natural gas price hit a 2025 low; US refinery utilization rate was the highest since September 7, 2018

US oil prices finished lower for the third time in four weeks after OPEC agreed to a larger than expected production increase and as Trump agreed to meet with Putin in Alaska, defusing the geopolitical tensions which had been supporting higher prices….after rising 3.3% to $67.33 a barrel last week following Trump’s threats to impose sanctions on Russian oil after the US reached a trade agreement with the European Union, the contract price for the benchmark US light sweet crude for September delivery fell in early Asian trading on Monday, following a decision by OPEC and its allies (OPEC+) to implement another significant production increase in September, amid growing concerns over a slowdown in the U.S., then edged higher on global markets despite the OPEC decision, driven by geopolitical tensions between the United States and Russia, only to gap lower at the open in New York after OPEC+'s Sunday output increase decision added to the market’s concerns of oversupply amid lower demand and settle down $1.04 at $66.29 a barrel after U.S. data showed lackluster fuel demand in the world's top consuming nation… oil prices​ move​d lower on Asian markets on Tuesday, as traders fretted over increased production and deteriorating demand amid increased global economic headwinds, and continued to trend lower in New York as the market weighed increasing OPEC+ output and concerns over weaker demand against Trump’s threats to India over its Russian oil imports, and settled $1.13 lower at $65.16 a barrel​, as the U.S. services sector activity unexpectedly flatlined in July, with little change in orders and a further weakening in employment….oil prices rose in Asia on Wednesday, amid supply disruption fears following President Trump's threats to impose tariffs on India over its purchases of Russian crude oil, and further rebounded in early US trading after Trump suggested he’d impose additional tariffs on major buyer nations of Russian oil, specifically mentioning India and China, but reversed and ended the session 81 cents lower at $64.35 a barrel after U.S. Secretary of State Marco Rubio indicated there would be an announcement later on that day on whether sanctions against Russia over its war with Ukraine would proceed this week or not…oil prices rose 1% in on global markets early Thursday, on signs of stable demand in the United States, even as uncertainty over the macroeconomic impact of US tariffs limited growth, but erased its early US trading gains and sold off after the Kremlin confirmed that Russia’s President Vladimir Putin would meet U.S. President Trump in the coming days, raising the prospect of a breakthrough to end the war in Ukraine, and settled 47 cents lower at $63.88 a barrel, driven lower by bearish fundamentals, including the anticipated output increase by OPEC+ and concerns over global demand…oil prices fell in Asian trading on Friday, as the latest round of U.S. tariffs weighed on the economic outlook while the upcoming Trump-Putin talks raised the prospect of an ease in sanctions on Russia, then extended those losses Friday morning in New York, as reports of a potential deal between Russia and the United States eased concerns around Russian crude supply, but then steadied in afternoon trading to settle unchanged at $63.88 a barrel​, as the potential meeting between Trump and Putin raised expectations of a diplomatic end to the war in Ukraine, which could lead to eased sanctions on Russia and buyers of Russian oil. but still finished 5.1% lower for the week…

meanwhile, natural gas prices finished lower for the sixth time in seven weeks and at a new low for this year, on near record gas production in the face of ample supplies​, and on forecasts for milder weather heading into the September contract month…after falling 2.0% to $3.083 per mmBTU last week on cooler weather near term and on a bearishly large increase in natural gas inventories, the price of the benchmark natural gas contract for September delivery opened 7.5 cents lower on Monday and continued ​to retreat to a three-month intraday low of $2.895 by 12:30 PM, as the glut of gas in storage persisted and near-term cooling demand failed to inspire, then steadied near those lows to settle down 15.1 cents at $2.932 per mmBTU amid a lack of support due to incredibly mild weather, strong production, underperforming LNG​ demand, and bearish technicals,”…however, the September natural gas contract opened at $3.000 on Tuesday, as bargain-hunting bulls jumped on the recently diminished contract, and settled 7.8 cents higher at $3.010 per mmBTU, as hot weather forecasts reminded traders it’s still summer…natural gas prices started Wednesday’s trading 4.2 cents higher. with overnight gains supported by steady LNG exports and updated bullish forecasts, and finished the session 6.7 cents higher at $3.077 per mmBTU on near-record gas flows to LNG export plants and om forecasts for hotter-than-normal weather to continue through at least late August…the ​f​ront-month natural gas contract opened 2.4 cents higher Thursday, as a bullish shift in weather forecasts overnight provided temporary support, then jumped to an intraday high of $3.148 following a smaller than expected storage injection, before retreating to settle 1 cent lower at $3.067 per mmBTU​, as a smaller-than-expected storage build and forecasts for hotter-than-normal weather offset near-record output… natural gas futures were flat in early Friday trading, despite continued LNG strength and a robust cooling demand outlook for the next 15 days, but the midweek rebound fizzled by midday, as a bearish seasonal supply outlook outweighed steamy near-term weather forecasts​, and natural gas settled 7.7 cents lower at $2.990 per mmBTU as traders looked past outlooks for a near-term spike in demand from returning heat and focused instead on forecasts for milder temperatures, potential tropical activity, and ample supply heading into September, and thus ended 3.0% lower for the week..

The EIA’s natural gas storage report for the week ending August 1st indicated that the amount of working natural gas held in underground storage rose by 7 cubic feet to 3,130 billion cubic feet by the end of the week, which left our natural gas supplies 117 billion cubic feet, or 4.2% less than the 3,267 billion cubic feet of gas that were in storage on August 1st of last year, but 173 billion cubic feet, or 5.9% more than the five-year average of 2,957 billion cubic feet of natural gas that had typically been in working storage as of the 1st of August over the most recent five years….the 7 billion cubic foot injection into US natural gas storage for the cited week was notably less than the 17 billion cubic foot addition to storage that analysts had forecast in a Reuters poll ahead of the report, and also less than the 21 billion cubic foot of gas that were added to natural gas storage during the corresponding week of 2024, as well as well less than the average 29 billion cubic foot addition to natural gas storage that has been typical for the same early July week over the past five 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 August 1st indicated that after a big increase in our oil exports and a​ sizable increase in refinery demand, we needed to pull oil out of our stored crude supplies for the twelfth time in twenty-six weeks, and for the 25th time in fifty-six weeks, with the ​week's shortfall exacerbated by a decrease in oil supplies that the EIA could not account for….Our imports of crude oil fell by an average of 174,000 barrels per day to average 5,962,000 barrels per day, after rising by an average of 159,000 barrels per day over the prior week, while our exports of crude oil rose by an average of 620,000 barrels per day to average 3,318,000 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 2,644,000 barrels of oil per day during the week ending August 1st, an average of 794,000 fewer 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 488,000 barrels per day, while during the same week, production of crude from US wells was 30,000 barrels per day lower than the prior week at 13,284,000 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 16.416,000 barrels per day during the August 1st reporting week…

Meanwhile, US oil refineries reported they were processing an average of 17,124,000 barrels of crude per day during the week ending August 1st, an average of 213,000 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 399,000 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 August 1st averaged a rounded 30​9,000 fewer barrels per day than what was 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 [ +309,000] 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 811,000 barrels per day of oil supplies could not be accounted for in the prior week’s EIA data, that means there was a 502,000 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 useless. …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….also see this 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 399,000 barrel per day average decrease in our overall crude oil inventories came as an average of 4​3​3,000 barrels per day were being pulled out of our commercially available stocks of crude oil, while 34,000 barrels per day were being added to our Strategic Petroleum Reserve, extending the nearly continuous additions to the SPR since September 2023, ​which follow​ed nearly continuous SPR withdrawals over the 39 months prior to August 2023… Further details from the weekly Petroleum Status Report (pdf) indicated that the 4 week average of our oil imports fell to 6,146,000 barrels per day last week, which was 9.7% less than the 6,772,000 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 30,000 barrels per day lower at 13,284,000 barrels per day as the EIA’s estimate of the output from wells in the lower 48 states was 5,000 barrels per day higher at 12,979,000 barrels per day, while Alaska’s oil production was 35,000 barrels per day lower at 305,000 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 1.4% higher than that of our pre-pandemic production peak, and was also up 36.9% from 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 96.9% of their capacity while processing those 17,124,000 barrels of crude per day during the week ending August 1st, up from the 95.4% utilization rate of a week earlier, and the highest refinery utilization rate since September 7, 2018…. the 17,124,000 barrels of oil per day that were refined this week were 4.2% more than the 16,402,000 barrels of crude that were being processed daily during the week ending August 2nd of 2024, but were 3.7% less than the 17,777,000 barrels that were being refined during the prepandemic week ending August 2nd, 2019, when our refinery utilization rate was at 96.4%, which was within the pre-pandemic normal range for this time of year​, but not matched again until this year…

Even with the increase in the amount of oil being refined this week, gasoline output from our refineries was somewhat lower, decreasing by 239,000 barrels per day to 9,803,000 barrels per day during the week ending August 1st, after our refineries’ gasoline output had increased by 676,000 barrels per day to a thirty-three week high during the prior week.. This week’s gasoline production was also 2.4% less than the 10,040,000 barrels of gasoline that were being produced daily over the week ending August 2nd of last year, and 5.9% less than the gasoline production of 10,421,000 barrels per day during the prepandemic week ending July August 2nd, 2019….at the same time, our refineries’ production of distillate fuels (diesel fuel and heat oil) decreased by 104,000 barrels per day to 5,105,000 barrels per day, after our distillates output had increased by 130,000 barrels per day to a thirty week high during the prior week. Even after that production decrease, our distillates output was 1.4% more than the 5,036,000 barrels of distillates that were being produced daily during the week ending August 2nd of 2024, but 3.3% less than the 5,286,000 barrels of distillates that were being produced daily during the pre-pandemic week ending August 2nd, 2019…

With this week’s decrease in our gasoline production, our supplies of gasoline in storage at the end of the week fell for the sixteenth time in twenty-three weeks, decreasing by 1,323,000 barrels to 227,082,000 barrels during the week ending August 1st, after our gasoline inventories had decreased by 2,724,000 barrels during the prior week. Our gasoline supplies decreased by less this week even though the amount of gasoline supplied to US users fell by 112,000 barrels per day to 9,040,000 barrels per day because our exports of gasoline rose by 57,000 barrels per day to 946,000 barrels per day,​ and because our imports of gasoline fell by 156,000 barrels per day to 535,000 barrels per day, ….Even after eighteen gasoline inventory withdrawals over the past twenty-six weeks, our gasoline supplies were 0.9% above last August 2nd’s gasoline inventories of 225,097,000 barrels, but were about 1% below the five year average of our gasoline supplies for this time of the year…

With the decrease in this week’s distillates production, our supplies of distillate fuels fell for the 18th time in 31 weeks, decreasing by 565,000 barrels to 112,971,000 barrels during the week ending August 1st, after our distillates supplies had increased by 3,635,000 during the prior week.. Our distillates supplies decreased this week because the amount of distillates supplied to US markets, an indicator of domestic demand, rose by 115,000 to 3,720,000 barrels per day, and because our exports of distillates rose by 231,000 barrels per to 1,545,000 barrels per day, and because our imports of distillates fell by 150,000 barrels per day to 79,000 barrels per day... With 47 withdrawals from inventories over the past 79 weeks, our distillates supplies at the end of the week were 11.6% below the 127,796,000 barrels of distillates that we had in storage on August 2nd of 2024, and are still about 16% below the five year average of our distillates inventories for this time of the year…

Finally, after the increases in our oil exports and in our refinery usage, our commercial supplies of crude oil in storage fell for the 12th time in twenty-six weeks, and for the 23rd time over the past year, decreasing by 3.029,000 barrels over the week, from 426,691,000 barrels on July 25th to 423,662,000 barrels on August 1st, after our commercial crude supplies had increased by 7,698,000 barrels over the prior week… Even after that big increase, our commercial crude oil inventories were 6% below the recent five-year average of commercial oil supplies for this time of year, while they were about 25% above the average of our available crude oil stocks as of the first weekend of August 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 August 1st were 1.3% below the 429,321,000 barrels of oil left in commercial storage on August 2nd of 2024, and 4.9% less than the 445,622,000 barrels of oil that we had in storage on August 4th of 2023, but were 1.9% more than the 432,010,000 barrels of oil we had left in commercial storage on August 5th of 2022…

This Week’s Rig Count

The US rig count decreased by one during the week ending August 1st, the fourteenth decrease in fifteen weeks, as one targeting oil was added, while one rig targeting natural gas and one miscellaneous rig were removed, leaving us with the lowest national rig count total since October 2021…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 August 8th, the second column shows the change in the number of working rigs between last week’s count (August 1st) and this week’s (August 8th) count, the third column shows last week’s August 1st 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 9th of August, 2024…

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Public land near Stillwater Creek in Tuscarawas County targeted for fracking - Cat Adams, Save Ohio Parks - An unknown oil and gas company just submitted a new nomination to frack under public land in Ohio. This time, they’re targeting land owned by the Ohio Department of Transportation – which means that they want to drill under our highways to extract oil and gas. This nomination is for approximately 7 acres along State Route 800 in Tuscarawas County. Across the highway, and less than 150 feet away from this proposed fracking site, lies Stillwater Creek. Over 10,000 people depend on drinking water from surface waters in the Stillwater Creek watershed – including the residents of Cadiz, who haven’t had access to safe drinking water since late June for unrelated reasons. Studies have shown that fracking near public water sources increases the presence of dangerous chemical contaminants in the drinking water. Fracking on this land would pose a serious threat to these communities' water quality, which is already compromised. Tell the Oil and Gas Land Management Commission: Ohioans do not support the leasing of our public lands for fracking. Please visit the Nomination Comment Form, choose Nomination #25-DNR-0009, and submit a public comment telling the Commission you OPPOSE this nomination.

Ascent 2Q Drilled 18 Wells, Produced 2 Bcfe/d, Made $467M Profit -- Marcellus Drilling News -- Ascent Resources, founded as American Energy Partners by gas legend Aubrey McClendon, is a privately held company focusing 100% on the Ohio Utica Shale. Ascent, headquartered in Oklahoma City, OK, is Ohio’s largest natural gas producer and one of the largest natural gas producers in the U.S. The company issued its first quarter 2025 update yesterday. Net production for the quarter averaged 2,034 MMcfe/d (2.0 Bcfe/d), consisting of 1,738 MMcf/d of natural gas, 13,033 bbls/d of oil, and 36,385 bbls/d of natural gas liquids (NGLs), putting liquids at 15% of the overall production mix for the quarter.

Gulfport Spending $100M to Lease More OH Land in Belmont, Monroe -- Marcellus Drilling News -- Gulfport Energy is the third-largest driller in the Ohio Utica Shale (by the number of wells drilled). The company emerged from bankruptcy four years ago with a new board and new management in May 2021 (see Gulfport Energy Emerges from Bankruptcy w/New Board, CEO/CFO Gone). Later in 2021, the rumors began to swirl that Gulfport was looking to sell itself (see Big News: OH Utica Driller Gulfport Energy Looking to Sell Itself). Those rumors have long since expired. The company recovered and has done great since that time. Gulfport CEO John Reinhart said during yesterday’s quarterly update that the company is planning to spend up to $100 million in the coming months to lease more Utica acreage, primarily in Belmont but also a little in Monroe counties in Ohio.

Gulfport Energy to Spend $100M on Acreage Acquisitions, Boosts Share Repurchase Program Amid 8% Production Growth -Gulfport Energy plans to spend up to $100 million on discretionary acreage acquisitions, marking its highest leasehold spend in over six years. The company also expanded its share repurchase program amid an 8% increase in production. Gulfport Energy Corporation (GPOR) has outlined a significant strategic shift with plans to allocate up to $100 million for discretionary acreage acquisitions in the coming months, marking the highest leasehold spend in over six years. This initiative is aimed at securing future drilling opportunities and extending the company's inventory runway in the Utica Shale [1]. President and CEO John K. Reinhart announced the increased spending, along with a 50% expansion of the share repurchase program. Additionally, the company plans to redeem all outstanding preferred stock to accelerate share repurchases and simplify its capital structure [1].Gulfport Energy's second quarter of 2025 saw an 8% increase in production, with average daily production reaching 1.006 billion cubic feet equivalent per day. The company also reported strong financial results, including adjusted EBITDA of approximately $212 million and adjusted free cash flow of $64.6 million. Net cash provided by operating activities before changes in working capital totaled approximately $198 million [1]. The company's outlook for the full year remains cautious, with total net production expected to trend toward the low end of previously stated production guidance due to midstream outages and constraints. However, these production impacts have largely been resolved or are being actively mitigated. The company expects adjusted free cash flow to accelerate and financial momentum to increase over the second half of 2025 [1].Analysts maintain a strong buy consensus on the stock, with a potential upside of 33% based on their target prices. The company's strategic initiatives in its Utica and SCOOP basins have been highlighted as key drivers for growth and capital allocation [2].

$10m natural gas pipeline to supply onsite fuel cell facility at Ohio data center – DCD --Aspire Energy Express, the Ohio subsidiary of Chesapeake Utilities, has partnered with American Electric Power (AEP) to build and operate an intrastate natural gas pipeline to serve a fuel cell facility set to power a data center behind-the-meter.The new natural gas pipeline will cost approximately $10 million to build and is expected to be operational in the first half of 2027."This project is a clear example of how Chesapeake Utilities Corporation continues to execute on our growth strategy by leveraging our core capabilities," said Jeff Sylvester, senior vice president and chief operating officer of Chesapeake Utilities Corporation.Aspire Energy was founded in 2020, and is wholly owned by Chesapeake. It operates as an intrastate pipeline company within the Ohio market. Chesapeake is a natural gas company that operates primarily across the Mid-Atlantic, Southeast, and Midwest regions. According to its website, the company has more than 2,100 miles of natural gas distribution mains, distributing natural gas to more than 110,000 residential, commercial, and industrial customers.While not confirmed, the natural gas pipeline is likely to serve a Bloom Energy fuel cell facility. In November, Bloom signed a supply agreement with AEP for up to 1GW of power to supply AI data center sites across Ohio. Bloom agreed to supply an initial 100MW of cells, with an expansion order expected in 2025. Bloom is a solid oxide fuel cell (SOFCs) developer. SOFCs are electrochemical devices that can convert the chemical energy of a fuel - such as hydrogen or natural gas - into electric energy, using a solid oxide as the electrolyte. SOFCs, especially when run on hydrogen, offer much lower carbon emissions. In addition, due to their high operating temperature, they can also be used for heating, cooling, or other industrial processes. Bloom is by far the biggest player in the data center market. Last month, the company signed a deal with Oracle to deploy fuel cells onsite at several data centers in the US. The company has also signed deals with Equinix, CoreWeave, and Quanta. However, last year it saw a deal with Amazon Web Services fall through.

Sugarcreek residents evacuated after crash caused 'major gas leak' - (WJW) – Some residents in the village of Sugarcreek in Tuscarawas County were urged to evacuate after a “major gas leak” on Wednesday evening. According to Sugarcreek Fire and Rescue, State Route 39 was shut down in the area of Main Street after a two-vehicle crash. There were no injuries, but according to fire officials, one vehicle was sitting on top of a gas line that’s connected to a residence. Residents within three blocks of the gas leak were urged to evacuate the area. Fire officials said 20 residences and three businesses were evacuated. Around 8 p.m., Enbridge crews shut off the gas and residents were told they could start returning home roughly an hour later.

Ohio’s Orphan Well Program Plugged >1,200 Wells Last 5 Years -- Marcellus Drilling News -- Something is clearly wrong in Pennsylvania. Over the past three years, PA has plugged a little over 300 old orphaned (no current owner) wells (see PA Gov Shapiro Puffs His Chest to Announce Plugging 300 Old Wells). During the same period, Ohio plugged over 700 old wells. Why can OH plug nearly twice as many wells as PA in the same period? The Ohio Department of Natural Resources (ODNR) reports it has plugged over 1,200 wells in the last five years! OH is leaving PA behind in the proverbial dust.

Shell Looks to Sell All or Part of Monaca, PA Ethane Cracker Plant -- Marcellus Drilling News -- Back in March, the Wall Street Journal reported that Shell is “exploring a potential sale of its chemicals assets in Europe and the U.S.,” which includes the recently completed Monaca (Beaver County, PA) ethane cracker complex (see Shocker: Shell Considers Selling Beaver County, PA Ethane Cracker). It looks like the rumors were right. Last week on an earnings call with analysts, Shell CEO Wael Sawan said, concerning the Monaca cracker, that Shell is “not the natural operator and owner of that asset.”

Range Appeals Cecil Township Frack-Ban-by-Setback to County Court -- Marcellus Drilling News -- Last November, three of five supervisors in Cecil Township (Washington County), PA, voted to ban all new fracking in the town via a new setback (distance from well to nearest structure) requirement of 2,500 feet (see Cecil Twp Supervisors Pull the Trigger on Frack Ban Via Setbacks). We said at the time, “Let the lawsuits begin.” And so they did. Range Resources, the only driller in Cecil Township with wells or permits to drill, filed a “Substantive Validity Challenge” to the ordinance that the Township Zoning Hearing Board heard. The Hearing Board voted 2-0 in June to dismiss the challenge, leaving the 2,500-foot setback requirement in place (see Cecil Twp Board Votes to Dismiss Challenge of 2,500-Ft Setback). Range recently appealed the dismissal to the Washington County Court of Common Pleas.

Pennsylvania’s FracTracker Alliance Seeks to Block AI Data Centers -- Marcellus Drilling News -- What is it about progress and expanding the use of energy for that progress that “progressive” Democrats, like those at the FracTracker Alliance, hate so much? The same group of Dem radicals who have sought to block shale energy in the Keystone State (and beyond) for years has turned its sights on opposing new artificial intelligence (AI) data centers in Pennsylvania and beyond by launching an online mapping tool that shows where planned facilities will be located. Not only will data centers (and the gas-fired power plants that run them) pollute the atmosphere to be unbreathable (say the nutters), AI data centers are racist. Who knew?

34 New Shale Well Permits Issued for PA-OH-WV Jul 28 – Aug 3 --- Marcellus Drilling News -- For the week of July 28 – August 3, the number of permits issued to drill new wells in the Marcellus/Utica more than doubled from the previous week. There were 34 new permits issued across the three M-U states last week, 20 more than the 14 issued two weeks ago. The Keystone State (PA) issued 15 new permits. Both EQT and Range Resources received six permits each for single well pads in Westmoreland and Washington counties, respectively. Expand Energy received three permits for a pad in Bradford County. ANTERO RESOURCES | ASCENT RESOURCES | BELMONT COUNTY | BRADFORD COUNTY | CARROLL COUNTY | ENCINO ENERGY | EQT CORP | EXPAND ENERGY | MARION COUNTY | MARION NATURAL ENERGY | MONROE COUNTY | NOBLE COUNTY | RANGE RESOURCES CORP | TYLER COUNTY |WASHINGTON COUNTY | WESTMORELAND COUNTY

NH Gov. Kelly Ayotte Supports Reviving Constitution Pipeline -- Marcellus Drilling News -- Of the six New England states, there is precisely one that’s even halfway “conservative” (and not really all that conservative, if you ask us): New Hampshire. The other five are all lost causes, run by Democrat governors who are ruining them. NH has a Republican governor and has had Republicans for governors for most of its history. Current Governor Kelly Ayotte, who took office this year (previously a U.S. Senator from the state), met with EPA Administrator Lee Zeldin yesterday. During the meeting, she expressed her support for resurrecting and building the Constitution Pipeline in her comments to the media.

EPA Administrator Pushes for Constitution Pipeline in New England -- Marcellus Drilling News -- As we mentioned in two different posts today (about the 2Q updates from Coterra and Williams), the Constitution Pipeline project is currently not a top priority for Williams. In fact, Williams’ management didn’t even mention the project during their update. Coterra management did mention it as one of the “top-of-mind” projects for them, but acknowledged that another project, the Northeast Supply Enhancement (NESE) pipeline project, is currently the focus for Williams. Coterra and Williams *might* want to talk to President Trump, because the Constitution project is a big, fat priority for him. Yesterday, Trump’s EPA Administrator, Lee Zeldin, published a major “we need the Constitution Pipeline and we need it now” op-ed in the Boston Globe.

Could Trump put LNG trains back on track? - Environmental groups are blasting an initiative from the Trump administration they see as opening the door to more shipments of natural gas by train. It’s the latest development in a yearslong debate over how liquefied natural gas, or LNG, can be transported from where it’s produced to where it’s used. Opponents call trains shipping the supercooled gas “bomb trains.” Supporters call them “rolling pipelines.” Trump administration officials at the Pipeline and Hazardous Materials Safety Administration asked for public comments on whether there might be commercial interest in shipping LNG. The gas is liquefied by supercooling it to minus 260 degrees Fahrenheit. “The transportation of LNG by rail is known to be dangerous to communities and to help drive climate change,” Mark Izeman, a senior attorney at the Natural Resources Defense Council, said in a comment dated Aug. 1.

Venture Global Receives Approval to Increase Export Capacity at Calcasieu Pass LNG (P&GJ) — The U.S. Department of Energy (DOE) has authorized Venture Global LNG to export additional volumes of liquefied natural gas from its Calcasieu Pass facility in Cameron Parish, Louisiana, to non‑free trade agreement (non‑FTA) countries. The final order, signed by U.S. Secretary of Energy Chris Wright, permits the facility to ship an extra 20 billion cubic feet of natural gas annually — roughly equivalent to five additional cargoes per year. “Thanks to President Trump’s leadership, the United States has made massive leaps in unleashing LNG dominance,” Wright said in the announcement. “Today’s authorization is another reminder that this administration is committed to expanding the supply of abundant, affordable, and secure American energy.” Tala Goudarzi, principal deputy assistant secretary of DOE’s Office of Fossil Energy and Carbon Management, said the decision reflects DOE’s efforts “to return to regular order on LNG exports.” Calcasieu Pass has been operational since 2022 and is one of several export projects driving record U.S. LNG production and shipments. The authorization follows DOE’s conditional approval earlier this year for Venture Global’s CP2 project, which is awaiting final review by the Federal Energy Regulatory Commission.

Venture Global Cleared to Ship More LNG From Calcasieu Pass to NFTA Countries — A look at the global natural gas and LNG markets by the numbers

• 5 cargoes: The U.S. Department of Energy has granted Venture Global Inc.’s request to export an additional 20 Bcf/d from its Calcasieu Pass facility in Louisiana to non-free trade agreement (NFTA) countries. The additional authorization could boost the terminal’s annual exports to 12.4 million tons (Mt), or at least five more cargoes per year. Calcasieu Pass has been producing cargoes since 2022, but did not enter commercial service until April after years of operational issues. Exports averaged roughly 9.5 Mt/year over the past two years during the commissioning process, according to Kpler data.
• 5.4 Mt/y: NextDecade Corp. is negotiating a term bank loan for around 40% of the funding for the Train 4 expansion of its Rio Grande LNG facility in South Texas. The company disclosed it is aiming to reach a final investment decision (FID) on the 5.4 Mt/y project by mid-September at the earliest. NextDecade’s pricing agreement with engineering, procurement and construction contractor Bechtel Group is valid until Sept. 15. An FID for Train 4 would mark the fourth U.S. project to be sanctioned this year.
• 0.2 Bcf/d: Pipeline flow data indicates New Fortress Energy Inc.’s floating LNG terminal in Mexico could be experiencing some production interruptions corresponding with a drop in exports. Wood Mackenzie reported feed gas to the facility in Altamira dropped to zero for more than a week in June and almost two weeks in July. Recorded exports from the facility have also declined since peaking in the spring, dropping to 0.06 Mt in July from 0.17 Mt in April, according to Kpler data. Receipts to the FLNG terminal averaged 0.2 Bcf/d during the first six months of the year.

Cheniere Signs 21-Year LNG Supply Deal with Japan’s JERA Starting 2029 - Cheniere Signs 21-Year LNG Supply Deal with Japan’s JERA Starting 2029 Cheniere Signs 21-Year LNG Supply Deal with Japan’s JERA Starting 2029 8/7/2025 (P&GJ) — Cheniere Energy has signed a long-term agreement to supply liquefied natural gas (LNG) to Japan’s JERA, one of the world’s largest LNG buyers and the country’s top power producer, the companies announced Aug. 7. Under the sale and purchase agreement (SPA), JERA will purchase approximately 1 million tonnes per annum (mtpa) of LNG from 2029 through 2050 on a free-on-board basis. The price will be indexed to the Henry Hub benchmark, plus a fixed liquefaction fee. “We are pleased to enter into this multi-decade agreement with JERA, the largest power producer in Japan and one of the largest buyers of LNG in the world,” said Jack Fusco, Cheniere’s president and CEO. “This SPA fortifies our longstanding relationship with JERA, which is based upon years of cooperation and mutually beneficial LNG trade. We look forward to providing our flexible, reliable and cleaner burning LNG to JERA through 2050 under this new long-term agreement.” Yukio Kani, global CEO and chair of JERA, said the agreement strengthens the company’s U.S. partnerships and supports energy stability in Asia. “JERA and Cheniere have built a trusted relationship over many years, and we are pleased to extend this relationship further,” Kani said. “This long-term agreement with Cheniere—a global leader in LNG—supports JERA’s strategy to diversify and strengthen our LNG procurement portfolio, reinforcing our role as a long-term energy partner in the U.S. and deepening our commitment to securing reliable energy supplies.”

Cheniere Eyeing Yet Another Major LNG Expansion in South Texas to Boost Total Output to 107 Mt/y -Cheniere Energy Inc. is moving ahead with yet another expansion project at its Corpus Christi LNG (CCL) export terminal in South Texas as it looks to take advantage of a favorable regulatory environment. Aerial map-style rendering of Cheniere Energy's Corpus Christi LNG expansion projects, highlighting CCL Stage 4 and CCL Stage 3 with Midscale Trains 8 and 9, featuring labeled infrastructure, LNG tanks, docks, and site boundaries near the Gulf Coast. The company pre-filed last month at the Federal Energy Regulatory Commission for its CCL Stage 4 project to build four liquefaction trains that would add another 24 million tons/year (Mt/y) of LNG production capacity at the terminal. Stage 4 would also add two LNG storage tanks and another marine berth. “We are focused on capturing the moment and delivering accretive growth into the next decade,” said CEO Jack Fusco during a call on Thursday to discuss the second quarter earnings. The Trump administration has been working to fast-track LNG export approvals as part of its global energy dominance policy agenda.

ExxonMobil ‘Feels Good’ about Golden Pass, but More U.S. Natural Gas Opportunities? Not Now, Says CEO --The first natural gas from the Golden Pass LNG project underway on the Texas coast should begin operations “sometime at the back end of this year or early next year,” ExxonMobil CEO Darren Woods said Friday. ExxonMobil chart showing the company's internal growth projections for Permian Basin natural gas and “I feel really good about that progress,” he told investors during the second quarter conference call. The Golden Pass crew “has rallied around and come together and recovered from the challenge” following contractor issues, he said. One lead contractor, Zachry Group, filed for bankruptcy in 2024, upending the construction progress. That followed work delays from the Covid-19 pandemic.

FERC Clears Path for Final Decision on Rio Grande, Texas LNG Projects after Court-Ordered Reviews --Federal regulators are poised to make a reauthorization decision for the Rio Grande and Texas LNG export projects later this year after concluding the terminals and associated pipelines could be built without critical impacts to the environment. FERC staff have published final environmental impact statements (EIS) for the developing Gulf Coast terminals that have been facing regulatory uncertainty since a federal appeals court decision last year. The Federal Energy Regulatory Commission concluded that the Rio Grande LNG and Texas LNG terminals could have disproportionate impacts on nearby environmental justice communities given existing air quality issues, but could be built with mitigation efforts.

IEA Forecasts US LNG Export Expansions to Raise Domestic Price Volatility, but Boost Global Demand --A surge in global LNG supply led by the United States is poised to shift market dynamics as soon as next year, but more domestic feed gas demand could also create more price volatility in the Lower 48, according to International Energy Agency (IEA) analysis. Global natural gas futures as of August 5, 2025, showing price trends through 2028 for Henry Hub, JKM (Japan/Korea), and TTF benchmarks. Includes a comparative line chart and table with 12-month strip prices and calendar year projections, highlighting daily changes in USD/MMBtu. Data sourced from Bloomberg, CSI, and NGI calculations. The first half of 2025 was categorized by geopolitical volatility and increased competition for LNG cargoes that raised global benchmarks and cooled natural gas consumption, IEA researchers highlighted in the latest natural gas market report released this month. In the United States, Henry Hub prices were an average of 70% higher in 1H2025 compared to the same period last year. But, as a wave of new commissioning cargoes hit the market from developing terminals, the IEA forecast this year could also be an inflection point, loosening global LNG market competition and encouraging more gas demand.

Natural Gas Price Drops Below $3 'Amid Lack of Support' | Rigzone -In an EBW Analytics Group report sent to Rigzone by the EBW team today, Eli Rubin, an energy analyst at the company, outlined that the natural gas price dropped below $3 per million British thermal units (MMBtu) yesterday “amid [a] lack of support”. The report highlighted that the September natural gas contract closed at $2.932 per MMBtu on Monday. It pointed out that this was a 15.1 cent, or 4.9 percent, drop from Friday’s close. “The September natural gas contract tested as low as $2.895 [per MMBtu] yesterday due to a distinct lack of bullish catalysts,” Rubin noted in the report, adding that Henry Hub physical pricing cleared at $2.87 per MMBtu. “Bearish catalysts continue to cast a cloud over NYMEX gas futures, including incredibly mild weather, strong production, underperforming LNG, and bearish technicals,” Rubin said in the report. “Further, higher-level impediments of ample storage surpluses and weak Henry Hub cash markets provide shorts with protection to be more aggressive,” he added. Rubin noted in the report that “a return to summerlike weather into Week 2 may add 28 CDDs [cooling degree days] week over week” but added that “heat remains biased away from the demand-driving Southeast and South Central”. “LNG may trend higher. Still, until visible inroads into the storage surplus emerge (likely not until the 30-45 day window), sustainable fundamental bullish catalysts may remain scarce, even if a subdued storage trajectory eventually prompts a recovery,” Rubin went on to state in the report. In an EBW report sent to Rigzone by the EBW team on Monday, Rubin said the September natural gas contract “continued to search for direction, as Friday’s attempt to rebound was repelled by bears and bulls defended the $3.00 per MMBtu psychological level”. That report highlighted that the September natural gas contract closed at $3.083 per MMBtu on Friday. It pointed out that this was a 2.3 cent, or 0.7 percent drop from Thursday’s close. “Despite very mild weather, weak LNG feedgas, bearish technicals and a bearish EIA [U.S. Energy Information Administration] storage surprise, shorts failed to press the advantage last week as Henry Hub spot prices traded at $2.99 [per MMBtu] for the weekend,” Rubin said in that report. “Still, production readings remain strong, storage surpluses may surpass 200 billion cubic feet above five-year norms into early August, and excess South Central salt storage stands ready to sell into any late-summer rally. Although not featuring a direct threat to Gulf Coast, the tropics are beginning to awaken seasonally,” he added. In that report, Rubin warned that “bullish sprouts may take time to develop” and said “the aforementioned bearish factors may continue to suppress any near-term fundamental upside”. In its latest weekly natural gas storage report at the time of writing, which was released on July 31 and included data for the week ending July 25, the EIA said working gas in storage was 3,123 billion cubic feet as of July 25, according to its estimates. “This represents a net increase of 48 billion cubic feet from the previous week,” the EIA noted in that report. “Stocks were 123 billion cubic feet less than last year at this time and 195 billion cubic feet above the five-year average of 2,928 billion cubic feet. At 3,123 billion cubic feet, total working gas is within the five-year historical range,” it added.

US natural gas futures climb 2% on near-record LNG export flows — U.S. natural gas futures climbed about 2% on Wednesday on near-record gas flows to liquefied natural gas export plants and forecasts for hotter-than-normal weather to continue through at least late August. The heat means homes and businesses will likely keep their air conditioners cranked up until the end of the month, forcing power generators to burn more gas than usual for this time of year. More than 40% of the electricity produced in the U.S. comes from gas-fired power plants. Front-month gas futures for September delivery on the New York Mercantile Exchange rose 6.7 cents, or 2.2%, to settle at $3.077 per million British thermal units. Despite a hotter-than-usual summer, record output has allowed energy firms to inject more gas into storage than usual in recent months - although likely not during an extreme heatwave last week. Analysts said gas stockpiles were around 6% above normal for this time of year and would likely keep growing in coming weeks. In the Atlantic Ocean, meanwhile, the U.S. National Hurricane Center said two disturbances could turn into tropical cyclones over the next week - one with a 30% chance of forming off the coasts of North and South Carolina and another with a 60% chance of forming in the North Central Atlantic. The system with a 30% chance of forming was downgraded from a 40% chance earlier in the day. Analysts noted that East Coast storms are generally demand-destroying events that knock out power to homes and businesses, reducing the amount of gas power generators need to burn. LSEG said average gas output in the Lower 48 states eased to 107.8 billion cubic feet per day (bcfd) so far in August, down from a monthly record high of 107.9 bcfd in July. On a daily basis, output was on track to drop to a preliminary four-week low of 106.0 bcfd on Wednesday, down about 3.7 bcfd since hitting a daily record high of 109.7 bcfd on July 28. Preliminary data, however, is often revised later in the day. LSEG projected average gas demand in the Lower 48 states, including exports, would rise from 105.6 bcfd this week to 110.3 bcfd next week. The forecast for this week was higher than LSEG's outlook on Tuesday. The average amount of gas flowing to the eight big U.S. LNG export plants rose to 16.1 bcfd so far in August, up from 15.5 bcfd in July. That compares with a monthly record high of 16.0 bcfd in April. On a daily basis, LNG export feedgas was on track to rise to a 16-week high of 16.7 bcfd on Wednesday after Freeport LNG's 2.1-bcfd export plant in Texas exited last week's outages and Venture Global LNG's VG 3.2-bcfd Plaquemines plant in Louisiana pulled in a record 3.2 bcfd. That compares with a total daily LNG feedgas record high of 17.3 bcfd on April 9.

BofA lowers natural gas price forecast as production outpaces demand - Bank of America has reduced its natural gas price forecast for September-December 2025 to $3.0/mmbtu, citing persistent loose market balances despite record summer heat. The fourth hottest June-July period in 30 years has been insufficient to tighten the natural gas market, as production growth and power sector looseness exceeded 6 Bcf/d year-over-year, outpacing the 3.3 Bcf/d increase in LNG demand. This imbalance has expanded the storage surplus from 117 Bcf at May’s end to 195 Bcf currently. BofA analysts project end-of-summer inventories will reach approximately 3.93 Tcf, with western U.S. and Canadian regions rapidly refilling stocks. The bank warns that natural gas could get pushed back to the Midwest and Eastern U.S. this fall, while tropical activity might complicate daily injection requirements. The bank has also lowered its 2026 price outlook to $4.0/mmbtu from previous higher forecasts, as production growth is now expected to largely offset increased LNG demand. October 2026 inventory is projected at 3.68 Tcf, only about 70 Bcf below normal levels. Record production levels in Appalachia despite the lowest rig count since 2021, combined with Haynesville’s increasing efficiencies and "LNG ready" status, contribute to the bearish outlook, while the natural gas rig count has increased by more than 20% since Q1 2025 in response to higher prices earlier this year.

US natural gas futures steady as small storage build offset near-record output — =U.S. natural gas futures held steady on Thursday as a smaller-than-expected storage build last week and forecasts for hotter-than-normal weather offset near-record output. Front-month gas futures for September delivery on the New York Mercantile Exchange fell 1.0 cent, or 0.3%, to settle at $3.067 per million British thermal units. The U.S. Energy Information Administration said energy firms added 7 billion cubic feet of gas into storage during the week ended August 1, the smallest weekly build so far this year. Analysts said extreme heat last week boosted the amount of gas power generators burned to keep air conditioners humming. That was smaller than the 17-bcf build analysts forecast in a Reuters poll and compared with an increase of 21 bcf during the same week last year and an average of 29 bcf over the 2020-2024 period. That build left gas stockpiles about 6% above the five-year normal for this time of year. In the Atlantic Ocean, the U.S. National Hurricane Center said two disturbances could turn into tropical cyclones over the next week - one with a 20% chance of forming and another with a 60% chance. It is likely, however, that neither storm will reach land in the U.S. LSEG said average gas output in the Lower 48 states eased to 107.8 billion cubic feet per day so far in August, down from a monthly record high of 107.9 bcfd in July. LSEG projected average gas demand in the Lower 48 states, including exports, would rise from 105.8 bcfd this week to 109.6 bcfd next week. The forecast for next week was lower than LSEG's outlook on Wednesday. The average amount of gas flowing to the eight big U.S. LNG export plants rose to 16.1 bcfd so far in August, up from 15.5 bcfd in July. That compares with a monthly record high of 16.0 bcfd in April. On a daily basis, LNG export feedgas was on track to ease to 16.1 bcfd on Thursday, having reached a 16-week high of 16.8 bcfd on Wednesday after Freeport LNG's 2.1-bcfd export plant in Texas exited last week's outages and Venture Global LNG's VG Plaquemines plant in Louisiana pulled in a near-record 3.2 bcfd. That compares with a total daily LNG feedgas record high of 17.3 bcfd on April 9. The LNG export gas flow reduction on Thursday was due to small declines at several plants including at Cheniere Energy's 3.9-bcfd Corpus Christi plant in Texas, to around 1.7 bcfd on Thursday from a three-week high of 2.4 bcfd on Wednesday, according to LSEG data.

Devon Working to Wave Bye, Bye, Bye to Waha Natural Gas Pricing -- Getting natural gas molecules out of the Permian Basin to more lucrative markets on the Gulf Coast and overseas has been the guidepost for Devon Energy Corp., which has two new agreements that fit the bill. Bar chart from Devon Energy Inc. showing Q2 2025 oil and gas production reaching 841 million boe/d, exceeding guidance by 3%. The chart breaks down volumes by basin: Delaware (largest), Rockies, Eagle Ford, and Anadarko. The multi-basin independent delivered stronger natural gas and oil production during the second quarter, executives said during the conference call. The higher output, particularly for natural gas, is tied to a midstream philosophy to get the best price for the molecules, CFO Jeff Ritenour told investors. It’s a little push-me, pull-you when working on midstream options, he explained. That’s become crucial in moving the gas from the mainstay of the portfolio, the Permian Basin’s Delaware formation.

208-Mile Mississippi-to-Alabama Gas Pipeline Moves Into FERC Review (P&GJ) — Kinder Morgan’s Tennessee Gas Pipeline Company, L.L.C. (TGP) has filed a formal application with federal regulators to build the Mississippi Crossing Project (MSX), a $1.7 billion natural gas pipeline expansion designed to deliver 2.1 billion cubic feet per day (Bcf/d) of firm transportation capacity across Mississippi and Alabama.The project includes 208 miles of new pipe — the centerpiece being a 199-mile, 42- and 36-inch mainline stretching from Greenville, Mississippi, to Butler, Alabama. Additional infrastructure includes three new compressor stations, multiple interconnects, and four metering facilities.TGP submitted its Certificate of Public Convenience and Necessity application to the Federal Energy Regulatory Commission (FERC) on June 30, 2025, officially moving the project into the federal review phase. The filing followed the May 31 submission of all required environmental resource reports, which included consultations with regulatory agencies and other stakeholders.The project is backed by strong market demand, with more than 90% of its capacity under long-term precedent agreements. Customers include major Southeast utilities and power generators such as Southern Company Services, Dominion Energy South Carolina, Tennessee Valley Authority, and the Municipal Gas Authority of Georgia. TGP affiliate Southern Natural Gas Company has secured 1.17 Bcf/d of capacity to serve downstream users.TGP is requesting FERC approval by July 1, 2026, with construction scheduled to begin in January 2027 and the pipeline expected to enter service by November 2028.An independent market analysis submitted with the application projects that natural gas demand in Mississippi and Alabama will grow by 8% by 2030, driven by coal retirements, increased electricity generation, and industrial activity. Current infrastructure in the region is operating near peak capacity.TGP estimates the project will support 4,760 to 9,820 average annual jobs across Mississippi, Alabama, and Georgia during construction, generating between $950 million and $2.4 billion in regional economic output.To help reduce environmental and community impacts, approximately 28% of the proposed route will parallel existing infrastructure corridors, and several segments will be installed using horizontal directional drilling.

Energy Transfer plans $5.3B Southwest gas pipeline - --One of the country’s biggest pipeline companies announced Wednesday that it wants to build a 516-mile natural gas pipeline from West Texas to Arizona, adding to a list of proposed energy projects as President Donald Trump promotes the use of fossil fuels. Energy Transfer, which is best known for developing the Dakota Access oil pipeline in the Upper Midwest, described its new Desert Southwest project as a $5.3 billion expansion of its Transwestern system.The line is slated to run along existing pipeline routes, the company said, and the project is expected to be completed by the end of 2029. In its announcement Wednesday, Dallas-based Energy Transfer said the project is needed to serve “population growth, high-tech industry demand and data center expansion.”Utilities in Arizona have announced commitments to take gas from the 3-½-foot-wide pipeline. And business leaders greeted the proposal with enthusiasm.

Energy Transfer to Build $5.3 Billion Permian Gas Pipeline to Supply Southwest - (P&GJ) — Energy Transfer LP announced Aug. 6 that it has approved a $5.3 billion expansion of its Transwestern Pipeline, aiming to boost natural gas deliveries from the Permian Basin to fast-growing markets in Arizona and New Mexico. The Desert Southwest expansion will add 516 miles of 42-inch pipeline and nine compressor stations across Arizona, New Mexico and Texas. Once complete, the system will have the capacity to transport 1.5 billion cubic feet of natural gas per day (Bcf/d). “This project will provide reliable economic supplies of natural gas to support the long-term energy needs for utilities and energy providers in the region driven by population growth, high-tech industry demand and data center expansion,” Energy Transfer said. The pipeline is scheduled to enter service in the fourth quarter of 2029 and builds on Transwestern’s decades-long presence in the region since it began operating in 1960. Energy Transfer said the project is backed by significant long-term commitments from investment-grade customers. An open season is planned later this quarter to secure additional shippers, and the company expects the remaining capacity to be fully subscribed. The system could be expanded further depending on open season results. The project also includes $600 million in Allowance for Funds Used During Construction (AFUDC). Energy Transfer expects to use U.S. steel and employ up to 5,000 workers, including union labor, during construction. Energy Transfer operates a vast network of pipelines across major U.S. supply basins and connects to nearly 200 natural gas-fired power plants nationwide. The company said this footprint allows it to “capitalize on opportunities to increase earnings and efficiently expand its industry-leading pipeline network.”

Enbridge Sees High Demand to Expand 593-Mile Canada-to-U.S. Gulf Oil Pipeline - (Reuters) — Canadian pipeline operator Enbridge said on Aug. 1 its recent commercial process to gauge oil shippers' interest in an expansion of its Flanagan South pipeline was oversubscribed, indicating strong demand for additional oil transport capacity from Canada to the U.S. Gulf Coast.The success of the Flanagan South open season — an industry term for the binding process pipeline companies use to notify shippers of available capacity and solicit bids — brings Enbridge closer to formally sanctioning its proposed expansion of its Mainline network, CEO Greg Ebel said on a conference call.He said Enbridge plans to make a final investment decision on the first phase of the project, which would add 150,000 barrels of capacity to the Mainline system, before the end of this year. Enbridge's Mainline is the largest pipeline system in North America, with the capacity to move 3 million barrels per day of crude from Western Canada to markets in Eastern Canada and the U.S. Midwest. Flanagan South is a 954-km (593-mile) connector pipeline running from Illinois to Cushing, Oklahoma, and is part of the larger Mainline network.The Mainline system was in apportionment — a term that means demand has exceeded available pipeline capacity — for six of the first eight months of 2025, Ebel said.Canadian oil shipments to the U.S. are exempt from tariffs, and output from Canada's oil sands continues to rise. A recent report from S&P Global estimated Canada's oil sands will produce 3.8 million bpd of crude by 2030, a 15% increase from current levels.Canada's Trans Mountain pipeline, which ships oil from Alberta to British Columbia's west coast, where it can be exported overseas, is eyeing its own capacity increases.Polls in Canada — the world's fourth-largest oil producer — have shown an uptick in domestic support for a new oil pipeline to overseas markets, but no private company has indicated interest in building such a project. Ebel said on Friday a new pipeline is unlikely unless the federal government repeals some of its environmental policies, such as a proposed cap on greenhouse gas emissions from the oil sands as well as an existing ban on oil tankers off British Columbia's northern coast.

Dunlap fire causes fuel and oil to spill into local river(KCAU) — Hundreds of gallons of fuel, oil, and other toxic chemicals spilled into a local river after a fire at a gas station. It happened this morning at the Rockin’ K Solutions service station by Highway 30 and County Road 37 in Dunlap. The Iowa DNR is leading the investigation and cleanup as officials say the fire destroyed the service station, causing the fuel release. In all, officials believe up to 1,200 gallons of gas, oil, and other harmful products ended up in the river as a result. At this time, an unknown amount entered a storm drain that flows to a stormwater ditch to the river. Iowa DNR said there’s no immediate threat to marine life.

Interior slashes reviews to speed cleanups of orphaned wells - Trump administration officials have removed endangered species and historic preservation reviews from federal orphaned well programs, potentially speeding the cleanup of tens of thousands of abandoned sites. But the administration’s rationale for why the reviews are not required has puzzled some attorneys, who are skeptical of the legal arguments and say the move could open up litigation threats for states. The change — which was put in place July 17 — could also indicate a broader shift in what kinds of environmental or historic reviews officials will require for federally funded grant programs. If implemented, that wider change could mean fewer environmental reviews for a range of federal initiatives.“It’ll be interesting to see if this is a policy that we see played out on a larger scale as the administration continues to effectuate the priority of unleashing American energy,” said Stephanie Sebor, a partner at the Jenner & Block law firm who focuses on environmental topics.As part of the bipartisan infrastructure law that passed in 2021, Congress outlined nearly $4.7 billion in grants that states could apply for to clean up abandoned wells. As part of the grant process, the Interior Department concluded that the grants were subject to standard aspects of endangered species and historic preservation reviews. Section 7 of the Endangered Species Act requires that federal actions do not jeopardize the continued existence of listed species. That “applies to all actions federal agencies fund, authorize, permit, or carry out in which there is discretionary federal involvement or control,” according to the Fish and Wildlife Service. Similarly, Section 106 of the National Historic Preservation Act states that federal activities must be reviewed for their impact on historic resources. The law refers to those activities as “undertakings,” and federal rules have defined them as projects “funded in whole or in part under the direct or indirect jurisdiction of a Federal agency,” including “those carried out with federal financial assistance.” But the Trump administration has concluded that those reviews do not apply to the orphaned wells program and dropped them from the requirements. In a document about the orphaned wells program, Interior says the well cleanup is “not subject to” the ESA requirements. It also says they’re not “undertakings” under the National Historic Preservation Act. The brief explanation does not provide the administration’s legal view of the changes. The White House referred queries to Interior, which answered questions about grant specifics but did not respond to questions from POLITICO’s E&E News about the overall reason for changes. “States know their land and their needs best,” Tyler Hassen, who at the time was acting assistant secretary of policy, management and budget, said in a statement accompanying Interior’s July 17 announcement. “By cutting unnecessary barriers, we’re helping them clean up old wells faster, protect communities and support energy development.”Tens of thousands of abandoned wells exist across the U.S., many of which send methane, a greenhouse gas, into the atmosphere. There are around 120,000 documented orphaned wells nationwide, according to a 2023 release from the U.S. Geological Survey. And USGS said there could be about 1 million orphaned wells that remain undocumented.

The San Juan Basin Has Seen Many Ups and Downs. Is Another Upturn . -The San Juan Basin in northwestern New Mexico and southwestern Colorado has seen more than its share of booms and busts in the last 100-plus years. During the Shale Era, natural gas production in the 7,500-square-mile basin has been slowly declining, undercut by competition from more prolific, better-situated wells in the Permian and Eagle Ford. But a small band of “San Juan believers” think the region is poised for yet another rebound, this time due to what they view as massive, untapped potential in the basin’s Mancos Shale. In today’s RBN blog, we discuss recent developments in the San Juan — and the basin’s extensive pipeline infrastructure. The San Juan Basin is primarily a natural gas producing region. Production there has been a bit of a roller-coaster since its start back in 1921, when the basin’s first commercially successful well was drilled near Aztec, NM. (Initial production, several million cubic feet per day — no slouch!) The challenge then was getting gas to market; the San Juan was hundreds of miles from large population centers and there was little to no pipeline infrastructure in place. The completion of the El Paso Natural Gas pipeline to California in the early 1950s spurred a boom in conventional gas production in the basin, and (after a handful of mini-booms and mini-busts) that was followed up in the 1980s and ’90s by a surge in coalbed methane production from the uppermost Fruitland Formation (dark-brown layer in Figure 1 below). By 2000, the San Juan Basin was among the U.S.’s top gas production areas, churning out nearly 4.5 Bcf/d of gross gas, or about 8% of total U.S. onshore production at the time.The basin’s gas output has been inching down year-by-year over the past quarter-century, mostly due to competition from the Permian, whose gas production — a by-product of crude-oil-focused drilling — has been rising substantially and displacing other gas. As shown in Figure 2 below, production in the three counties that account for virtually all the San Juan’s gas (Rio Arriba and San Juan counties in New Mexico and La Plata County in Colorado) slid to about 3 Bcf/d by the mid-2010s and 2 Bcf/d or so in recent years. Also noteworthy is the fact that most of the large producers once active in the basin (BP and ConocoPhillips among them) left a few years ago to focus on more prolific, profitable regions. Over the past few months, however, there’s been a new flurry of interest in the San Juan, primarily from two smaller producers who said new technology and production techniques have the potential to give the basin a new and profitable lease on life. The focus this time is on the Mancos Shale (medium-gray layer in Figure 1), a thick marine shale formation located several thousand feet below ground level.First, in January, master limited partnership TXO Partners said that its technical team had identified the potential for nearly 3 Tcf of gas production in the MLP’s 58,500-acre position there (blue-shaded areas in Figure 3 below), most of it in the northern reaches of Rio Arriba and San Juan counties. “Given all the important criteria — reservoir characteristics, acreage location, productivity data, and infrastructure access — we have identified a tactical, 3,520-acre block as Phase 1 for developing and monetizing reserves, representing about 6% of our current Mancos position,” TXO said in a statement. The company said its engineers estimate that the Phase 1 acreage (orange box) holds 200 Bcf to 300 Bcf of natural gas, and that the eight to 12 horizontal wells it plans to drill there each has the potential to produce up to 25 Bcf. TXO Partners’ announcement was followed on July 10 with Mach Natural Resources’ statement that it had entered into a definitive agreement to acquire international asset manager IKAV Energy’s San Juan Basin assets for $787 million. The deal, which is expected to close later in Q3 2025, will give publicly owned Mach IKAV’s 570,000 net acres, 60 Mboe/d of production and related gas-gathering assets in the basin. IKAV’s production there — under the name Simcoe — is heavily weighted toward natural gas: 94%, or 336 MMcf/d, of it is gas and the other 6% is liquids (4 Mb/d of NGLs). IKAV had purchased the assets from BP in March 2020. Expanded gas production in the San Juan Basin by Mach, TXO and others will be supported by the region’s extensive network of gas pipelines. Figure 4 shows the major pipelines that serve the region, as well as the three pricing hubs most relevant to San Juan gas producers (Waha, San Juan and SoCal Border; black circles). As we said in A Thousand Miles From Henry back in 2021, it’s a relatively simple network compared to most basins, though it’s complicated somewhat by the fact that gas flows on some pipelines often shift, depending on supply/demand fundamentals and resulting gas prices.

Oil majors’ profits fall despite record production - Earnings for Exxon Mobil and Chevron tumbled in the second quarter even as the Texas-based companies reached record oil production levels.Exxon reported $7.1 billion in quarterly net income Friday, while Chevron announced a profit of $2.5 billion. Both figures were down roughly $2 billion from the same period last year.London-based Shell also saw its profitability decline, saying Thursday that second-quarter adjusted earnings fell 32 percent to $4.26 billion. The industry had signaled that results would be lower in the second quarter, although earnings from the three oil majors turned out better than what some Wall Street analysts had expected.Even though Shell, Exxon and Chevron made less money, their performance in the second quarter seemed relatively stable, according to Aditya Ravi of Rystad Energy. He pointed to share repurchases and dividend programs and the fact that the companies haven’t delayed final investment decisions on major projects.

Canadian E&Ps, Enbridge Lean into Global Natural Gas Demand as Market Shifts Intensify -Canadian natural gas exploration and production (E&P) companies are adjusting their strategies in response to mounting global demand, expanding LNG operations and persistently low domestic pricing. NGI's Canada Border Tracker map and bar chart showing U.S.-Canada natural gas flows and price points as of August 7, 2025. Regional data includes exports from the Rockies (3.15 Bcf/d), Mid-Con (3.40 Bcf/d), and imports into the Midwest (-1.54 Bcf/d) and Northeast (-0.14 Bcf/d). Notable price points include PNGTS ($4.300), Dawn ($2.770), Emerson ($0.370), and Northwest Sumas ($1.485). A bar chart below displays daily net export totals from July 29 to August 7, 2025. Tourmaline Oil Corp., Canada’s largest natural gas producer, reported second quarter 2025 output of 620,757 boe/d, down slightly from the prior quarter but up 10% year/year and squarely in the mid-range of its previous guidance. The annual gain was driven by a 13% increase in natural gas output, which accounts for the majority of the company’s production. The growth came despite operational headwinds, including wildfire interruptions, natural gas shut-ins and deferred hydraulic fracturing activity in response to weak Western Canada prices. CEO Michael Rose said during the company’s recent earnings call that Tourmaline remains on track to hit its updated full-year production target of 635,000-650,000 boe/d, with year-end production now expected to reach as high as 690,000 boe/d. The company also forecasted preliminary 2026 output between 690,000 and 710,000 boe/d.

Construction Costs Nearly Double at Canada’s Woodfibre LNG Facility Amid Permitting Challenges (Reuters) — Construction costs at Canada's Woodfibre LNG project have increased, driving up capital costs for all partners involved, Canadian pipeline company Enbridge reported on Aug. 1. The Woodfibre LNG project is a 2.1-million tonne liquefied natural gas export facility under construction near Squamish, British Columbia. The project is one of several new LNG facilities planned for Canada's Pacific coast, and is expected to be complete in 2027. The project's capital cost was initially estimated at US$5.1 billion. But Enbridge, which owns a 30% stake in the project, said Aug. 1 on a conference call that costs have recently increased due to permit delays, building code changes, a second floating hotel to accommodate workers, and challenging on-site conditions. "Our share of the project costs have increased from US$1.5 billion to US$2.9 billion, and our partners' proportionate share has increased similarly," an Enbridge spokesperson said in an email. The 70% remaining stake in the Woodfibre project is owned by Pacific Energy Corp. Ltd., which is part of the Singapore-based RGE Group of companies. Woodfibre LNG did not immediately respond to a request for comment on Aug. 1. Enbridge said Aug. 1 it is still expecting low double-digit returns from the project, relatively consistent with what it had initially expected. The company remains excited about the project and the LNG market, Enbridge's spokesperson said.

Mexico Approves Fracking to Reverse Sagging Oil and Gas Production In a major U-turn in energy policy, Mexico has unveiled a 10-year plan to reverse a years-long decline in oil and gas production by tapping more unconventional resources through fracking. Petroleos Mexicanos, or Pemex, the world’s most indebted energy firm, has seen declines in its output in recent years as old shallow-water conventional fields mature. Now the government and its state-controlled energy giant want to revitalize production via fracking, Reuters reports, citing the revitalization plan. In the late 2010s, then-President Enrique Peña Nieto sought to open shale basins, including the Burgos Basin, a shale-rich basin in northeastern Mexico, for natural gas exploration and development by private companies.However, Peña Nieto’s successor, Andrés Manuel López Obrador, cancelled the contracts. Former president Lopez Obrador ruled out fracking during his term in office between 2018 and 2024. But his successor and mentee, current President Claudia Sheinbaum, has agreed to give the green light increased fracking despite a campaign pledge last year that she would not allow it. “We're going to address all the geological potential we have,” Reuters quoted Pemex chief executive Victor Rodriguez as saying during a presentation of the plan. Pemex has been fracking onshore fields close to the Gulf of Mexico coast, but it does not report shale production separately and it is not clear how much the fracking has contributed to output. It’s clear that most of oil and gas production comes from conventional resources at old offshore platforms in shallow waters. The steady decline in Pemex’s output and the tense trade and tariff relations with the U.S. has apparently prompted Mexico to expand domestic fracking in a bid to reduce its high dependence on natural gas imports from the United States. Over the past decade, Mexican imports of U.S. natural gas, mostly via pipelines, have jumped thanks to new pipelines built between the U.S. and Mexico.Mexico has an estimated 545 Tcf of technically recoverable shale gas resources, the sixth largest in the world, per U.S. government data.

Trade Tensions, Geopolitical Risks Keep Global Natural Gas Market on Edge – LNG Recap -President Trump’s escalating trade war and ultimatum for Russia to reach a ceasefire with Ukraine by Friday or face new sanctions pushed European natural gas prices higher on Monday. Image showing a comprehensive market analysis of the European Union’s gas storage levels with graphs representing trends in inventories, highlighting key insights into energy market dynamics and gas The September Title Transfer Facility (TTF) contract gained 15 cents to finish at $11.65/MMBtu on Monday after falling on Friday. Prices gained most of last week after the European Union cut a trade deal with the United States to buy $750 billion of American energy over three years. But the prompt contract fell Friday amid profit taking, according to trading firm Mind Energy. Geopolitical tensions once again had the market on edge as the week got underway. In addition to an ultimatum that Russia appears to be ignoring, new U.S. tariff rates are set to take effect Thursday for dozens of countries that were announced last week after President Trump’s deadline to reach deals passed.

European Gas Deals Signal Shift as U.S. LNG Gains Ground amid Long-Term Market Rebalance -A fresh wave of natural gas supply deals signed by European refiners and chemical manufacturers are highlighting the growing role of U.S. LNG as a balancing force ahead of a long-term market rebalance. Bar chart titled "Europe LNG Imports" showing annual LNG import volumes (in million tonnes) by source region from 2020 to 2024. The United States is the largest supplier, with sharply rising exports through 2024. Other major sources include Qatar, the Russian Federation, and North Africa. The data is compiled by Natural Gas Intelligence using Kpler data and includes minor contributions from Asia, Latin America, and the Middle East. In 2Q2025, the narrative for industrial natural gas demand in Europe continued to look grim. Eni SpA reported falling margins for its refined products and more than 5% drop year/year for chemical as trade uncertainty upended Asian markets. The persisting downward pressure on Europe’s industrial sector helped cool natural gas consumption gains that had previously been ticking up since mid-2024. However, that hasn’t stopped firms like Eni from locking in more future U.S. LNG supply.

Eastern Med’s Leviathan and Tamar Fields Poised to Expand Natural Gas Production, Say Chevron Execs --Eastern Mediterranean natural gas projects are back at work following a two-week shutdown in June, with major expansions in the works, Chevron Corp. executives said Friday. NewMed Energy LP map of natural gas pipelines serving the Eastern Med production area CEO Mike Wirth was joined by Vice Chairman Mark Nelson during a conference call to discuss second quarter performance. The integrated major has natural gas projects underway around the world, with expansions underway in the Eastern Med, as it is known. In the region, Chevron has control over the massive Leviathan natural gas platform, as well as Tamar, both offshore Israel.

Trump Raises India Tariffs to 50% Over Its Import of Russian Oil After Witkoff Meets Putin - President Trump on Wednesday signed an executive order raising tariffs on India to 50% over New Delhi’s import of Russian oil, a step he took right after his envoy, Steve Witkoff, held a meeting with Russian President Vladimir Putin.The president said that the tariffs on India would go into effect on August 27 and that other countries could face similar measures if they continue purchasing Russian oil. The move comes ahead of the August 8 deadline Trump set for Russia to end the war in Ukraine or face sanctions and “secondary tariffs” on its trading partners.After imposing the tariffs, Trump also said “great progress” was made in the Witkoff-Putin meeting. “My Special Envoy, Steve Witkoff, just had a highly productive meeting with Russian President Vladimir Putin. Great progress was made!” the president wrote on Truth Social. “Afterwards, I updated some of our European Allies. Everyone agrees this War must come to a close, and we will work towards that in the days and weeks to come. Thank you for your attention to this matter!” the president added.The Russian side also said that the Trump-Witkoff meeting, which lasted three hours, went well, though there’s no sign any real progress was made toward a ceasefire in Ukraine, and US officials say more “secondary sanctions” will be imposed on Friday. Moscow has also made clear that the threat of the US imposing tariffs on its trading partners would not impact its military operations in Ukraine. In response to the tariffs, which came after Trump first announced a 25% tariff, the Indian Foreign Ministry said that it was “extremely unfortunate that the US should choose to impose additional tariffs on India for actions that several other countries are also taking in their own national interest.” Indian officials have previously said New Delhi would continue buying Russian oil despite the pressure from the US. The Foreign Ministry said that the US actions were “unfair, unjustified, and unreasonable” and that New Delhi would “take all actions necessary to protect its national interests.”

India's Reliance Warns Tariffs Threaten Oil Market Stability --Reliance Industries, the top private refiner in India, has warned in its annual report that tariff uncertainties and geopolitical events could affect global crude oil flows and oil market balances. “Continuing geopolitical and tariff-related uncertainties may affect trade flows and demand-supply balance,” the conglomerate Reliance Industries, owned and chaired by Indian billionaire Mukesh Ambani, said in its annual 2024-2025 report.“Global crude oil prices continue to remain volatile on the back of dynamic interplay of various factors such as geopolitical volatility in the Middle East, redirection of shipping routes, OPEC+ and non-OPEC production decisions, regional capacity additions and downstream supply-demand realignments, evolving sanctions and trade tariff regimes and rate of recovery of Chinese economy,” Reliance added. The refiner also noted that tariffs and sanctions key are among the factors to watch this year, alongside stagnating demand in China due to EV penetration, aviation growth in Asia, and geopolitical uncertainties. Earlier this week, U.S. President Donald Trump signed an executive order enacting an additional 25% tariff on Indian goods, explicitly targeting India’s ongoing imports of Russian crude oil. This order increases the total tariff rate on Indian exports to the United States to 50%, the highest level for any country under current U.S. policy. The 50% tariff will take effect 21 days after August 6. The executive order also establishes a process for the potential imposition of similar tariffs on other countries that directly or indirectly import oil from the Russian Federation, the White House said. India has said that the U.S. tariff of 50% due to Indian imports of Russian oil is “unfair, unjustified and unreasonable.” “We have already made clear our position on these issues, including the fact that our imports are based on market factors and done with the overall objective of ensuring the energy security of 1.4 billion people of India,” the Indian government said on Wednesday.

Russian Crude Discount Deepens Amid Sanctions and Tariffs -- Russia’s flagship Urals blend is trading at a $5 discount to dated Brent following the latest round of EU sanctions and President Trump’s decision to impose additional tariffs of 25% on Indian imports as punishment for India’s decision to continue buying Russian oil. Following these latest moves by the EU and the U.S., Indian refiners started reducing their intake of Russian crude, which has affected prices, energy analytics provider Kpler reported this week, noting that Indian oil buyers were ramping up purchases of U.S. crude instead. “Lower demand from Indian refiners is starting to have a strong effect, particularly from state-owned refiners, which are reportedly considering a full pause in imports of Russian oil,” Kpler said. The company added, however, that “On the other side, private players are still scooping barrels, but at a lower pace. Four Aframaxes are currently waiting to discharge at Jamnagar and Vadinar.” It would be difficult for Indian refiners and oil traders to completely replace Russian supply, which has come to account for 37% of the country’s oil supply, according to Bloomberg. Still, Kpler analysts expect the downward trend for Urals to continue as Russian refineries enter maintenance season, increasing the availability of the crude, and “more risk-averse behaviour from Indian state-owned and private refiners” amid President Trump’s tariff actions. Kpler suggests that the current spat between the U.S. and India could end with a commitment from the latter to buy more U.S. oil but judging by the official statements coming out of New Delhi, this is not the number-one choice for the Indian government right now. India has already slammed the U.S. for the additional tariffs, which it has called “unfair, unjustified and unreasonable,” noting that “it is revealing that the very nations criticizing India are themselves indulging in trade with Russia.”

Refinery Outages Force Russia to Redirect Crude to Export Markets |--Russia is preparing to sharply increase crude oil exports this month after Ukrainian drone strikes disabled two major refineries, leaving excess unprocessed crude with no domestic outlet and prompting a shift toward western port shipments.According to Reuters, crude shipments from Russia’s western ports could increase to 2 million barrels per day in August, about 200,000 bpd more than previously planned. Spot traders have begun locking in Aframax tankers to handle the sudden increase, as onshore refining options collapse and terminal inventories build.Ukrainian drone strikes overnight targeting Russian oil infrastructure have disabled two major Rosneft-operated refineries. Kommersant reported that the Novokuibyshevsk refinery has completely halted primary processing after damage to its CDU-11 unit. At Ryazan, only one crude distillation unit remains online, slashing output by more than half and affecting both gasoline and diesel production.This shortfall has driven domestic fuel prices to historic levels. The Kyiv Independent reports that Ai-95 gasoline on the St. Petersburg exchange reached RUB 77,000 per ton on Tuesday, marking the highest print since the beginning of Russia’s full-scale invasion. The fuel spike is being closely monitored by the Kremlin as it coincides with peak summer demand, raising concerns about potential rationing or emergency stockpile use in affected regions.According to traders cited by Reuters, Russia may need up to ten additional Aframax tankers to handle the planned increase in crude exports from its western ports in August. The rise of up to 200,000 barrels per day above prior guidance reflects the diversion of crude volumes that can no longer be processed domestically due to refinery damage. Spot market activity has reportedly picked up, with charterers seeking mid-August loading windows to lift Urals crude that would have otherwise been sent to Rosneft’s Ryazan and Novokuibyshevsk refineries. Traders expect Russia will offload as much Urals crude as possible while prices remain favorable and inventories swell. Market participants are also watching for any official response from Rosneft or the Russian Energy Ministry regarding repair timelines.

Oil Spill in Ogoniland Amid Ongoing Clean-up Exercise – The Whistler NewspaperA new oil spill has been confirmed in the Ogoni area of Rivers State, Nigeria, complicating ongoing environmental clean-up efforts. According the Youths and Environmental Advocacy Centre (YEAC-Nigeria) the spill on August 6, 2025, in the Kpean Community, Ken-Khana District, Khana Local Government Area. According to the report, the spill is alleged to have resulted from equipment failure on a wellhead, although the specific wellhead is yet to be independently confirmed. Two paramount rulers in the area provided different accounts, with one indicating Oil Well 2 and the other stating Oil Well 4 in the OML 11 oil field. These wells were abandoned by Shell Petroleum Development Company (SPDC) in 1993 after they departed Ogoniland.

China’s Oil Imports Jumped in July From a Year Earlier - Chinese crude oil imports jumped by 11.5% in July from a year earlier as major state refiners boosted processing rates, official data showed on Thursday.Last month, China imported 47.2 million metric tons of crude oil, which is equivalent to 11.12 million barrels per day (bpd), per data from the General Administration of Customs cited by Reuters.The import level was 5.4% lower compared to June, when China’s crude imports surged to 12.14 million bpdto the highest in almost two years. The spike in June imports reflected both restocking after refinery maintenance and opportunistic buying by independent refiners amid steep discounts on sanctioned barrels.Chinese independent refiners, the so-called ‘teapots’ stocked up on Iranian barrels in June, while their overall imports were lower in July from the previous month.State refiners, however, boosted imports in July as they accelerated run rates last month after the end of the maintenance period.China’s total refinery utilization rate increased to 71.84% in July, up by 1.02 percentage points compared to June and 3.56 percentage points higher compared to July 2024, according to estimates by consultancy Oilchem cited by Reuters. In June, improved fuel margins and the end of spring maintenance boosted China’s oil refinery throughput tothe highest level since September 2023.China started accelerating crude oil imports in March and April, but the increased purchases weren’t necessarily a sign of recovering fuel demand in the world’s biggest crude importer. It’s more likely that Chinese refiners have been aggressively stockpiling cheaper crude amid uncertainties about sanctioned barrels going forward.Analysts expected strong Chinese imports and refining output to have continued into July amid peak travel season and state-held refiners rebuilding fuel stocks.

Robust Asian Demand Drives Saudi Oil Price Hikes --The world’s top crude oil exporter, Saudi Arabia, bets on robust demand in Asia as it raised the prices of its oil loading in September for a second month in a row. The flagship Saudi grade Arab Light will sell in Asia in September at a premium of $3.20 per barrel above the Oman/Dubai average, the Middle East benchmark, off which shipments to Asia are priced. The hike is $1.00 a barrel above the August price, as well as the second consecutive rise in the price of Arab Light loading for Asia. Last month, Saudi oil giant Aramco raised its August-loading Arab Light OSP to Asia by $0.70, lifting the premium to $2.20, which represented the highest level since March. That decision followed steady margins across Asian refining hubs and tightening Russian competition, particularly on the Pacific side. The hike in September was also widely expected by the market, which forecast a $0.90-$1.05 per barrel rise for the Arab Light grade for Asian shipments. Saudi Arabia also lifted the official selling prices (OSPs) for the other grades, Arab Extra Light, Arab Medium, and Arab Heavy, by between $0.70 and $1.20 per barrel above benchmarks. The second consecutive increase in prices suggests that Saudi Arabia expect continued robust demand in its key exporting region, Asia, in the coming weeks. A potential reduction of Russian supply to India, due to the new tariffs, could also boost the demand for Saudi and other Middle Eastern crude shipments to Asia next month and going forward. Earlier this week, Saudi Aramco expressed a very bullish view on demand in the second half of the year, with president and CEO Amin Nasser saying “Market fundamentals remain strong and we anticipate oil demand in the second half of 2025 to be more than two million barrels per day higher than the first half.”

Russian Urals Crude Offered to China at a Discount -Russia’s Urals crude grade, which usually goes from the western Russian ports to India, is now being offered at discounts in China amid uncertainties over Indian purchases of Moscow’s oil following the additional tariffs. Spot Urals shipments going to China would be a significant re-routing of the Russian oil export flows.Prompt Urals cargoes are now being pitched to Chinese buyers, who typically import the Far Eastern Russian grade ESPO. Urals is being offered at a premium of $1.50 over London Brent, down from a $2.50 a barrel premium last week, traders familiar with the trade offers told Bloomberg. China is the top buyer of Russian crude, but most of its imports consist of the ESPO grade shipped from Russia’s port of Kozmino in the Far East. Urals, on the other hand, is being shipped from the ports in western Russia to India and China hasn’t imported much of the grade due to higher shipping costs and longer voyages.However, with the hiked U.S. tariffs on India over its imports of Russian crude, trade flows have started to shift.The biggest Indian state-owned refiners are pulling out of spot purchases of Russian crude for cargoes loading in October, sources familiar with the procurement plans told Bloomberg on Thursday, a day after the U.S. announced an additional 25% tariff on India over its imports of crude from Russia. Indian state-owned refiners have secured on the spot market at least 22 million barrels innon-Russian crude for delivery in September and October, due to the tariff threat.U.S. President Donald Trump signed on Wednesday an executive order enacting an additional 25% tariff on Indian goods, explicitly targeting India’s ongoing imports of Russian crude oil. The overall 50% tariff on Indian goods will take effect 21 days after August 6. Even if China stepped up Urals spot purchases, it is unlikely to that it could absorb all the crude Indian refiners have been importing, analysts told Bloomberg.

Iraq Says Oil Exports via Turkey to Resume Any Minute --Crude oil exports from Iraq’s semi-autonomous region of Kurdistan to a Turkish Mediterranean port will resume either on Wednesday or Thursday, the federal Iraqi Oil Minister, Hayan Abdul Ghani, told state news agencyINA today. Abdul Ghani was visiting the Kirkuk province in Kurdistan, where he confirmed to the Iraqi News Agency (INA) that the export resumption – after a two-year halt – is imminent. The federal government in Baghdad and the regional Kurdish government in Erbil have been squabbling for more than two years over who should be responsible for the oil exports and the subsequent revenue distribution.The federal authorities say Baghdad should have sole discretion in handling oil exports and oil revenues.Oil exports from Kurdistan have now been halted for nearly two and a half years, after they were shut in in March 2023 due to a dispute over who should authorize the Kurdish exports. Despite some breakthroughs in negotiations in recent months, the disagreements have continued. Before the halt to exports, oil supply from Kurdistan averaged more than 400,000 barrels per day (bpd). The federal government and Kurdistan have reached an agreement and the semi-autonomous region will begin handing over crude output to Iraq’s state marketing firm SOMO for export, minister Abdul Ghani said today. “We will resume oil exports via the Turkish Ceyhan pipeline today or tomorrow, with an initial phase of exporting 80,000 barrels per day, following the agreement with the Kurdistan Region,” INA quoted the minister as saying. However, four industry sources with knowledge of the matter told Reuters on Wednesday that there was no sign that the Iraq-Turkey pipeline would resume exports imminently. Iraq has said exports were to resume in the middle of July, but then a wave of drone attacks on oilfields in Kurdistan forced companies to shut in production and plans for the pipeline restart were delayed.

OPEC+ to Raise Oil Production by 547,000 bbl/d in September 2025 -The eight OPEC+ member countries decided to raise oil production by 547,000 barrels per day (bbl/d) in September 2025 from the August 2025 required production level. This adjustment was the result of the steady global economic outlook and current healthy market fundamentals, according to OPEC+ statement. This amount of production is equivalent to four monthly increases, the statement explained. It noted that this adjustment could be paused or reversed, based on the market status. The statement reported that this action will give a chance to the participating countries to accelerate their compensation. In July 2025, OPEC+ approved a production adjustment of 548,000 bbl/d to take effect in August.

OPEC increases oil production to stop the price increase - OPEC raised oil production in October to the highest level since 2016 as higher output, led by the United Arab Emirates and Libya, more than offset a disruption in Iranian supplies due to US sanctions. widow. The 15-member Organization of the Petroleum Exporting Countries produced 33.31 million barrels per day this month, the most for all OPEC countries since December 2016. OPEC agreed in June to pump more oil after pressure from US President Donald Trump to curb rising prices and offset an expected shortfall in Iranian exports. The price of oil hit a four-year high of $86.74 a barrel on Oct. 3, but has since eased to $76 as worries about dwindling supplies faded. "Oil producers appear to be successfully compensating for supply disruptions from Iran and Venezuela," said Carsten Fritsch, analyst at Commerzbank in Frankfurt.

Global Oil Prices Decline Amid OPEC+ Output Boost and U.S. Economic Concerns - Oil prices continued to decline on Monday following a decision by the Organization of the Petroleum Exporting Countries and its allies (OPEC+) to implement another significant production increase in September, amid growing concerns over a slowdown in the U.S. economy, the world’s largest oil consumer.According to Bloomberg News, Brent crude futures fell by 40 cents to settle at $69.27 per barrel, while U.S. West Texas Intermediate (WTI) dropped 37 cents, reaching $66.96 per barrel.On Sunday, OPEC+ agreed to raise oil production by 547,000 barrels per day in September, marking the latest in a series of accelerated output hikes aimed at regaining market share. The group cited economic strength and declining inventories as key reasons behind the move. Analysts at Goldman Sachs project that the actual increase in supply from the eight countries that have ramped up production since March could reach 1.7 million barrels per day, or about two-thirds of the announced increase, due to production cuts by other members who had previously overproduced.

Oil Prices Climb Amid Rising U.S.-Russia Tensions --Oil prices edged higher on Monday, driven by geopolitical tensions between the United States and Russia, despite the decision by the Organization of the Petroleum Exporting Countries and its allies (OPEC+) to increase oil output in September. Brent crude, the international benchmark, rose 0.30% to $69.48 per barrel, while U.S. West Texas Intermediate (WTI) crude climbed 1.86% to $66.77, up from the previous close of $65.55. The market’s reaction was influenced by rising friction between U.S. President Donald Trump and former Russian President Dmitry Medvedev, as well as provocative rhetoric involving nuclear submarines. These developments have reignited concerns over global energy security. On Sunday, OPEC+ announced that eight member countries—Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman—would raise oil production by a combined 547,000 barrels per day (bpd) in September. This increase is part of a gradual rollback of 2.2 million bpd in voluntary output cuts that began in April. The group emphasized that this plan remains flexible and could be paused or reversed based on evolving market conditions. Despite the additional supply, oil prices remained supported by tightening U.S. crude inventories and uncertainty surrounding global political developments. “Tensions between Washington and Moscow are again shaping market sentiment,” said Daniel Hynes, senior commodity strategist at ANZ. “While the supply increase would typically pressure prices, geopolitical risks are keeping bullish sentiment alive for now.” The Energy Information Administration (EIA) recently reported that U.S. crude inventories remain tight, adding to the upward pressure on prices. At the same time, weak U.S. job growth in July—only 73,000 new jobs versus expectations of over 150,000—has renewed expectations that the Federal Reserve may cut interest rates in September to stimulate the economy. Lower interest rates typically weaken the U.S. dollar, making oil cheaper for buyers using other currencies and boosting demand. Meanwhile, President Trump escalated rhetoric against Russia, announcing the deployment of two U.S. nuclear submarines in response to Medvedev’s veiled threat involving Russia’s Cold War-era “Dead Hand” nuclear response system. Medvedev had warned that Western pressure could push the Ukraine conflict into a broader confrontation involving the U.S. In response, Trump shortened a previously announced 50-day deadline for Russia to end the war in Ukraine to just over a week, threatening new sanctions and secondary tariffs. He also took to Truth Social to warn Medvedev to “watch his words,” calling the Russian’s comments “highly provocative” and a threat to international security. “These foolish and inflammatory statements cannot be ignored,” Trump said. “We’ve repositioned our forces just in case.” Analysts warn that while global oil supply is increasing, political instability and military posturing could maintain volatility in the market. “For now, geopolitical risks are balancing out the bearish fundamentals from supply growth,” said Hynes. “But if tensions escalate further, energy markets could see sharper price reactions in the coming weeks.”

Oil falls as OPEC+ output hike adds to oversupply concerns (Reuters) - Oil prices fell to their lowest levels in a week on Monday after OPEC+ agreed to another large output increase in September, adding to oversupply concerns after U.S. data showed lacklustre fuel demand in the top consuming nation.Brent crude futures fell 91 cents, or 1.3%, to settle at $68.76 a barrel, while U.S. West Texas Intermediate crude declined by $1.04, or 1.5%, to close at $66.29 a barrel. Both contracts settled at their lowest in a week, after declining close to 3% on Friday.The Organization of the Petroleum Exporting Countries and its allies, together known as OPEC+, agreed on Sunday to raise oil production by 547,000 barrels per day (bpd) for September.The latest in a series of accelerated output increases aimed at capturing market share was in line with market expectations and marks a full and early reversal of the group's largest tranche of output cuts, amounting to about 2.5 million bpd, or about 2.4% of global demand. While the group cited healthy market fundamentals to back its decision, data released by the U.S. government last week showed theweakest gasoline demand in May, the start of the country's summer driving season, since the COVID-19 pandemic of 2020.The data also showed U.S. oil production at a monthly record high in May, adding to global oversupply concerns.Oil traders are now hedging for the possibility of further supply increases from OPEC+, with potential discussions to unwind a further 1.65 million bpd of cuts at the group's next meeting on September 7 adding pressure to oil prices."OPEC+ retains a substantial amount of spare production capacity, and markets are now watching closely to see whether the group will tap into it," StoneX analyst Alex Hodes said."So far, there are no clear signals that OPEC+ intends to deploy this additional capacity, but the possibility remains on the table," he added.Analysts at Goldman Sachs expect the actual increase in supply from the eight OPEC+ countries that have raised output since March will be 1.7 million bpd because other members have cut output after overproducing.Investors also continued to digest the impact of the latest U.S. tariffs on exports from dozens of trading partners, and remain wary of further U.S. sanctions on Russia.U.S. President Donald Trump has threatened to impose 100% secondary tariffs on Russian crude buyers as he seeks to pressure Moscow into halting its war in Ukraine.Trump on Monday said he will substantially raise tariffs on India over its purchases of Russian oil, after two Indian government sources told Reuters over the weekend that the country will keep buying oil from Moscow despite Trump's threats.That development helped limit oil's losses. About 1.7 million bpd of crude supply will be at risk if Indian refiners stop buying Russian oil, ING analysts said in a note."All eyes in the market will now shift to U.S. President Trump's decision on Russia this Friday and whether he targets buyers of Russian oil with secondary sanctions/tariffs or not,"

Oil prices continue to fall following OPEC+ output raise By -- Oil prices slipped lower Tuesday, continuing recent losses as traders fretted over increased production and deteriorating demand amid increased global economic headwinds.At 08:05 ET (12:05 GMT), Brent oil futures for September fell 0.8% to $68.21 a barrel and West Texas Intermediate crude futures fell 1% to $65.65 a barrel. Both contracts fell by more than 1% on Monday to settle at their lowest in a week.The Organization of Petroleum Exporting Countries and allies, a group known as OPEC+, over the weekend agreed to hike production by 547,000 barrel per day for a second consecutive month. The move was the latest in a series of production hikes by the cartel this year, as it seeks to unwind production cuts over the past three years, while also reclaiming a greater share of the oil market. The OPEC+ hike points to increased supply in the coming months, despite concerns over deteriorating demand as global economic growth cools. Weak nonfarm payrolls data from the U.S. was a major point of concern for oil markets, as they feared a demand slowdown in the world’s biggest fuel consumer. The data added to uncertainty over the U.S. economy, especially as markets feared the impact of U.S. President Donald Trump’s trade tariffs. Dismal purchasing managers index data from top oil importer China also weighed on oil last week, as the country logged a bigger-than-expected contraction in manufacturing activity.Still, oil marked some gains last week after Trump threatened to impose even more severe sanctions on Russian oil in an attempt to coax Moscow to end the country’s long-running war with Ukraine. Trump had recently threatened to tariff Russia’s biggest oil buyers – China and India. The U.S. president last week slapped a 25% tariff on India, and warned of a bigger penalty if the South Asian country did not immediately cease its buying of Russian crude. Trump repeated this threat on Monday. "This puts in the region of 1.7m b/d of supply at risk if Indian refiners stop buying Russian oil," said analysts at ING, in a note. "If there are no other willing buyers for this oil, it would erase the expected surplus through the fourth quarter and 2026. It would also possibly provide OPEC+ the opportunity to start unwinding the next tranche of supply cuts totaling 1.66m b/d." "Less has been said about the flow of Russian oil to China. If the U.S. successfully targets these flows as well, it will leave the market considerably tighter and require OPEC+ to tap even deeper into its spare production capacity."

The Market Weighed the Increasing OPEC+ Output – The crude market on Tuesday continued to trend lower as the market weighed the increasing OPEC+ output and concerns over weaker demand against U.S. President Donald Trump’s threats to India over its Russian oil imports. The market posted a high of $66.39 in overnight trading. However, the market’s gains were limited as President Trump again threatened higher tariffs on India’s exports over its Russian oil purchases. President Trump also stated that declining energy prices could pressure Russia’s President Vladimir Putin to halt its war in Ukraine. The oil market sold off to a low of $65.03 early in the afternoon and later settled in a sideways trading range during the remainder of the session. The September WTI contract settled down $1.13 at $65.16 and the October Brent contract settled down $1.12 at $67.64. The product market also settled in negative territory, with the heating oil market settling down 6.74 cents at $2.2502 and the RB market settling down 1.07 cents at $2.0915. U.S. President Donald Trump said declining energy prices could pressure Russian President Vladimir Putin to halt the war in Ukraine. Last week, U.S. President Donald Trump set a deadline for August 8th for President Putin to move to end the war in Ukraine or face tougher U.S. sanctions. His administration has also been pressuring India and China to stop buying Russian oil. He said that the fall in energy prices was due to increased production, including by the OPEC countries and others, and he expected further declines.The Financial Times reported that U.S. President Donald Trump’s administration is considering additional sanctions on Russia’s ‘shadow fleet’ of oil tankers if President Vladimir Putin does not agree to a ceasefire in Ukraine by Friday.U.S. President Donald Trump said the U.S. was close to a trade deal with China and that he would meet his Chinese counterpart Xi Jinping before the end of the year if an agreement is struck. In regards to India, President Donald Trump said he would increase the tariff charged on imports from India from the current rate of 25% “very substantially” over the next 24 hours, given India’s continued purchases of Russian oil. He did not provide a new tariff rate for India.Russia’s oil data shows that its crude output was slightly over the country’s OPEC+ target in July. Russia’s crude output increased to 9.13 million bpd in July, which is about 27,000 bpd over the required level for the month and the second time this year that output slightly exceeded the country’s target. Chevron and Valero Energy are working to resume a supply agreement of Venezuelan crude to be refined in the United States under an agreement that was on pause, following a new license granted to the U.S. oil major. As Chevron waits for Venezuela’s PDVSA to allocate cargoes for August delivery, Chevron and Valero are negotiating details of their agreement, including resuming a ship-to-ship operation off Aruba. Valero’s cargo transfer off Aruba could restart as soon as this month, following mandatory inspections and vessel contracts in negotiation.

Oil prices fall as OPEC+ output hikes counter Russia disruption concerns (Reuters) - Oil prices slipped on Tuesday as rising OPEC+ supply and worries of weaker global demand countered concern about U.S. President Donald Trump's threats to India over its Russian oil purchases. Brent crude futures settled $1.12, or 1.63%, lower to $67.64 a barrel, while U.S. West Texas Intermediate crude slipped $1.13, or 1.7%, to $65.16. Both benchmarks settled to their lowest in five weeks. The Organization of the Petroleum Exporting Countries and its allies, together known as OPEC+, agreed on Sunday to raise oil production by 547,000 barrels per day for September, a move that will end its most recent output cut earlier than planned. "The significant increase in OPEC supplies is weighing on the market," Also weighing on prices, U.S. services sector activity unexpectedly flatlined in July with little change in orders and a further weakening in employment even as input costs climbed by the most in nearly three years, underscoring the ongoing drag of uncertainty over the Trump administration's tariff policy on businesses. "The market now is going to see if India and China agree to substantially reduce the purchases of Russian crude oil, thereby looking for alternative supplies elsewhere," Lipow said. Trump on Tuesday again threatened higher tariffs on Indian goods over the country's Russian oil purchases over the next 24 hours. Trump also said declining energy prices could pressure Russian President Vladimir Putin to halt the war in Ukraine. New Delhi called Trump's threat "unjustified" and vowed to protect its economic interests, deepening a trade rift between the two countries. Oil's move since Trump's threat indicates that traders are skeptical of a supply disruption happening, John Evans of oil broker PVM said in a report. He questioned whether Trump would risk higher oil prices. "I'd call it a stable market for oil," said Giovanni Staunovo, an analyst at UBS. "Assume this likely continues until we figure out what the U.S. president announces in respect to Russia later this week and how those buyers would react." India is the biggest buyer of seaborne crude from Russia, importing about 1.75 million bpd from January to June this year, up 1% from a year ago, according to data provided to Reuters by trade sources. U.S. crude inventories fell by 4.2 million barrels last week, sources citing American Petroleum Institute figures said on Tuesday. The U.S. Energy Information Administration is due to release weekly U.S. inventory data on Wednesday, respectively,

Oil prices rise as Trump threatens tariffs on India over Russian oil purchases -- Oil prices rose on Wednesday amid supply concerns after US President Donald Trump threatened to impose tariffs on India for buying oil from Russia. International benchmark Brent crude was trading at $67.97 per barrel at 10.44 a.m. local time (0744 GMT), up 0.74% from the previous session's close of $67.47. American benchmark West Texas Intermediate (WTI) crude rose 0.72% to $65.04 per barrel, from $64.57 in the previous session. Trump's special envoy Steve Witkoff arrived in Moscow to discuss the ongoing Russia-Ukraine war, according to the Russian RT channel. Earlier, Kremlin spokesman Dmitry Peskov said a face-to-face meeting between Witkoff and Russian President Vladimir Putin remains a possibility. Witkoff's visit comes as Trump threatens sweeping new sanctions on Russia, including 100% tariffs and secondary measures against its trade partners, if tangible progress is not made toward resolving the conflict. The trip also precedes an Aug. 8 deadline set by Trump for Russia to agree to a ceasefire deal with Ukraine. Earlier, Trump said he would decide on sanctions against Russia based on the outcome of Witkoff's meetings in Russia. On Sunday, Trump wrote on Truth Social that he would impose higher tariffs on India, accusing New Delhi of profiting from the resale of Russian oil. Without providing further details on the scope or timeline of the tariff hike, the US president said: "They don’t care how many people in Ukraine are being killed by the Russian War Machine. Because of this, I will be substantially raising the Tariff paid by India to the USA." Also, data showing a drop in US crude inventories supported the rise in oil prices. US commercial crude oil inventories fell by 4.2 million barrels last week, according to data from the American Petroleum Institute, signaling a recovery in demand in the world's largest oil consumer. The US Energy Information Administration is scheduled to release official inventory data later in the day. Meanwhile, the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, announced on August 3 that eight member countries will raise oil output by a combined 547,000 barrels per day in September compared to August, as part of efforts to regain global market share.

WTI Prices Hold Post-India Decline Despite Big Crude Draw, Production Drop -Oil prices have traded in a volatile range overnight as API reported a big crude draw and then President Trump announced 25% additional tariffs on India due to their oil purchases from Russia. “The pressure on India to displace Russian barrels continues, and there are no signs of either the US or India backing down,” said Keshav Lohiya, founder of consultant Oilytics. All eyes now on the official data to see if it confirms the big crude draw from API... API

• Crude -4.2mm
• Cushing +1.7mm
• Gasoline -900k
• Distillates +1.6mm

DOE

• Crude -3.029mm
• Cushing +453k
• Gasoline -1.323mm
• Distillates-565k

After a big build the prior week, Crude stocks fell last week (confirming the API report). Stocks at the Cushing Hub rose for the 5th straight week while Gasoline inventories fell for the 3rd week in a row... Total US commercial crude stocks fell for the 3rd week in the last 4, even with the addition of 235k barrels to the SPR... US Crude production remains just off record highs even as the rig count continues to tumble... WTI Crude prices held their losses from the India tariff news but remain higher on the day... Graphs Source: Bloomberg Oil has edged lower in recent sessions following a three-month run of gains, with traders weighing headwinds to growth in the US that may hurt energy demand, as well as moves by OPEC+ to roll back output curbs. Last weekend, the alliance agreed to hike production again in September, boosting concerns that global supplies will run ahead of consumption this half.

Oil Prices Slip Amid Sanctions Uncertainty, Tariff Hikes, and Geopolitical Tensions -The oil market posted an outside trading day on Wednesday and ended the session lower after U.S. Secretary of State Marco Rubio indicated there would be an announcement later on Wednesday on whether sanctions against Russia over its war in Ukraine would proceed this week. The market traded sideways in overnight trading as the market continued to focus on U.S. President Donald Trump threatening India with higher tariffs over its Russian crude purchases. The market rallied to a high of $66.75 following the news that President Trump signed an executive order raising U.S. tariffs on imports from India to 50% from 25% because of India’s purchases of Russian oil. However, prices seesawed after the U.S. Secretary of State raised questions about whether potential Russian sanctions will proceed. It was also despite a larger than expected draw in crude stocks of over 3 million barrels in the week ending August 1st. The oil market extended its losses to over 90 cents as it posted a low of $64.21 ahead of the close. The September WTI contract settled down 81 cents at $64.35 and continued to trend lower, posting a new low of $63.64 in the post settlement period on news that President Trump plans to meet with Russia’s President Vladimir Putin as early as next week and then plans to meet with both Russia’s President and Ukraine’s President Volodymyr Zelenskiy. The October Brent contract settled down 75 cents at $66.89. The product markets ended the session in mixed territory, with the heating oil market settling up 1.26 cents at $2.2628 and the RB market settling down 11 points at $2.0904. U.S. envoy Steve Witkoff held talks with Russian President Vladimir Putin in the Kremlin on Wednesday, two days before the expiry of a deadline set by U.S. President Donald Trump for Russia to agree to peace in Ukraine or face new sanctions. Kremlin foreign policy aide, Yuri Ushakov, said talks between Russian President Vladimir Putin and U.S. special envoy Steve Witkoff were “useful and constructive”. He said that the two sides discussed the conflict in Ukraine and the potential for improving U.S.-Russia relations. He said Moscow had received certain “signals” from U.S. President Donald Trump and had sent messages in return. Later, President Trump said his special envoy Steve Witkoff had made “great progress” in his meeting with Russian President Vladimir Putin. Earlier, Bloomberg and independent Russian news outlet The Bell reported that the Kremlin might propose a moratorium on air strikes by Russia and Ukraine, an idea that was mentioned last week by Belarusian President Alexander Lukashenko during a meeting with Putin. Iraq’s Oil Minister, Hayan Abdel-Ghani said on Wednesday that oil exports through Turkey’s Ceyhan pipeline will resume later today or Thursday after a two-year hiatus. He said an agreement had been concluded with the Kurdistan Regional Government to resume the oil exports via the pipeline. He said that “80,000 barrels per day will be exported via Turkey’s Ceyhan pipeline through SOMO.” Sources said there was no sign of an imminent restart to oil exports through the pipeline. Saudi Arabia has raised the official selling price for its flagship Arab light crude it sells to Asia in September to the Oman/Dubai average plus $3.20/barrel above the Oman/Dubai average, up $1 on the month. The official selling price of its Arab Light crude bound for the U.S. was set at ASCI plus $4.20/barrel and the price of its Arab Light crude bound for Northwest Europe was set at ICE Brent plus $3.35/barrel.

Oil prices rise by 1% after five days of decline - Komersant Ukrainian -On Thursday, oil prices rose by 1%, breaking a five-day losing streak, due to signs of stable demand in the United States, the world’s largest oil consumer. At the same time, uncertainty over the macroeconomic impact of US tariffs limited growth, "Komersant Ukrainian" reports citing Reuters. Brent crude oil futures rose 62 cents (0.9%) to $67.51 per barrel as of 06:42 Kyiv time. U.S. WTI crude rose 68 cents (1.1%) to $65.03 per barrel.On Wednesday, both benchmarks fell by about 1% to their lowest levels in eight weeks after US President Donald Trump’ s statements about progress in negotiations with Moscow.According to a White House official, Trump may meet with Russian President Putin next week. At the same time, the United States continues to prepare for the introduction of secondary sanctions, possibly against China, to force Moscow to end the war in Ukraine.Russia is the second largest producer of crude oil after the United States. Oil markets were supported by a decline in US crude stockpiles last week. The Energy Information Administration reported that U.S. crude oil inventories fell by 3 million barrels to 423.7 million barrels in the week ended August 1. This exceeded the forecasts of Reuters analysts, who expected a decrease of 591 thousand barrels.Stocks declined due to rising U.S. oil exports and increased refinery utilization. Capacity utilization on the Gulf Coast – the country’s largest oil refining region – and the West Coast has reached its highest level since 2023.JP Morgan analysts noted that global oil demand averaged 104.7 million barrels per day by August 5, which corresponds to an annual increase of 300 thousand barrels per day, but 90 thousand barrels below their forecast for the month. “Despite a somewhat weaker start to the month than we expected, high-frequency oil demand indicators suggest that global oil consumption is likely to improve steadily over the coming weeks,” the analysts said, expecting consumption to rise thanks to aviation fuel and petrochemical feedstocks. However, global macroeconomic uncertainty after the US imposed new tariffs on Indian goods has limited price increases. On Wednesday, Trump imposed an additional 25% duty on Indian goods, citing continued imports of Russian oil. The new import tax will take effect on August 28.“Although these new duties are set to take effect in three weeks, markets are already pricing in further impacts on trade flows, emerging market demand, and broader energy diplomacy,” said Priyanka Sachdeva, senior analyst at Phillip Nova.Trump also said that he may announce additional tariffs on China, similar to the 25% tariffs previously imposed on India over its purchases of Russian oil. “The tariffs are likely to hurt the global economy, which will ultimately affect fuel demand,” Sachdeva said, adding that markets are not taking into account the fact that the impact on the US economy and inflation will be much greater.

3 Million Barrel Draw in Crude Stocks Reported by the EIA - Following an outside trading session on Wednesday, the oil market on Thursday posted an inside trading day amid the expectation of a diplomatic end to the war in Ukraine. In overnight trading, the crude market retraced some of Wednesday’s losses as the market focused on the 3 million barrel draw in crude stocks reported by the EIA, Saudi Arabia raising its crude prices for crude bound for Asia in September and a year on year increase in China’s crude imports in July. The market posted a high of $65.11 early Thursday morning. However, the market erased its earlier gains and sold off after the Kremlin confirmed that Russia’s President Vladimir Putin would meet U.S. President Donald Trump in the coming days raising the prospects of a breakthrough the end to end the war in Ukraine. The market posted a low of $63.76 ahead of the close. The September WTI contract settled down 47 cents at $63.88 and the October Brent contract settled down 46 cents at $66.43. The product market also settled in mixed territory, with the heating oil market settling up 4 ticks at $2.2668 and the RB market settling down 1.29 cents at $2.0775.Kremlin aide Yuri Ushakov said Russia’s President Vladimir Putin and U.S. President Donald Trump will meet in the coming days, in what would be the first summit between leaders of the two countries since 2021.Separately, Ukrainian President Volodymyr Zelenskiy spoke on Thursday with the leaders of France and Germany and with European Commission President Ursula von der Leyen, and said Europe must be involved in the peace process.U.S. President Donald Trump said he could announce further tariffs on China similar to the 25% duties announced on India over its purchases of Russian oil, depending on what happens. On Wednesday, President Trump imposed an additional 25% tariff on Indian goods, on top of a 25% tariff announced previously, citing its continued purchases of Russian oil. The White House order did not mention China, which is another big purchaser of Russian oil. Last week, U.S. Treasury Secretary Scott Bessent warned China that it could also face new tariffs if it continued buying Russian oil.U.S. crude oil exports eased in July to the lowest levels in nearly four years as low domestic supplies increased prices for West Texas Intermediate crude futures relative to the global benchmark Brent and hurt demand abroad. According to data from ship tracking firm Kpler, crude exports fell to about 3.1 million bpd in July, the lowest since October 2021.According to the EIA, exports averaged 3.2 million bpd over the last five weeks, compared with 3.6 million bpd in June. Kpler data reported that exports of U.S. crude to Asia fell to 862,000 bpd in July, the lowest since January 2019, and well below the three-month average of 1.1 million bpd. Meanwhile, exports to Europe fell 14% to 1.6 million bpd from June. According to shipping data and sources, at least three vessels that Chevron had used to transport Venezuelan crude to the U.S. are navigating towards the country’s water, with exports expected to resume later this month following a new U.S. license.

Oil falls on announcement of Trump-Putin meeting (Reuters) - Oil prices dropped on Thursday for a sixth consecutive session after the Kremlin said Russian President Vladimir Putin would meet U.S. President Donald Trump in the coming days, raising expectations for a diplomatic end to the war in Ukraine. Brent crude futures settled down 46 cents, or 0.7%, at $66.43 a barrel. U.S. West Texas Intermediate crude fell 47 cents, or 0.7%, to $63.88. Both benchmarks slid about 1% on Wednesday, touching their lowest in eight weeks, after comments from Trump on progress in talks with Moscow. Kremlin aide Yuri Ushakov said on Thursday that Trump and Putin would meet in the coming days in what would be the first summit between leaders of the two countries since 2021. A White House official had previously said that Trump could meet Putin as soon as next week. The U.S., however, continued preparations to impose secondary sanctions on major buyers of Russian energy products to try to pressure Moscow to end the war in Ukraine. Russia is the world's second-biggest producer of oil behind the United States. The U.S. ordered a new set of tariffs on Indian goods. Trump imposed an additional 25% tariff on Indian goods on Wednesday, citing the country's continued imports of Russian oil. The new import tax will take effect on August 28. India is the second-biggest buyer of Russian oil after China. Trump also said he could announce further tariffs on China. Oil prices have dropped over 9% over the last week. "Additional increases in OPEC production remain as the overriding negative consideration while continued tariff uncertainties are still providing the main argument favoring lower price levels," analysts at energy advisory firm Ritterbusch and Associates said in a note. The Organization of the Petroleum Exporting Countries and its allies including Russia, together known as OPEC+, on Sunday to raise oil production by 547,000 barrels per day for September. Thursday's selling was limited by a crude stockpile drawdown in the U.S., higher Saudi prices for Asia and solid Chinese crude imports in July, said UBS analyst Giovanni Staunovo. The Energy Information Administration said on Wednesday that U.S. crude oil stockpiles fell by 3 million barrels to 423.7 million barrels in the week ended August 1, exceeding an expected decline of 591,000 barrels in a Reuters poll of analysts. In China, crude oil imports in July fell by 5.4% from June but were still up 11.5% year-on-year, with analysts expecting refining activity to remain firm in the near term. Saudi Arabia, the world's biggest oil exporter, on Wednesday raised its September crude oil prices for Asian buyers, the second monthly rise in a row, on tight supply and robust demand.

Oil set for steepest weekly losses since June on tariffs, Trump-Putin talks -- Oil prices fell on Friday, heading for their steepest weekly losses since late June as the latest round of U.S. tariffs weighed on the economic outlook and likely upcoming Trump-Putin talks raised the prospect of an ease in sanctions on Russia. Brent crude futures were down 51 cents to $65.92 a barrel at 0630 GMT, on track to decline more than 4% week-over-week. U.S. West Texas Intermediate crude futures were down 57 cents, or 0.89%, to $63.31 a barrel, set to fall nearly 6% on a weekly basis. Higher U.S. tariffs against a host of trade partners went into effect on Thursday. The tariffs raised concerns of weaker economic activity, which would hit demand for crude oil, ANZ Bank analysts said in a note, and came against the backdrop of an already weaker-than-expected U.S. labour market. A Kremlin announcement on Thursday that Vladimir Putin and Donald Trump would meet in the coming days meanwhile raised expectations of a diplomatic end to the war in Ukraine. That is widely expected to result in eased sanctions on Russia, which could unleash more barrels onto an oversupplied market. Trump earlier this week had threatened to hike tariffs on India if it kept buying Russian oil, which the market viewed as putting further pressure on Russia to reach a deal with the U.S., independent market analyst Tina Teng told Reuters. Trump on Wednesday also said China, the largest buyer of Russian crude oil, could be hit with tariffs similar to those being levied against Indian imports. Oil prices were already reeling from the OPEC+ group's decision last weekend to fully unwind its largest tranche of output cuts in September, months ahead of target. At Thursday's close, WTI futures had dropped for six consecutive sessions, matching a declining streak last recorded in December 2023. If prices settle lower on Friday, it will be the longest streak since August 2021.

Oil ticks down on reports of US-Russia deal - Oil prices edged lower on Friday and were poised for the steepest weekly losses since late June on reports of a deal between U.S. and Russia, and a tariff-hit economic outlook. Brent crude futures were down 7 cents at $66.36 a barrel by 11:18 a.m ET (1518 GMT). U.S. West Texas Intermediate crude futures eased 21 cents, or 0.3%, to $63.67. Brent was on track to fall 4.8% over the week, while WTI was set to finish 5.5% lower than last Friday’s close. Washington and Moscow are aiming to reach a deal to halt the war in Ukraine that would lock in Russia’s occupation of territory seized during its military invasion, Bloomberg News reported on Friday. U.S. and Russian officials are working towards an agreement on territories for a planned summit meeting between U.S. President Donald Trump and his Russian counterpart Vladimir Putin as early as next week, the report said, citing people familiar with the matter. The potential meeting raises expectations of a diplomatic end to the war in Ukraine, which could lead to eased sanctions on Russia, and come as trade tensions have been on the rise between Trump and buyers of Russian oil. This week, Trump threatened to increase tariffs on India if it kept buying Russian oil. Trump also said China, the largest buyer of Russian crude, could be hit with tariffs similar to those levied against Indian imports. Meanwhile, higher U.S. tariffs on imports from a host of trade partners went into effect on Thursday, raising concern over economic activity and demand for crude oil, ANZ Bank analysts said in a note. “Various non-oil considerations are at play, including fears over the impact of tariffs and the headlines flying over the last few days regarding a Trump and Putin meeting in the near term,” said Neil Crosby, an energy market analyst at Sparta Commodities. “Headline risk is particularly strong currently with flip-flopping regarding who will turn up to a meeting over Ukraine and under what circumstances.” Trump on Thursday also said he will nominate Council of Economic Advisers Chairman Stephen Miran to serve out the final few months of a newly vacant seat at the Federal Reserve, fuelling expectations of a more dovish policy ahead. Lower interest rates reduce consumer borrowing costs and can boost economic growth and demand for oil. The dollar firmed on Friday but headed for a weekly fall. A stronger dollar hurts demand for dollar-denominated crude from foreign buyers.

Oil steadies on reports of US-Russia deal, ends week about 5% lower (Reuters) - Oil held steady on Friday as markets awaited a meeting in coming days between Russian president Vladimir Putin and his U.S. counterpart Donald Trump, but prices marked their steepest weekly losses since late June on a tariff-hit economic outlook. Brent crude futures settled 16 cents, or 0.2%, higher at $66.59 a barrel, while U.S. West Texas Intermediate crude futures were unchanged at $63.88. Brent fell 4.4% over the week, while WTI finished 5.1% lower than last Friday's close. U.S. crude fell over 1% earlier in the session after Bloomberg News reported that Washington and Moscow were aiming to reach a deal to halt the war in Ukraine that would lock in Russia's occupation of territory seized during its military invasion. U.S. and Russian officials are working towards an agreement on territories for a planned summit meeting between Trump and Putin as early as next week, the report said, citing people familiar with the matter. The potential meeting raises expectations of a diplomatic end to the war in Ukraine, which could lead to eased sanctions on Russia, and comes as trade tensions have been on the rise between Trump and buyers of Russian oil. This week, Trump threatened to increase tariffs on India if it kept purchasing Russian oil. Trump also said China, the largest buyer of Russian crude, could be hit with tariffs similar to those levied against Indian imports. "Various non-oil considerations are at play, including fears over the impact of tariffs and the headlines flying over the last few days regarding a Trump and Putin meeting in the near term," "Headline risk is particularly strong currently with flip-flopping regarding who will turn up to a meeting over Ukraine and under what circumstances." Higher U.S. tariffs on imports from a host of trade partners went into effect on Thursday, raising concern over economic activity and demand for crude oil, ANZ Bank analysts said in a note. OPEC+ agreed on Sunday to raise oil production by 547,000 barrels per day for September, the latest in a series of accelerated output hikes to regain market share, adding to supply. The U.S. oil rig count, an indicator of future supply, rose by one to 411 this week. "Bearish sentiment has returned this week as key OPEC+ members announced a second 'quadruple' output unwind for September (thus fully restoring their extra voluntary cuts of 2.2 mmb/d) and President Trump's sweeping import tariffs took effect against most countries," Trump on Thursday also said he will nominate Council of Economic Advisers Chairman Stephen Miran to serve out the final few months of a newly vacant seat at the Federal Reserve, fuelling expectations of a more dovish policy ahead. Lower interest rates reduce consumer borrowing costs and can boost economic growth and demand for oil. The dollar firmed on Friday but headed for a weekly fall. A stronger dollar hurts demand for dollar-denominated crude from foreign buyers. Money managers cut their net long U.S. crude futures and options positions in the week to August 5, the U.S. Commodity Futures Trading Commission (CFTC) said.

Russia Strikes Key Ukraine Gas Interconnector on Romania Border, Disrupts LNG Imports - (Reuters) — Russia has struck a gas pumping station in Ukraine's southern Odesa region used in a scheme to import LNG from the U.S. and Azerbaijan, undermining preparations for winter, Ukrainian officials said on Aug. 6. President Volodymyr Zelenskiy said the gas infrastructure had been attacked in the village of Novosilske on the border with Romania, where the Orlovka interconnector, through which Ukraine receives gas via the Transbalkan route, is located. "This was a deliberate blow to our preparations for the heating season, absolutely cynical, like every Russian blow to the energy sector," Zelenskiy said on Telegram. Reuters could not independently confirm details of the attack. Russia's TASS news agency quoted the Russian defense ministry as confirming the attack on Ukraine's gas transport system. Ukraine has faced a serious gas shortage since a series of devastating Russian missile strikes this year, which significantly reduced domestic production. Ukraine's energy ministry said in a statement that the attacked station was used as part of a route connecting Greek LNG terminals with Ukrainian gas storage facilities via the Transbalkan gas pipeline. It noted that it had already been used to deliver LNG from the United States and test volumes of Azerbaijani gas. "This is a Russian strike purely against civilian infrastructure, deliberately targeting the energy sector and, at the same time, relations with Azerbaijan, the United States and partners in Europe, as well as the normal lives of Ukrainians and all Europeans," the ministry said. Azerbaijani President Ilham Aliyev will meet U.S. President Donald Trump in Washington this week. Russia has repeatedly denied targeting civilians since launching its full-scale invasion of Ukraine more than three years ago, but says infrastructure such as energy systems are legitimate targets because they help Ukraine's war effort. Last month, Ukraine pumped a small test volume of Azerbaijani gas through the Transbalkan route for the first time and announced plans to significantly increase gas imports from Azerbaijan's SOCAR energy firm. Kyiv has called the route "extremely important", as it provides access to liquefied gas from Greek and Turkish LNG terminals, Azerbaijani and Romanian pipeline gas and, potentially, to Bulgarian offshore gas.

NATO Member Scrambles Jets As Russia Destroys Gas Facility Key To Imports From US, Azerbaijan -Russia carried out an overnight drone strike on a crucial gas pumping and metering facility in Ukraine, triggering a large fire at the site, Ukrainian officials reported Wednesday. Importantly the station is part of an LNG imports scheme from the US and Azerbaijan. According to Ukraine’s energy ministry, a wave of drones targeted a metering station located near the Romania-Ukraine border, identified as part of the Transbalkan pipeline system.NATO member Romania scrambled fighter jets in response to the large attack right on its border, Fox News reports: Romania was forced to scramble F-16 jets after Russia carried out a strike just half a mile from the NATO nation's territory. The country's Ministry of National Defense (MApN) confirmed in a post on X that Russia carried out a drone attack near its border."On the night of August 5-6, the Russian forces launched a massive drone attack on the civilian infrastructure in the Ismail area, Ukraine, in the vicinity of the border with Romania," Romania's defense ministry wrote in a post on X."The radar systems of the MApN detected air targets in Ukrainian space, close to Tulcea County. At 1:10a.m., the population in the north of the county was warned via RO-Alert," the ministry added, in reference to Romania’s official emergency warning system.According to more details via Fox:The defense ministry stated that two F-16 fighter jets took off "to monitor the national airspace," but no "unauthorized intrusions" were detected. The ministry said it would carry out checks in the area and keep NATO allies updated in real time.The drones reportedly struck oil and gas pipelines at the Orlivka plant in Odesa, Ukraine. Bright orange flames and plumes of smoke were visible across the Danube River.Russia’s defense ministry acknowledged the intentional attack on Ukraine's gas infrastructure, coming amid a renewed exchange of attacks by both Russia and Ukraine on energy and transport sites generally. So after six months, even the so-called 'energy ceasefire' is clearly off.Ukraine is busy making great efforts to stockpile gas ahead of what's typically a brutally cold winter season. President Zelensky called it deliberate in terms of timing."This was a deliberate and utterly cynical attempt to disrupt our preparations for the heating season," Zelensky said in a social media post on Wednesday. The Transbalkan pipeline had during the Soviet era and after at one time transported Russian gas through Ukraine to several Balkan and Eastern European countries - including Romania, Moldova, Bulgaria, Greece, and Turkey. But Russia ceased using the route in late 2019 after the launch of the TurkStream pipeline beneath the Black Sea. Now the flow direction is being reversed to get gas from external countries into Ukraine.According to Reuters' reporting of the fresh attack: Dozens of Russian drones attacked a gas pumping station in southern Ukraine, part of an LNG imports scheme from the U.S. and Azerbaijan, Ukraine's energy ministry said on Wednesday.The ministry described the strike on the station near the Ukraine-Romania border as directed "purely against civilian infrastructure" and targeting relations with Azerbaijan, the U.S. and European partners.

NATO Countries To Provide Ukraine With Over $1 Billion in US Military Equipment Under New Scheme - - The Netherlands announced on Monday that it would be providing Ukraine with 500 million euros ($578 million) worth of US military equipment, making it the first country to participate in a new NATO scheme to continue fueling the proxy war.“Ukraine needs more air defence and ammunition now,” Dutch Defense Minister Ruben Brekelmanswrote on X on Monday. “As the first NATO Ally, the Netherlands will deliver a €500 million package of US weapon systems (incl. Patriot parts and missiles).”The following day, NATO said in a statement that Sweden, Norway, and Denmark have agreed to finance a $500 million weapons package sourced from the US for Ukraine under the new scheme, which NATO is calling the NATO Prioritised Ukraine Requirements List (PURL) initiative.“The announcement swiftly followed the unveiling of the first package of artillery and ammunition worth more than $500m on Monday (4 August 2025) funded by the Netherlands,” NATO said. “Together, the contributions are valued at over $1bn and represent the first two tranches of regular deliveries to Ukraine under the Alliance’s newly-launched PURL initiative.”President Trump and NATO Secretary-General Mark Rutte announced last month a plan to flood “billions of dollars” worth of US weapons into Ukraine that involves NATO countries purchasing the US equipment. The scheme will be another boon for US weapons makers, who have seen huge profits from the war in Ukraine. Matthew Whitaker, the US ambassador to NATO, told Reuters on Monday that the US expects more countries to announce weapons packages in the coming weeks. “The Dutch are just the first of many. You’re going to see a series of announcements in the coming weeks,” he said.

Russia Says It's No Longer Bound by Moratorium on Deployment of INF Missiles -The Russian Foreign Ministry said on Monday that Moscow was no longer bound by a self-imposed moratorium on the deployment of missiles that were previously banned by the Intermediate-Range Nuclear Forces (INF) Treaty, which the US withdrew from in 2019.The INF prohibited land-based missile systems with a range between 310 and 3,400 miles. Since pulling out of the treaty, the US has developed a missile launcher, known as a Typhon, that can fire nuclear-capable Tomahawk missiles, which have a range of over 1,000 miles. The US has deployed the Typhon, also known as the Mid-Range Capability System, to the Philippines and briefly to Denmark for drills.The US has also announced plans to deploy missile systems previously banned by the INF to Germany by 2026, and Berlin recently requested to procure its own Typhon system from the US.The Russian Foreign Ministry said in its statement: “With our repeated warnings on that matter having gone ignored and the situation developing towards the de facto deployment of US-made intermediate-and shorter-range ground-based missiles in Europe and the Asia-Pacific region, the Russian Foreign Ministry has to declare that any conditions for the preservation of a unilateral moratorium on the deployment of similar arms no longer exist, and it is further authorized to state that the Russian Federation does not consider itself bound by relevant self-restrictions approved earlier.”The ministry added that the US deployment of INF missiles has led to the “formation and buildup of destabilizing missile potentials in regions adjacent to Russia, creating a direct, strategic threat to the security of our country.” It said that decisions on Moscow’s response would be made by “Russia’s leadership based on an interdepartmental analysis of the scale of deployment of US and other Western ground-based INF missiles.”

Saudi Arabia condemns Israel's decision to occupy Gaza City - Saudi Arabia condemned the Israeli government’s decision to greenlight a military occupation of Gaza City on Friday, calling on the international community to help halt the Israeli military’s “aggressions.”“The Kingdom of Saudi Arabia condemns in the strongest possible terms the decision of the Israeli occupation authorities to occupy the Gaza Strip and categorically condemns their persistence in committing crimes of starvation, brutal practices, and ethnic cleansing against the Palestinian people,” the Ministry of Foreign Affairs of Saudi Arabia said.. Israel confirmed Friday morning that it would look to occupy Gaza City, which at one point had around 700,000 residents, but sustained extensive damage from Israeli raids. Jerusalem said that ending the Israel-Hamas war would hinge on releasing some 20 hostages in the war-torn enclave and that an “alternative civil administration that is neither Hamas nor the Palestinian Authority” should be established in Gaza. The decision to move forward with the military operation comes as the international outcry about the humanitarian situation in Gaza has continued, with reports of people suffering from malnutrition. Netanyahu’s decision to proceed on Friday was met with backlash from some European leaders, including British Prime Minister Keir Starmer. Germany said it would pause arms exports that could be used in the Gaza Strip. Saudi Arabia said Friday that the “continued failure” of the international community, along with the United Nations Security Council, to deter Israel from moving forward threatens regional and global peace. Riyadh called for a two-state solution between and that an independent Palestinian state be established with 1967 borders, with the capital being East Jerusalem.

Israeli Forces Kill 135 in Gaza Over 24 Hours, Including 87 People Attempting To Get Aid - Gaza’s Health Ministry said on Wednesday that Israeli forces killed 135 Palestinians and wounded 771 over the previous 24-hour period as US-backed Israeli attacks and IDF massacres of desperate people seeking aid continue.The Health Ministry said another three bodies were recovered from the rubble. “A number of victims are still under the rubble and on the streets, where ambulance and civil defense crews are unable to reach them at this time,” the ministry wrote on Telegram.Gaza hospitals also recorded five more starvation deaths due to the Israeli blockade. “This brings the total number of victims of famine and malnutrition to 193, including 96 children,” the ministry said.The majority of the violent deaths, 87, were among Palestinians attempting to reach aid, and another 570 aid seekers were injured. The ministry said that since the US-backed Gaza Humanitarian Foundation (GHF) began operating in Gaza, at least 1,655 aid seekers have been killed and 11,800 injured.According to The Associated Press, at least 28 people were killed on Wednesday in the Morag Corridor, an Israeli-controlled strip of land that separates Rafah and Khan Younis in southern Gaza, where UN aid convoys have been overwhelmed by starving Palestinians for food. Another 10 people were killed near GHF sites.