Oil Pipeline

Six sources confirmed that two Greek-managed oil tanks were struck by drones near the Caspian Pipeline consortium terminal on Tuesday, which is responsible for?around 80%?of Kazakhstan's crude oil exports. LSEG data revealed that Delta Tankers in Greece manages one of the tankers. According to sources, this tanker was expected to be loaded with oil from Tengizchevroil. The sources said that the other ship, Matilda is managed by Greece's Thenamaris, and would be expected to load oil from Karachaganak. Thenamaris confirmed that Matilda was hit by two drones as she waited in "ballast conditions" 30 miles off CPC. According to a...

On Monday, the discount between West Texas Intermediate and North American benchmark Western Canada Select?futures was reduced. WCS for February deliveries in Hardisty, Alberta settled at $14.35 per barrel below the U.S. benchmark WTI according to brokerage CalRock. This compares with $14.80 per barrel on Friday. Since the capture by the U.S. of Venezuelan President Nicolas Maduro, the discount on 2026 WCS barrels at Hardisty's forward curve has increased more than $2 per barrel. The market is looking for potential increases in Venezuelan barrels that could compete with Canadian heavy oil of similar quality in the U.S. Gulf Coast in...

Western Canada Select's discount to North American benchmark West Texas Intermediate futures has narrowed for the first time since the capture by the U.S. of Venezuelan President Nicolas Maduro. WCS for Hardisty, Alberta delivery in February settled at $14.80 per barrel below U.S. benchmark WTI according to brokerage CalRock. This compares with $15 on Friday. In the wake of Venezuela's crisis, the discount on heavy Canadian crude has increased by more than 12 percent. This is because an increase in Venezuelan barrels would be able to compete with Canadian heavy oil that is similar in quality in the U.S. Gulf...

NIS, the Serbian oil company owned by Russia, announced on Friday it had imported 'first shipments' of crude oil to restart the country's only refinery, after securing an exemption from U.S. sanctions. Washington sanctioned NIS in October, as part of wider measures targeting Russia's oil sector in response to Moscow's conflict in Ukraine. It granted the company an operating licence that was valid until January 23. This gave the company just enough time to grab international cargoes before winter weather hit. NIS released a statement saying that "it is expected that... crude oil will?be delivered to the Pancevo Oil Refinery...

Western Canada Select futures are now trading at a discount to the North American benchmark West Texas Intermediate Futures for a third consecutive session. The market is still roiled by Venezuelan developments. CalRock reported that WCS in Hardisty for February delivery settled at $15 per barrel less than the U.S. benchmark WTI. This compares to $14.45 a barrel on Wednesday. Rory Johnston, founder of Commodity Context, says that Thursday's settlement represents the "steepest discount Canadian Heavy Crude has traded at since July 2024." The weakness is primarily due to U.S. Gulf Coast Pressure. The widening of the spread is partly...

Investors digested the U.S. dollar's impact on the price of West Texas Intermediate futures, which is the benchmark for North American crude oil. The deal between President Donald Trump and Venezuelan oil producers to import up $2 billion in Venezuelan crude is now the largest discount for 18 months. WCS for Hardisty, Alberta delivery in February settled at $14.45 per barrel below U.S. benchmark WTI, said brokerage CalRock. This compares to $13.80 a day earlier. This was the largest discount Canadian heavy crude settled at since early July 2024. Over the long term, an increase in Venezuelan barrels may compete...

The difference between the West Texas Intermediate benchmark futures and Western Canada Select futures has widened since Tuesday, but analysts say that Canadian heavy crude will not be impacted by Venezuela's situation in the short-term. WCS for Hardisty, Alberta delivery in February settled at $13.80 per barrel below WTI benchmark, according to brokerage CalRock. This compares with $13.55 a barge on Monday. Analysts and traders assess the 'potential for further weakness,' but the capture by the U.S. of Venezuelan President Nicolas Maduro so far has had a minimal impact on the Canadian differential. A TD Cowen Report said that a...

The discount between West Texas Intermediate and Western Canada Select futures in North America widened Monday as traders?assessed potential for further weakness if Venezuela was able to 'ramp up' its oil production over time. WCS for the February 'delivery' in Hardisty, Alberta settled at $13.55 per barrel, below the U.S. benchmark WTI. This is a drop from $13.15 last Friday. Oil analysts predicted that Venezuelan crude production could reach half a milion barrels per day within two years, if Venezuela was politically stable and U.S. firms invested there. Market observers say that any possible end of U.S. sanctions on Venezuela...

On Friday, the discount between West Texas Intermediate and North American benchmark West Canada Select futures narrowed. CalRock reported that WCS for delivery in Hardisty (Alberta) on?February? settled at $13.15 per barrel, which is $13.40 below the U.S. benchmark WTI. After trading in the $9 to $11 range for most of the year, the WCS discount is now trading in a wider price range. This is largely due to the Trans Mountain Pipeline expansion, which has given Canadian oil producers more 'export capacity. * The widening is due to a combination of factors, including the rising production in Canada which...

The discount between the North American benchmark West Texas Intermediate futures and Western Canada Select futures has widened to its largest point since early March. WCS for Hardisty, Alberta delivery in January settled at $13.55 per barrel below U.S. benchmark WTI according to brokerage CalRock. This compares to $13.15 a barrel on Monday. The WCS discount recently increased after spending most of the year in the $9-$11 price range. This is due to the Trans mountain?pipeline extension which has given Canadian oil producers?additional capacity for export. * Some analysts attribute the widening differential to seasonality while others point out that...

On Friday, the discount between West Texas Intermediate and Western Canada Select futures (the North American benchmark) widened. WCS for Hardisty, Alberta delivery in January settled at $12.95 per barrel below U.S. benchmark WTI according to brokerage CalRock. This compares to $12.85 last Thursday. The WCS discount on increased Canadian oil production has recently widened after spending most of the year in historically tight levels. This is largely due to the Trans Mountain Pipeline expansion, which has provided Canadian oil producers with additional export capacity. Enbridge's Mainline network, which transports Canadian crude oil to U.S. market, is allocated -- a...

The difference between the West Texas Intermediate benchmark futures and Western Canada Select futures, which is North American benchmark, has narrowed slightly on Thursday. However, it remains larger than ever before. CalRock reported that WCS for Hardisty, Alberta delivery in January settled at $12.85 per barrel, which is lower than the U.S. benchmark WTI. This compares to $13 Wednesday. The WCS discount on increased Canadian oil production has recently increased after spending most of the year in historically tight levels. This is largely due to the Trans Mountain expansion pipeline which has provided additional export capacity for Canadian oil producers....

Aleksandar Vucic, President of Serbia, said that the Russian-owned NIS refinery in Serbia, sanctioned by the United States, would be operational as early as 'January 17 or 18, after it received a temporary license. The Office of Foreign Assets Control of the U.S. Treasury Department granted NIS on Wednesday a temporary operating license until January 23. This will allow it to resume its production after a 36 day?break. The US has given NIS - which owns Serbia’s only oil refinery - until 24 March to negotiate the sale of its Russian shareholders' stake. Vucic, speaking to reporters in Belgrade, said:...

Energy Minister said on Wednesday that the U.S. granted Serbia's majority-Russian refiner NIS a licence to operate until January 23. This will allow it to resume its production after a 36-day hiatus. After a series of waivers since January, the Office of Foreign Assets Control of the U.S. Treasury Department imposed sanctions against NIS as part of broader actions against Russia's Energy Sector in October. Dubravka Handanovic, Serbia's Energy Minister, posted on Wednesday evening: "Great news for the end the year. The US OFAC has granted the NIS company a licence to operate up until 23 January. The refinery in...

According to Serbia's RTS TV, the U.S. granted Serbian oil refiner NIS until March 24th to 'negotiate' the sale of their 'Russian owner's' stake. RTS stated that NIS did not have an operating license which would allow it to purchase and process crude oil. After a series waivers granted since January, the Office of Foreign Assets Control of the U.S. Treasury Department imposed sanctions against NIS as part of broader measures taken against?Russian energy sector. The sanctions have stopped crude oil supplies through Croatia's JANAF pipe, which has shut down production at?Pancevo. Gazprom, the sanctioned oil unit of Russia's Gazprom,...

Serbian President Aleksandar Vucic revealed on Tuesday that Russian energy giant Gazprom has been in discussions with Hungary's MOL about a possible sale of its majority stakes in 'NIS' - Serbia's only oil refiner. In January, the United States announced sanctions against Russia's oil industry in response to Moscow's conflict in Ukraine. But, NIS's application was repeatedly delayed before finally coming into force on October 8th. "We have no problem with it. We have information that Gazprom representatives have been talking to MOL in Hungary, and we don't have anything against them." Vucic said to reporters on Tuesday that the...

After a drone attack that severely damaged the loading infrastructure and halted oil exports, Kazakhstan asked Ukraine to stop attacking its Black Sea terminal, which is used by the Caspian Pipeline Consortium. This terminal handles more than 1 percent of all global oil. CPC, which has shareholders from Russia, Kazakhstan and the United States, announced that it had stopped operations after an attack by a Ukrainian drone on a mooring in its Russian terminal at the Black Sea caused significant damage. In an effort to undermine the Russian war economy, Ukraine launched a wave of attacks this year on Russia's...

Tengiz is Kazakhstan's biggest oilfield. It increased its oil production from November 1 to 23, by 8.5% month-on-month, reaching 787,300 barges per day. However, this was still below the planned level by the Energy Ministry, according to a source with knowledge of the statistics. Yerlan Akkenzhenov, Kazakhstan's energy minister, said on Tuesday that Tengiz is currently undergoing maintenance without giving any details. Tengizchevroil is the U.S. oil giant Chevron that operates this field. They did not respond to our request for comment. The field was also maintained last month. The overall oil production in Kazakhstan fell by 10% last month...

Two industry sources and LSEG data show that the Russian port of Novorossiysk resumed oil loadings Sunday, after a suspension lasting two days due to a Ukrainian drone and missile attack. Novorossiysk temporarily halted oil exports on Friday, equating to 2.2 millions barrels of oil per day or 2% global supply. According to two anonymous industry sources, loadings have resumed. According to LSEG, two tankers - the Suezmax and Aframax classes Rodos - are loading oil on the port's berths. Two oil berths were damaged by a Ukrainian drone at the Russian Black Sea port Novorossiysk on Friday, which forced...

Transneft's pipeline network is not experiencing a reduction in supplies from Russian oil companies, according to a senior Transneft executive. Deliveries this year will be on par with those of 2024. Maxim Grishanin is the first vice president of the company. He told reporters that the company had enough capacity to handle a possible rise in supply. Russia will increase its output to meet the demands of the Organization of Petroleum Exporting Countries (OPEC) and its allies. Transneft transports over 80% of the oil produced by the country. Grishanin stated that Transneft had a growing cash deficit due to an...

Three market sources reported that the Black Sea port in Russia, Novorossiisk, has reached its export capacity limit. This leaves traders scrambling to find a new route for crude oil, which it is unable to refine at home and can only produce because of increased OPEC+ quotas. Organization of the Petroleum Exporting Countries (OPEC) and its allies have been easing up on output restrictions. In addition, Russia's refining facilities carried out record amounts of maintenance in August, and September. This was partly due to damage caused by Ukrainian drones. As a result, its ability to process crude oil domestically has...

Ursula von der Leyen, EU Commission chief, said that the European Union invited Serbia to participate in the group's collective gas buying initiative. The aim is to reduce Serbia's dependence on Russian fossil fuels. In 2023, the EU created a platform for joint gas purchases to allow participants to negotiate better deals. This was after Russia cut its gas supplies to Europe in 2022 and pushed European energy prices up to record levels. The bloc wants to completely phase out Russian gas and oil by January 2028, to deny the Kremlin revenues it could use to fund its war against...

Aleksandar Vucic, Serbia's president, said that Serbia would do all it could to protect its own interests if the U.S. imposed sanctions on Serbian-based NIS oil company, which is owned by Russia. Washington announced sanctions against NIS in January, Serbia's largest oil importer, and one of Russia’s last remaining energy assets within Europe, for Moscow's invasion of Ukraine in 2022. NIS announced last week that there would be no further delays. "Our Russian Friends have understood our message." We knew their interests. We will do all we can, both tactically and strategically, to serve the interests of Serbia", said Vucic...

Sources told AFP that Serbia has enough crude oil and fuel to meet its demand for the near future, but the U.S. Sanctions set to take effect on October 1, cast a cloud over the nation's energy security in the long term. The Russian-owned NIS oil company said it had sufficient crude and fuel stock after Serbian president Aleksandar Vucic announced that the U.S. wouldn't extend a waiver of sanctions originally announced in January. NIS has not disclosed inventory levels or the length of time supplies will last. Four sources with knowledge of the situation said that the refinery can...