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Possible Canadian rail strike start delayed again

  • : Agriculture, Biofuels, Chemicals, Coal, Coking coal, Crude oil, Fertilizers, Freight, LPG, Metals, Oil products, Petrochemicals, Petroleum coke
  • 24/05/31

The start of a threatened strike by some union workers at Canadian National (CN) and Canadian Pacific Kansas City (CPKC) has been pushed back again as concerns about fuel and food supplies rise.

If it goes forward, the strike would begin sometime after 17 June at the earliest. The Canada Industrial Relations Board (CIRB), which is investigating federal government concerns, has postponed reply comments to 14 June from 31 May. Original comments were due by 21 May.

If CIRB ruled on 15 June, the Teamsters Canada Rail Conference (TCRC) would have to provide three days' notice to CN and CPKC before workers could strike.

But a strike may still may not occur for another 60 days. If CIRB issues any orders, the parties would likely not be in a position for a strike or lockout to begin for two months, CPKC said on 16 May. TCRC members had authorized a strike to start as early as 22 May.

The railroads and union met with CIRB on Monday and discussed the comments filed by groups that could be affected by a strike. Canadian minister of labour Seamus O'Regan asked CIRB earlier this month to consider requiring some rail service to continue in the event of a strike to help avoid health and safety issues related to propane supply.

A number of concerns arising from the comments have been identified, with many focused on the impact to commercial and economic interests, CIRB said.

The theme of certain comments concerned delivery of supplies of propane and diesel to critical areas, including and remote communities in northern British Columbia. Transportation also is important to the province of Manitoba which has been using rail to deliver fuel because of a Winnipeg products pipeline.

Other comments focused on domestic and global food security. They noted some sectors are dependent on rail for transportation, such as fertilizer, potash and canola products, CIRB said.

The potential, immediate impact on the supply of water treatment materials for several municipalities also was highlighted.

Other commentators sought advance warning of strike, asking CIRB to provide notice of when a decision would be made or that there be an extension of the notice required before a strike or lockout.

Negotiations between the railroads and TCRC continue. CN and the union will meet next week from 4-6 June. CPKC declined to comment on talks but met most recently with TCRC leadership between 15-21 May.


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25/01/15

Opec sees 1.4mn b/d oil demand growth in 2026

Opec sees 1.4mn b/d oil demand growth in 2026

London, 15 January (Argus) — Opec's first global oil demand projections for 2026 see consumption growth of just over 1.4mn b/d, roughly the same as its forecast for this year. In its Monthly Oil Market Report (MOMR) today, Opec forecast oil demand growing by 1.43mn b/d to 106.63mn b/d, underpinned by continued "solid economic activity in Asia and other non-OECD countries." Opec sees consumption growing by 1.45mn b/d this year, unchanged from its previous estimate. But it trimmed its 2024 demand growth estimate by 70,000 b/d to 1.54mn b/d, a sixth consecutive monthly downward revision. This brings Opec further in line with forecasters such as the IEA and EIA, but the gap between them remains large, particularly given 2024 has ended. Opec's oil demand growth estimate for 2024 is 600,000 b/d above that of the IEA's 940,000 b/d. And there is now an 850,000 b/d gap between Opec's 2024 total oil demand estimate of 103.75mn b/d and the IEA's 102.9mn b/d. Opec's oil demand growth estimate for 2025 is 400,000 b/d above the IEA's forecast for 1.05mn b/d. China, which has long driven global oil demand growth but whose economy is now slowing, is projected to add 270,000 b/d in 2026, compared with 310,000 b/d in 2025, around 300,000 b/d in 2024 and about 1.4mn b/d in 2023. In terms of supply, the producer group sees non-Opec+ liquids supply growth at 1.1mn b/d, the same as 2025 and again driven by gains from the US, Brazil and Canada. It said non-Opec+ liquids supply increased by 1.3mn b/d in 2024. Opec+ crude production — including Mexico — fell by 14,000 b/d to 40.65mn in December, according to an average of secondary sources that includes Argus . Opec put the call on Opec+ crude at 42.5mn b/d for this year and 42.7mn b/d for next. By Aydin Calik Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Eni plans to close Brindisi cracker by end April


25/01/15
25/01/15

Eni plans to close Brindisi cracker by end April

Milan, 15 January (Argus) — Italy's Eni is planning to close its steam cracking capacity in Brindisi by the end of April despite calls for a rethink, trade union Filctem Cgil said. "The company said it intends to close the cracker within the first four months of the year," Filctem Cgil national secretary Antonio Pepe told Argus . The timeline emerged last week at a meeting between the trade unions, government and Eni at the industry ministry in Rome called to discuss the next steps for the Brindisi plant. It followed an earlier meeting in December on Eni's plans to shut its cracking capacity at Priolo in Sicily and end polyethylene production at its 160,000t/yr site in Ragusa. At that meeting Eni said it intended to close the Priolo cracker by the end of this year and start of 2026. "There will now be a final meeting at the end of this month to pull together the threads of the two meetings and take decisions," Pepe said. Eni, which is more than 30pc state owned, is looking to significantly cut the exposure of its chemicals business Versalis to basic chemicals, a sector that it sees is facing structural and irreversible decline in Europe. Last October, it unveiled a €2bn ($2.06bn) euro restructuring plan to close basic chemical plants and invest in innovative platforms over the next five years. The plans include building a new biorefinery at the Priolo site at a cost of around €800-900mn. Eni has previously said the Brindisi and Priolo crackers will be shut down within 12-18 months . The nameplate ethylene capacity at Brindisi is 410,000 t/yr and propylene capacity is 220,000 t/yr. The Priolo site has nameplate capacities of 430,000 t/yr ethylene, 250,000 t/yr propylene, and 790,000 t/yr aromatics. Filctem CGIL has called on Rome to reject Eni's plans to close cracking operations at Brindisi and Priolo, claiming it would put 20,000 jobs at risk and deal a death blow to Italy's chemicals industry. By Stephen Jewkes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Inpex wins Norwegian offshore exploration licences


25/01/15
25/01/15

Inpex wins Norwegian offshore exploration licences

Tokyo, 15 January (Argus) — Japanese upstream firm Inpex has won eight oil and gas exploration permits offshore Norway, expanding its operations in the country, Inpex said today. Inpex was awarded exploration licences PL1263, PL318D, PL1264, PL1257, and PL636D located between the northern North Sea and the southern Norwegian Sea, along with PL 1276, PL1274 and PL1194C in the northern Norwegian Sea through its local subsidiary Inpex Idemitsu Norge (IIN). The successful bid was part of the awards in the pre-defined areas (APA) 2024 licensing round . IIN secured five licenses in the 2023 APA round . The APA rounds are held every year and focus on mature areas of the Norwegian continental shelf. The aim is to facilitate the discovery and production of remaining oil and gas resources in these areas before existing infrastructure is shut down. In the latest round, 33 of the licences are in the North Sea, 19 in the Norwegian Sea and one in the Barents Sea. The latest licences will contribute to expanding its Norwegian business portfolio, Inpex said, given the potential of jointly developing the new assets with existing assets in the surrounding area. The company has continued stable production at the Snorre and Fram oil fields in the northern North Sea. The Japanese firm aims to strengthen its upstream business as part of its long-term strategy, while it invests in renewable energy such as green ammonia. By Yusuke Maekawa Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

IEA warns of supply squeeze from Russia, Iran sanctions


25/01/15
25/01/15

IEA warns of supply squeeze from Russia, Iran sanctions

London, 15 January (Argus) — The IEA sees a slightly tighter oil market this year than it previously forecast and said new US sanctions on Russia and Iran could further squeeze balances. The outgoing administration of US President Joe Biden announced additional sanctions on Russia's energy exports earlier this month, and moved to tighten sanctions on Iran's oil exports in December. "We maintain our supply forecasts for both countries until the full impact of sanctions becomes more apparent, but the new measures could result in a tightening of crude and product balances," the IEA said today in its latest monthly Oil Market Report (OMR). But the effect of incoming US President Donald Trump on Russian and Iranian supply remains a key variable. As things stand, the IEA projects a 720,000 b/d supply surplus this year — showing a well cushioned oil market. This is around 230,000 b/d less than its previous forecast. For 2024, the IEA's balances show a small supply surplus of 20,000 b/d. The Paris-based agency sees global oil supply growing by 1.8mn b/d to 104.7mn b/d in 2025, compared to growth of 1.9mn b/d in its December report. Almost all of the 2025 growth — 1.5mn b/d — will come from non-Opec+ countries such as US, Brazil, Guyana, Canada and Argentina. The IEA continues to assume all current Opec+ cuts will remain in place this year, although the alliance plans to start increasing output from April. The IEA said global oil supply grew by 650,000 b/d in 2024. The agency sees global oil demand growing by 1.05mn b/d in 2025, down by 30,000 b/d from its December forecast. This should see oil demand reach 104.0mn b/d, with most of the gains driven by "a gradually improving economic outlook for developed economies, while lower oil prices will also incentivise consumption." China, which has long driven global oil demand growth but whose economy is now slowing, will add 220,000 b/d in 2025, compared with 180,000 b/d in 2024 and 1.35mn b/d in 2023. But the IEA revised up its oil demand growth estimates for 2024 by 90,000 b/d to 940,000 b/d. This was mostly due to better-than-expected growth in the fourth quarter, which at 1.5mn b/d was highest since the same period in 2023 and 260,000 b/d above than its previous forecast. This increase was mostly due to lower fuel prices, colder weather and abundant petrochemical feedstocks, the IEA said. The IEA said global observed oil stocks increased by 12.2mn bl in November, with higher crude stocks on land and water offsetting refined product draws. It said preliminary data show a further stock build in December. By Aydin Calik Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Colonial shuts Line 1 due to Georgia spill: Update


25/01/14
25/01/14

Colonial shuts Line 1 due to Georgia spill: Update

Houston, 14 January (Argus) — Colonial Pipeline's main gasoline bearing line may be closed for more than a day as the company responds to a gasoline spill in Georgia detected on Tuesday. "Colonial has taken Line 1 out of service temporarily while we respond to a potential product release," the company said in a notice. "Normal operations continue on the remainder of the system." The spill occurred in Paulding County, Georgia, about 25 miles southwest of Marietta, Georgia. The company said it had crews on site responding to the incident. The company did not provide information on when the line would restart. Market sources said leak was small but it could take up to two days to resume operations. Line 1 has capacity to carry up to 1.3mn b/d of gasoline from Houston, Texas, to Greensboro, North Carolina. Cash prices for US Gulf coast 87 conventional gasoline in the Gulf coast ended Tuesday's session down by 3.19¢/USG at $2.115/USG, reversing gains from the previous session's 14-week high that was driven by higher blending demand. Liquidity fell during Tuesday's trading session with uncertainty over the length of the pipeline shut-down. The pipeline leak did not affect line space trading on Tuesday, which had already been falling. Values saw their sixth session of losses, shedding 0.25¢/USG day-over-day. A trade was reported at -1.5¢/USG, prior to the notice of the pipeline shut down, with no further trades reported for the remainder of the session. By Hannah Borai Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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