Latest News
-
Italian-led EU forces board a sanctioned Russian tanker in the Mediterranean
A naval mission from the EU led by Italy boarded on Sunday a tanker belonging to 'Russia's shadow fleet. This is the second time in less than two weeks that a vessel has been boarded. Europe is intensifying its scrutiny of vessels suspected of helping Moscow bypass oil sanctions. The Italian Defence Ministry reported that the Toa Payoh tanker, which was subject to EU sanctions and was sailing from Benin towards Istanbul, had been intercepted just west of Pantelleria, an island in Sicily. According to a source with knowledge of the operation, the vessel only switched to a Cameroon registration last week. The inspection was conducted by the maritime authorities to ensure that the tanker had the legal right to fly the Cameroon Flag and that all of its registration documents were valid. Sources said that the EU Naval Mission, Operation EUNAVFOR Med Irini did not have authority to seize vessels at such inspections. Therefore, the Toa Payoh wasn't detained. The?documentation collected during the boarding is still being reviewed and can be used by national officials for a later sequestration, if needed. Toa Payoh’s captain initially refused to cooperate with EUNAVFOR MED’s mission. A team of Italian military personnel was then sent to board the vessel using a helicopter launched from the EUNAVFOR MED flagship, Thaon di Revel. The inspection, which was carried out by a Greek vessel with the assistance of a Polish maritime surveillance aircraft, took about two hours. It was concluded'safely,' according to the ministry. No immediate comment was made by Russia. The Sunday operation comes after the July 20 boarding of MV South Star. This tanker was also linked to Russia's Shadow Fleet and was inspected by Irini Forces over suspicions that it was also sailing under a false banner. The European Union has imposed sanctions against scores of vessels it claims are part of Russia's "shadow fleet", which is used to circumvent restrictions on oil exports ever since its invasion of Ukraine. EUNAVFOR Med Irini was launched in 2020 as a naval mission of the EU to enforce an arms embargo imposed by the U.N. on Libya. Since then, EU governments have expanded its scope by authorizing it to conduct verification boards. (Reporting and editing by Kevin Liffey, Alex Richardson and Crispian Balmer)
-
Italian-led EU forces board a sanctioned Russian tanker in the Mediterranean
The Italian Defence Ministry reported that an EU team led by Italy boarded on Sunday a tanker from Russia's "shadow fleet" to verify the nationality and flag registration. It was not immediately clear if the vessel had been held while the checks were being carried out. The ministry reported that the Toa Payoh tanker, which was under EU sanctions and sailing under the?flag of Cameroon's, had been intercepted by Italian authorities in the Mediterranean west of the island of Pantelleria while traveling from Benin towards Istanbul. The captain of the ship initially refused to cooperate. A team of Italian military 'personnel' then 'launched' a helicopter from the 'Thaon di Revel', the flagship of EUNAVFOR MED Irini. The inspection was carried out by a Greek vessel, assisted by a Polish maritime surveillance aircraft. It lasted two hours, and the ministry reported that it was completed safely. The Italian authorities examined the documentation that was obtained during the inspection. The European Union imposed sanctions on scores vessels it says are a part of the "shadow fleet" that Russia has used to circumvent its oil export restrictions since its invasion in Ukraine. EUNAVFOR MED 'Irini' is a naval mission of the EU launched in 2020 with the aim to enforce a U.N. -imposed arms embargo against Libya. Since then, EU governments have expanded?its mandate by authorizing it to conduct verification boards of vessels suspected of flying false flags. (Reporting and editing by Kevin Liffey; Crispian Balmer)
-
After talks fail, WestJet flight crews strike
Flight attendants at Canada's WestJet went 'on strike' on Sunday, after failing to reach an agreement with the country's second-largest airline. This resulted in the cancellation of flights during busy summer travel seasons. The Canadian Union of Public Employees (CUPE), which represents 4,400 flight-attendants at the carrier owned by Onex Corp., gave a 72-hour notice on Thursday, signaling that there could be a strike if negotiations failed to yield an agreement. In a Sunday Facebook post announcing the?strike, the?union didn't provide any details. CUPE and airline 'didn't immediately respond to emailed requests for comments outside of business hours. The union wants to pay its members from the moment they arrive to the moment they leave, but that's not the case. WestJet canceled 309 flights from Sunday night to Monday morning in anticipation of the strike. The company stated on its website that it did this to "minimize the risk of guests and aircraft being stranded." The strike is part of a larger effort by flight attendants to challenge compensation structures that pay cabin crew primarily when the aircraft is moving. (Reporting from Sumedha Mukherjee, Bengaluru. Editing by Joe Bavier & William Mallard.
-
Thirteen die in tourist plane crash over Peru's Nazca Lines
Authorities in Nazca Province said that a?small tourist aircraft crashed Saturday while flying over the 'Nazca lines archaeological site' in southern Peru. Thirteen people were killed. In a press release, the Peruvian Ministry of Commerce and Tourism stated that 11 foreign tourists and 2 crew members were aboard. Local authorities reported that the plane crashed near Pueblo Viejo. This is approximately 6 km (4miles) away from the city of Nazca, and about 12 km (7miles) from Nazca Lines. Local authorities reported that the small plane was owned by the local Peruvian carrier Aerodiana and took off from Pisco Airport. The company did not respond to requests for comment. According to reports from the local press, it happened at 12:55?pm. The plane was on a sightseeing flight at the time and was preparing to return. According to RPP, the Peruvian radio station, after the crash, a fire broke out in the plane, rendering any rescue efforts impossible. Firefighters, police officers and municipal officials were sent to put out the fire and begin initial rescue operations. Local authorities have said that they will conduct an investigation to determine the cause of this crash. Social media footage shared showed what appeared to be the wreckage of a small aircraft on an arid landscape. I was unable independently to verify the footage. Nazca Lines are a series of geometric and huge drawings etched in the desert plains of southern Peru. They attract around 100,000 tourists annually. The Nazca Lines are usually viewed from small aircraft that fly over the site. The Nazca 'lines were suspended Friday because of winds above 40 kph, which caused dust to be blown around and reduced visibility. Local media reported that strong winds forced two small planes carrying Peruvian tourists, and six other aircraft carrying foreigners to divert their flights to Marcona Airport.
-
Crimean families line up for hot food as Ukraine cuts power supply
A chef prepared to serve dozens if people who were waiting for a hot meal after Ukrainian attacks had cut off power in their kitchens. Fuel supplies in cities and towns throughout Crimea, the area that Russia annexed as part of Ukraine in 2014, were limited for most of the summer due to Ukrainian attacks on power plants and other infrastructure. Ukraine says that it is "bringing the war home to Russia" through intensified strikes on the territory and deep within the country controlled by its neighbor. Oksana Mdyud, the head of Massandra's town administration, said that her workers serve 200 people a day. She said, "We are preparing hot meals because not everyone can cook food hot on an electric stove." Marina, a local woman, complained that her leg pain made it difficult to descend from her 10th floor?apartment, but her lack of electricity sent her on a 'hunt' for a gas cooker and cylinders. She said that her apartment was empty. "We have an electric cooker, that's all." Alexandra, a resident of a nearby older age, also said that she was lured by the aroma of the food after being without electricity for 10 days. She added that "they turned it back on today at 4 o'clock", but was not sure if the lights would be still on when she got home. Reporting by Lucy Papachristou, Writing by Andrew Heavens
-
Iraq is expecting to extend pipeline agreement with Turkey, INA reports
Iraq is planning to sign a?agreement for a year to continue Iraqi crude?flows?through?the Turkish?port of Ceyhan. This was announced by the oil ministry, according to Iraqi News Agency. The agreement would renew a 'decades long bilateral arrangement which expired on Monday, which allowed the operation of Baghdad’s 'only working export pipeline, the Iraq Turkey Pipeline (ITP). Salim al Rikabi, INA's spokesman, said that Iraq's Oil Minister is visiting Turkey on Saturday to sign an agreement providing for a daily capacity of 750,000 barallons. The extension will give time to negotiate a comprehensive agreement. The Turkish government wants the pipeline with its?capacity to transport 1.5 million barrels of oil per day to be fully utilised, and possibly extended to southern Iraqi fields. According to Turkish data, the pipeline currently carries?170,000 barrels per day.
-
UKMTO reports two incidents of tanker accidents off Oman
The 'United Kingdom Maritime Trade Operations' (UKMTO), a division of the United Kingdom Government, said : "On Saturday we received reports...of two maritime incidents...off Oman. One incident involved a tanker that was hit by an unknown projectile." UKMTO reported that in the first incident a tanker struck by a projectile unknown about 11 nautical miles northeast of Oman’s Lima. The damage to the engine room left the vessel without command. The UKMTO said that there were no reports of casualties or environmental impacts. Later, the UKMTO reported that it received a second report of an incident?21 nautical mile northeast of Oman’s Khasab. The tanker's master reported a large explosion and splash in close proximity to his vessel. However, no damage was reported. Lima and Khasab lie on Oman's Musandam Peninsula, at the entrance to the Strait of Hormuz. This is a strategic shipping chokepoint through which a fifth of the world's oil consumption passes. In recent weeks, shipping through the Strait of Hormuz was a risky endeavor. Ships reported security incidents and shipowners took 'additional measures' as hostilities between Iran and the United States escalated. Reporting by Hatem Mahar and Enas Alashray; Editing By William Mallard & Kirsten Donovan
-
India's record renewable power generation in July reduces coal's share to a 1-year low
In July, the share of coal in India's power generation mix fell to its lowest level?in an entire year as renewable energy production surged?to a new record high. The data revealed that renewable power has risen to 20% of India's total mix. The data showed that the number of kilowatt hours (kWh) consumed in July was 36.25, a 30% increase from last year. Grid-India, the state-run regulator, calculated that coal-power generation dropped to 65.7% from 69% in July. India's clean energy generation has risen as solar and wind output have exceeded 100 gigawatts. This is the first time that this figure was higher than 42.8%. Manoj Kumar, analyst at the Centre for Research on Energy and Clean Air said that the majority of peak power demand occurs during the daytime, when solar contributes more. He cited a rising renewable share in the nation's electricity generation. The data revealed that coal-fired electricity generation increased by 12.8% on an annual basis to 119.40 Gigawatt Hours in July. Analysts attribute the rise in coal-power production to a decline in hydropower and due to an El Nino pattern where "searing heat" is driving the demand for cooling at night. El Nino has caused a significant shift in rainfall patterns and elevated temperatures. This is why hydropower generation fell for the second consecutive month. CREA stated that the lower hydro generation due to El Nino combined with increased power demand could result in a gap in power generation of nearly 18 billion kWh. This will lead to an increase in coal-fired energy in India. Data showed that India's electricity production in July increased 10.4% compared to a year ago, reaching 181.79 billion kWh. Sethuraman N.R.; William Mallard, Editor
The deceptive calm of the oil market will not last.
Physical oil is at the center of the storm, a calm that deceives after the initial panic to deal with the largest oil crisis in human history. The Iran war blow has been softened by the dramatic drop in "China's" purchases and a rise in U.S. Exports. This delicate balance could not last long, as the peak season for demand is approaching. The crude oil market is surprising calm, despite the sudden loss of 20 million barrels of Middle Eastern oil per day, or about a fifth of global supplies, after Iran closed the Strait of Hormuz shortly after the start of U.S. and Israeli airstrikes in February.
This is because a large part of the world still has to adjust in a complicated, fragile way to ensure adequate supplies. Exports from the U.S., and other producers in the Atlantic Basin have increased dramatically. This has helped to fill a large part of Middle Eastern demand. China deliberately reduced its purchases, and other countries have been reducing their inventories in a rapid manner. This unexpected availability has eased the pressure on prices. Physical Brent crude oil is currently trading at around $110 per barrel, well below the peak of its crisis. This balancing act, however, is not sustainable. The oil market could enter a more dangerous phase as the closure of Hormuz is likely to continue for several weeks, despite the sputtering efforts to achieve peace.
SUPPLY CRUMBLING The initial reaction to the Middle East supply crunch was to cut consumption in the hardest hit regions. Asia, where 60% of oil was sourced from the Gulf until February, took the brunt. Refiners closed down units and governments implemented energy-saving measures. Emergency reserves were also released in large quantities. According to Kpler Shipping Data, Asian crude imports in April dropped to only 18.7 million barrels per day, a sharp drop from the average of 25 million barrels per day in 2025. Refiners were forced to find alternative feedstock from further afield. They turned primarily to Latin America and the U.S. This shift has "fundamentally" reshaped the global trade flows. According to Kpler's estimates, U.S. oil exports by sea reached a new record of 8.55 million barrels per day in April, and will likely surpass 10 million in May. This cements America's position as the largest oil and natural gas producer in the world. The wave of emergency purchases drove up physical oil prices in March and April. Crude oil from the Atlantic Basin reached a record price of $150 per barrel, as refiners competed to secure limited supplies.
Due to the long distances involved with shipping oil from Asia to these regions, there is a delay of four to eight weeks in delivery. This means that replacement barrels are only now arriving. The dramatic reduction in global crude stocks and this lag in shipping oil from these regions to Asia are the main reasons why the prices on the physical market have dropped in recent weeks.
CHINA FACTOR China is another key player that has contributed to easing the global scramble. After the Iran War broke out, China, the world's biggest oil importer, drastically reduced its crude purchases. Kpler reports that from a near record of 11.5 millions bpd seaborne imports in February, shipments dropped to 8 million in April, and will drop even further to 6.9 million in May. This is the lowest level for nearly a decade.
In May, Chinese refiners largely avoided the market. They refused crude from Saudi Arabia and resold refined products from West Africa. This behaviour indicates that China's oil exports will continue to be low well into the summer.
Beijing's vast oil reserves, which were estimated at 1.3 billion barrels in February, are roughly equivalent to four months worth of imports.
China does not provide detailed information on its oil reserves, which makes it difficult to determine how aggressively the country has used its reserves. The International Energy Agency reported that China's above ground crude stock fell by 7,000,000 barrels in march, marking the first drop in six months. The Paris-based agency has no knowledge of oil stored in underground caverns.
China is the only country that will see a 27% increase in Asian imports between April and may, to 14 million bpd. ?U.S. Kpler predicts that exports will nearly double, from 1.1m bpd to 2m bpd by May.
DANGER ZONE
The relative calm of today should not be misinterpreted as a new equilibrium. The world's oil stocks are rapidly depleting as the Hormuz Crisis enters its 12th week.
According to the IEA, global inventories have dropped by 246 millions barrels, which is equivalent to 4 million bpd.
Refiners will also be looking to increase their supply in the near future, ahead of the summer season, which is a crucial time for fuel consumption, especially in Northern Hemisphere. Politics could impede the U.S.'s export boom. Gasoline prices could rise sharply if the U.S. inventories shrink and summer demand increases. Although the Trump administration has denied any claims of oil export restrictions, this could change if American consumers start to feel the pinch.
Overall, the market response to the 'Hormuz shock' - from trading and finance to shipping and storage - is testament to the?flexibility and?depth? of the global oil systems. The shock absorbers thin out with every passing day that Hormuz is blocked. The economic impact of this conflict will become more evident as summer approaches. Ron Bousso is a columnist at.
You like this column? Check out Open Interest, your new essential source for global financial commentary. Follow ROI on LinkedIn and X. Listen to the Morning Bid podcast daily on Apple, Spotify or the app. Subscribe to the Morning Bid podcast and hear journalists discussing the latest news in finance and markets seven days a weeks.
(source: Reuters)