oil prices hit 2025 low; distillates production jumped by the most in 47 months

US oil prices finished lower for a sixth consecutive week on bearish economic reports from the US and Germany and on unexpected builds in ​US distillates and gasoline supplies... after finishing 0.4% lower at $70.40 a barrel last week as geopolitical risks to oil supplies continued to wane, the contract price for the benchmark US light sweet crude for April delivery ​w​as little changed in a narrow range in overseas trading on Monday, as traders monitored diplomatic efforts to end the war in Ukraine and awaited clarity on the restart of crude exports from northern Iraq, then moved higher in New York after the U.S. imposed new sanctions against Iran​, and on Iraq’s reaffirmation of its commitment to the OPEC+ group’s supply agreement, and settled 30 cents higher at $70.70 a barrel, with gains limited as traders also weighed prospects for talks aimed at ending the war in Ukraine and reports that Iraq would resume oil exports from its Kurdish region….oil prices extended their gains in Asian trading on Tuesday as fresh U.S. sanctions on Iran heightened concerns over tightening global supplies, but erased those early gains and extended selling on bearish economic news from the U.S. and Germany, ​t​o settle $1.77, or 2.5% lower at $68.93 a barrel, their lowest price​ of the year, as the economy and energy demand were expected to take a hit from proposed U.S. tariffs on Canada and Mexico due to ​t​ake effect next week….oil prices climbed in early Asian trading hours on Wednesday, rebounding from two-month lows in the prior session, after the American Petroleum Institute report showed a decline in U.S. crude stockpiles, then traded lower in New York after the EIA report showed unexpected builds in distillates and gasoline supplies, signaling weak demand, and as a potential peace deal between Russia and Ukraine continued to weigh on sentiment, and settled 31 cents lower at a two month low of $68.62 a barrel as expectations of rising global suppl​i​es and weak economic data from Germany weighed on market sentiment….oil prices rose on global markets on Thursday, bouncing off an early low after Trump revoked the license ​Biden had granted to Chevron to operate in Venezuela, then rallied to settle the New York session $1.73 higher at $70.35 a barrel as supply concerns resurfaced after Trump cut off oil from Venezuela and also said tariffs on Mexico and Canada would go into effect on March 4….oil prices slipped during Asian trading on Friday, as global economic uncertainty and trade tensions dampened demand outlooks, then fell by 1% in early New York trad​i​ng as tariff risks and concerns about ​an economic slowdown outweighed sanction risks from the increased U.S. pressure on Iran and Venezuela, and settled 59 cents lower at $69.76 a barrel, after a tense meeting between Trump and Ukrainian President Zelensky dashed hopes for a Ukraine-Russia peace deal that might have led to an end to sanctions on Russia's oil sector, and thus finished 0.9% lower for the week…

meanwhile, natural gas prices finished lower for the first time in four weeks on record well output and milder weather forecasts….after rising 13.7% to $4.234 per mmBTU last week due to lost production from frozen wells and record flows of gas to LNG export plants, the price of the benchmark contract for March natural gas delivery opened 30.4 cents lower on Monday morning, as weekend forecasts ​had shed significant heating demand for the week to come, then rallied feebly in afternoon trading to close 24.0 cents lower at $3.994 per mmBTU, as thawing winter forecasts sent cash and futures prices tumbling….March natural gas opened 3.8 cents higher on Tuesday and traded near that level throughout the session, before mounting a late rally as traders shifted focus to squaring their positions ahead of settlement to finishing trading 18.0 cents higher at $4.174.per mmBTU on record flows to LNG export plants, while the more actively traded April contract finished 14.8 cents higher at $4.130…on the last day of trading for the March contract, it fell about 2% in early trading on Wednesday on record output and forecasts for milder weather over the next two weeks than ​was previously expected, then drifted lower throughout the session to expire 26.8 cents lower at $3.906 per mmBTU, as mild weather allowed frozen wells to return to service, boosting output to record levels, while the more actively traded contract for April natural gas settled 17.1 cents lower at $3.959 per mmBTU…with markets now quoting the price of the benchmark contract for April natural gas, that contract initially rose 7.6 cents to $4.035 shortly after the storage report release, despite near record ​well output, forecast​s for less demand over the next two weeks, and a storage withdrawal that was slightly smaller than expected, but pulled back through the balance of the day and settled 2.5 cents lower at $3.934 per mmBTU​ on near record output. while weather forecasts remained unsupportive….natural gas prices ticked lower early Friday, brushing off concerns of additional storage tightness and focusing instead on shoulder season weather, demand softness and rising production, and settled 10.0 cents lower at $3.834 per mmBTU on record output and forecasts for milder weather over the next two weeks, and thus ended 9.4% lower for the week, while the April NYMEX contract, which had closed the prior week at $4.129, ended the week 7.1% lower, even as it finished 79.0 cents, or 25.95% higher, for the month…

The EIA’s natural gas storage report for the week ending February 21st indicated that the amount of working natural gas held in underground storage fell by 261 billion cubic feet to 1,840 billion cubic feet by the end of the week, which left our natural gas supplies 561 billion cubic feet, or 23.4% below the 2,401 billion cubic feet of gas that were in storage on February 21st of last year, and 238 billion cubic feet, or 11.5% less than the five-year average of 2,078 billion cubic feet of natural gas that had typically been in working storage as of the 21st of February over the most recent five years….the 261 billion cubic foot withdrawal from US natural gas storage for the cited week was a little less than the 266 billion cubic foot withdrawal from storage that was forecast by analysts in a Reuters poll, but was more than triple the 86 billion cubic feet that were pulled out of natural gas storage during the corresponding week in February of 2024, and was also considerably more than the average 141 billion cubic foot withdrawal from natural gas storage that has been typical for the same end of January week over the past 5 years…

The Latest US Oil Supply and Disposition Data from the EIA

US oil data from the US Energy Information Administration for the week ending February 21st indicated that after an increase in our refining and an increase in demand for oil that the EIA could not account for, we needed to pull oil out of our stored crude supplies for the first time in five weeks and the for the 22nd time in thirty-four weeks, despite higher imports and lower exports...Our imports of crude oil rose by an average of 98,000 barrels per day to average 5,918,000 barrels per day, after falling by an average 488,000 barrels per day over the prior week, while our exports of crude oil fell by an average of 193,000 barrels per day to average 4,188,000 barrels per day, which, when used to offset our imports, meant that the net of our trade of oil worked out to a net import average of 1,731,000 barrels of oil per day during the week ending February 21st, an average of 291,000 more barrels per day than the net of our imports minus our exports during the prior week. At the same time, transfers to our oil supplies from Alaskan gas liquids, from natural gasoline, from condensate, and from unfinished oils averaged 558,000 barrels per day, while during the same week, production of crude from US wells was 5,000 barrels per day higher at 13,502,000 barrels per day. Hence, our daily supply of oil from the net of our international trade in oil, from transfers, and from domestic well production appears to have averaged a total of 15,791,000 barrels per day during the February 21st reporting week…

Meanwhile, US oil refineries reported they were processing an average of 15,733,000 barrels of crude per day during the week ending February 21st, an average of 317,000 more barrels per day than the amount of oil that our refineries reported they were processing during the prior week, while over the same period the EIA’s surveys indicated that a net average of 333,000 barrels of oil per day were being pulled out of the supplies of oil stored in the US… So, based on that reported & estimated data, the crude oil figures provided by the EIA appear to indicate that our total working supply of oil from storage, from net imports, from transfers, and from oilfield production during the week ending February 21st averaged a rounded 391,000 barrels per day more than what was ​being added to storage plus what our oil refineries reported they used during the week. To account for that difference between the apparent supply of oil and the apparent disposition of it, the EIA just plugged a [ -391,000 ] barrel per day figure onto line 16 of the weekly U.S. Petroleum Balance Sheet, in order to make the reported data for the supply of oil and for the consumption of it balance out, a fudge factor that they label in their footnotes as “unaccounted for crude oil”, thus indicating there must have been an error or omission of that magnitude in the week’s oil supply & demand figures that we have just transcribed….Moreover, since 573,000 barrels per day of oil supply could not be accounted for in the prior week’s EIA data, that means there was a 964,000 barrel per day difference between this week’s oil balance sheet error and the EIA’s crude oil balance sheet error from a week ago, and hence the changes to supply and demand from that week to this one that are indicated by this week’s report are off by that much, meaning the week over week changes that we have just cited are nonsense….However, since most oil traders react to these weekly EIA reports as if they were gospel, and since these weekly figures therefore often drive oil pricing and hence decisions to drill or complete oil wells, we’ll continue to report this data just as it’s published, and just as it’s watched & believed to be reasonably reliable by most everyone in the industry…(for more on how this weekly oil data is gathered, and the possible reasons for that “unaccounted for” oil supply, see this EIA explainer….there is also an old twitter thread from an EIA administrator addressing these ongoing weekly errors, and what they had once hoped to do about it)

This week’s rounded net 333,000 barrel per day average decrease in our overall crude oil inventories came as an average of 333,000 barrels per day were being added to our commercially available stocks of crude oil, while oil supplies in our Strategic Petroleum Reserve remained unchanged for the second time since November 2023… Further details from the weekly Petroleum Status Report (pdf) indicate that the 4 week average of our oil imports fell to 6,241,000 barrels per day last week, which was 5.5% less than the 6,604,000 barrel per day average that we were importing over the same four-week period last year. This week’s crude oil production was reported to be 5,000 barrels per day higher at 13,497,000 barrels per day because the EIA’s estimate of the output from wells in the lower 48 states was 3,000 barrels per day higher at 13,063,000 barrels per day, while Alaska’s oil production was 2,000 barrels per day higher at 439,000 barrels per day.….US crude oil production had reached a pre-pandemic high of 13,100,000 barrels per day during the week ending March 13th 2020, so this week’s reported oil production figure was 3.1% higher than that of our pre-pandemic production peak, and was also 39.2% above the pandemic low of 9,700,000 barrels per day that US oil production had fallen to during the third week of February of 2021.

US oil refineries were operating at 86.5% of their capacity while processing those 15,733,000 barrels of crude per day during the week ending February 21st, up from their 84.9% utilization rate of a week earlier, but still down from the 91.7% utilization rate of six weeks earlier, reflecting the impact of the earlier below freezing weather on Gulf Coast refineries, and also the beginning of refinery’s Spring maintenance….the 15,733,000 barrels of oil per day that were refined this week were 7.2% more than the 14,674,000 barrels of crude that were being processed daily during the cold impacted week ending February 23rd of 2024, but 1.7% less than the 16,008,000 barrels that were being refined during the prepandemic week ending February 21st, 2020, when our refinery utilization rate was at 87.9%, also a bit low for this time of year…

Even with the increase in the amount of oil being refined this week, gasoline output from our refineries was a bit lower, decreasing by 20,000 barrels per day to 9,170,000 barrels per day during the week ending February 21st, after our refineries’ gasoline output had decreased by 156,000 barrels per day during the prior week.. This week’s gasoline production was 2.6% less than the 9,419,000 barrels of gasoline that were being produced daily over the week ending February 23rd of last year, and was 6.3% less than the gasoline production of 9,797,000 barrels per day during the prepandemic week ending February 21st, 2020….on the other hand, our refineries’ production of distillate fuels (diesel fuel and heat oil) increased by 439,000 barrels per day to 5,162,000 barrels per day, ​the largest increase in 47 months, after our distillates output had increased by 180,000 barrels per day during the prior week. After those big production increases, our distillates output was 20.4% more than the 4,289,000 barrels of distillates that were being produced daily during the week ending February 23rd of 2024, and 6.5% more than the 4,846,000 barrels of distillates that were being produced daily during the pre-pandemic week ending February 21st, 2020…

With this week’s modest decrease in our gasoline production, our supplies of gasoline in storage at the end of the week rose for the thirteenth time in fifteen weeks, increasing by 369,000 barrels to 248,271,000 barrels during the week ending February 21st, after our gasoline inventories had decreased by 151,000 barrels during the prior week. Our gasoline supplies rose this week even though the amount of gasoline supplied to US users rose by 215,000 barrels per day to 8,454,000 barrels per day because our exports of gasoline fell by 50,000 barrels per day to 848,000 barrels per day, and because our imports of gasoline rose by 116,000 barrels per day to 462,000 barrels per day.…After twenty-nine gasoline inventory withdrawals over the past fifty-six weeks, our gasoline supplies were 1.7% higher than last February 23rd’s gasoline inventories of 244,205,000 barrels, but were slightly below the five year average of our gasoline supplies for this time of the year…

With the big increase in this week’s distillates production, our supplies of distillate fuels rose for the ninth time in twenty-three weeks, increasing by 3,908,000 barrels to 120,472,000 barrels during the week ending February 21st, after our distillates supplies had decreased by 2,051,000 barrels during the prior week.. Our distillates supplies rose this week because the amount of distillates supplied to US markets, an indicator of domestic demand, fell by 267,000 to 4,097,000 barrels per day, and because our exports of distillates fell by 41,000 barrels per day to 877,000 barrels per day, and because our imports of distillates rose by 103,000 barrels per day to 370,000 barrels per day...After 33 inventory withdrawals over the past 58 weeks, our distillates supplies at the end of the week were 0.6% below the 121,141,000 barrels of distillates that we had in storage on February 23rd of 2024, and about 8% below the five year average of our distillates inventories for this time of the year…

Finally, with the increase in our oil refining, our commercial supplies of crude oil in storage fell for the 15th time in twenty-six weeks, and for the 31st time over the past year, decreasing by 2,332,000 barrels over the week, from 432,493,000 barrels on February 14th to 430,161,000 barrels on February 21st, after our commercial crude supplies had increased by 4,633,000 barrels over the prior week… After that decrease, our commercial crude oil inventories were about 4% below the most recent five-year average of commercial oil supplies for this time of year, but were about 33% above the average of our available crude oil stocks after the second week of February over the 5 years at the beginning of the past decade, with the big difference between those comparisons arising because it wasn’t until early 2015 that our oil inventories had first topped 400 million barrels. After our commercial crude oil inventories had jumped to record highs during the Covid lockdowns in the Spring of 2020, then jumped again after February 2021’s winter storm Uri froze off US Gulf Coast refining, but then fell sharply due to increased exports to Europe following the onset of the Ukraine war, only to jump again following the Christmas 2022 refinery freeze-offs, our commercial crude supplies have somewhat leveled off since, and as of this February 21st were 3.8% less than the 447,163,000 barrels of oil left in commercial storage on February 23rd of 2024, and 10.4% less than the 480,207,000 barrels of oil that we had in storage on February 24th of 2023, but were 4.0% more than the 413,425,000 barrels of oil we had left in commercial storage on February 25th of 2022…

This Week’s Rig Count

The US rig count rose for a fifth consecutive week after falling to a three year low six weeks ago, mostly on an increase of horizontal rigs drilling for oil since that time, even as this week’s natural gas rig increase reversed that trend...for a quick snapshot of this week's rig count, we are again including below a screenshot of the rig count summary pdf from Baker Hughes…in the table below, the first column shows the active rig count as of February 21st, the second column shows the change in the number of working rigs between last week’s count (February 14th) and this week’s (February 21st) count, the third column shows last week’s February 14th active rig count, the 4th column shows the change between the number of rigs running on Friday and the number running on the Friday before the same weekend of a year ago, and the 5th column shows the number of rigs that were drilling at the end of that reporting period a year ago, which in this week’s case was the 23rd of February, 2024…

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note: INR is Infinity Natural Resources, the fracker that is preparing to drill under Ohio's Salt Fork State Park..

KeyBanc initiates INR stock with Overweight, $26 target - Investing.com = On Tuesday, KeyBanc Capital Markets began coverage on Natural Resources (NYSE:INR) by assigning an Overweight rating and a price target of $26.00. The firm highlighted the company’s position as a high-growth, self-funding exploration and production (E&P) entity with exposure to both the dry gas and oil windows of western Appalachia’s resource plays.The research firm pointed out that Natural Resources stands out as one of the few pure-play investments in the oil window of the Utica Shale. This particular shale play has received renewed interest following EOG’s entry in 2022. KeyBanc’s analysis suggests that EOG’s communication with investors and a series of 25 strong well results have significantly raised investor awareness about the potential of this region.According to KeyBanc, the successful messaging and demonstrated well performance by EOG have set the stage for Natural Resources to pursue a public listing. The firm’s initiation of coverage reflects a positive outlook on the company’s growth prospects and its strategic positioning within the energy sector. InvestingPro analysis shows the company operates with a moderate debt-to-equity ratio of 0.44 and has been profitable over the last twelve months, though its current ratio of 0.84 suggests tight liquidity management.The Overweight rating indicates that KeyBanc analysts expect Natural Resources to outperform the average total return of the stocks covered by the firm over the next six to twelve months. The $26.00 price target represents a significant potential upside from the company’s current trading levels.Natural Resources’ focus on the Utica Shale’s oil window is particularly noteworthy as it represents a specialized segment of the market that has seen increased activity and investment in recent times. The company’s ability to grow and fund its operations internally is also seen as a strength in the current economic environment. Recent market data from InvestingPro shows the stock has declined 7.58% over the past week and trades near its 52-week low of $18.47, potentially presenting an interesting entry point for investors. InvestingPro subscribers can access 8 additional key insights about Natural Resources’ financial health and market position.

Infinity Natural Resources, Inc. to Participate in Raymond James 46th Annual Institutional Investors Conference - Infinity Natural Resources, Inc. (NYSE: INR) announced today that it will be attending the Raymond James 46th Annual Institutional Investors Conference to be held on March 2 - 5, 2025 in Orlando, Florida.In attendance from the Company will be Zack Arnold, President and CEO, David Sproule, EVP and CFO, and Gregory Pipkin Jr., Vice President of Corporate Development and Strategy. The investor presentation that will be used in meetings will be posted to the investor relations site athttps://ir.infinitynaturalresources.com/ ahead of the Company’s first meeting. Infinity is a growth oriented, free cash flow generating, independent energy company focused on the acquisition, development, and production of hydrocarbons in the Appalachian Basin. Our operations are focused on the volatile oil window of the Utica Shale in eastern Ohio as well as our stacked dry gas assets in both the Marcellus and Utica Shales in southwestern Pennsylvania.

IOG Resources II Buys Non-Op Utica Shale Interests -- IOG Resources II acquired non-operated working interests in Appalachia’s Utica shale, the company said Feb. 26.The acquisition from an undisclosed seller includes 175 developed wellbores and4,500 net acres in eastern Ohio. Net production currently averages about 26 MMcfe/d. Operators on the acquired assets include Antero Resources, Encino Energy, EOG Resources, EQT Corp., Expand Energy and Gulfport Energy.The deal represents the fifth acquisition made by IOG Resources II, which was raised in 2022. The IOG energy investment platform has been sponsored by private equity firm First Reserve since 2017.Financial terms of the Utica acquisition were not disclosed.Last year, Civitas Resources sold Denver-Julesburg (D-J) Basin assets to IOG Resources II for an undisclosed amount. The assets included 1,480 developed and undeveloped wellbores, primarily in Weld County, Colorado. Production averaged 4,700 boe/d.

IOG Resources Raises Production Stakes in Appalachia - IOG Resources has acquired non-operating working interests in the Utica shale, raising its net production in the Appalachian Basin by about 26 million cubic feet of natural gas equivalent a day (MMcfed). The purchase consisted of around 175 developed wellbores and approximately 4,500 net acres of leasehold in Ohio, one of the three main gas-producing states in the Appalachian Basin alongside Pennsylvania and West Virginia according to the Energy Information Administration. The Dallas, Texas-based energy investment platform did not disclose the seller or the purchase price. IOG Resources, which made the acquisition through IOG Resources II LLC (IOGR II), said in an online statement production from the assets is “under top-tier operators including Antero, Encino, EOG, EQT, Expand and Gulfport”. “The acquisition represents the fifth investment made by IOGR II, which was raised in 2022, and the seventeenth investment for the IOG Resources platform”, it added. IOG Resources has two platforms, the other being IOG Resources LLC (IOGR I). IOG Resources has made five “significant” acquisition transactions involving non-operated stakes at an average purchase price of about $90 million since 2021, it says on its website. IOG Resources targets onshore assets in the Lower 48, or the contiguous United States. It had about 24,000 barrels of oil equivalent per day (boed) of production and about 1,800 wells - spread in the Permian, Utica, Marcellus, DJ, Mid-Continent and Eagle Ford - as of January 2025. Last year IOGR II obtained working and royalty stakes in the DJ Basin from Civitas Resources Inc. The assets comprised about 1,480 developed and undeveloped wellbores mainly in Weld County, Colorado. “Current net production is approximately 4.7 mboe/d under top-tier operators including Occidental Petroleum and Chevron Corporation”, IOG Resources said in a press release May 6, 2024. On March 30, 2023, IOG Resources announced a deal with an unnamed company to buy non-operated Appalachian assets with a net production of about 24 MMcfed. The acquisition included 66 producing wellbores and 7,000 net acres primarily in Carroll County, Ohio, and Butler County, Pennsylvania. In 2022 it acquired stakes in the Marcellus shale, part of the Appalachian Basin, and the Delaware Basin, a Permian sub-basin. The Marcellus acquisition from Seneca Resources Co. LLC, part of National Fuel Gas Co., consisted of non-operated wellbores primarily in the counties of Clearfield, Elk and McKean in Pennsylvania. The assets had a net production of about 17 MMcfd. “The acquisition represents the initial investment for IOGR II, the successor platform to IOG Resources, LLC”, IOG Resources said November 22, 2022. The Delaware Basin acquisition from Tier 1 Merced Holdings LLC consisted of non-operated wellbores, primarily in the New Mexico counties of Eddy and Lea. “With this acquisition, IOGR adds net production of approximately 3,800 boe/d under top-tier operators including Devon, Conoco, and Marathon”, IOG Resources said March 3, 2022. In 2021 it acquired non-operating stakes in 77 producing horizontal wells from Sequel Energy Group LLC. The assets, operated by Southwestern Energy Co. and Ascent Resources, had a net production of about 75 MMcfed, as announced March 3, 2021. IOG Resources, formed 2014, says it has been “sponsored” by First Reserve Corp. since 2017. Stamford, Connecticut-based First Reserve, which lists IOG Resources as a portfolio company, says on its website, “IOG Resources, LLC [IOGR I] and IOG Resources II, LLC are non-operated exploration and production companies focused on partnering with operators to provide drilling capital to acquire working interests in oil and natural gas assets across multiple core hydrocarbon basins in North America (each distinct asset investment a Development JV or PDP acquisition)”.

PA 2024 Report: Production Down 3.7%, Wells Drilled Lowest in 16 Yrs -Yesterday, the Pennsylvania Independent Fiscal Office (IFO) released its latest quarterly Natural Gas Production Report for October through December 2024 (full copy below). There were 84 new horizontal wells spud (drilled) in 4Q24, a decrease of 26 wells (-24%) compared to 4Q23. However, 4Q’s spud number increased from the 63 drilled in the prior quarter, 3Q24. Natural gas production volume was 1,869 billion cubic feet (Bcf) in 4Q24, up 30 Bcf (1.6%) from 1,839 Bcf produced in 3Q24. There were two pieces of big news in this report: (1) Production for all of 2024 went down 3.7% from 2023; (2) 310 wells were drilled in 2024, less than any year since 2008.

PA State Sen. Muth Tries to Block Shale Drilling Via Landfill Ban - Marcellus Drilling News - Pennsylvania State Senator Katie Muth (Democrat from Berks, Chester, and Montgomery counties) is clever and dedicated in her mission to halt shale drilling in the Keystone State. We've written plenty about Muth over the years (see our stories here). She's attempted to block shale wastewater treatment facilities from getting built. She has a new target: To block shale cuttings---the leftover rock and dirt from drilling a hole in the ground---from being disposed of at landfills. Her approach is to block it based on leachate that comes from landfills.

PA DEP Still Spends 5X More to Plug Orphaned Wells Than Other States -- Marcellus Drilling News -- We explored an important issue last September—the ballooning cost of plugging orphaned oil and gas wells in Pennsylvania (see PA DEP Spending WAY Too Much to Plug Abandoned/Orphaned Wells). As a reminder, abandoned wells are those with no production for at least 12 months in a row. Orphaned wells were abandoned before 1985, and the owner is unknown, so the responsibility for plugging them rests with the state. The problem is that when the state runs the program and must conform to federal employment regulations (to use federal funds), the per-well cost to plug wells goes through the roof. The cost PA is paying (continues to pay) to plug wells is roughly five times as much as other states. What the heck is going on?

Trump Army Corps IDs Dozens of M-U Projects for Emergency Review -Marcellus Drilling News -- On President Trump’s very first day in office, he signed an executive order called “Declaring a National Energy Emergency” (see Trump EO Declares National Energy Emergency – “Drill, Baby, Drill!”). Trump’s EO prioritizes completing energy infrastructure projects, like pipelines. It specifically talks about the Clean Water Act’s Sections 403 and 404, which states like New York have used to block new pipelines. The EO contains this sentence: “Agencies are directed to use, to the fullest extent possible and consistent with applicable law, the emergency Army Corps of Engineers permitting provisions to facilitate the Nation’s energy supply.” The Army Corps recently marked for fast-track review more than 600 applications for permits. A number of them (dozens) are for shale wells and pipelines in the Marcellus/Utica region.

Fed Judge Tosses Landowner Lawsuit Against DRBC for Frack Ban -- Marcellus Drilling News -- Earlier this month U.S. District Judge Robert D. Mariani dismissed the Wayne Land and Mineral Group (WLMG) v. Delaware River Basin Commission (DRBC) lawsuit that argued the DRBC had “taken” the property rights of landowners in eastern Pennsylvania, robbing them of their right to allow shale drilling on and under their land. It’s a sad and bitter end for landowners in PA’s Wayne and Pike counties where there is bountiful Marcellus shale waiting to be extracted.

14 New Shale Well Permits Issued for PA-OH-WV Feb 17 – 23 -- Marcellus Drilling News - For the week of Feb 17 – 23, the number of permits issued in the Marcellus/Utica to drill new shale wells fell back to earth. Three weeks ago, 24 new permits were issued. Two weeks ago, the number increased to 36 new permits. Last week the number deflated, going down to 14. The Keystone State (PA) issued six new permits last week, with all six going to Blackhill Energy for a single pad in Bradford County. ANTERO RESOURCES | BELMONT COUNTY | BLACKHILL ENERGY | BRADFORD COUNTY | BROOKE COUNTY | DODDRIDGE COUNTY | ENERGY COMPANIES | SOUTHWESTERN ENERGY

Trump Intent on Building Constitution Pipeline from PA into NY & New England -- Marcellus Drilling News --Two weeks ago, MDN brought you the exciting news that President Trump pledged to get the long-dead Pennsylvania Marcellus to New York State Constitution Pipeline built (see Stop Press! Trump Pledges to Revive PA-to-NY Constitution Pipeline). Since then, we’ve eagerly monitored the news to see if there has been any indication that the builder, Williams, is interested in reviving the project. So far, nothing. But there is active chatter on X (formerly Twitter) and elsewhere.

Massachusetts Governor Healey Bragged 'I Stopped Two Gas Pipelines' -Whatever your viewpoint on fossil fuels, solar farms and wind turbines, many Massachusetts residents are shivering through one of the coldest and snowiest winters in years, and some are having a tough time paying to heat their homes.Adding to the misery are high inflation, rising food costs and increasing rents. It's no wonder folks are a bit cranky these days, and the people are demanding answers from the utility companies and their elected officials.Roughly half of Massachusetts households (about 1.4 million) use natural gas for heating. Natural gas is the primary heating fuel in Massachusetts.In December 2023, the administration of Governor Maura Healey ordered a transition away from natural gas and set a goal of making Massachusetts carbon-neutral by 2050. This has come with a cost.As a candidate for governor in October 2022, then-Attorney General Maura Healey bragged, "Remember, I stopped two gas pipelines from coming into this state."As a result, enough natural gas is not piped into Massachusetts to meet the need forcing a reliance on expensive imported LNG.The Northeast Gas Association says, "Short-term volatility reflecting delivery constraints during periods of high demand and cold weather do occur, especially in regional markets.""The Northeast region, for instance, remains among the most price-sensitive markets in the country, reflecting its pipeline constraints," the Association says.Massachusetts energy providers have been forced to help pay the cost of the Commonwealth's conversion to new energy sources, costs that have been passed on to consumers in the form of fees and surcharges. UPDATE: A spokesperson for Gov. Healey sent over the following statement: “As Attorney General, Governor Healey successfully argued that the people of Massachusetts should not be footing the bill for two new natural gas pipelines. Once the companies learned that they were going to have to pay for the pipelines without passing the costs onto consumers, they withdrew their proposal. Governor Healey has always stood up for the ratepayers of Massachusetts.”

Increased Commercial Interest Drives Port Arthur LNG Phase 2 Toward FID This Year --Sempra Infrastructure is targeting a final investment decision (FID) for the second phase of its LNG export project in Texas by the end of the year as commercial interest heats up and regulatory headwinds ease. With construction of the first 13 million ton/year (Mt/y) phase of the Port Arthur project under construction, Sempra’s LNG arm has been aligning contracts and marketing efforts to launch the second phase in quick succession. CEO Justin Bird said the company’s strategy could be coming to focus as soon as this year as it negotiates with potential customers for an additional 5 Mt/y in capacity it needs to cover before reaching FID.

Cheniere Focuses Future LNG Expansions as Corpus Christi LNG Continues to Add U.S. Natural Gas Demand - Cheniere Energy Inc. expects to ride the “tailwinds” of a new administration and robust global LNG demand in 2025 as its Corpus Christi export project adds fresh natural gas demand to the domestic market, according to management. Houston-based Cheniere is continuing to hone in on growth and the next phases of its massive U.S. LNG platforms even as its Stage 3 expansion in South Texas ramps up. The first train of seven started production ahead of schedule at the end of last year, and has continued to ramp up through the first months of 2025. CEO Jack Fusco said the first cargo was produced from Train 1 earlier in the month and commissioning of the second train has already begun.

NextDecade Considering Another Five Liquefaction Trains at Rio Grande LNG Site -- NextDecade Corp. disclosed Friday that it could ultimately double the number of liquefaction trains being developed at its Rio Grande LNG facility in South Texas to 10.The company is in the process of building the first 17.6 million tons/year (Mt/y) phase that consists of three trains, while it works to commercialize another two trains that it has not yet sanctioned. Management said in a year-end business update it plans to pre-file at FERC for a sixth train this year and that the company is in the early stages of developing Trains 7 and 8. NextDecade is also exploring the possibility of developing Trains 9 and 10.

U.S Natural Gas Exports Soar to New Highs as Additional LNG Supply Hits the Water — A look at the global natural gas and LNG markets by the numbers $13.713/MMBtu: Title Transfer Facility (TTF) prices have slid back below the $14 mark as winter weather and supply risks soften across the continent. TTF fell to $13.713 on Tuesday, which was followed closely by a dip in East Asia LNG prices. The easing of European prices has also meant U.S. LNG has become cheaper than pipeline supplies several times this month, according to benchmark assessments from the European Union. 2.4 Mt: U.S. LNG exports hit an all time weekly high the week of Feb. 17-23 as new supply capacity continues to ramp up. Weekly exports reached 2.4 million tons (Mt), shattering the previous record of 2.1 Mt set during Dec. 4-10 2023, according to Kpler data. Cheniere Energy Inc. disclosed last week that the first cargo from its Corpus Christi LNG Stage 3 expansion hit the water. Plaquemines LNG is also still shipping commissioning cargoes as Venture Global LNG Inc. seeks federal permission to commission its ninth block. Two vessels left the facility last week for Europe. 16 Bcf/d: The ramp up of Plaquemines LNG has also helped push U.S. feed gas demand for liquefaction to new highs. Feed gas flows reached a record high of 16 Bcf/d on Feb. 23 and have averaged 15 Bcf/d for the past 30 days, according to Wood Mackenzie pipeline data. Feed gas flows averaged around 13.4 Bcf/d during the same period last year. Feed gas demand is expected to remain elevated into next week. 5 HRSGs: Venture Global may be contributing more consistent feed gas demand over the next few months from its other Louisiana facility, as well. The Federal Energy Regulatory Commission approved Tuesday the company’s request to reintroduce gas to the fifth heat recovery steam generator (HRSG) at Calcasieu Pass LNG. It marks the last critical piece of equipment Venture Global said it needed to repair before it could begin delivering contracted cargoes to customers in mid-April. Over the last three months, Calcasieu Pass LNG has been averaging roughly 77 Mt in exports, or 11-13 cargoes per month, according to Kpler data. 2 diversions: Two LNG cargoes previously headed for unloading in Europe early next month have shifted for Asian destinations, according to Kpler data. One cargo originated from QatarEnergy’s Ras Laffan LNG facility, while the other came from Oman LNG. Asia’s pull of spot cargoes appeared to have accelerated this week, with Asian buyers expected to receive more than 6 Mt by March 2. That’s almost six more cargoes than the week before. During the same time, QatarEnergy purchased a spot cargo from Plaquemines LNG that is headed for France.

US natgas prices drop 6% to one-week low on mild weather forecasts - (Reuters) - U.S. natural gas futures dropped about 6% to a one-week low on Monday on forecasts for warmer weather and lower heating demand that should cut the amount of fuel utilities pull out of storage to meet heating demand in coming weeks. "We are quickly getting closer to the start of spring and the market is pulling back on this warm-up," Front-month gas futures for March delivery on the New York Mercantile Exchange fell 24.0 cents, or 5.7%, to settle at $3.994 per million British thermal units (mmBtu), their lowest close since February 14. That knocked the front-month out of technically overbought territory for the first time in five days. "We have some selling back today and that's because we're not going to get the really strong (storage) withdrawals over the next three weeks that some folks were anticipating ... but long term, we are still well supported from a fundamental perspective through summer," Traders noted that extreme cold so far this year forced energy firms to pull huge amounts of gas out of storage, including record amounts in January, cutting stockpiles down to about 11% below the five-year (2020-2024) normal for this time of year. Worries about those falling stockpiles helped boost prices by around 39% over the past three weeks, prompting speculators to increase their net long futures and options positions last week on the New York Mercantile and Intercontinental Exchange to their highest since July 2021, according to the U.S. Commodity Futures Trading Commission's Commitments of Traders report. Financial company LSEG said average gas output in the Lower 48 U.S. states rose to 104.5 billion cubic feet per day (bcfd) so far in February from 102.7 bcfd in January, when freezing oil and gas wells and pipes, known as freeze-offs, cut production. That compares with a monthly record of 104.6 bcfd in December 2023. Over the past couple of weeks, daily output dropped from a record high of 106.7 bcfd on February 6 to a three-week low of 100.5 bcfd on February 19 as extreme cold across much of the country froze wells before rising to a one-week high of 103.8 bcfd on February 23 as milder weather unfroze those wells. Meteorologists projected weather in the Lower 48 states would remain mostly warmer than normal through March 11. With milder weather coming, LSEG forecast average gas demand in the Lower 48 states, including exports, will fall from 127.0 bcfd this week to 118.3 bcfd next week. Those forecasts were lower than LSEG's outlook on Friday. The amount of gas flowing to the eight big U.S. LNG export plants rose to an average of 15.6 bcfd so far in February, up from 14.6 bcfd in January. That compares with a monthly record high of 14.7 bcfd in December 2023. On a daily basis, LNG feedgas hit a record 16.4 bcfd on Sunday, topping the prior all-time high of 16.3 bcfd on February 19. The LNG daily feedgas high occurred as flows to Venture Global's 3.2-bcfd Plaquemines LNG export plant under construction in Louisiana hit a record 1.8 bcfd.

US natgas prices jump 5% on record flows to LNG export plants (Reuters) - U.S. natural gas futures jumped about 5% on Tuesday with flows to liquefied natural gas (LNG) export plants near record highs. On its second to last day as the front-month, gas futures for March delivery on the New York Mercantile Exchange rose 18.0 cents, or 4.5%, to settle at $4.174 per million British thermal units (mmBtu). Futures for April, which will soon be the front-month, were trading up about 3% to $4.11 per mmBtu. Those price increases came despite near record output so far this month and forecasts for milder weather and lower heating demand this week than previously expected that should allow utilities to pull less gas out of storage than normal for this time of year. Traders, however, noted extreme cold earlier this year forced energy firms to pull huge amounts of gas out of storage, including record amounts in January, cutting stockpiles to about 11% below the five-year (2020-2024) usual. Financial company LSEG said average gas output in the Lower 48 U.S. states rose to 104.5 billion cubic feet per day (bcfd) so far in February from 102.7 bcfd in January, when freezing oil and gas wells and pipes, known as freeze-offs, cut production. That compares with a monthly record of 104.6 bcfd in December 2023. Over the past couple of weeks, daily output dropped from a record high of 106.7 bcfd on February 6 to a three-week low of 100.5 bcfd on February 19 as extreme cold across much of the country froze wells before rising to a one-week high of 104.3 bcfd on February 25 as milder weather unfroze those wells. The amount of gas flowing to the eight big U.S. LNG export plants rose to an average of 15.6 bcfd so far in February, up from 14.6 bcfd in January. That compares with a monthly record high of 14.7 bcfd in December 2023. On a daily basis, LNG feedgas hit a record 16.4 bcfd on Sunday, topping the prior all-time high of 16.3 bcfd on February 19. Gas was trading at around $14 per mmBtu at both the Dutch Title Transfer Facility (TTF) benchmark in Europe and the Japan Korea Marker (JKM) benchmark in Asia. UK oil major Shell estimated global demand for LNG would rise by around 60% by 2040, driven largely by economic growth in Asia, artificial intelligence (AI) and efforts to cut emissions in heavy industries and transportation.

US natgas prices ease on near-record output, lower demand forecast (Reuters) - U.S. natural gas futures eased about 1% on Thursday on near-record output, forecast for less demand over the next two weeks than previously expected and a federal report showing last week's storage withdrawal was slightly smaller than anticipated. On its first day as the front-month, gas futures for April delivery on the New York Mercantile Exchange fell 2.5 cents, or 0.6%, to settle at $3.934 per million British thermal units (mmBtu). That small price decline came despite record gas flows to liquefied natural gas export plants and forecasts for slightly cooler weather over the next two weeks than previously expected. The U.S. Energy Information Administration (EIA) said energy firms pulled 261 billion cubic feet (bcf) of gas out of storage during the week ended February 21. That was a little less than the 266-bcf withdrawal analysts forecast in a Reuters poll and compares with a drop of 86 bcf during the same week last year and a five-year average draw of 141 bcf for this time of year. Analysts noted that the withdrawal, while smaller than expected, was still much bigger than usual for this time of year as utilities pulled massive amounts of gas from storage to heat homes and businesses during frigid weather last week. Financial company LSEG said average gas output in the Lower 48 U.S. states rose to 104.6 billion cubic feet per day (bcfd) so far in February from 102.7 bcfd in January, when freezing oil and gas wells and pipes, known as freeze-offs, cut production. That compares with a monthly record of 104.6 bcfd in December 2023. Over the last few weeks, output dropped from a record daily high of 106.7 bcfd on February 6 to a three-week low of 100.5 bcfd on February 19 as extreme cold froze wells before rising to a two-week high of 105.2 bcfd on February 27 as milder weather unfroze those wells. Meteorologists projected weather in the Lower 48 states would remain mostly warmer than normal through March 14. With milder weather coming, LSEG forecast average gas demand in the Lower 48 states, including exports, will fall from 125.8 bcfd this week to 117.4 bcfd next week. Those forecasts were lower than LSEG's outlook on Wednesday. The amount of gas flowing to the eight big U.S. LNG export plants rose to an average of 15.6 bcfd so far in February, up from 14.6 bcfd in January. That compares with a monthly record high of 14.7 bcfd in December 2023. That LNG feedgas increase mostly came as gas flows to Venture Global's 3.2-bcfd Plaquemines LNG export plant under construction in Louisiana hit a record high of 1.8 bcfd on Wednesday and Thursday. Gas was trading around $14 per mmBtu at both the Dutch Title Transfer Facility (TTF) benchmark in Europe and the Japan Korea Marker (JKM) benchmark in Asia.

Front Month Nymex Natural Gas Rose 25.95% This Month to Settle at $3.8340 — Front Month Nymex Natural Gas for April delivery gained 79.00 cents per million British thermal units, or 25.95% to $3.8340 per million British thermal units this month

• --Largest one month net and percentage gain since Sept. 2024
• --Up eight of the past 11 months
• --This week it is down 29.50 cents or 7.14%
• --Largest one week net and percentage decline since the week ending Jan. 31, 2025
• --Snaps a three week winning streak
• --Today it is down 10.00 cents or 2.54%
• --Down two of the past three sessions
• --Lowest settlement value since Friday, Feb. 14, 2025
• --Off 10.42% from its 52-week high of $4.28 hit Wednesday, Feb. 19, 2025
• --Up 143.43% from its 52-week low of $1.575 hit Tuesday, March 26, 2024
• --Rose 108.94% from 52 weeks ago
• --Off 10.42% from its 2025 settlement high of $4.28 hit Wednesday, Feb. 19, 2025
• --Up 25.95% from its 2025 settlement low of $3.044 hit Friday, Jan. 31, 2025
• --Off 75.07% from its record high of $15.378 hit Tuesday, Dec. 13, 2005
• --Year-to-date it is up 20.10 cents or 5.53%

All prices are calculated based on the settlement price of the current front month contract.

Missouri Loses Control Over 1.5 Million-Mile Gas Pipeline Network as Feds Step In — As reported by the Missouri Independent, the federal government has taken over regulating Missouri’s 1.5 million miles of natural gas pipelines, citing the state’s failure to enforce adequate penalties for safety violations. Previously, Missouri’s fines for violations ranged from $20,000 to $200,000—far below the federal range of $272,000 to $2.7 million. Federal officials had warned Missouri lawmakers for years that noncompliance could lead to a regulatory takeover. State Sen. Mike Cierpiot, R-Lee’s Summit, has repeatedly introduced legislation to raise the fines, but political gridlock has stalled progress. His latest bill aims to restore Missouri’s oversight by aligning penalties with federal standards, though it remains tied up in broader utility reforms that have sparked legislative disputes. Missouri’s Public Service Commission (PSC) conducts around 100 to 150 inspections annually, identifying leaks, corrosion, and other hazards. Kathleen McNelis, PSC’s pipeline safety manager, said the agency prioritizes fixing violations over issuing fines, which is why no penalties were imposed despite finding 74 violations in 2023. With PHMSA now in charge, Missouri has lost control over how penalties are handled, and any fines collected will go to the federal treasury instead of local schools. Federal regulators had given the state multiple chances to comply, but after years of inaction, they decided to step in and take over enforcement.

House votes to overturn rule implementing methane fee - The House on Wednesday voted to overturn a Biden-era rule implementing a program that charges oil and gas companies for excess methane emissions. The vote was 220-206-1.Democratic Reps. Henry Cuellar (Texas), Jared Golden (Maine), Vicente Gonzalez (Texas), Adam Gray (Calif.), Kristen McDonald Rivet (Mich.) and Marie Gluesenkamp Perez (Wash.) voted with nearly every Republican in favor of the measure. Rep. Brian Fitzpatrick (Pa.) was the only Republican to vote with Democrats against it. Rep. Joyce Beatty (D-Ohio) voted present.The Senate is expected to soon hold a similar vote and the resolution is likely to pass there as well and ultimately be signed by President Trump.However, overturning the rule does not necessarily eliminate the program, which was written into law in the 2022 Inflation Reduction Act. Fully overturning it appears to require additional legislation, and Republicans are expected to try to repeal it as part of their broader legislative package.

Congress Overturns Biden-Era Methane Fee on Energy Producers (Reuters) — The U.S. Senate on Thursday voted on a resolution that would overturn the Biden administration's proposed fee on methane emissions, one of the previous Environmental Protection Agency's final measures to force big oil and gas producers to slash emissions of the powerful greenhouse gas. The Senate passed the resolution under Congressional Review Act process, which allows Congress to reverse new federal rules with a simple majority, effectively overturning the escalating charge on oil and gas producers set by the agency they have called a tax. It follows passage of a similar resolution by the House on Wednesday. The methane fee was mandated by the 2022 Inflation Reduction Act, which directed the EPA to set a charge on methane emissions for facilities that emit more than 25,000 tons per year of carbon dioxide equivalent. Methane is the most prevalent greenhouse gas after carbon dioxide that tends to leak into the atmosphere undetected from drill sites, gas pipelines and other oil and gas infrastructure. The fee started at $900 per metric ton of methane emitted in 2024, and increased to $1,200 in 2025, and $1,500 for 2026 and beyond. The EPA last year finalized methane emission and reporting standards for the oil and gas sector, which faced less opposition from oil and gas companies. Industry groups applauded the passage of the resolutions in the House and Senate and urged President Donald Trump to quickly sign the legislation. "The Biden administration and Democrats in Congress passed the methane tax to single out and punish the oil and natural gas industry despite its already burdensome EPA regulatory framework," said Independent Petroleum Association of America President Jeff Eshelman. Democratic Senator Sheldon Whitehouse, top Democrat on the Senate environment committee, said the resolution would raise energy prices and weaken environmental quality for consumers. The American Petroleum Institute (API) also praised the passage of a Congressional Review Act resolution aimed at repealing the EPA’s Waste Emissions Charge (WEC), a methane fee established under the Inflation Reduction Act. API Executive Vice President Amanda Eversole called the measure a “duplicative, punitive tax” that hinders energy innovation. She emphasized that industry-led efforts have already driven methane emissions down while increasing production, advocating for policies that support American energy leadership.

Unexpected drop in EIA crude oil inventories signals stronger demand (AI generated) The Energy Information Administration’s (EIA) Crude Oil Inventories reported a surprising decline in the number of barrels of commercial crude oil held by US firms. The actual number of barrels dropped by 2.332 million, defying the forecasted increase of 2.500 million barrels. This unexpected decrease in crude inventories is significantly lower than the predicted increase and indicates a stronger demand for crude oil. Economists and market analysts often use the EIA Crude Oil Inventories as a barometer for the health of the oil industry and the broader economy. An increase in crude inventories typically suggests weaker demand, which can depress crude prices. Conversely, a decrease in inventories usually implies greater demand, which can buoy crude prices. Compared to the previous data, the actual number also shows a dramatic shift. The previous figure stood at an increase of 4.633 million barrels, making the current decrease of 2.332 million barrels a stark contrast. This swing from a significant inventory build to a substantial drawdown is a bullish signal for crude prices and could potentially impact petroleum product prices, which in turn, can influence inflation. The EIA Crude Oil Inventories report is considered highly important, with a three-star rating, due to its potential to influence the price of petroleum products and its broader impact on inflation. The unexpected drop in inventories could have significant implications for the oil market and the overall economy. Market participants will be closely monitoring the next report to see if this trend of stronger demand continues. This unexpected drop in crude inventories could potentially signal a shift in the oil market dynamics, with implications for energy companies, investors, and consumers alike.

United States Oil and Gas Market to Grow from USD 244.4 Billion in 2023 to USD 325.5 Billion by 2030, Registering a 4% CAGR -- The United States Oil and Gas Market remains a critical pillar of the global energy industry, supported by rising energy demands, increasing shale gas exploration, and advancements in extraction technologies. The U.S. continues to be one of the world’s top producers and exporters of crude oil and natural gas, playing a vital role in global energy security. According to recent market research, the U.S. Oil and Gas Market was valued at USD 244.4 billion in 2023 and is projected to grow at a CAGR of 4%, reaching USD 325.5 billion by 2030. This growth is primarily driven by high energy consumption across industries, technological innovations in drilling, and an increasing focus on sustainability and environmental compliance. Key Growth Drivers of the United States Oil and Gas Market

1. Increasing Energy Demand Across Industries -The industrial sector, transportation, and power generation are major consumers of oil and gas in the United States. Key contributors to rising demand include:

• Economic growth driving higher industrial output and transportation needs.
• Expansion of petrochemical production, increasing the consumption of natural gas and crude derivatives.
• Rising power generation capacity, where natural gas is a preferred alternative to coal due to its lower carbon footprint.

As the U.S. economy continues to expand, energy-intensive industries will further contribute toupstream oil and gas exploration and production activities.

2. Expansion of Shale Gas Exploration and Production - The U.S. shale revolution has significantly reshaped the global energy landscape, with advanced hydraulic fracturing and horizontal drilling unlocking vast reserves of tight oil and natural gas. Key shale formations include:

• Permian Basin (Texas and New Mexico) – The largest shale oil-producing region.
• Marcellus and Utica Shale (Appalachian Basin) – Major natural gas-producing regions.
• Bakken Formation (North Dakota and Montana) – A crucial contributor to crude oil output.

With continuous advancements in drilling efficiency, cost reduction, and enhanced oil recovery (EOR) techniques, the shale industry remains a primary driver of U.S. energy dominance.

3. Adoption of Enhanced Oil Recovery (EOR) Technologies --As conventional oil reservoirs mature, companies are investing in Enhanced Oil Recovery (EOR) techniques to boost production rates and maximize output. These methods include:

• Thermal EOR (steam injection) to improve oil mobility.
• Gas Injection EOR using CO₂ or natural gas to increase reservoir pressure.
• Chemical EOR, deploying surfactants, polymers, and nanoparticles to improve oil displacement.

With the U.S. government’s push for carbon capture and storage (CCS) technologies, CO₂-based EOR is gaining traction, ensuring sustained production while reducing environmental impact.

4. Technological Advancements in Drilling and Production - The U.S. oil and gas sector is at the forefront of technological innovation, focusing on:

• Automated drilling systems to enhance efficiency.
• Artificial intelligence (AI) and big data analytics for real-time reservoir monitoring.
• Smart completions using fiber optics and sensors for optimized well performance.
• Digital twin technology for predictive maintenance and operational safety.

These technological breakthroughs are lowering production costs, improving well productivity, and minimizing environmental risks, making the U.S. a leader in energy innovation.

Most Propane Comes from Heavy Hydrocarbon (Crude Oil) Wells - LPG, or liquefied petroleum gas, is known by the more common name of propane. Propane is an NGL (natural gas liquid). Propane is a byproduct of drilling for oil and natural gas. In fact, according to a new article in LPGas magazine, it’s a misconception to say companies drill for oil or natural gas. The more accurate description is that drillers drill for hydrocarbons because every hole they sink brings multiple hydrocarbons out of the ground, including crude oil (or condensate), methane (CH4), ethane (C2H6), propane (C3H8), and other hydrocarbons like pentane, butane, and others. It would be accurate to say drillers primarily drill for single hydrocarbons, namely crude oil and/or natural gas. However, other hydrocarbons, including propane, come out of the ground as byproducts.

Army Corps Lists Enbridge’s Line 5 as ‘Emergency’ Project Eligible to Bypass Environmental Review (Reuters) — The Army Corps of Engineers has identified over 600 energy and other infrastructure projects that could be fast-tracked under President Donald Trump's National Energy Emergency declaration, according to data posted on its website. Among the projects on the list were Enbridge's Line 5 oil pipeline under Lake Michigan, several natural gas power plants, and liquefied natural gas export terminals proposed by Cheniere and Venture Global. The Army Corps posted the list - without sending a public notice - last week, marking the projects as eligible for emergency permitting treatment. Trump had ordered the Army Corps to issue permits enabling the filling of wetlands and dredging or building in waterways as part of the "National Energy Emergency" he declared in a day-one executive order. The Army Corps was not immediately available for comment. The fast-tracking of these projects could trigger legal fights, with environmental groups warning they are flouting federal laws. “This end-run around the normal environmental review process is not only harmful for our waters, but is illegal under the Corps’ own emergency permitting regulations,” said David Bookbinder, Director of Law and Policy at The Environmental Integrity Project. Companies with projects awaiting key permits applauded the move to "streamline" the review process. "We are very encouraged to see this action to expedite review for responsible critical mineral development projects," said Jon Cherry, CEO of Perpetua Resources PPTA.O, which is developing a U.S. antimony and gold mine in Idaho with financial support from the Pentagon and U.S. Export-Import Bank. The Biden administration had issued the mine a permit, but it still needs a wetlands permit, which Cherry said he expects to receive by July. West Virginia has the largest number of projects on the list at 141. There 60 in Pennsylvania, 57 in Texas, 42 in Florida, 41 in Ohio, according to the Environmental Integrity Project, which is tracking the permits.

Michigan Court Backs Permits for Enbridge’s Line 5 Pipeline Tunnel Project (P&GJ) — A Michigan appeals court has upheld state permits for Enbridge Energy’s proposed tunnel project beneath the Straits of Mackinac, rejecting legal challenges from environmental groups and Native American tribes, according to the Associated Press (AP). The ruling allows Enbridge to move forward with its plan to encase a section of its Line 5 pipeline in a protective tunnel. The Michigan Court of Appeals determined that the Public Service Commission acted appropriately in issuing permits for the $500 million project. According to AP, opponents had argued that regulators failed to assess whether the pipeline itself remains necessary and overlooked the environmental impact of fossil fuels. However, the court found no grounds to overturn the commission’s decision, concluding that it was comprehensive and reasonable. Enbridge has operated Line 5 since 1953, transporting crude oil and natural gas liquids between Wisconsin and Ontario. The pipeline runs along the bottom of the Straits of Mackinac, where safety concerns have intensified in recent years. In 2017, Enbridge disclosed that its engineers had known about coating gaps on the pipeline since 2014. The following year, a boat anchor strike further raised fears of a potential spill. Despite maintaining that the line remains structurally sound, Enbridge agreed in 2018 to construct the tunnel under an arrangement with former Michigan Gov. Rick Snyder. The tunnel would enclose a four-mile segment of the pipeline to provide additional protection. Although the appellate ruling supports the project, Enbridge still faces additional legal and regulatory barriers. Michigan Gov. Gretchen Whitmer opposes the continued operation of Line 5, and Attorney General Dana Nessel is pursuing a separate lawsuit to revoke the easement allowing the pipeline to operate beneath the Straits. That case, currently in a state court, could result in further legal complications for Enbridge. The company must also secure a permit from the Michigan Department of Environment, Great Lakes, and Energy, as well as federal approval from the U.S. Army Corps of Engineers before construction can proceed. Environmental advocates remain concerned that federal regulators may expedite the approval process, particularly under policies favoring energy development. Despite these challenges, Enbridge welcomed the court’s decision.

Feds Approve Another Deepwater Oil Export Terminal Off Texas -The Trump administration on Friday approved plans for a second deepwater oil loading terminal off the Texas coast, opening another door for continued long-term growth in American crude production and exports. It’s the administration’s latest rejection of previous international agreements to move away from fossil fuels as a means to mitigate the carbon emissions fueling dangerous global warming. Trump has dismissed climate change as a threat and promised growth for the nation’s oil and gas sector. “Today, we are unleashing the full power of American energy,” U.S. Transportation Secretary Sean Duffy said in an announcement. “With this approval, we are increasing our energy revenue and unlocking our vast oil resources—not just for domestic security, but to dominate the global market.”The GulfLink oil terminal will load up to 1 million barrels per day onto the world’s largest class of oil tankers for export overseas. It will eventually float alongside the much larger Sea Port Oil Terminal, which was approved in 2022 and remains unbuilt. In December, the Biden administration missed a deadline to rule on the GulfLink proposal, saying it was still evaluating whether the project was in the public interest. Last year, the United Nations’ annual climate conference concluded in Azerbaijan with a notable lack of resolution on the phase-out of fossil fuels called for during previous years. Global oil production and temperatures both continue to rise, making the last two years the hottest ever on record. President Donald Trump promises steep growth for American oil and gas, which already logged record production and profits under President Joe Biden. The GulfLink terminal was first proposed years ago by Sentinel Midstream and remains years away from construction. It is one of four deepwater terminals currently proposed along the Gulf Coast, part of an infrastructure buildout designed to export more American oil flowing largely from West Texas.“As the volumes of that fracked oil become more and more potentially impactful, we’re going to need to have a more effective way of getting it exported,” said Charles McConnell, a former assistant secretary of fossil energy at the U.S. Department of Energy and executive director of the Center for Carbon Management in Energy at the University of Houston. “I think more terminals offshore is probably the order of the day.”He said the export of petroleum products now represents the largest single export revenue stream for the U.S., as the Trump administration seeks to use oil exports as an instrument of geopolitical power. “I believe this administration will be much more inclined to use that advantage, not just apologize about it,” he said.Less than 10 years have passed since the U.S. began to export oil. It followed the revolution in fracking, which unlocked a tremendous new wealth from underground shale formations in Texas and several other states. As more and more shale oil flowed from the ground, much of it was piped for export overseas. That decade of steep growth in production has made the U.S. the world’s top oil producer and its third-largest exporter as of 2023, behind Saudi Arabia and Russia. But America’s export infrastructure remains relatively undeveloped, limiting further growth. Although the Gulf Coast region in Texas and Louisiana processes the majority of American oil exports, it has just one deepwater terminal capable of docking with supermassive tankers, the Louisiana Offshore Oil Port, an old import terminal that’s been converted.At the region’s onshore terminals, shallow coastal water prohibits the approach of giant tankers, so they anchor miles offshore while smaller ships ferry out oil in a relatively inefficient process. The development of deepwater terminals will draw more traffic to the region, said Anas Alhajji, Dallas-based managing partner at Energy Outlook Advisors LLC.“It will bring more business, it will bring more pipelines,” he said. “If shale production continues to rise, almost all the increase will go to exports.”

Greenpeace says a pipeline company's lawsuit threatens the organization's future (AP) — A Texas pipeline company’s lawsuit accusing Greenpeace of defamation, disruptions and attacks during protests against the Dakota Access Pipeline goes to trial in North Dakota on Monday, in a case the environmental advocacy organization says threatens free speech rights and its very future. The lawsuit stems from the protests in 2016 and 2017 over the oil pipeline’s planned Missouri River crossing, upstream from the Standing Rock Sioux Tribe’s reservation. The tribe has long argued that the pipeline threatens its water supply. Of the thousands of people who protested the project, hundreds were arrested. Energy Transfer and its subsidiary Dakota Access allege trespass, nuisance, defamation and other offenses by Netherlands-based Greenpeace International and its American branch, Greenpeace USA. The lawsuit also names the group’s funding arm, Greenpeace Fund Inc. The jury trial in state court in Mandan, North Dakota, is scheduled to last five weeks. Dallas-based Energy Transfer alleges Greenpeace tried to delay construction of the pipeline, defamed the companies behind it, and coordinated trespassing, vandalism and violence by pipeline protesters. The lawsuit seeks millions of dollars in damages. The Dakota Access Pipeline was completed and has been transporting oil since June 2017. Greenpeace International said it shouldn’t be named in the lawsuit because it is distinct from the two U.S.-based Greenpeace entities, operates outside the U.S., and its employees were never in North Dakota or involved with the protests. Greenpeace USA said the plaintiffs have failed to back up their claims in the years since the protests. Earlier in February, a judge denied motions by Greenpeace to throw out or limit parts of the case. Representatives of the environmental organization founded over 50 years ago said the company just wants to silence oil industry critics. “This trial is a critical test of the future of the First Amendment, both freedom of speech and peaceful protest, under the Trump administration and beyond,” Greenpeace USA Interim Executive Director Sushma Raman told reporters. “A bad ruling in this case could put our rights and freedoms in jeopardy for all of us, whether we are journalists, protesters or anyone who wants to engage in public debate.” Greenpeace USA helped support “nonviolent, direct-action training” on safety and de-escalation at the protests, Senior Legal Adviser Deepa Padmanabha said. Energy Transfer is arguing that “anyone engaged in a training at a protest should be held responsible for the actions of every person at that protest,” Padmanabha said. “So it’s pretty easy to see how, if successful, this kind of tactic could have a serious chilling effect on anyone who might consider participating in a protest.” Earlier in February, Greenpeace International filed an anti-intimidation suit in the District Court of Amsterdam against Energy Transfer, saying the company acted wrongfully and should pay costs and damages resulting from its “meritless” litigation. An Energy Transfer spokesperson said the lawsuit is about Greenpeace not following the law. “It is not about free speech as they are trying to claim. We support the rights of all Americans to express their opinions and lawfully protest. However, when it is not done in accordance with our laws, we have a legal system to deal with that,” Energy Transfer spokeswoman Vicki Granado said in a statement. The company filed a similar case in federal court in 2017, which a judge dismissed in 2019. Soon after, Energy Transfer filed the state court lawsuit now headed to trial. Energy Transfer launched in 1996 with 20 employees and 200 miles (320 kilometers) of natural gas pipelines. Today the 11,000-employee company owns and operates over 125,000 miles (200,000 kilometers) of pipelines and related facilities.

Chevron To Lay Off 20% Of Global Workforce -Chevron Corp. has announced that it will lay off 15-20% of its global workforce and reorganize its business structure. The U.S. oil and gas major announced that it will consolidate its Oil, Products & Gas segment into Upstream and Downstream, Midstream & Chemicals segment, and be led by Mark Nelson, the current executive vice president of the Oil, Products & Gas unit. "Our new organizational structure and leadership appointments are designed to improve our operational efficiency and position Chevron for sustained growth," CEO Mike Wirth said in a statement. The mass layoffs are part of the company’s efforts to cut costs. Last month, Chevron announced that it’s well positioned to grow its free cash flow by $6 billion to $8 billion by 2026, and lower expenses by "a couple billion dollars". America’s second-largest oil and gas company expects to achieve these results thanks to the start of new or expanded oil production projects in Kazakhstan, growth in U.S. shale and offshore U.S. Gulf of Mexico. Chevron has projected oil production growth in the Gulf of Mexico to clock in at 300,000 barrels per day by 2026, up from 200,000 last year. Back in August, Chevron produced its first oil from a pioneering U.S. Gulf of Mexico deepwater field under extreme pressures. The field is expected to produce up to 75,000 barrels of oil per day at its peak, with the company lining up two more offshore projects. Meanwhile, Chevron is looking to close the gap between it and Exxon Mobil Corpthrough the acquisition of Hess Corp. Last month, the Federal Trade Commission (FTC) finalized a consent order that resolves antitrust concerns surrounding Chevron Corporation’s acquisition of oil producer Hess Corporation. Hess CEO John Hess said he's "very confident" that the company's planned $53 billion sale to Chevron will be completed.

BP Set to Scrap Renewable Energy Goal as It Boosts Oil and Gas - BP is expected to announce this week that it is shifting its focus back to oil and gas, ditching a target to boost renewable energy capacity generation 20-fold by 2030, sources familiar with the new strategy told Reuters on Monday.BP earlier this month pledged to fundamentally reset its strategy as it booked its lowest annual and quarterly profits in years and seeks to push up its stock performance and regain investor trust. “Building on the actions taken in the past 12 months, we now plan to fundamentally reset our strategy and drive further improvements in performance, all in service of growing cash flow and returns,” BP’s chief executive Murray Auchincloss said in a statement two weeks ago.BP’s leadership will communicate its new strategy, which “will be a new direction for bp”, at a Capital Markets Update on February 26, Auchincloss added. At the event this Wednesday, BP’s chief executive is expected to announce that the UK-based supermajor would ditch its previous goal – set under former CEO Bernard Looney – to grow renewable capacity 20-fold to 50 gigawatts (GW) between 2019 and 2030. Auchincloss is also expected to announce a pivot back to oil and gas – as other European majors such as Shell and Equinor have already done.BP is set to cut investments in other low-carbon energy solutions as it looks to raise returns for shareholders and cut debt, which has been recently increasing, according to Reuter’s sources.The pressure on BP to improve its stock performance and returns became more intense earlier this month after reports emerged that activist investor Elliott Management had bought a stake in the supermajor and would be pushing for changes in strategy, or even for board reshuffles.Elliott’s stake in BP is estimated at nearly 5% as the activist investor is reportedly pushing for major asset sales to address the undervalued shares of the UK-based supermajor.

Crude oil exports by Mexico's Pemex plummet 44% in January -- Crude oil exports by Mexican state energy company Pemex plunged 44% year-on-year in January to 532,404 barrels per day (bpd), its lowest in decades, official numbers show, as the company has admitted it is struggling with crude quality. The monthly level is the lowest since records in their current form began in January 1990. Last year, exports averaged just over 811,000 bpd and the year before just over one million bpd. Sales to the Americas - an export designation dominated by Pemex's largest market, the United States - were 320,944 bpd in January, 36% less year-on-year, according to the numbers released late on Tuesday. Pemex Chief Executive Officer Victor Rodriguez said in recent weeks that the company had a "temporary" problem with too much salt and water in its crude oil and conceded that some customers had complained. However, Rodriguez said Pemex was in the process of solving the problem, and that exports were not affected. Pemex produced crude oil and condensate of 1.62 million bpd in Advt January, 12% less than the same month a year earlier. Even as exports fell, Pemex's gasoline production rebounded and imports declined some 23% from January 2024. While Pemex does not give explanations for monthly export numbers, it has in recent years pointed to important fields - especially in the Gulf of Mexico - being depleted at a time when new discoveries did not live up to expectations.

Trump Says North American Tariffs Going Ahead as Mexico Imports of U.S. Gas Surge — President Trump has said tariffs on Mexico and Canada will go into effect on March 4, a threat he held back for one month earlier this year. Natural Gas Intelligence's (NGI) Agua Dulce and Waha bidweek natural gas price indexes graphed against the average U.S. pipeline flows to Mexico. Trump cited the flow of drugs across borders. “We cannot allow this scourge to continue to harm the USA, and therefore, until it stops, or is seriously limited, the proposed TARIFFS scheduled to go into effect on MARCH FOURTH will, indeed, go into effect, as scheduled,” the president said on social media. He added China would be slapped with an additional 10% tariff.

The Treasure of the Sierra Madre - Mexico's Energy Strategy May Rest on Fate of Natural Gas Pipelines --A significant shift is underway within Mexico’s energy landscape, reflected by the development of large-scale oil and gas infrastructure projects in the country, particularly the Southeast Gateway and Sierra Madre gas pipelines that would move U.S.-sourced natural gas across Mexico. These projects — the first an undersea pipe in the Gulf of Mexico and the second a pipe across the country’s northern tier — would enhance Mexico’s gas transport capacity while supporting power generation and industrial development. Mexico, which is already heavily reliant on imports of U.S. gas, is forecast to see gas demand rise in the coming years as domestic production drops. In today’s RBN blog, we look at those two pipelines, their challenges, and how the potential for U.S. tariffs on Mexican imports might complicate the future of both projects. The Southeast Gateway Pipeline (dashed yellow line in Figure 1 below), also known as Gasoducto Puerta al Sureste, is a $3.9 billion (79 billion Mexican Peso) project led by TC Energy in partnership with Mexico’s state-owned Comisión Federal de Electricidad (CFE) that is slated to come online in May. The conduit extends TC Energy’s existing 2.6-Bcf/d Sur de Texas-Tuxpan undersea pipeline (magenta line), which runs from Brownsville, TX, to Tuxpan. (As we noted inSouthern Cross, Sur de Texas-Tuxpan connects with Enbridge’s Valley Crossing pipeline at the border. The gas for Southeast Gateway would be sourced from the Agua Dulce hub in South Texas.)The 444-mile (715-km), 1.3-Bcf/d undersea pipeline would link three key ports — Tuxpan and Coatzacoalcos in Veracruz state and Dos Bocas in Tabasco state. Its end users would likely include existing (about 240 MMcf/d) and future CFE power plants on Mexico’s Yucatán Peninsula that should begin service this year. (CFE, one of Mexico’s largest state-owned enterprises, provides transmission services and distributes electricity; generates and sells electricity; and imports, exports, transports, stores, purchases and sells natural gas, coal and other fuels. It also develops and executes engineering projects, research, and geological and geophysical activities; and oversees the development and implementation of energy sources.) The pipeline’s undersea route is at least partly due to the significant hurdles to building an onshore pipeline in Mexico, where acquiring right-of-way is difficult, there is no ability to use eminent domain, and local groups can be challenging to work with — to say the least. In some parts of the country, cartels also may be a serious risk. Additionally, pipeline projects must also satisfy the local indigenous communities. There are several stories about pipeline projects that could not satisfy the local powers hitting dead ends or worse, sabotage. By locating the project offshore, Southeast Gateway avoids some of those hurdles and is also able to pass through some important PEMEX offshore production areas, such as the Lakach deepwater field near Coatzacoalcos. (Mexico’s newly elected president, Claudia Sheinbaum, announced a plan in mid-February to boost PEMEX natural gas production by 50% by the end of her six-year term.)However, going offshore has opened the project to pushback based on its potential impact on marine ecosystems. The pipeline’s route passes through areas that have been designated environmentally sensitive, including the Southwestern Gulf of Mexico Reef Corridor. TC Energy says that it has invested more than $50 million in marine studies and states that the pipeline route does not touch or cross living coral reefs. However, some sections of the environmental impact study (EIS), including crucial coordinates, were redacted by officials, fueling skepticism among conservationists.The second project we’re discussing today, the Sierra Madre Pipeline (dashed orange line in Figure 2 above), is part of Mexico Pacific's $14 billion-plus (288 billion Mexican Peso) Saguaro Energía LNG project (aqua diamond at left). This 497-mile (800-km), 2.8-Bcf/d pipeline, which is not expected to begin operations until 2028-29, would run west from Guadalupe in Chihuahua state (near El Paso, TX) to Puerto Libertad in Sonora state. Gas supplies would come from the Permian’s Waha Hub (red dot) via the proposed 2.8-Bcf/d Saguaro Connector (dashed green line), which the U.S. Energy Information Administration (EIA) estimates would come online by 2027-28.But the pipeline faces an uncertain path forward, since (as noted above) onshore pipelines are notoriously difficult to build in Mexico and both projects — Sierra Madre and Southeast Gateway — have already faced legal challenges. Further obstructions are possible as construction progresses, particularly from environmental groups and affected communities.Adding to the uncertainty of these endeavors is whether the Trump administration will support additional U.S. gas exports to Mexico. These pipelines would represent a deepening of energy ties between the two countries — both projects would help move U.S.-produced natural gas — which could influence broader diplomatic and economic relations. But the potential for U.S. tariffs on Mexican imports — and the possibility of retaliatory Mexican tariffs on U.S. imports — complicates the fate of both projects. (President Trump announced a 25% tariff on Mexican imports to take effect February 4, then agreed to delay the tariffs by one month.) When economic tensions between neighbors escalate into trade disputes, the repercussions often ripple through critical industries. This is especially true when the two countries in conflict are deeply dependent upon one another. If the U.S. were to impose new tariffs on Mexican goods, Mexico could respond with calculated measures targeting the U.S. oil and gas sector. But Mexico’s reliance on U.S. natural gas, which accounts for approximately 75% of its imports, makes retaliatory tariffs problematic because they would raise costs for gas-dependent Mexican industries.In fact, part of the argument for these projects is that they will enhance Mexico's energy security and promote economic development, particularly in the country's southern regions. Southeast Gateway, for instance, is expected to create approximately 4,000 direct and indirect jobs during peak construction. An injunction was filed against it in 2018 on environmental grounds but it was later struck down after a court ruled the project was a matter of national security, highlighting the pipeline’s perceived importance. Regarding Sierra Madre, to try to mitigate some of the risk, the pipeline is contingent on the LNG terminal’s developer, Mexico Pacific Limited (see Down in Mexico), making a final investment decision (FID). And, for the Saguaro Connector to move forward, developer ONEOK would need to see FID from both the terminal and the Sierra Madre pipeline.Political, technical and logistical hurdles in constructing and operating these pipelines — especially for the offshore components of Southeast Gateway — will require careful management and innovative solutions. Moreover, whether the projects advance or get bogged down may reveal the real priorities of Mexico’s energy strategy.

Centrica Inks Deal to Send More U.S. LNG to Latin America -Centrica plc has agreed to sell LNG to Brazil’s Petróleo Brasileiro SA, aka Petrobras, nearly one-third of which the UK company is expected to source from its U.S. portfolio, reflecting Latin America’s reliance on supplies of the super-chilled fuel from the United States even as demand remains uneven. Chart showing Latin America DES prices. Starting in 2027, the 800,000 million tons/year (Mt/y) of LNG supply Centrica will supply to Petrobras will be sourced from its Sabine Pass and Delfin supply agreements. Centrica CEO Chris O'Shea said the supply agreement was part of a strategy to build “long-term partnerships while derisking its portfolio exposure in the medium-term.”

Colombia Turns to LNG Amid Cloudy Forecasts for Domestic Natural Gas Output - Colombia imported record levels of LNG in 2024 and its state-owned oil and gas company may be eyeing LNG as a keystone for energy security. Executives at Colombia’s national oil company (NOC) Ecopetrol SA said last week that they were planning to build two additional import facilities in the country to meet demand that is often unpredictable. Colombia relies on hydropower for the bulk of its electric supply, but during dry spells, natural gas demand spikes. The fuel is also used in tens of millions of homes, as well as in a growing natural gas vehicle fleet.

Trump Tariff Plan Spotlight's America's Dirty Little Energy Secret: Crude Oil From Canada -When President Donald Trump announced plans to slap a 10 percent tariff on oil and gas imports from Canada, he shined an uncomfortable spotlight on a little-known fact about American households. Millions of them rely on Canadian oil to keep warm. While the idea of a tank full of heating oil firing up the furnace may sound quaint to some, it’s how nearly five million U.S. households heated their home in 2023, according to the United States Energy Information Administration. About 80 percent of them are in the Northeast. In New Hampshire, more than 40 percent of residents use home heating oil, and it Maine it’s more than half. Much of that oil comes, not from Texas or Oklahoma, but from Canada. As a result, the National Energy Assistance Directors Association the cost of oil-based heating would increase by $117 to $1,576 on average if Trump’s tariffs take effect. America imports Canadian oil because of its proximity and the network of established pipelines that serve both nations. But it also uses Canadian oil because it’s the sort of heavy crude similar to the oil from California that many U.S. refineries are designed to process. Around 25 percent of all oil refined in America comes from Canada. The alternative to heating oil is natural gas. Cheaper to produce – and healthier for the environment – it accounts for 43.1 percent of electricity generation in the U.S., according to federal statistics. Not only that, but Pennsylvania, America’s second-largest producer of natural gas, could easily provide the natural gas needed to replace heating oil demand in the region. And so, while the public policy debate has largely focused on the tariff policy, people in the energy sector are asking another question: Why are so many Americans still burning oil when the U.S. is the largest producer of cleaner natural gas? Because of a successful effort by the Biden administration and its green allies to block energy infrastructure to take natural gas where it’s most needed. There have been many pipeline proposals to take natural gas from the prolific Marcellus and Utica shale regions of Pennsylvania, says Marc Brown with Consumer Energy Alliance. But those proposals ran into heavy resistance, particularly in blue states like Massachusetts and New York. “Any one of those projects would have reduced energy prices, increased the electricity grid’s reliability, and reduced emissions.” Supporters of expanded U.S. natural gas note the irony of environmental activists and Democratic governors going to court to keep more Americans burning imported oil. New York banned fracking in 2014 after a six-year moratorium sparked by unverified environmental concerns, despite a 2009 ConEdison report praising the state’s “safe, robust natural gas infrastructure,” including 10 pipelines. Natural gas allies received a boost in 2012 when the U.S. Energy Information Administration (EIA) argued prices would likely drop if a pipeline from New Jersey to New York was expanded. The EIA said the expanded pipeline would help reduce bottlenecks from natural gas rich Pennsylvania to New Hampshire and the rest of New England. But three years after New York banned fracking, the administration of then-Gov. Andrew Cuomo (D) halted two major natural gas pipelines from Pennsylvania. In Massachusetts, Gov. Maura Healey (D) recently demanded energy companies lower their prices after the state’s public utilities commission approved a 25 percent price increase on natural gas. But the progressive Democrat previously bragged that she “stopped two pipelines from coming into this state.” Access to natural gas in the Bay State has become so problematic that in 2018 and 2019, some Massachusetts utilities issued moratoriums on new residential natural gas hookups due to “insufficient pipeline capacity.” Energy companies shifted focus to truck transportation of oil and natural gas, extending delivery time of shipments – and driving up costs. But that could change under the Trump administration, Brown said. “Hopefully, projects receive approvals so that they can deliver much-needed relief to families and businesses–especially to those on low and fixed incomes that can least afford the exorbitantly high energy prices we see in the Northeast.” And it may already be happening. Trump has vowed to revive the proposed Constitution Pipeline from Pennsylvania to New York that was abandoned in 2020. “It will bring down the energy prices in New York and in all of New England by 50, 60, 70 percent,” Trump said.

Canada Eyes New Oil Pipelines to Avoid U.S. Tariffs, But No One Wants to Build Them (Reuters) — The Canadian government would have to play a significant role in any project to build new oil pipelines in Canada to overcome regulatory, financial and political hurdles and activist opposition, industry experts said. With U.S. President Donald Trump threatening tariffs on Canadian oil exports, several Canadian politicians have called for new pipelines to coastal export terminals to reduce dependency on the U.S. market. Oil is the most valuable export of Canada, the world's fourth-largest oil exporter which pumps 4 million barrels per day (bpd) over the border to U.S. refiners. That is about 90% of Canada's oil exports. Canada's Liberal Energy Minister, the Conservative opposition leader and several provincial premiers have all called for new pipelines to take crude to Canada's west, east and north coasts. Yet no private company has expressed recent interest in taking on such a multibillion-dollar project, which experts say could take a decade to complete. Two big east-west projects have been canceled in the last decade, and a Canadian company also lost billions when former U.S. President Joe Biden revoked permits for the Keystone XL pipeline project to the U.S. in 2021. Trump on Monday said he wanted Keystone XL built and pledged easy regulatory approvals. But on the same day, he said tariffs on U.S. imports from Canada and Mexico would proceed in March. Tariffs would make Canadian crude more expensive for U.S. refiners or cut margins for Canadian producers, hurting demand for the pipeline. Even without tariffs, building pipelines poses too many risks for Canadian companies, said Dennis McConaghy, a former executive with TransCanada Corp., now TC Energy. He worked on that company's ill-fated Keystone XL project. "If I were on the board (of a pipeline company), I would find these risks very difficult to rationalize taking on," McConaghy said in an interview. Canada's current option to bypass the U.S. is the Trans Mountain pipeline system, running from the oil-producing province of Alberta to the British Columbia west coast. Crude can then be shipped to overseas markets. An expansion of the line was completed last year by Kinder Morgan, seven years after the company threatened to cancel it due to heavy environmental and Indigenous opposition. Ottawa bought the Trans Mountain system for C$4.5 billion (US $3.15 billion) in 2018 to finish the expansion. Construction delays and budget overruns pushed its price tag to C$34 billion over four years. "The fact that the cost overruns were so massive, that's a really strong signal to the private sector," s Canada's energy sector has long complained of lengthy permitting times and regulatory uncertainty slowing projects and scaring potential investors. Companies would be unwilling to consider a new pipeline proposal unless the federal government quickly amends the Impact Assessment Act, said Martha Hall Findlay, a former Liberal Member of Parliament and Suncor Energy Inc. executive. The act, effective in 2019, required social and cultural assessments of pipelines as well as environmental impacts. Since then, only one project — the Cedar LNG project — has successfully completed the process, and that took 3-1/2 years. "Working collaboratively with the provinces will be key — and will take some serious political leadership," Hall Findlay said. Canadian pipeline operator Enbridge would not consider a Canadian pipeline project absent a reversal in Ottawa's policy toward energy infrastructure, CEO Greg Ebel said on a recent conference call. He said the country needs permitting reforms, elimination of the proposed cap on emissions from oil and gas production, and expansion of federal and provincial loan guarantee programs allowing Indigenous communities to become equity investors in pipeline projects. "We would need to see real legislative change at the federal and provincial government level that specifically identifies major infrastructure projects ... as being in the national interest," Ebel said.

B.C. Energy Regulator clears companies of 2022 oil spill - A 2022 oil spill along a pipeline in British Columbia has resulted in no penalties for the companies involved. The March 22 spill occurred just over 20 kilometres north of Fort St. John when a pipeline that transports oil to a processing facility ruptured, spilling an estimated 20,000 litres of oil, confirmed a spokesperson for the B.C. Energy Regulator (BCER). In August 2024, the BCER sent a letter to Pavilion Energy Corp. and its contractor Hurley Well Service Ltd. indicating it was considering penalties for contraventions of the Energy Resources Activities Act. But in a Feb. 18 decision, BCER acting executive vice-president for safety and compliance Patrick Smook found that neither company contravened the act. The spill occurred during servicing operations, when Pavilion chose to pump oil through the pipeline to make way for a load of water. Two days into the work, the company discovered a pipeline break had led to an oil spill, wrote Smook in his decision. Pavilion reported the incident to Emergency Management BC. The agency had not responded to BIV's request for comment by the time of publication. An inspection report later blamed the spill on too much pressure, alleging the pipeline pressure climbed to 20,700 kilopascals (kPa) when it ruptured, nearly triple the recommended value. But in Hurley's response to the regulator, the contractor said a pin had been set in a relief valve so it would shear if the pump hit 17,237 kPa of pressure. “I accept that the pressure relief valve with such a pin setting would have been effective at automatically stopping the pumping operation if pressures were approaching those needed to rupture the pipeline,” wrote Smook. “That the pin did not shear is not in dispute and is compelling evidence against the allegation that the Hurley rig pump was the source of pressure that ruptured the pipeline.” Hurley also claimed ice may have been blocking the pipeline before the contractor arrived. Smook found both explanations — the intact valve pin and ice blockage — were “at least as persuasive as the allegations” made by the BCER investigator in his contravention report. Neither company was penalized. \

Cleanup underway after fuel spill at Campbell River Airport blocks some access - A fuel spill on privately leased land at the Campbell River Airport has been reported to the province, says the City of Campbell River. On Feb. 25, the city was notified of the spill and went on to inform the provincial government and the Department of Fisheries and Oceans Canada. The city also says it took swift actions in response to the spill, setting up absorbent materials, such as sock booms and spill pads. Airport Drive, south of the Terminal Building, is closed to vehicles and pedestrians until further notice. Local traffic access is available. The city has also closed trails that may be affected in the dog-walking area at the south end of Airport Drive. Residents are encouraged to stay out of creeks and ditches by the airport while work occurs and to keep pets out of the area, too. The city says it will continue to support the spill response where possible and will update the public when more information is available.

IEA forecasts stronger LNG imports as EU struggles with storage deficits - Europe’s natural gas market has faced a volatile start to 2025, with prices reaching their highest level in two years earlier this month, adding pressure on businesses, consumers, and governments across the region, according to the International Energy Agency (IEA), Trend reports. The main European gas benchmark, the TTF, currently stands at around EUR 47/MWh (USD 14.50/MBtu). While this remains well below the peaks seen in 2022 following the Russia-Ukraine war, it is still roughly double pre-crisis levels. The IEA attributes the rise in prices to several factors, including the halt of Russian gas transit through Ukraine since January 2025 and a return to average winter temperatures after two milder seasons, leading to increased gas withdrawals from storage. Additionally, a prolonged period of low wind speeds and limited sunlight in November - known as Dunkelflaute - resulted in an 80% increase in gas consumption compared to the same period in 2023. Global gas markets also remain tight. The IEA expects LNG supply to grow by 5% in 2025, up from 1.5% last year, mainly due to the expansion of North American LNG facilities. However, this increase is partially offset by the loss of Russian pipeline gas supplies to Europe. Gas storage levels in the EU are now 24 bcm, or 36%, lower than this time last year. The IEA warns that refilling storage ahead of the next winter will require significantly larger gas inflows than in previous years, increasing Europe's reliance on global LNG markets and adding further pressure to prices.

Shell’s LNG Outlook Predicts Worldwide LNG Demand Up 60% by 2040 --Shell, which dropped “Royal Dutch” from its name after leaving The Netherlands in 2022 due to high taxes and overregulation, is one of the world’s supermajors (oil and gas driller). Shell is also one of (perhaps THE) largest producers and vendors of LNG, or liquefied natural gas, worldwide. The company has just released its ninth annual LNG Outlook 2025 (full copy below), which highlights key trends in 2024 and hauls out the crystal ball to predict where things are heading over the next 15 years. Shell predicts that global demand for liquefied natural gas (LNG) is forecast to rise by around 60% by 2040, which is largely driven by economic growth in Asia, emissions reductions in heavy industry and transport, and the impact of artificial intelligence.

EU’s Clean Industrial Deal Calls for Stronger Natural Gas Market Controls, Relaxed Storage Targets -The European Union ‘s (EU) plans for creating more competitive energy markets while maintaining its climate goals includes a stronger stance on natural gas market oversight and potential changes to its storage rules. In a report published Wednesday, European Commission (EC) leaders laid out the goals of its Clean Industrial Deal initiative aimed at revitalizing European manufacturing and energy transition investments. The action plan coupled incentive plans like investing more than $1 billion in industrial decarbonization technologies with reductions on fossil fuel subsidies that could take effect by the middle of this year. However, the report also highlighted the EU’s current reliance on imported energy, and specifically natural gas, to keep lights on and homes heated.

Russia’s Baltic LNG Plants Stop Exports as U.S. Sanctions Kick In (Reuters) — Small-scale Russian producers of liquefied natural gas (LNG) located on the shores of the Baltic Sea, Portovaya LNG and Kryogaz-Vysotsk, have suspended LNG supplies, LSEG ship-tracking data showed on Thursday, as U.S. sanctions have kicked in. Washington last month introduced new sanctions against Russia over the conflict in Ukraine, including against the two plants, with a grace period until February 27. Kryogaz-Vysotsk, controlled by Novatek and Gazprombank, last dispatched a cargo on February 18, with delivery to Belgium's Zeebrugge terminal on February 22, LSEG data shows. LSEG data also shows that Portovaya LNG's last shipment was in mid-January. Tankers that service the plants are all at sea, LSEG data shows. Kryogaz-Vysotsk has an annual production capacity of 820,000 metric tons of LNG while Portovaya LNG can produce 1.5 million tons per year.

Ukraine’s DTEK Eyes Long-Term U.S. LNG Deals with Venture Global, Cheniere (Reuters) — Private Ukrainian gas company DTEK hopes to sign long-term gas import deals with U.S. firms Venture Global or Cheniere next month to supply the country and neighbors Slovakia, Poland and Hungary, its chief executive told Reuters on Tuesday. Maxim Timchenko said DTEK's trading arm is looking to sign a 10-20-year LNG deal, with the gas first being imported into Ukrainian storage facilities and then piped westward. "It's an active discussion of our trading arm -- another round of discussions and meetings will be taking place at (the) CERAWeek (conference) in Houston, so they will be speaking not only to Venture Global but to other big LNG suppliers. Cheniere, for example," the CEO said. DTEK is also in discussions to offtake Qatari LNG, Timchenko added. Ukraine has been a net importer of natural gas from EU countries as its gas production and storage facilities come under heavy fire by Russian forces. Timchenko said the country will likely import 1-2 billion cubic meters from Europe this year, and acknowledged that Russian attacks on Ukrainian gas storage infrastructure threaten the business case for importing and reselling U.S. LNG. When asked if DTEK was concerned about Venture Global's ability to reliably supply cargoes given legal challenges over long-term contracts with major companies, Timchenko said "all parties honored obligations" for a first cargo Venture Global delivered in December on what could become an initial two-year agreement for between six and 12 LNG cargoes.

Asian Buyers Demand Lower Prices for Qatar’s Long-Term LNG Deals -- Major LNG buyers in Asia are seeking lower prices for Qatar’s new long-term supply than the Gulf exporter is offering, complicating negotiations over offtake volumes from the massive Qatari expansion projects, sources familiar with the talks have told Bloomberg. Qatar has a huge expansion program underway to boost its export capacity by a whopping 85% from current levels by 2030. The state giant QatarEnergy is proceeding with the North Field West project, after drilling appraisal wells at the world’s largest natural gas field, the North Field it shares with Iran, and finding “huge additional gas quantities” in the field. The tiny Gulf nation, which is the world’s second-largest LNG exporter, has recently signed huge 27-year agreements for LNG supply to various countries in Europe and Asia, including Italy, France, the Netherlands, and China. However, Qatar typically sells its LNG under long-term supply contracts at a price indexed to Brent Crude prices, and insists on specific ports of delivery for the cargoes. But China and India, two of the biggest buyers of LNG in Asia and the world, are looking for cheaper long-term deals and agreements allowing flexibility in destination. This is complicating the negotiations, according to Bloomberg’s sources. Pakistan, another Qatari customer in Asia,plans to renegotiate its long-term LNG supply deal as it looks to lower its costs for the growing energy demand going forward, Pakistani Petroleum Minister Musadik Malik said earlier this month. “The Qatar agreement is costly, and we will negotiate better terms next year,” Pakistani newspaper The News quoted Malik as telling a parliamentary committee on energy in early February. Overall, shorter-term and more flexible LNG contracts offered by sellers from the United States, the United Arab Emirates (UAE), and Oman have been challenging Qatar’s dominance in liquefied natural gas supply to north Asia, according to traders.

Turkey Aims to Finalize Extended Gas Deal with Turkmenistan This Year (Reuters) — Turkey is negotiating an agreement with Turkmenistan to extend a natural gas supply deal for five years, Turkish Energy Minister Alparslan Bayraktar told the Hurriyet daily on Tuesday, noting that the deal is expected to be finalized within the year. Turkish President Tayyip Erdogan and Vice President Cevdet Yilmaz are scheduled to meet officials from Turkmenistan in Ankara later in the day. Earlier this month, Bayraktar said that Turkey and Turkmenistan had signed a deal for the supply of Turkmen natural gas to Turkey. The agreement, between Turkey's state-owned pipeline operator BOTAS and Turkmenistan's Turkmengaz, is set to begin on March 1, with gas flows of 1.3 billion cubic meters via Iran. "We want to do this long-term. We have a long-term goal of a swap agreement. We are working on a program that will likely extend to a five-year swap agreement within this year," Hurriyet quoted Bayraktar as saying. Turkey consumes more than 50 billion cubic meters of gas every year, and relies on a mix of piped gas from Russia, Azerbaijan and Iran, along with liquefied natural gas imports from various suppliers. Bayraktar said that Turkey aimed to sign a license for oil and gas exploration in Somali land blocks on March 1. Turkey is conducting exploration off Somalia as part of an agreement with its East African ally.

ADNOC Signs 14-Year LNG Supply Agreement With Indian Oil Corp. ADNOC Gas has signed a 14-year sales and purchase agreement (SPA) with Indian Oil Corp. for the export of up to 1.2 MTPA of liquefied natural gas (LNG). First deliveries will begin in 2026. The agreement is valued in the range of US$7 billion to US$9 billion over its 14-year term. The LNG will be supplied from ADNOC’s Das Island liquefaction facility, which has a production capacity of up to 6 MPTA.

Adnoc Lands Another Supply Deal for Ruwais Export Project — Abu Dhabi National Oil Co., aka Adnoc, agreed to supply Osaka Gas Co. Ltd. with 800,000 tons of LNG for a 15-year term. Osaka, one of Japan’s largest utilities, would primarily be supplied from Adnoc’s Ruwais LNG project under construction in Al Ruwais Industrial City. Adnoc said it would supply the volumes beginning in 2028, when the 9.6 million tons/year (Mt/y) facility is expected to enter service. Adnoc sanctioned the Ruwais project last year. The contract with Osaka converts a tentative agreement the parties previously signed. So far, buyers have committed to purchase 8 Mt/y from Ruwais.

Running on Empty - Global Refining Capacity Expected to Grow at Slowest Pace in 30 Years -Globally, government policies have shifted away from petroleum in recent years toward lower-carbon alternatives such as renewable fuels and electric vehicles (EVs), largely driven by worries about climate change. This has pushed down investment in petroleum refining, and RBN’s Refined Fuels Analytics (RFA) practice predicts global net refining capacity will increase by only 2.1 MMb/d, or 422 Mb/d annually, from 2025-29 — the slowest rate in 30 years. In today’s RBN blog, we’ll discuss the upcoming refinery closures, proposed projects, and the obstacles new and existing refiners face. A significant amount of global refining capacity (more than 3.8 MMb/d) has been permanently shut down since the start of 2019, primarily triggered by COVID-related lockdowns and the resulting (and unprecedented) drop in demand. These facilities were mainly “non-core” or uncompetitive plants that would have been shuttered in the coming years because of ESG/energy transition factors and declining competitiveness. The facilities closed were primarily in developed countries (U.S., Europe, and Asia). Net capacity additions bounced back to a decades-high 2.1 MMb/d in 2023 after the COVID lockdowns ended and a number of delayed projects finally reached startup. However, that comeback is proving short-lived as net growth fell to 700 Mb/d in 2024. We expect 2025 to decline slightly as the project pipeline empties and additional existing capacity begins to close its doors.So, why do we have such a pessimistic view on future refining capacity growth and the thinning inventory of credible projects? Several factors are proving to be stumbling blocks for new refining projects and, more importantly, preventing them from reaching the finish line. As we noted earlier, the main hurdle is the push to transition away from petroleum and toward lower-carbon forms of energy. Many countries have added new policies to encourage renewable energy and discourage petroleum usage, leading to a significant slowing of demand growth for refined products and an approaching “demand peak.” These policies and regulations have made investing in petroleum refining more difficult, time-consuming and expensive. The energy transition (aided significantly by flat-to-declining populations) will continue to proceed faster in developed countries where demand is well past the peak, such as Europe and Japan, or where demand is topping out, such as the U.S. In these countries, refining capacity is expected to decline as demand falls. But even in some regions where demand growth continues, particularly China and the Middle East, there is a major shift away from fuels-based refinery projects.There are still some lockdown-delayed projects starting up, and we see total capacity additions of more than 1.3 MMb/d in 2025, but significant shutdowns are resulting in a net decrease in refining capacity of about 50 Mb/d this year. We predict a net addition of only 2.1 MMb/d over the next five years (red bars in Figure 1 below), with 3.7 MMb/d of new capacity balanced out by 1.6 MMb/d of planned shutdowns. This averages to just 422 Mb/d per year — the lowest five-year-rolling average since 1995.

India imports €49 billion worth of Russian oil in 3rd year of Ukraine invasion - India, the world's third largest oil consuming and importing nation, bought crude oil worth €49 billion from Russia in the third year of Moscow's invasion of Ukraine, a global think tank said.India, which has traditionally sourced its oil from the Middle East, began importing a large volume of oil from Russia soon after the invasion of Ukraine in February 2022. This is primarily because Russian oil wasavailable at a significant discount to other international benchmarks due to western sanctions and some European countries shunning purchases.This led to India's imports of Russian oil seeing a dramatic rise, growing from less than 1% of its total crude oil imports to a staggering 40 per cent in a short period. "Russia's stronghold over new markets has solidified in the third year of the invasion. The three biggest buyers, China (€78 billion), India (€49 billion) and Turkey (€34 billion) were responsible for 74% of Russia's total revenues from fossil fuels in the third year of the invasion," Centre for Research on Energy and Clean Air said in its latest report. The value of India's import saw an 8% year-on-year increase, it said. Russia's total global fossil fuel earnings in the third year of the invasion reached €242 billion and have totalled €847 billion since the invasion of Ukraine.

Oil Still Washing Ashore in Southern Russia 2 Months After Black Sea Spill - The Moscow Times -- New oil slicks have appeared along the coastlines of southern Russia, regional authorities said Tuesday, two months after a major spill in the Black Sea. Emergency crews discovered fuel oil fragments at 11 of 41 clean-up sites along the southern Krasnodar region’s coast, according to the regional crisis center. Officials in annexed Crimea also reported finding similar oil contamination off its shores in recent days. Russia’s Emergency Situations Ministry said Monday that workers and volunteers had removed 148,000 metric tons of contaminated sand from affected beaches.The spill occurred on Dec. 15 when two aging Russian tankers were damaged in a storm off Krasnodar’s coast, releasing thousands of tons of heavy fuel oil into the sea. Since then, scores of volunteers and emergency crews have worked to clean up the oil.Russia’s environmental watchdog has threatened legal action against those responsible for the disaster. The tankers were operated by Volgatransneft, while the fuel oil on board belonged to state oil giant Rosneft.Environment Minister Alexander Kozlov told President Vladimir Putin last month that cleanup efforts will extend until at least the summer of 2026.Both Putin and Russian scientists have described the spill as one of the country’s worst environmental disasters in recent decades. Environmental groups have reported widespread deaths of marine wildlife and seabirds and warned that up to 10 million more birds remain at risk. The disaster has also cast uncertainty over this summer’s tourist season, with demand for vacations plummeting in the popular Black Sea resort town of Anapa. Despite the crisis, Russian authorities have arranged spring and summer vacations in affected resort areas for disabled children.

Russia continues to sell oil using 'shadow fleet' bought from European shipowners --Russia, under various European sanctions and a $60-per-barrel oil cap since December 2022, is allegedly still selling oil using a 'shadow fleet' of old tankers purchased from Europe. In a report published in early February, the independent journalism platform 'Follow the Money' stated that Western shipowners earned over €6 billion by selling old oil tankers to a shadow fleet carrying Russian oil. The platform reported that the ships were used to transport Russian oil and circumvent sanctions. According to the report, at least 230 ships, mainly from Greece, the UK, and Germany, were sold to the shadow fleet, helping the Kremlin bypass sanctions on Russian oil trade. The shadow fleet, consisting of more than 600 tankers in total, is estimated to carry 70% of all Russian oil exports. Elisabeth Braw, a senior fellow with the Atlantic Council's Transatlantic Security Initiative in the Scowcroft Center for Strategy and Security, told Anadolu that shadow fleets have existed for many years. Braw explained that these fleets are not officially recognized and consist of ships operating outside the official maritime system, changing ownership frequently. Stating that it is difficult to find the owners of these ships and that they are usually operated by 'plate companies' that have no activities, she said, 'The ships often change flags, and they are flagged under countries that have no maritime expertise for the most part. So it's difficult to track them using the flag registration.' These are vessels that have essentially served a lifetime with an official shipping company, she said and added, 'Then that shipping company sells them to essentially an obscure buyer that then uses them to do the sort of activities that shadow vessels do.'Another characteristic of the shadow vessels is that they lack functioning accident insurance, called P&I insurance, Braw said. Braw stated that they have a 'piece of paper' that the ships in question are insured, but this has no value. She said that when ships follow international rules, they are regularly maintained, regularly inspected, maintained and are flagged in countries that have maritime expertise. 'Their owners can easily be found, and they have insurance. So when there is an accident, the insurance company, the flag state, and the owner get involved,' she explained. 'But when a shadow vessel has an accident or causes an accident, none of that applies,' she said, adding that usually the coastal states, where an accident occurs, have to bear the burden. Braw stated that this creates a significant issue, as coastal states are not responsible for these incidents, yet they are still required to intervene. She explained that, for example, if a shadow vessel explodes, catches fire, or starts sinking, the coastal state is obligated to intervene by extinguishing the fire, rescuing the crew, and preventing oil spills. 'That's a huge problem and we have seen it several times already. The problem will continue to grow because these vessels are not getting any younger and they keep sailing through the waters of countries that then have to intervene and try to limit the damage whenever there is an incident or accident,'

Pipeline Theft Slashes Nigeria LNG’s Capacity by Two-Thirds (Reuters) — Nigeria LNG, a major gas exporter, is operating at only a third of its capacity due to illegal connections by thieves on key gas supply pipelines, the company's chief executive said on Tuesday. Philip Mshelbila told the Nigerian International Energy Summit in Abuja that only two of the company's six processing trains are currently running because three key gas supply pipelines are undergoing repairs. "These are the biggest lines that supply NLNG with gas," he said of the three pipelines. Oil and gas theft and illegal refining is rife in Nigeria's oil-rich delta, with impoverished locals as well as more sophisticated criminal gangs tapping pipelines. Mshelbila said that while there has been some improvement in the security of Nigeria's oil sector, the gas sector remains vulnerable. This insecurity has hindered Nigeria LNG's ability to meet rising global demand, particularly from Europe, where several countries have approached it for supplies. "Since the Russia-Ukraine war, we have been approached by dozens of European and other countries looking for LNG and we are not able to supply because of this (pipeline theft)," Mshelbila said.

Shell pipeline spills oil in Bayelsa, as NOSDRA begins recovery - The National Oil Spill Detection and Response Agency (NOSDRA) has reported an oil spill from Shell’s underwater pipeline in Obololi, Southern Ijaw Local Government area of Bayelsa State, even as it has commenced the recovery of the spilled crude. The agency in a statement signed by its Director-General, Chukwuemeka Woke, said a report of the crude oil spill was received on Monday and a joint investigative visit was initiated immediately to determine the cause of the spill. He said the leak was detected in Shell’s 16-inch Nun River-Kolo Creek pipeline, causing crude oil to spill into the River Nun, affecting communities around Obololi. The statement read, “The agency received a report on Monday, February 17, 2025, of a crude oil spill from Shell Petroleum Development Company 16” Nun River-Kolo creek pipeline at Obololi community in Southern Ijaw LGA, Bayelsa State. “Following the receipt of the report as the lead agency on all matters related to oil spill incidents in Nigeria, the agency convened and held a joint investigation visit to the incident area.” However, Woke said the exact cause of the leak remains unknown as the pipeline is submerged in water. “The JIV was led by NOSDRA and included stakeholders such as Shell Petroleum Development Company of Nigeria, the Bayelsa Ministry of Environment, and representatives of the affected community to establish the circumstances surrounding the incident,” he said. “The JIV aims to recommend necessary regulatory compliance actions to mitigate the spill’s impact. The cause of the spill is unknown because the suspected leak point is submerged in water, making the investigation inconclusive. SPDC is preparing a coffer dam to access the spill point.” Woke added that containment measures were in place, with temporary storage tanks on the way. The director-general said NOSDRA is actively monitoring the situation to ensure appropriate response actions. “SPDC is preparing a coffer dam to enable the team to get access to the spill point. Containment of the spill area has been completed. Temporary storage tanks are in transit to the spill location; and recovery of free-phase oil will commence on Friday, February 21, 2025. “The agency is actively monitoring the ongoing response and continuously evaluating the situation to ensure that appropriate response actions are deployed accordingly. The agency will provide further details as events unfold,” he said.

NOSDRA tackles oil spill from pipeline at Obololi community - The National Oil Spill Detection Response Agency (NOSDRA) has commenced remediation work on the crude oil spill from Shell Petroleum Development Company, SPDC, 16″ Nun River-Kolo Creek pipeline located at Obololi community in Southern Ijaw Local Council of Bayelsa state. NOSDRA Director General, Chukwuemeka Woke, in a statement, said the agency is actively monitoring the ongoing response and continuously evaluating the situation to ensure that appropriate actions are deployed accordingly. According to Woke, they received a report on Monday, February 17, 2025, of a crude oil spill from Shell Petroleum Development Company (SPDC) 16″ Nun River-Kolo creek pipeline at Obololi community in Southern Ijaw LGA, Bayelsa State, and immediately they swung into action to tackle it. He added, “Following the receipt of the report as the lead Agency on all matters related to oil spill incidents in Nigeria, the Agency convened and held a Joint Investigation Visit (JIV) to the incident area on Tuesday, February 18, 2025.” “We led JIV to constitute the investigation team made up of relevant stakeholders including SPDC (the operator), State Ministry of Environment, and the Community to establish the indices around the incident and recommend necessary regulatory compliance actions to mitigate it.” He disclosed that observations and updates were made in line with the cause of the spill which was unknown because the suspected leak point/ pipeline was submerged in the water implying that the JIV was an inconclusive exercise. “SPDC is preparing a coffer dam to enable the team to get access to the spill point; containment of the spill area has been completed; temporary storage tanks are in transit to the spill location; and recovery of free phase oil has commenced on Friday, February 21, 2025,” he said.

Bayelsa govt seeks action on oil spillage {guardian.ng} Governor Douye Diri has decried the severe environmental damage caused by a recent oil spill at Obololi community in Southern Ijaw Local Council of Bayelsa State. The spill, which reportedly arise from a failure in a facility operated by an International Oil Company (IOC), has heightened fears about the health and safety of residents. During a visit to the area, the governor, represented by the Commissioner for Environment, Ebi Ben Ololo, warned community members against using contaminated water for drinking, cooking, or washing. He stressed that exposure to polluted water and aquatic life could result in serious health risks, including waterborne and airborne diseases such as cholera. Diri urged the concerned oil company to take immediate action by providing relief materials, conducting a thorough cleanup in line with international standards, and offering fair compensation to the affected residents. Executive Chairman of Southern Ijaw council area, Target Isaiah Segibo, underlined the community’s long-standing patience despite the lack of social amenities since the oil firm began operations in 1973. HOWEVER, an All Progressives Congress (APC) chieftain in the state, Festus Daumiebi, has, on behalf of the people of Fonibiri community in the council area, lauded the governor’s developmental efforts. During a live programme, he appreciated Diri for “graciously approving the construction of the Angiama to Eniwari 9KM and Eniwari to Fonibiri 4KM (13) KM Road to link Fonibiri Community and Bomo Clan to the rest parts of the state by motorable road.” In a statement, Daumiebi also thanked the governor for the award and ongoing construction of school projects, while equally calling on him to ensure that the 13km Angiama/Eniwari/Fonibiri highway is awarded to a reputable and competent construction company.

US and Iraq hold talks on quick resumption of key oil pipeline – The US and Iraq discussed the resumption of a major pipeline that can transport oil from the Middle Eastern country to global markets after the link was shut almost since 2023 following regional cost disputes. United States Secretary of State Marco Rubio and Iraqi Prime Minister Mohammed Shia Al-Sudani agreed on the need for Iraq to quickly reopen the conduit, according to a Feb 25 statement on the US Department of State website. The potential restart of the pipeline, which Baghdad has said is likely to resume with about 185,000 barrels a day of initial flows, has weighed on oil prices since Iraq said that it was ready to bring it back online. The development comes at a delicate time for energy markets just as US President Donald Trump has been calling for lower oil prices. Crude on Feb 25 fell to the lowest level in 2025 on concerns over economic growth. Iraq has said exports from the semi-autonomous Kurdistan region will remain within its overall Opec+ quota, but the country, which has a poor record of compliance, has not yet clarified how it will achieve that. Iraqi Oil Minister Hayan Abdul Ghani this week said the country is in touch with Turkey to discuss technical issues before it can resume shipments through the pipeline that runs to the Turkish port of Ceyhan on the Mediterranean Sea. The project shut down in March 2023 in a payment dispute, and there have been various instances since then, when officials have claimed a restart was imminent. The US also pushed for a restart in the days after the pipeline was originally shut. Mr Rubio and Mr Al-Sudani also discussed the need for Iraq, which imports gas from Iran, to become energy independent, to reduce Tehran’s influence, and continue efforts to prevent terror group ISIS from resurging in the broader region, according to the statement.

Oil prices steady amid Ukraine peace talks and Iraq export uncertainty - Profit by Pakistan Today --Oil prices remained stable on Monday as markets monitored diplomatic efforts to end the war in Ukraine and awaited clarity on the restart of crude exports from northern Iraq. Brent crude rose 13 cents to $74.56 per barrel by 1103 GMT, while U.S. West Texas Intermediate (WTI) crude added 11 cents to $70.51. Both benchmarks fell more than $2 on Friday, posting weekly declines of 0.4% for Brent and 0.5% for WTI. The market remains focused on efforts to end the Russia-Ukraine war, which enters its fourth year on Monday. European Union leaders will meet on March 6 to discuss further support for Ukraine, while Russian and U.S. teams are set for talks this week. Sanctions on Russian oil exports continue to affect global supply, but an end to the war would not necessarily increase Russian crude flows due to OPEC+ production limits. Meanwhile, Iraq is preparing to export 185,000 barrels per day from Kurdistan’s oilfields once shipments resume through the Iraq-Turkey pipeline, though the timeline remains uncertain.

U.S. Sanctions on Iran and Iraq’s Reaffirmation of its OPEC+ Commitments -- The oil market traded higher on Monday after the U.S. imposed new sanctions against Iran and on Iraq’s reaffirmation of its commitment to the OPEC+ group’s supply agreement. The market also steadied amid the uncertainty of a potential peace deal between Ukraine and Russia. On the opening on Sunday night, the market gapped lower from $70.17 to $69.80 amid the news of an expected increase in supply from Iraq. Iraq is expected to export 185,000 bpd from Kurdistan’s oilfield through the Iraq-Turkey pipeline once oil shipments resume. However, the market quickly backfilled its opening gap and traded back over the $70 level after the U.S. imposed a new round of sanctions targeting Iran’s oil industry and Iraq said it would present an updated plan to compensate for any overproduction of its OPEC+ production quotas in recent months. The market traded to a high of $70.88 by mid-morning and remained range bound during the remainder of the session. The April WTI contract settled up 30 cents at $70.70 and the April Brent contract settled up 35 cents at $74.78. The product markets ended the session in mixed territory, with the heating oil market settling up 35 points at $2.4358 and the RB market settling down 1.57 cents at $2.0110. Ukraine enters the fourth year of war with Russia on Monday, hosting European and world leaders for a summit, as it is unsure it can rely on its staunchest ally, the United States. Ukraine hosted the European Commission President Ursula von der Leyen, European Council President Antonio Costa and the leaders of Canada, Finland, Denmark, Norway and Sweden to mark the third anniversary. Albania, Britain, Croatia, Czech Republic, Germany, Japan, Moldova, the Netherlands, Poland, Switzerland and Turkey’s leaders spoke by video link. On Sunday, Ukraine’s President Zelenskiy said he was willing to give the presidency if it meant peace, quipping that he could exchange his departure for Ukraine’s entry into NATO. The Iraqi Kurdish government announced it was forming a technical team with the Iraqi oil ministry to inspect the Iraq-Turkey pipeline which has been shuttered for nearly the past two years. Meanwhile the Iraqi oil ministry has contacted Turkish officials for information about the readiness of the pipeline in Turkey to handle the resumption of crude oil exports to Ceyhan. Meanwhile the Iraqi oil ministry said Sunday it had reached agreement with Iraqi Kurdish officials for Iraq to receive around 185,000 b/d of crude oil from Kurdistan for exports once flows resume via the pipeline from Turkey. Reuters reported that behind the scenes recent pressure from the Trump administration appears to have pushed forward the resumption of exports. Iraq said it will submit an updated plan to compensate for overproduction during the previous period. Iraq said it will continue its efforts to compensate the accumulated overproduction while taking into account an anticipated handover of oil for export from the Kurdistan Regional Government. IIR Energy said U.S. oil refiners are expected to shut in 1.1 million bpd of capacity in the week ending February 28th, increasing available refining capacity by 271,000 bpd.

Oil settles higher on fresh Iran sanctions, Iraq commitment to OPEC+ (Reuters) - Oil prices settled higher on Monday as fresh U.S. sanctions on Iran and a commitment to compensate for overproduction by Iraq added to concerns of near-term supply tightness, helping the market recover some of Friday's steep losses. Brent crude futures settled up 35 cents, or 0.5%, at $74.78 a barrel. U.S. West Texas Intermediate crude futures gained 30 cents, or 0.4%, to $70.70. On Friday Brent notched its lowest close since February 6 while WTI had its lowest settlement so far this year. On Monday, the U.S. Treasury imposed a fresh round of sanctions targeting Iran's oil industry, hitting brokers, tanker operators, and shippers who sell and transport Iranian petroleum. That might have had a modest impact on oil prices, along with the Iraqi oil ministry's reaffirmation of its commitment to the OPEC+ group's supply agreement, UBS analyst Giovanni Staunovo said. He cautioned, however, that Iranian crude oil exports remain elevated. "Time will tell if (the sanctions) impact exports," he said. Iraq said it would present an updated plan to compensate for any overproduction of its OPEC+ quotas in recent months. Iraq on Sunday said it will export 185,000 barrels per day from Kurdistan's oilfields through the Iraq-Turkey pipeline once oil shipments resume. Oil prices were bound to recover from the prior session's steep selloff, when expectations of the resumption in northern Iraqi exports and of an end to the war in Ukraine pulled benchmarks more than $2 lower. The market structure has also flashed signs of near-term supply tightness. The premium of front-month Brent futures over the next month's contract was at its highest on Monday since February 11, having climbed steadily over the past week. Others cautioned oil prices could stay under pressure from talks to end the Ukraine war, which could pave the way for more Russian oil onto the market, and a slew of U.S. tariff measures, which could weigh on economic activity and crude oil demand. U.S. President Donald Trump said on Monday the U.S. is close to a minerals deal with Ukraine as he and French President Emmanuel Macron held talks that covered prospects for ending the Ukraine war despite stark differences on how to proceed. Trump said Washington is 'on time' with tariffs against Canada and Mexico, responding to a question about the deadline ending a previous pause on such action which expires next week. "We're just clearing out room to trade lower and I would be cautious if I was a buyer in the market today," "Just sitting here, waiting for the next big event to happen, and obviously there are plenty of big ones out there that could hit any moment."

Oil prices rise as US sanctions on Iran tighten supply -- Oil prices extended gains for a second consecutive day on Tuesday as fresh U.S. sanctions on Iran heightened concerns over tightening global supply.By 3:40 pm AEDT (4:40 am GMT) Brent crude futures climbed $0.43, or 0.6%, to $75.21 per barrel, while U.S. West Texas Intermediate (WTI) crude rose $0.50 or 0.7%, to $71.20 per barrel.The U.S. government imposed new sanctions on Monday targeting over 30 brokers, tanker operators, and shipping firms involved in transporting Iranian crude. President Donald Trump has reiterated his goal of reducing Iran’s oil exports to zero. ANZ analysts commented in a note to clients: “The U.S’s stance on Iran could significantly reduce Iranian oil exports. Renewed sanctions on Russia and the halt of U.S. purchases of Venezuelan crude oil will add to the complexity. OPEC member states face rising breakeven levels for their oil pricing, putting pressure on their fiscal budgets.”However, gains in oil prices were tempered by concerns over demand. Trump confirmed on Monday that tariffs on Canadian and Mexican imports, set to take effect on March 4, remain on schedule. In Europe, Ukraine hosted European leaders to mark three years since Russia’s invasion, but U.S. officials were notably absent, reflecting Trump's efforts to strengthen ties with Moscow. The market views this shift in U.S.-Russia relations as a potential sign of easing sanctions on Russian oil, which could increase global supply.

The Crude Market Reacted to Bearish Economic News from the U.S. and Germany - The crude market posted an outside trading day after the market erased overnight gains and extended its selling on some bearish economic news from the U.S. and Germany. The market traded higher in overnight trading and posted a high of $70.92 amid the news of the U.S. imposing further sanctions on Iran’s oil industry. However, the market erased those gains and traded below the $70.00 level once again. The market was further pressured by the negative economic news from Germany, which reported a GDP contraction of 0.2% in the final quarter of 2024. The market retraced more than 62% of its move from a low of $63.61 to a high of $77.86 as it plunged to a low of $68.68 on lower than expected U.S. consumer confidence index data. The Conference Board reported that consumer confidence fell at its sharpest pace in 3½ years in February, with 12-month inflation expectations increasing amid concerns over tariffs on imports. The oil market later traded in a sideways trading range as it awaited the release of the weekly petroleum stocks reports. The April WTI contract settled down $1.77 at $68.93 and the April Brent contract settled down $1.76 at $73.02. The product markets ended the session lower, with the heating oil market settling down 4.55 cents at $2.3903 and the RB market settling down 4.37 cents at $1.9673. U.S. President Trump said Monday he was looking to revive the Keystone XL oil pipeline. Even though the original developer has already abandoned the project, the U.S. president in a social media post promised “easy approvals, almost immediate start” for the developer or another pipeline company. Key permits that had been obtained for the development of the project over the past decade have expired as well as parts of the system that had been constructed have been dismantled. Goldman Sachs analysts said crude prices have fluctuated in the mid-$70s for Brent and low $70s for WTI over the past week. It said the positives for prices include President Donald Trump’s additional Iranian sanctions and new EU sanctions on Russia’s shadow fleet and oil storage restrictions. It added that headwinds, include disappointing U.S. macroeconomic data on Friday and reports of a new coronavirus strain in China, alongside the resumption of oil flows from Kurdistan following a two year pause. The bank said there is room for a potential recovery in positioning and valuation for oil and Brent crude prices could increase up to $80/barrel in the second quarter of the year. The Kremlin welcomed what it described as a much more balanced U.S. stance on Ukraine after the United Nations Security Council on Monday adopted a U.S. drafted resolution that took a neutral position on the conflict. On Monday, at the U.N. General Assembly, the United States unsuccessfully opposed a resolution demanding Russian withdrawal from Ukraine. However, in the Security Council, it won approval of a resolution that called for peace, without assigning blame for the war.

Oil prices settle at lowest level of the year as tariff threat hurts demand outlook Oil futures settled Tuesday at their lowest level of the year, with the economy and energy demand expected to take a hit from proposed U.S. tariffs on Canada and Mexico that may come into effect next week. Prices for oil on Monday had finished a bit higher, finding support in the wake of a fresh round of U.S. sanctions aimed at curtailing Iran's crude exports.

• -- West Texas Intermediate crude CL00 for April delivery fell $1.77, or 1.5%, to settle at $68.93 a barrel on the New York Mercantile Exchange.
• -- April Brent crude, the global benchmark, lost $1.76, or 2.4%, at $73.02 a barrel on ICE Futures Europe. Based on the front-month contracts, Brent and WTI prices ended at their lowest since December, according to Dow Jones Market Data.
• -- March gasoline RBH25 shed 2.2% to $1.97 a gallon, while March heating oil HOH25 lost 1.9% to $2.39 a gallon.
• -- Natural gas for March delivery NGH25 settled at $4.17 per million British thermal units, up 4.2%.

"The outlook for crude prices remains skewed to the downside, with uncertainty over future oil demand as the threat of U.S. tariffs casts a long shadow over global economic growth," said Ricardo Evangelista, senior analyst at ActivTrades. On Monday, President Trump indicated that tariffs on Canada and Mexico would take effect next week after the conclusion of a 30-day pause. The tariffs would include a levy of 10% for Canadian energy products. The Moneyist: Trump's tariffs unleashed a wave of uncertainty among investors. Why that's a good thing. Meanwhile, the U.S. Treasury and State departments said Monday that they would impose sanctions on over 30 persons and vessels in multiple jurisdictions for their role in brokering the sale and transportation of Iranian petroleum-related products. "The sanctions exacerbate supply risks from one of OPEC's largest producers, with the U.S. aiming to reduce Iran's crude exports to zero. If other OPEC members do not bridge the supply gap, a supply shortfall could follow, potentially raising prices," . The ongoing war in Ukraine also "adds a layer of geopolitical risk, with potential shifts in supply from Russia," he added. "If sanctions on Russia were eased, it could increase global supply, applying downward pressure on prices." While geopolitical tensions could continue to provide short-term support, broader demand concerns and changing supply dynamics may lead to volatility in the oil market.'Hassan Fawaz, GivTrade Overall, "while geopolitical tensions could continue to provide short-term support, broader demand concerns and changing supply dynamics may lead to volatility in the oil market," Fawaz said. Back in the U.S., traders awaited the release of weekly data on U.S. petroleum supplies Wednesday from the Energy Information Administration. On average, analysts expect to see a gain of 1.4 million barrels in U.S. commercial crude inventories for the week ended Feb. 21, according to a survey conducted by S&P Global Commodity Insights. The analysts also forecast supply declines of 700,000 barrels for gasoline and 2 million barrels for distillates.

Oil Prices Edge Higher as U.S. Stockpile Drop Offsets Supply Concerns -- Emirates24|7 -- Oil prices climbed in early Asian trading hours on Wednesday, rebounding from two-month lows in the prior session after an industry report showed a decline in U.S. crude stockpiles. Brent crude oil futures rose 27 cents, or 0.4%, to $73.29 a barrel by 0134 GMT, while U.S. West Texas Intermediate (WTI) crude oil futures gained 25 cents, or 0.4%, to $69.18 per barrel. Market sources cited data from the American Petroleum Institute (API) indicating that U.S. crude stocks fell by 640,000 barrels in the week ended February 21. Official stockpile data from the U.S. government is expected later on Wednesday. Analysts polled by Reuters had projected a 2.6-million-barrel increase in U.S. crude inventories. The decline in stockpiles helped ease concerns over rising global oil supply, which, coupled with weak economic data from the U.S. and Germany, had pushed oil prices more than 2% lower on Tuesday. Brent crude settled at its lowest level since December 23, while WTI recorded its weakest close since December 10. U.S. economic data showed consumer confidence in February deteriorated at its sharpest pace in three and a half years, with inflation expectations rising over the next 12 months. In Germany, the economy contracted in the final quarter of 2024 compared to the previous quarter. Oil markets remain wary of the impact of U.S. trade policies, particularly President Donald Trump’s decisions on tariffs against China and other trading partners, which could add pressure to the American economy. Despite fresh U.S. sanctions on Iran that could reduce the country's crude exports by up to 1 million barrels per day, OPEC+ members are preparing to increase supply in the coming months, according to Commodity Context analyst Rory Johnston. Meanwhile, the U.S. and Ukraine have agreed on terms for a draft minerals deal central to Trump's efforts to expedite the end of the war in Ukraine, sources familiar with the matter told Reuters. A resolution to the conflict could potentially pave the way for increased Russian oil exports to the market.

WTI 'Steady' At 2-Month-Lows After Big Crude Draw, No SPR Addition Oil prices in New York steadied this morning after starting the session at its lowest opening price in two months as a souring economic outlook threatened prospects for energy demand and spurred investors to shun riskier assets. A poor reading of US consumer confidence fanned concerns over the impact of President Donald Trump’s tariffs. Plans for Ukrainian President Volodymyr Zelenskiy to meet with Trump in Washington raised the prospect that Moscow’s crude may again flow freely in the near future. “Trump actions are hurting consumer and business confidence, which again will weaken actual consumption,” said Bjarne Schieldrop, chief commodities analyst at SEB AB. Crude has lost almost 5% this month as Trump’s aggressive moves on trade stoked investor anxiety at a time when oil traders were already concerned about lackluster consumption in China. Supply issues have also been at the fore, including the possibility of a restart of significant pipeline flows from Iraq’s semi-autonomous Kurdistan region, with the US pushing for a resumption. In the US, there was a mixed report from the industry-funded API on commercial inventories. While nationwide stockpiles decreased by 600,000 barrels last week, levels at the key storage hub in Cushing, Oklahoma, were seen rising by a substantial 1.2 million barrels. The government’s numbers will be the deciding factor for the day... API

• Crude -640k
• Cushing +1.2mm
• Gasoline +537k
• Distillates -1.1mm

DOE

• Crude -2.33mm
• Cushing +1.28mm
• Gasoline +369k
• Distillates +3.91mm

Crude stocks declined for the first time in five weeks but distillates inventories built significantly. Stocks at the all-important Cushing Hib rose for the 3rd week in a row to their highest since mid-November... The Trump administration added no crude the SPR for the second straight week, leaving the total crude stock draw the largest since Dec 20th... US Crude production was marginally higher at record highs...Graphics Source: Bloomberg WTI was steady around $69 before and after the official data print...

The EIA Report Showed Unexpected Builds in Distillates and Gasoline Stocks - The crude oil market traded lower on Wednesday after the EIA report showed unexpected builds in distillates and gasoline stocks, signaling weak demand, and a potential peace deal between Russia and Ukraine continued to weigh on sentiment. Overnight, the market mostly treaded water as it continued to trade within Tuesday’s lower trading range. However, the market, which posted a high of $69.28, erased any of its gains and continued to trend lower ahead of the release of the EIA’s weekly petroleum stocks report. The oil market sold off to a low of $68.36 in afternoon trading in light of the unexpected builds in distillates stocks of over 3.9 million barrels and a build of 369,000 barrels in gasoline stocks. The market later traded mostly sideways ahead of the close. The April WTI contract settled down 31 cents at $68.62 and the April Brent contract settled down 49 cents at $72.53. The product markets ended the session lower, with the heating oil market settling down 46 points at $2.3443 and the RB market settling down 1.84 cents at $1.9489. The EIA reported that U.S. crude oil inventories in the week ending February 21st fell by 2.332 million barrels to 430.2 million barrels. U.S. East Coast crude stocks fell by 1.1 million barrels to 6.9 million barrels, the lowest level since October 2023. Meanwhile, U.S. distillate stocks built by 3.908 million barrels on the week to 120.5 million barrels, with stocks in the Midwest increasing by 700,000 barrels on the week to 34.7 million barrels, the highest level since January 2024. U.S. gasoline stocks increased by 369,000 barrels on the week to 248.3 million barrels. U.S. East Coast gasoline stocks increased by 502,000 barrels to 67.019 million barrels, the highest level since July 2021. U.S. President Donald Trump said Ukraine’s President Volodymyr Zelenskiy will visit Washington on Friday to sign an agreement on rare earth minerals. Earlier, Ukraine’s President, Volodymyr Zelenskiy, said that the success of an initial minerals agreement with the U.S. will depend on President Donald Trump. He said that it was part of broader agreements with the U.S. and could provide security guarantees to Ukraine to ensure a lasting and fair peace. Earlier, Denys Shmyhal, Ukraine’s Prime Minister, said the government would authorize the agreed wording later on Wednesday so it could be signed. He described it as a “preliminary” agreement. Outlining the agreement in televised comments, Ukraine’s Prime Minister said Kyiv would contribute 50% of “all proceeds received from the future monetization of all relevant state-owned natural resource assets and relevant infrastructure”. Russian Foreign Minister, Sergei Lavrov, said Russian and U.S. diplomats will meet in Istanbul on Thursday for talks on resolving bilateral disputes that form part of a wider dialogue they see as crucial to ending the Ukraine war. IR Energy said U.S. oil refiners are expected to shut in about 1.1 million bpd of capacity in the week ending February 28th, increasing available refining capacity by 252,000 bpd. Offline capacity is expected to increase to 1.18 million bpd in the week ending March 7th.

WTI Jumps to $70 as U.S. Sanctions Rekindle Supply Concerns --Oil prices jumped early on Thursday as concerns about supply with intensified U.S. sanctions on Iran and Venezuela trumped demand woes and the possibility of peace in Ukraine. As of 10:45 a.m, ET on Thursday, the front-month futures contract of the U.S. benchmark, WTI Crude, was up by more than 2%, trading at $70.09 per barrel, up by 2.14% on the day. The international benchmark, Brent Crude, was up by 1.94% at $73.94.After falling for most of this week, oil prices reversed course on Thursday morning after U.S. President Donald Trump canceled a sanction waiver for Chevron. The license to Chevron has allowed the supermajor to return to the South American country and become instrumental for the increase of Venezuela’s crude oil production.Trump cited the lack of electoral reform in Venezuela, along with insufficient action on migration, as reasons for his decision.Chevron has been exporting some 240,000 barrels of Venezuelan crude to the United States daily thanks to the waiver. The amount constitutes a quarter of Venezuela’s total oil production and generates substantial revenues that stay in the Venezuelan economy. U.S. imports of Venezuelan crude oil have averaged almost 270,000 barrels per day(bpd) so far this year, according to ING’s commodities analysts.The increased sanctions pressure on Venezuela adds to President Trump’s “maximum pressure” campaign against Iran, which intensified early this week, when the U.S. imposed additional sanctionson Iran’s shadow fleet. “The United States will use all our available tools to target all aspects of Iran’s oil supply chain, and anyone who deals in Iranian oil exposes themselves to significant sanctions risk,” Secretary of the Treasury Scott Bessent said on Monday.Despite the oil price increase early on Thursday, the market remains volatile with choppy trade driven by short-term concerns about supply or demand, waiting for more clarity on tariffs, sanctions, and a possible end to the war in Ukraine.

Oil Futures Rise Following Reversal of Chevron's Venezuelan Permit (DTN) -- Oil futures settled higher on Thursday following the announcement that the Trump administration would terminate Chevron's license to produce and export Venezuelan oil starting this week. The NYMEX WTI and ICE Brent futures contract for April delivery rose by $1.62 to $70.24 bbl while the front-month ICE Brent rose by $1.41 at $73.94 bbl. The ULSD futures contract for March delivery increased by $0.0492 to $2.3935 gallon while March RBOB futures contract rose by $0.0484 to $1.9973 gallon. The U.S. Dollar Index increased by 0.82% to 107.15 against a basket of foreign currencies. U.S. President Donald Trump announced Thursday, Feb. 27, the cancellation of a permit issued by the United States government under Joe Biden's administration, which allowed Chevron to produce and export Venezuelan oil. This action is seen as a Trump administration strategy to put pressure on President Nicolas Maduro's government, which has failed to meet democratic conditions for last July's presidential election and to expedite the transportation of deported Venezuelan immigrants from U.S. territory. In recent months, the Biden and Trump administrations have imposed stricter sanctions on Russian and Iranian oil trades, which were expected to put upward pressure on oil prices. However, high U.S. crude inventory levels and weak global oil demand due to the uncertainty about the trade tariffs war, offset the bullish sentiment causing the two crude benchmarks -- NYMEX WTI and ICE Brent futures contracts -- to fall to their lowest levels since December this week. Expectations of ample supplies due to the possibility of an end of the Russia-Ukraine war, now in its third year, also contributed to the bearish tone in the oil futures market seen in previous trading sessions. The Energy Information Administration reported Wednesday, Feb. 26, commercial crude oil inventories in the U.S. fell by 2.3 million bbl to 430.2 million bbl for the week ending Feb. 21, which was a larger draw compared to the 640,000 million bbl draw reported by API for the same reference week. Separately, the Department of Labor reported Thursday morning that the advance figure for seasonally adjusted initial claims was 242,000 in the week ended Feb. 22, an increase of 22,000 from the 220,000 revised level from the previous week. The figure, however, was above the market expectation of 220,000.

Oil climbs more than 2% after Trump cancels Chevron's Venezuela licence (Reuters) - Oil prices rose more than 2% on Thursday as supply concerns resurfaced after U.S. President Donald Trump revoked a license granted to U.S. oil major Chevron to operate in Venezuela. Investors were still keeping an eye on signs of a potential peace deal in Ukraine, which could result in higher Russian oil flows. Brent crude oil futures settled up $1.51, or 2.1%, at $74.04 a barrel. U.S. West Texas Intermediate crude oil futures rose $1.73, or 2.5%, to $70.35. The contracts had settled in the previous session at their lowest levels since December 10. "Markets like clarity as opposed to uncertainty. Unless a clear path is presented on tariffs and Eastern European peace, oil prices will remain on the defensive with sporadic and spontaneous headline-based rallies," said Tamas Varga, an analyst at PVM. The Chevron licence revocation means the company will no longer be able to export Venezuelan crude. And if Venezuelan state oil company PDVSA exports oil previously exported by Chevron, U.S. refineries would be unable to buy it because of American sanctions. The move also could lead to the negotiation of a fresh agreement between the U.S. producer and state company PDVSA to export crude to destinations other than the U.S., sources close to the talks told Reuters. Chevron exports about 240,000 barrels per day (bpd) of crude from its Venezuela operations, more than a quarter of the country's entire oil output. "Chevron's exit could reduce Venezuela (oil) production, giving OPEC+ capacity to increase output. If this occurs, coastal U.S. refiners could incur higher procurement costs," TD Cowen analysts said in a note. If OPEC+ does not increase supply, it could increase heavy sour prices, which would hit U.S. refiners, the analysts said. Oil prices rose during intraday trading after Reuters reported that OPEC+ is debating whether to raise oil output in April as planned or freeze it as its members struggle to read the global supply picture because of fresh U.S. sanctions on Venezuela, Iran and Russia, eight OPEC+ sources said. "It is my opinion that with Brent crude oil still hovering around $75 per barrel, OPEC+ will delay the restoration of the voluntary production cuts at least through the end of April and possibly through the end of the second quarter," said Andrew Lipow, president of Lipow Oil Associates. Also in focus is Trump's involvement in efforts to facilitate a Russia-Ukraine peace deal. Trump said Ukrainian President Volodymyr Zelenskiy would visit Washington on Friday to sign an agreement on rare earth minerals, though the Ukrainian leader said the success of talks would hinge on continued U.S. aid. U.S. economic growth slowed in the fourth quarter, the government confirmed on Thursday, and the loss of momentum appears to have persisted early this quarter amid cold weather and concerns that tariffs will hurt spending through higher prices. Meanwhile, the number of Americans filing new applications for unemployment benefits increased more than expected last week. A separate unemployment program, reported with a one-week lag, showed no impact yet of the recent mass layoffs of probationary federal government workers.

Markets: Oil trades at 9wk lows as growth concerns weigh -- Oil prices fell during Asian trade on Friday, poised for their first monthly decline since November as global economic uncertainty and trade tensions dampened demand outlooks.By 3:30 pm AEDT (4:30 am GMT) Brent crude futures for May delivery were down US$0.36 or 0.5% at $73.22 per barrel, while U.S. West Texas Intermediate (WTI) crude slipped $0.37 or 0.5% to $69.98 per barrel.U.S. President Donald Trump confirmed on Thursday that 25% tariffs on Mexican and Canadian imports will take effect on March 4, alongside an additional 10% duty on Chinese goods.ANZ analysts noted: "The tariffs threaten to disrupt North America’s tightly integrated oil industry and raise demand for U.S. crude to substitute any Canadian or Mexican oil which may be diverted elsewhere. The U.S. imports approximately 4mb/d from Canada and 400kb/d from Mexico."Investor sentiment was also hit by weaker U.S. economic data. Jobless claims in the U.S. rose more than expected last week, while a separate report confirmed a slowdown in fourth-quarter economic growth. Despite these pressures, Brent and WTI crude surged more than 2.1% and 2.5% respectively on Thursday after Trump revoked a licence granted to Chevron, restricting its operations in Venezuela - a move that raised fresh supply concerns.

Oil Slips as Tariff Risks Outweigh Sanctions Oil prices fell by 1% early on Friday as tariff risks and concerns about economic slowdown outweighed sanction risks from the increased U.S. pressure on Iran and Venezuela.As of 10:12 a.m. ET on Friday, the front-month futures of the U.S. benchmark, WTI Crude, were trading down by 1.56% at $69.23. The international benchmark,Brent Crude, was down by 1.40% at $73.00.Both benchmarks are on track to book their first weekly loss in a month and the first monthly decline since November 2024, amid continued tariff threats from U.S. President Donald Trump and prospects of peace talks to end the war in Ukraine. On Thursday, President Trump said that the proposed – and once deferred by a month – tariffs on Canada and Mexico would go into effect on March 4.In Canada’s case, energy imports would be taxed 10%.The return of trade war fears weighed on oil prices amid concerns that the global economy, including the U.S. economy, could see slowdown in growth, while inflation would rise. Such a scenario would delay the next interest rate cut by the Fed and other central banks.Uncertainty is very high in the oil market right now, which has also led to speculators cutting their exposure to oil and lowering their longs in the two most important crude futures contracts.“Oil prices came under pressure in February as trade war uncertainty overshadowed sanctions-related supply risks,” ING’s commodities strategists Warren Patterson and Ewa Manthey saidthis week.The prospects of a peace deal in Ukraine also depressed commodity prices, including crude oil. The energy sector has declined in February “on concerns a global trade war may lead to lower growth and with that demand for fuel products, at a time when OPEC+ is still undecided about crude oil production levels for April and beyond, while ongoing peace talks to end the war in Ukraine also weighed on sentiment,”

Oil prices post a loss in February as U.S.-Ukraine tensions feed uncertainty --Oil futures declined on Friday, with worries about the global economic outlook and rising trade tensions from the Trump administration's tariff plans prompting U.S. and global benchmark prices to post their biggest monthly losses since September. Prices on Friday then finished off at the session's lowest levels after a tense meeting between U.S. President Donald Trump and Ukrainian President Volodymyr Zelensky dashed hopes for a Ukraine-Russia peace deal that might have eventually led to an end to sanctions on Russia's oil sector.

• -- West Texas Intermediate crude CL00 for April delivery CL.1 CLJ25 fell 59 cents, or 0.8%, to settle at $69.76 a barrel on the New York Mercantile Exchange. Based on the front month, prices lost 0.9% for the week and ended 3.8% lower for the month, according to Dow Jones Market Data.
• -- April Brent crude BRNJ25, the global benchmark, declined by 86 cents, or 1.2%, at $73.18 a barrel on ICE Futures Europe, to lose 1.7% for the week and 4.7% for the month. The May contract BRN00 BRNK25, which is now the front month, fell 76 cents, or 1%, to $72.81 a barrel.
• -- March gasoline RBH25 lost 1.3% to $1.9703 a gallon, down nearly 3.3% for the month, and March heating oil HOH25 fell 1.7% to $2.3549 a gallon, ending down 5.2% for the month. The March contracts expired at the session's end.
• -- Natural gas for April delivery NGJ25 settled at $3.834 per million British thermal units, down 2.5% Friday, with prices finishing 26% higher for the month.

"Anything that hastens peace initiatives between Russia and Ukraine is bearish" for oil prices, while "anything that hinders peace initiatives between Russia and Ukraine is bullish," said Tom Kloza, global head of energy analysis at OPIS, a subsidiary of MarketWatch publisher Dow Jones. The tense meeting between Trump and Zelensky at the White House "really just creates more uncertainty [in terms of] where we go from here," Tariq Zahir, managing member at Tyche Capital Advisors, told MarketWatch. Trump's subsequent post on Truth Social, in which he said Zelensky can "come back when he is ready for Peace," at least gives an opening to a potential deal, Zahir said. For now, Phil Flynn, senior market analyst at the Price Futures Group, said that the possibility that the war in Ukraine drags on "will add back risk premium" to oil prices. Still, "as we all know, markets don't like uncertainty - whether it's Ukraine peace talks or if tariffs get implemented on Canada crude," Zahir said. Markets should "remain volatile, but at least we will have some clarity on the tariffs with Canada, as the deadline is fast approaching." The U.S. is expected to implement 25% tariffs on all imports from Canada and Mexico starting Tuesday, with the exception of 10% tariffs on Canadian oil. "So long as President Trump is banging on his trade-war drums, that could sustain the risk aversion across global markets, which, in turn, is likely to keep weighing down oil benchmarks," Han Tan, chief market analyst at Exinity Group, told MarketWatch early Friday. 'So long as President Trump is banging on his trade-war drums, that could sustain the risk aversion across global markets, which, in turn, is likely to keep weighing down oil benchmarks.'Han Tan, Exinity Oil prices managed to find some support on Thursday after Trump on Wednesday said he was revoking a license issued by the Biden administration that had allowed Chevron Corp. (CVX) to produce oil in Venezuela. That price move, however, followed a drop Wednesday in WTI and Brent to their lowest settlements since Dec. 10. Recent pressure in oil has been tied to worries that proposed tariffs by the Trump administration will undercut global growth. Weak consumer-confidence readings in the U.S. have also raised worries about the health of the consumer. "The fundamental outlook for oil has deteriorated amid growing uncertainties about the health of the global economy and given the looming unknowns of the Trump administration's aggressive global policy stance and fears of a drop in consumer demand,"

US Imposes More Sanctions Targeting Iranian Oil Sales -The US on Monday imposed new sanctions on 30 people and ships over their alleged role in shipping Iranian oil as the Trump administration is attempting to ramp up its so-called “maximum pressure campaign” against Iran.According to the Treasury Department, among the sanctioned are oil brokers in the UAE and Hong Kong, tanker operators and managers in India and China, the head of Iran’s National Iranian Oil Company, and the Iranian Oil Terminals Company.“The United States will use all our available tools to target all aspects of Iran’s oil supply chain, and anyone who deals in Iranian oil exposes themselves to significant sanctions risk,” said US Treasury Secretary Scott Bessent.The purpose of one of Trump’s orders related to Iran is to “drive Iran’s export of oil to zero.” But Iran has found oil markets in Asia in recent years that aren’t afraid of being targeted by US sanctions, and it’s unclear if the new measures will have much of an impact.When Trump signed his maximum pressure executive order, he claimed he was “not happy” about doing so and insisted he wanted a deal with Iran over its nuclear program even though he also acknowledged Iranian leadership doesn’t want a nuclear bomb. However, the new sanctions have made diplomacy with Tehran less likely, based on public comments from Iranian officials.Iranian President Masoud Pezeshkian, who campaigned on engaging in negotiations with the West to get sanctions relief, has said the new sanctions show the US is not “sincere” about diplomacy.After Pezeshkian was sworn in last year, Iranian Supreme Leader Ayatollah Ali Khamenei opened the door to the possibility of talks with the US, saying there was “no harm” in engaging with the “enemy.”But earlier this month, Khamenei said that talks with the US would not be “wise.” He cited the negotiations to reach the 2015 nuclear deal and the fact that the US under the first Trump administration tore up the deal only a few years later.President Trump and other US officials have hinted military action is on the table if a deal is not reached with Iran, and recent reports have said Israel is looking to attack Iran in the coming months. “I would like a deal done with Iran on non-nuclear. I would prefer that to bombing the hell out of it. They don’t want to die. Nobody wants to die,” Trump said earlier this month. “If we made the deal, Israel wouldn’t bomb them.”

US sanctions 4 Indian companies involved in trade of Iranian crude oil --The US has sanctioned more than 30 companies, vessels, and individuals worldwide, including four Indian companies, for their alleged involvement in the trade and transportation of Iranian crude oil and petroleum products. The US Department of the Treasury's Office of Foreign Assets Control (OFAC) described this action as part of a pressure campaign aimed at reducing Iran’s oil exports to zero. According to the OFAC, the sanctioned vessels are responsible for shipping tens of millions of barrels of crude oil, valued at hundreds of millions of dollars. The firms include Austenship Management Private Ltd (Noida), BSM Marine Ltd (Gurgaon), Cosmos Lines (Thanjavur), and Flux Maritime (Navi Mumbai). “Iran continues to rely on a shadowy network of vessels, shippers, and brokers to facilitate its oil sales and fund its destabilising activities,” said Secretary of the Treasury Scott Bessent. “The US will use all our available tools to target all aspects of Iran’s oil supply chain, and anyone who deals in Iranian oil exposes themselves to significant sanctions risk.” In 2019, the US administration imposed sanctions on Iranian oil, primarily due to concerns about Iran’s nuclear program, its regional influence, and its ballistic missile development. Following the sanctions, Iran began selling crude oil through a "shadow fleet" or "dark fleet" to avoid detection and circumvent international sanctions or regulations. As of now, India does not import crude oil from Iran due to US sanctions, though prior to the sanctions, Iran was one of India's top three sources of crude oil. Among those sanctioned are oil brokers based in the United Arab Emirates (UAE) and Hong Kong, tanker operators and managers in India and the People’s Republic of China (PRC), the head of Iran’s National Iranian Oil Company (NIOC), and the Iranian Oil Terminals Company. The OFAC said these entities and individuals are linked to activities that finance Iran’s destabilising operations. India-based Flux Maritime LLP is responsible for managing a vessel that loaded hundreds of thousands of barrels of heavy Iranian crude oil through a ship-to-ship transfer. Additionally, BSM Marine Limited Liability Partnership, Austinship Management Private Limited, and Cosmos Lines Inc. have been sanctioned for knowingly engaging in significant transactions related to the purchase, acquisition, sale, transport, or marketing of petroleum products or petrochemicals from Iran. This is not the first instance of Indian companies being placed under sanctions for involvement in sanctioned energy transportation and trade through the so-called shadow fleet of tankers. For example, in October, India-based Gabbaro Ship Services was sanctioned for its alleged involvement in the transportation of Iranian oil. In August and September, three India-registered shipping firms were sanctioned by the U.S. over their alleged involvement in transporting liquefied natural gas (LNG) from Russia’s Arctic LNG 2 project, which is also under American sanctions.

Kurds begin supplying oil to Damascus Kurdish-led authorities in northeast Syria have begun providing oil from local fields they manage to the central government in Damascus, Syrian oil ministry spokesman Ahmed Suleiman told Reuters on Saturday. It was the first public acknowledgement of internal oil deliveries from Syria's oil-rich northeast to the Islamist-run government installed after former leader Bashar al-Assad was toppled by rebels in December. Suleiman said the oil was from fields in the provinces of Hasakeh and Deir el-Zor and that the deliveries took place based on an amended version of a previous arrangement between the Assad government and Kurdish authorities. He said Syria's new leaders had changed articles in that deal that had "served the interests of people linked to the Assad regime". A source from northeast Syria's semi-autonomous administration told Reuters that the deal involved sending 5,000 barrels a day of crude from the Rmeilan field in Hasakeh and other fields in Deir el-Zor province to a refinery in Homs. Syria exported 380,000 barrels of oil per day (bpd) in 2010, a year before protests against Assad's rule spiralled into a nearly 14-year war that devastated the country's economy and infrastructure - including its oil. Oilfields changed hands multiple times, with the Kurdish-led Syrian Democratic Forces ultimately capturing the key northeast fields, although U.S. and European sanctions made both legitimate exports and imports difficult. The United States issued a six-month sanctions exemption in January allowing some energy transactions and the European Union is set to suspend its sanctions related to energy, transport and reconstruction. Tal Shoham and Avera Mengistu were released first, in southern Gaza's Rafah. In the interim, Syria is seeking to import oil via local intermediaries after its first post-Assad import tenders garnered little interest from major traders due to sanctions and financial risks, several trade sources told Reuters. The internal oil trade is also a key part of talks between the northeast region and the new authorities in Damascus, which want to bring all regions in Syria under centralised control. Sources said the SDF would likely need to relinquish control of oil revenues as part of any settlement. SDF commander Mazloum Abdi said last month that his force was open to handing over responsibility for oil resources to the new administration, provided the wealth was distributed fairly to all provinces.

Israel Carries Out Airstrikes Across Southern Syria, Netanyahu Vows Troops Will Remain - Israel’s military foray into southern Syria continues to grow this evening, as Israeli warplanes have carried out a series of airstrikes across that part of the country, and threatened additional airstrikes in the future, and an open-ended military occupation.Airstrikes were centered on Syrian military facilities in the Daraa and R if Dimashq Governorates, and appear to be related to Israel’s recent declaration that Syria will not be allowed to have any military assets inside Syrian territory south of its own capital city of Damascus.Syria’s ongoing National Dialogue Conference reacted negatively to that Israeli announcement, and also issued a statement calling on Israel to withdraw its occupation forces from the south. Since the regime change in Syria late last year, Israel has invaded southern Syria, taking over parts of the Quneitra and Daraa Governorates and warning civilians to stop all construction inside their villages. Israeli Prime Minister Benjamin Netanyahu indicated earlier in the day that this occupation would be ongoing, telling the AIPAC conference that Israeli troops will remain within southern Syria for the “foreseeable future,” and that his decision to forbid Syrian military assets south of Damascus remains in place. Israel began the attacks a few hours after Netanyahu made those comments, and a few hours after the Syrian conference called for Israel to withdraw. Details are still emerging on the casualties resulting from the attacks, with at least two said to have been killed so far. Israeli media reported ground raids with tanks in addition to airstrikes, though details of those remain unclear.The IDF issued a statement in the wake of the attacks saying that the very existence of military assets south of Damascus constitutes a threat to Israeli citizens, and that the military will continue to act to “remove” such threats.

All These Israeli Agendas Were Planned Long In Advance -Caitlin Johnstone- Israel has announced that it will continue to occupy parts of Syria and Lebanon indefinitely, and that the new Syrian government is forbidden to have a military presence south of Damascus. Israel has also sent tanks into the West Bank for the first time in decades, saying they will remain for at least a year. A week earlier, Netanyahu vowed to “finish the job” against Iran with the help of the Trump administration.The middle east is being dramatically restructured in alignment with longstanding Israeli objectives. Gaza has been destroyed and Trump is pushing a plan for permanently removing all Palestinians from the enclave, and they’re already working on doing the same to the West Bank. Syria has been wholly regime changed allowing Israel to grab up large swathes of land and strategic control. Hezbollah has been significantly weakened and Israel effectively controls southern Lebanon. Who knows what awful things they’re working on with Iran. And I guess it’s worth mentioning as all this unfolds that there are mountainsupon mountains of evidence that Israel knew the October 7 attack was coming and intentionally allowed it to happen, thereby manufacturing support for the advancement of all these agendas. Just the other day a new Hebrew Ynet report alleged that Mohammed Deif almost called off Operation Al-Aqsa Flood at the last second because Hamas noticed Israel wasn’t mobilizing against the coming attack despite their immense surveillance capabilities, suspecting it could be a trap. Well it looks like it was a trap — just maybe not the kind Hamas officials suspected.The deputy speaker for the Israeli Knesset recently said during a radio interview that all adult men in Gaza should be exterminated and called Palestinians “subhumans”, saying “Who is innocent in Gaza?”It’s almost a cliché to say “Imagine if this was said about Jews” at this point, but seriously: imagine if this was said about Jews. Imagine how hard the earth would shake if a parliamentary leader in your nation said this about Jews in Israel. It’d be the only story in the news.

Israeli Official: Gaza Ceasefire Deal on 'Brink of Collapse' Due to Netanyahu's Hardened Stance - The Gaza hostage and ceasefire deal is on the “brink of collapse” due to Israeli Prime Minister Benjamin Netanyahu hardening his stance, an Israeli source has told the Israeli news site Walla, according to The Times of Israel.Netanyahu has delayed the release of over 600 Palestinians who were supposed to be freed from Israeli jails in exchange for six Israeli hostages released by Hamas on Saturday.Netanyahu said he postponed the release over Hamas’s “humiliating” handover ceremonies. Under the agreement, Hamas is due to release four bodies of Israeli hostages on Thursday, the last release under the first phase of the ceasefire deal.The Israeli source speaking to Walla said that Hamas agreed that the release of the four bodies could be done in private without any ceremony. But Netanyahu has hardened his stance further, informing mediators that Hamas’s commitment was not enough and that Israel would only release the more than 600 Palestinians once it received the bodies.“Unfortunately, there are people in the government who are more interested in Hamas’s ceremonies than they are in returning civilians for burial in Israel,” the Israeli official said.The first phase of the ceasefire will expire this Saturday, March 1, and Israel has refused to engage in real negotiations on the second phase. The US, which has backed Netanyahu’s decision to delay the release of Palestinians, is now suggesting phase one could be extended.Under the initial deal, all remaining Israeli hostages were supposed to be released in phase two in exchange for an Israeli withdrawal from Gaza. Hamas recently offered to release all Israeli captives “in one go” if Israel agreed to a permanent ceasefire and complete withdrawal, but Netanyahu is now demanding Hamas be disarmed and removed from Gaza.Israel has also been violating the ceasefire deal since it went into effect on January 19, killing more than 100 Palestinians in that time.

Deputy Speaker of Israeli Knesset Says All Adult Men in Gaza Should Be Killed - Nissim Vaturi, the deputy speaker of the Israeli Knesset, has called for all adult men in Gaza to be killed in the latest example of genocidal rhetoric from an Israeli official.“Who is innocent in Gaza? Civilians went out and slaughtered people in cold blood,” Vaturi told Kol BaRama radio. “We need to separate the children and women and kill the adults in Gaza, we are being too considerate.”Vaturi, a member of Prime Minister Benjamin Netanyahu’s Likud party, referred to the Palestinians in Gaza as “subhumans” and “scoundrels” and said no one in the world wants to take them in. “The international community understands that the residents of Gaza are not welcome anywhere and is pushing them towards Israel,” he said.The deputy speaker also said the city of Jenin in the occupied West Bank will soon turn into Gaza as Israel is ramping up its assault there. He said Palestinians being freed from Israeli jails as part of the Gaza hostage and ceasefire deal should be put in Jenin so they could be “eliminated” later on.“Erase Jenin. Don’t start looking for the terrorists – if there’s a terrorist in the house, take him down, tell the women and children to get out,” Vaturi said.Last year, Vaturi claimed there were “no innocents” in Gaza and called for the entire place to be “burned down” so Israeli soldiers wouldn’t get hurt.“What does it mean to burn? To go in and rip them apart. There should be no thoughts, no considerations. The soldiers of the IDF should not think for one second and be hurt because we need to be humane,” Vaturi said.Such rhetoric from Israeli officials has been cited in South Africa’s genocide case against Israel at the International Court of Justice to demonstrate Israel’s intent to commit genocide.