News
US oil and gas operators have encountered an avalanche of economic policy changes from the Trump administration over the last week, creating market uncertainty in an already maturing industry. Rystad Energy expects onshore Lower-48 production will fall short of the record high output of 11.37 million barrels per day (bpd) of oil, achieved in November 2023, until at least June of this year. However, this outlook faces serious downside pressure should the recent price downturn hold, forcing operators to cut back on rig activity. Consistent returns…
The International Maritime Organization (IMO) has concluded the 83rd session of its Marine Environment Protection Committee (MEPC 83), marking a significant advancement in maritime decarbonization efforts. A pivotal outcome of this session was the approval of the IMO Net-Zero Framework, despite reservations expressed by certain member states, including the US and several oil production states.Rystad Energy's research highlights that the IMO's direct compliance targets are notably more ambitious compared to those set by FuelEU Maritime. Under the…
West Texas Intermediate (WTI) crude prices dipped into the low $60 per barrel range following President Donald Trump’s sweeping tariffs announced on 2 April. While the subsequent 9 April move to pause the new levies at 10% for most countries for the next 90 days helped WTI prices recoup some losses, the market remains extremely volatile. This price level is well above the fundamental upstream breakevens for most US shale players, especially those in the Permian. However, Rystad Energy finds that additional corporate items, including higher…
Last week, eight OPEC+ countries unveiled plans to advance their planned phase-out of voluntary oil output cuts by ramping up output by 411,000 barrels per day in May--equivalent to three monthly increments. The announcement of the accelerated unwinding clip comes at a time when U.S. President Donald Trump announced tariffs on trading partners, deepening the shock to oil markets. Brent crude for June delivery was up 0.1% to trade at $63.32 per barrel at 9.45 am ET on Friday while WTI crude was flat at $60.12 per barrel. The move confirms…
Via Metal Miner Construction work is tentatively due to start on a dual-gauge rail line between China and the Republic of Mongolia. Reports indicate that the rail line will increase coking coal transport by up to 30%. Current estimates say the project will begin in April, with completion scheduled for 2028. Dual-Gauge Rail System to Solve Major Problems Mid-February reports noted that the 240-kilometer, dual-gauge line will run from mines at Tavan Tolgoi in Mongolia to the town of Gashuun Sukhait on the border with China. It is important…
