Wednesday, 30 September 2026

MidOcean Energy will take part in Phase 2 of the LNG Canada project through its partnership with PETRONAS after the joint venture partners reached a final investment decision, according to World Oil.

Phase 2 adds two liquefaction trains at the Kitimat, British Columbia facility, World Oil reported. The expansion doubles annual production capacity to 28 million tonnes from 14 million tonnes.

MidOcean Energy's associated LNG volumes will rise to 1.4 million tonnes per year from about 0.7 million tonnes per year under the expansion, according to World Oil.

World Oil reports Monumental Energy Corp. picked out two gas-condensate targets after reworking subsurface data across acreage covered by its Tirua Petroleum Exploration Permit application, still pending in New Zealand's Taranaki basin.

The shallower target, Mauku NE, could hold recoverable resources of 200 PJ on the company's own estimate, according to World Oil. It sits in the Mangahewa Group at a depth of roughly 2,000 m.

Mangatoa, the deeper of the two, carries an estimated potential of more than 1,000 PJ per the company, World Oil reported.

The US will offer to loan energy producers up to 40 million barrels of oil, according to Semafor Net Zero. That volume is what remains of a 172 million-barrel government commitment made in March.

The White House is also urging the European Union to draw down emergency diesel inventories to lower global prices, Semafor Net Zero reported.

Energy analyst Patrick De Haan, who runs GasBuddy, said neither the US oil-loan offer nor the proposed European diesel drawdown would likely "move the needle much" on prices.

A final investment decision has cleared the way for the Ima gas field in shallow waters offshore Nigeria, jointly developed by TotalEnergies and Nigerian independent AMNI International Petroleum Development Company, according to Offshore Magazine.

Under the partnership, AMNI holds 60% while TotalEnergies takes the operator role with a 40% interest.

Offshore Magazine reported that the field targets first gas in 2028.

Output from Ima is set to cover roughly one-third of the gas required for Nigeria LNG's Train 7 expansion, according to Offshore Magazine.

LNG Canada's Phase 2 export facility in Kitimat, British Columbia, reached a final investment decision on September 29, 2026, and its investment case differs significantly from Phase 1, according to the Institute for Energy Economics and Financial Analysis (IEEFA).

IEEFA said Phase 2 should be judged on its own terms rather than as an extension of the first phase.

As it approaches the decision, Phase 2 potentially has 50% of the combined project for sale and may see new ownership, according to IEEFA.

IEEFA said Phase 2 faces greater uncertainty than Phase 1, citing construction costs, economic inflation, potential global oversupply, divestments and a turbulent trade environment.

The U.S. Department of Energy issued a request for proposals to exchange up to 40 million barrels of crude oil from the Strategic Petroleum Reserve, according to a DOE release.

The crude will originate from the reserve's Big Hill and Bryan Mound sites, the department said.

Under the department's exchange authority, participating companies will return the 40 million borrowed barrels along with additional premium barrels, increasing the reserve's long-term inventory at no cost to taxpayers, according to the DOE.

The exchange continues the department's execution of a 172-million-barrel U.S. release, coordinated with an overall 400-million-barrel commitment by International Energy Agency member nations, the release said.

Trinidad and Tobago and Venezuela remain the focal points for future Caribbean gas supply growth, even with delays to Shell's Aphrodite project, according to Offshore Magazine.

Gas developments across the region have advanced through cross-border projects, new offshore discoveries and LNG infrastructure investments, Offshore Magazine reported. Operators are pursuing gas developments, exploration opportunities and cross-border partnerships.

Exploration is expanding offshore Colombia, Jamaica and Honduras.

ExxonMobil has picked OneSubsea to deliver subsea production systems for the opening phase of the offshore Rovuma LNG project in Mozambique, Offshore Engineer OEDigital reported. OneSubsea operates as a joint venture between SLB, Aker Solutions and Subsea7.

Work under the award spans subsea trees, manifolds, umbilicals and the control systems tied to production from the deepwater field, according to Offshore Engineer OEDigital. The contract was placed on behalf of the Area 4 partners ENH, CNPC, Eni, KOGAS and XRG.

OneSubsea will also handle engineering, procurement, manufacturing and installation for the development.

Consumer oil-change and motor oil costs have risen sharply, according to reporting from The Drive and Motor1.

At a New Jersey Costco club store, 10 quarts of Kirkland motor oil now sell for $58, up from $22 in May, according to The Drive.

One dealership oil change cost $245, according to Motor1.

A study by Lloyd's Register puts 200,000-cubic-metre LNG carriers forward as a fleet-renewal option, with the classification society finding the larger ships need only minor terminal changes to enter service.

Across the world, 88 LNG terminals can already handle the 200,000-cubic-metre design, against 97 that can berth the conventional 174,000-cubic-metre carrier, the analysis found.

Infrastructure in Asia Pacific, Europe, North America and the Middle East can accommodate the bigger vessels, according to Lloyd's Register.

Beam, draft and displacement drive terminal compatibility more than how the cargo tanks are arranged, the study found, with three-tank and four-tank layouts showing no material difference.

U.S. crude oil inventories rose by 1.019 million barrels, according to American Petroleum Institute (API) data reported by Investing.com.

The build ran counter to market expectations. Analysts had forecast a decrease of 1.900 million barrels, per Investing.com, a shift the outlet described as suggesting weaker-than-anticipated demand.

The latest increase was smaller than the prior week, when API data showed inventories rose by 1.786 million barrels.

The EIA survey put the U.S. national average diesel price at $6.529 per gallon by September 21, according to natlawreview.com. That reading cleared the old nominal record of $5.8159 per gallon set in June 2022.

Earlier in the month AAA had the national average at $5.85 per gallon on September 4, per natlawreview.com.

At the state level, AAA Texas reported a Texas average of $5.93 per gallon, sitting just under the state record set September 19, according to oaoa.com.

Nigeria's federal government is seeking increased private and development-finance investment through partnerships to close funding gaps in the country's gas infrastructure, according to Businessday.

The government said it cannot finance the infrastructure and projects required to develop the gas industry on its own.

Ekpo said gas infrastructure requires substantial upfront investment and long development timelines, which makes private capital indispensable to expanding the sector.

Kenya's consumption of liquefied petroleum gas (LPG) grew 14.62% during the period covered by the 2025/2026 Energy and Petroleum Statistics Report from the Energy and Petroleum Regulatory Authority (EPRA), Kenya's energy regulator.

LPG consumption reached 475,943 tonnes over the period under review, according to EPRA. Per-person consumption rose from 7.9 kilograms to 8.9 kilograms.

EPRA attributed the increase to expanded LPG importation, storage and distribution infrastructure, improved availability of the product and government efforts to promote clean cooking.

Commercial oil stocks at the Amsterdam-Rotterdam-Antwerp hub remain below their five-year average, according to MLex, citing an EU task force. EU emergency stocks are at high levels and available in case of disruption.

The European Commission said it would continue monitoring the market amid the risk of further supply disruptions.

The Ogun State Government and DP World signed memoranda of understanding to develop the Gateway Deep Seaport and the Ogun State Blue Marine Special Economic Zone in Nigeria, according to Railways Africa.

Separately, the Ogoni Peoples' Assembly rejected any proposed memorandum of understanding on the resumption of oil production in Ogoniland, according to National Network Online. The assembly said it would not accept such an agreement unless an Ogoni Congress first considers and ratifies it.

NIPCO is assessing locations in Delta State's Escravos region and in Akwa Ibom for a floating liquefied natural gas (LNG) facility with capacity of roughly 3 million tonnes a year, according to Businessday.

The Lagos-based company said it is evaluating the two sites for the project.

A final investment decision remains pending regulatory approval and the completion of feasibility work, according to Businessday.

TotalEnergies and its joint venture partners in Azerbaijan took a final investment decision to fully develop the Absheron gas and condensate field in the Caspian Sea. The company said the added output should supply Azerbaijan's domestic market and reach Turkey through existing pipelines that link the country to the European gas market.

The second development phase would come onstream by 2029, lifting total capacity to 211 billion cubic feet of gas per year and 47,000 barrels per day of condensate, according to TotalEnergies.

Data from Industrial Info Resources put the total investment value of the associated projects at just over USD 2 billion, of which USD 550 million covers pipelines and umbilicals.

TotalEnergies said the increased production from offshore Azerbaijan is expected to help support European Union energy security.

Five major oil sands producers, alongside Canada and Alberta, are working on a framework that ties future production growth and export capacity to the Pathways carbon capture and storage (CCS) project and wider emissions cuts, according to World Oil.

The framework pairs production growth with a proposed West Coast Oil Pipeline to move over 1 million barrels per day toward global markets, per World Oil.

On emissions, the deal sets a goal of a further 10 million tonnes per annum of reductions by 2045, lifting the framework's total target to 16 million tonnes per annum, World Oil reported.

The parties want binding definitive agreements finalized by Nov. 15, 2026, according to World Oil.

World Oil reported the memorandum of understanding does not amount to final investment decisions on the proposed projects, with commitments still conditional on definitive agreements between the governments and individual producers targeted by that date.

Aker Solutions has widened its support work for BP from the west of Shetland assets to assets in the central North Sea, according to Offshore Engineer OEDigital. The agreement carries options for two additional one-year extensions.

The scope covers engineering, integrity management, project support and operational services, Offshore Engineer OEDigital reported.

Aker Solutions will manage the contract through its Life Cycle segment in Aberdeen, Scotland, and expects it to support about 50 positions, according to Offshore Engineer OEDigital.

South African motorists face fuel price increases of around ZAR3 per litre for both petrol and diesel in October, according to Central Energy Fund (CEF) data cited by NOW in SA.

The Department of Mineral and Petroleum Resources (DMPR) was expected to announce the official October adjustments before they take effect on October 7, 2026.

International oil prices were identified as a major factor behind the projected increases, according to inboundsa.com.

Drillers across the US oil patch pumped more oil and natural gas in the third quarter of 2026 even as they paid higher costs and waited longer for supplier deliveries, the Federal Reserve Bank of Dallas Energy Survey found.

The headline business activity index came in at 38.8, off from 46.1 the prior quarter, signaling growth at a slower pace.

Both output gauges climbed. The oil production index moved to 20.7 from 15.0, and the natural gas production index jumped to 14.8 from 3.7.

Costs told the opposite story. Firms reported a finding and development costs index of 41.5 and a lease operating expenses index of 43.9.

Brava Energia has begun production from the PPT-52 well at the Papa-Terra Field offshore Brazil, according to Offshore Magazine, after receiving authorization from the Brazilian Institute of the Environment and Renewable Natural Resources (Ibama).

The well is one of four new production wells in a drilling campaign spanning the Papa-Terra and Atlanta fields across the Campos and Santos basins, Offshore Magazine reported.

Production from PPT-52 remains under stabilization, the company said.

Amplitude Energy has reached a final investment decision on its East Coast Supply Project, according to Offshore Magazine, advancing development of multiple offshore gas fields intended to bolster gas supply to Australia's East Coast.

The project will add offshore wells and subsea infrastructure as Amplitude moves forward with development plans offshore Australia, Offshore Magazine reported.

Work will include subsea installations in the offshore Otway Basin and modifications to the onshore Athena Gas Plant during 2028, according to Offshore Magazine.

Eni secured a 100% participating interest in the deepwater Sapukala Block offshore Indonesia, according to Offshore Magazine.

The company identified the Sapukala acreage's exploration potential through a joint study conducted with an Indonesian academic institution, in accordance with local regulatory requirements. Eni has since completed a new seismic acquisition campaign covering the block.

Under the initial three-year work program disclosed by Indonesia, Eni is expected to acquire and process 1,500 square kilometres of 3D seismic data at Sapukala and conduct geological and geophysical studies, according to Offshore Engineer OEDigital.

The share of exploration and production (E&P) companies planning to raise capital spending in 2027 rose to 22% from 10% in June, according to a Federal Reserve Bank of Dallas survey reported by Oil & Gas Journal.

Only 5% of surveyed E&P leaders expected to trim capital spending next year, while 73% said they would hold spending level, the Dallas Fed Energy Survey found.

Current spending also moved higher. In the latest survey, 46% of E&P leaders said their capital spending this quarter was up from the second quarter, according to Oil & Gas Journal.

Testing of a limited number of shallow aquifers near fracking sites in southwestern Pennsylvania found generally low radium levels, though too few samples were available to draw firm conclusions for the region, according to a report from researchers at Penn State University cited by Inside Climate News.

The team sampled 91 private water wells and springs in 2024, mostly in Washington County, one of the most heavily fracked areas of Pennsylvania, according to Inside Climate News.

Only six samples showed shallow groundwater mixed with brine, and all detected radium was below regulatory levels, according to the report.

Elevated groundwater salinity can corrode pipes and raise levels of metals in aquifers and wells, including lead and radium, the researchers said.

Shell has approved the second phase of the LNG Canada project, according to Cedar News. The final investment decision cleared the way for an expansion of the export facility in Kitimat, British Columbia.

Fluor Corporation announced that its joint venture with JGC Corporation was selected to deliver engineering, procurement, fabrication, construction and commissioning for Phase 2 of the LNG export facility, according to Business News This Week. The joint venture received notice to proceed following the final investment decision.

Fluor will recognize its USD 7.5 billion share of the contract in the third quarter of fiscal 2026, according to Business News This Week.

Phase 2 will add one LNG storage tank and two liquefaction trains, doubling the facility's production capacity to approximately 28 million tonnes per year.

Petronet LNG raised the capacity of its Dahej terminal to 22.5 million tonnes per annum from 17.5 million tonnes per annum at the end of FY26, according to Livemint.

The added capacity comes as utilization is set to fall. Motilal Oswal Financial Services expects Dahej utilization to drop to 70% in FY27 from 91% in FY26, before recovering to 82% in FY28.

High LNG prices are expected to keep utilization low in FY27, according to Livemint.

Growth for the Kochi terminal rests on pipeline connectivity. JM Financial expects Kochi volumes to rise from 1.2 million tonnes per annum in FY27 to 2.7 million tonnes per annum by FY29, supported by the extension of pipeline connectivity to Bengaluru that links the terminal to the national gas grid.

Ningbo-Zhoushan Port has completed its 100th bonded LNG bunkering operation, reached when the MSC Josephine received LNG at the port, according to ship and bunker reporting. The milestone marks the 100th operation since Zhejiang's first bonded LNG bunkering operation in June 2023.

The operations have supplied more than 500,000 m3 of LNG in total, according to the same report.

The port has expanded its LNG bunkering service from a pilot operation to regular, larger-scale activity, according to Manifold Times.