Argus Live: Enterprise bullish on demand, offshore port

Market: Condensate, Crude oil
26/01/21

Global demand for crude should rebound strongly in the second half of 2021 as vaccinations expand and countries lift Covid-19-related lockdowns, Enterprise Products co-chief executive Jim Teague said.

"We're going to look totally different in the second half of the year and we're going to see demand pop back strongly and that's going to be bullish for hydrocarbons," he said today at the Argus Crude Live virtual conference.

Teague also said that US crude exports will grow and that the company is moving forward with its planned offshore crude export terminal.

The US Maritime Administration is reviewing Enterprise's application for the Sea Port Oil Terminal (SPOT) off the coast of Freeport, Texas, which will be able to fully load very large crude carriers (VLCCs).

Enterprise is expecting approval of the project "by the third quarter or so," he said.

Enterprise made a final decision on SPOT last year after signing term contracts for crude transport, storage and marine services with Chevron, a key oil producer in the Permian basin. SPOT includes two crude pipelines running from the port to the shore. Two single-point mooring buoys will be able to load and export oil at about 85,000 bl/hour.

The number of US offshore VLCC export projects has narrowed in the wake of Covid-19 and its economic consequences. Only four major projects are still in the works, including SPOT. Sentinel Midstream and Energy Transfer each have an offshore VLCC project. A fourth is a joint plan by Phillips 66 and Trafigura.

Teague said that SPOT has a strong advantage because of its broad access to supply basins.

"We've got crude coming from the Eagle Ford. We've got three pipelines bringing it from the Permian" as well as the joint venture 950,000 b/d Seaway pipeline system from Cushing, Oklahoma, he said. SPOT would also have connectivity to every refinery in the Houston, Texas City, Beaumont and Port Arthur areas.

Teague said that some of the producers shipping crude to Corpus Christi will likely shift those volumes to Houston when contracts expire because Houston offers more storage options and more market opportunities.

The pipelines to Corpus Christi and docks in Corpus Christi were underwritten by producers "so effectively they have sunk costs," he said. "Those contracts end at a certain point in time."

Corpus Christi last year became the top port for exports of US crude after three major pipelines went into service moving Permian and Eagle Ford crude to that port.

The Port of Corpus Christi said last week that its US crude exports hit a record high of 1.9mn b/d in December. The port's chief executive Sean Strawbridge is speaking at the Argus Crude Live virtual conference tomorrow.

By Eunice Bridges

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14/04/25

Opec cuts oil demand forecasts on tariffs impact

London, 14 April (Argus) — Opec has cut its oil demand growth forecasts by 150,000 b/d for this year and 2026, citing US trade tariffs. In its latest Monthly Oil Market Report (MOMR), published today, Opec revised down its 2025 oil consumption growth projection to 1.3mn b/d, from 1.45mn b/d in its previous report. It said this was because of received data in the first three months of the year and "announced US tariffs." For 2026, the producer group now sees oil use growing by 1.28mn, compared with 1.43mn b/d previously. It now sees demand at 105.05mn b/d in 2025, and at 106.33mn b/d in 2026. The outlook for oil demand and prices have sharply deteriorated since US President Donald Trump's 'Liberation Day' tariff announcements and the Opec+ alliance's decision to speed up planned output hikes, both decisions taken in early April. But Opec's oil demand revisions are relatively modest compared with those by some investment banks in recent weeks. Goldman Sachs slashed its oil demand forecast for this year to just 300,000 b/d. Morgan Stanley sees demand growth at 500,000 b/d in the second half of this year, half of its prior estimate. In terms of supply, Opec cut its non-Opec+ liquids growth forecast by 100,000 b/d for 2025 and for 2026, to 910,000 b/d and 900,000 b/d respectively. The US was the main driver for downward revision in both years: Opec now sees the country adding 400,000 b/d in 2025 and 380,000 b/d in 2026, compared with 450,000 b/d and 460,000 b/d previously. Opec+ crude production — including Mexico — fell by 37,000 b/d to 41.02mn b/d in March, according to an average of secondary sources that includes Argus . Opec puts the call on Opec+ crude at 42.6mn b/d in 2025 and 42.8mn b/d in 2026. By Aydin Calik Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Ecuador's Noboa wins reelection with ample margin

14/04/25

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14/04/25

Ecuador's Noboa wins reelection with ample margin

Quito, 14 April (Argus) — Ecuador's president Daniel Noboa won reelection in a run-off on Sunday with 56pc of the vote, a wider margin than projected after a tight first-round race in February . Electoral authority (CNE) head Diana Atamaint confirmed the results with 93pc of votes counted. Noboa will hold office through May 2029. Security has topped voters' concerns as gang violence has increased in recent years, and Noboa has vowed a tough approach on crime. He also wants to attract more private-sector investment to Ecuador's energy sector, with hopes of boosting crude production of about 467,000 b/d. His challenger, Luisa Gonzalez, obtained only 44pc, but she did not recognize Noboa's win and has called for a recount. She belongs to the left-wing Revolucion Ciudadana party, sponsored by former president Rafael Correa, a close friend of presidents Nicolas Maduro of Venezuela and Daniel Ortega of Nicaragua. She promised more state-led energy-sector investment. Noboa won with a difference of about 1.1mn votes out of the 10.5mn Ecuadorians that voted, the CNE said. He called the results overwhelmingly in his favor, speaking from his residency in Santa Elena province. He will hold office through May 2029. The Organization of American States (OAS) declared the voting process normal based on the participation of 84 of its observers. None of the 40,000 observers from Gonzalez's Revolucion Ciudadana party or Noboa's ADN party denounced irregularities. Noboa will continue in power with no single party holding a majority in the national assembly, Ecuador's 151-member unicameral congress, based on results from the 9 February congressional and first-round presidential election. Revolucion Ciudadana will have the first minority with 67 members, followed by ADN with 66 members and 18 members from another five parties. Noboa will be sworn in on 24 May. He took office in November 2023 to fulfill the mandate of former president Guillermo Lasso, who dissolved the national assembly in May 2023 and called for anticipated elections. By Alberto Araujo Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Keystone oil pipeline to restart by 15 April

13/04/25

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13/04/25

Keystone oil pipeline to restart by 15 April

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Opec+ overproducers cast doubt on compensation pledges

11/04/25

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11/04/25

Opec+ overproducers cast doubt on compensation pledges

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The decision by a core group of eight Opec+ members to accelerate the return of 2.2mn b/d of production cuts is a key reason for the recent slide in oil prices, alongside US tariff announcements. But Opec+ has stressed that its implied output increase of 137,000 b/d for April and another 411,000 b/d in May should be cancelled out by compensation-related cuts of 249,000 b/d for April and 309,000 b/d in May. In reality, this is unlikely to happen — the group's output is set to rise. Kazakhstan is the main reason why Opec+ has exceeded its target over the past two months. Kazakh production has surged following a major output increase at the Chevron-led Tengiz field in January — part of the field's future growth project (FGP). Tengiz production rose to a record 901,000 b/d in March, compared with previous levels of 600,000-660,000 b/d. 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Opec+ crude production mn b/d Mar Feb* Mar target† ± target Opec 9 21.22 21.36 21.23 -0.01 Non-Opec 9 12.71 12.66 12.62 0.09 Total Opec+ 18 33.93 34.02 33.85 0.08 *revised †includes additional cuts where applicable Opec wellhead production mn b/d Mar Feb* Mar target† ± target Saudi Arabia 8.98 8.93 8.98 0.00 Iraq 3.98 4.05 4.00 -0.02 Kuwait 2.42 2.43 2.41 0.01 UAE 2.91 2.93 2.91 -0.00 Algeria 0.92 0.92 0.91 0.01 Nigeria 1.49 1.58 1.50 -0.01 Congo (Brazzaville) 0.26 0.24 0.28 -0.02 Gabon 0.20 0.22 0.17 0.03 Equatorial Guinea 0.06 0.06 0.07 -0.01 Opec 9 21.22 21.36 21.23 -0.01 Iran 3.34 3.38 na na Libya 1.36 1.39 na na Venezuela 0.87 0.84 na na Total Opec 12^ 26.79 26.97 na na *revised †includes additional cuts where applicable ^Iran, Libya and Venezuela are exempt from production targets Non-Opec crude production mn b/d Mar Feb* Mar target† ± target Russia 8.97 8.96 8.98 -0.01 Oman 0.75 0.75 0.76 -0.01 Azerbaijan 0.47 0.47 0.55 -0.08 Kazakhstan 1.79 1.76 1.47 0.32 Malaysia 0.36 0.36 0.40 -0.04 Bahrain 0.18 0.18 0.20 -0.02 Brunei 0.10 0.09 0.08 0.02 Sudan 0.02 0.02 0.06 -0.04 South Sudan 0.07 0.07 0.12 -0.05 Total non-Opec 12.71 12.66 12.62 0.09 *revised †includes additional cuts where applicable Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US consumer sentiment 2nd lowest on record: Survey

11/04/25

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11/04/25

US consumer sentiment 2nd lowest on record: Survey

Houston, 11 April (Argus) — US consumer sentiment fell for a fourth straight month in April, reaching lower levels than during the Great Recession in 2008, as inflation expectations surged to four-decade highs. The preliminary consumer sentiment gauge fell to 50.8 in April, below the 55.3 end-of-month level it reached in November 2008 during the start of the Great Recession, according to the University of Michigan's preliminary reading for April. The only lower reading in records going back to 1952 was in mid-2022 during Covid-19. Year-ahead inflation expectations surged to 6.7pc this month, the highest reading since 1981, from 5pc last month. Sentiment fell by 10.9pc from 57 in March and has lost more than 30pc since December 2024 "... amid growing worries about trade war developments that have oscillated over the course of the year." "Consumers report multiple warning signs that raise the risk of recession: expectations for business conditions, personal finances, incomes, inflation, and labor markets all continued to deteriorate," the survey said. The index of current economic conditions fell to 56.5 in April from 63.8 the prior month. The index of consumer expectations fell to 47.2 this month from 52.6 in March. The proportion of consumers who expect unemployment to rise in the year ahead rose for a fifth month and is more than double the November 2024 result. Interviews for the report were done between 25 March and 8 April, ending prior to the 9 April partial reversal of US tariffs. By Bob Willis Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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