The United States last year added the most pipeline takeaway capacity from natural gas-producing regions since 2021. This year, more gas pipelines could be announced or revived, with the support of the Trump Administration, in what could be a shot in the arm for U.S. natural gas producers and a step toward reducing energy costs for consumers, especially in the Northeast.
Oil prices rallied on Wednesday after U.S. government data showed a draw in fuel inventories. Brent crude for May delivery gained 1.6% to trade at $71.98 per barrel at 12.30 pm ET while the comparable WTI contract climbed 1.8% to change hands at for U.S. government data showed that crude stocks rose by 1.7 million barrels last week to 437 million barrels, significantly higher than the Wall Street consensus of a 512,000-barrel build. However, distillate inventories, including diesel and heating oil, fell by 2.8 million barrels to 114.8 million barrels, exceeding expectations for a 300,000-barrel drop.
The newly constituted Board of Directors of the US Export-Import Bank has approved the direct loan of up to USD 4.7 billion to support engineering, procurement and construction for the Mozambique LNG project in Mozambique’s Cabo Delgado province, the bank announced on Wednesday.
the operator of the project, had indicated earlier this year it expected the loan would be green-lighted, and it is also expecting the resolution of a commitment of up to USD 1 billion from the UK.
US offshore services provider Edison Chouest Offshore has acquired Norwegian ROV systems manufacturer Kystdesign, Chouest announced on Wednesday.
Odfjell Technology, an integrated supplier of well services technology and engineering solutions, has successfully deployed a 36” x 38” conductor pipe in Kuwait’s first offshore Jurassic well.
Baker Hughes announced Thursday a major, multi-year fully integrated completions systems contract with Petrobras. The award followed an open tender and will leverage Baker Hughes’ innovative completions technology portfolio and extensive experience in Brazil to optimize production across multiple deepwater fields.
The reductions pledged by countries including Kazakhstan, Iraq and Russia should — in theory — offset the group’s plans to revive halted output through to the end of next year, according to a statement on OPEC’s website.
A ceasefire to the Russia-Ukraine war could be bearish for oil prices if Trump pushes for the removal of sanctions on the Russian energy industry, Tyler Richey, co-editor at Sevens Report Research, told MarketWatch. Geopolitical stability may also “largely extinguish the still simmering ‘fear bid’ in the oil market.” Sanctions by the Biden administration roughly tripled the number of directly sanctioned Russian crude oil tankers, enough to affect around 900,000 barrels per day (bpd). Whereas it’s highly likely that Russia will try to circumvent the sanctions by employing even more shadow fleet tankers and ship-to-ship transfers, StanChart sees 500,000 bpd of displacements over the next six months.
The Biden administration had indeed introduced a lot of red tape into the energy industry that has made it more difficult for companies to expand their operations—yet they still managed to do it and bring oil and gas production to new highs. Price, however, seems to remain a rather sensitive subject. The industry has not hidden its reluctance to drill at will just because Trump is president; instead, it has indicated that it will stick to its new focus on fiscal discipline and making shareholders happy. Indeed, the industry’s agenda here is at odds with the president’s, since his involves cheaper energy.
Although the 570,000-bpd pipeline did begin full operation in 2021, it remained the target of relentless attacks from the environmentalist camp who cited the risk of oil spills and violation of Tribal lands as reasons for their insistence to shut down the infrastructure. The attacks led to additional environmental reviews into the safety of the pipeline and its legality. The lawsuit against Greenpeace began in 2017 when Energy Transfer took the matter to a federal court. That court dismissed the case, so Energy Transfer went to a North Dakota court, which took three weeks to rule on the issue.