Iran: We Will Be “Guardian Of Security” In Gulf, Strait Of Hormuz

Iranian officials have reassured Iraq that there would be freedom of navigation in the Strait of Hormuz, the most critical oil shipping lane in the world, the Iraqi oil ministry said on Tuesday.    “Iranian President Hassan Rouhani (gave) reassurances to the Iraqi delegation … around guaranteeing freedom of navigation in the Gulf and Strait of Hormuz and respect for international law guaranteeing that,” Reuters quoted Iraq’s oil ministry statement as saying. Iraqi Prime Minister Adel Abdul Mahdi was visiting Tehran…

Heavy Oil Supply Crunch Cushions Canada From IMO 2020

An increasingly tighter supply of heavy crude will in all likelihood help Canada’s oil industry weather the unfavorable effects of the so-called IMO 2020 rules, which stipulate a much lower allowable level of sulfur in bunkering fuel. The new rules envisage a maximum of 0.5 percent sulfur content in the fuel used by maritime vessels versus 3.5 percent. The benchmark Western Canadian Select has an average sulfur content of more than 3.5 percent as opposed to the very light West Texas Intermediate, whose sulfur content is below 0.5 percent.…

Oil Markets Ignore The Tanker War

Get on par with Goldman Sachs, Morgan Stanley, and JP Morgan Find out why Global Energy Alert is read by industry-leading energy companies, policymakers, and energy traders Sign up today to receive an 81% discount Oil prices initially traded up on Monday on geopolitical tension in the Middle East, but gave up some of those gains on fears of an oil glut. At the start of Tuesday, oil prices dipped further, weighed down by demand fears. (Click to enlarge) (Click to enlarge) (Click to enlarge) (Click to enlarge) Tanker tension continues. The tit-for-tat…

Saudi Plan To Get Stake In India’s Largest Company Hits A Snag

Discussions between India’s largest company, Reliance Industries, and Aramco, the world’s single biggest oil producing firm, have hit a stumbling block as the Indians want higher valuation than the Saudis are willing to pay for a stake in Reliance’s downstream business, Reuters reported on Tuesday, quoting two people with knowledge of the issue. In April this year, reports emerged that Saudi Arabia’s oil giant Aramco was in “serious discussions” to buy up to 25 percent of the refining and petrochemicals businesses…

Nigeria’s State Oil Firm Secures $3B Deal To Develop Oil License

The Nigerian National Petroleum Corporation (NNPC) said on Tuesday that it had secured a US$3.15 billion financial and technical services agreement with local firm Sterling Oil Exploration & Energy Production Company Limited (SEEPCO) to develop the OML-13 oil license owned by NNPC’s upstream subsidiary NPDC. The deal is part of NNPC’s strategy to develop more resources and increase oil production with the help of financing from third parties to spread out development costs. At the beginning of this year, NNPC said that it was in…

Ex PDVSA Manager Found Dead After Testifying In Spanish Court

Juan Carlos Márquez, 48, a former executive at PDVSA, was found hanged in a flat in Madrid on Sunday, days after he was arrested and appeared in court over his alleged role in money-laundering and corruption involving Venezuela’s state oil firm, Spanish police say. The police are investigating the death of Márquez, who served as an executive at PDVSA for a decade between 2003 and 2014. Márquez was arrested by Spanish police on Thursday while he was getting off a flight from the U.S., the BBC reports. The ex PDVSA manager…

Venezuela’s Oil Production Could Soon Fall Below 500,000 Bpd

Venezuela, the country sitting on the world’s largest oil reserves, could be pumping as little as below 500,000 bpd of crude oil next year amid the economic and political crisis, IHS Markit said in an analysis on Tuesday. The sweeping sanctions that the United States imposed on Venezuela’s oil industry have failed to result in a regime change nearly six months after opposition leader Juan Guaidó declared himself interim president and won the support of the U.S. and many other western nations. According to IHS Markit, Venezuela’s…

UPDATE 8-Oil slips, Brent around $63/bbl as Iran concerns fade

HOUSTON, July 23- Oil edged down, with Brent at around $63 a barrel on Tuesday under pressure from weaker global demand forecasts and the full restart of Libya's largest oil field despite continuing supply worries stemming from Iran's capture of a British oil tanker. Libya's Sharara oil field returned to normal production on Tuesday, pressuring prices that…