Tag: oil and gas

Enbridge Considers Adding Capacity to Export More Oil to Gulf Coast

Enbridge plans to expand its infrastructure to increase oil transportation from the American Midwest to the Gulf Coast, anticipating rising exports and addressing current market logistical constraints.

Enbridge, a Canadian company specializing in energy infrastructure, is exploring the possibility of increasing the capacity of its pipelines designed to transport crude oil from Flanagan, Illinois, to the U.S. Gulf Coast. The goal is to better meet the growing demand for export logistics. This initiative particularly aims to improve supply to major Gulf terminals, where the volume of oil delivered from U.S. production areas is steadily increasing. Currently, limited pipeline capacity creates logistical constraints for market players.

Strategic Expansion toward Corpus Christi and Houston

Enbridge already maintains extensive infrastructure in the region, including the Houston Oil Terminal (EHOT) at Jones Creek, expected to begin operations by 2026. This terminal will have significant storage capacity capable of receiving and shipping approximately 930,000 barrels per day (b/d). The company also plans to invest around $700 million in constructing the Canyon Oil Pipeline System, capable of transporting 200,000 b/d of crude oil, and the Canyon Gathering System, a dedicated natural gas network with a capacity of 125 million cubic feet per day (MMcf/d). These facilities will primarily support the offshore development of the Kaskida oil field.

Additionally, Enbridge operates the Gray Oak Pipeline, connecting the Permian Basin to Corpus Christi, Texas. This pipeline, currently with a capacity of 980,000 b/d, will soon undergo an additional capacity increase of 120,000 b/d. This expansion aims to ease logistical constraints between major producing basins and export terminals located along the Gulf Coast. Enbridge’s initiative aligns with a broader dynamic aimed at optimizing U.S. domestic oil flows to international markets.

Anticipating Rising Exports

U.S. crude oil exports continue to grow, increasing pressure on existing transportation capacities. This trend generates increased demand for robust logistics services between producing regions, primarily located in the Midwest and Southwest U.S., and Gulf Coast export ports. In response, Enbridge is closely evaluating investments to facilitate crude oil flows to these strategic locations.

These developments could significantly impact price differentials between Permian Basin oil and international markets. The establishment of these new capacities may also influence commercial strategies among U.S. producers and exporters, opening new prospects for oil market participants. Enbridge has not yet confirmed the precise timeline or total cost of the proposed projects.

By: Energynews /  24 June 2025

U.S. Refining Capacity Grows, But Looming Closures Threaten 2026 Output

(Reuters) — U.S. refinery crude oil processing capacity grew by nearly 40,000 barrels per day in 2024 to 18.4 million bpd, the U.S. Energy Information Administration said on June 20.

Motiva Enterprises’ Port Arthur, Texas, plant became the largest single refinery by capacity at 640,500 bpd, passing Marathon Petroleum’s Galveston Bay Refinery in Texas City, Texas, according to the report. Motiva’s increase of 14,500 bpd from a year ago was due to improving operating efficiency.

National capacity may possibly fall by as much as 402,476 bpd by next year’s report because of refinery closures: Lyondell Basell Industries permanently shuttered its 263,776 bpd Houston refinery in February, while Phillips 66 plans to close its 138,700-bpd Los Angeles refinery by the end of this year.

In 2026, assuming no growth at refineries through efficiency improvements, referred to as de-bottlenecking, U.S. capacity would fall below the 2023 level of 18.06 million bpd reported by the EIA.

Marathon, based in Findlay, Ohio, continues to be the largest single refiner in the United States with 13 refineries operating a combined production capacity of 2.96 million bpd equal to 16% of the national total, according to the EIA report, which is issued annually.

Valero Energy Corp., based in San Antonio, is the second largest, with 13 refineries operating 2.2 million bpd, equal to 12% of U.S. capacity, according to the EIA.

Exxon Mobil Corp. is the third-largest, with four refineries with 1.96 million bpd in crude oil throughput, equal to 10.6% of national capacity, the EIA report said.

The EIA report reflects refinery capacity as of January 1, 2025 and is based on reports filed by refiners on individual capacities for each refinery by January 1. As such, it provides a portrait of growth in the previous year.

The long-term trend in U.S. refining has been for shrinking numbers of refineries to overcome increasing capacity at remaining ones.

The total number of refineries in the United States remained unchanged at 132 from 2024, but the EIA report lists the 32,000-bpd CPI Operations refinery in Paulsboro, New Jersey as idle.

By: 6/23/2025

Will Strait of Hormuz Closure Disrupt Global Oil Supply?

As Israel strikes Iran and Tehran threatens to close the Strait of Hormuz, the global oil trade braces for disruption to critical supply routes

Oil prices are lurching after Israel confirmed a strike on Iranian territory on 13 June, described by officials as a “pre-emptive strike” linked to Iran’s nuclear activities.

Brent crude leaped over 10%, hitting US$73.12 a barrel, the highest since January, while US crude on the NYMEX exchange matches it at US$73.20. These price swings are accompanied by a growing fear around supply chains, particularly if the conflict expands. 

Now, the Iranian parliament’s decision to vote for the closure of the Strait of Hormuz marks a turning point. This 50km-wide shipping corridor, sitting between Iran to the north and Oman and the United Arab Emirates to the south, is the busiest oil transit chokepoint in the world. Around 20% of global oil passes through this narrow lane daily.

The closure, if implemented, could halt US$1bn worth of oil shipments every day, choking off supply and hitting economies reliant on Middle Eastern crude.

More than just a regional issue, the potential blockage of the Strait of Hormuz poses a serious challenge to global energy flows and supply chains.

In the first half of 2023, about 20 million barrels of oil per day flowed through this route, according to the US Energy Information Administration (EIA), representing US$600bn annually. This crude doesn’t just come from Iran – it also moves from Iraq, Kuwait, Saudi Arabia, Qatar and the UAE to buyers across Asia, Europe and beyond.

“The outlook for Iranian exports is a concern,” says Derren Nathan from Hargreaves Lansdown, “but also the potential for disruption to shipping in the Persian Gulf’s Strait of Hormuz. It’s a key route for about 20% of global oil flows and an even higher proportion of liquefied natural gas haulage.”

Any interruption would squeeze an already tense global supply chain. With tankers carrying both oil and liquefied natural gas threading through this narrow channel – about 33km at its tightest point – the logistical knock-on effects would be felt quickly.

From China and India to Japan and South Korea, importers would face higher costs. In 2022, more than 80% of oil and condensate leaving the strait went to Asia. China alone takes up around 90% of Iran’s oil exports. For countries like India, half of its crude and 60% of its natural gas imports sail through Hormuz. South Korea and Japan rely on it for 60% and 75% of their crude respectively.

Should Iran attempt to close it, experts suggest mines laid by fast-attack boats or submarines could make the strait impassable. While Iran’s navy could threaten commercial or military ships, retaliation by US forces would be likely.

The US, which escorted Kuwaiti tankers during the Iran-Iraq conflict in the 1980s, retains military options, with Secretary of State Marco Rubio stating: “It would hurt other countries’ economies a lot worse than ours.”

Trade routes shift

Efforts to find alternative paths are well underway but can’t match Hormuz’s scale.

Saudi Arabia operates its 1,200km East–West pipeline that runs to the Red Sea, shifting up to five million barrels a day. The UAE channels oil from inland fields to Fujairah on the Gulf of Oman, capable of handling 1.5 million barrels per day. Iran’s Goreh–Jask pipeline, launched in 2021, carries 350,000 barrels, but exports have stalled since September 2024.

Those routes aren’t without risk, as Saleem Khan, Chief Data & Analytics Officer at Pole Star Global explains: “This morning, at 00:15 GMT, we saw the collision of two oil tankers in the UAE’s Persian Gulf.

“The collision between the Adalynn and Front Eagle does not seem to be “security related” according to maritime security monitor, Ambrey. However an analysis by Pole Star seems to hint toward a potential AIS jamming scenario. The Combined Maritime Force’s JMIC information centre said in an advisory this week that it had received reports of electronic interference originating from the vicinity of Iran’s Port of Bandar Abbas.” 

Even without disruption, collectively these routes can only manage about 3.5 million barrels a day – less than a fifth of what flows through the Strait of Hormuz.

The EIA notes that in 2024 the strait handled over one-quarter of global seaborne oil trade and one-fifth of all petroleum consumption. Meanwhile, disruptions elsewhere, such as at the Bab al-Mandeb Strait, have already prompted countries like Saudi Arabia to divert shipments through inland pipelines.

While the US now imports just 7% of its crude via Hormuz thanks to rising domestic and Canadian supply, the strait remains vital to the rest of the world.

As energy analyst Vandana Hari explains, Iran has “little to gain and too much to lose” from closing the strait. Such a move would not only isolate it from neighbours but also risk damaging ties with China.

By: Libby Hargreaves / June 23, 2025

How much of the UAE’s oil flows through the Strait of Hormuz, and what are the alternatives?

Adnoc exports nearly half of its oil through the strait

The crucial role the Strait of Hormuz plays in the flow of crude oil from the region has taken center stage since Israel first attacked Iran earlier this month. With the possibility of the closure growing very real this week, after Iran’s parliament reportedly voted for its closure as retaliation against the US and Israel following the US’ attack on Iran’s nuclear sites, we take a look at the UAE’s alternatives for oil exports — and how practical they would be in the event of the strait’s closure.

(** Tap or click the headline above to read this story with all of the links to our background and outside sources.)

DISCLAIMER- Even before US president Donald Trump announced a ceasefire between Iran and Israel, the consensus among analysts was that the closure of the strait would be an unlikely scenario, as it would put Iran in a difficult position with China, which is a key Iranian ally and receives most of its oil through the strait.

By the numbers: About 30% of the world’s daily oil supply and 20% of global LNG trade pass through the strait. The UAE moves about 1.5 mn bbl/d out of its 2.8 mn bb/d exports through the strait, Mees reported.

The UAE currently only has one option for bypassing the strait: The Adcop — or the Habshan-Fujairah pipeline — connects Adnoc’s Habshan crude oil processing plant in Abu Dhabi with the nation’s Fujairah export terminal on the Indian Ocean, bypassing the Strait, Mees reported. The pipeline has a capacity of 1.8 mn bbl/d — about 67% of the 2.85 mn bbl/d of crude oil exported from the Emirates this year.

The catch: The pipeline only links to Adnoc’s Murban onshore fields, leaving offshore-sourced crude reliant on the strait for market access. This means that about half of the UAE’s crude exports — 1.5 mn bb/d of offshore production — wouldn’t be up for diversion through Adcop, which would force the UAE to up its production from the onshore Murban facilities.

The good news is: The UAE is working on new alternatives. Adnoc is developing a USD 3 bn 1.5 mn bbl/d crude oil pipeline to link up its Ruwais’ Jebel Dhanna terminal with Fujiairah, but it won’t be operational until 2027. The Emirates would see its bypassing capacity almost doubled when the project is operational.

Any measure to restrict movement in the Strait of Hormuz would “paralyze the [Arabian] gulf and impact the entire world,” Iraqi economist Hilal al-Taan told Shafaq News. Notable ports like UAE’s Jebel Ali, along with oil-reliant nations Iraq, Bahrain, and Kuwait will incur catastrophic financial losses, al-Taan said. While the UAE and KSA have alternative routes, Iraq, Kuwait, Qatar and Bahrain are wholly dependent on the strait for their energy exports, leaving them as the most vulnerable for the closure.

The strait’s closure would also likely shock oil markets, with Bloomberg analysts crude estimating a rise in oil prices to USD 130 per barrel in that scenario.

By: 23 June 2025

How The Iran Conflict Could Hit China’s Oil Industry

Small Chinese refineries face trouble if their supply of cheap Iranian crude is restricted.

The conflict between Israel and Iran has already led to a sharp rise in global oil prices. Chinese refineries, long used to cheap Iranian crude supplies, are unlikely to escape the pain. China and Iran’s economic ties have grown closer in recent years, particularly since the two countries signed a 25-year comprehensive cooperation plan in 2021 — China is now Iran’s top trading partner, according to the Observatory of Economic Complexity, which monitors global commerce. Total China-Iran. 

By Dean Minello — June 22, 2025

Middle Eastern Oil Giants Go On LNG Buying Spree

With strong government backing and billions of dollars at their disposal, Middle Eastern oil giants are aggressively expanding into the global liquefied natural gas (LNG) market, aiming to nearly double their LNG capacity within the next decade. Companies like Saudi Aramco, Abu Dhabi National Oil Co. (ADNOC) and QatarEnergy are investing heavily in LNG production and trading, driven by the growing demand for natural gas as a transition fuel and a desire to diversify their portfolios beyond crude.

“LNG seems to be still the best bet across all different hydrocarbon commodities,” Ogan Kose, managing director at business consulting firm Accenture, told Bloomberg, adding that margins from LNG  investing and trading are “almost unheard of in any other hydrocarbon commodity.”

Whereas natural gas usually plays second fiddle to oil in global energy markets, LNG is seeing sustained demand and faster growth thanks to its role as a bridge fuel in the transition to renewable energy. However, many LNG projects have been hit by delays and large cost overruns, needing extra cash to get them to completion. This opens up an opportunity for cash-rich Gulf nations to flex their energy, financial, and geopolitical muscle in the space.

Further, the Middle East sees LNG as a golden opportunity to expand their commodity trading desks and close the gap with Europe’s energy trading giants Shell Plc (NYSE:SHEL) and BP Plc. (NYSE:BP). Saudi Arabia, Qatar, Bahrain, Kuwait, and Oman are all looking to expand in LNG trading. Oil and gas trading has become a major income source for oil and gas giants, especially when commodity markets are highly volatile.

And, the deals are coming thick and fast. Four days ago, Adnoc’s investment arm XRG PJSC  made an $18.7 billion offer for Australian fossil fuel producer Santos Ltd. (OTCPK:STOSF), good for a nearly 30% premium to Friday’s close, as the Middle East oil giant seeks to expand its LNG portfolio. Santos is pushing an aggressive investment plan to ramp up LNG output by 50% by the end of the decade. Whereas this strategy has frustrated investors looking for quick, near-term returns, it appears to have paid off by luring in a company like XRG searching for high-growth potential. XRG has been on a gas and chemicals buying spree as it targets an $80 billion enterprise value.

Last year, Qatar Energy kicked off production at the Golden Pass LNG project in Sabine Pass, Texas, project. The Golden Pass LNG project in Sabine Pass is a joint venture owned by QatarEnergy (70%) and ExxonMobil (NYSE:XOM), which owns a 30% stake. This more than doubled QatarEnergy’s North gas field expansion production from 77 million metric tons per annum (MMtpa) to 160 MMtpa. Golden Pass LNG is allowed to export up to 937 billion cubic feet a year of natural gas to Free Trade Agreement (FTA) and non-FTA countries on a non-additive basis over the next 25 years. In April, the JV secured regulatory approval by the  Federal Energy Regulatory Commission (FERC) to commission the project.

Two years ago, Aramco entered the LNG sector after it acquired a strategic minority stake in Australia’s MidOcean Energy for $500 million. Last year, Aramco upped its MidOcean stake to 49% and also agreed to fund the company’s purchase of a 15% stake in Peru LNG from Hunt Oil Company. MidOcean Energy has adopted a growth strategy to create a diversified global LNG business, with the company in the process of acquiring interests in four Australian LNG projects.

Meanwhile, Kuwait Petroleum is in talks with Australia’s Woodside Energy Group (NYSE:WDS) to purchase a stake in its proposed LNG project in Louisiana, U.S, Bloomberg has reported. Back in April, Woodside, Australia’s top gas producer, agreed to sell a 40% stake in the 27.6M metric tons/year Louisiana LNG plant to Stonepeak for $ 5.7B Woodside bought U.S.-based Tellurian for $1.2B in 2024, looking to develop the Louisiana LNG project to meet growing demand for gas. The first phase of the massive project is expected to cost ~$16B.

That said, the LNG craze is not limited to the Middle East. Malaysia’s state-owned oil and gas company, Petroliam Nasional Bhd., and other Southeast Asian companies are all looking to expand LNG production beyond their borders. Overall, the experts say the rapid expansion of LNG markets is a good thing, with a greater pool of suppliers likely to benefit LNG buyers, boost competition, and diversify options.

By Alex Kimani – Jun 22, 2025

Supply Crunch Could Send California’s Gas Prices Past $8

On the heels of my recent article outlining how California’s unique fuel regulations — not corporate price gouging — are driving up gasoline prices in the state, new developments have added urgency to that conversation.

On May 6, California Senate Minority Leader Brian W. Jones (R-San Diego) sent a letter to Governor Gavin Newsom sounding the alarm over what could become an energy and economic crisis in the state. Citing an analysis by University of Southern California professor Michael Mische, the letter warns that gas prices could spike 75% by 2026 — reaching as high as $8.43 per gallon — if two major refineries are allowed to shut down as planned.

This follows Professor Mische’s earlier study, which I referenced in my prior article. His research identified structural factors and policy-driven costs as the primary reasons California gasoline prices are consistently the highest in the nation — not oil company profiteering. These factors include high state taxes, a boutique fuel blend required only in California, and an increasingly constrained refinery landscape.

A Looming Supply Crunch

Two key in-state refineries are scheduled to close in the coming months: the Phillips 66 refinery in Los Angeles by the end of 2025, and the Valero refinery in Benicia by April 2026. Together, these facilities produce approximately 20% of California’s gasoline supply.

Professor Mische’s projections are stark. He estimates that gas prices could reach $6.43 per gallon after the first closure and climb to $8.43 by the end of 2026 after the second. These numbers assume stable crude oil prices. But if global oil markets turn volatile — as they often do — the ceiling could be even higher.

What’s Driving the Closures?

Refining gasoline in California has become increasingly difficult. The state’s stringent environmental rules, such as the Low Carbon Fuel Standard (LCFS), coupled with recent legislation like SBX1-2 and ABX2-1, have layered on costly compliance burdens. Add in uncertainty around future bans on internal combustion vehicles and a hostile investment environment, and it’s not hard to see why refinery operators are opting to exit the state.

The problem isn’t limited to fuel prices. According to Senator Jones’ letter, the closures would also eliminate around 1,300 direct jobs and nearly 3,000 more indirectly. These are good-paying, union and trade jobs in communities that can ill afford the loss. Beyond economics, the closures also increase the state’s reliance on imported fuel — most of which must be transported by ship — raising logistical risks and, arguably, national security concerns.

Why This Matters

The letter from Senator Jones reads as both a policy critique and a plea for realism. It challenges Governor Newsom to reconsider regulations that are squeezing fuel producers out of the state and proposes collaboration with the energy industry to explore solutions. Those could include tax incentives to maintain refining capacity, or temporary relief from some of the more onerous rules that disproportionately affect California refiners.

It’s important to understand that California’s fuel market is largely isolated. The state’s environmental regulations and fuel specifications make it difficult to import gasoline from other states or countries. When refineries close, there aren’t many viable alternatives. And when supply tightens in a market with limited flexibility, prices surge — sometimes dramatically.

Reframing the Debate

Much of the public and political dialogue around gas prices in California has focused on oil company profits and alleged price gouging. But the data simply doesn’t support that narrative.

Multiple independent investigations — including those by the FTC and the California Energy Commission — have found no clear evidence that refiners are colluding or manipulating the market. The price premiums in California are mostly structural, driven by policy choices.

Those choices may reflect environmental priorities, but they also carry economic consequences. Policymakers must grapple with this trade-off, especially as the state’s energy mix continues to evolve.

The Bottom Line

If California continues down a path that discourages in-state refining while failing to address the growing supply gap, residents should brace for more sticker shock at the pump. Gasoline prices of $8 or more per gallon are no longer hypothetical; they are within view if the state doesn’t take action.

To be clear, this is not an argument against clean energy. California can pursue its climate goals and still maintain a stable, affordable energy supply. But doing so will require pragmatic policies that ensure reliability and economic viability — not just ambition.

As I wrote in my previous article, this isn’t about corporate greed. It’s about structural and regulatory decisions that have real-world consequences for working families, small businesses, and anyone who drives a car in California.

The choice isn’t between climate progress and affordable fuel. The choice is whether we make that transition responsibly — or let the market punish those who can least afford it.

By: Oil Price / June 17, 2025 

Canada’s Trigon approves LPG export terminal in Prince Rupert

Subject to securing all necessary legal and regulatory approvals, the C$750 million (about €477 million) facility is projected to start exports in late 2029, significantly enhancing Canada’s objective to be a competitive energy superpower as well its as capacity to serve global energy markets.

“This FID is a pivotal moment for Trigon and for Canada’s energy sector, creating new pathways for Canadian LPG to reach international markets, and driving economic growth, resiliency and opportunity for Canadians,” Rob Booker, CEO of Trigon, commented.

“We’ve come to the table with investment dollars and now we need the federal government to expedite this shovel-ready project that is clearly in the national interest.”

This decision comes with support to advance to this project development stage from the Lax Kw’alaams and Metlakatla First Nations, underscoring Trigon’s commitment to collaborative development and shared prosperity.

“This is about bringing long-term benefits to our people, our land, and future generations, and is the next chapter of development in Prince Rupert. It reflects what’s possible when communities and Nations are true partners who are meaningfully involved from the beginning,” Garry Reece, Chief Councillor, Lax Kw’alaams Band, said.

“The shared prosperity model that Trigon has adopted ensures our communities have a strong voice, a stake and a future in major projects within our territory. We know Trigon will continue to engage with our community and others to ensure this project aligns with the interests and priorities of the Indigenous People within our region,” Chief Robert Nelson, Metlakatla First Nation, highlighted.

The facility also has the backing of the Alberta government, recognizing its strategic importance for Canadian energy producers.

“This is great news for Canada and Alberta. We have some of the largest reserves of natural gas and natural gas liquids in the world and are working hard to meet the growing demand of our partners in Japan, Korea and Asia. This new Indigenous-backed facility will play a major role in the long-term success of these partnerships and in promoting indigenous economic reconciliation,” Brian Jean, Alberta Minister of Energy and Minerals, stated.

As explained, the project also meets the federal government’s recently identified criteria for projects of national interest, which include: strengthen Canada’s autonomy, resilience and security; provide economic or other benefits to Canada; have a high likelihood of successful execution; advance the interests of Indigenous Peoples; and contribute to clean growth and to Canada’s objectives with respect to climate change.

The new infrastructure addresses a pressing need for Canadian energy producers who have faced significant challenges accessing export markets due to capacity constraints at existing Prince Rupert facilities and broader impediments arising from the current western Canadian export monopoly. Trigon’s open-access model will provide much-needed competition and flexibility, as an expansion of Canada’s export capabilities rather than a reallocation of existing capacity.

Strong international demand for Canadian LPG has been confirmed through robust off-take discussions with key partners in Japan, South Korea, and India, demonstrating the global appetite for reliable energy supplies from Canada.

“Canada and Japan are important partners in the Pacific region, cooperating in a wide range of economic fields, including energy. Japan has been increasing LPG import from Canada, achieving stable import volume of two million tonnes in 2024. We welcome the expansion of competitive LPG exports from Canada, contributing to the stable energy supply for Japan,“ Jumpei Yamamoto, Executive Officer, General Manager, Trading and Shipping Department, Astomos Energy Corporation, noted.

“With FID in place, Trigon will continue its ongoing engagement and dialogue with Indigenous communities and the broader public as part of Trigon’s commitment to meeting its consultation obligations and working to advance meaningful economic participation, engagement and reconciliation,” Booker further said.

Trigon’s Board of Directors has given its full approval to proceed, with critical infrastructure already in advanced stages of readiness. Rail access to the site is prepared, and berth loading facilities are ready for integration. Long-lead items necessary for the terminal’s construction have been identified for procurement, ensuring a streamlined development timeline.

In 2024, Trigon handled 9.1 million metric tonnes of dry and liquid bulk products in 2024, maintaining its position as the largest terminal by volume within the Port of Prince Rupert and accounting for almost 40 percent of its total exports.

In related news, Trigon and Ulsan Free Economic Zone Authority (UFEZ) an industrial hub specialized in automotive, shipbuilding, petrochemicals and emerging green industries, signed a memorandum of understanding (MoU) in February this year that will see the two entities establish a framework to expand collaboration on the development of hydrogen-as-ammonia exports from Canada to South Korea.

By: Naida Hakirevic Prevljak / June 16, 2025.

Oil and gas important in times of conflict, Saudi Aramco CEO says

KUALA LUMPUR, June 16 (Reuters) – The importance of oil and gas can’t be underestimated at times when conflicts occur, something that was currently being seen, the head of Saudi oil giant Aramco (2222.SE), opens new tab told an energy conference on Monday.

Aramco CEO Amin Nasser delivered his speech to the Energy Asia Conference in Kuala Lumpur by a video link.

Oil prices jumped last week after Israel launched strikes against Iran on Friday that it said were to prevent Tehran from building an atomic weapon. The fighting intensified over the weekend.

“(History has) shown us that when conflicts occur, the importance of oil and gas can’t be understated,” Nasser said.

“We are witnessing this in real time, with threats to energy security continuing to cause global concern,” he said, without directly mentioning the fighting between Israel and Iran.

Nasser also said that experience had shown that new energy sources don’t replace the old, but added to the mix. He said the transition to net-zero emissions could cost up to $200 trillion, and renewable sources were not meeting current demand.

“As a result, energy security and affordability have at last joined sustainability as the transition’s central goals,” he said.

Aramco is the economic backbone of Saudi Arabia, generating a bulk of the kingdom’s revenue through oil exports and funding its ambitious Vision 2030 diversification drive.

By: Reuters / June 16, 2025

Aegis’ Cryogenic LPG Terminal in Mangalore Set to Transform India’s Energy Logistics

Mangaluru – In a landmark development for India’s energy infrastructure, Sea Lord Containers, a wholly owned subsidiary of Aegis Logistics, has inaugurated a state-of-the-art cryogenic LPG terminal at Mangalore Port. The facility, with a static storage capacity of 82,000 metric tons, marks a significant leap in strengthening the country’s coastal petroleum logistics.

Built by Sea Lord for the Aegis Vopak Terminals joint venture, the terminal is strategically positioned to support India’s growing LPG needs while enhancing storage flexibility and safety. Unlike traditional pressurized storage, cryogenic LPG systems operate at low temperatures and atmospheric pressure, making them more secure and efficient.

The terminal is seen as a response to India’s clean fuel goals, enabling better management of seasonal demand fluctuations, improving energy security, and contributing to a transition away from high-carbon energy sources. Industry observers note this development aligns closely with India’s Maritime Vision 2030 and clean energy frameworks, which emphasize decentralized storage, port carbon reduction, and supply chain resilience.

Equipped with modern safety protocols, environmental safeguards, and automated operations, the facility is operated by Aegis Vopak, a JV with global tank terminal leader Royal Vopak. The terminal’s scale and technological capabilities position it as a future benchmark for green port infrastructure in India.

Experts say the project could become a national model if it ensures transparency, equity in access, and community participation, including inclusive infrastructure development for women and marginalized groups.

By News Karnataka / 14 June 2025