Saudi Aramco is shifting its crude oil exports to the Persian Gulf, a move that has eased supply fears and caused Brent crude prices to fall below $105 per barrel.
Saudi Arabia Races to Repair East-West Pipeline. Saudi Aramco anticipates restoring flows through its damaged 7 million b/d East-West pipeline within days. Drone attacks had impacted several pumping stations, and the company aims to partially restart the conduit to alleviate pressure on loadings in the Gulf.
Canada Oil Sands Win New Tax Breaks. The Canadian federal government has enhanced investment tax incentives, supporting over C$100 billion ($72 billion) in planned oil sands, pipeline, and carbon capture and storage (CCS) projects over the next decade. This positions new projects to face an effective tax rate of just 6.4%.
Container Traffic Through Suez Starts to Recover. Container lines are cautiously resuming transit through the Red Sea, with 27% of Asia-Europe container capacity now using the Suez Canal, an increase from 17% in early August. However, renewed Houthi-Saudi hostilities continue to deter cargo owners from a full return.
LNG Canada Nears FID on Mulled 2nd Phase. The Shell-led (LON:SHEL) LNG Canada project may approve its 14 mtpa Phase 2 expansion as early as October. This would double the project's capacity to 28 mtpa and reinforce Canada's pivot towards Asian markets amid a deteriorating US trade outlook.
Libya Resolves Dispute Behind Oil Outage. Libya has settled a dispute with a faction of the Petroleum Facilities Guard that had temporarily disrupted crude output at the North Hamada field. This action averts broader risks to the 300,000 b/d El Sharara and 90,000 b/d El Feel fields, which were facing potential disruptions due to internal discontent.
Exxon Hikes Global Emission Outlook. In its 2026 annual energy outlook, ExxonMobil (NYSE:XOM) has reiterated its projection of oil demand rising to 105 million b/d by 2050, an increase of 5 million b/d from current levels. The company also raised its global emissions forecast by 10% to 30 billion tonnes of CO2.
India Warns US Against Trade Talk Pressure. India has expressed opposition to proposed US tariffs of up to 100% on buyers of Russian crude. India warned that such measures could complicate bilateral trade negotiations and jeopardize its energy security, as September imports of Russian crude by Indian refiners are averaging 2 million b/d.
Vietnam Eyes Construction of Third Refinery. Vietnam's Ca Mau province is seeking approval for a 155,000 b/d refinery and petrochemical complex. An initial phase of 65,000 b/d would later expand to full capacity. PetroVietnam plans to process a blend of Middle Eastern and South American crude.
China ‘Teapots’ Cut Runs as Crude Shortages Bite. Independent refiners in Shandong have reduced their refinery run rates to 50-60%, down from 65-66% in August, due to a scarcity of Iranian crude. Beijing is considering options, including a potential release of 100 million barrels from its Strategic Petroleum Reserve (SPR), to alleviate feedstock pressures.
Russia Extends Diesel Export Ban Through October. Russia has reportedly extended its diesel export ban until the end of October. Restrictions on non-producers and gasoline exports remain in place until January 2027, as refinery outages and Ukrainian attacks continue to disrupt fuel supplies.
US Considers Another Major SPR Release. U.S. Energy Secretary Chris Wright indicated that the government might resume oil releases from the Strategic Petroleum Reserve. Approximately 38.5 million barrels remain available from the Trump administration's emergency drawdown program of 172 million barrels.
Chinese Buying Drives ESPO Premiums to Record Highs. Differentials for Russia's ESPO Blend crude have surged to record levels, driven by Chinese refiners' demand for November-arriving cargoes. This has pushed delivered Shandong premiums to a record $29/bbl over Brent.
Qatar LNG Flows Creep Back Through Hormuz. At least two LNG cargoes have transited the Strait of Hormuz this week, including a shipment from Qatar's Ras Laffan. Additionally, at least three LNG ship-to-ship transfers have been recorded off Oman since mid-August, indicating tentative efforts to resume Gulf LNG exports.
EU Mulls Windfall Tax on Oil Profits. EU finance ministers are considering a bloc-wide windfall tax on energy companies following the recent surge in oil prices above $100/bbl. However, the European Commission has thus far resisted proposing an EU-wide mechanism, stating that member states can act individually.
South Korea Extends Fuel Tax Relief. South Korea has extended fuel tax cuts through November 30. The reductions include 15% on gasoline and 25% on diesel and butane, lowering pump prices by up to 145 won per liter ($0.40 per gallon) as the government aims to protect consumers from rising oil prices.
