Vaca-Muerta formation, located in western Argentina, accounts for 64% the country's total oil production despite only 8% being under development. It's vital for Argentina's future economic and Milei's Government, who needs to increase Argentina's energy exports in order to boost Argentina's dollars reserves and build trust in the government's capability to maintain a currency stable.
Brazil may not introduce 16% biodiesel mix into diesel on deadline, official says
An official of the Brazilian Ministry of Mines and Energy stated on Monday that Brazil may not have the ability to increase the mandatory biodiesel blend in diesel from 15% to 16% by the March 2026 deadline set by the government. Marlon Arraes said, during an event for industry in Sao Paulo, that the government may not have enough time to complete the necessary studies to implement this measure. It's possible we won't meet the deadline of March. "It's very challenging," Arraes stated, adding that the government still has to complete a report in order to implement the next phase of the policy.
Brazil environmental agency approves Petrobras emergency drill results in Foz do Amazonas
Documents seen by revealed that Petrobras passed the emergency response test set by environmental regulators for the Foz do Amazonas Basin on Wednesday. This marks a major victory for the state oil company in its goal to drill in this environmentally sensitive area. The company's long-awaited drilling license will be decided by the Brazilian environmental agency Ibama, following the August inspection. Documents show that Ibama requested adjustments to the emergency plan in its decision before the licensing process was completed. This exercise was designed to test Petrobras’ response to an oil spill.
Enverus, an analytics firm, says that US shale costs will rise to $95/bbl in the mid-2030s.
Energy analytics firm Enverus stated on Tuesday that the marginal cost of producing U.S. shales oil could rise as much as 15 dollars a barrelle to $95 per barrel within 10 years as stagnant production forces companies to drill at locations with less proven resources. Enverus reported that the average cost of producing a barrel in the United States is $70. According to a Dallas Federal Reserve survey, many producers need oil prices above $65 per barrel to make a profit. However, prices have been below this level all year. Alex Ljubojevic is a director of Enverus Intelligence, an Enverus unit. He said that as the U.S.
Head of industry association says that Canada's oil supply is not as reliable as Japan's, but the Canadian market is still tough.
The head of an industry association in Japan said that Japanese refiners need to diversify their supply sources, as 95% its crude oil imports are from the Middle East. However, importing Canadian oil may be difficult due to its heavy nature. According to two sources who are familiar with the issue, Canada's largest oil-producing province, Alberta, is considering investing in Japan's refinery sector as a way to reduce its dependence on the United States for oil exports. The sources stated that the Alberta government…
IEA: Global oil and gas production is declining rapidly, IEA reports
International Energy Agency (IEA) said Tuesday that the decline in oil and gas production from mature fields around the world is increasing due to a greater reliance on deep-ocean and shale resources. This means companies will need to invest even more to maintain output. Donald Trump's administration has criticized the IEA for its recent shift in focus to clean energy policy. According to a report from the IEA for 2021, there should be no new investment in oil, coal and gas projects if we are serious about meeting our climate targets.
Lula: Brazil's environmental agency must be satisfied with Petrobras tests in offshore areas.
Brazil's president Luiz Inacio Lula Da Silva said that the environmental agency Ibama must be satisfied with results of a emergency drill conducted by the state-run oil company Petrobras within the Foz do Amazonas Basin. Petrobras already conducted the test. Ibama must be happy with the results, and Ibama is now going to grant us the permission to conduct the first experiment," Lula stated in an interview given by local news channel Rede Amazonica. Petroleo Brasileiro SA (as the company is officially known) considers the drill as a pre-operational evaluation…
Senators from refinery states try to stop Trump from shifting the renewable fuel obligation
According to a draft of legislation that was seen by the, oil refinery state lawmakers, led by Senator Mike Lee (a Republican from Utah), will introduce legislation to stop President Donald Trump from shifting renewable-fuel blending obligations away from smaller refineries and towards larger ones. The bill reflects the political divisions in the U.S. Biofuels Policy, which pits farm interests against the oil industry that supports U.S. productions of biofuels such as corn-based bioethanol. The current debate centers…
Analysts say that ConocoPhillips’ deep-seated layoffs demonstrate the need for capital discipline.
Investors and analysts have said that ConocoPhillips needs to focus more on its capital discipline and its investment priorities to be competitive against its peers, as oil prices are falling and revenues are also declining. This comes after the company announced it was laying off up to 25 percent of its staff in order to reduce costs. ConocoPhillips, the third largest U.S. oil company, has joined majors Chevron, BP and SLB, as well as the world's two largest oil service companies, Halliburton and SLB, in cutting its staff.
The US cuts to oil jobs and expenditure threaten the output growth
Due to the lower oil price and the largest consolidation in the last generation, the U.S. Oil industry has cut thousands of jobs and billions of dollars in spending. This could be the end of rapid growth in output that made the U.S. world's leading producer. Organization of the Petroleum Exporting Countries (OPEC) and its allies within the OPEC+ group of producers are increasing production to regain market share lost in recent years to the United States. OPEC+ decided on Sunday to increase production by 137,000 barrels a day from October.
Petrobras passes key test for Amazon exploration license
The Brazilian state-owned oil company Petrobras concluded an emergency drill on Wednesday in the Foz do Amazonas Basin, according to the company and Brazil’s environmental agency. This was one of the last steps required to secure the controversial exploration license for the mouth of Amazon river. Petrobras sees this pre-operational evaluation, which started on Sunday, as the final step in an environmental licensing process that it hopes will result in a permit for drilling an exploratory oil well and gas wells in the area.
Petrobras begins emergency drill in Foz do Amazonas basin
Two sources familiar with the situation said on Monday that the Brazilian state-owned oil company Petrobras started an emergency drill on Sunday in the Foz do Amazonas area. Petrobras considers the so-called preoperative assessment as the final step in an environmental licensing procedure to obtain a permit for drilling an exploratory oil well and gas wells in the area. Petrobras, and Brazil's environment agency Ibama, did not respond immediately to a comment request. The drill is expected to include more than 400 participants…
RPT-Private Chinese firm producing oil in Venezuela under rare 20-year pact, source says
China Concord Resources Corp. has started developing two Venezuelan oilfields. The company plans to invest over $1 billion in an investment project that will produce 60,000 barrels of crude oil per day by the end of 2026. An executive involved directly in the project confirmed this. This is a rare private Chinese investment in an OPEC nation that has been struggling to attract foreign capital because of international sanctions against the government of President Nicolas Maduro. This is the first time that the investment amount and production plan have been reported.
Sources say that the US will rule on biofuel waivers but large oil refiners might need to wait.
Two sources familiar with Trump's plans say that the administration will rule as soon as Friday on a backlog of requests for relief from U.S. Biofuel Laws from small oil refiners. However, it will defer a decision as to whether or not larger refiners are required to compensate by increasing their own biofuel blend. Sources said that the U.S. Environmental Protection Agency will announce Friday its decision on 195 small refinery exemption applications pending since 2016. According to one source briefed about the decisions, the rulings won't be a big win for small refiners. They will also include partial denials.
US oil group opposes Trump's plan to reduce biofuel import credit
The top U.S. trade group for oil on Thursday added its voice to the chorus of protests against a government proposal that would reduce incentives for biofuels imports. This will test the Trump administration’s resolve to maintain the policy over the next few months. As a result of the mounting criticism, the White House is forced to choose between farmers who want to prioritize domestic supplies or refiners who are looking for cheaper feedstock. Both groups are loyal to Donald Trump. The proposal, made by the Environmental Protection Agency (EPA) in June…
Norway Oil Industry Investment to Peak in 2025: Survey
A survey by the Statistics Office of Norwegian industry participants showed that oil and gas investment in Norway is expected to peak this coming year and then start decreasing next year. Major projects will be completed. Norway produces around 2% of the world's oil and is now Europe's leading supplier of pipeline natural gas following Russia's invasion in Ukraine in February 2022. In 2025, the country's largest business sector is expected to invest a record amount of 274.8 billion Norwegian crowns (approximately $26,98 billion). This compares with a May estimate of 269.1 billion crowns and 251.2 billion crowns last year.
Palm oil prices fall due to profit-taking and Indonesia's B50 Mandat Plan
Malaysian palm futures fell on Thursday, as investors took profits. Meanwhile, a prominent Indonesian business group reportedly lobbied the government to postpone the B50 biofuel mandate. By midday, the benchmark palm oil contract on Bursa Malaysia's Derivatives exchange for October delivery had fallen 41 ringgit or 0.92% to 4,394 Ringgit ($1,047.44). A local news website quoted Eddy Martono, the chairman of the palm oil industry GAPKI as saying that the government should review the plan because it could lead to a decrease in palm oil exports. GAPKI was told by a government official that it did not submit a written request.
Clean Crude Oil Arrives at BTC Ceyhan After Chloride Contamination
Crude oil arriving at the BTC Ceyhan terminal in Turkey is returning to normal specifications following organic chloride contamination, BP said on Thursday, though some tanks still hold tainted oil.Organic chloride was detected in Azeri BTC crude cargoes last week, pushing price differentials to a four-year low and delaying loadings.Loadings resumed after a pause from July 20-24, with shipments now proceeding from tanks cleared of contamination, subject to testing and charterer approval, sources told Reuters.Azeri BTC loadings from Ceyhan totalled 423…
Shell and others withdraw from global oil and gas emission standard, FT reports
The Financial Times reported that Shell and other major energy companies have given up their six-year effort to define a strategy for net zero emissions after they were told by the standard's creators that it would force them to stop developing oil and gas fields. The FT reported that Shell, Norway's Aker BP, and Canada's Enbridge all left the expert advisory group for Science-Based Targets Initiative since late last year. Science-Based Targets is an important tool for assessing company climate goals. The body proposed new rules in March to help companies create high-quality plans for reducing emissions.