We will take a
quick look at some of the critical figures and data in the energy markets.
We will then look at some of the key market movers early this week before providing you with the latest analysis of the top news events taking place in the global energy complex over the past few days. We hope you enjoy.
Chart of the Week
Tuesday, September 21, 2021
Despite 18% of oil production and 27% of gas production in the Gulf of Mexico being offline, oil prices are under pressure due to worrying economic developments in China. The seemingly imminent collapse of China's Evergrande conglomerate sent markets into a tailspin on Monday, although oil prices recovered slightly Tuesday despite demand fears.
Japan Oil Index Futures Launch Fails to Impress. The latest addition to the world of oil futures, the CME Petroleum Index Futures - combining WTI, gasoline, and heating oil contracts - started trading at the Osaka Exchange on Tuesday, with only 439 contracts traded in its first trading session.
Norway Pledges More Gas to Europe. Equinor (NYSE:EQNR) and its partners vowed to ramp up gas production at the Oseberg and Troll fields, by 1bcm per year each, to produce more natural gas for the undersupplied European market.
Shell's Singapore Refinery Catches Fire. The 500kbpd Pulau Bukom Refinery in southwestern Singapore, operated by Royal Dutch Shell (NYSE:RDS.A), saw a fire break out on Friday, which was brought under control the same day with no significant impact on downstream supply.
Pioneer Puts Delaware Acreage on Sale. US shale oil producer Pioneer Natural Resources (NYSE:PXD) has reportedly put its oil and gas assets in the Delaware Basin on sale, seeking to cash in at least $2 billion from the sale as it increases its focus on its base acreage in the Permian's Midland.
Lebanon Demands Answers over Halliburton Drilling. Following a controversial decision by Israel's government to grant US firm Halliburton (NYSE:HAL) an offshore drilling contract in the Mediterranean, Lebanon promised to reach out to the UN and the US to seek clarification as the acreage might be in disputed areas.
Petrobras Commits to Net-Zero Ambition by 2050. Brazil's national oil company Petrobras (NYSE:PBR) has signed up to a 2050 net-zero deadline, pledging to reach a 25% reduction in total emissions by 2030 already, becoming the second Latin American oil firm to do so after Ecopetrol.
Now It is Magnesium's Turn to Soar. The price of magnesium, a metal used in the aerospace and automotive industry and produced predominantly in China, has surged to its highest level since 2008, at $4,700 per metric ton, on the back of widespread closures in Chinese smelters
Gazprom Ups Spending Plans on Windfall Profits. Boosted by larger-than-anticipated profits on the back of runaway gas prices in Europe, Russia's gas giant Gazprom (MCX:GAZP) revised its 2021 upstream capex by more than $5 billion as it moves to speed up the construction of its pipeline network feeding into Power of Siberia.
German Carmakers Sued for Not Doing Enough on Climate. Germany's leading car makers BMW (ETR:BMW) and Daimler (ETR:DAI) were sued by a local NGO that claims they refuse to tighten their carbon emissions target and should stop producing cars running on fossil fuels by 2030.
Russia Hikes 2022 Oil Output Target. Russia's draft budget for 2022 foresees an 8% year-on-year increase in national oil production, rising to 560 million tons (equivalent to 11.2 million b/d) next year. Similarly, oil exports are set to rise to 230 million tons.
Baker Hughes Lands Iraq Gas Capture Deal. US oilfield services company Baker Hughes (NYSE:BKR) signed on to a new project that seeks to capture 200 MCf per day of flared gas from the Nassiriya and Gharaf oil fields for power generation as the Iraqi government seeks to diversify away from Iranian electricity imports.
Poland Defies EU Coal Mine Court Ruling. The European Court of Justice ruled that Poland should halt operations at its PGE-operated (WSE:PGE) Turow lignite mine for risk of all sorts of environmental damage or risk paying a 500,000 Euros daily penalty to the European Commission, a decision Warsaw openly vowed to disobey.
Libyan Infighting Ends in Stalemate. The prime minister of Libya's government of National Unity revoked his own decision to sack the CEO of Libya's national oil company Mustafa Sanalla in a bid to defuse tensions that remain to run high following several ports being taken over by protests over the past two weeks.