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MABUX ARA LNG Bunker Index
Port LNG$/mton MGO LS$/mton Date
ARA
863.00
-27.00
915.00
+5.00
Jun 29
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Port	LNG$/mton	MGO LS$/mton	Date
ARA	863.00	-27.00	915.00	+5.00	Jun 29

MABUX Global Bunker Index

380HSFO$/mton		VLS FO$/mton		MGO LS$/mton		Date
542.85	-4.73	688.55	-8.30	1 062.12	-26.07	Jul 3

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MABUX Market Differential Index (MDI)

Correlation between market bunker prices (MBP) and MABUX Digital Bunker Price Benchmark (DBP)

All Indexes in $/mton	380HSFO			VLS FO			MGO LS			Date
All Indexes in $/mton	MBP Index	DBP Index	MDI	MBP Index	DBP Index	MDI	MBP Index	DBP Index	MDI	Date
Rotterdam	450	524	-74	580	572	+8	915	1 076	-161	Jul 3
Singapore	440	550	-110	655	644	+11	895	1 069	-174	Jul 3
Fujairah	473	486	-13	705	536	+169	1 200	1 132	+68	Jul 3
Houston	440	528	-88	566	605	-39	918	1 021	-103	Jul 3

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Latest News
- 2026-07-03
  Oil prices stable as US-Iran peace efforts hold
  Oil prices were steady on Friday and little changed for the week as traders held on to hopes for a successful outcome from attempts to secure peace between the United States and Iran. Brent futures were down 8 cents, or 0.11%, at $71.72 a barrel by... Read more Oil prices were steady on Friday and little changed for the week as traders held on to hopes for a successful outcome from attempts to secure peace between the United States and Iran.
  
  Brent futures were down 8 cents, or 0.11%, at $71.72 a barrel by 0109 GMT. West Texas Intermediate was down 22 cents, or 0.32%, at $68.47 a barrel.
  
  Over the week, Brent and WTI have lost about 0.3%.
  
  U.S. markets will be closed on Friday ahead of the U.S. Independence Day holiday on Saturday.
  
  On Thursday, the two oil benchmarks hit their lowest levels since before the U.S.-Israeli war on Iran began in late February.
  
  Oil prices were under pressure as investor hopes of a full reopening of the Strait of Hormuz were buoyed by peace talks between the U.S. and Iran, Commerzbank analysts said.
  
  "The U.S.-Iran dealmaking process remains fragile but continues for now, as the question of Strait of Hormuz tolls and administration remains contentious," Citi analysts wrote on Friday.
  
  "We expect the MoU (memorandum of understanding) to hold, not because trust has suddenly emerged, but because the incentives to break are poor for both sides."
  
  Some shipping has resumed through the Strait of Hormuz, as called for under the initial U.S.-Iranian deal, but uncertainty is high after the two countries exchanged strikes last weekend following an Iranian attack on a cargo ship.
  
  With the prospect of being able to ship more oil, Gulf producers are working to increase output.
  
  Kuwait’s oil production rose sharply to 1.65 million barrels per day in June, from 580,000 bpd in May, a source close to the matter told Reuters on Thursday.
  
  At least five supertankers carrying a total of 10 million barrels of Saudi oil have left the Strait of Hormuz and Saudi Aramco has switched to spot pricing from longer-term contracts to speed sales in Asia, according to trade sources and shipping data.
  
  "A sustained recovery in crude prices is more likely to materialise once the oil currently stranded on tankers and held in storage has been absorbed by the market, and if the recovery in production proves insufficient to offset volumes transiting the Strait of Hormuz," PVM analyst Tamas Varga said.
  
  As the availability of supplies grows, the market structure has turned from backwardation to contango, reflecting decreasing expectation of future shortages.
  
  The spread between front-month Brent and the six-month forward turned negative on July 1 for the first time this year.
  
  Source: Reuters/Investing.com
- 2026-07-03
  Oil up slightly ahead of long US weekend as peace efforts hold
  Also, at least five supertankers carrying a total of 10 million barrels of Saudi oil have exited the Strait of Hormuz, with Saudi Aramco switching to spot pricing to speed sales in Asia, according to trade sources and shipping data. Oil prices rose... Read more Also, at least five supertankers carrying a total of 10 million barrels of Saudi oil have exited the Strait of Hormuz, with Saudi Aramco switching to spot pricing to speed sales in Asia, according to trade sources and shipping data.
  
  Oil prices rose slightly on Friday before a long holiday weekend in the U.S. as wary optimism held over efforts to make peace in the Middle East between the United States and Iran.
  
  Brent futures were up 17 cents, or 0.24%, to $72.10 a barrel as of 0155 GMT. West Texas Intermediate was up 14 cents, or 0.20%, to $68.83 a barrel.
  
  U.S. markets will close on Friday ahead of the U.S. Independence Day holiday on Saturday.
  
  During the prior session the two benchmarks hit their lowest levels since before the U.S.-Israeli war on Iran began in late February. Brent for the week was down 0.02% and WTI up 0.12%, the smallest weekly movements for both in months.
  
  “It’s a case of guarded optimism, with the market wanting to believe the peace efforts will hold, but it’s still hedging its bets until it sees real evidence on the water,” said Tim Waterer, chief market analyst at KCM Trade.
  
  Some nations are working to ramp up production with the reopening of the Strait of Hormuz, which prior to the beginning of the war carried one-fifth of the world’s daily supply of oil and liquefied natural gas.
  
  Kuwait’s oil production rose sharply to 1.65 million barrels per day in June from 580,000 bpd in May, a source familiar with the matter told Reuters on Thursday, as the OPEC member boosted exports following the U.S.-Iran interim peace agreement.
  
  Also, at least five supertankers carrying a total of 10 million barrels of Saudi oil have exited the Strait of Hormuz, with Saudi Aramco switching to spot pricing to speed sales in Asia, according to trade sources and shipping data. Source: Reuters/Investing.com
- 2026-07-03
  Tehran Is Racing the Clock to Export as Much Oil as Possible
  Iran is wasting no time in returning full steam to the oil export market after the Islamic Republic and the United States agreed in mid-June on a 60-day window to negotiate a deal. Since the memorandum of understanding was signed and the U.S. blockade... Read more Iran is wasting no time in returning full steam to the oil export market after the Islamic Republic and the United States agreed in mid-June on a 60-day window to negotiate a deal.
  
  Since the memorandum of understanding was signed and the U.S. blockade aimed at preventing Iranian oil exports was lifted, Tehran has exported millions of barrels of its oil and has probably raised more revenues from these sales as the discounts of the Iranian crude to benchmarks have narrowed.
  
  In the memorandum of understanding, Iran won several key concessions for the 60-day negotiations period. Not only was the U.S. blockade in the Gulf of Oman lifted – in exchange for Iran reopening the Strait of Hormuz – but the U.S. sanctions on Iran’s oil sales were temporarily waived until August 21.
  
  Iran Rushes to Ship Oil While It Can
  
  Iran was prepared for a surge in shipments as soon as the U.S. lifted the blockade. Three days after the memorandum was signed, at least three supertankers, carrying a total of 6 million barrels of Iranian crude, moved to transit the Strait of Hormuz, in open AIS navigation showing Singaporean waters as a destination, vessel-tracking data compiled by Bloomberg showed.
  
  On June 20, the volumes of Iranian crude transiting the Strait of Hormuz were the most Iranian oil openly making its way out of the key Iranian oil port at Kharg Island and into the Strait of Hormuz in a day since the war began on February 28, according to Bloomberg’s estimates.
  
  The surge in Iranian shipments out of the Gulf and into waters near the Malacca and Singapore Straits gives Iran a lifeline to boost its exports that had suffered from the U.S. blockade in the past two months.
  Related: Kuwait Wants Consortiums to Bid for $7 Billion Oil Pipeline Deal
  
  “Iranian-origin laden departures rose only 16% post-MoU because Iran was already the single largest origin during the blockade period, and a significant number of barrels were already positioned at Chabhahar (outside Hormuz) ready to move when the US blockade was lifted,” Claire Jungman, Director of Maritime Risk and Intelligence at Vortexa, said last week.
  
  Iranian cargo movements had soared through March and early April, before the U.S. blockaded shipments, with peaks near 7 million barrels per day (bpd) on some days, according to Vortexa’s crude cargo tracking. Iran’s shipments then collapsed through May as the U.S. tightened the blockade outside the Strait of Hormuz.
  
  But after the MoU was signed on June 17, Iran’s crude volumes rebounded sharply, reaching a single-day peak of around 8 million bpd, Vortexa’s Jungman noted.
  
  Iran’s rebound remains concentrated in familiar sanctioned-flow channels and opaque shipping patterns, according to Vortexa, despite the U.S. waiving the sanctions on Tehran’s oil sales.
  
  “Since the day the naval blockade was lifted, we have exported more than 40 million barrels of oil,” Iran’s chief negotiator and parliament speaker, Mohammad Bagher Ghalibaf, said in an interview on state television on Tuesday.
  
  Ghalibaf’s claim was largely supported by tanker-tracking services. According to TankerTrackers.com, Iran has exported 50 million barrels of crude oil since the US-imposed blockade was lifted two weeks ago. This equates to 1.66 million barrels per day for June 2026.
  
  “Most other countries in the region are still nowhere near pre-war levels,” TankerTrackers.com said.
  
  Ghalibaf also admitted that the U.S. blockade effectively choked off all Iranian oil shipments in May and early June, saying that “By contrast, during the previous 50 to nearly 60 days, we were genuinely unable to export even a single barrel of oil.”
  
  Free-Pass Window Uncertainty
  
  With the blockade lifted and oil sales de-sanctioned until August 21, Iran is returning vessels to the Persian Gulf to load from Kharg Island and other key ports and clear the backlog it was unable to ship between mid-April and mid-June.
  
  China remains Iran’s key customer as other buyers are reluctant to commit to purchases during a 60-day window that may close sooner than expected, if talks collapse.
  
  But now Chinese refiners could even buy Iranian oil in U.S. dollars by August 21 without the risk of secondary sanctions.
  
  The price of Iranian oil is 20% higher than before the MoU was signed, Ghalibaf said.
  
  This is giving Iranians additional income from oil sales, even if international benchmark crude prices have crumbled to pre-war levels.
  
  However, visibility beyond August 21, when the 60-day window for negotiations expires, is low. Visibility is actually low on a daily basis during these talks, as U.S. and Iranian officials often contradict in statements to the media on what was discussed and what was agreed.
  
  The 60-day negotiations period may be extended, Iran could resume insisting on a toll for Strait of Hormuz passage going forward, fresh attacks on commercial vessels, or U.S. strikes on Iran could derail the talks, yet again.
  
  What is certain, though, is that Iran is taking full advantage of the limited free-pass window it was given for several weeks. Tehran appears determined to ship as much oil as it can out of the region, obtaining handsome revenues in the process as the discounts on Iranian crude have narrowed.
  
  Source: Oilprice.com
- 2026-07-03
  OPEC+ Plans Another Output Hike. The Market Barely Notices.
  The seven-member group of OPEC+ oil producers that has been restraining production since 2023 is set to extend a series of output quota hikes they launched after the U.S. and Israeli strikes on Iran that set off the latest war in the Middle East. Yet... Read more The seven-member group of OPEC+ oil producers that has been restraining production since 2023 is set to extend a series of output quota hikes they launched after the U.S. and Israeli strikes on Iran that set off the latest war in the Middle East. Yet the UAE is already shipping record volumes of crude abroad, right after it quit OPEC.
  
  According to unnamed sources who spoke to Reuters, the OPEC seven, including Saudi Arabia, Russia, Iraq, Kuwait, Algeria, Kazakhstan, and Oman, will likely decide to boost their production quotas for August by another 188,000 barrels daily, after last month agreeing a same-size production boost for July, which, unlike the previous hikes, may actually take place.
  
  OPEC+ has been hiking production almost since the war began, but these hikes have remained on paper as production in the Persian Gulf remained paralyzed by the hostilities and Iran’s decision to close the Strait of Hormuz. That decision forced Gulf producers to stock up what they could and then start shutting in wells. Iraq was especially hard hit by the Hormuz shutdown, with its production dropping from over 4 million barrels daily to less than 2 million barrels daily.
  
  The hikes until now were likely aimed at calming traders that once it was possible to boost production, the Gulf states would do so, while producers such as Russia and Kazakhstan, unaffected by the Hormuz situation, would ramp up to ease the shock of the Middle East supply crunch.
  
  Meanwhile, however, the UAE decided to quit the oil-producing group. After six decades as a member, the Emirates decided it was time to go it alone and pulled out, sparking predictions that they would immediately start boosting production. For now, they are only boosting exports—and considerably.
  
  Reuters again reported this week that the UAE shipped a record volume of crude abroad in June, at an average daily rate of 3.7 million barrels daily, according to data from Kpler. Vortexa calculated even higher export volumes, at up to 4 million barrels daily last month.
  
  “The rise can be attributed to multiple factors, including a resumption in flows via the Strait of Hormuz, helping to free trapped vessels,” Johannes Rauball, a senior oil analyst at Kpler, told Reuters. “At the same time, we ‌have been observing a ramp up in supply from the UAE, which we estimate is closing in on pre-war levels,” he added.
  
  The Kpler analyst noted, however, that the record volumes are at least partially coming from oil kept in storage during the hostilities over the past five months. This implies that volumes may weaken as storage drains and before production ramp-up materializes. The question this situation poses is one that analysts have been asking for at least five years now: has OPEC lost its relevance?
  
  Based on Kazakhstan’s statement, it has no plans to leave OPEC+ and Iraq’s swift U-turn after suggesting it might quit OPEC in order to boost production, the answer is, for now, negative. But that it has lost some of its clout on global oil markets is a fact, resulting mostly from the rise of the U.S. as the biggest oil producer in the world. It is interesting that the UAE decided to quit in this context—the U.S. is a massive competitor and capable of ramping up its own production very fast, as evidenced by the latest record, booked in May of close to 14 million barrels daily.
  
  What all this means is persistent pressure on oil prices, which are not what any producer, either the U.S. or the UAE—or indeed OPEC+ —wants. Global benchmarks are already back to pre-war levels, thanks to the U.S. production record and all the reports about recovering tanker traffic in Hormuz. One wonders how low the non-OPEC majors would let prices fall before they act. Source: Oilprice.com
- 2026-07-03
  MABUX: Global bunker market to continue moving sideways without a clear trend on Jul. 03.
  The MABUX World Bunker Index — a composite benchmark reflecting daily prices for 380 HSFO, VLSFO, and MGO — continued to show mixed movements on Jul. 02: 380 HSFO: USD/MT: 547.58 (-3.10) VLSFO: USD/MT: 696.85 (-9.78) MGO: USD/MT: 1 088.19 (+2.58) As... Read more The MABUX World Bunker Index — a composite benchmark reflecting daily prices for 380 HSFO, VLSFO, and MGO — continued to show mixed movements on Jul. 02:
  
  380 HSFO: USD/MT: 547.58 (-3.10)
  VLSFO: USD/MT: 696.85 (-9.78)
  MGO: USD/MT: 1 088.19 (+2.58)
  
  As of Jul. 02, the MABUX Market Differential Index (MDI), which monitors the spread between Market Bunker Prices (MBP) and the MABUX Digital Bunker Benchmark (DBP) — registered the following developments across the four major global bunkering hubs: Rotterdam, Singapore, Fujairah, and Houston:
  
  • HSFO segment: Fujairah moved into the undervalued zone, joining Rotterdam, Singapore, and Houston, leaving all four major hubs underpriced. Discounts narrowed by $7 in Rotterdam and $2 in Singapore, widened by $11 in Fujairah, and remained unchanged in Houston. Singapore's MDI fell below the $100 threshold, while Fujairah remained close to the 100% correlation line between MBP and DBP.
  
  • VLSFO segment: Rotterdam, Singapore, and Fujairah remained overvalued. Premiums increased by $9 in Rotterdam but declined by $14 in Singapore and $63 in Fujairah, indicating a gradual easing of overpricing. Houston continued to be the only undervalued port, with its discount unchanged.
  
  • MGO LS segment: Rotterdam, Singapore, and Houston were undervalued. Discounts narrowed by $4 in Rotterdam but widened by $6 in Singapore and $5 in Houston. Fujairah stayed overvalued, although its premium declined by a further $66, pushing its MDI below the $100 threshold.
  
  MABUX expects the Global bunker market to maintain irregular fluctuations without establishing a sustained trend on Jul. 03: plus-minus 1-3 USD/MT, VLSFO: plus-minus 1–3 USD/MT, MGO LS: plus-minus 3–7 USD/MT.
  Source: MABUX
- 2026-07-03
  Oil Glut Calls May Be Getting Ahead of Reality
  Crude oil prices are crashing on reports that flows out of the Strait of Hormuz are recovering, and analysts are back to predicting oversupply, even though Iran just said it will not be meeting with the U.S. envoys to negotiate peace, and that comes after... Read more Crude oil prices are crashing on reports that flows out of the Strait of Hormuz are recovering, and analysts are back to predicting oversupply, even though Iran just said it will not be meeting with the U.S. envoys to negotiate peace, and that comes after strikes on a couple of ships in Hormuz.
  
  “The Strait is reopening faster than expected, yet the ‘twin solvers’ of high US exports and low Chinese imports remain in place,” Morgan Stanley commodity analysts wrote this week in a note, as quoted by Bloomberg. “As attention turns to 2027, the market has come full circle – back to surplus.”
  
  Earlier, Goldman Sachs analysts made a similar point, saying that tanker traffic via the Strait of Hormuz was recovering fast, noting that “You actually get a discount to buy a barrel now versus a barrel tomorrow because of the weakness in the Asian pull on Middle Eastern grades.”
  
  There is, however, a small detail that glut-seeing analysts either ignore or consider irrelevant. The tankers that were leaving the Strait in droves after the United States and Iran agreed on a ceasefire until August—which both sides appear to have broken—were tankers that had spent the last three months stuck there. They were not vessels that had arrived to load crude from Middle East ports.
  
  One reason for this is that alternative routes that some producing countries deployed during the war are working well: Saudi Arabia is exporting from its Red Sea port of Yanbu, the UAE is using a pipeline to Fujairah, and Iraq is planning to boost flows to Turkey. Yet speaking of Iraq, OPEC’s latest production data shows that the group’s number-two produced 1.76 million barrels of crude last month. This was an improvement on April’s average of 1.49 million barrels daily but still much less than the last pre-war month, when the country pumped over 4 million barrels of crude daily.
  
  Production slumps resulting from the war are why it is probably a bit too early to talk about a glut. Iraq could certainly restore its production to pre-war levels, but it will take more than a couple of days. The same goes for all other Gulf producers that were forced to shut in wells for lack of enough storage capacity, while tankers could not pass the Strait of Hormuz. Wells take time to resume production.
  
  There is also the issue of insurance. Insurers were not happy about the war at all. Indeed, they were so unhappy that they suspended coverage for vessels traversing the Strait, sparking outrage in U.S. political circles. The insurance industry is notoriously cautious about the possibility of losing any amount of money, so it is in no rush to cover tankers whose owners are eager to return to the Persian Gulf and start loading crude. There do not seem to be many of these, by the way.
  
  “Shipping costs are incredibly high right now, and you still can’t find enough shippers willing to go back out in there,” Energy Aspects’ Amrita Sen told CNBC this week, noting that shipping conditions for the Persian Gulf remain very different from what they were before the U.S. and Israel struck Iran on February 28.
  
  ING’s commodity analysts agree that the situation is far from a glut. “Tanker vessel movements in the Strait of Hormuz still appear limited. Total tanker crossings, which include both inbound and outbound movements, are estimated at around 11 on Tuesday, down from a peak of 24 last Wednesday,” Warren Patterson and Ewa Manthey wrote. They added, however, that “there has been a slight pickup in inbound tanker traffic, suggesting that shipowners are becoming increasingly confident about moving vessels into the Persian Gulf. If this trend accelerates, it becomes a clear headwind—and potentially a direct challenge—to our view that oil prices should rise from current levels.”
  
  The thing is that there is no certainty whatsoever if this trend—or any other—would accelerate. As media coverage of the situation swings wildly from peace talks to fresh strikes, usually depending on the time of the week, uncertainty for the future of Middle Eastern oil supply remains high. Meanwhile, the U.S. hit an all-time high in its own oil production, topping 13.9 million barrels daily. This was, in fact, the biggest reason for the renewed glut talk.
  
  Once again, there is a detail. The United States is certainly the biggest oil—and gas—producer in the world. However, it cannot single-handedly cover the supply gap left in the Middle East by the war between the U.S. and Israel, and Iran, not only due to physical constraints but also to the fact that most U.S. oil is light and sweet, while most of the world’s refineries, including U.S. ones, require other crude grades as well. As usual, it’s all a bit more complicated than the headlines suggest. Maybe analysts would do better to wait and make sure Hormuz tanker traffic has returned to pre-war levels before predicting a glut. Source: Oilprice.com
- 2026-07-03
  Russia's Fuel Crisis Spreads to Central Asia as Drone Strikes Escalate
  The ripple effect from a severe gas shortage in Russia caused by Ukrainian drone strikes is being felt in Central Asia, where seasonal demand is rising. Kyrgyzstan and Tajikistan are heavily dependent on Russia for energy supplies, so it is no surprise... Read more The ripple effect from a severe gas shortage in Russia caused by Ukrainian drone strikes is being felt in Central Asia, where seasonal demand is rising.
  
  Kyrgyzstan and Tajikistan are heavily dependent on Russia for energy supplies, so it is no surprise that the ongoing destruction of Russian energy infrastructure threatens to hit two Central Asian states the hardest.
  
  Gas stations across Kyrgyzstan are already reporting shortages of high-octane auto fuel, the Moscow Times has reported. State regulators have established price controls on fuels and lubricants in response to the developing energy crunch.
  
  Russia has imposed restrictions on auto and jet fuel exports, a measure designed to mitigate deepening domestic shortages. During the first five months of this year, Russia supplied Kyrgyzstan with gas and diesel fuel that accounted for roughly two-thirds of domestic demand.
  
  In Tajikistan, officials are not acknowledging shortages yet, but they note prices for all kinds of fuel have spiked. During a three-week period spanning late May to mid-June, the cost of a liter of low-octane fuel rose about 9 percent, the Asia-Plus news agency reported. The increase was even sharper for diesel.
  
  Tajikistan is dependent on Russia for virtually all its fuel supplies. Officials are now reportedly exploring the possibility of securing Iranian imports.
  
  Elsewhere, Uzbek Airways, the national carrier for Central Asia’s most populous state, has announced it has cut back on its number of Russia-bound flights due to a shortage of jet fuel.
  
  Kazakhstan, which possesses abundant energy reserves and adequate refining capacity of its own, has reported it has sufficient fuel supplies for over a month, even as a major refinery at Atyrau undergoes scheduled maintenance. The repairs are expected to be completed by July 10. Despite comparatively ample supplies, Kazakh authorities appear to be taking a cautious approach. In late June, officials announced that they were exploring the possibility of purchasing fuel from China as a potential hedge against future energy shocks, the official Kazinfom news agency reported.
  
  Russian officials have characterized the gas shortage in the country as “not so easy, but controlled.” Due to intensifying Ukrainian drone strikes on facilities seen as essential for maintaining Russia’s war effort in Ukraine, at least 55 of Russia’s 83 federal regions and districts are presently grappling with severe fuel shortages, RFE/RL reported. In many municipalities, the shortages are restricting essential civic services such as garbage collection.
  
  The supply situation stands to get worse in the coming weeks. On July 1, Ukrainian drones caused substantial damage at an oil refinery in Ufa, in the Volga River region of Bashkortostan, over 800 miles from the frontlines of Ukraine. Drones also damaged a missile components assembly plant in the Penza region. Ukrainian President Volodymyr Zelenskyy has vowed to expand the drone offensive.
  
  “Every day, our plan for imposing Ukrainian long-range sanctions is being implemented. This is an entirely just response to everything Russia is doing against us,” Zelenskyy wrote on Twitter (now called X). “Peace is needed, and this is exactly what Russia’s leadership must realize.” Source: Oilprice.com
- 2026-07-03
  Carney Backs B.C. Tanker Ban as Alberta Unveils Pipeline Plan
  Prime Minister Mark Carney threw a wrench into Alberta's West Coast pipeline ambitions on Thursday just hours before Premier Danielle Smith was set to unveil details of the province's long-awaited proposal. Speaking alongside B.C. Premier David Eby... Read more Prime Minister Mark Carney threw a wrench into Alberta's West Coast pipeline ambitions on Thursday just hours before Premier Danielle Smith was set to unveil details of the province's long-awaited proposal.
  
  Speaking alongside B.C. Premier David Eby in Vancouver, Carney reaffirmed that Ottawa will maintain the federal ban on oil tankers along British Columbia's North Coast, effectively taking one of the most attractive export corridors off the table before Alberta's proposal even reached the federal government.
  
  The announcement came as part of a multibillion-dollar agreement between Ottawa and British Columbia aimed at advancing resource development while preserving the North Coast tanker moratorium.
  
  Smith's government is pitching a privately financed, one-million-barrel-per-day pipeline to Canada's West Coast and wants Ottawa to designate it as a project of national interest. The proposal is intended to boost Canada's export capacity, reduce dependence on the U.S. market, and strengthen the country's energy security.
  
  But keeping the tanker ban intact immediately narrows the project's options.
  
  It doesn’t directly kill the pipeline, but it does remove one of the most politically and geographically attractive export corridors.
  
  The political signals coming out of British Columbia, meanwhile, were surprisingly mixed. Eby reiterated his opposition to lifting the tanker ban but also acknowledged that pipelines fall under federal jurisdiction and said his government would not go to court to stop a federally approved project. Instead, B.C. secured a commitment that it would be compensated for the environmental risks should a pipeline ultimately move forward.
  
  The result: Alberta gets consideration for its proposed pipeline, British Columbia keeps its tanker moratorium, and both sides claim victory.
  
  Investors may see it differently.
  
  The project still lacks a private developer, must clear federal review, navigate indigenous consultation, and now faces additional logistical questions about where its oil would actually be loaded onto tankers. Source: Oilprice.com
- 2026-07-03
  Iran Tightens Grip on Strait of Hormuz Tanker Traffic
  Just when the oil market was getting comfortable with the idea that the Strait of Hormuz was reopening, Iran reminded everyone who's still directing traffic. Iran's joint military command warned on Thursday that all oil tankers transiting the Strait... Read more Just when the oil market was getting comfortable with the idea that the Strait of Hormuz was reopening, Iran reminded everyone who's still directing traffic.
  
  Iran's joint military command warned on Thursday that all oil tankers transiting the Strait of Hormuz must follow routes approved by Tehran or face an "immediate and forceful response." The warning, carried by Iranian state television, also cautioned that any U.S. interference in the waterway would prompt a "rapid and decisive reaction."
  
  The warning came a day after U.S. and Iranian negotiators met in Qatar for another round of talks aimed at turning last month's interim agreement into a broader peace deal. Those discussions reportedly made progress, but the next round is expected only after funeral ceremonies for Supreme Leader Ayatollah Ali Khamenei conclude next week.
  
  The latest threat also throws cold water on the increasingly popular narrative that Hormuz is returning to business as usual.
  
  It isn't.
  
  Yes, tanker traffic has recovered from the near standstill seen during the height of the conflict. But it's still running well below pre-war levels. According to AP, 258 vessels transited the strait last week, up from 138 the previous week, while traffic this week has settled into roughly 30 to 60 crossings per day—still nowhere near the roughly 130 daily transits seen before the war.
  
  More importantly, Iran isn't backing away from its insistence that it controls navigation through the world's most important oil chokepoint.
  
  The interim agreement allows ships to pass toll-free for 60 days, but Tehran continues to argue that it has the authority to dictate routes now and charge transit fees once the temporary arrangement expires. Washington and Gulf Arab states reject that interpretation entirely.
  
  That unresolved dispute matters because oil traders have spent the past week pricing in a rapid return of Gulf exports. Brent has slipped back toward pre-war levels as stranded cargoes finally leave the Persian Gulf and expectations of oversupply return. Source: Oilprice.com
- 2026-07-03
  Kuwait Wants Consortiums to Bid for $7 Billion Oil Pipeline Deal
  Kuwait’s state oil firm, Kuwait Petroleum Corporation (KPC), has asked some of the asset management funds bidding for a stake in its oil pipeline network to tap other investors in their bids for the planned sale estimated at $7 billion, anonymous sources... Read more Kuwait’s state oil firm, Kuwait Petroleum Corporation (KPC), has asked some of the asset management funds bidding for a stake in its oil pipeline network to tap other investors in their bids for the planned sale estimated at $7 billion, anonymous sources familiar with the process told Reuters on Thursday.
  
  Early this year, it emerged that KPC is considering following in the footsteps of its Saudi and Abu Dhabi peers by tapping major international infrastructure investors to buy a stake in its oil pipeline network.
  
  KPC held initial talks with several major investors about the potential transaction. The world’s biggest asset manager BlackRock, as well as Brookfield Asset Management, EIG Partners, and KKR have reportedly shown interest in the assets which Kuwait plans to lease and re-lease to raise funds.
  
  Kuwait’s state firm launched the process just as the Iran war started, suggesting that KPC remains committed to making a deal with a consortium of investors despite the geopolitical situation in the Middle East.
  
  According to Reuters’ sources, investors including BlackRock’s Global Infrastructure Partners (GIP), Brookfield, EIG Global Energy Partners, KKR, and Apollo have advanced to the next stage of the sales process.
  
  If Kuwait manages to structure a deal, it would join other major crude oil producers in the region, such as Saudi Arabia and the United Arab Emirates, in selling under concession a minority stake in its pipelines.
  
  In recent years, Saudi Arabia and the UAE have signed similar deals with international investors, including BlackRock and KKR.
  
  Saudi Arabia’s oil giant Aramco last year signed an $11 billion lease and leaseback deal involving its Jafurah gas processing facilities with a consortium of international investors, led by funds managed by BlackRock’s GIP.
  
  KKR has bought a minority stake in ADNOC Gas Pipeline Assets, the gas pipeline network of Abu Dhabi’s national oil company. Source: Oilprice.com

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