Patterson-UTI, an oilfield services firm, says that higher oil prices won't spur more US production.
Andy Hendricks, CEO at?oilfield service company 'Patterson-UTI', stated on Tuesday that a surge in energy costs caused by the war between the United States and Israel with Iran would not lead to an increase in U.S. production of oil without the necessary market predictability. Since the end of Feburary, oil prices have been fluctuating wildly after Iran closed the Strait of Hormuz - a major trade route - forcing major Middle East producers to reduce production. U.S.
Iran War causes major disruptions in oil and gas
U.S. and Israeli war against Iran, and the attacks of Iran on Gulf neighbours has caused oil and natural gas production to stop in the Middle East. The Strait of Hormuz is the world's most important oil artery. It handles 20 percent of the global oil and LNG supplies. Saudi Aramco, world's largest oil exporter, warned on Tuesday of "catastrophic" consequences for the global oil market if the Strait does not open. Saudi Arabia's oil production has been cut only slightly…
S&P: Central Europe is more resilient to supply shocks in the face of Iran war
S&P Global reported?on Tuesday that Central and Eastern Europe is more resilient to energy?shocks as a result of efforts to diversify the sources of energy since Russia's invasion in?Ukraine 2022. This provides buffers against economic impacts of the war in the Middle East. S&P Global said?on Tuesday that the region's import-dependent financial markets have been shaken by U.S. and Israeli war against Iran. This has driven up energy prices…
Qatar is looking to strengthen its security partnership with the US following Iran's attacks
Qatar wants to strengthen its defense partnership with the United States after Iranian air strikes on Qatari territory, said the spokesperson for the Foreign Ministry on Tuesday. Qatar also sees the current deal as a deterrent. Iran launched drone and missile attacks on its oil producing Gulf neighbours following U.S./Israeli strikes which killed the top leaders of Iran. The conflict disrupted oil production in the region, sending oil prices soaring. Qatar is home to 'the largest U.S. military base in the Middle East.
G7 and EU discuss energy prices and strategic reserves
Officials said that the G7 energy minsters will discuss the soaring prices of energy due to the war in Iran during a Tuesday call. A group of European Union Leaders will also do the same later in the day. On Monday, oil?prices soared to $119 per barrel, their?highest level in nearly four years. This was due to fears that Gulf production would be cut and tanker exports disrupted. The European Union is worried about a possible repeat of the energy crises they experienced in 2022.
India's small-scale steelmakers are facing production cuts due to LNG shortages caused by the Iran war
Industry officials say that a number of small 'Indian steel' producers have warned of production cuts due to the Middle East conflict, which is disrupting gas supplies for the world’s second largest producer of the alloy behind China. Triveni Iron and Steel Industries, based in Gujarat, is the largest gas-consuming area of the country, and relies heavily on Middle East gas for a large portion of its supply. Gujarat is dependent on LNG imports for several small steel mills.
VEGOILS - Palm oil drops more than 3%, as crude and rival oils slump
Malaysian palm futures dropped more than 3% on Monday, following declines in rival edible oils traded in Dalian, Chicago and Dalian markets, as well as crude oil. This was a day after they had posted their largest jump in three-years. The benchmark May palm oil contract on Bursa Malaysia's Derivatives exchange fell 139 ringgit or 3.04% to $4,428 ringgit (1,129.59 USD) per metric ton after earlier falling to 4,370 ringgit. A Kuala…
Sources say that Bangladesh has secured diesel supplies amid major disruptions in energy supply
After the U.S. - Israel war 'on 'Iran, which disrupted shipments to garments and other industries, Bangladesh began receiving diesel from suppliers such as?China, India, officials said. The country has enough fuel for about a?month worth of demand. As the Middle East oil trade is severely disrupted by the war against Iran, South Asia, a nation of approximately 175 million people that relies heavily on imported energy, has implemented fuel rationing, restricted diesel sales, and closed its universities.
EUROPE GAS - European prices fall in line with crude oil as Middle East hopes for de-escalation are raised
Dutch and British wholesale gasoline prices fell from their 3-year highs in the morning of?Tuesday, mirroring oil market movements after?U.S. Donald Trump claimed that the Middle East conflict would end "soon". Data from Intercontinental Exchange (ICE), showed that the benchmark Dutch front-month contract at the TTF hub had fallen by?7.98 euros to 48.47 euros per megawatt hour(MWh) as of 0852 GMT. The intraday peak was 69.50 euro/MWh, which is the highest since January 2023.
Thailand orders bureaucrats in its energy-saving drive to use stairs instead of elevators and to work from home
A government spokesperson said that the Thai Prime Minister Anutin Charnvirakul had ordered civil servants to conserve energy due to the energy crisis caused by the Middle East conflict. This included suspending overseas trips and using the stairs instead of elevators. Lalida Periswiwatana, a spokesperson for the prime minister, told reporters that civil servants must now work from home. However, officials who serve the public will be exempted. Southeast Asia's second-largest economic powerhouse has 95 days worth of energy left.
Aramco warns of 'catastrophic' consequences for oil in the Strait of Hormuz if shipping is not resumed
Saudi Arabia's Aramco, the world's largest oil exporter, said on Tuesday there would be "catastrophic" consequences for the oil markets of the world if the Iran War continues to disrupt shipping through the Strait of Hormuz. Aramco CEO Amin Nasser said on a earnings call that the disruption will not only have a drastic impact on the aviation, agricultural, automotive, and other industries but will also have 'dramatic domino effects' on them.
Palm oil falls as crude and rival oils slump
Malaysian palm oil futures declined on Tuesday, following rival edible oils in Dalian and Chicago and crude oil prices. By midday, the benchmark palm oil contract for May delivery at the Bursa Malaysia Derivatives Exchange had fallen 106 ringgit or 2.32% to $4461 ringgit (1,134.83 USD) per metric ton after having dropped to 4,370 rings earlier. A Kuala Lumpur trader stated that "the futures are tracking the performance of Dalian palm oils, Chicago soy oils and crude oil while waiting for Malaysian Palm Oil Board data".
US Energy Chief: US considers selling oil from strategic reserves
Energy Secretary Chris Wright stated on Monday that the U.S. may consider coordinating oil sales from its Strategic Petroleum Reserve with those of other countries as prices have soared during the war against Iran. Wright said that the U.S. also has "some options" to allow more sales of Russian crude oil in tankers in Asia. Washington, for example, issued a waiver late last week allowing the sale of Russian crude oil currently stranded on sea to continue into India.
Oil majors are still stuck on the sidelines as Iran's war increases oil prices.
Oil prices rose to their highest level since 2022 on Monday, but the shares of major producers such as Shell and Exxon Mobil are still only seeing modest gains'since the U.S. - Israel war on Iran 'broke out last month. This suggests that traders believe the pain in the market could be temporary. The iShares Global Energy ETF, which tracks global energy companies, is up about 2%. Crude oil futures are up more than 40% since Israel launched its joint airstrikes with the U.S. on February 28.
LSEG data shows that Freeport LNG is on the way to resuming full production.
Freeport LNG in Texas will resume full production Monday after an outage Sunday, according to the company. Freeport LNG said on Monday that it was "in the process" of increasing production rates. LSEG data shows that Freeport, which is the third-largest LNG producer in the U.S.?was pulling 1.2 bcf of natural gas on Monday to be converted into LNG. The plant is capable of handling around 2 bcfd and was only using 600 million cubic foot on Sunday.
Venture Global promises on-time LNG delivery amid Middle East conflict
Venture Global LNG, a U.S. developer of liquefied natural gas (LNG), has informed customers that its Plaquemines plant in Louisiana is under construction. The letter was seen by the. Venture Global LNG, a Virginia-based firm, wrote to customers of Plaquemines Phase 1 on Friday and stated that it will begin long-term deliveries on October 31, despite a rise in global gas prices due to the U.S. and Israeli war against Iran. The letter stated that "as of today…
Brazil's sugar mills will reduce production and switch to ethanol due to the energy price spike
Analysts said that the sharp rise in energy prices due to the ongoing 'war' in the Middle East will cause Brazilian sugarcane processors?to produce more ethanol than sugar during the new upcoming?season. The ICE exchange's raw sugar futures jumped over 3% Monday, following gains in oil futures, as the market expects a lower sugar volume from Brazil's middle-south region, which is the world's biggest sugar-producing area. Mills can adjust their plants to produce more sugar or ethanol, depending on the market price for each.
Palm oil prices surge as crude oil rises, boosting biodiesel prospects
Malaysian palm-oil futures jumped more than 9%, before paring gains on Monday. This was the largest jump in three years. It is expected that a rise in crude oil prices will boost demand for biodiesel feedstocks. The benchmark May palm oil contract on the Bursa Derivatives Exchange rose 203 ringgit or 4.65% to $4,570 ringgit (1,154.04) per metric ton after surging earlier in the day to 4,803 ringsgit. This was its highest level?in over a year.
EUROPE GAS-European Gas Prices Rise Back to 2023 High as US-Iran Conflict Enters Second Week
LONDON, 9 March - Benchmark European Wholesale Gas rose again on Monday to its highest level for more than three years, tracking a surge of?oil as the US-Iran Conflict entered its second weeks and shipping?around?the Strait of?Hormuz remained near a standstill. Iran named?Mojtaba?Khamenei as the successor to his father, who was killed in a car accident. This shows that the hardliners are still in control and appears to be closing off any way to an end to the Middle East war.
Middle East conflict may spur demand for palm oil in biodiesel sector
Industry officials have told?that the Middle East conflict, which has pushed up crude oil prices, could boost demand for palm oils in the biodiesel industry and for food use. Asian buyers are looking for quick shipments. Indonesian and Malaysian production reached a new record in 2025. This resulted in a rise of stocks and pressure on prices. The conflict has made palm oil more attractive to biodiesel producers, and prices have risen to their highest levels in over a year.