About 42pc of US Gulf oil output still shut on Francine

: Crude oil, Natural gas
24/09/13

About 42pc of oil output in the Gulf of Mexico was still shut-in on Friday, just days after Hurricane Francine passed through the region.

Around 732,316 b/d of offshore oil output was off line as of 12:30pm ET Friday, according to the Bureau of Safety and Environmental Enforcement (BSEE), while 973.20mn cf/d of natural gas production, or 52pc of the region's output, was also off line. The volume of crude production shut in rose slightly from yesterday, by about 2,000 b/d, while curtailed gas output fell. Operators evacuated workers from 144 platforms this week ahead of the storm.

Shell said today it is ramping up production at its Appomattox, Mars, Vito, Ursa and Olympus platforms after resolving downstream issues.

However, the company's Perdido, Auger and Enchilada/Salsa assets remain shut-in due to other downstream issues. And drilling remains on hold at its Whale asset, which is scheduled to begin operations later this year.

The port of New Orleans resumed all normal operations Thursday evening. Preliminary damage assessments showed no significant damage to facilities or infrastructure, port officials said, while onshore refinery operational issues appear to be minor.

By Stephen Cunningham and Tray Swanson

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25/07/09

Trump threatens 50pc Brazil tariff: Update

Updates with comments from Brazil's vice president Washington, 9 July (Argus) — US president Donald Trump is threatening to impose a 50pc tariff on imports from Brazil from 1 August, citing the ongoing trial of that country's former president, Jair Bolsonaro. Trump's letter to Brazil's president Luiz Inacio Lula da Silva, released on Wednesday, is one of the 22 that the US leader sent to his foreign counterparts since 7 July, announcing new tariff rates that the US will be charging on imports from those countries. But his letter to Brazil stands out for allegations of a "witch hunt" against Bolsonaro, who — much like Trump — disputed his electoral defeat and attempted to stay in office. Brazil's supreme court qualified Bolsonaro's actions in 2022 as an attempted coup, ordering him to stand trial. Trump said he will impose the 50pc tariff because "in part to Brazil's insidious attacks on Free Elections and the Fundamental Free Speech Rights of Americans". The latter is a reference to orders by judges in Brazil to suspend social media accounts for spreading "misinformation". Trump separately said he would direct US trade authorities to launch an investigation of Brazil's treatment of US social media platforms — an action likely to result in additional tariffs. Trump's letter to Lula also contains language similar to that included in letters sent to 21 other foreign leaders, accusing Brazil of unfair trade practices and suggesting that the only way to avoid payments of tariffs is if Brazilian companies "decide to build or manufacture product within the US". The Trump administration since 5 April has been charging a 10pc extra "Liberation Day" tariff on most imports — energy commodities and critical minerals are exceptions — from Brazil and nearly every foreign trade partner. Trump on 9 April imposed even higher tariffs on key trading partners, only to delay them the same day until 9 July. On 7 July, Trump signed an executive order further delaying the implementation of higher rates until 12:01am ET (04:01 GMT) on 1 August. Trump earlier this week threatened to impose 10pc tariffs on any country cooperating with the Brics group, which includes Brazil, China, Russia, India and South Africa. Lula hosted a Brics summit in Rio de Janeiro on 6-7 July. Brazil vice president Geraldo Alckmin, speaking to reporters before Trump made public his letter to Lula, said: "I see no reason (for the US) to increase tariffs on Brazil." The US runs a trade surplus with Brazil, Alckmin said, adding that "the measure is unjust and will harm America's economy". Trump has justified his "Liberation Day" tariffs by the need to cut the US trade deficit, but the punitive duties also affect imports from countries with which the US has a trade surplus. By Haik Gugarats and Constance Malleret Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Trump threatens 50pc Brazil tariff

25/07/09

Trump threatens 50pc Brazil tariff

Washington, 9 July (Argus) — US president Donald Trump is threatening to impose a 50pc tariff on imports from Brazil from 1 August, citing the ongoing trial of that country's former president, Jair Bolsonaro. Trump's letter to Brazil's president Luiz Inacio Lula da Silva, released on Wednesday, is one of the 22 that the US leader sent to his foreign counterparts since 7 July, announcing new tariff rates that the US will be charging on imports from those countries. But his letter to Brazil stands out for allegations of a "witch hunt" against Bolsonaro, who — much like Trump — disputed his electoral defeat and attempted to stay in office. Brazil's supreme court qualified Bolsonaro's actions in 2022 as an attempted coup, ordering him to stand trial. Trump said he will impose the 50pc tariff because "in part to Brazil's insidious attacks on Free Elections and the Fundamental Free Speech Rights of Americans". The latter is a reference to orders by judges in Brazil to suspend social media accounts for spreading "misinformation". Trump separately said he would direct US trade authorities to launch an investigation of Brazil's treatment of US social media platforms — an action likely to result in additional tariffs. Trump's letter to Lula also contains language similar to that included in letters sent to 21 other foreign leaders, accusing Brazil of unfair trade practices and suggesting that the only way to avoid payments of tariffs is if Brazilian companies "decide to build or manufacture product within the US". The Trump administration since 5 April has been charging a 10pc extra "Liberation Day" tariff on most imports — energy commodities and critical minerals are exceptions — from Brazil and nearly every foreign trade partner. Trump on 9 April imposed even higher tariffs on key trading partners, only to delay them the same day until 9 July. On 7 July, Trump signed an executive order further delaying the implementation of higher rates until 12:01am ET (04:01 GMT) on 1 August. Brasilia did not immediately react to Trump's threat of higher tariffs. Trump earlier this week threatened to impose 10pc tariffs on any country cooperating with the Brics group, which includes Brazil, China, Russia, India and South Africa. Lula hosted a Brics summit in Rio de Janeiro on 6-7 July. By Haik Gugarats Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Market needs Opec+ output hikes : UAE energy minister

25/07/09

Market needs Opec+ output hikes : UAE energy minister

Vienna, 9 July (Argus) — The oil market needs the additional crude supply coming from Opec+'s accelerated output hikes, UAE energy minister Suhail al-Mazrouei said today, citing the absence of stockbuilds since eight core members of the group began raising production targets earlier this year. "Even with the increases over several months, we haven't seen a major buildup in inventories, which means the market needed those barrels," al-Mazrouei said in Vienna, where he is attending the 9th Opec International Seminar. "We need to look at the fundamentals and build the narrative around them, rather than just news and speculation," he added. Al-Mazrouei said the market is "deeper than what is perceived," referring to a decision by eight Opec+ members to raise their collective August crude production target by 548,000 b/d — a step up from the 411,000 b/d monthly hikes agreed for May, June and July. The eight countries — Saudi Arabia, Iraq, Kuwait, Russia, the UAE, Algeria, Oman and Kazakhstan — had originally planned to unwind 2.2mn b/d of voluntary crude production cuts at a rate of 137,000 b/d each month between April 2025 and September 2026. Asked whether Opec+ is concerned about supply outpacing demand later this year, al-Mazrouei said the group assesses the balance at each meeting. He said focusing solely on prices is short-sighted. "What we want is stability," he said. "That goal requires accepting whatever price the market accepts." Al-Mazrouei also warned of the risks posed by underinvestment in oil and gas. "We are living in an underinvestment environment in oil and gas. The longer this period lasts, the more pain we will face in the years to come," he said. By Bachar Halabi, Aydin Calik and Nader Itayim Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Mideast NOCs, majors upbeat on near-term oil demand

25/07/09

Mideast NOCs, majors upbeat on near-term oil demand

Vienna, 9 July (Argus) — Global oil demand is set to grow by 1.2mn-1.3mn b/d for the rest of 2025, driven by developing economies, strong US gasoline use and China's petrochemicals sector, Saudi Aramco chief executive Amin Nasser said at the Opec seminar in Vienna today. Nasser said demand would continue to rise as per capita oil use in developing countries remains well below levels in Europe and the US. His outlook was echoed by other state-owned oil companies and international majors, who pointed to tight physical markets and resilient buying interest in Asia. The chief executive of Kuwait's KPC, Sheikh Nawaf al-Sabah, said demand "remains healthy" despite macroeconomic headwinds. He said customers in China, Japan and South Korea had recently asked KPC not to cut crude allocations and to send additional barrels if available. "That's an indication that this is a balanced market," Al-Sabah said. He added that demand is likely to remain strong even after the seasonal summer uptick fades in the northern hemisphere. Al-Sabah also noted that the market responded positively to the most recent Opec+ decision to accelerate planned output increases in August . "I just don't see the additional non-Opec supply coming in at a rate that would exceed the demand numbers that we're talking about," he said. BP chief executive Murray Auchincloss said he expects oil demand growth of around 1pc this year. "Physically, markets are tight right now — whether that's oil, gasoline, jet or diesel. They're all quite tight with low storage levels, and China is injecting an awful lot into storage," he said. Shell chief executive Wael Sawan said short-term fundamentals are tight, with "a healthy balance between supply and demand". TotalEnergies chief executive Patrick Pouyanne was more cautious, pointing to structurally lower oil demand growth in China. He said Chinese demand, which previously grew by 700,000-800,000 b/d annually, is now rising by just over 300,000 b/d a year. He added that he hopes India and other emerging markets will offset the slowdown. Still, Pouyanne said global oil demand continues to grow and that supply must keep pace. By Aydin Calik, Nader Itayim and Bachar Halabi Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Heatwave eats into Japanese utilities’ LNG stocks

25/07/09

Heatwave eats into Japanese utilities’ LNG stocks

Osaka, 9 July (Argus) — LNG inventories at Japan's main power utilities fell for the second consecutive week during the week to 6 July, as hotter than normal weather boosted electricity demand for cooling and increased gas-fired generation. The utilities held 2mn t of LNG inventories on 6 July, down by 7pc from a week earlier and by 12pc from the recent high of 2.27mn t on 22 June, according to a weekly survey by the trade and industry ministry Meti. But the latest volume was almost in line with the 1.99mn t recorded for 7 July 2024. A large part of Japan has experienced unusually hot weather since the middle of June, with the country's environment ministry, together with the Japan Meteorological Agency, occasionally issuing heatstroke alerts. This boosted the country's power demand to an average of 113GW during the 30 June-6 July period, up by 10pc on the week and by 7pc from a year earlier, according to the Organisation for Cross-regional Co-ordination of Transmission Operators (Occto). Firm electricity demand encouraged power producers to raise gas-fired output by 9.1pc on the week to an average of 36GW during the week to 6 July, the Occto data showed. Coal- and oil-fired generation also rose by 22pc to 31GW and 49pc to 1GW, respectively. Generation economics for Japan's gas-fired power plants improved with higher wholesale electricity prices, which was supported by stronger bidding demand. Margins from a 58pc-efficent gas-fired unit running on spot LNG averaged ¥2.82/kWh ($19.18/MWh) across 30 June-6 July, up from the previous week's ¥0.88/KWh, based on the ANEA — the Argus assessment for spot LNG deliveries to northeast Asia — and Japan Electric Power Exchange' systemwide prices. The 58pc spark spread using oil-priced LNG supplies also rose by 35pc to an average of ¥3.90/kWh. By Motoko Hasegawa Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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About 42pc of US Gulf oil output still shut on Francine

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