Biden blasts oil companies over high gasoline prices

Market: Crude oil, Oil products
17/11/21

US president Joe Biden today blasted oil and gas companies over "significant profits off higher energy prices" as he again asked the Federal Trade Commission (FTC) to investigate if there is any price manipulation in gasoline markets.

"The two largest oil and gas companies in the US, as measured by market capitalization, are on track to nearly double their net income over 2019, the last full year before the pandemic" and are spending the profits on stock buybacks and dividends, Biden wrote in a letter to FTC chairman Lina Khan. "I do not accept hard-working Americans paying more for gas because of anti-competitive or otherwise potentially illegal conduct."

The White House asked FTC, the US government's primary anti-trust regulator, in July to investigate if there was any manipulation in oil and gasoline markets, citing a divergent trend in crude and gasoline prices. To date, the commission's response has been to direct staff to increase oversight of mergers in the energy industry. But Biden said the FTC should act immediately to review "mounting evidence of anti-consumer behavior by oil and gas companies."

By Haik Gugarats

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18/07/25

Brazil's Bolsonaro put under police surveillance

Rio de Janeiro, 18 July (Argus) — Former Brazilian president Jair Bolsonaro has been fitted with an ankle monitor after police raided his home in the capital Brasilia, the latest in a series of court-ordered measures that point to a worsening of his legal situation that could deepen tensions between Brazil and the US. Bolsonaro — who is on trial before the supreme court for an attempted coup — has been ordered to remain at home during certain hours and has been banned from social media and from communicating with foreign diplomats and other defendants. The new measures imposed by the court come in the wake of US President Donald Trump's threat to impose 50pc tariffs on imports from Brazil starting 1 August. Trump said the threat is linked to Bolsonaro's prosecution, calling the trial a "witch hunt". In a 47-page court filing, justice Alexandre de Moraes argued that Bolsonaro and his son Eduardo, a federal congressman, sought help from the US government to pressure Brazilian authorities to interfere in the legal process, calling it a "blatant assault on national sovereignty." Eduardo is in the US and has met with Trump several times to lobby in favor of his father. In response to the latest measure, Eduardo called Moraes a "political gangster in robes" who is "trying to criminalize Trump and the US government". In a televised address on Thursday, President Luiz Inacio Lula da Silva called the tariff threat "unacceptable blackmail in the form of threats to Brazilian institutions". His government has set up an inter-ministerial committee to seek a solution to the impending tariffs . Speaking to journalists on Friday morning, Bolsonaro offered to appeal to Trump directly to resolve the issue. He denied attempting a coup or having plans to flee the country. His passport was seized by authorities in February 2024. By Constance Malleret Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Chevron completes Hess takeover after arbitration win

18/07/25

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18/07/25

Chevron completes Hess takeover after arbitration win

New York, 18 July (Argus) — Chevron is finally able to close its delayed $53bn acquisition of US independent Hess after an arbitration court ruled against ExxonMobil in a dispute over a share of Guyana's vast offshore riches. ExxonMobil argued it had a right of first refusal over Hess' 30pc stake in the giant Stabroek block, the key attraction behind Chevron's proposed takeover of the company, which was seen as vital in addressing concerns over Chevron's long-term growth prospects. An arbitration hearing was heard in private in London in late May after the two sides were unable to agree on a resolution. While ExxonMobil said today that it disagreed with the ruling by the International Chamber of Commerce (ICC) Tribunal, it would respect the arbitration and dispute resolution process. "We welcome Chevron to the venture and look forward to continued industry-leading performance and value creation in Guyana for all parties involved," a company spokesperson said. Chevron confirmed it had closed the acquisition after prevailing in the arbitration battle with its bigger rival. "This merger of two great American companies brings together the best in the industry," Chevron's chief executive officer Mike Wirth said. "The combination enhances and extends our growth profile well into the next decade." ExxonMobil is the operator with a 45pc stake in the Stabroek block off the coast of Guyana, where an estimated 11bn bl of oil equivalent have been discovered over the past decade. Both it and Chinese state-controlled CNOOC, which has a 25pc holding, had asserted pre-emption rights in relation to the Hess stake. Hess and Chevron had argued that such rights of first refusal do not apply in the event of a corporate takeover. The arbitration process had held up the takeover — first announced in late 2023 — which previously won approval from US anti-trust regulator the Federal Trade Commission as well as Hess shareholders. ExxonMobil has argued in the past that little would change if Hess ended up winning the arbitration case and Chevron went on to complete its acquisition. "We have partnerships with Chevron all over the world," ExxonMobil's senior vice-president Neil Chapman said back in May. "It's been no change in terms of how we're working together at all." By Stephen Cunningham Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Natref bitumen supply ends early for Prax

18/07/25

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18/07/25

Natref bitumen supply ends early for Prax

London, 18 July (Argus) — UK-based Prax has ceased bitumen supply from its joint-venture Natref refinery in Sasolburg, South Africa, after selling off its remaining stock ahead of a planned maintenance shutdown. Prax, which owns 36.4pc of the 107,000 b/d refinery alongside Sasol with 63.3pc, told customers in late June that it would no longer have bitumen to sell once inventories were depleted. Market participants said the company confirmed in early July that all volumes had been sold. The refinery began a partial maintenance shutdown on 14 July, scheduled to run until 8 October. Both shareholders had previously announced that bitumen production would end in September, but the maintenance has brought forward Prax's exit from the market. Sasol continues to supply bitumen by truck to regular contract customers, but availability is limited, according to buyers. Some buyers reported difficulty securing pen 70/100 bitumen, a key grade used in South African road construction. The halt in bitumen production is part of a broader plan to switch Natref's crude slate to sweeter grades, aimed at maximising output of light and middle distillates. This shift will also reduce production of other heavy products, including high-sulphur fuel oil (HSFO), market participants said. Natref was the last refinery in South Africa producing bitumen. Its exit from the market means the country will now rely entirely on imports to meet domestic demand. Prax did not respond to a request for comment. The halt comes as Prax faces financial difficulties in the UK, where its Lindsey refinery is under the control of a court-appointed receiver. By Fenella Rhodes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Baghdad, Erbil reach deal on Ceyhan oil exports

17/07/25

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17/07/25

Baghdad, Erbil reach deal on Ceyhan oil exports

Dubai, 17 July (Argus) — Iraq's federal government and its semi-autonomous Kurdistan region reached an agreement on allocation of oil production volumes, paving the way toward the restart of northern Iraqi crude exports through Turkey's Ceyhan port The terms of the agreement, which Iraq's government approved on Thursday, will require the Kurdistan Regional Government (KRG) to immediately begin delivering at least 230,000 b/d of oil to Iraqi state marketer Somo for exports. In exchange, Baghdad will pay $16/bl — in cash or in kind — under the amended budget law, "as an advance to the Kurdish government," Iraq's government said. The delivered volumes are expected to increase at a later stage. The federal government said it will transfer the salaries of KRG public servants for the month of May, "after the federal ministry of oil or Somo confirms receipt of the full oil quantity — currently 230,000 b/d — at the Ceyhan port". The $16/bl figure referenced in the agreement reflects what the amended budget law stipulates foreign oil companies operating in the semi-autonomous Kurdish region are to be paid for production and transportation costs. Baghdad also explicitly acknowledged KRG's estimate of the total oil production in the region, at 280,000 b/d. As part of the deal, 50,000 b/d will be allocated for the Kurdistan region's domestic use, with the KRG covering the associated costs of production and transfer. Net revenues from those volumes will be transferred to the federal treasury. A source within the international oil companies (IOCs) operating in Kurdistan told Argus that the firms are concerned about being compensated for the 50,000 b/d allocated for local consumption. "IOCs still need a clear plan for how they will receive payment for the $1bn in arrears," the source said, adding, "the KRG and the federal government need to swiftly agree on the scope of work for the independent consultant." The budget law amendment passed in January stipulates that an international consulting firm is to be tasked with auditing the costs of production and transportation in the Kurdistan region. Baghdad and Erbil have yet to agree on the firm or its scope of work. The IOCs refuse to share with Iraq's oil ministry the existing contracts they have signed with the KRG. Meanwhile, the deal also suggests that Baghdad may supply Erbil with up to 15,000 b/d of refined products, if needed, based on a joint committee's assessment of the Kurdish region's needs. The assessment is due within two weeks. The KRG is also expected to transfer an estimated 120 billion Iraqi dinars ($92mn) in non-oil revenues for May to the federal Ministry of Finance. The Iraq-KRG deal is a "milestone toward the resumption of oil exports through the Iraq-Turkey pipeline," said the Association of the Petroleum Industry of Kurdistan, an industry group representing foreign oil companies operating in Iraqi Kurdistan. The group said its members "anticipate additional discussions with [federal government] and KRG officials to establish written agreements prior to resuming exports." Negotiations between Baghdad and Erbil reached a conclusion just as drone attacks in Iraqi Kurdistan led foreign oil companies operating in the region to shut in more than 200,000 b/d of production as of Wednesday. No group has claimed responsibility for the attacks. In the first public accusation voiced by a senior Kurdish official, former Iraqi foreign minister Hoshyar Zebari on Wednesday blamed the attacks on Wilaya-aligned factions — a group of Iran-backed militias. By Bachar Halabi Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Trump tariff threats stall Brazil tallow exports

17/07/25

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17/07/25

Trump tariff threats stall Brazil tallow exports

Sao Paulo, 17 July (Argus) — Brazilian beef tallow export sales discussions with US buyers have stalled following President Donald Trump's threat to impose a 50pc tariff on all Brazilian imports. New deals for the biodiesel feedstock into the US will become unfeasible if the tariff comes into effect on 1 August , according to market participants, who said sales discussions that were at an advanced stage before the tariff threat have been suspended. On 4 July, the week before Trump's unexpected 9 July announcement, the Argus indicator for beef tallow exports traded at ports in Brazil's south and southeast stood at $1,120/metric tonne (t) and at $1,388/t for beef tallow traded in the US Gulf. But since then bids to buy and sell have stopped, leaving prices last assessed on 11 July as flat to the 4 July price. The US is the primary importer of Brazilian tallow, taking in 97.5pc of exports of the fat in 2024, according to trade ministry MDIC. The end of exports to the country would represent an unprecedented crisis for the segment, cutting off the main flow of animal fat to foreign markets and limiting activity to occasional deals covering small volumes. The 50pc levy also risks putting downward pressure on prices for the hundreds of thousands of tonnes of beef tallow flowing witin Brazil's domestic market. Uncertainty had been hanging over the market since the US Environmental Protection Agency (EPA) released on 13 June a proposal for US biofuel blending in 2026 and 2027 that could significantly cut RIN credits generated from imported biofuels or those produced from foreign feedstocks. But the EPA proposal also stipulates that US oil refineries will need to blend 5.61bn USG of biomass diesel to meet the requirements in 2026, an 67pc increase from 2025 volumes requirements. That expected increase in biomass diesel demand appeared to outweigh US refiners' concerns about credit reductions as acquisition of foreign tallow continued throughout the first half — especially from Brazil, which the US had slapped with 10pc import duties in April. Brazil exported 235,665t of tallow in the first half of the year, up from 147,950t in the same period in 2024, according to MDIC data. Market participants consider exports to be viable even with the current 10pc levy, but the threat of bigger tariffs has exporters closely monitoring the evolution of the trade dispute between the two countries. By João Marinho Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Biden blasts oil companies over high gasoline prices

Related news posts

Brazil's Bolsonaro put under police surveillance

Brazil's Bolsonaro put under police surveillance

Chevron completes Hess takeover after arbitration win

Chevron completes Hess takeover after arbitration win

Natref bitumen supply ends early for Prax

Natref bitumen supply ends early for Prax

Baghdad, Erbil reach deal on Ceyhan oil exports

Baghdad, Erbil reach deal on Ceyhan oil exports

Trump tariff threats stall Brazil tallow exports

Trump tariff threats stall Brazil tallow exports

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