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Harris selects Minnesota's Walz as running mate

  • Market: Biofuels, Coal, Crude oil, Emissions, Natural gas, Oil products
  • 06/08/24

Democratic presidential candidate Kamala Harris has picked Minnesota governor Tim Walz (D) as her running mate, elevating a Midwestern voice who has championed ambitious policies on climate change and clean energy during his two terms as governor.

Walz, who was a schoolteacher before serving in the US Congress and then as governor, only recently emerged on the national stage as a favorite of progressives who could take on Republicans. Harris said she chose Walz as her running mate based partly on his "convictions on fighting for middle class families" and his efforts to deliver for "working families like his own."

Harris will appear with Walz today at a rally in Philadelphia, Pennsylvania, in the first event the campaign says will be a "five-day barnstorm" to introduce the Democratic ticket to voters in battleground states. The Harris campaign today touted Walz's service in the military and election in a conservative-leaning district as a sign of his broader political appeal.

In 2021, Walz made Minnesota the first state in the Midwest to adopt California's tailpipe standards, and last year he signed a law requiring Minnesota utilities to switch entirely to wind, solar and other carbon-free electricity sources by 2040. Walz signed a separate law in June that would expedite the state's permitting process for renewable power projects.

The campaign for Republican nominee Donald Trump today said Walz was a "West Coast wannabe" who as governor replicated California's policies on the environment. "From proposing his own carbon-free agenda, to suggesting stricter emission standards for gas-powered cars and embracing policies to allow convicted felons to vote, Walz is obsessed with spreading California's dangerously liberal agenda," Trump campaign press secretary Karoline Leavitt said.

Minnesota does not produce any crude or natural gas and has no coal mines. As of 2022, coal-fired power plants represented 27pc of Minneosta's in-state electricity generation, nuclear generated 24pc of electricity and renewable resources supplied 31pc of electricity. Minnesota is the fifth-largest ethanol producer in the US and has a production capacity of 1,400mn USG/yr.

Environmentalists applauded Walz's selection as a running mate who has sought ambitious policies related to climate change and clean energy, in addition to signing a law last year providing $2bn for environment, climate and energy. The Harris-Walz ticket "isn't afraid to tackle climate change head-on," Sierra Club executive director Ben Jealous said.

Harris' vice presidential selection meant passing over Pennsylvania governor Josh Shapiro (D), who was also being vetted as someone who could help Harris win the battleground state. Democrats hope the selection of Walz will offer a contrast to Republican vice presidential nominee JD Vance, who Walz has criticized as "just weird" for positions such as faulting women for not having children.


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11/07/25

US to loan 1mn bls crude to Louisiana refinery: Update

US to loan 1mn bls crude to Louisiana refinery: Update

Adds details on crude quality issues from Mars pipeline. Washington, 11 July (Argus) — ExxonMobil will borrow up to 1mn bl of crude from the US Strategic Petroleum Reserve (SPR) for its 522,500 b/d refinery in Baton Rouge, Louisiana, in response to a disruption to offshore supply of crude for the facility. ExxonMobil warned suppliers last week of "serious quality issues" related to elevated levels of zinc in crude supplied by the Mars pipeline, which brings crude from a series of deepwater fields in the Gulf of Mexico to shore, according to market sources. In letters to suppliers ExxonMobil said the crude quality issues were "... significantly affecting the operations at our Baton Rouge Refinery," and that it would stop accepting Mars crude "... in an effort to avoid further damages." The US Department of Energy said today it had approved the loan to ExxonMobil, called an exchange, to ensure a stable supply of transportation fuels in Louisiana and the US Gulf coast. The agency said the crude loan will support ExxonMobil's "restoration of refinery operations that were reduced due to an offshore supply disruption." Chevron, one of the producers that contributes crude to the Mars pipeline, said it has "identified a potential contributing source to the Mars crude composition changes, which is associated with the start-up of a new well." Chevron said it was working to resolve the matter and does not expect it to affect current production guidance. In April Chevron started production from a new deepwater field , Ballymore, which ties into the Mars system. Shell, which owns a majority stake in the Mars pipeline, did not respond to a request for comment. Mars premium to WTI falls The August Mars premium to Nymex-quality WTI has dropped nearly $1/bl in the last week. The August Argus Mars volume-weighted average assessment on Thursday was a 9¢/bl premium to the Nymex-quality WTI Cushing benchmark, nearly $1/bl lower than a week earlier. Mars averaged a 63¢/bl premium for the August trade month through Thursday, but was at a $1.40-$1.50/bl premium at the start of the trade month. The August trade month started 26 June and ends 25 July. The SPR, which consists of four underground storage sites in Texas and Louisiana, held 403mn bl of crude as of 4 July. Under the exchange announced today ExxonMobil will eventually return the borrowed crude — along with additional crude as payment for the loan — to the SPR. The SPR's Bayou Choctaw site connects to refineries in Baton Rouge through the Capline pipeline. In 2021, the Department of Energy authorized a loan of up to 3mn bl from the SPR to ExxonMobil's refinery in Baton Rouge to address disruptions related to Hurricane Ida. ExxonMobil was initially scheduled to return the crude in 2022, but that deadline has been repeatedly pushed back, most recently to require a return of the crude by March 2026. By Chris Knight, Eunice Bridges and Amanda Smith Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Congress resumes push to cut US shipping pollution


11/07/25
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11/07/25

Congress resumes push to cut US shipping pollution

New York, 11 July (Argus) — US lawmakers reintroduced two bills Thursday to slash greenhouse gas emissions from the shipping industry. Senators Sheldon Whitehouse (D-Rhode Island) and Alex Padilla (D-California), along with US House of Representatives members Doris Matsui (D-California) and Kevin Mullin (D-California), reintroduced the International Maritime Pollution Accountability Act, which would impose pollution fees on large ships calling at US ports. The bill targets vessels over 5,000 gross tonnes with a $150/t fee on carbon, plus fees on nitrogen oxides at $6.30/lb, sulfur dioxide at $18/lb, and fine particulate matter at $38.90/lb. Ship operators would only pay the carbon fee if no equivalent global measure from the International Maritime Organization (IMO) is in place. Revenue would go toward modernizing the Jones Act fleet with low-emission ships, electrifying shipbuilding, and addressing pollution at US ports. The group also reintroduced the Clean Shipping Act of 2025, led in the House by Representatives Robert Garcia (D-California). It directs the Environmental Protection Agency to impose carbon intensity standards for marine fuels, targeting 30pc lifecycle CO2-equivalent emissions reduction from 2030, 58pc from 2034, 83pc from 2040, and 100pc from 2050. It also requires all ships at berth or anchor in US ports to emit zero emissions by 2035. The lawmakers say the proposed bills also close a major loophole. Marine shipping is largely exempt from fuel taxes unlike other transport sectors. They say the plan will also support US manufacturing and help reduce the US trade deficit. The International Maritime Pollution Accountability Act is endorsed by environmental and advocacy groups including Friends of the Earth, Sierra Club and Ocean Conservancy, among others. The original bills were introduced in 2023 and expired without being enacted. The bills follow the IMO's decision in April to adopt a net-zero framework and a global carbon price proposal for shipping. The US delegation was absent from IMO's April meeting, issuing a statement that "President Trump has made it clear that the US will not accept any international environmental agreement that unduly or unfairly burdens the US or the interests of the American people ." By Stefka Wechsler Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil advances oil, gas decarbonization strategy


11/07/25
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11/07/25

Brazil advances oil, gas decarbonization strategy

Sao Paulo, 11 July (Argus) — Brazil is implementing a roadmap to increase crude output without boosting net emissions from the sector, a key argument for its claim to leadership on climate issues ahead of the Cop 30 UN summit. Although Brazil does not plan to phase out fossil fuel use, it is working to reach net zero emissions by 2050, and slashing greenhouse gases from its hydrocarbons production is part of this strategy. Brazil's oil industry already has a carbon footprint at 14.88kg CO2 equivalent (C02e)/bl of oil equivalent (boe), which is well below the global average of 20kg CO2e/boe, according to the hydrocarbons regulator ANP. But with oil and gas production slated to increase steadily over the next decade, Brazil's government and producers are eyeing a range of options to further slash emissions. "Brazil can double oil output without increasing net emissions by employing existing technologies," Heloisa Borges, the director of oil, gas and biofuels at the government energy planning and research agency (Epe) said. As part of these efforts, the government called on Epe, ANP and state-owned company Pre-Sal Petroleo to present a roadmap to decarbonize the sector. The plan presented in late June outlines options including adopting new technologies and expanding existing emissions reductions techniques, such as leak detection and reducing flaring. "Expanding methane capture not only reduces emissions, but it allows companies to use this gas to substitute other fuels, such as diesel in their operations," Borges said. Other fuel substitution operations include using natural gas as fuel for drilling rigs and electrification of production operations, the study said. State-controlled Petrobras is already advancing its decarbonization strategy. The company's most recent five-year plan earmarks R5.3bn ($950mn) for emissions reductions in its operations as well as $1bn for research and development of new technologies. Carbon capture, utilization and storage (CCUS) is a key element, according to Lilian Melo, executive director of the Petrobras' research, development and innovation center Cenpes. The company uses high-pressure separation technology to remove CO2 from oil at the mouth of a reservoir and inject it back into the reservoir after the fluids are separated. This technology significantly reduces emissions, especially because crude produced from pre-salt blocks has high CO2 content, Melo said. The CCUS is used on 23 of Petrobras' offshore platforms in the pre-salt. Petrobras is also working to expand electrification of its on and offshore platforms. Power generation is responsible for 65pc of Petrobras' production-related emissions, according to Melo. The company announced this week a contract with Hitachi Energy to assess electrification of its offshore oil operations. Catch and keep Other oil producers are working to reduce the carbon footprint of their operations, including Eneva, which is also weighing investments in carbon capture and storage. The company is conducting a preliminary study to assess the technical viability of injecting CO2 into fields in the Parnaiba basin in Maranhao state. The Gaviao Real field has been operating for more than 10 years and is expected to become depleted in coming years, when it could potentially be converted to store CO2. Eneva is also weighing investments in carbon storage in the Parana basin, where the company has four exploratory blocks. Preliminary seismic data indicates that these blocks also have salt caverns and the company believes that there is significant potential to offer carbon storage to ethanol mills in areas adjacent to the blocks. Despite Brazil's ambitious emissions reduction plan, it has no intention of pulling back on exploration and production. With few exceptions, the Brazilian government is aligned on developing oil and gas reserves to boost economic growth and energy security and holds that the aim does not hurt its role in climate leadership. Brazil's energy sector GHG emissions mn t CO2e Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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USDA boosts soy view on biofuel policy changes


11/07/25
News
11/07/25

USDA boosts soy view on biofuel policy changes

St Louis, 11 July (Argus) — The US Department of Agriculture (USDA) today raised its projected US soybean crush for the 2025-26 marketing year following recent policy changes that are expected to increase domestic soybean oil demand for biofuel production. US soybean crush is expected to rise to a record 69.1mn metric tonnes (t) in the 2025-26 marketing year, the USDA said Friday in its monthly World Agricultural Supply and Demand Estimates (Wasde) report, up by 1.36mn t from the June report. The latest forecast marks a 5pc increase from volume projected for the 2024-25 marketing year. The higher outlook for soybean crush was driven by a substantial increase in anticipated soybean oil use for biofuel production, which the USDA places at 7.03mn t for the marketing year ahead, up by 27pc from the volume expected for the current marketing year. The increased biofuel use outlook follows US policy changes that significantly strengthen support for biofuels made from domestically produced feedstocks through changes to the 45Z biofuels tax credit and Renewable Identification Number credits generated through the Renewable Fuel Standard. The US is also proposing to require record biofuel blending into the US fuel supply over the next two years, including unexpectedly strong quotas for biomass-based diesel. With the increase in soybean crush, USDA expects domestic soybean oil production will rise to a record 13.6mn t in 2025-26, up by 4.1pc from the current marketing year. Additionally, the USDA revised higher its expectation for soybean oil imports in 2025-26 to 200,000t, up by 13pc from the current marketing year. Following an elevated export rate over the first half of the current marketing year, US soybean oil exports are projected to collapse in 2025-26, down by 73pc from the current marketing year to 318,000t. The reduction in exports, in combination with increased supply, is projected to exceed the gains in biofuel demand, increasing stocks to 758,000t by the end of the 2025-26 marketing year, up by 15pc from the inventory level projected for the end of 2024-25. Soybean meal supplies swell The jump in soybean oil demand is as also expected to result in a record level of US soybean meal production in 2025-26, up 4.5pc from 2024-25 to 54.3mn t, according to USDA. Both domestic use and exports of soybean meal are projected higher for the next marketing year following the increased supply outlook. US soybean meal exports are projected to reach 17mn t, up 7.5pc from 2024-25, while US soybean meal domestic use is projected to rise by 2.8pc to 37.9mn t. Soybean mean stocks are projected to increase as well, reaching 431,000t by the end of 2025-26, up 5.6pc from the level projected for the end of the 2024-25 marketing year. By Ryan Koory July 2025 USDA projections 2025-26 Chg from Jun 2024-25 Chg from Prior MY U.S. soybean oil supply and use ( mn t ) Supply -Beginning stocks 0.66 - 0.70 - -Production 13.59 0.27 13.06 - --Extraction ratio (pc) 19.67 0.00 19.83 - -Imports 0.20 0.07 0.18 -0.05 Total supply 14.46 0.34 13.95 -0.05 Use -Domestic disappearance 13.38 0.73 12.11 -0.14 --Biofuel 7.03 0.73 5.56 -0.39 --Food, feed and other Industrial 6.35 - 6.55 0.25 -Exports 0.32 -0.45 1.18 0.09 Total use 13.70 0.27 13.29 -0.05 -Ending stocks 0.76 0.06 0.66 - -Stocks-to-use (pc) 5.53 0.36 4.95 0.02 U.S. soybean meal supply and use ( mn t ) Supply -Beginning stocks 0.41 - 0.41 - -Production 54.30 1.04 51.98 - --Extraction ratio (pc) 78.54 -0.04 78.92 - -Imports 0.59 - 0.66 0.09 Total supply 55.29 1.04 53.05 0.09 Use -Domestic disappearance 37.90 0.41 36.85 0.09 -Exports 16.96 0.64 15.79 - Total use 54.86 1.04 52.64 0.09 -Ending stocks 0.43 - 0.41 - -Stocks-to-use (pc) 0.79 -0.02 0.78 -0.00 October-September markeing year — USDA, Argus Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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DOE to halt wind transmission line: US senator


11/07/25
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11/07/25

DOE to halt wind transmission line: US senator

Houston, 11 July (Argus) — President Donald Trump's administration has pledged to halt an 800-mile transmission line designed to deliver wind power from Kansas to eastern states, according to a US senator. US energy secretary Chris Wright has said he "will be putting a stop" to the Grain Belt Express transmission line, senator Josh Hawley (R-Missouri) said on Thursday via the X social media platform. Hawley has made repeated calls for the Department of Energy (DOE) to cancel a $4.9bn conditional loan awarded to the project in the waning days of former president Joe Biden's administration. The senator has called the project an "elitist land grab harming Missouri farmers and ranchers". Whether Wright pledged to rescind the loan or take other action to stop work on Grain Belt Express was not immediately clear from Hawley's statement. Neither the senator's office nor DOE immediately responded to requests for additional information. Hawley's statement is "bizarre", according to Invenergy, the Chicago-based developer behind the project. The company said that the transmission line has already received approvals from all four states that it will traverse, acquired 1,500 agreements with landowners tied to construction and announced "significant" supply chain agreements for materials sourced domestically. "Senator Hawley is attempting to kill the largest transmission infrastructure project in US history, which is already approved by four states and is aligned with the president's energy dominance agenda," the company said. The Grain Belt Express would deliver wind power from Kansas to converter stations in Missouri and Indiana, with the Missouri station connecting to grids overseen by the Associated Electric Cooperative and Midcontinent Independent System Operator (MISO), while the Indiana station links with the PJM Interconnection. Invenergy plans to build the project in two phases, with the first delivering 2,500MW into Missouri and the second ferrying another 2,500MW to the PJM region, which includes the District of Columbia and 13 states in the Midwest and mid-Atlantic. DOE in November 2024 awarded the project a conditional loan of up to $4.9bn to help finance the initial stage as part of Biden's larger push to decarbonize the electricity sector. Invenergy intends to start construction on the first phase next year. Ultimately, the line would supply 15mn MWh/yr to Missouri, with 60pc of the capacity allocated to MISO and the remainder to the Associated Electric Cooperative. Another 15mn MWh/yr would flow into the PJM markets. Altogether, the line would supply enough electricity to cover the demand of more than 2.8mn households. Landowner groups in Missouri have long targeted the Grain Belt Express, but have failed to stymie the project through a challenge to its use of eminent domain . Opponents have since continued their efforts against the project, and Missouri attorney general Andrew Bailey, a Republican, last week called on state utility regulators to rescind the line's permit on grounds that Invenergy relied on "deceptive" information to secure its approval. By Patrick Zemanek Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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