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El Nino could increase gas exports from Argentina to Brazil according to OLACDE's executive
A representative of the 'Latin American and 'Caribbean 'Energy Organization' (OLACDE), said that the El Nino phenomenon could cause Argentina's natural-gas sales to 'Brazil' to increase in the spring months in the Southern hemisphere. A strong El Nino will increase rainfall and frequency in Argentina. This would allow for greater use of hydroelectric power plants. The phenomenon will cause drought in western Brazil. This will require more natural gas to produce electricity at thermal power plants. Guido Maiulini of the strategic advisory department told Friday that Argentina may be able to export surpluses due to El Nino's impact on the Parana River. OLACDE is a regional organisation of 27 countries. Maiulini didn't estimate the amount that?gas sales, which are currently done ad-hoc, could increase. For the first time last year, Argentina exported gas to Brazil through Bolivian pipelines from its Vaca Muerta shale. REGIONAL GAS MARK Argentina is developing Vaca Muerta, located in the western part of the country. This area holds the second largest unconventional gas reserves worldwide and the fourth largest oil reserves. According to OLACDE a greater regional integration of gas is possible due to Vaca Muerta’s unconventional?resources? and?unmet demands in certain markets. OLACDE estimates that expanding regional trade would require an investment of $18 billion for infrastructure in 'Brazil and Uruguay, Paraguay and Chile, Bolivia, Argentina, Bolivia, Brazil, Uruguay. This includes a new gas pipeline connecting the Argentine province Santa Fe with 'Brazil Porto Alegre' and modifications to an existing pipeline linking Argentina to Bolivia. Maiulini said Argentina is currently negotiating with Brazil new gas export deals using pipelines located in Bolivia. (Reporting and writing by Eliana Razewski, Leila Miller, Editing by Rod Nickel).
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UN agency: UN evacuation plan for ships stranded in Gulf underway
The United Nations shipping agency announced on Tuesday that an evacuation plan is in place to allow hundreds of ships with 11,000 seafarers stuck?in?the Gulf to sail through the Strait of Hormuz. This follows the agreement between Iran and the U.S. to end hostilities. A spokesperson for the United Nations said, "We've started to contact the ships in order to begin the evacuation." The International Maritime Organization's (IMO) spokesperson said that the evacuation would begin as soon as possible. The IMO stated that it had?secured the necessary safety assurances and verified conditions for safe sailing. In a press release, IMO Secretary General Arsenio Dominguez stated that "this?large-scale?operation will be carried out closely in cooperation with Iran and Oman as well as all other coastal'states' in the region. The United States, too, are involved." Oman's Defence Ministry said in a separate advisory that the evacuation process, under the IMO Plan, which has been discussed for months, would be phased. It said that "given the elevated collision risk in the current climate,?a gradual and managed evacuation of vessel traffic was required." The Omani Ministry said that the "so-called Traffic Separation Scheme" was not safe to use at the moment and two temporary routes north and south could be used as evacuation routes. The advisory from the Ministry stated that "parties coordinated by IMO will contact each vessel individually to inform them of the?transit date they have been assigned." The scheme adopted by the IMO in '68 established routes through Iranian - and Omani waters. The waters surrounding Hormuz are a major risk due to floating mines. (Reporting and editing by Gareth Jones, Andrew Cawthorne and Jonathan Saul)
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Nord Stream 2 pipeline owner sues EU over Russian gas ban
A public document revealed that the owner of the Gazprom controlled Nord Stream 2 pipeline has filed a lawsuit against the European Union at the second highest court in the bloc, attempting to overturn the EU's phase-out of binding gas imports from Russia. In response to Moscow's invasion of Ukraine in 2022, the EU passed a law requiring all Russian gas imports to cease by late 2027. This would cut off all ties with Europe’s former largest supplier. The ban prevented the revival of the Nord Stream System - two double pipes under the Baltic Sea built by Russia's Gazprom state-controlled company to deliver 110 billion cubic meters of gas to Germany annually. Both structures were damaged by an explosion that occurred in August 2022. Russia accused Ukraine of the attack. Kyiv denied any involvement. Nord Stream 2 AG (the Swiss entity that owns a pipeline of the same name) has filed a suit before the EU General Court to overturn the EU ban. They claim that the EU ban is effectively securing the pipeline. Gazprom owns Nord Stream 2 AG. The applicant argues that the regulation essentially denies it the ability to use its pipeline commercially. The lawsuit stated that this is de facto expropriation, without compensation. Gazprom didn't immediately respond to an inquiry for comment. Both the European Parliament's and the Council of the EU's spokespeople declined to comment on the lawsuit. Nord Stream 2 is completed. However, Germany halted it just before Russia invaded Ukraine. The pipeline never began to operate. Nord Stream 1 has been delivering gas to Germany since more than a decade. The EU enacted its Russian gas embargo using a law which?required the approval of a strengthened majority of EU member countries. This was done to override?opposition by Hungary and Slovakia. Nord Stream 2 AG argued in its lawsuit that the Russian gas embargo was a sanction like measure that required approval from all EU member states. The lawsuit was filed on April 27th and published last week in the official journal of the EU. After the explosions, only one of the four pipelines - a part of Nord Stream 2 - remained intact. This month, Russian President Vladimir Putin stated that the pipeline could begin pumping gas "tomorrow." Before 2022, the EU will import around 40% of its gas. This dropped to 13% in the last year. (Reporting and additional reporting by America Hernandez, editing by Philip Blenkinsop & David Gregorio; Additional reporting by Kate Abnett)
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TSA: US agencies have confiscated more than 300 drones in the vicinity of World Cup sites
The Transportation Security Administration announced on Tuesday that U.S. agencies have seized more than 300 drones in the vicinity of FIFA 'World Cup venues, since the tournament started on June '11. Air traffic controllers must give specific permission for all aircraft operations on match days, including drones. This is within a three nautical mile radius and up to 3,000 ft above the ground around stadiums. The FBI field office in Miami said that it issued tickets to 49 drone operators for unauthorized flights, and confiscated 54 drones. The Federal Aviation Authority?has banned drones from overflying matches and fan gatherings in the United States. Drones are prohibited at?fan gatherings within a radius of one nautical mile and up to 1,000 feet above ground level. FAA officials said that drone operators who violate restricted airspace can be fined up to $100,000 and face criminal charges, as well as the confiscation of their drone. FBI teams are also stationed at World Cup stadiums in order to "detect and disable" unauthorised drones. Last year, Donald Trump signed an Executive Order to strengthen U.S. Defenses against threatening drones. Homeland Security Department also installed new counter-drone defense systems at the U.S. Mexico border in Texas. A man plead guilty last year after he was accused of violating defense airspace by flying a drone above a National Football League post-season game in Baltimore, in January 2025. Separately, Massachusetts?man charged with illegally?flying drone near the end line of April 2024 Boston Marathon. This prompted law enforcement officers to seize the drone mid-air. (Reporting by David Shepardson; Editing by Sanjeev Miglani)
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Gulf oil tanker prices nearly double as Middle East producers increase exports
Shipping data and sources indicate that oil tanker operators have made record profits this week after almost doubling the cost of hiring vessels to travel through the Strait of Hormuz or the wider Gulf region. This is due to the increasing demand for the waterway as it slowly begins to pick up. The strait's traffic has been relatively low since Iran lifted the effective blockade after agreeing on a 60-day truce with the U.S. last week. Meanwhile, talks are continuing to reach a permanent agreement to end the war. The number of vessels passing through Hormuz has dropped to a fraction of what it was before the conflict started on February 28. According to market estimates, up to 100 tankers are still stuck in the Gulf with their cargoes, adding to an already tight supply of vessels, as Middle Eastern producers increase exports. According to ship brokers, and other industry sources, the rates for hiring a vessel outside of the Strait?Hormuz are now $190,500 per day, up from $106,500 one week earlier. The prices also increased outside the Gulf area. According to ship brokers and industry sources, the average daily earnings of very large crude carriers have increased by over $50,000 in the last week for cargoes that need to pass through Hormuz. Ship broker Clarksons stated that "tanker owners were preparing for a surge in Middle East crude cargoes over the next few weeks. They are encouraged by the fact spot TCEs, or earnings (averaged more than $100,000/day) despite the drop in cargo volume following the U.S. Iran hostilities." In a statement, it stated: "This shows that the supply of (tankers) is extremely tight. A reopening of Hormuz will further tighten capacity." FLURRY OF TENDERS FROM MIDDLE-EAST PRODUCERS Middle Eastern producers have been offering crude in a frenzy of tenders, especially Abu Dhabi National Oil Company. They are encouraging buyers to load from within the Gulf and this is boosting demand for tankers. Sinokor, one of the largest operators of supertankers in the world, did not reply to a comment request. The group's Belgium B supertanker, the last vessel to enter the Gulf and load cargoes for the group on Monday, was heading towards terminals in Iraq. Ship tracking data from MarineTraffic revealed this on Tuesday. Insurance industry sources say that while tanker rates are up, war risk insurance costs have fallen in the last five days, to about 3% of a ship's value, from around 5% a week earlier, excluding discounts. It would be a reduction of hundreds of thousands in insurance costs for ships. After months of supply disruptions, buyers in India, such as the country's largest refiner Reliance have sought crude from this region. Reliance has not responded to a comment request.
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Europe Inc. adapts to the heatwave with cool boxes and dawn starts
Companies are trying to protect their workers and keep operations running as temperatures in Europe reach above 40 degrees Celsius. They also want to take advantage of the soaring demand that could be a relief. DHL, the German logistics giant, has provided its delivery staff in Germany with "cool boxes", which contain reusable cooling towel, water-activated arm coolers, and UV-protective collar guards. Construction firms have shifted their working hours so that they start earlier and end before the hotter part of the day. Retailers are struggling to meet the demand for portable air conditioners and fans. DHL stated that "extremely high temperatures pose a special strain when physically demanding work", adding that workers should drink lots of fluids, wear sunscreen, and seek shade wherever possible. In France, 40 people have drowned recently as a weather system brought hot air from the Sahara northwards. The people were trying to avoid temperatures above 41 degrees Celsius in Bordeaux and Poitiers. In the north, some schools have closed or altered their timetables. Scientists have linked the most dramatic increase in temperatures to climate change on Europe. According to Climate Monitor, it was the continent that had temperatures Monday far above their?historic norm. Where to escape the heat? Coping strategies have become a part of everyday work for many workers. "I keep drinking water to hydrate myself because the heat is unbearable," said 58-year-old Madrid electrician Vladimir Yepes. Even when we're not in the sun, temperatures continue to rise. The 60-year-old accountant Juan Antonio Casas said that the temperature in his air-conditioned office was bearable but it would be "horrible" to go outside. The Central Association of the Construction Industry in Germany said that road construction crews and outdoor employees are most at risk from extreme heat. Heribert Joris is the head of the association's social and collective negotiation policy. France's association for farm cooperatives reported that some silos are organizing night shifts in order to receive grain, because local authorities have prohibited afternoon harvesting due to the increased risk of fire. SALE OPPORTUNITY for SOME Heat has produced winners and losers. Currys, a British electrical retailer, said that sales of fans increased nearly 3,000% in comparison to the previous weekend before the heatwave. Air-conditioning units also increased 330%. AO World Finance chief Mark Higgins stated that the heat in Britain - which experienced record temperatures also in May - had boosted demand sooner than normal. Higgins stated that the UK had experienced a spike in hot weather through May. This is earlier than what we normally experience during the year. When it's hot, air conditioners and fans are in high demand. This surge is indicative of a wider shift on a continent that has historically been less dependent on air conditioners than other regions, such as North America. Climate change is causing more frequent droughts, heatwaves, and floods. This will increase the economic costs for most people. In a study conducted by the University of Mannheim in collaboration with economists at the European Central Bank, it was found that extreme weather could cost the European Union EUR126 billion (USD143.46 billion). Southern Europe is particularly vulnerable, and the public authorities are forced to respond. Madrid has increased the number of "climate refuges" to provide respite for vulnerable residents. Some have paid a high price to cool their homes. Yandri is a 28-year old plumber from the Spanish capital who said that he sleeps in the air conditioning all night. You will see the bill. He said, "It's going to be a big bill."
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Oman and Iran continue talks to manage navigation in Strait of Hormuz
Oman and Iran agreed?on?Tuesday to continue discussions regarding the?future management of navigation?in?the Strait of?Hormuz.?Including maritime services and costs associated with it. In a statement released after the talks in Muscat the two countries announced that a working group comprising their respective foreign ministries will be formed to continue the discussion and they will consult with other littoral states and relevant parties. This move seems to be a fulfillment of a memorandum of understanding that was signed last week, which calls on Iran to have talks with Oman and the other Gulf coastal states about the future management of maritime services and navigation in the strait. The strait is a vital waterway to global oil supply. The agreement was announced after a visit from Iranian Speaker of the Parliament Mohammad Baqer Qalibaf, and Iranian Foreign Minister Abbas Araqchi. They met Oman Sultan Haitham bin Tariq, and spoke with Omani Foreign Minister Sayyid Albusaidi. Oman and Iran have reaffirmed in a joint statement their commitment to ensuring safe passage along the waterway, while maintaining sovereignty over their own territorial waters. Since the U.S. and Israeli war began against Iran in February, the Strait has been closed to commercial shipping. After Iran began blocking the strait, the United States blocked Iranian ports. Oman and Iran have reaffirmed that they are committed to making the Strait of Hormuz a safe and open route for international traffic and to promoting maritime security, freedom and stability in the region. (Reporting and editing by Aidan Lewis, Timothy Heritage and Jana Choukeir)
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There are some flights to the Middle East that have resumed but there is still disruption.
Some airlines have resumed flights to certain parts of the Middle East, as diplomatic efforts intensify to resolve the conflict following the U.S. and Israeli strikes against Iran. However, many carriers continue to suspend flights, causing global travel disruptions. The following is an alphabetical update of the flight status for airlines: AEGEAN AIRLINES Thessaloniki-Tel Aviv flights have been cancelled by Greece's biggest carrier until 26th June. Dubai flights are cancelled up until August 31 and Erbil and Baghdad flights until September 30. AIRBALTIC AirBaltic, a Latvian airline, has cancelled all flights to Tel Aviv and Dubai until the 28th of June. AIR CANADA Canadian Airlines has cancelled all flights to Tel Aviv, Dubai and Abu Dhabi until October 24. AIR EUROPA Spanish Airlines has canceled flights to Tel Aviv from June 28 until now. Air France-KLM Air France suspends its Tel Aviv, Beirut and Dubai flights until July 5, and until June 30, respectively. KLM has suspended flights from Riyadh to Dammam, Dubai and Dammam until August 9. CATHAY PACIFIC Hong Kong Airlines has suspended flights to Dubai and Riyadh through August 31. The U.S. carrier suspended service for the Atlanta-Tel Aviv routes through December 18. The airline plans to resume New York JFK to Tel Aviv flights on September 6 while Boston-Tel Aviv, which was scheduled to launch in late October, will now be delayed. FINNAIR Finnair has canceled its Doha flights up until October 2 while continuing to avoid the airspace over Iraq, Iran Syria and Israel. The airline will resume its Dubai flights in October, which are only operated during the winter. British Airways, owned by IAG, delayed the resumption its flights to?Doha and Riyadh to August 8th. Flights from Amman, Bahrain, Amman, Tel Aviv and Dubai will be paused for the summer season, and resumed on October 25. When it resumes, the airline plans to reduce its services to Dubai and Doha to just one flight per day, while dropping Jeddah from the list of destinations. JAPAN AIRLINES Japan Airlines has suspended its scheduled Tokyo-Doha and Doha-Tokyo flight until August 31, and Doha-Tokyo until September 1. Polish Airlines has cancelled all flights to Riyadh and Beirut until 30 June. LOT will begin operating its winter route from Dubai in October. LUFTHANSA GROUP Lufthansa has announced that it will resume Tel Aviv flights as soon as July 1, whereas ITA Airways has confirmed they will resume them on July 1. SWISS delayed?the resume of flights until August, and Brussels Airlines suspended its operations until October 24. The suspension of Dubai flights by SWISS and Lufthansa will continue until September 13th. Lufthansa and SWISS have suspended flights until October 24 to Abu Dhabi, Amman Beirut Dammam Riyadh Erbil Muscat and Tehran. Eurowings, a low-cost airline, has suspended flights from Tel Aviv to Beirut until July 9, Erbil and Beirut until June 30, and Dubai, Abu Dhabi and Amman until October 24. ITA Airways also extended its suspension of flights to Riyadh and Dubai until July 31. MALAYSIA AIRLINES From July 2, the Malaysian airline will resume limited service to Doha. NORWEGIAN AIR Low-cost carrier has delayed the launch of Tel Aviv and Beirut indefinitely and no new start date has been set. ROYAL MAROC Moroccan airline announced that flights to Doha have been cancelled until 30 June. SINGAPORE Airlines In response to increased demand, the carrier has extended the suspension of its Singapore-Dubai flights until August 2. It also added services on Singapore-London Gatwick and Singapore-Melbourne routes between late March and October 24. TURKISH AIRLINES SunExpress, Turkish Airlines joint venture with Lufthansa has?cancelled' flights to Dubai, Bahrain, Beirut, and Erbil, until July 14. WIZZ AIR Low-cost airlines have suspended flights from Europe to Dubai, Abu Dhabi, and Amman until mid-September. (Compiled by Josephine Mason and Jamie Freed. Elviira Lioma, Tiago Branao, Agnieszka Olesska, Bernadette HOG, Alexander Klyve Gudbrandsen, Romolo TOSIANI, Boleslaw LaSocki). Matt Scuffham and Alexander Smith edited by Susan Fenton, Milla Nissi-Prussak Jonathan Ananda Joe Bavier, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heavens, Louise Heaven, Bernadette Hogg, Romolo Tosiani.
TotalEnergies CEO: We must invest in Gulf pipelines so as to avoid Hormuz.
By America Hernandez
PARIS, June 23. CEO Patrick Pouyanne told an energy conference held in Paris that TotalEnergies must 'prioritise' the construction of pipelines to?export gas and oil?from the Middle East without having to send ships through the Strait of Hormuz.
Pouyanne was asked to share his lessons learned over the past three-months of the Iran crisis, as Total is the major oil company most exposed to the Middle East. The Iran war has crippled the waterway that carries a fifth of the world’s oil to global markets.
"The Strait of Hormuz is a real threat. We must act." "There is only one way to ensure that it does not remain a danger: we must invest into pipelines in order to bypass the Strait of Hormuz, this is our absolute priority," said he.
Pouyanne also mentioned other export routes through Syria, Abu Dhabi and Iraq.
Pouyanne explained that if you were in Iraq, and needed to reach the sea you could either go through Kuwait or Saudi Arabia or head towards Syria or Turkey.
He said that Total found oil in Iraq in 1929 and built a?Iraq to Syria pipeline in just six years. The?world's biggest tanker of the time transported the oil across the Mediterranean, to a refinery in southern France.
He added, "If our predecessors were able to do it 100 years ago, I think we should be able to do it again today."
(source: Reuters)