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GIF Energy Tracker

GIF Energy Tracker

August 14, 2020

US seizes multimillion-dollar Iranian fuel shipment bound for Venezuela — DOJ says largest ever

With the assistance of foreign partners, the U.S. Justice Department announced it had seized 1.1 million barrels of Iranian petroleum from four foreign-flagged oil tankers bound for Venezuela. The two states have helped each other circumnavigate U.S. sanctions in the past, and in June, five Iranian oil tankers brought almost 1.5 million barrels per day to Venezuela, whose 1.3 million bpd refining network has almost completely broken down.

August 13, 2020

International Energy Agency forecasts lower oil demand due to surging COVID-19 cases and stalling mobility

After the world’s largest oil and gas firms reported historic Q2 losses, the International Energy Agency lowered its global oil demand forecasts to 91.1 million barrels per day, an 8.1 million bpd year-on-year decrease. The revision is 140,000 bpd lower than its most recent projection, and 2021 global estimates were revised down by 240,000 bpd to 97.1 million bpd.

August 13, 2020

Japan offers $330 million for a mega solar power plant in Qatar

On August 13, Japan confirmed that the state-backed Japan Bank for International Cooperation and Mizuho Bank will offer $330 million USD for a mega solar power plant in western Qatar. The solar power plant is expected to be operational in April, 2022.

August 12, 2020

Qatar Petroleum acquires stake in Angola drilling operation

Qatar Petroleum acquired a 30% stake in Angola’s Block 48, with drilling scheduled for 2020-2021. This marks Qatar’s first oil venture in Angola, aided by Angola’s oil ministry’s revision of the fiscal terms of its contracts to incentivize international oil companies to revive the country’s oil industry.

August 10, 2020

OPEC+ compliance with oil cuts dips in July

OPEC+ members’ production cuts compliance dropped by 10% in July, as the coalition gears up to hike up quotas this month in anticipation of higher global oil demand. However, some countries that overproduced their quotas such as Iraq, have pledged to compensation cuts to offset the imbalance.

August 9, 2020

Saudi Aramco reduces capital expenditure in response to plummeting profits

Due to the challenging conditions of the global market, Saudi Aramco has reduced its capital expenditure to $6.2 billion in its second quarter- less than half of its first quarter capex ($13.6 billion). This course of action comes at the heel of a slump in demand caused by the pandemic, which plummeted profits by 73% in the second quarter.

August 9, 2020

Saudi Aramco profits drop 50% for first half of year

Saudi Aramco reported a 50% decrease in net income for the first half of its financial year, dropping from $46.9 billion in the first half of 2019 to $23.2 billion through June 2020. CEO Amin Nasser reported on an earnings call — the first earning press conference held by the oil company since going public in December — that “The worst is likely behind us. We remain fairly positive about the long term demand for oil.”

August 9, 2020

Iraq Oil Output Cut Further

On August 9, oil prices rose in response to Iraq announcing it would cut its oil output by 400,000 more barrels per day in August and September, coming into compliance with cuts agreed upon by OPEC+. The U.S. Congress also sent signals a stimulus deal is on the horizon, raising hopes further of economic recovery.


August 7, 2020

Saudi and Iraqi ministers discuss OPEC+ compliance

In a joint statement, Saudi Energy minister Prince Abdulaziz bin Salman and Iraqi oil minister Ihsan Ismaael reaffirmed their commitment towards meeting production cuts and the extra cuts under the compensation regime. Iraq has pledged to make additional cuts of 400,000 b/d of its August and September quotas to compensate for its overproduction in May, June and July, bringing its effective quota to  3.404 million b/d.

August 6, 2020

CEO of Saudi Aramco offshoot warns about oil demand after weak Q2

Saudi Petrochemical giant SABIC, partly owned by Aramco, posted its third quarterly loss as prices dropped by 27% YoY in the second quarter. CEO Yousef al-Benyan said improvement will depend on how the uncertainty of a second or third wave of COVID-19 will drive demand.

August 6, 2020

Iraq Will Further Cut Oil Output To Compensate For Overproduction

On August 6, Iraq announced it will cut its oil output by an extra 400,000 barrels per day to compensate for its overproduction over the past three months. The decision will bring Iraq closer to compliance with collective production cuts agreed upon by OPEC+.

August 6, 2020

U.S. Exports Crude Oil To Saudi Arabia For First Time In Over A Decade

In June, U.S. Census Bureau data showed the U.S. shipped an unusually small amount of crude oil, about 550,000 barrels, to Saudi Arabia for the first time since a 1,000-barrel shipment in 2002. The U.S. Energy Information Administration has no record of any U.S. crude oil exports to Saudi Arabia.

August 3, 2020

Russia Raising Oil Output As OPEC+ Agreement Loosens

On August 1 and 2, Russia raised oil and gas condensate output to 9.8 million barrels per day, up from 9.37 million bpd in July, as production cuts under the OPEC+ deal eased. From August 1, OPEC+ agreed to lower output cuts from 9.7 million barrels per day (bpd) from 7.7 million bpd thus allowing for more production.

August 1, 2020

UAE announces success of first nuclear reactor

UAE announced the successful start of its first nuclear reactor at the Barakah Nuclear Energy Plant, the region’s first such plant. Though the plant was due to go online in late 2017, a number of safety and regulatory requirements saw the country first start loading fuel rods into the reactor in February. Saudi Arabia says it plans to build up to 16 nuclear reactors, but the project has not yet materialized.

July 30, 2020

CNPC Possibly To Purchase $1.5 Billion Stake In Oman Gas Field

On July 30, the state-owned China National Petroleum Corporation was in advance talks to purchase a 10% stake in the giant Khazzan natural gas field in Oman from BP, which owns 60% of the field. The deal could be worth $1.5 billion USD.

July 29, 2020

UAE ADNOC Will Cut Volume For All Crude Grades

On July 29, UAE’s biggest energy producer Abu Dhabi National Oil Co. told customers it would cut all four of its crude oil grades by 5% in September, following similar 5% cuts made in July and August.

July 27, 2020

China’s Crude Imports From Saudi Arabia Reach New Heights

On July 26, customs data showed that China’s June crude oil imports from Saudi Arabia reached an all time high of 2.17 million barrels per day (bpd). Oil exports to China from Russia and Brazil also peaked in June, with China’s crude oil imports increasing by 34.4% year on year to a record high of 12.99 million bpd.

July 21, 2020

Saudi Arabia Will Burn Excess Crude Oil To Produce Electricity

On July 21, Saudi Arabia was on track to burn record amounts of crude oil to produce electricity this summer as more Saudis stay inside with air conditioning to combat the harsh summer heat.

July 21, 2020

Iraq Struggling With Kurdistan Region On Energy Policy

On July 21, S&P Global reported the Iraqi government and the semi-autonomous Kurdish region will further complicate Iraqi energy policy as Iraq already lags behind in implementing oil cuts agreed upon by OPEC+. Baghdad has blamed Kurdistan for its lack of compliance to the OPEC+ deal.

July 16, 2020

Saudi Crude Oil in May Reached 9-Year Low

On July 16, the Joint Organisations Data Initiative released data showing Saudi crude oil exports dropped to 6.02 million barrels per day (bpd) when the OPEC+ production cuts began in May, reaching a nine year low. Saudi Arabia exported a record 10.237 million bpd in April before the cuts.

July 15, 2020

Saudi Arabia Entering Next Phase In OPEC+ Agreement

On July 15, the Saudi energy minister said the OPEC+ agreement was moving into its next phase of reduced production cuts as oil demand was expected to recover. He reported Saudi oil exports will not increase in August and excess production will be consumed locally.

July 12, 2020

Iran Signs $300 Million Deal To Develop Yaran Oil Field

On July 12, the Iranian Oil Minister announced Iran signed a $300 million deal to develop the Yaran oil field, which aims to produce 39.5 million barrels of crude within 10 years. The project is expected to produce $2 billion of income for Iran and will continue despite the limitations of existing U.S. sanctions.

July 7, 2020

UAE ADNOC To Increase Oil Exports in August

On July 7, UAE’s Abu Dhabi National Oil Company announced plans to increase its crude oil exports by as much as 300,000 barrels per day in August as OPEC+ begins easing oil output cuts.

July 6, 2020

Saudi Arabia Raises Crude Prices

On July 6, Aramco increased official selling prices (OSPs) for its crude to Asia by $1 a barrel. Industry analysts say the increase in price could discourage demand for Saudi oil, but it could also encourage the use of crude from inventories, which would provide support for oil prices.

July 3, 2020

Crude Exports In June Show OPEC+ Compliance

On July 3, Iraq is making progress towards the production cuts implemented by OPEC+ by dropping crude oil exports in the month of june by 497,000 b/d with crude exports totaling 2.81 million b/d. The last time exports were this low was in October 2015, when exports totaled 2.7 million b/d.

July 1, 2020

Iraqi Oil Exports Fell 12% In June

On July 1, Iraq’s oil exports for the month of June fell 12%, improving compliance with OPEC’s output cut agreements. Exports fell to 2.8 million b/d, lower than May when Iraq exported an average 3.2 million b/d.

July 1, 2020

OPEC Production At Three Decade Low

OPEC’s oil production in June reached the lowest level since the 1991 Gulf War, with production being cut to 22.69 million bpd. Despite these drastic cuts, inventory levels are still high as demand for oil is increasing at a slower than normal rate.

June 30, 2020

Saudi Aramco, ADNOC May Raise OSP

On June 30, Saudi Aramco and Abu Dhabi National Oil Company will likely raise the official selling price (OSP) differentials of their crude oil due to an increase in the Gulf’s crude structure. Aramco is expected to raise the OSP differential from 80 cents/b to $3/b in August.

June 29, 2020

In June, OPEC Cut Oil Output By 1.45 Million Barrels Per Day

On June 29, OPEC cut oil output in June by 1.25 million barrels per day (bpd) as part of its supply restraint agreement. OPEC had agreed from May to cut oil supply by more than 6 million bpd, with their current supply remaining 1.55 million bpd away from compliance.

June 25, 2020

Iran Begins Building Pipeline To Avoid Strait of Hormuz

On June 25, Iran officially began building a 1,000km pipeline that seeks to avoid the Strait of Hormuz for exporting oil. The Goureh-Jask route will allow Iran to export 1 million barrels per day (bpd) by March 2021 as current sanctions by the United States has dramatically decreased Iran’s oil exports to 100,00-200,000 bpd.

June 23, 2020

UAE’S ADNOC Sells 49% Stake In Gas Pipelines

On June 23, Abu Dhabi National Oil Co. (ADNOC) secured a $10 billion deal with a consortium of investors to sell a 49% stake in its gas pipelines. The consortium group will invest in ADNOC assets valued at a total of $20.7 billion, this includes leasing rights to 28 pipelines that span an area of 982.8 km.

June 8, 2020

Saudi Arabian Oil Exports Falls To $11 Billion

On June 8, data reports show that in the first quarter of the year, the value of Saudi Arabia’s oil exports fell 21.9%, an approximate loss of $11 billion. Oil revenue fell nearly 24% to $34 billion, creating a $9 million budget deficit for Saudi Arabia. 

June 2, 2020

Iraq To Further Cut Oil Production

On June 2, the acting oil minister of Iraq, Ali Abdul Ameer Allawi, announced that Iraq will further cut its oil output, in consensus with OPEC+ provisions.

June 2, 2020

First Solar Project To Begin In Oman

Sterling and Wilson Solar (SWSL) became the first Indian company to commission a 125-MW solar energy project in the Gulf region. This will be Oman’s first renewable-based power project and will hold the biggest single-unit solar park in the world that uses bifacial modules. 

June 1, 2020

Qatar Petroleum Signs $19 Billion Agreement with South Korea

On June 1, Qatar Petroleum signed shipbuilding agreements with South Korean companies Daewoo Shipbuilding & Marine Engineering, Hyundai Heavy Industries, and Samsung Heavy Industries. These agreements will provide Qatar Petroleum with more than 100 ships at the cost of $19.23 billion. 

May 31, 2020

Russia Not Opposed To Earlier OPEC+ Meeting

On May 31, Algeria, which currently holds the presidency of OPEC, proposed that the meeting planned for June 9th be brought forward to June 4th. This received no opposition from member states, including Russia. The proposed meeting would reconvene member states in order to propose further policies regarding oil output.

May 27, 2020

Oil Rig Operations In Iraq Drastically Declining

On May 27, after international oil companies (IOC) were ordered to cut spending, oil rig operations in Iraq declined by nearly two-thirds. Iraq is now operating 31 rigs, down from 76 in December with IOCs operating around 32, down from 88. This drastic decline decreased Iraq’s oil revenue from $6.16 billion in January to $1.4 billion now.

May 26, 2020

Oil Prices Climb as Supply Cuts Grow and Demand Increases

On May 26, oil prices started rising as producers are following through on commitments to cut supplies and as demand increases with coronavirus restrictions easing. Brent reached $35.55 while WTI was traded at $33.77 per barrel. According to the Russian Energy Minister Alexander Novak, the increase in demand should help cut an oil surplus of 7 to 12 million barrels per day by June.

May 25, 2020

Russia Overthrows Saudi As China’s Top Crude Oil Supplier in April

Russia became China’s top crude oil supplier, overtopping Saudi Arabia’s spot. In April, Russia exported on average more than 1.75 million barrels per day (bpd) to China, compared to Saudi Arabia, which only exported 1.26 million bpd.

May 23, 2020

Iranian fuel starts arriving in Venezuelan waters despite U.S. warning

On May 23, one of five Iranian fuel tankers arrived in Venezuela to deliver more than 1.53 million barrels of gasoline and alkylate. The Venezuelan military escorted the tanker to the port due to threats made by the United States against the deal, given that both Iran and Venezuela are both under sanctions by the U.S.

May 22, 2020

Abu Dhabi, Qatar Offer Most Competitively Priced Crude in Middle East

On May 22, smaller crude oil producers Abu Dhabi and Qatar began to emerge as competitive suppliers to oil giant Saudi Arabia’s Aramco. The competitive pricing has attracted the attention of the Asian market, which is beginning to demand more oil imports as countries start to reopen.

May 20, 2020

Saudi Arabia Become Top Oil Supplier To India

On May 20, Saudi Arabia replaced Iraq as the top importer of oil to India. Iraq had been India’s No. 1 oil supplier since 2017. The shift from Iraq to Saudi Arabia was caused partly by the large cuts in oil prices by ARAMCO, which enticed India to purchase more from them instead of Iraq.

May 18, 2020

Oil Jumps to a Two-Month high on Easing Lockdowns, Positive Vaccine Results

On May 18, oil prices increased to the highest in over two months as a result of positive early results on a potential coronavirus vaccine. The vaccine results have increased optimism about the resumption of economic activity.

May 17, 2020

Kuwait and Saudi Arabia To Shut Down Al-Khafji Field Months After Reopening

On May 17, Saudi Arabia and Kuwait announced that they will be shutting down production at the Al-Khafji crude oil field, which they share in the Neutral Zone. The field was reopened in December 2019 after five years of being shut down, but due to a low number of buyers, sources say this led to the current shut down.

May 14, 2020

Saudi Arabia To Reduce Oil Exports Per OPEC+ Agreement

Saudi Aramco reported they will reduce oil shipments in June to at least a dozen customers in Asia and make even deeper reductions to Europe and the U.S. in order to comply with OPEC+ oil production cuts. The voluntary production reduction aims to drain a glut that has caused low oil prices this year.

May 13, 2020

OPEC Predicts Large Hit To Oil Coming

On May 13, OPEC+ predicted the current quarter would see the steepest decline for global oil demand despite some countries easing coronavirus lockdowns. The new prediction expects global oil demand to decrease by 9.07 million barrels per day, or 9.1%, in 2020.

May 12, 2020

Qatar At LNG Dilemma

On May 12, Qatar, being the world’s largest exporter of liquified natural gas, has arrived at a conjecture that will pose significant loss and challenges. Qatar has to either cut production, which would hurt the government’s main source of revenue, or slash oil prices which would push oil prices into the negatives.

May 5, 2020

Oil Climbs As Outputs Are Cut

On May 5, futures in New York rose for a fifth day as OPEC+ producers drastically decreased oil outputs per the commitment to remove 9.7 million barrels per day. The impact of production cuts is indicating that the oil surplus is beginning to ease.

April 30, 2020

OPEC April Output At 13-Month High

On April 30, oil outputs from OPEC countries in the month of April averaged 30.25 million barrels per day, making it the highest output by the 13-member organization since March 2019. Saudi Arabia had the biggest increase in supply, with 11.3 million barrels per day, along with the UAE and Kuwait who also increased outputs.

April 29, 2020

Oil Prices Rise As Production Cuts Near

On April 29, as outputs are slashed across major oil producers, oil prices are beginning to rise slowly again. In New York, crude oil futures rose to $14 a barrel and Russian oil companies will further cut production by 19%.

April 28, 2020

OPEC Oil Exports Increase

On April 28, crude oil production from OPEC members increased by more than 2 million barrels per day in the month of April. This is the highest level of production for OPEC since December 2018 and comes just a few days before the implementation of the agreement on oil production cuts set to begin in May.

April 20, 2020

U.S. Considers Blocking Saudi Shipments

On April 20, as demand for oil has severely plummeted due to coronavirus shutdowns, President Trump is seeking to add more than 75 million barrels of oil to the United States’ Strategic Petroleum Reserve. Trump further said he will look into a proposal to block oil shipments from Saudi Arabia.

April 18, 2020

Saudi Arabia Set To Export 600,000 Barrels Per Day To The U.S.

On April 18, Saudi Arabia will begin selling around 600,000 barrels a day of crude oil to the United States as Saudi refineries increased production to a record 12.3 million barrels per day. This comes at the same time that Saudi Arabian Oil Company stated it will cut output to 8.5 million barrels per day as part of the OPEC+ agreement.

April 16, 2020

Demand for OPEC Oil Reaches 30-Year Low

OPEC crude demand for Q2 is expected to be 19.73 million bpd, a sharp drop by 9.6 million bdp from Q2 2019. This will be the lowest demand for OPEC crude since 1989.

April 12, 2020

Mexico And Saudi Arabia At Oil Standoff

On April 12, negotiators are working to mediate a standoff between Mexico and Saudi Arabia regarding oil production after a tentative OPEC+ deal, which calls for a cut of 10 million barrels per day, was suggested to the oil producing countries. A compromise being offered to Mexico and Saudi Arabia is measuring exports rather than general output, allowing Mexico to keep producing on track but not exporting. 

April 9, 2020

OPEC+ Members To Decide On Historic Oil Production Cut

On April 9, OPEC+ members convened an emergency virtual meeting to discuss the scale of production cuts after President Donald Trump suggested a cut of 10 to 15 million barrels of crude oil. Energy ministers from G-20 countries will convene for their own meeting on Friday.

April 6, 2020

Russia, Saudi Arabia Meeting Delayed; Oil Prices Fall

Today, the price of oil continued to drop over the announcement that Russia and Saudi Arabia had delayed their meeting over future oil production cuts. The meeting originally was scheduled to take place today but has now been moved to Thursday. OPEC+ is working on a deal to cut production by 10 million barrels per day, or 10% of the world’s supply.

April 5, 2020

Moscow and Riyadh Close to an Oil Deal

On April 5, the chief executive of Russia’s sovereign wealth fund RDIF stated that Russia and Saudi Arabia are “very, very close” to a deal regarding oil production cuts. As the OPEC+ virtual meeting is expected to take place on Thursday, discussions are expected to be centered around reducing oil output. 

April 2, 2020

Oil Rises More Than 13%

On April 2, Brent crude oil futures increased 13.9%, raising a barrel by $4.17 and settling at $34.11. The rebound is attributed to reports that Russia and Saudi Arabia will be negotiating to end a price war that slashed oil prices in the previous month.

March 30, 2020

Global Oil Prices Drops Again Today to Lowest Levels since 2002

Today, the price of oil fell by 8% as fears of an extended shutdown from the coronavirus could last for months. The price of oil is at its lowest since 2002, as Brent has fallen to $22.5 a barrel, which is now down 65% for the year.

March 30, 2020

Saudi Arabia to Increase LPG Supplies to India

Yesterday, India’s Oil Minister Dharmendra Pradhan announced that India will increase imports of LPG from Saudi Arabia to sustain the countries domestic demand.

India is the world’s second-largest importer of LPG and the country is expected to see an increase in natural gas demand as the coronavirus lockdown starts to take effect.

March 30, 2020

Saudi Arabia to Increase Exports to 10.6 Million bpd in May

On Monday, a Saudi energy official announced that the kingdom would increase its oil exports to 10.6 million barrels per day since the country is burning less oil for power generation and a lack of demand from domestic use due to the lockdown from the coronavirus outbreak.

March 27, 2020

Saudi Arabia Struggles to Increase Oil Sales for April As Demands Drop

According to Reuters, Riyadh has been finding difficulty in marketing its oil as demands dropped while the kingdom increased its oil supply after failing to agree with Moscow on the extension of OPEC+ agreement.

Royal Dutch Shell, Finland’s Neste, and U.S. Polish and Indian refiners were taking less or not taking any oil for April.

March 24, 2020

In Low Oil and Gas Market, Oman Reevaluates Energy Portfolio

On Tuesday, an official in the Omani Finance Ministry announced that his country would be reviewing their oil and natural gas projects with a breakeven cost of more than $30/b, and that they are optimistic that global energy markets will improve in the second half of the year. The official said Oman was looking to raise $6 billion and that they would introduce a 5% budget cut in 2020 to balance the budget.

March 23, 2020

As Virus Shutdowns Expand, Oil Price and Demand Fall

On Monday, as fears of the virus spread and as more countries are instituting shutdowns, demand for travel and industry activity contracted leading to falls in Brent crude. Also, demand destruction is being effected as the oil market deals with a price war between Saudi Arabia and Russia.

March 20, 2020

US Energy Officials Push for an Energy Alliance with Saudi Arabia

In Washington, some members of the Energy Department are urging the Trump administration to push for an oil alliance with Saudi Arabia, which would create a partnership between the world’s two largest oil-producing nations. The move could lead to Saudi Arabia leaving OPEC and would help stabilize the global crude market; which is in a fall from the price war occurring between Saudi Arabia and Russia, and the fall in demand due to coronavirus shutdowns.

March 19, 2020

Price of Oil Up After Three Day Plunge; Still Curbed by Virus Fears

Today, the price of U.S. oil rose 10% after the past three days had reduced oil prices to their lowest in twenty years. Rising fears from coronavirus and the battle over market share between Saudi Arabia and Russia are still continuing to curb the price of oil from stabilizing.

March 18, 2020

Saudi Arabia to Raise its Oil Supply to 12.3 mln bpd in the Coming Months

Today, Saudi Energy Ministry said that it has ordered Aramco to continue oil supplies at a record of 12.3 million bpd over the coming months. The ministry added that oil exports are set to top 10 million bpd as of May.

March 17, 2020

Developing Countries Could Lose Up to 80% of Oil & Gas Income in 2020; Warns OPEC & IAE

The IAE and OPEC have released a joint statement warning that if the current market conditions continue the income of developing countries could fall to their lowest levels in more than two decades. IEA Executive Director Fatih Birol and OPEC Secretary General Mohammed Barkindo both have serious concerns that the coronavirus pandemic will have “far-reaching economic and social consequences” for developing countries. They have estimated that these countries could see their oil income fall by 50% to 80% this year alone.

March 17, 2020

Oman to Increase Oil Production to Maximum Levels

Sources have announced that when OPEC+ quotes expire at the end of March, Oman will be allying itself with their fellow neighbors, increasing their oil output levels to the maximum 1 million bpd. Oman has also announced that it will have a 5% cut to the budget due to the virus.

March 17, 2020

As Market Plummets Amongst Coronavirus and Price War; Price of Oil Could Drop into the Teens

Analysts have announced that oil could fall below $20 a barrel and some estimates have the stock market losing 30-40% of their value. The biggest hits to the market will occur after April, as the previous OPEC+ deal expires, which could plunge the price of oil into the teens.

March 16, 2020

Saudi Aramco CFO: Aramco is ‘very comfortable’ with $30 a Barrel Oil

Saudi Aramco’s CFO Khalid al-Dabbagh said yesterday that his company is “very comfortable” with the current oil price at $30 a barrel and that Aramco can meet its dividends commitments and shareholders expectations at this price.

March 16, 2020

Brent Oil Price Drops 8.5%

Today Brent price dropped $2.89  (or 8.5%) to reach $30.96, while U.S. crude oil West Texas Intermediate dropped $1.79 (5.6%) to reach $29.94.

Two days ago, U.S. President Donald Trump said Washington will take advantage of the drop in oil prices and fill the nation’s emergency crude oil reserve.

March 11, 2020

Mexico Hopes to Mend Relationship between Saudi Arabia and Russia Over Oil Price War

As the oil price war between Saudi Arabia and Russia escalates, Mexico and other nations are seeking a plan that will mend the relationship between the two oil rich nations. Mexico’s Finance Minister Arturo Hurrea hopes that as a third-party Mexico can help bridge the gap and mediate the two countries from flooding the market with supply.

March 10, 2020

Aramco to Increase Oil Production in April to 12.3 Million Barrel Per Day

On Tuesday, Saudi Arabia announced that they would increase oil supplies to a record high, a direct blow to the Kremlin’s suggestion for new talks. The CEO of Saudi Aramco announced that supply would increase to 12.3 million barrels per day in April. OPEC had previously been cutting production by 2.1 million bpd, until the breakdown in talks in Vienna last week. Russia rejected OPEC’s call for deeper cuts due to the coronavirus which led to the global price of crude plummeting Monday morning.

March 6, 2020

Kuwait Offers First Oil Cargo from Neutral Zone Oilfields

According to Reuters, Kuwait has offered the first cargo of crude oil from the Neutral Zone’s Khafji oilfield after a recent agreement between Kuwait and Saudi Arabia to resume the zone’s production. The agreement ended a five year production halt. Production is expected to reach 500,000 bpd by the end of the year.

March 5, 2020

Bahrain considering state-run fund for oil and gas assets; encouraged by Aramco IPO

Bahrain is considering creating a state-run fund upon which it could sell shares to public investors like what Saudi Aramco did last year. The Gulf’s smallest country will transfer its oil and gas assets into the fund to help Bahrain achieve a balanced budget. Oil Minister Mohammed bin Khalifa Al Khalifa announced that the government is working on the project, and that they are still deciding which assets to be put forth and how they will be valued.

March 5, 2020

OPEC Agrees to Major Cuts, Conditional on Russian Approval

On Thursday, OPEC agreed to a further 1.5 million bpd cut for the second quarter of 2020. The decision is still pending, awaiting on approval by the Russian government and others within OPEC+. Extra supply cuts were necessary as demand was hurt by the effects of the coronavirus and the need to support the global price in the marketplace. The new cuts will be the deepest cuts implemented since the 2008 financial crisis.

March 5, 2020

Iran is Exempt from the New Production Cuts

Following OPEC’s approval of additional production cuts, Iranian Oil Minister Bijan Zanganeh said his country was still exempt from the reduction. The minister also announced that OPEC wanted non-OPEC countries to contribute 500,000 bpd, out of the total 1.5 million. The deal is still awaiting approval from the Russian government.

March 4, 2020

Saudi Plan to Deepen Oil Cuts Meets Opposition from the Russian Government

According to a report from the Wall Street Journal, the Russian government will oppose Saudi Arabia’s plan to deepen oil cuts by a further 1.2 million barrels per day. The Kremlin has said they may be in support of extending current cuts, which expire in March, but are apprehensive of signing on to any deeper cuts.

March 4, 2020

Iran’s Oil and Gas Production Not Affected by Coronavirus

The Deputy Head of the National Iranian Oil Company announced on Wednesday that the coronavirus did not have any effect on oil or gas production within Iran. Since President Trump had instituted sanctions on Iran, crude exports have been diminished by 80 percent. The Iranian oil minister will be attending the OPEC meeting in Vienna at the end of this week.

March 3, 2020

Substantial Oil Output Cuts Being Discussed

On March 3, sitting OPEC President and Algerian Oil Minister Mohamed Arkab, said that discussions in Vienna will be over substantial cuts to oil production due to the outbreak.

Mr. Arkab stated that the cuts are a continuation of the policies that were agreed upon by OPEC and non-OPEC members last December

March 3, 2020

Iraqi Crude Exports up 5.6% in February

According to data obtained by S&P Global Platts, Iraq’s oil exports rose by 5.6% for the month of February, up from the previous month. The Kurdish region’s exports rose by more than a third, the highest levels since October 2017. The total export from Iraq for February was 3.873 million barrels per day.

March 3, 2020

OPEC Members Arrive in Vienna; Further Oil Output Cuts being Discussed

On March 3, OPEC members began arriving in Vienna for the scheduled March 5-6 meeting. The lead discussion among the members is the debate over further production cuts as fears of the coronavirus continue to lower global demand.

OPEC+ collectively agreed to a 1.7 million bpd cut late last year, while Saudi Arabia has cut an additional 400,000 bpd, putting the total current cuts at 2.1 million. As fears of the virus continue, ministers will discuss the possibility of another cut of 1 million bpd to support oil prices.

March 2, 2020

Geopolitical Issues Cause Drop in OPEC’s February Oil Output

According to a Reuters survey, this past February OPEC’s oil output dropped two its lowest levels since the height of 2009’s Global Financial Crisis. The drop is credited to geopolitical risks such as coronavirus’ impact on global crude demand, in addition to a drop in Libyan oil production which has caused the price of crude to drop below $50/barrel.

February 25, 2020

GCC Nations Plan on Investing in the Global Renewables Market

The power companies within the Gulf Cooperation Council are planning to invest in the global renewable energy market. The International Energy Agency projects the renewable marketplace will reach $10 trillion in value by 2040.

The Gulf countries plan on diversifying their holdings and expanding into natural gas and renewable energies sources so they can free up crude oil for export. According to a study published by the International Renewable Energy Agency; if the Gulf countries adapt to renewable resources by 2030, they could save 354 million barrels of oil equivalent.

February 25, 2020

OPEC+: Confident in Our Response to the Coronavirus

On Tuesday, the Saudi energy minister Prince Abdulaziz bin Salman, announced that OPEC+ would responsibly react to the spread of the virus, ensuring that all its serious ramifications were being attended to.

The minister also reiterated that Saudi Arabia and Russia would continue discussions over oil policy. At the same meeting UAE’s Energy Minister Suhail al-Mazrouei said that members would discuss and address the issue at the upcoming meeting.

Aramco CEO Amin Nasser described the issue as ‘short term’ and suspected that a change in demand from China would materialize in the second part of the year.

February 25, 2020

Oman Plans to Build Wind Farms n the Arabian Sea

Sources announced that Oman is planning to build offshore wind farms in the Arabian Sea. Oman’s undersecretary in the Ministry of Oil & Gas Salim Aufi confirmed that Oman has been in the planning stages of this development and that the announcement is going to be released sometime this year. Oman is aiming to use renewables to achieve 30 percent of its energy needs by 2030.

February 24, 2020

Saudi Aramco Begins Development of the Largest Shale Field outside of the U.S.

Aramco CEO Amin Nasser announced on Monday that Aramco would begin the development of the largest shale gas development outside of the United States. Aramco hopes the plan will help boost domestic gas supply and end the burning of oil at its power generation plants.

Saudi Aramco has been competing with the U.S. shale market for the past few years, ever since the U.S. revolutionized fracking techniques that allowed companies to pump oil from formations previously thought of as too costly.

Aramco also announced that they had perfected a process that uses seawater instead of freshwater while fracking, an impediment that had eluded Saudi Arabia due to its lack of the latter.

February 24, 2020

Saudi Arabia to Develop Jafurah Gas Field

Saudi Energy Minister Abdulaziz bin Salman says the development of Jafurah, the largest gas field in the Kingdom, will help curtail the burning of some 688,000 bpd of oil that could otherwise be exported. Saudi Arabia plans to produce 90% of its power from gas and renewable energy in the future. Riyadh is planning to invest $110 billion in the development of Jafurah, which is estimated to hold 200 trillion cubic feet of gas.

February 23, 2020

Coronavirus Fears Lead to 4% Drop in Global Oil Prices

On Monday, oil prices dropped 4% due to the increase in the number of reported coronavirus cases. This has primarily occurred to investor worries, resulting in decreased demand. The virus has now spread to countries outside of China, including many of the Gulf countries, Italy, and South Korea.

February 20, 2020

OPEC+ Gathering in March will Not Be Made Sooner

OPEC, Russia, and other oil producers will not move their March 6th to take place at an earlier date. The organization had contemplated moving the date to late February due to fears of the coronavirus and its impact on global oil market demand.

Russian Energy Minister Alexander Novak announced that no change in scheduling would occur and that any talks about deeper cuts would need to be discussed at the meeting in March.

February 19, 2020

French and Thai Companies Awarded Omani Oil Contracts

The Omani government has awarded two contracts to explore and develop gas deposits within Oman. Mohammed al-Rumhy, Oman’s oil minister, announced that the French Company Total and Thailand’s PTTEP had been granted the rights for Block 12 which covers about 9,546 square Kilometers inside Oman.

The discovery of the Mubrouk oil field in 2018 has led to an increase in exploration and undertaking multi-billion dollar projects to monetize gas from the field.

February 19, 2020

Price of Oils Goes Up 2% Due to Lessening Fears of Coronavirus

On Wednesday, the price of oil increased 2% as the spread of the coronavirus showed signs of a slowdown within China. New coronavirus cases fell for a second day according to official data. The World Health Organization still says that there is not enough data to show whether the virus was being contained. Brent crude settled at $59.12 a barrel, rising $1.37, or 2.4%.

February 18, 2020

Kuwait Petroleum Corp Secures Deal with Aramco Trading Co.

Trade sources have announced that Aramco Trading Co. (ATC) has signed a deal for a long-term contract with the state-based company Kuwait Petroleum Corp. The contract allows supplies of crude to be processed by Aramco-owned refineries located in Asia.

Aramco Trading has signed multiple deals with other countries starting late last year. ATC is trying to diversify its holding in refinery production and petrochemicals after a drone attack last September crippled Aramco’s output capacity.

February 18, 2020

Abu Dhabi National Oil Company Signs Deal with Petrofac Worth Billions

On Tuesday, the Abu Dhabi Natural Oil Company announced a deal with oilfield service provider Petrofac worth about $1.65 billion USD. The deal is now one of the biggest gas projects inside the Emirates.

Petrofac will provide engineering and construction on three major gas projects within the country – Hail, Ghasha, and Dalma and once done could produce more than 120,000 bpd.

The announcement raised shares of Petrofac up 1.5%. The move will also help bolster the UAE’s goal of gas self- efficiency.

February 17, 2020

Arab World’s First Nuclear Plant Granted License in UAE

A senior nuclear official announced Monday that the UAE had granted a license of operation for the first nuclear power plant in the Arab world. The plant is being built by Korea Electric Power Corporation and should begin production later this year. The plant was supposed to go online in 2017 but has been setback by delays.

The UAE wants to produce nuclear power to help diversify their rising energy needs and their reliance on oil, while also freeing up more crude for export in the future. Abu Dhabi plans to provide 6% of its total energy from nuclear power needs by 2050

February 17, 2020

Coronavirus fears lead to nearly 10% drop in oil markets

On Tuesday, the price of oil dropped almost 1% due to a decreased in demand from China and the lack of action taken by OPEC+ to stabilize the market.

OPEC has been in talks with Russia over the worsening situation on whether to extend further cuts. So far, however, no efforts by any nation have materialized. The price of oil was trading at 57 dollars as of 11 am on Feb. 11.

February 16, 2020

Kuwaiti Oil Minister Announces the Beginning of Joint Oil pumping venture with Saudi Arabia

Kuwait and Saudi Arabia agreed late last year to settle their dispute over the Neutral Zone oil fields of Wafra and Khafji. The two countries have begun a joint production operation that estimated to reach as high as 550,000 barrels per day by the end of 2020.

Kuwait also announced it was revising the country’s oil strategy and hoped to boost its production capacity to 4 million bpd by 2040.

February 16, 2020

Partnership between Qatar and Energy Firms delayed due to global price collapse.

Expansion plans for LNG production between Qatar and Western energy firms have been delayed by several months. The delays come as the global oil industry is reeling from the effects of the Coronavirus and the oversupply of the U.S. gas market.

Qatar sits on the largest reserve of natural gas in the world and had announced that they planned to expand production by 60 percent by 2027, instead of the originally planned 40% increase.

Qatar expected to announce the names of the Western firms at the beginning of 2020, but they are delaying the announcement until at least the middle of 2020 to shore up potential valuations and equity in the investment.

February 16, 2020

Saudi Arabia to become exporter of gas, petrochemicals; says minister

The Saudi Energy Minister plans to extend his country’s exports beyond crude, to include petrochemicals and natural gas. The petrochemical production announcement comes on the heels of its takeover of SABIC, and the discovery of new oil fields in the Red Sea.

Saudi Arabia is planning to diversify some its power generation by moving away from crude for electricity generation. The current plan is to transition the kingdom so that power production will be 70%  natural gas and 30% renewable energy.

February 10, 2020

U.S. Approves Waiver Extensions for Iraq to Continue Imports of Iranian Energy Products

Iraqi government officials have confirmed that the United States has extended waivers for Iraq to continue its importation of Iranian energy supplies. The United States has extended the oil waivers in the past, but last month, warned that they were considering ending the waivers.

The officials have stated that the U.S. was comfortable with another extension because Iraq had shown proactive steps in becoming less reliant on Iranian energy. The new waivers are good for a further 120 days.

February 9, 2020

Coronavirus Outbreak Cause of Global Oil Price Drop

The price of oil has dropped to the lowest level since December 2018. The Coronavirus has brought China’s transportation and manufacturing to a standstill and led to fears in the oil market.

Fueling concerns about Chinese demand and an already excessive oversupply in the market, has led to a 25 percent drop in global oil prices, while OPEC and Russia deliberate whether further cuts are needed to help stabilize the market.

February 9, 2020

Iranian Company Awarded Contract for Oil Recovery

A domestic company based in Iran was awarded an oil recovery contract worth 1.3 billion dollars in a statement released by Bijan Zanganeh, Iran’s Oil Minister. The 10-year contract was awarded to the National Iranian South Oil Company to increase oil production from 52,000 b/d to 85,000 b/d; with an estimate of 121 million barrels over the coming decade.

February 8, 2020

OPEC President Recommends Supply Cuts

Algerian Oil Minister and OPEC President Mohamed Arkab announced that a technical panel has given its recommendation that OPEC countries need to extend oil supply cuts until the end of 2020 due to Coronavirus.

Sectors such as tourism, transportation, and logistics have all seen a slump within China and amongst other Asian countries as well.

February 3, 2020

UAE Discovered a New Natural Gas Field with 80 Trillion Cubic Feet of Gas

Today, the United Arab Emirates announced the discovery of a natural gas field in Jebel Ali between Dubai and Abu Dhabi. The new field contains about 80 trillion standard cubic feet of gas and according to authorities, it would help the country become more energy independent as it is still importing gas from Qatar to generate electricity.

February 3, 2020

OPEC+ Ready to Meet to Discuss Oil Price Drop Caused by Coronavirus

The Kremlin announced that President Vladimir Putin and King Salman bin Abdulaziz had a thorough discussion on current oil market conditions. Amid the Coronavirus outbreak, the price of crude oil has plunged more than 20% over the past three weeks.

OPEC and its allies have extensive exposure to any possible downturns in the market as they relate to China. China purchases almost 70% of its crude oil from OPEC and any large fall in demand would have a cascading effect on the world market.

Members of the coalition plan to meet in Vienna this week to discuss what technical demands must be carried out to combat the impact the Coronavirus will have on the global market.

February 3, 2020

Coronavirus has Impacted Oil Demand: Iranian Oil Minister

Iran’s official news agency reported that the Iranian oil minister Bijan Zanganeh has stated that the Coronavirus has impacted oil demands and that Iran was calling for a meeting of OPEC to help figure out how to stabilize prices.

The minister also stated that they would agree to a meeting if the other OPEC+ members would agree to production cuts. Zanganeh also stated that since “prices have dropped below $60 a barrel, that there must be an effort to stabilize prices”.

February 3, 2020

More Oil Cuts Being Considered by OPEC+

According to three industry sources, OPEC+ and its allies are considering cutting a further 500,000 barrels per day due to the impacts of Coronavirus. The price of oil has fallen to $56, which is lower than the level many OPEC countries need to balance their budgets.

February 2, 2020

Saudi Oil Output Tops 9 million b/d in January

A Saudi oil industry source announced that Saudi Arabia had produced 9.744 million b/d of crude oil this past month, 400,000 bpd below its quota according to the OPEC+ agreement.

As prices have dropped due to the ongoing coronavirus outbreak, Saudi Arabia has urged OPEC+ members to move up the date of the ministerial meeting to discuss fears of a global dip in crude markets.

Estimates show that the worst-case scenario for oil demand could fall to 900,000 b/d in February and 650,000 b/d in March.

January 27, 2020

Regulators for the European Union to Rule on Aramco-SABIC Deal

Aramco announced in March 2019 that it planned to invest in a 70% stake in Saudi Basic Industries Corp. Anti-trust regulators from the European Union will have to decide by February 27th on whether the $69 billion deal can move forward without any conditions.

Other countries, such as India, have approved the acquisition without demanding any concessions.

January 27, 2020

Coronavirus will have Little Impact on Market; Says OPEC President

OPEC’s President Mohamed Arkab expects the virus to have little influence on the global oil market. Speaking to Algeria state news agency Arkab, who is also Algeria’s Energy Minister, states that they are monitoring any developments that could interact with the global energy market.

January 27, 2020

Qatar Tells India No to Re-Negotiation Over Existing LNG Deals

Pharamendra Pradhan, India’s Oil Minister, wants Qatar to re-negotiate their deals over imported gas and its price link to crude oil.

India and Qatar signed a deal for long term natural gas supplies in 1999. The price of gas was tied to the price of crude at the time because of the more well-developed oil markets. However, in 2015, both parties modified the deal which led to a 50% price reduction for India.

India believes that the current formula linking natural gas with crude oil is not correct and that there needs to be an independent formula for pricing.

Qatar’s energy minister, Saad Shenda al-Kaabi says that they will not negotiate any existing contracts, but that they are open to supplying more natural gas for India’s rising demand.

January 13, 2020

OPEC Secretary General says OPEC+ Agreement will Endure

As a result of the greater demand from participants during the initial offering, Saudi Aramco allowed companies to issue more shares in the public offering.

The company said that it has exercised its “greenshoe option” to sell an additional 450 million shares, raising the size of its initial public offering to a record of $29.4 billion.

January 13, 2020

US Officials Coordinate with China to Stem Flow of Iranian Oil Imports

Working behind the scenes U.S officials are making in-roads with members of the Chinese government to stop roughly 200,000 b/d of crude from reaching independent refiners within China. US treasury experts warn China of impending sanctions unless they can curtail Iranian oil imports.

January 12, 2020

Saudi Aramco Raises Record IPO Offering

As a result of the greater demand from participants during the initial offering, Saudi Aramco allowed companies to issue more shares in the public offering.

The company said that it has exercised its “greenshoe option” to sell an additional 450 million shares, raising the size of its initial public offering to a record of $29.4 billion.

January 11, 2020

UAE Energy Minister Expects Higher Oil Demand in 2020

UAE’s Energy Minister Suhail Al-Mazrouei expected oil demand to be better in 2020 and the U.S. shale production to be flat or to decline by 2021. Al-Mazrouei is not worried about Russian reluctance to OPEC+ commitments and that they are confident that Russia will stay in the agreement. Al-Mazrouei continued; referencing that supply would not be an issue, as US producers had overestimated production and they could face some financial challenges in 2020.

January 8, 2020

Amid Escalations With Iran, Saudi Aramco Shares Drop

The crisis with Iran precipitated a 12 % drop in Saudi Aramco shares, this is the largest drop in share price since the company debuted onto the market on December 11. Shares were trading at 34 Riyals ($9.06) down from their peak of 38.70 Riyals. The market value of Saudi Aramco has fallen almost 200 million dollars since its peak at the end of 2019.

January 8, 2020

$100 Barrels of Oil Possible if Iran Cuts Off Passage to Vital Trade Route

Rising geopolitical tensions in the Gulf region are creating worry among investment analysts. Energy experts predict that if Iran were to cut access to the Strait of Hormuz, crude futures could push towards triple digits. The Strait is positioned between Iran and Oman and only 21 miles wide at its narrowest point. Over 21 million barrels flow through the Strait each day, and the Energy Information Agency calculates that 76% of this is headed to the Asian market.

December 31, 2019

UAE’s First Nuclear Power Plant to be Operational in Q1 2020

A local Emirati newspaper says the UAE’s first nuclear power plant will start operations in the first quarter of 2020 when one of its four reactors becomes operational.

Once the license for the first reactor is issued, fuel loading will begin, and energy production will gradually be increased until full commercial operation is achieved in a few months.

December 17, 2019

Oman Oil Company Revenues Estimated at $20 billion

An Oman Oil Company official said the revenues of the company in 2019 are estimated at $20 billion with profits of $556 million.

He added that the group aims to increase its contribution to the country’s gross domestic product from $10 billion in 2018 to $20 billion by 2030, with a plan to invest $28 billion in future development projects.

December 17, 2019

Saudi Aramco Completes Acquisition of 17% in South Korea Hyundai Oilbank

Saudi Aramco has become the second-largest shareholder in Hyundai Oilbank following its purchase of 17 percent of the company for $1.2 billion. The completion of this deal will increase Aramco’s oil refining capabilities by 650,000 b/d and is an important step in the company’s aim to double its refining capacity from 5 million b/d to 10 million over the long-term.

December 16, 2019

Sanctions Block Pending Oil Payments for Iran from South Korea

Iranian authorities have demanded payment of $6 billion from South Korea for oil sold to the country in recent years. According to unnamed sources, the South Korean government deposited the funds into two South Korean banks, but has since been unable to transfer the money to Iran because of US sanctions.

December 15, 2019

Aramco Shares Increase by 1.6%

Shares of Saudi Aramco rose for the third straight day as demand from passive investors has continued to increase. Listed on December 11 at an initial price of 32 Saudi riyals ($8.53) per share, following Sunday’s gains Aramco shares are now trading at 37.4 riyals ($9.97) on the Saudi Stock Exchange. These gains also mean that for the first time Aramco is valued at more than $2 trillion.

December 12, 2019

IEA Expects Oil Market to Remain Oversupplied

On December 12, the International Energy Agency (IEA) announced its expectation of a sharp increase in global oil inventories despite the increase of oil production cuts.

The IEA said in its monthly report, “Despite the additional curbs… and a reduction in our forecast of 2020 non-OPEC supply growth to 2.1 million barrels per day (bpd), global oil inventories could build by 700,000 bpd in Q1 2020,”

December 11, 2019

Aramco’s IPO Begins Trading, Shares Surge 10%

On December 11, 2019, Saudi Aramco shares rose 10% (from 32 to 35.2 Saudi Riyals) in early deals in Riyadh. It surpassed its earlier valuation of $1.7 trillion as the new price gives the company a valuation of $1.88 trillion, the world’s largest on record.

According to Samba Capital (one of Aramco’s advisors), 10.5% of the offers came from foreign investors, while most were from Saudi funds and companies.

December 3, 2019

Kuwait Confirms $1Billion Investment in Saudi Aramco’s IPO

On Monday December 2, 2019, the Kuwait Investment Authority communicated its decision to invest in the Saudi Aramco IPO following government advisement that a stake was in the country’s strategic interest.

Kuwait’s move follows the UAE’s decision to invest $1.5 billion in Aramco. A second major investor from the Gulf region will be a relief for Saudi Arabia after plans to market the IPO globally were abandoned.

November 27, 2019

Kuwait and UAE Considering Investing in Saudi Aramco IPO

Aramco officials have held investment talks with Kuwait and UAE, each of which have large sovereign funds totaling about $1.3 trillion in assets. The Abu Dhabi Investment Authority (ADIA) is considering investing at least $1 billion, with a final decision on the amount yet to be approved. The Kuwait Investment Authority (KIA) also has plans to invest in the IPO, although the size of their commitment is also unclear.

Saudi Arabia aims to sell a 1.5% stake in Aramco, valuing the company at $1.6 trillion to $1.7 trillion, a lower valuation than the $2 trillion target initially sought. These investments from its Gulf neighbors would help Riyadh as it strives to raise $25.6 billion from a domestic listing of the state-owned oil giant.

November 26, 2019

Increasing Demand Raises Saudi Crude Imports in China to 76.3% in October

Saudi Arabian oil exports to China rose 76.3% in October, boosted by demand from new refiners. Saudi shipments grew to 1.98 million bpd in October compared to 1.74 million bpd in September and 1.12 million over the same period last year.

With this rise in exports to China, Saudi Arabia retains its position as the top supplier to the world’s biggest oil importer.

November 25, 2019

Qatar LNG Expansion Project to Boost Production to 126 Million tons by 2027

On November 25, 2019, Qatar Petroleum (QP) CEO Saad al-Kaabi, confirmed that the productive layers of the North Field extend well into Ras Laffan, with gas reserves in the field now exceeding 1,760 trillion cubic feet.

Al-Kaabi also said, “This will raise Qatar’s LNG production from currently 77 million tons to 126 million tons per annum by 2027, representing an increase of about 64%.”

November 20, 2019

Putin: Russia to Continue Cooperation with OPEC for a Balanced & Predictable Oil Market

On November 20, Russian President Vladimir Putin said that Russia’s “common goal with OPEC is for the market to be balanced, acceptable for producers and consumers, and most importantly, predictable.”

Meanwhile, Russian Energy Minister Alexander Novak declined to disclose Russia’s position for the upcoming OPEC+ meeting, but said that Russia will aim to stick to its commitments under the deal in November.

However, sources told Reuters that Russia is unlikely to agree to deepen oil cuts during the meeting but could commit to extending existing curbs to support Saudi Arabia. OPEC will be meeting on December 5th in Vienna, followed by talks with a group of other affiliated exporters, including Russia, known as OPEC+.

November 18, 2019

Iraq Protesters Block Access to Oilfields in Basra

Protests in Basra are threatening Iraq’s largest oil fields as anti-government demonstrations in the south of the country have blocked access to the oil fields located west of Basra.

While Iraqi oil exports have remained steady there is a concern that escalation of protests could threaten oil production and exports.

November 18, 2019

India’s Oil Imports from OPEC Hit Lowest since 2011

India’s imports of OPEC oil have fallen to their lowest level since 2011 as refiners purchased more fuel from the U.S. and other non-OPEC producers. Also, a combination of refinery maintenance and India’s desire to diversify sources of oil have also contributed to this decline.

OPEC’s share fell to 73% of India’s total oil imports in October, down eight percent from September.

November 13, 2019

Bahrain’s First LNG Portal to Become Operational by Year’s End

Teekay LNG Partners, one of the companies behind Bahrain’s long-awaited LNG regasification terminal has announced that the facility will be operational by the end of 2019.

The startup of the terminal has been delayed twice without mentioning the reasons for the delay.

October 26, 2019

U.S.-Saudi discussions for nuclear possession are in progress

As the world’s top oil exporter, Saudi Arabia talks about plans to use nuclear power to enhance its energy supply. However, conversations between the U.S. and Saudi Arabia have been difficult. Saudi Arabia does not want to be forced into a deal that would prevent them the possibility of enriching uranium or reprocessing spent fuel – both potential risks for a bomb.

October 24, 2019

U.S. Businesses Licensed To Continue Work In North Sea Field Partly Owned By Iran

On October 24, 2019, the U.S. Treasury extended energy producer Serica’s license to continue operations at the Rhum field in the North Sea, until February 28, 2021. The waiver by the U.S. Office of Foreign Assets Control (OFAC) allows U.S. businesses such as oilfield service providers to work on the field while the National Iranian Oil Company is targeted by U.S. sanctions.
According to Serica CEO Mitch Flegg, Rhum was the third-largest gas producing field in the British North Sea in the second quarter of 2019. Serica owns 50% of the Rhum field, which it acquired from BP last year, and Iran’s national oil company owns the remaining 50%. Iran’s share of the revenues from the field goes into an escrow account.

October 23, 2019

Japan and Saudi Arabia will renew crude oil storage deal

Japan and Saudi Arabia have acceded to extend their joint crude oil storage deal as it approaches expiration. This move will give the Middle East oil exporter quick and easy access to its essential customers in the Far East.

Currently, Aramco leases 8.18 million barrels of crude oil storage capacity at Okinawa for commercial usages in return for prioritizing supply to Japan in case of unexpected events occurring.

For Japan, storing oil domestically from its prudent suppliers such as Saudi Arabia has become paramount following the September 14th attacks on Aramco, where Japan counts on 90% of its crude import requirements.

October 22, 2019

Masdar receives an offer to work on Uzbekistan solar project

Masdar, a branch of Mubadala Investment Company in the UAE, has confirmed it has earned a bid to develop Uzbekistan’s first public-private partnership (PPP) solar project.

As one of the world’s main renewable energy companies, Masdar will develop the 100-megawatt (MW) utility-scale solar plant, under the International Finance Corporation’s (IFC) Scaling Solar program.

October 21, 2019

Omani oil production predicts 1.1 million bpd by 2022

Oman anticipates growing its oil production quantity to 1.1 million barrels per day (bpd) by 2022, from this year’s total of 970,000 bpd.

According to reports, “We also assume that gas production will expand, with new production coming on stream from the Khazzan II field in 2021 and the Mabrouk field in the medium term, beyond our forecast horizon. Higher gas production will in turn support the expansion of petrochemicals, power generation, and enhanced oil recovery projects.”

Despite these plans for expansion, negative effects will also be present in the process. These effects will include extrinsic debt and excessive funding costs between 2019-22.

October 20, 2019

Secondary Circuit of Iran’s Arak Nuclear Reactor To Be Operational

On Sunday October 20, 2019, Ali Asghar Zarean, a special assistant to the chief of Iran’s Energy Organization, said that the secondary circuit of the Arak heavy water nuclear reactor would be ready within two weeks. This would not be in violation of the restrictions placed on Iran’s nuclear power under the JCPOA.

Iran has the capacity to produce up to 25 tons of heavy water per year, which can be employed in reactors to produce plutonium, a fuel used in nuclear warheads. Despite having nuclear technology, Iran has never pursued building or using nuclear weapons as it is forbidden by its religion, the country’s highest political authority, Ayatollah Ali Khamenei, said in early October.

October 16, 2019

Yemen’s Safer Oil Company Resumes Production

Safer oil company, owned by the internationally recognized government of Yemen, resumed oil production from their fields in Shabwa to a terminal on the Arabian sea for international export.

Currently, Safer is pumping 5,000 barrels per day (bpd) and anticipates that oil production of the  pipeline will reach up to 15,000 bpd.

Prior to the collapse of Yemen’s oil output, Yemen produced an average of 127,000 bpd of crude in 2014. Last year, only 50,000 bpd was produced with limited quantities for oil distribution abroad.

October 16, 2019

US permits Iraq a waiver for Iranian energy resources

The US has authorized Iraq their fifth 120-day waiver that will allow them to continue with the imports of Iranian electricity and natural gas despite US sanctions.

According to a State Department spokesman, “”The waiver ensures that Iraq is able to meet its short-term energy needs while it takes steps to reduce its dependence on Iranian energy imports. We engage regularly with the Iraqi government to support measures that improve Iraq’s energy independence.”

October 15, 2019

New Energy Deals between the UAE and Russia

Abu Dhabi National Oil Company (ADNOC) has confirmed to sell a portion in the Ghasha gas project to Lukoil, a Russian oil company, as well as agreed to a strategic deal with Gazprom Neft in terms of technological cooperation.

The two countries had previously talked about increasing bilateral energy sources, including their cooperation in the OPEC+ crude oil production cut deal. Also, both countries are members of the Gas Exporting Countries Forum.

ADNOC will grant Lukoil a 5% share in the Ghasha concession, which includes other sour gas fields offshore in Abu Dhabi.

October 14, 2019

Iraq and Turkey Consider Rebuilding Oil Pipeline

As of October 14, 2019, Iraq and Turkey have announced that they were looking into constructing a second pipeline that could more than double existing export capacity. Due to the reestablishment of control by Iraqi militias and the Central Government over areas liberated from ISIS, Ankara is turning towards Baghdad for new energy deals.

The new pipeline would create an alternative route for Iraqi oil exports and would also connect to infrastructure in Central and Southern Iraq. This would improve the country’s energy security as oil exports can be diverted towards the north in case the Strait of Hormuz is choked off.

October 14, 2019

Saudi Oil Output To Reach Pre-Attack Levels In October And November

On October 14, 2019, Saudi energy minister Prince Abdulaziz bin Salman said that Saudi Arabia’s oil production will recover in October and November to levels seen before the attacks on its oil fields in September and expected to reach 9.86 million bpd in October and November. According to the energy minister, production capacity would reach 12 million bpd by the end of November.

October 14, 2019

Attacks On Saudi Oil Facilities Result in OPEC+ Production Cuts In September Leading To Compliance Rate Of More Than 200% of Cut Deal

On October 14 2019, sources reported that OPEC and its non-OPEC allies in the production cut deal achieved a compliance rate of more than 200% with their cuts in September, primarily due to the September attacks on vital oil facilities in OPEC’s largest producer Saudi Arabia. According to OPEC secondary sources, Saudi oil production plunged by 1.28 million bpd to 8.564 million bpd in September.

Other members with lower production include non-compliant Iraq and Nigeria who cut some of their overproduction but were still off target. In Iran production declined by 34,000 bpd to 2.159 million bpd. In Venezuela production plunged by 82,000 bpd to average just 644,000 bpd in September.

Russia, largest non-OPEC producer part of the pact, saw oil production inch down in September, to 11.25 million bpd from 11.29 million bpd in August, but still above Moscow’s cap under the deal.

Due to the attacks on Saudi Arabia, OPEC’s total production slumped by 1.318 million bpd from August to 28.491 million bpd in September. Additionally, it was found that OPEC pumped 28.45 million bpd of crude oil last month, down by 1.48 million bpd from August – the steepest monthly drop in nearly 17 years.

October 13, 2019

Iran Discovers Natural Gas In Fars Province

On October 13, 2019, Reza Dehghan, director of development and engineering affairs at the National Iranian Oil Company, told reporters that the country had discovered a natural gas deposit in the Eram reservoir in the southern province of Fars.

The development of the Eram gas field will start in two or three years and the gas is set to be used for domestic consumption as well as for Eram itself to prevent a decline in pressure.

Eram also holds as much as 385 million barrels of condensates, whose value could be as much as $40 billion.

October 13, 2019

Russia Takes Interest In Saudi Aramco IPO

On October 13, 2019, Kiril Dmitriev, chief executive officer of Russian sovereign wealth fund RDIF, said that Russian investors are interested in a planned IPO of Saudi Aramco.

Dmitriev was speaking ahead of Russian President Vladimir Putin’s visit to Saudi Arabia, where a global oil output deal between members of OPEC and non-OPEC countries would be discussed.

October 8, 2019

Qatar Invites International Oil Firms to Participate in the Expansion of North Field

The Qatari Minister of State for Energy Affairs Saad Al-Kaabi said his country has recently invited international oil and gas companies (ExxonMobil, Shell, ConocoPhillips, and Total) to submit offers for the expansion of production and export capacity of the Qatari share of the North Field (the world’s largest gas field).

Qatar aims to increase its LNG production capacity by 43%, from the current annual amount of 77 million tons to 110 million tons. The plan is set to be completed by 2024.

October 2, 2019

Saudi Oil Prices for Asia Are Expected to Increase in November

Saudi Arabia is expected to increase crude oil prices for the Asian market as a result of the attack on two Saudi oil facilities and the subsequent reduction in oil output. While the official selling price for Arab Light Crude is expected to jump more than 50 cents per barrel, experts say that prices for November are difficult to forecast due to additional supplies provided to Asian customers by Saudi Arabia, as well as a rapid return to pre-attack production levels.

September 26, 2019

Saudi Oil Exports to China Increase While Iranian Exports Drop

Saudi Arabia held on to its place as China’s largest producer of oil in August, despite the recent oil facility attacks. According to the General Administration of Customs, Saudi Arabia exported 7.79 million tons of oil to China last month. In July, the total of exports was 6.99 million tons.

Meanwhile, Iranian oil exports to China in August dropped to 787,657 tons from 926,119 tons in July.

September 24, 2019

Drop of Saudi Oil Exports After Abqaiq Attack

Saudi Arabia’s oil supply has slipped by approximately 1.5 million bpd since the September 14th attacks on Abqaiq. Nearly 5.7 million barrels per day have been lost as a result of the attack on the refining facilities.

Aramco and the Saudi officials have said that the company is currently working to restore the lost production capacity. According to Reid I’Anson , a global economist at Kpler said, “They have just over 55 million barrels left. They could go another four or five weeks realistically from the rates we’re seeing. That could change based on the internal situation, if they are able to get some of this back online.”

September 17, 2019

Despite Anticipated Setbacks to Aramco Offering, Saudi IPO Planning Goes Forward

According to Reuters, an Aramco pre-IPO meeting with analysts will still go ahead as planned despite last weekend’s attack on oil facilities.

The attack on the Saudi oil facilities might highlight the potential vulnerability of its key infrastructure and raises questions over the appropriate level of risk to be factored in the valuation.

The state-owed company continues to prepare for a local IPO, which the sources said may happen as early as November.

September 17, 2019

Oil Drops to 5% as the Saudis Indicate a Return to Normal Output

Saudi Energy minister, Prince Abdulaziz bin Salman, said in a press conference today that oil output will be back to pre-attack levels by the end of September.

The largest oil processing facility and the nearby oil field were attacked on Saturday knocking out 5.7 million barrels of daily oil production from Saudi Arabia.

September 14, 2019

Saudi Arabia’s Oil Facility in Abqaiq Is Attacked

Saudi Arabia’s main oil facilities have been targeted at their core, causing an interference to their oil output this past weekend. The drone attacks targeted one of Saudi Arabia’s main oil industries, Abqaiq, as well as the nearby oilfields. The origin of these attacks remains unknown. The attack took off the market nearly 5.7 million barrel of Saudi production, which is more than 5% of the global oil supply.

September 9, 2019

Qatar Shortlisted Oil Firms for a Stake in North Field Expansion

Qatar Petroleum CEO and Minister of State for Energy Saad al-Kaabi told Reuters that Doha has shortlisted international oil companies for a stake in the megaproject, North Field expansion.

Total, Exxon Mobil, Shell, and Italy’s Eni have all offered Qatar Petroleum stakes in prize assets abroad in a bid to win a stake in the multibillion project.

The minister said that his country might still choose to go alone in the project unless partnership offers Doha a significant value.

Qatar Petroleum plans to increase its LNG production from 77 to 110 million tons per year over the next five years by building four new production facilities.

September 9, 2019

New Energy Minister in Saudi Arabia Reiterates Commitment to OPEC+

The newly appointed Saudi Energy Minister Abdulaziz bin Salman reiterated the importance of OPEC+ alliance for the market’s balance and the alliance is “staying for the long term”. The new minister told reporters that there will be no radical changes in the oil production policy of Saudi Arabia.

The new minister was appointed on Saturday replacing Khalid Al-Falih, the second change in the position in three years.

September 9, 2019

Saudi Arabia Wants to Enrich Uranium

The newly appointed Saudi Energy Minister Abdulaziz bin Salman said today that his country wants to enrich uranium. The new minister told reporters “we are proceeding with it cautiously … we are experimenting with two nuclear reactors.”

The tender is expected in 2020 while firms from the U.S., Russia, South Korea, China, and France are involved in preliminary talks about the multi-billion-dollar project.

September 6, 2019

Iraq’s Oil Production Hits a Record of $4.88 Million bpd

According to S&P Global Platts, OPEC’s second largest producer Iraq, has reached record oil production of 4.88 million bpd in August.

Iraq’s August production was a 370,000-bpd excess of its 4.51 million bpd cap set in  the OPEC+ production cut policy.

September 6, 2019

Kuwait’s Oil Production Up by 35,000 bpd

According to data released by the Kuwait Oil Company Kuwait’s oil production increased in August by 35.000 bpd to reach 2.69 million bpd. Despite this increase, the production remained below the cap set by OPEC+.

August 29, 2019

Aramco Proposes Two-Stage IPO, Shunning London, Hong Kong

Aramco is considering launching its IPO in two stages. First, on the Saudi stock exchange, Tadawul, then internationally. Initially, the United Kingdom, United States, and China were considered for the second stage, but the unstable political situations in the United Kingdom and Hong Kong begged reconsideration. Aramco also fears facing lawsuits in the United States due to the 2016 Justice Against Sponsors of Terrorism Act, which allows the families of victims of terrorism to sue foreign countries.

August 28, 2019

Crimea Offers Iran Help in Oil Shipping

The Deputy Prime Minister of Crimea, Georgy Muradov, suggested that “Iran can use our shipping capabilities, river-sea canals in such situation and carry oil over the Volga-Don canal, via Crimea, to the Black Sea.” This would allow Iran to bypass the Suez Canal and avoid potential confrontations with Saudi Arabia, Egypt, and the United States. Muradov’s statement comes weeks after Iran’s Grace 1 oil tanker was seized by British Royal Marines off the coast of Gibraltar.

August 26, 2019

Iran Says It Sold Oil on Released Gibraltar Tanker

An Iranian government spokesperson said today that his country sold the oil from the tanker released in Gibraltar without identifying the recipient of the oil nor the destination.

The vessel carries 2 million barrels of oil, and a U.S. federal court has recently ordered the seizure of the tanker. Tehran threatened that a U.S. move to seize the tanker would have heavy consequences.

August 21, 2019

U.S. Says Iran’s Oil Exports Fell to Below 100,000 bpd in July

US Department of State’s special representative for Iran Brian Hook said that US sanctions on Iran’s oil sector have caused a drop in Iranian oil exports to below 100,000 bpd, adding that the sanctions have disrupted nearly $50 billion in annual revenue for the Iranian government.

August 20, 2019

Unit 3 in the UAE’s Barakah Nuclear Energy Plant was successfully Energized

On August 20th, The Emirates Nuclear Energy Corporation (ENEC) announced that it has safely and successfully energized Unit 3’s main power transformer and gas insulated bus. The agency said that the unit’s auxiliary power transformers and excitation transformer were energized in normal operating configuration.

The construction of the UAE’s Barakah nuclear power plant is moving ahead with Unit 1 complete, Unit 2 stands at 95%, Unit 3 at 91%, and Unit 4 at 82%.

August 20, 2019

Aramco’s Motiva to Buy Flint Hills Port Arthur, Texas Chemical Plant

Aramco’s refinery branch in the United States, Motiva, signed an agreement to purchase the Flint Hills Resources chemical plant near its Port Arthur operations in Texas. The details of the agreement have yet to be released. Motiva’s Port Arthur refinery is the largest in the United States.

August 19, 2019

Saudi Aramco Opens Bids for IPO

Saudi Arabia asked several banks to submit proposals for potential roles in the expected initial public offering. It is currently unknown which banks have received requests from Aramco, but Saudi energy minister, Khalid Al-Falih, said Aramco would go public by 2021.

August 18, 2019

Dubai Electricity and Water Authority Awards $380 Million Contract for Hatta Dam

The contract was awarded to Strabag Dubai, Strabag AG, Andritz Hydro and Ozkar, to be commissioned by 2024. The dam is expected to generate 250MW of power. The project is part of a 2016 ten-year plan to transform the Hatta region.

August 12, 2019

Oil Prices Stabilize as Saudi Arabia and Kuwait Are Expected to Reduce Output

Today oil price continued to stabilize despite fear of slowing oil demand as a result of the U.S.-China trade war. Oil price steadiness was motivated by statements from Kuwait’s oil minister who evidenced his country’s commitment to the production cut accord as Kuwait has lowered its oil production by more than required by the OPEC+ agreement.

Also, about Saudi Aramco’s IPO, an analyst at Price Futures Group said “The Saudis will need a higher price for oil for its IPO, and this confirms they’ll do whatever it takes to get oil prices up”

August 5, 2019

Russian and Saudi Energy Ministers Meet in Moscow

Saudi Energy Minister Khalid Al-Falih met his Russian counterpart Alexander Novak in Moscow alongside the heads of several Russian energy companies involved in cooperation with Saudi Arabia.

The Russian president Vladimir Putin is set to visit Riyadh in October. Additionally, Saudi Aramco is among the contenders to join Russia’s Arctic LNG-2 project.

July 29, 2019

Yemen Calls Oil on Companies to Resume Production

Ministry of Oil and Minerals Abdullah al-Awd urged national and international oil companies to resume production.

Yemen’s oil production has collapsed since the start of the war in 2015. Currently, Hadi’s government controls Yemen’s oil and gas fields in the south, while the Houthis control the oil terminal of Ras Issa on the western coast.

Last February al-Awad said Yemen has plans to increase production to 110,000 bpd. The country’s main oil streams are light and sweet Marib and medium-gravity and more sulfur-rich Masila.

July 29, 2019

Oman to Increase its LNG Production by 10% in Two Years

Mohammed al-Naseeb, Chief Marketing Officer of Oman LNG told S&P Global Platts that his country is planning to increase its LNG production by 10% from 10.5 to 11.5 million mt/year through debottlenecking.

The sultanate is also investing in the exploration and development of several oil and gas fields.

July 26, 2019

Saudi Arabia to Expand Export Capacity from East-West Pipeline

Saudi Energy Minister Khalid Al-Falih said his country is planning to increase oil exports by 40% through the east-west pipeline via the Yanbu port city on the Red Sea to avoid passing through the Strait of Hormuz.

Currently, the pipeline capacity is at 5 million bpd and the Saudi government is planning to increase it to 7 million bpd within two years.

July 26, 2019

Oman Expects More Oil and Gas Discoveries in the Northwest

Omani Oil and Gas Minister Mohammed al-Rumhi said his country is expecting to discover more oil and gas in the northwest part of the sultanate near Mabrouk field which holds four trillion cubic feet of gas and 112 million barrels of condensate.

Oman is the biggest non-OPEC oil producer in the Middle East with production in June 2019 at one million bpd of oil and condensate. Muscat also produces 3 billion cubic feet of gas per day with plans to increase investment on gas production and exploration.

July 23, 2019

New Agreement Between UAE’s ADNOC and China’s CNOOC

On the sides of MBZ’s visit to China, UAE’s ADNOC signed an agreement with China National Offshore Oil Co (CNOOC) to explore and develop oil and LNG fields.

CNOOC Group’s statement said the companies will share the latest technologies to develop ultra-acidic natural gas fields. The agreement also includes enlisting other Chinese companies to design, construct and provide services for ADNOC oilfields.

July 22, 2019

Morgan Stanley Doesn’t See Gulf Tension Leading to a Sustained Jump in Oil Prices

As oil price went up by 2% today after Iranian seizure of a UK oil tanker, Morgan Stanley said that it does not expect the tension near the Strait of Hormuz to lead to a sustained increase in oil prices.

Morgan Stanley’s global oil strategist Martijn Rats told CNBC “There is a difference in the oil market this time around because non-OPEC is simply growing so fast. That is the real game changer and that’s why the price action is relatively benign,”

July 22, 2019

Saudi Arabia to Start its First Wind Power Plant

Saudi Arabia plans to build its first wind power plant with French Electricite de France and Emirati Mubadala Investment Co.
The project is set to start generating power in three years while the Saudi government has pre-qualified 60 companies to bid for 12 renewable projects in 2019.
Riyadh has plans to increase its reliance on LNG and renewables to generate power instead of oil, of which it now uses 600,000 bpd.

July 19, 2019

U.S. to Become the World’s Largest LNG Exporter by 2024

An official at the International Energy Agency expected that by 2024 the U.S. will become the world’s largest LNG exporter by exporting over 100 billion cubic meters, exceeding current top exporters Qatar and Australia.

The source also said China’s imports of LNG are expected to rise to over 100 billion cubic meters by 2024, exceeding those of Japan.

July 17, 2019

UAE’s ADNOC State-Run Oil Company Plans Overhaul

Reuters report said UAE’s state-run oil company is planning an overhaul of its trading operations by launching regional oil benchmarks and hiring the former employees of private-sector peers. The company also plans to start full in-house trading for refined oil products.

UAE is OPEC’s third-largest oil producer and has plans to boost its oil production to 4 million bpd by 2020.

July 15, 2019

IEA Forecasts an Oversupplied Oil Market in 2020

In a report released last Friday, The International Energy Agency revealed it expected an over-supply of oil for 2020. The IEA also expects oil demand from OPEC’s 14 members to drop to 28 million bpd during Q1 of 2020, the lowest in 16 years.

The Paris-based organization linked the oil glut to the stock buildup that has resulted from the market’s oversupply in 2018, 2019 and the growing production by the United States and other non-OPEC members.

July 12, 2019

OPEC Forecasts Lower Demand in 2020

In its monthly report, OPEC expected lower oil demands in 2020 with a 1.34 million bpd drop from this year to be at 29.27 million bpd from the 14 member-states.

The drop of oil demands from OPEC members was linked to the increase of oil supply from non-OPEC oil producers, mainly the U.S.

This forecast will probably give the U.S. more room to keep sanctions on OPEC members, Iran and Venezuela.

July 10, 2019

Saudi Arabia to Expand Marjan and Berri Oilfields

Saudi Aramco awarded an $18 billion contract to various companies for the expansion of Marjan and Berri oilfields with expectations to add 550,000 bpd of Arabian Crude to its production.

Amin Nasser, Armaco’s president and CEO said “These two programs will significantly enhance Saudi Aramco’s oil production and gas processing capabilities.”

July 10, 2019

Oman’s Petrogas and HitecVision to Buy Total’s British North Sea Oilfields

HitecVision and Oman’s Petrogas have teamed up to buy a portfolio of Total’s British North Sea oilfields for $635 million.

The oilfields currently produce 25,000 bpd but the two companies have plans to expand the production to 100,000 bpd within 2-3 years.

July 9, 2019

Saudi Arabia Pumped 9.7 Million bpd in June

According to a source at OPEC, Saudi Arabia pumped 9.78 million bpd in June, a slight increase from the 9.67 million bpd produced in May.

The production level remained below the 10.3 million bpd, Riyadh’s production quota in OPEC’s oil reduction pact.

July 2, 2019

OPEC+ Agree to Extend Production Cut till March 2020

One day after OPEC members reached a deal to extend oil production cuts till March 2020, Russia and nine other non-OPEC oil producers joined the extension of the cuts.

Russian Energy Minister Alexander Novak told reporters that “it is right not to make any sudden movements now and maintain the situation as it is,” meanwhile, OPEC+ will monitor the situation and make necessary changes when needed.

July 2, 2019
June 28, 2019

Saudi Arabia and Russia are Discussing the Extension of Supply Cuts

Russian Energy Minister Alexander Novak said today that his country and Saudi Arabia are still discussing the extension of the production cut policy.

An OPEC+ meeting is set for Tuesday, July 2 in Vienna, meanwhile, OPEC’s top producers, Saudi Arabia, Iraq, UAE and Kuwait have supported the extension of the deal.

June 28, 2019

UAE Became Japan’s Largest Oil Supplier in May

Last May the UAE became Japan’s largest oil supplier as it increased oil exports to Japan by 42.8% from April to average 1.03 million b/d.
Japan is Asia’s third-largest energy consumer and the spike of oil imports from the UAE was to make up for the loss of Iranian oil as US waivers ended at the beginning of May.

June 26, 2019

Oil Price Rose 2.4% As U.S. Oil Inventories Fell by 12.8 Million Barrels

Today oil price of West Texas Intermediate and Brent surged 3.3% and 2.4% respectively after the Energy Information Administration report said that the U.S. oil inventory fell by 12.8 million barrels last week, the largest decrease since September 2016.

June 26, 2019

Saudi Aramco Signs 12 Agreements with South Korean Companies

During a visit of the Saudi Crown Prince Mohammad Bin Salman to South Korea, Aramco signed 12 new agreements with Korean companies on refining, oil sales, petrochemicals, and other industrial projects.

June 25, 2019

Iran’s Oil Exports in June Drop to 300,000 bpd

Industry sources and tanker data show that Iran’s oil exports in June 2019 have dropped to 300,000 bpd from 400,000-500,000 bpd in May 2019, a fraction of Iran’s 2.5 million bpd of oil exports from May 2018 prior to U.S. sanctions.

June 25, 2019

Platts Analytics: LNG Prices Could Double if Hormuz Strait is Disrupted

In its latest Global LNG Monthly Forecast, S&P Global Platts Analytics projected a 100% increase of LNG prices if Qatar LNG exports through Hormuz Strait is blocked.

The report said the closure of the Strait, Qatar’s only route to export LNG, will remove Qatar’s 280 million cu m/d, which makes 22% of the world’s demand.

June 19, 2019

OPEC and OPEC+ to Meet in July 1 & 2

OPEC has announced on its website that its June meeting was pushed to July 1st, and the following day will be for the OPEC+ meeting in which oil producers are expected to discuss the extension of the production cut policy.

June 14, 2019

ExxonMobil and Saudi SABIC to Build Petrochemical Project in Texas

Saudi Arabia’s petrochemical company SABIC and U.S. oil and gas corporation ExxonMobil agreed to proceed with the construction of a chemical facility and a 1.8 million metric ton ethane steam cracker in San Patricio County, Texas.

The project will create 6,000 jobs during construction and 600 permanent jobs. The economic output will exceed $50 billion during first six years.

June 12, 2019

Brent Drops 3.7% to Reach $59.96 As U.S. Inventories Rose by 2.2 Million Barrels

Today Brent dropped by 3.7% to reach $59.96. The sharp drop was linked to data released by the U.S. Energy Information Administration which showed U.S. oil inventories increased by 2.2 million barrels in the week through June 7.

This price is 20% lower than the highest price reached in April and comes at a time when there are concerns that the ongoing U.S.-China trade war is weakening oil demands.

June 12, 2019

BP Raises Estimates of Saudi Arabia’s Oil Reserves by 30 Billion Barrels

In a recent annual statistic report, BP raised oil reserve estimates for Saudi Arabia by 11% (30 billion barrels) to reach 297.7 billion barrels from 266.2 billion a year earlier. The new figure puts Saudi Arabia 6 billion barrels behind Venezuela which has the world’s largest oil reserve estimates.

The estimation increase happened as Saudi Arabia separated the estimations of oil, gas and natural gas reporting.

June 10, 2019

Saudi Aramco Announces Plans to Invest in Russia’s LNG Sector

During his visit to Russia, Saudi Energy Minister Khalid Al-Falih said his country has made an offer to join Russian Novatek’s Arctic LNG 2 project.

Al-Falih also said that Riyadh is studying the possibility of future investments in Rosneft and Gazprom’s LNG projects, plus Russia’s Sibur petrochemical company.

June 10, 2019

Iran Has No Plans to Leave OPEC

Iranian Oil Minister Bijan Zanganeh told the Iranian parliament news site ICANA that his country has no plans to leave OPEC despite his belief that Iran is treated like an enemy by Saudi Arabia and the UAE.

The minister regretted that OPEC has “turned into a political forum” and that some OPEC members “use oil as a weapon against us [Iran] in the global market and world.”

June 7, 2019

IEA: Natural Gas Demand to Increase by 10% until 2024

The International Energy Agency said demand for natural gas grew 4.6% in 2018, the fastest annual growth in 10 years, and it is expected to increase by 10% until 2024 when it will reach more than 4.3 trillion cubic meters.

IEA said China will account for 40% of this increased demand as it shifts from coal and oil to cleaner energy sources. This increase is also expected in India, Bangladesh, and Pakistan.

June 6, 2019

Putin Says Moscow Differs with OPEC on Fair Price

Two weeks before OPEC+ group meeting, Russian President Vladimir Putin said Moscow differs with OPEC’s members on what constitutes a fair oil price. He said a $60-$65 per barrel suites Moscow, while OPEC’s de facto leader Saudi Arabia seeks a higher price.

June 6, 2019

Iraq Supports the Extension of OPEC’s Oil Production Cuts

Iraqi Oil Minister Thamer Ghadhban said his country supports the extension of OPEC’s oil production cut policy set to expire this month. The minister said the policy proved its effectiveness in stabilizing the oil market. The minister added that more measures should be taken considering recent developments in the market.

June 5, 2019

Saudi Aramco and UAE’s ADNOC to Open Oil Trading Office in Fujairah Port

Saudi Arabia’s Aramco and the UAE’s ADNOC announced this week about the establishment of oil trading offices in UAE’s eastern Al-Fujairah port. Both companies aim to gain more access to the market in the world’s second largest bunkering hub, mainly as the port is increasing its storage capacity.

June 3, 2019

Iraq Awards Hyundai a Deal to Construct Seawater Injection Facility

The director of Iraq’s state-run Basra Oil Company said Baghdad has awarded Hyundai Engineering & Construction Co Ltd a deal for the construction of a seawater injection facility with an estimated cost of $2.4 billion.

The project is set to be completed in four years, and is vital to the planned increase of Iraq’s oil production

June 3, 2019

OPEC+ Deal For the Second Half of 2019 is Emerging

Saudi Energy Minister said a consensus among the OPEC+ group is emerging, and aims to ensure stability in the oil market.

Al-Falih said “We will do what is needed to sustain market stability beyond June. To me, that means drawing down inventories from their currently elevated levels,”

June 3, 2019

Britain’s INEOS to Build Three Petrochemical Plants in Saudi Arabia

Saudi Aramco and France Total have signed an MoU with Britain’s INEOS to build three petrochemical plants in Saudi Arabia as part of the Jubail 2 complex with an estimated cost of $2 billion.

The three plants are expected to produce key building blocks for carbon fiber, engineering polymers and synthetic lubricants that are essential to economic growth in the region.

June 2, 2019

Bahrain will Allow Foreign Investors to Own 100% Stakes of Oil & LNG Extraction Projects

On Sunday, the Bahraini Prime Minister issued an order allowing foreign companies to own 100% of oil and natural gas extraction projects.

May 31, 2019
May 31, 2019

OPEC’s May Production Drops

Reuters survey showed that OPEC’s 14 members have pumped 30.17 million bpd in May, 60,000 bpd less than April and the lowest in four years.

The survey suggests that Saudi Arabia has pumped oil more than the previous month, yet it was less than its quota in the OPEC-led production cut deal and not enough to compensate for the loss of Iranian oil exports.

May 30, 2019

Russia Considers the Extension of Oil Production Cut Policy

Russian First Deputy Prime Minister Anton Siluanov said Moscow will carefully consider the extension of oil production cut policy agreed with OPEC last December.

Siluanov said Russia will weigh the benefits of the extension on oil prices mainly as the U.S. shale oil production increase has gained new markets.

May 29, 2019

Reuters: Iran’s May Oil Exports Drop to 400,000 bpd

Reuters report cited tanker data and industry sources that showed a drop in Iran’s oil exports in May to 400,000 bpd.

Oil exports have dropped from at least 2.5 million bpd in April 2018 as a result of U.S. sanctions on Tehran.

There is no definitive data about Iran’s oil exports since Iran stopped reporting its production figures to OPEC.

May 28, 2019

Kuwaiti Oil Minister Expects Market to Balance

Kuwait oil minister told Reuters that he is expecting to see a balance in oil market by the end of 2019 as global inventories fall and demand remains strong.

The Kuwaiti minister explained that oil demand growth faces uncertainty as a result of the U.S.-China trade dispute, and at the same time, U.S. oil production continues to rise.

May 24, 2019

Iran’s Oil Storage is Growing

Reuters report says Iran’s storage of oil is increasing as Tehran continues to pump oil even as exports are expected to continue dropping.

It is important for Iran to keep pumping oil from its aging fields since disruption could damage future production and because the high the costs of resuming production if it should come to a stop.

May 24, 2019

India Ends All Oil Imports from Iran

The Indian Ambassador the U.S. Harsh Vardhan Shringla said his country has ended all oil imports from Iran after the expiration of waivers on May 2.

The Indian diplomat explained that the sanctions did hurt New Delhi as it used to import 10% of its oil supplies from Iran.

May 22, 2019

Saudi Aramco Makes its First Direct Investment in U.S. LNG Sector

Aramco has made an agreement to buy LNG from the Port Arthur LNG export project developed by San Diego-based Sempra Energy.

The deal includes the purchase of 5 million tons of LNG per year and a 25% equity stake in the first phase of the multibillion-dollar project.

May 22, 2019

Iraq to Increase Oil Production from West Qurna 1 Oilfield

A senior Iraqi oil official announced a decision to increase oil production from West Qurna 1 Oilfield from 440,000 to 490,000 bpd. The oilfield is developed and operated by ExxonMobil.

May 21, 2019

Turkey is Compliant with U.S. Sanctions on Iranian Oil Exports

A Reuters report found that Turkey has complied with the U.S. sanctions by closing its ports to Iranian oil.

Earlier this month, the U.S. did not extend its sanctions waivers for Turkey and other nations to continue buying oil from Iran. The U.S. decision faced major criticism from Ankara.

May 20, 2019

Bahrain’s Bapco to Expand Its Refining Capacity

State-run oil company Bahrain Petroleum Co (Bapco) has completed financing its refining capacity expansion plans. Expansion is expected to be completed by 2022 and will increase the company’s refining capacity from 267,000 bpd to 380,000 bpd.

According to Reuters, the financing has exceeded $4 billion and is to include five export credit agencies and a syndicate of 21 commercial banks.

May 20, 2019

OPEC+ Group Meets in Saudi Arabia

Last weekend OPEC, Russia, and other oil producers met in Saudi Arabia to discuss the current supply of the oil market. Major oil producers did not make a decision about current production cuts and decided to leave the decision to their upcoming meeting in June.

The Saudi Energy Minister Khalid Al-Falih said oil producers agreed to gradually lower oil inventories to normal levels.

May 17, 2019

Aramco to Supply India with Oil to Compensate for Lost Iranian Oil

Saudi Arabia will increase its supply to the Indian Oil Corp by two million barrels per month between this upcoming July and December to compensate for the lost oil exports from Iran.

Aramco has an agreement with the Indian Oil Corp to export 5.6 million tons of oil for the financial year 2019/20 that started on April 1st.

May 15, 2019

Saudi Arabia Resumes Oil Pumping Via Its East-West Pipeline

Today Saudi Arabia resumed pumping oil via its East-West pipeline one day after it shut it down as a result of drone attacks on two pumping stations. The pipeline transports oil from the Eastern Province to Yanbu port.

May 14, 2019

Oil Price Rise After Attack on Oil Infrastructure in Saudi Arabia

Oil prices rose today after reports of drone attacks by Yemen’s Houthis on two oil pumping stations in Saudi Arabia. Brent barrel increased by 1.3% to reach $71.14, and West Texas reached $61.67 per barrel, a 1.03% increase.

Saudi Energy Minister Khalid Al-Falih confirmed that the fire was contained and oil production was not interrupted as a result of the attack.

May 9, 2019

Saudi Arabia to Meet All Orders From Former Buyers of Iranian Oil

Bloomberg report said Saudi Arabia is willing to meet all oil orders it received for June including from countries that stopped buying Iranian oil as a result of U.S. sanctions.

The report expected that Saudi oil exports for June will remain below 7 million bpd, well under the 10.311 million bpd quota agreed to by Riyadh in the production-cut agreement between OPEC and its allies.

May 7, 2019

Asian Economies Buy More Oil from Saudi Arabia at a Higher Price

Bloomberg Report talked about an increase in oil supply and price from Saudi Arabia to Asian countries while these states are looking for a replacement of Iranian oil ousted from the market as a result of discontinued sanctions waivers.

The price of Arab Medium crude was set at the highest in more than four years, while Arab Heavy was set at the highest price in more than six years.

May 7, 2019

Iraq is Close to Making a $53 Billion Deal with ExxonMobil & PetroChina

Iraqi Prime Minister said his country is close to finalizing a $53 billion deal with ExxonMobil and PetroChina to develop the Nahr Bin Umar and Artawi oilfields and raise their production from 125,000 to 500,000 bpd.

The development of the two fields is expected to make $400 billion over the 30 years the deal will be in effect.

May 6, 2019

Oman’s 2018 LNG Revenues Increased by 60%

The 2018 annual report of Oman Liquefied Natural Gas Company showed that the company’s total revenues increased by 60% to reach $3.50 billion, a sharp increase from $2.19 billion in 2017. Meanwhile, its net income increased by 68% to $1.79 billion in 2018, from $642 million in 2017.

The report showed that Oman’s LNG production rate hit 10.4 million tons in 2018, up from 8.60 million tons in 2017. The jump in profit is attributed to increased production and price.

May 3, 2019

Iran’s Oil Minister Warns OPEC is “likely to collapse”

After his meeting with OPEC Secretary General Mohammed Barkindo in Tehran yesterday, the Iranian Oil Minister Bijan Zangeneh said “OPEC is being threatened due to unilateralism by certain members and this organization is likely to collapse,”

Last Thursday the U.S. announced it was ending sanctions waivers for Iran’s top oil buyers, while President Trump said that the UAE and Saudi Arabia (both OPEC members) will increase oil production to cover any gap in global oil supply expected after ending Iran sanctions waivers.

April 30, 2019
April 30, 2019

OPEC Oil Supply in April Hits A Four-Year Low

Reuters survey found that April’s oil production from OPEC members was at 30.23 million bpd, 90,000 lower than March and is the lowest since 2015.

The four-year low oil supply is linked to production cut policy and the drop of exports from Iran and Venezuela as a result of U.S. sanctions.

The survey found that 11 of the 14 members achieved 132% of pledged cuts compared to 145% in March. Meanwhile, the involuntary production drop from Iran and Venezuela hit 150,000 bpd and 100,000 bpd respectively.


April 24, 2019

Global Spare Oil Production Capacity Increased to 3.3 Million b/d

In a statement by the International Energy Agency (IEA), the organization said oil markets are adequately supplied and “global spare production capacity remains at comfortable levels.”

IEA estimated the global spare production capacity to be at 3.3 million bpd (2.2 million from Saudi Arabia and 1 million from the UAE, Iraq, and Kuwait). The statement linked the increase of spare production capacity to the oil producers’ high compliance with the production cut agreement in the OPEC+ group.

April 23, 2019

Gulf States’ OPEC Members Are Ready to Increase Production

OPEC and oil industry sources said that Arab Gulf OPEC members are ready to increase production if there is a shortage in oil supply. This comes one day after the Trump Administration decided to not renew waivers for Iranian oil importers.

Reuters sources said that Saudi oil production for May is not expected to be much higher than April, while Saudi Energy Minister Khalid Al-Falih said that Riyadh will coordinate with other oil exporters to ensure adequate oil supplies to the market. Other sources in OPEC clarified that in order to increase output “There must be actual impact on the market and a real demand from customers,”

April 22, 2019

Trump Will Not Renew Iran Sanction Waivers

The White House said today in a statement that President Donald Trump will not renew Iran sanction waivers with intentions to bring Iran’s oil exports to zero. The statement said that the U.S., along with Saudi Arabia and the United Arab Emirates will ensure that oil markets are adequately supplied.

Oil prices rose to $73.87 a barrel on Sunday and Monday with reports that the waivers will not be extended.

April 19, 2019

Saudi Arabia Expects Oil Market to Balance in 2019

An official in the Saudi Energy Ministry expects the oil market to balance this year as a result of the oil production cut policy agreed between OPEC and its allies. Also, Russian Energy Minister Alexander Novak told reports in Moscow that Russia has been committed to the production cut policy.

April 17, 2019

India Looks for Replacement for Iranian Oil

Prior to the expiration of U.S. waivers to buy oil from Iran, officials from India’s state-owned refineries told Reuters they are confident of securing oil imports from the U.S., Mexico, Saudi Arabia or Iraq.

The four refineries did not place oil supply orders with Iran for May, while last year several refineries signed agreements with Baghdad to import Iraqi oil during 2019.

April 16, 2019

Oil Price Dropped and U.S. Oil Stockpiles Are Up

Oil price dropped slightly today after comments from Russia raised concerns about the renewal of the oil cuts agreed to by Russia and OPEC. Also, as analysts expected the U.S. oil stockpiles have increased by 1.9 million barrels last week, the fourth straight increase.
OPEC is set to meet in June to discuss the extension of the production cuts agreement to the end of 2019. In previous comments from officials in OPEC member-states, the cuts will be decided based on the status of oversupply in oil markets.

April 15, 2019

Investors Are Avoiding Iranian Oil

Bloomberg report said Tehran has offered investors as much as 6 million oil barrels in 2019 and only one deal was closed for the minimum of 35,000 barrels. This week Iran has offered another million barrels of light crude for a 6% down payment and 90 days of credit.

Iranian oil exports have significantly dropped since the U.S. reinstated sanctions in 2018. Deputy head of the Iranian Association for Energy Economics, Morteza Behrouzifar said: “Iran’s crude is sanctioned and under no circumstances can anyone buy Iranian crude except those who were granted waivers.”

April 11, 2019

OPEC May Raise Oil Production from July

Reuters report said OPEC might increase oil production starting from July if Iran and Venezuela oil production drops and prices increase.

Last month Venezuela’s oil production dropped to 1 million bpd, and it is expected that Iran’s oil exports will further drop in May.

OPEC is expected to meet on June 25-26 to decide whether or not to extend the oil cuts or not.

April 9, 2019

Saudi Aramco Issues $12 Billion in Bonds

Saudi Arabia issued $12 billion of bonds for its state-run oil company Aramco. The demand for Saudi Aramco’s debut offering was so robust it allowed the company to borrow at a lower yield than its sovereign parent. The high demand to buy Aramco’s debt has also helped to lower the borrowing costs for Riyadh.

The bond sale was managed by JPMorgan, Morgan Stanley, Citigroup Inc., Goldman Sachs Group Inc., HSBC Holdings Plc, and NCB Capital Co.

April 9, 2019

Oman Awards French Total Block 12 Exploration Rights

The Omani government awarded France Total 100% exploration and operatorship rights in onshore Block 12. The Block is spread over an area of 3860 square miles and believed to have significant gas resources.

Prior to that, Total, Oman’s Ministry of Oil and Gas and Oman Oil Company reached an agreement to execute their integrated gas project to develop gas resources in the Greater Barik area in Blocks 10 and 11. In 2018, Total’s oil production in Oman was 38,000 bpd.

April 8, 2019

Saudi Energy Minister Says OPEC and non-OPEC to Make a Decision on Oil Cuts Extension in May

Saudi Energy Minister Khalid Al-Falih said OPEC and non-OPEC members will meet next month to make a decision about the extension of oil cuts.

The meeting -also known as JMMC- will include major oil producers such as Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Nigeria, and Kazakhstan.

About the possibility of Saudi Arabia making more output cuts, the Saudi minister said “I don’t think we will need (to do more) … the market is on its way toward balance. We have done a lot more than others,”

April 2, 2019

Saudi Arabia Threatens to Stop Oil Trade in USD if NOPEC Passes

Reuters report said that Riyadh is threatening to use currencies other than U.S. dollar in its oil sales if NOPEC passes. The bill would expose OPEC member-states to antitrust lawsuits. The report mentioned that Riyadh has discussed the matter with other OPEC members, and communicated the threat to American officials.

April 2, 2019

Saudi Arabia’s Largest Oil Field Produces Less Than Expected

An Aramco report released yesterday revealed the real production capacity of the Saudi Ghawar oil field, the world’s largest at 3.8 million bpd, well below the 5 million bpd widely known in the oil market.

Ghawar’s production capacity suggested in the report is 33% less than the U.S. government estimations in 2017 when the U.S. Energy Information Administration listed Ghawar’s production capacity at 5.8 million bpd. Also, the new figure puts the U.S. Permian oil production basin as the largest world’s producer since it pumped 4.1 million bpd in March.

April 1, 2019

Survey Shows OPEC Oil Production Reached Four-Year low

According to Reuters survey, OPEC oil production during March reached a record low in four years due to Saudi Arabia’s production cuts and Venezuela’s sanctions and power outages.

The survey showed that OPEC member-states produced in March 30.40 million bpd, 280,000 less than February production. Also, last month 11 of the 14 OPEC member-states achieved 135% of the pledged cuts, 34% more than February. The biggest cuts came from Riyadh which produced 220,000 bpd less than February.

March 29, 2019

Japanese Refineries Halt Oil Imports from Iran

According to industry sources and data on Refinitiv Eikon, Japanese Refineries halted imports of Iranian oil ahead of the expiry of a temporary waiver on U.S. sanctions. The waiver expires in early May, however, Japanese refineries want to ensure enough time for all cargoes to arrive to Japan and payment to be completed.

As its imports of Iranian oil fell, Japan has increased imports from other Gulf states, in addition to Russia and the Americas.

March 27, 2019

Aramco Buys Majority Stakes in Sabic

Aramco reached a deal to buy majority stake in petrochemicals firm Sabic from Saudi Arabia’s sovereign wealth fund. In the deal Aramco will buy 70% stake in Sabic held by Saudi Arabia’s Public Investment Fund for $69.1 billion in a share purchase agreement.

The purchase is a major step for Aramco’s efforts to expand its footprint in refining and petrochemicals.

Public Investment Fund Managing Director described the deal as “a win-win-win transaction and a transformational deal for three of Saudi Arabia’s most important economic entities.”

March 26, 2019

Bahrain LNG Terminal Begins Operations in May

Bahrain’s LNG terminal within the Khalifa bin Salman Port facility in Hidd will starts commercial operations in May. The first LNG shipment will mostly be imported from the UAE’s Abu Dhabi National Oil Company.

Bahrain’s National Oil and Gas Authority Chief Executive Jassem al Shirawi said his country made agreements with more than 25  companies and countries to import LNG from around the world.

March 20, 2019

The U.S. is about to Claim Saudi Arabia’s Energy Exporting Crown

Rystad Energy research firm expects U.S. to surpass Saudi Arabia’s title as world’s largest exporter of oil, natural gas liquids and petroleum products.

Over the past decade, drilling innovation has increased shale oil production, and overall oil production in the U.S. has more than doubled in the last decade, which made the U.S. the world’s largest oil producer surpassing Saudi Arabia and Russia.

Saudi Arabia’s daily exports of oil, gas, and petrochemical liquids are 9 million barrels, exceeding the U.S. by one million barrel, a gap that will probably vanish according to Rystad experts.

March 20, 2019

Morgan Stanley Sees Oil Prices Rising to $75

Morgan Stanley sees oil prices rising to $75 by the third quarter of 2019. Analysts at the American banking and investment company are more convinced now that OPEC is able to drain oversupply in the oil market since it has extended its production cuts and could possibly increase them.

The analysts also linked their forecast to the deteriorated situation in Venezuela which could affect the country’s oil production.

March 19, 2019

Oman Awards Ibri II Solar Independent Power Project

A joint Saudi Kuwaiti companies consortium won a $400 million bid to develop the Ibri II Solar Independent Power Project for the Oman Power and Water Procurement Company.

The project has a generation capacity of 500 MW and will supply 33,000 homes with electricity which will offset 340,000 tones of carbon dioxide emissions a year.

March 19, 2019

OPEC Cancels April Meeting

OPEC members decided to cancel their meeting planned for April, leaving the current production cuts in place until the group’s usual meeting in June.

Saudi Energy Minister Khalid Al-Falih said OPEC expects the oil market to remain oversupplied until June, and the delay will allow the group to assess U.S. sanctions’ impacts on Iran and Venezuela oil production.

March 17, 2019

Iran Inaugurates Four New Phases of the South Pars Gas Field

Iranian President Hassan Rouhani inaugurated four new phases of the South Pars gas field. The field is the world’s largest gas field and it is shared with Qatar.

Iran has invested $11 billion to complete the new phases and it will increase its gas production capacity by 110 million cubic meters per day.

Oil minister expects gas production from the South Pars field to reach 750 million cubic meters per day by the end of this year.

March 15, 2019

Venezuela Oil Production Could Drop; Would Saudi Arabia Increase its Output?

The International Energy Agency warns that power failure in Venezuela could disrupt oil supplies, which raises expectations of Saudi Arabia’s intervention to balance the market and cover any supply shortages, mainly because Riyadh made the highest production cuts among OPEC members in the recent OPEC production agreement.

March 14, 2019

Iraq’s Oil Exports to Drop to 3.5 Million bpd in March

Iraqi oil minister said his country is planning to drop oil exports in March to 3.5 million bpd in compliance with Iraq’s quota decided by OPEC last January.

Iraq is OPEC’s second largest producer, and its new exports target is 100,000 bpd lower than Jan and Feb exports.

OPEC members will meet in Vienna next month to discuss extending production cuts till end of 2019.

March 14, 2019

India’s Oil Imports from Iran Drop 60% from Last Year

India’s oil imports from Iran dropped to 260,000 bpd in February 2019; 60% lower than February 2018.

Iran was the third oil supplier to India in February 2018, while now it is ranked the eighth.

The sanctions waivers provided by the U.S. to India allows New Delhi to import up to 300,000 bpd from Iran until May 2019.

March 12, 2019

Iran to Launch Four Development Phases At South Pars Gas Field

Iranian oil minister says his country will launch four new phases in the South Pars gas field with a production capacity 110 million cubic meters per day.

The field is the world’s largest gas field and it is shared between Iran and Qatar. Last month, Iran’s production capacity reached 610 million cubic meters per day.

Last year both French Total and China National Petroleum Corp ended the investment in the field as the U.S. re-imposed sanctions on Tehran.

March 11, 2019

Saudi Arabia to Cut Oil Production and Exports for April

Saudi official source said Riyadh’s oil exports on April will be 7 million bpd while demands are at 7.6 million bpd.

The new exports target will keep production well below 10 million bpd, also below Riyadh’s 10.3 million bpd production quota agreed with OPEC members.

The decision shows Saudi Arabia’s determination to regain control over oil prices.

March 8, 2019

United States to become World’s Leading Oil Exporter in 2019

CNN reports says the US will surpass Saudi Arabia in 2019 in the exports of oil and petroleum products to become the world’s leading exporter of oil.

This breakthrough is mainly attributed to technology which changed the landscape of energy market.

March 7, 2019

Saudi Arabia Discovers Large Quantities of Gas in the Red Sea

On March 7, 2019, the Saudi Minister of Energy Khalid Al-Faleh said his country has discovered large quantities of gas in the Red Sea.

The minister also reiterated Saudi Arabia’s Aramco plans to invest in the U.S. LNG sector.

March 4, 2019

Current OPEC’s Oil Production Cuts to be Extended Until June

According to Reuters, OPEC and its OPEC+ partners will likely extend the current oil production policy until June, instead of making a new decision during the upcoming meeting in April.

Last month supplies from OPEC members fell to lowest in four years, and today oil price went up 1% in light of reports about a possible agreement between China and the U.S. to end the “trade war”

February 28, 2019

Qatar Petroleum and ExxonMobil Discover Natural Gas Field in the Mediterranean

Qatar Petroleum and ExxonMobil announced discovering the world’s third largest natural gas field found in the last two years which approximately contains 5 to 8 trillion cubic feet.

The field was found off the coast of Cyprus in the Eastern Mediterranean. State-owned Qatar Petroleum and ExxonMobil won in 2017 the rights to explore the area for gas and oil.

February 27, 2019

Saudi Oil Exports to U.S. Gulf Refineries Down by Half

According to U.S. Customs data, Saudi oil shipments to U.S. Gulf refineries reached 2.69 million barrel in January and 1.6 million in February comparing to 5.75 million last year.

Total Saudi oil exports to the U.S. fell in the third week of February to 346,000 bpd, the lowest in almost nine years.

An expert expected West Coast refineries to continue importing Saudi oil due to limited supply options.

February 26, 2019

Bahrain Discusses with U.S. Oil Companies Developing Recently Discovered Fields

Last April Bahrain discovered its biggest oilfield since the 1930s with estimation to contain 80 billion barrels of tight oil.

Yesterday, Bahraini oil minister said Manama is considering the development of the oilfield by American companies with shale oil expertise.

February 26, 2019

Saudi Arabia Plans Major Investments in LNG

Saudi Arabia announces plans to become a major player in the growing natural gas industry and looking to make investments in Russia, Australia, the U.S., and Africa.

Saudi Aramco Chief Executive said: “Gas is a major market and we want to be one of the largest players,”

Riyadh is planning to increase its LNG export to 3 billion cubic feet per day by 2030, and replace the 800,000 oil barrels used daily to generate electricity with LNG.


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