๐จ๐ป๐ช๐บ๐ธ Fire and explosions just shut down Venezuela's 310,000 barrel Cardon refinery as America leans harder than ever on Venezuelan oil
With Hormuz choked and Houthi missiles slamming Saudi oil, Venezuela has become America's backyard backup tank...
US imports of Venezuelan oil just surged 237% to a nine-year high, and Chevron is pouring in more than $7 billion to pump even more.
So what happens when the plants keep catching fire?
Cardon's blaze was out in under an hour, but the whole refinery went dark, and parts had already been idle for lack of crude.
Venezuela can't replace the Gulf, but it's the closest oil America can reach without sailing past Iranian drones or Houthi missiles, so fixing PDVSA's rotting plants is now a national security job.
Source: Reuters / Writer: Daniel
The EU diesel crisis in a nutshell... diesel is at $186 per barrel
- Since 2009, Europe has closed ~30 refineries.
- Domestic diesel production dropped by ~800 kb/d.
So Europe became increasingly dependent on imports.
Then they sanctioned Russia... historically their single most important foreign diesel supplier.
Now:
- Russia extends its diesel export ban.
- China halts fuel exports.
And the Houthis keep attacking Saudi refining infrastructure.
Europe deliberately reduced its ability to produce diesel domestically, cut itself off from its biggest external supplier and became increasingly dependent on a global diesel market that is now breaking apart.
The EU is on a path of economic suicide.
๐จ๐ฎ๐ท๐บ๐ธ Tankers in the Strait of Hormuz just had their WORST week of the entire war!
At least 12 oil and gas tankers were hit around the strait in the week to October 5, the most since the fighting began in February, according to maritime security sources.
One of them, a Panama-flagged tanker, was struck by an unknown projectile that left 12 crew members injured.
A U.S. Navy-led monitoring center says Iran's Revolutionary Guards are also buzzing ships with drones and calling them over the radio, just to keep the pressure on.
And it's all happening as Gulf oil exports finally climbed back above pre-war levels.
Washington says it runs the strait, but the tankers crossing it just had their roughest week yet.
Source: Reuters / Writer: Daniyal
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๐บ๐ธ An oil tanker full of crude was steered toward Texas after hackers got into its engine
The FBI and Coast Guard boarded the VL Prosperity in August after its network looked compromised, and officials now say the intrusion reached the system that drives the ship.
It was headed for the Galveston port with about 2M barrels aboard.
The agencies still will not name who did it, and they say the crew was never in danger and nothing spilled.
A 2nd tanker got the same treatment. The only name in circulation is Iran, because Iranian media described the hit weeks ago, and American officials have looked at that link without confirming it.
Someone had a hand on the throttle of a ship bigger than a skyscraper, and the public version is still that nothing went wrong.
Source: Financial Post / Writer: Lucas
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Even the rain couldn't stop China's celebrations!
In Wuhan, the sky above the Yangtze River turned into a spectacular display of fireworks, lasers, and lights, as huge crowds cheered to celebrate China's 77th National Day.
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Even the rain couldn't stop China's celebrations!
In Wuhan, the sky above the Yangtze River turned into a spectacular display of fireworks, lasers, and lights, as huge crowds cheered to celebrate China's 77th National Day.
Upgrade to the clean diesel standard.
CrudeNet Partners supplies EN590 10 PPM (Max 10 mg/kg sulfur) for modern fleets. FOB Rotterdam/Houston. 50,000 - 500,000 MT per month.
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๐จ๐ณ China is the country that imports the most oil, and it's the one that sat out the scramble
Common sense says a huge deficit makes you weak in a war.
China spent years filling tanks, about 1.2B barrels, then cut imports by 1/3 when Hormuz jammed.
The public didn't queue, but the refiners did.
Now it's holding fuel at home while everyone else releases reserves.
Dependence was supposed to be the leash, although Beijing turned it into a stockpile.
Source: Foreign Policy, NYT / Writer: Lucas
๐ช๐บEurope just agreed to spend its diesel buffer.
The G7 will release up to 100M barrels of oil and diesel over four months, after ๐บ๐ธWashington threatened a diesel export ban.
๐ซ๐ทFrance's plan puts 50M barrels of that in diesel.
That's 415k b/d, which is real short-term relief.
The below chart shows the cost.
EU emergency diesel stocks were already down to 275M barrels in June.
Take out 50M and they fall to 225M, below the 2022 low ๐
Relief now, and a thinner cushion going into winter.
https://t.co/iSZnD48qVL
Sharing our joy with you all as we celebrate the 77th anniversary of the People's Republic of China ๐จ๐ณ๐
I always feel shocked and privileged to live through the dramatic development over the past 30 years, and so proud of what my country has achieved ๐ฅน
Thank you all for supporting my work and supporting China. Let's work together to build a better world ๐
โจ๐จ๐ณA stunning scene in Nanchang, east Chinaโs Jiangxi:
Fireworks light up the night sky over the Gan River for Chinaโs National Day, shining alongside the iconic Lord Tengโs Pavilion, a renowned structure first built during the Tang Dynasty (618โ907).
๐ฎ๐ทIran's oil exports have fallen almost 90%๐
Kpler puts Iranian crude loadings at 248k b/d in August.
In March and April, two months into the war, they averaged 1.85M b/d.
The peak was February, the month the war began, at about 2.2M b/d.
Kharg Island used to load nearly all of it.
In August it loaded about half the total.
The rest came from Jask, Sirri, Lavan, Soroosh and Assaluyeh.
The ๐บ๐ธUS blockade, reimposed on 13 July, did the damage.
Loadings recovered in June and July, then fell back to May's lows.
Meanwhile Iran's Gulf neighbors are back to 98% of pre-war crude exports, according to JPMorgan.
Iran's cushion is the 80M+ barrels it already has at sea, per Kpler.
My take is that those barrels can keep Tehran going for a few months, but they won't pay for a war.
Source: Kpler
NEW๐ธ๐พ๐น๐ท๐ฎ๐ท๐ฎ๐ฑ๐ฅ A massive fire breakout at Largest Syrian power plant in Damascus international airport with the unknown causes.
๐จChina is pulling its fuel off the world market again.
Chinese refiners have suspended October product exports, except to Hong Kong and Macau, until Beijing gives new guidance.
Reuters reports that PetroChina has already cancelled most of its planned gasoline and jet fuel cargoes.
In August ๐จ๐ณChina exported 6.01 Mt of refined products, up 12.7% y/y.
Jet fuel exports hit a record.
Those barrels came out of the home market.
Gasoline and diesel stocks are at 7-year lows, according to GL Consulting.
It's the second halt this year.
In March, days after Hormuz traffic stopped, Beijing told Sinopec and CNPC to stop diesel and gasoline exports.
The big swing suppliers of products are all holding back at once.
๐ท๐บRussia has extended its diesel ban,
Gulf product exports are at 58% of pre-war levels,
and now ๐จ๐ณChina is pausing.
The halt began on the first day of Golden Week.
If it's only a holiday pause, cargoes come back mid-October.
If it's policy, diesel margins become the story of Q4.
https://t.co/FUicYhfF8q
โจ๐จ๐ณ Driverless heavy trucks operate at Chinese ports, moving shipping containers around terminals without human drivers. They also run steadily in open-pit mines, industrial parks and logistics highways for unmanned cargo and mineral transportation.
๐จ๐ณ Beijing is yanking its fuel OFF the global market...
Chinese refiners have suspended fuel exports for October as the country prioritizes rebuilding domestic stocks.
PetroChina has already canceled some planned gasoline and jet fuel shipments.
Global fuel supplies are already under pressure from the Iran war and strikes on Russian refineries.
Now one of the worldโs biggest refining powers is putting domestic energy security FIRST, tightening fuel markets even further...
Source: Reuters / Writer: Samuel
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Sidorov: More than 40 sailors have committed suicide on the aircraft carrier "Abraham Lincoln."
AMERICA MUST BECOME SOVEREIGN โ GLOBALISTS ARE ENEMIES OF A SOVEREIGN AMERICA.
The military campaign against Iran has failed, and Trump is now planning an anti-Iranian economic operation. This is even more ridiculous than the military campaign. Remember, he threatened India with serious consequences if it continued to buy Russian oil. And last year, India set a record for purchasing our oil.
The state of the American Navy is disastrous. Sailors lose an average of 15 kilograms (33 pounds) per year because there are no supplies, medicines, or hygiene products on the large American ships. Under Obama, the number of supply ships in a carrier group was reduced from four to one. Now, there are simply none, because even that one is often out of service.
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๐บ๐ธ The U.S. is offering to lend oil companies another 40 million barrels from its emergency oil reserve, the last batch from a global deal to bring prices down after the Iran war.
When the same 40 million barrels were offered in June, companies only took about 500,000, probably not helped by the fact that they have to pay it back with up to 24% extra.
The reserve is already at its lowest level since 1982, and this could push it below the legal limit for routine releases.
Gas prices are up almost 50% since the war began, diesel is at record highs, and the midterms are 5 weeks away.
Energy Secretary Chris Wright says the U.S. and Japan have kept their promises, but several European countries have only delivered a fraction of theirs.
Give Brussels time, the paperwork for the paperwork is almost done.
Source: Reuters / Writer: Julie