As OPEC+ meets once more next Monday, speculation has been rife regarding the oil group’s intentions to bring more crude into the market. Whilst prices are still near the $80 per barrel mark, with Brent trading around $78 per barrel and WTI trending around $74.5 per barrel, the primary US inventory stock build since late July and news of OPEC+ laggards (Russia and Kazakhstan) ramping up supply has provided some downside for prices. At the identical time, exorbitantly high gas prices driving gas-to-oil switching in Asia and therefore the US dollar weakening are largely offsetting those factors. Increasing purchasing activity in East Asia amid China’s power demand crunch and continuing supply tightness have pushed spot LNG prices to $34.5 per mmBtu in Asia, the very best on record.
Longtime inquisitive about expanding within Azerbaijan, Russia’s largest private oil producer LUKOIL (MCX:LKOH) agreed to shop for a 25% stake within the Shallow Water Absheron Peninsula (SWAP) project from BP, only several weeks after the UK-based firm spudded its first exploration well at North Khali.
Wind Blows Again within theNorth Sea. Despite European gas prices hitting several consecutive all-time highs and nearing €100 per MWh, coal-fired generation has decreased w-o-w in Germany as alternative energy moved into its normal range, averaging 11 GWh thus faron, a tenth increase year-on-year.
Saudi Aramco Gets Footing in India’s Largest Private Refiner. Reliance Industries (NSE:RELIANCE), operator of the world’s largest refinery in Jamnagar, India, stated the candidature of Yasir Al-Rumayyan, chairman of Saudi Aramco, meets all regulatory criteria to become independent director, during a move that's seen as a harbinger of Aramco’s buying-in into the Indian firm’s oil-to-chemicals business.
