tag

Lebanese Minister of Energy and Water Joe Saddi has praised the State of Qatar's supportive positions for Lebanon, affirming that Qatar has undertaken years-long efforts to help and stand with Lebanon.Qatar has been standing with Lebanon in numerous fields, with energy at the forefront, alongside the health and transportation sectors, as well as backing the Lebanese military, Saddi underlined to Qatar News Agency (QNA).He emphasised the ongoing Qatar-Lebanon collaboration in the field of energy, noting Lebanon's tremendous ambition in the area of gas and petrol exploration in the Lebanese territorial waters.Saddi noted the deal signed by QatarEnergy with the Lebanese government and both TotalEnergies and Eni to acquire a participating interest in an exploration block offshore Lebanon last Friday.Under the terms of the agreement, QatarEnergy will acquire 30% of Block 8, while TotalEnergies (the operator) and Eni will each hold 35%, Saddi highlighted.The Lebanese minister added that, under this deal, a seismic survey will be conducted in Offshore Exploration Area Block 8, a survey that had not been conducted previously due to the absence of maritime boundary demarcation with Israel.He emphasised the critical importance of this survey, as it plays a central role in fathoming out the detailed geology of the area, and that exploration decisions will be made based on the survey findings.Saddi further expressed his hope that the consortium will move as soon as possible to swiftly initiate a three-dimensional seismic survey, enabling enhanced geological and technical understanding of Offshore Exploration Area Block 8 and a thorough assessment of available opportunities.He noted that the signing of the deal underscores the consortium's determination to forge ahead with exploration activities despite the challenges in Lebanon.In addition, Saddi clarified that the Ministry of Energy and Water, in coordination with the Lebanese Petroleum Administration (LPA), is working on preparing the file for launching the fourth offshore licensing round, in addition to fashioning the required terms and conditions, with a view to attracting global companies to invest in the open offshore areas and reinforcing exploration and production activities in Lebanon.Saddi elaborated that after roughly one month, the LPA will showcase the necessary amendments to the tender documents, aimed at increasing the number of companies submitting bids. Thereafter, these amendments will be submitted in due course to the Lebanon's Council of Ministers.The Lebanese minister downplayed the consternations over the possibility of oil and gas exploration operations in southern Lebanon being subjected to Israeli offensives, particularly in Block 8, stressing that he does not think this will happen, as long as these firms conduct assessments of the developments that could potentially emerge in the region. 

OilOil prices fell on Friday as a weak US jobs report dimmed the outlook for energy demand, while swelling supplies may grow further after Opec and allied producers meet over the weekend. Brent crude futures settled at $65.50 a barrel, down $1.49. US WTI crude finished at $61.87, down $1.61.On Wednesday, Reuters reported that eight Opec+ producers would consider raising production further at a meeting on Sunday. US crude inventories rose 2.4mn barrels last week, rather than falling as analysts expected. US nonfarm payrolls increased by only 22,000 jobs last month after rising by an upwardly revised 79,000 in July, the Labor Department's Bureau of Labor Statistics said in its closely watched employment report on Friday.The weak jobs report will put pressure on the US Federal Reserve to cut interest rates. Expectations are growing that Opec+ – the Organisation of the Petroleum Exporting Countries and allies like Russia – will decide at Sunday's meeting to push more barrels into the market to regain market share.The group would be starting to unwind a second layer of output cuts of about 1.65mn barrels per day, or 1.6% of world demand, more than a year ahead of schedule. Meanwhile, US President Donald Trump told European leaders on Thursday that Europe must stop buying Russian oil. Any cuts to Russia's crude exports or other disruption to supplies could push oil prices higher.GasAsian spot liquefied natural gas (LNG) prices held steady last week as regional demand remained muted, while a gas supply deal between Russia and China is seen curbing future LNG shipments from the top Asian importer.Industry sources estimated that the average LNG price for October delivery into Northeast Asia was $11.30 per million British thermal units (mmBtu), up slightly from $11.15 per mmBtu the previous week. Meanwhile, following the first unloading of an LNG cargo from Russia's sanctioned Arctic LNG 2 project in China, Beijing and Moscow this week signed agreements to increase gas supply via the existing Power of Siberia pipeline, and to construct the Power of Siberia 2, though they have yet to agree on pricing.China is sending a clear geopolitical signal that it is willing to receive more Russian gas, reducing LNG dependency from other sources from 2027 and influencing the profitability of other LNG producers. In Europe, the Dutch TTF hub settled at $11.02 per mmBtu, recording a weekly gain of 2.6%. Continued supply growth from the US helped to offset the decline seen from Nigeria. This also comes at a time where imports into Europe have seen slight declines as subsided heatwaves and easing fears over storage added further bearish tailwinds into the market. The US arbitrage to Northeast Asia via the Cape of Good Hope narrowed significantly last week, only marginally incentivising US cargo deliveries to Europe.This article was supplied by the Abdullah bin Hamad Al-Attiyah International Foundation for Energy and Sustainable Development.