Markets

Nigeria's Dangote oil refinery, operational since Jan., is poised to disrupt the global oil and gas market, particularly affecting Europe's refining sector.

Output cuts by Russia and expectations that OPEC+ will continue to keep supplies tight led to more increases in futures prices for benchmark crudes.

UK consultancy Wood Mackenzie highlighted significant risks facing the global oil refining industry, with over 20% of the global refining capacity at risk of closure.

Shipping volumes in the Red Sea have sharply declined by over 60% since Nov., attributed to ongoing Houthi attacks.

OPEC and its allies, known as OPEC+, are holding firm on their current oil production policy, with no plans for changes at the upcoming Joint Ministerial Monitoring Committee (JMMC) meeting.

Mexican state energy company Pemex reported its lowest crude output in 45 years, with production in Feb. having averaged 1.55MM b/d.

Geopolitical Dynamics Shape Oil Trade in the World with China's Record Russian Imports and India's U.S. Oil Surge Amid Sanctions.

Ukraine continued its campaign of drone strikes against Russian energy targets, pushing futures prices for benchmark crudes up to fresh highs not seen since early Nov. or late Oct.

Brent crude surged above $85/bbl propelled by multiple factors including dwindling US inventories, an optimistic outlook from the IEA, and disruptions to Russian oil facilities by Ukrainian drones.

The US achieved a remarkable milestone in 2023, surpassing all previous records to average 12.9MM b/d of oil production, attributed to technological advancements such as fracking and horizontal drilling.