Oil price ‘will fix itself’: al-Badri

Spanish Market: Crude oil, Natural gas, Oil products
10/11/14

Opec secretary-general Abdullah al-Badri said the fall in oil prices will fix itself, and that investment, and so sustainable production levels, will come with a "reasonable price".

His reiteration of this message at a conference in Abu Dhabi echoed comments by UAE oil minister Suhail Mohamed Faraj al-Mazrouei who said the price fall is "not a major issue that we need to worry about".

Al-Badri said: "It is still maybe two weeks before the Opec meeting can tell the media not to panic. This {oil price volatility} will fix itself. We have been enjoying a reasonable price for the last 3-4 years. When we have a reasonable price we will have investment, which will result in sustainability," he said today.

"We do not want a very high price because there will be less demand and consumption. We do not want a low price because there will be less investment and supply," al-Badri said. When the price was $110/bl, or $100/bl or $90/bl everyone was happy, he added.

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15/05/26

Argentina's YPF seeks incentives for $25bn project

Montevideo, 15 May (Argus) — Argentina's state-owned YPF has applied to the government's mechanism for large investments, Rigi, for upstream oil development, it said on Friday. The company submitted the request for $25bn, making it the largest Rigi application so far, for its LLL Oil project. The plan includes drilling 1,152 wells on five blocks in the Vaca Muerta unconventional formation in the southern Neuquen province to produce 240,000 b/d by 2032, and all related infrastructure. The production would be for export via the Vmos pipeline and export project. YPF is the leader of the Vmos project, which includes eight other partners. It includes a 437km (271-mile) pipeline, six storage tanks — each with a capacity for 120,000 m³ — and a new port facility in Punta Colorada, on the coast of the southern Rio Negro province. It will start transporting 180,000 b/d at the end of this year, increasing to 550,000 b/d in 2027. It will top off at 700,000 b/d toward the end of the decade. "This is the start of a new stage," YPF chief executive Horacio Marin on the social media platform X. "Everything that we have done so far cannot compare to what is coming in the next two years." Vaca Muerta holds 16bn bl of crude, according to the US Energy Information Administration. The Argentinian government has approved 13 Rigi projects so far, including Vmos, and will accept projects for evaluation through July 2027. It is evaluating 24 projects, including the new YPF project. The Rigi provides customs, exchange and tax stability for 30 years. Companies applying must invest a minimum of $200mn. By Lucien Chauvin Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Phillips 66 moves more crude under Jones Act waiver

15/05/26

Phillips 66 moves more crude under Jones Act waiver

Houston, 15 May (Argus) — US refiner Phillips 66 shipped crude from the US Gulf coast to the US east coast on a foreign-flagged ship in late April, marking at least the second time the refiner has utilized a Jones Act waiver for crude since the start of the waivers in March. The Aframax Front Altair discharged approximately 596,700 bl of West Texas Intermediate crude at the 258,500 b/d Bayway refinery in New Jersey on 13 May after loading it from a terminal in Beaumont, Texas on 29 April. Phillips 66 in early April used a foreign-flagged Panamax vessel to move Bakken crude on the same route taken by the Aframax, the likely first instance of the company utilizing a waiver. US president Donald Trump approved the Jones Act waivers on 17 March, easing domestic shipping requirements for US-US shipments to attempt to offset surging commodity prices caused by the US-Israel war with Iran. His administration has since extended the original 60-day waivers, set to conclude on 17 May, for an additional 90 days terminating on 16 August. The waivers allow shippers to transport crude, natural gas, natural gas liquids, fertilizer, coal and other energy-related products from one US port to another without using US-built, US-crewed and US-flagged ships, as the 1920 Jones Act requires. Demand for refined products shipments via Jones Act waiver deals has outstripped crude demand since the program's inception. Major US refineries are typically pipeline fed when the supply is already domestic, benefiting only in fringe cases where a seaborne shipment can bypass some obstacle in that delivery system or otherwise work out to a cheaper $/bl rate. But places like California and Hawaii, where refinery capacity is low, have demonstrated stronger comparative demand for Jones Act waiver shipments of refined products. This demand is set to rise after international clean tanker rates loading in the US Gulf coast collapsed from mid-April on an influx of displaced Pacific tonnage post-war. The time charter equivalent rate for a US Gulf coast-Caribbean voyage, which represents the return a shipowner might expect per day, dove from an all-time high of $116,300/day on 14 April to -$688/day on 14 May. The latter rate suggests vessel operators might lose money on this voyage at current rates, but that would be less of a loss than allowing the vessel to rack up operating costs while remaining uncontracted. By David Haydon Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Hormus belebt sich – Dieselzuflüsse bleiben schwach

15/05/26

Hormus belebt sich – Dieselzuflüsse bleiben schwach

Hamburg, 15 May (Argus) — Die Zahl der Schiffsbewegungen durch die Straße von Hormus hat in den vergangenen 24 Stunden zugenommen. Nach Angaben der halbamtlichen iranischen Nachrichtenagentur Fars haben Peking und Teheran eine Verständigung über die Passage durch die Wasserstraße erzielt. Ein China-gebundener VLCC ("Yuan Hua Hu") passierte die Straße am 14. Mai und durchquerte anschließend die US-Blockade am Eingang zum Golf von Oman. Ob es dabei zu einem Kontakt mit der US-Marine kam, ist unklar. Insgesamt stieg die Zahl der Transite laut Schiffsdaten am Donnerstag leicht auf mindestens neun Schiffe, nach sechs am Vortag. Darunter befand sich mit dem Containerfrachter "Ciccio" ein China-gebundenes Schiff in westlicher Richtung, während die meisten weiteren westwärts fahrenden Einheiten iranischen Bezug hatten. Die ostwärts gerichteten Transite umfassten sieben Schiffe, darunter mehrere iranisch verbundene Einheiten wie der VLGC "NV Sunshine", der MR-Tanker "Swift Falcon" sowie weitere Gas-, Stückgut- und Spezialschiffe. Auch der nicht-iranisch gebundene Short-Sea-Tanker "Trend" durchquerte die Meerenge ostwärts. Parallel dazu signalisierte Chinas Präsident Xi Jinping laut US-Angaben Interesse an US-Rohölimporten und teilte die Haltung Washingtons gegen eine iranische Kontrolle über die Straße von Hormus. In der chinesischen Darstellung des Treffens mit US-Präsident Donald Trump wurde dies jedoch nicht explizit erwähnt. Dieselzuflüsse brechen ein — Bestände sinken Die Entwicklungen in der Straße von Hormus wirken sich weiterhin deutlich auf die Produktmärkte aus. Nordwesteuropa erhielt im April lediglich 1,64 Mio. t Diesel und Gasöl auf dem Seeweg aus Drittregionen — der niedrigste Monatswert seit mindestens zehn Jahren. Die faktische Einschränkung der Passage seit Anfang März hat nicht nur direkte Lieferungen aus dem Nahen Osten reduziert, sondern auch die globale Verfügbarkeit verknappt, da andere Regionen verstärkt um alternative Mengen konkurrieren. Für Mai zeichnet sich ein ähnlich schwaches Importniveau ab. In den ersten zehn Tagen wurden lediglich 0,5 Mio. t entladen. Sowohl April als auch Mai dürften damit im Jahresvergleich um rund 40 % beziehungsweise etwa 1 Mio. t/Monat oder 30.000–35.000 t/Tag niedriger ausfallen. Die knappe Versorgung hat bereits zu spürbaren Bestandsabbauten geführt. In Deutschland lagen die privaten Dieseltankfüllstände Anfang Mai laut Argus MDX bei rund 50 % und damit etwa 5 Prozentpunkte unter dem unteren Rand der Fünfjahresspanne. Die unabhängigen Gasölbestände im Handelszentrum Amsterdam-Rotterdam-Antwerpen sanken laut Insights Global nach fünf aufeinanderfolgenden Wochenrückgängen Anfang Mai im Jahresvergleich um 12 %. Die Rückgänge erfolgen trotz vergleichsweise geringer Raffineriewartungen im Frühjahr. Bereits in der Wartungssaison bis April 2025 waren die EU-Dieselbestände um rund 1,6 Mio. t beziehungsweise etwa 4 % gesunken. Besonders deutlich zeigt sich der Einfluss der Hormus-Situation bei Lieferungen aus dem Mittleren Osten. Im März erhielt Nordwesteuropa noch 1,59 Mio. t aus Saudi-Arabien, Kuwait, den VAE und Katar. Im April fiel diese Menge auf nur noch 0,36 Mio. t, und in den ersten zehn Maitagen wurden lediglich 0,1 Mio. t importiert — ausschließlich aus saudi-arabischen Rotmeerhäfen. Zugleich bleiben auch Lieferungen aus Indien weitgehend aus. Hohe Preise in Asien, backwardierte Märkte in Europa und gestiegene Frachtraten haben westgehende Arbitragen geschlossen. Nach 0,25 Mio. t im März wurden im April und bislang im Mai keine indischen Dieselimporte verzeichnet. Eine Ladung von rund 140.000 t auf dem Suezmax-Tanker "Cap Grace" befand sich am 14. Mai vor Mosambik südwärts — sie könnte die erste Lieferung seit rund zwei Monaten nach Nordwesteuropa darstellen. Insgesamt bleiben die Zuflüsse nach Nordwesteuropa — inklusive innerregionaler Verkehre — auf Dekadentiefs. Die Anlandungen beliefen sich im April auf 3,55 Mio. t und in den ersten zehn Maitagen auf lediglich 1,17 Mio. t. Von Rhys van Dinther, Benedict George und Marc Hauschild Senden Sie Kommentare und fordern Sie weitere Informationen an feedback@argusmedia.com Copyright © 2026. Argus Media group . Alle Rechte vorbehalten.

UAE speeds up Fujairah crude export capacity expansion

15/05/26

UAE speeds up Fujairah crude export capacity expansion

Dubai, 15 May (Argus) — The UAE is accelerating plans to raise crude export capacity from Fujairah to as much as 4mn b/d by 2027, as Abu Dhabi seeks to further reduce reliance on the strait of Hormuz. Abu Dhabi state-owned Adnoc is building a new "West-East Pipeline project, which will double Adnoc's export capacity through Fujairah," Abu Dhabi's media office said today. The pipeline is under construction and is expected to become operational in 2027, it said. Plans for the project were initiated in late 2024, before the US-Israel war with Iran, a source told Argus . The conflict, and subsequent disruption to shipping through Hormuz, accelerated the importance of the expansion, the source said. Abu Dhabi already operates the 1.5mn b/d Habshan-Fujairah pipeline (Adcop), which started operations in 2012 and has become critical since the war began in allowing the UAE to bypass Hormuz. The pipeline has recently been operating at around 1.7mn-1.8mn b/d, Argus understands. When the new 48-inch, 1.5mn b/d route is complete, combined pipeline capacity to Fujairah will reach around 3.3mn b/d, and crude export capacity from the port could rise to as much as 4mn b/d when accounting for storage and terminal infrastructure, the source said. Fujairah is the world's third-largest crude and refined products storage hub, giving the UAE additional flexibility to manage exports and commercial flows outside the Hormuz chokepoint. The acceleration in the expansion comes after the UAE quit Opec and the wider Opec+ alliance, effective at the beginning of May, following a review of its long-term production strategy and capacity plans. Abu Dhabi said at the time that it wanted greater flexibility to respond to global oil demand in line with its national interests. The UAE says its production capacity is 4.85mn b/d, while its final Opec+ quota for April was 3.429mn b/d. The Iran war and closure of Hormuz reduced UAE crude output to around 2.02mn b/d in April and 1.9mn b/d in March, according to Argus assessments. Saudi Arabia is the only other major Gulf producer with significant infrastructure capable of bypassing Hormuz, through its 7mn b/d [East-West pipeline system] (https://direct.argusmedia.com/newsandanalysis/article/2825625) linking the Abqaiq processing complex to the Red Sea port of Yanbu. By Bachar Halabi Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Western Australia to retain 15pc gas reservation rule

15/05/26

Western Australia to retain 15pc gas reservation rule

Sydney, 15 May (Argus) — The Australian federal government's newly announced 20pc gas reservation mandate will not apply to Western Australia (WA) state, which will retain its 15pc rule following consultation. WA has engaged with Canberra to understand the policy implications of its decision, a WA government spokesman said on 15 May, with assurances provided that WA's existing gas reservation policy will "satisfy any requirements of a national scheme". WA instituted rules reserving 15pc of all gas volumes from the state's four onshore LNG terminals for domestic supply in 2006. But Canberra had said it would apply laws requiring volumes equal to 20pc of LNG export volumes to be reserved for Australian users nationally. "This is across the board, it's national, no one is exempt," resources minister Madeleine King on 7 May. "We will go through a process with the [WA] government around how the WA existing domestic gas reservation policy is taken into account." WA is not connected to Australia's eastern states via either gas or electricity networks and hosts the Woodside-operated 14.3mn t/yr North West Shelf and 4.9mn t/yr Pluto terminals, as well as Chevron's 8.9mn t/yr Wheatstone and 15.6mn t/yr Gorgon LNGs. Mandate shortfalls Despite the 15pc mandate in WA existing for nearly 20 years, a 2024 parliamentary report found just 8pc of volumes of gas had actually reached domestic users but LNG projects including Australian independent Woodside Energy's 4.9mn t/yr Pluto terminal were making commitments to increase flows. The state eventually softened restrictions to allow onshore developers of gas fields to export about 20pc of their output as LNG during a five-year window in a bid to drive new investment. The federal 20pc domestic reservation scheme was announced prior to consultation commencing, but it now appears it will only apply in full to the three Gladstone harbour-based projects. Some companies operating in Australia's eastern states told Argus they expect this to begin from later next week, while King has also promised talks with the Northern Territory (NT) government about the reservation's impact there. The NT, where the 3.7mn t/yr Darwin and 9.3mn t/yr Ichthys LNG terminals are located, has a small population and no significant pipeline connection to the east coast gas grid. The reservation scheme will respect all LNG export contracts entered into before Canberra's announcement of the plan on 22 December 2025 , King has said. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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Oil price ‘will fix itself’: al-Badri

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