Petromaj Oil & Gas Trading

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The New Government of Mexico Will Promote Oil Partnerships. In order to develop local resources, Pemex will be encouraged to collaborate with private oil corporations by the new Mexican administration. This would be a change from the policies of the government of Andre Manuel Lope Obrador to that of his predecessor, Enrique Pena Nieto, whose government implemented reforms to the energy market with the goal of encouraging the involvement of more international oil companies in Mexico's development of its oil and gas resources. Although the incoming president Claudia Sheinbaum has made it apparent that she intends to increase wind and solar energy, it is unclear how she feels about the region's oil and gas sector. The new administration was considering farm-outs, in which Pemex and its partners split the profits and the risks.

Petrobras Discovers Natural Gas Off the Coast of Colombia. A natural gas discovery has been confirmed at the Uchuva-2 well off the coast of Colombia by the integrated energy business Ecopetrol S.A. and the state-owned oil corporation Petrobras S.A. of Brazil. Uchuva-2 is a deepwater well that was drilled in 2022 and contains natural gas that was previously found in the neighboring Uchuva-1 well.   A Petrobras executive stated that a big project to supply natural gas to Colombia and export it may be justified by the prospective area off its coast.  The recently discovered gas in Colombia is probably going to find a willing regional market. The Caribbean and Latin America continue to be net importers of gas. Despite having the greatest potential for regasification in Latin America, Brazil continues to be the region's biggest importer of LNG.

Rising Energy Prices Cause German Companies to Think About Relocating. Four out of ten German manufacturing companies are considering either minimizing or moving their production abroad due to high energy costs and supply uncertainties. Furthermore, over half of Germany's industrial companies with 500 or more employees are currently thinking about reducing or shifting their production within the country. Since 2022, German manufacturing companies—particularly those in energy-intensive industries—have been struggling with excessive energy expenses, which resulted from the Russian invasion of Ukraine. Over the past two years, Germany's manufacturing and industrial activities have been poor, largely due to rising energy costs. The severely damaged industries are those that require a lot of energy, particularly chemicals and fertilizers.

Shipments of crude oil from Russia Fall to an 11-Month Low. Due to growing refinery runs and Moscow's efforts to meet its OPEC+ production quota, Russian seaborne crude oil shipments have fallen to their lowest level since August 2023. Russian oil exports peaked in April, and the four-week average of shipments in the week up to July 21 was approximately 710,000 barrels per day (bpd) lower than that quantity. In the midst of the peak demand season, Russia has promised to adhere to the cuts and make up for past overproduction even though domestic refining levels are almost at their highest point in six months. About 1.184 million barrels per day (bpd) for Iraq, 620,000 bpd for Kazakhstan, and 480,000 bpd for Russia were overproduced overall.

Iran Believes That the Impact of US Sanctions on its Exports of Condensate Has Been Neutralized. Iranian Petroleum Minister Javad Owji claimed that Iran has been able to counterbalance the impact of Western sanctions led by the United States on its exports of gas condensate, or very light oil, by selling more of the substance. he oil minister claims that Iran has increased its oil earnings from $9 billion in 2020 to $28.4 billion yearly. Iran has announced a rise in its crude exports, despite US sanctions that have drastically decreased the market for Iranian oil. According to Mohammad-Reza Farzin, the governor of Iran's central bank, the country's oil sector expanded by 14.7% in the most recent Iranian year, which concluded on March 19, 2024.

Brazil May Soon Again Issue Oil Permits. The Ascema union, which represents Brazil's federal environment workers, has put out a proposal to end the strike that has impeded the issuance of permits for oil and gas projects in the Amazon rainforest. The group went on strike last month in hopes of improved wages and working conditions, and the strike was partially resolved.  The strike has put a great deal of pressure on Ibama, Brazil's environmental agency, which grants licenses that are essential to the country's oil industry. Brazil's oil production has been affected by this slowdown; industry association IBP has reported a daily decrease of 200,000 barrels because of permits not being obtained.  It is now anticipated that Brazil's liquids output would increase by 110,000 bpd this year, and that the country's supply will climb by 180,000 bpd the following year.

Ransomware Attacks Hit the Oil and Gas Sector Harder Than Other Sectors. Over the past year, attacks by ransomware on utilities and oil and gas industries have not decreased. The impact on the businesses that have been hit by ransomware attacks has escalated, in addition to the fact that attacks on vital infrastructure related to oil, gas, and utilities have not decreased in frequency as they have in other industries. Compared to 36% in 2023 and 19% in 2022, 55% of energy, oil, gas, and utilities now require more than a month to recover, according to study conducted in 2024. Just 51% of energy companies used backups to restore encrypted data during the course of the last year, while 61% paid the ransom to get the data back.

15 Temmuz Demokrasi ve Milli Birlik Günü kutlu olsun. Happy July 15th, Democracy and National Unity Day.

Using Sustainable Aviation Fuels to Increase Prices and Decrease Demand. In an effort to reduce emissions, the European airline industry will need to increase fares in order to cover the higher cost of clean fuels, according to Luis Gallego, the CEO of British Airways. The airline industry wants to cut emissions, but according to industry authorities, the sustainable aviation fuel (SAF), which is being used as an alternative to petroleum-based jet fuel, is more expensive now and likely will remain so for some period. The EU's net-zero ambitions, tighter emissions regulations, and demands that planes use a larger percentage of renewable fuels might cause European businesses to lose part of their competitive advantage. The largest airline group in Europe, Lufthansa Group, located in Germany, announced just last month that it will be implementing an "Environmental Cost Surcharge" of up to $77.76 (72 euros) each flight to help offset some of the costs associated with using more sustainable aviation fuel (SAF). All tickets issued from June 26, 2024 with departure from January 1, 2025 from the 27 EU nations as well as the UK, Norway, and Switzerland are now subject to a surcharge ranging from $1.08 (1 euro) to $77.76 (72 euros).