US producer Talos Energy has finalised the unitisation agreement for its shallow-water Zama discovery in Mexico following an operatorship dispute with state-owned Pemex. In 2017, Talos announced the Zama find of up to 950mn bl of recoverable oil equivalent in block 7, which neighbours Pemex acreage. But after more than two years of talks, the parties failed to agree and the energy ministry designated Pemex as operator in July last year. That decision was criticised for deterring investors, for the strain it will put on Pemex's stretched finances, and because of Pemex's lack of experience drilling a reservoir at Zama's depth. The block could produce up to 160,000 b/d of oil equivalent, Talos says, making it the largest exploration and production contract awarded since 2014's energy reforms.
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Europe braces for no Saudi crude in October: Update
Europe braces for no Saudi crude in October: Update
Adds detail on possible October allocation to a European refiner in paragraph 3 London, 18 September (Argus) — State-controlled Saudi Aramco will not supply October-loading term crude to some European refiners, market sources said, following disruptions to September-loading supplies. Aramco has told at least three European refiners that they will not receive October-loading Saudi term crude, they said. One European refiner said it is due to receive some October-loading Saudi term crude, although it is unclear whether these are supplies that were originally due to load in September and have been delayed to October. They were allocated less than they requested for October, the customer added. Two sources said European refiners did not receive October crude term lifting dates, after allocations surfaced today, 18 September. This was not directly confirmed, and Aramco declined to comment. Aramco had already cancelled and deferred term supplies loading at the end of September for some European refiners, which had prompted term customers to also brace for disruptions to October term supply. Typically around 680,000 b/d of Saudi term crude loads for the region. The delays point to a prolonged outage on Saudi Arabia's 7mn b/d East-West crude pipeline, which has been shut since an attack on 10 September. European refiners are already turning to the spot market for alternative supplies. Values for Norwegian Johan Sverdrup — Europe's biggest local medium sour stream and a good direct substitute for Saudi Arab Light — rose by $18.60/bl in the week to 17 September to a $24.05/bl premium to North Sea Dated on a fob basis, a record high. By Ellanee Kruck and Melissa Gurusinghe Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Germany, Spain, Portugal urge EU windfall tax options
Germany, Spain, Portugal urge EU windfall tax options
Brussels, 18 September (Argus) — The European Commission should present clear options for an excess profits tax on oil companies, German finance minister Lars Klingbeil said today, gaining support from some EU counterparts. France, however, cautioned against a one-size-fits-all approach. Klingbeil and his peers from Austria, Spain, Portugal, Poland and Italy called on the commission to outline possible windfall tax models ahead of a 9 October meeting of EU finance ministers in Luxembourg. "My clear expectation from the commission is to present models for an excess profit tax now," Klingbeil said at an informal ministerial meeting in Dublin. "There are also instruments we can use to steer the market. That includes a fuel price cap, but also the excess profit tax." French finance minister Roland Lescure said he was not opposed to a windfall tax but said national circumstances differ. "I'm willing to see what the commission is going to come up with," he said. "We also want to make sure that we don't put one-size-fits-all measures in place when national situations are different." European economy commissioner Valdis Dombrovskis said the commission is not preparing an EU-wide proposal, and member states remain free to pursue national windfall tax measures. "There is a possibility, certainly for member states to proceed with this windfall profit taxation," Dombrovskis said, adding any measures should be temporary and targeted and should not increase fossil fuel demand. "When we are facing a supply shock, driving up demand will not help," he said. Klingbeil said Berlin is discussing reductions in fuel-related taxes, as flagged by German chancellor Friedrich Merz. "I want a clear, rapid signal at the gas pumps," Klingbeil said. "We are doing this as the federal government, but Europe must also contribute now to getting fuel prices down." Spanish economy minister Carlos Cuerpo also urged the commission to analyse energy-sector profits. "And if there are windfall profits, then we should go and tax them," Cuerpo said, arguing for a European approach so the costs are shared fairly. Portuguese economy minister Joaquim Jose Miranda said the commission has generally favoured national responses over a European solution. He said Portugal's automatic fuel tax reduction, introduced after the outbreak of war between Iran and the US, will remain in place for a "certain period". Austrian finance minister Markus Marterbauer called on the commission to examine energy-sector profit margins and earnings, and said he would be open to reintroducing a domestic cap on fuel margins. "Neither the state nor companies should profit from the high prices," he said. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
US considers loaning more crude from SPR
US considers loaning more crude from SPR
Washington, 17 September (Argus) — A recent increase in crude prices has made it a "very real possibility" that the US Department of Energy (DOE) will offer an additional round of crude loans under a still ongoing 172mn bl drawdown from the US Strategic Petroleum Reserve (SPR), US energy secretary Chris Wright said. The escalation of hostilities in the Middle East has caused front month WTI crude prices to jump to about $101/bl, which is about 25pc more than futures prices for delivery six months from now. The steep backwardation in the futures market, if it continues, has made it a "very real possibility" that DOE will resume offering oil under the existing crude loan program, Wright said. "The market right now is saying, 'Hey, maybe we need that oil.' So quite possibly we will respond to that," Wright told reporters on Thursday. DOE has already loaned more than 130mn bl of crude or more than 75pc of the drawdown that President Donald Trump authorized in March, and another 3mn bl is scheduled to be released over the next few weeks. But the remaining crude of the authorization — about 38.5mn bl — has yet to be obligated. DOE got high interest in the program this spring, as traders took advantage of about a $30/bl premium in the front month crude contract over futures prices a year later. That profit was more than enough to cover a requirement to return more crude to the SPR than borrowed, which so far is putting about 1.25 bl into the SPR for each 1 bl borrowed. But by June, when DOE offered to loan out the remaining 40mn bl out of the 172mn bl authorization, the profitability of the trade had collapsed , and only 500,000 bl was contracted. "We had stopped selling because the prices were flat," Wright said. "The market today is pulling for it. If that remains, then it's very possible we will finish the allocation of oil we originally agreed to trade." The ongoing drawdown has pushed crude inventories in the SPR to a 44-year low of 285mn bl. Wright has previously said he expects crude to start returning to the SPR by early next year, but the reserve will remain partially depleted even after that refill process finishes in 2029. The US Congress has only provided $171mn to buy crude to refill the SPR, and Wright said he was looking at other options to refill the SPR. "We have a couple of other very creative ideas that I've hinted at for a while — you'll hear more about them later — where we're going to we're going to put quite a few more barrels into the SPR at no cost to the US taxpayers," Wright said at an event held by The Daily Caller . By Chris Knight Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Cameron LNG undergoing planned maintenance
Cameron LNG undergoing planned maintenance
Houston, 16 September (Argus) — Cameron LNG is carrying out planned maintenance on one of three liquefaction trains at its 15mn t/yr (2bn ft³/d) export terminal in southwest Louisiana, a company spokesperson told Argus on Wednesday. The company declined to comment on how long the maintenance is intended to last. Feedgas nominations to Cameron LNG fell to 1.3bn ft³ on Wednesday from 1.4bn ft³ on Tuesday and an average of 1.9bn ft³/d over the previous 30 days, pipeline data show ( see chart ). Cameron is the second US LNG export terminal to schedule maintenance during the September-October shoulder season. Berkshire Hathaway Energy's 5.75mn t/yr Cove Point LNG terminal in Maryland plans about two weeks of work beginning on 19 September. This comes with the LNG market constrained by the de facto closure of the strait of Hormuz, which has effectively shut in about 20pc of global supply since the US-Iran war began in late February. But Cameron LNG said it does not anticipate any disruptions to its customers. France's TotalEnergies and Japanese trading firms Mitsubishi and Mitsui are Cameron LNG's offtakers, each with a 16.6pc stake in the project. Sempra Infrastructure holds the remaining 50.2pc stake and operates the terminal. No ships were docked at Cameron LNG on Wednesday afternoon. But the Mitsui-operated 174,000m³ Marvel Phoenix departed with a 72,700t cargo earlier in the day, Kpler ship-tracking data show. The terminal has three LNG storage tanks, each with capacity of about 72,000t, giving Sempra Infrastructure flexibility to minimize loading disruptions during maintenance. Cameron LNG most recently carried out maintenance on one of its trains throughout May, when feedgas flows averaged 1.5bn ft³/d. The terminal exported 870,000t of LNG that month, down from an average of 1.2mn t/month in the previous three months. The decline was equivalent to about 1.1 fewer cargoes per week, assuming a standard cargo size of 72,000. Meanwhile, work on Cove Point LNG's pipeline system is expected to begin on 19 September, capping feedgas at 20mn ft³/d through 24 September and at 30mn ft³/d from 25 September to 2 October. The outage could remove another three cargoes from the market during that span. By Tray Swanson Feedgas flows to Cameron LNG bn ft³/d Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
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