2nd May 2025

“Bone crushing sanctions”…Saudis ready for lower oil prices…Trump’s going after Iran…Equinor in $3.5bn Peregrino sale…China ready to talk about tariffs?…and barrels more.

Have a great weekend.

(P.S. I’m off next week so no Both Barrels I’m afraid)

📈 THE NUMBERS

The end of another rough week for oil prices. With Saudi suggesting they are comfortable with a prolonged period of lower oil prices, there doesn’t seem to be much light at the end of the tunnel…

🗞️ WELL-HEADLINES

 🗽 North America

• US LNG exports at record high in April as capacity ramps up.

• US crude inventories fell by 2.7 mmbbls and gasoline by 4.0 mmbbls last week.

• Canada’s energy companies send “urgent action plan” to new government

• Alberta is getting sick of treatment from Canada’s federal government

• Venture Global raises $3bn in debt to finance CP2 LNG plant in Louisiana

• Exxon earnings boosted by Guyana and Permian, Chevron meets expectations thanks to improved refining margins, EOG beats estimates but trims capex plans due to tariff uncertainty

🏰 Europe

• Shell plans $3.5bn of buybacks as Q1 results beat analyst expectations

• Troubled Petrofac’s shares suspend after failing to file annual report

• Fire breaks out at Mongstad refinery in Norway,

🕌 The Middle East

• Total and OQRP break ground on Masra LNG project in Oman

• QatarEngy and Shell sign 285 mmbbls, 25-year condensate deal

🦁 Africa

• Mozambique LNG set to restart by mid-2025 after security troubles.

• IPR announces “significant hydrocarbons discovery” in Egypt’s western desert.

🗿 Central & South America

• Equinor sells 60% stake in giant Peregrino oilfield in Brazil to Prio for $3.5bn

• Golar takes FID for the redeployment of FLNG Hilli Episeyo in Argentina

• Venezuela crude exports fell by 20% in April after cancelling Chevron cargoes

• Petrobras suspends again $3bn subsea tenders

🌍 GEOPOLITICS & MACRO

• Saudi signals it can live with lower oil process, rumours suggest

• China says it is “evaluating” US offer to negotiate tariffs

• Trump threatens sanctions on countries buying Iranian crude as talks postponed

• US senator preps “bone crushing” sanctions on Russia if peace deal not reached

• War in Ukraine not “ending anytime soon” even as US minerals deal signed

• US GDP contracts by 0.3% in Q1, “NOTHING TO DO WITH TARIFFS” says Trump

• OPEC output edges down in April despite plans to hike production

💨 CARBON, CLIMATE, & OTHER ENERGY STUFF

• US Energy Secretary calls out Europe’s net zero energy fantasy.

• Equinor says Trump’s anti-wind stance could cost it billions.

• Albemarle says the “maths doesn’t work” on proposed US lithium refinery

• Indonesia planning large nuclear power and renewables build out

🛢️ BOTTOM OF THE BARREL

The Boomers ruining it for everyone else in Canada:

👋 BEFORE YOU GO

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Thanks for reading. Have a day out there. 🛢️🛢️

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