New York ULSD hits record high on Saudi outage: Update

Spanish Market: Oil products
15/09/26

Adds Ukraine strike on Russian refinery in final pragraphs

A widening Mideast Gulf conflict and mounting supply concerns propelled New York diesel prices to record highs on Tuesday.

The October Nymex ultra-low sulfur diesel (ULSD) contract settled at a record $5.2620/USG, up by 30¢/USG on the day. Because the contract serves as the pricing basis for US distillates, including diesel, heating oil and jet fuel, the rally pushed New York diesel cash prices to all-time highs.

New York Harbor (NYH) barge ULSD closed at $5.36/USG, surpassing the previous record set in April 2022. Colonial offline ULSD delivered into Linden, New Jersey, climbed to $5.31/USG, also the highest on record.

NYH barge ultra-low sulfur heating oil (ULHS) traded at October Nymex -16.50¢/USG, a gain of 2¢/USG. This helped cash prices ramp up to $5.10/USG, rising by more than 32¢/USG to a four-year high.

The market focused on how long it will take to restore Saudi Arabia's 7mn b/d East-West crude pipeline after attacks forced the key export route off line, sources said Monday. State-controlled Saudi Aramco shut the pipeline on 10 September following attacks that Riyadh said originated in Iraq. The pipeline has become increasingly important for exports since the US-Iran war disrupted seaborne crude shipments through the strait of Hormuz.

One market source said repairs are likely to take weeks rather than days, while another estimated the outage could last up to a month.

Adding to diesel supply concerns, Ukrainian drones struck Russian state-controlled Rosneft's 200,000 b/d Syzran refinery on 15 September, according to Ukraine's military general staff. The attack came just one day after US president Donald Trump said he had secured assurances from Kyiv that such strikes would cease.

On 13 September, Trump blamed record-high US retail diesel prices on Ukrainian long-range attacks targeting Russian refineries and export infrastructure. However, the more immediate driver of reduced Russian diesel availability has been Moscow's diesel export ban, which remains in effect through 30 September to curb rising domestic fuel prices.

By Craig Ross

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11/10/26

New strike on Riyadh airport kills 12, injures 309

Dubai, 11 October (Argus) — A strike on King Khalid International Airport in Riyadh has killed at least 12 people and injured 309, Saudi Arabia's General Authority of Civil Aviation (GACA) said early on Sunday. Saturday's attack was the third on the airport over the past week and the deadliest single attack in any Gulf Co-operation Council (GCC) country since the US-Iran war began in late February. A source with knowledge of the situation said the attack targeted passenger terminal 3, which is used for domestic flights. Operations at the airport were temporarily suspended, GACA said. The dead included four Saudi citizens, two Bangladeshis and one national each from the US, Egypt, Jordan, Syria, Palestine and Sudan, GACA said. Some of the 309 injured were in a "critical condition", it said. The attack came a day after Yemen's Houthi rebels declared an air blockade of Riyadh airport, saying only humanitarian flights that had secured approval from the Houthi authorities would be permitted to land or depart. Houthi military spokesman Yahya Saree reiterated that guidance on social media platform X around the time of Saturday's attack. In a subsequent statement on Sunday, Saree renewed warnings against using Saudi airports and airspace, saying they remained exposed to attack by Houthi forces. He said the warning did not apply to airports serving Mecca and Medina, and that the group would continue its policy of "airport for airport, siege for siege, and escalation for escalation" until it achieved its objectives. The Houthis have carried out a series of attacks on Saudi energy infrastructure and airports in recent weeks as fighting intensifies between the group and forces aligned with Yemen's Saudi-backed internationally recognised government. The latest attack brings the death toll from missile and drone strikes on Saudi airports to at least 18 this week. Two attacks on Riyadh airport on 9 October killed three people, including a pilot who worked for national carrier Saudia, while attacks on Riyadh and Abha international airports on 6-7 October killed another three. The Saudi-led coalition, which has backed the Yemeni government in its fight against the Houthis for more than a decade, separately said a projectile had fallen near King Fahd International Airport in Dammam, on Saudi Arabia's east coast. Shortly after the Riyadh airport attack, US president Donald Trump was asked whether Washington would consider joining Saudi military action against the Houthis. Trump said the US "may" join and that his administration would "make a decision" soon. "We move very quickly," he said. By Nader Itayim Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Voluntary biodiesel use furthers Brazil climate goals

09/10/26

Voluntary biodiesel use furthers Brazil climate goals

Sao Paulo, 9 October (Argus) — Voluntary use of biodiesel in Brazil above its 15pc mandate is broadening across sectors, highlighting diverse approaches to decarbonization and energy security amid intensifying global conflicts. The pending implementation of a regulated carbon market in Brazil means companies will need to reduce or offset greenhouse gas emissions. To meet those obligations, many are expanding their use of biofuels alongside the purchase of carbon credits. Biofuel use could also gain ground as an alternative to petroleum-based diesel, especially during price spikes driven by geopolitical conflicts such as the Mideast Gulf conflict and the Russian war in Ukraine, market participants from biofuel companies and industries say. Biodiesel is typically more expensive than diesel in Brazil, but that relationship can flip during periods of global tension. Between 2 March, the first trading day after the start of the US-Iran war, and 6 October, the price of S10 diesel at the southern port of Paranagua, in Parana state, reached R7,402($1,480)/m³, the highest level since the 2020 start of Argus' historical series. Biodiesel in the same period was quoted at R5,434/m³ in the spot market in Araucaria, also in Parana. Companies have also begun to pay greater attention to energy security in light of recurring international crises and supply risks. Brazil imports between 20-25pc of its diesel demand, leaving it exposed to foreign market conditions. In this context, biofuels are gaining importance not only as a decarbonization tool but also as an alternative to reduce reliance on imported fuels and bolster energy security. This concern has been reinforced by recent events highlighting the vulnerability of global supply chains. Russia, one of the world's leading diesel exporters and historically a major supplier to Brazil, went so far as to restrict overseas shipments to safeguard its domestic market during the war in Ukraine. In the US, statements by President Donald Trump regarding potential limits on fuel exports have also fueled fears of a tightening in global supply. "Companies need to analyze the magnitude of the risk associated with not having the product [diesel]" in hand, said Daniel Furlan Amaral, regulatory affairs director at the Brazilian vegetable oil industry association Abiove. "This will become a component of companies' risk matrices." Industries from mining to consumer goods test higher blends Brazilian mining giant Vale is among the firms testing higher biodiesel blends. In Mariana, in southeast Minas Gerais state, the company uses 30–50pc biodiesel blends in part of its truck fleet, which has a capacity of up to 190 tonnes (t). Vale sees biodiesel use, once performance parameters are validated, as having the potential to generate meaningful environmental gains and serve as a benchmark for large-scale adoption across the sector. The miner is also investing in solutions such as ethanol and battery-electric trucks. A Brazilian-based subsidiary of German auto giant Mercedes-Benz is also testing diesel with a 30pc biodiesel blend in its vehicles. According to the automaker, the trials assess component durability and equipment performance under long-term operating conditions. Besides Mercedes-Benz, state-controlled Petrobras is running tests with 20–25pc blends to evaluate the potential for emissions reductions, while rail operator Rumo uses a 16pc blend in part of its rail fleet. There are also cases of pure biodiesel use in specific applications. Mercedes-Benz reported positive results with the fuel during the Rota Sustentavel COP30 initiative, carried out in partnership with Brazilian biofuel producer Be8. In the initiative, a truck traveled about 4,000km between Passo Fundo, in the southern state of Rio Grande do Sul, and Belem, in the northern state of Para, cutting greenhouse gas emissions by about 99pc, according to researchers from the Instituto Maua de Tecnologia. Among other firms evaluating biodiesel use are consumer goods giant Unilever, which uses pure biodiesel in boilers; maritime logistics firm Wilson Sons Servicos Maritimos, in waterborne operations; and power plant Energetica Suape II, in thermoelectric generation engines. Be8 and other biodiesel producers, such as Amaggi, Potencial, Binatural and Oleoplan, are also conducting evaluations with blends above the mandatory level. Regulatory shift eases voluntary blending Hydrocarbons regulator ANP is revising the rules for voluntary biodiesel use above the mandatory 15pc blend. Previously, companies needed prior authorization from the agency. With a provisional procedure now in effect, companies only need to notify the agency of their use. The regulator has been aligning its rules with Brazil's Fuel of the Future law to streamline procedures and provide legal certainty for the adoption of these alternatives. Replacing prior authorization with a notification model had long been sought by the industry, according to Abiove. According to Amaral, the process required approvals from different agencies — including the Brazilian environment and renewable natural resources institute Ibama — and could take more than six months to complete. "All these requirements discouraged interest" in the past, Amaral said. By Natalia Dalle Cort Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Assembly talks key to Venezuela elections: Rubio

09/10/26

Assembly talks key to Venezuela elections: Rubio

Caracas, 9 October (Argus) — Productive discussions between Venezuela's duel national assemblies are key to eventually holding new elections there, US secretary of state Marco Rubio said today after meeting with the leader of the opposition-controlled legislature. Head of the 2015-elected assembly Dinorah Figuera "has our 100pc percent support" in working towards electoral reform in Venezuela, Rubio said. The 2015 assembly — the last one the US recognizes as legitimate — and the acting assembly led by the brother of interim President Delcy Rodriguez began a series of reconciliation talks in August that will resume in a third phase on 14 October. The next round is meant to focus on selecting new member of the supreme court, which plays a key role in elections, and guaranteeing political rights, Rubio said. Future talks will seek to reform the national electoral council and repealing laws that repress freedoms. The meeting in Washington DC comes as former hopeful president candidate for the opposition Maria Corina Machado has been unable to return to Venezuela despite expressing a desire to do so. Machado and other members of Venezuela's political opposition that faced arrests and harassment under former leader Nicolas Maduro have called for quick elections after the US seized Maduro on 3 January. Some US oil producers have also pointed to elections as a key sign of long-term stability needed for major investments, but Rubio has repeatedly said that Venezuela's institutions must be stabilized first. A peaceful transition in Venezuela "will require a lot of hard work, a little bit of patience [and] free and fair elections", Rubio said. Acting national assembly leader Jorge Rodriguez has pointed to potential elections in 2030 . Both Delcy and Jorge Rodriguez expect to continue in their roles until at least the end of the administration of US president Donald Trump in 2028, some national assembly sources have said. Protests have broken out in Venezuela in recent weeks, mostly against worsening public services and frequent power outages. The lack of clear results from assembly talks and no roadmap to elections are among other complaints. By Jose Chalhoub Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Brazil’s inflation quickens to 4.58pc in September

09/10/26

Brazil’s inflation quickens to 4.58pc in September

Sao Paulo, 9 October (Argus) — Brazil's inflation accelerated to an annual 4.58pc in September, on broad-based gains led by higher transport, food and beverage costs. The consumer price index IPCA accelerated from 4.22pc in August, national statistics agency IBGE said on Friday. The latest move puts inflation slightly above the central bank's target range of 1.50-4.5pc. Food and beverage costs increased to an annual 4.66pc in September, up from 3.53pc in August. Transport costs increased to an annual 3.94pc in September from 3pc in August. Vehicle fuel inflation rose to 4.97pc from 4.41pc, as global fuel costs surged on the Mideast Gulf war. Housing inflation decelerated to an annual 4.22pc from 4.9pc a month earlier, pushed down in part by the end of the Itapu bonus, which launched in July and reduces electricity bills for residential and rural consumers. Personal expenses slowed to 5.9pc from 6.16pc. Brazil's central bank expects inflation to end 2026 at 5pc, above its 1.5-4.5pc targeted range. Brazil's economic growth has accelerated to an annual 2pc in the second quarter from 1.8pc in the prior three quarter after dropping from a recent high of 4.1pc in the third quarter of 2024. Meanwhile, Brazil's central bank lowered its target rate to 13.75pc in late September. By Mariana Funchal Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Mexico’s inflation quickens to 3.45pc in Sept.

08/10/26

Mexico’s inflation quickens to 3.45pc in Sept.

Mexico City, 8 October (Argus) — Mexico's annual inflation accelerated to 3.45pc in September, the highest level since May, driven by upward pressure in the non-core index led by rising fruit and vegetable prices. The consumer price index (CPI) accelerated from an annual 3.26pc in August, according to statistics agency Inegi. While moving further above the central bank's 3pc inflation target, CPI has kept within the central bank's 2pc-4pc inflation tolerance range since May. September inflation came slightly below analyst forecasts, with Mexican banks Banorte and Banamex projecting 3.46pc and 3.5pc, respectively. Responding to the result, both banks revised their full-year 2026 estimates for the headline to 3.9pc from 4.0pc Core inflation eased further to 3.75pc in September from 3.88pc a month earlier. Within that, consumer goods slowed to 3.21pc from 3.41pc in August, and services inflation fell to 4.27pc from 4.33pc the previous month. September's faster headline rate was mainly fueled by the more volatile non-core index of prices, which accelerated to an annual 2.45pc from 1.13pc in August, largely because fresh fruit and vegetable prices expanded by an annual 8.78pc in September from 4.1pc in August. Energy inflation drove the non-core as well, accelerating sharply to 1.48pc from 0.81pc, despite government caps on LPG, regular gasoline and diesel retail prices to mitigate volatility stemming from the ongoing US conflict with Iran. Premium gasoline prices , which are not capped, maintained 11pc annual inflation in September. Price growth also accelerated for transportation, climbing to 3.51pc from 3.43pc in August, and for housing and utilities at 3.33pc in September from 3.06pc the previous month. In contrast, inflation for restaurants and hotels slowed to 6.19pc from 6.27pc in August. From the previous month, consumer prices rose 0.42pc, accelerating from a 0.20pc increase in August, Inegi reported. By James Young Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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