- Oil is trading higher, heading for a weekly gain of nearly $1.50
- It was reported early this morning that Ukrainian drones attacked another Russian refinery in the second strike in two days
- Following a reduction in exports from Mexico to the US, six VLCCs are waiting in the Gulf of Mexico to discharge Saudi sour crude into PADD 3
- Higher US supply sends European crude prices lower (BBG)
- WTI Midland delivered to Europe has fallen to the lowest level in over a year as increased flows from the US have weighed on prices
- According to ship tracking data, flows from the US to Europe have increased by more than a third from the average level in April, on course to hit at least 2.1 MMBbl/d
- The increased supply has weakened the price of Brent, CPC Blend, and Azeri Light crude in Europe as well
- However, supply of sour crude is likely to remain tight due to the OPEC cuts
- Biden urged to halt oil export terminal approvals (BBG)
- Climate activists who pushed for the halt on new LNG export permits have turned their focus to proposed oil export terminals
- Activists are pushing the administration to stop approvals of deepwater export terminals after a 2 MMBbl/d offshore terminal was approved in April
- The Department of Transportation said that extensive environmental reviews are already required for the approval of a deepwater port
