The Department of Energy (DOE) has granted the second phase of Port Arthur LNG, a Sempra project in Texas, a permit to export liquefied natural gas (LNG) to countries with no free trade agreement (FTA) with the United States. “This is the first final LNG export approval under President Trump’s leadership and marks another step in restoring regular order to LNG export permitting – reversing the previous administration’s pause and delivering on the President’s pledge to unleash American energy”, the DOE said in an online statement. Port Arthur LNG phase 2, which will consist of trains 3 and 4, is now permitted to export the equivalent of 698 billion cubic feet a year of gas, or about 13.5 million metric tons per annum (MMtpa) of LNG according to Sempra, to FTA and non-FTA countries on a non-additive basis until 2050, according to an order published on the DOE’s website. Sempra received the FTA portion of the permit July 2020. “The project can be a key contributor to further establishing the U.S. as a leader in global energy markets, supporting U.S. trade goals and providing economic opportunity at the local, state and national levels in the U.S”, Sempra Infrastructure chief executive Justin Bird said in a separate press release. Sempra is seeking offtakers for phase 2 and has yet to make a final investment decision. Earlier this month Sempra and Saudi Arabian Oil Co. (Aramco) progressed a heads of agreement on phase 2 into a memorandum of understanding (MOU) under which the state-owned oil giant plans to purchase five MMtpa for 20 years. The MOU also provides for Aramco’s potential acquisition of a 25 percent stake. The under-construction phase 1, which consists of trains 1 and 2, had received a permit to export the same volume to FTA and non-FTA countries

Strathcona Resources Ltd. has formally started its offer to acquire all of the issued and outstanding common shares of MEG Energy Corp. it does not already own in a cash-and-stock transaction. The offer is for 0.62 of a Strathcona common share and $4.10 in cash per common share of MEG, the company said in a news release. The offer is open for acceptance until 5 p.m., Mountain Time, on September 15. The offer is not subject to any due diligence or financing conditions, with the cash consideration payable under the offer to be funded under a bridge financing commitment from a syndicate of lenders, Strathcona said. Strathcona said it expects to issue up to around 145 million of its shares under the offer, consisting of 143 million shares issuable for MEG shares deposited pursuant to the offer and 2 million Strathcona shares issuable for the MEG Shares issued upon settlement of certain security-based compensation awards of MEG, representing approximately 68 percent of the approximately 214 million Strathcona shares issued and outstanding currently. Strathcona also announced the execution of an equity commitment letter with Waterous Energy Fund (WEF), the holder of 79.6 percent of its outstanding shares, through certain limited partnerships comprising Waterous Energy Fund III (WEF III), under which WEF III has committed to purchase an additional 21.4 million Strathcona shares through subscription receipts, conditional upon completion of the offer. Under the terms of the equity commitment letter, the investment will be completed at a subscription price of $30.92 per subscription receipt, equating to an incremental investment by WEF in Strathcona of approximately $662 million, according to the release. Strathcona Executive Chairman Adam Waterous, who is also CEO of WEF, said, “WEF’s major further investment in Strathcona reflects our view that more than eight years into building Strathcona our best

EOG Resources, Inc. said it has entered into a definitive agreement to acquire Encino Acquisition Partners (EAP) from the Canada Pension Plan Investment Board (CPP) and Encino Energy for $5.6 billion, inclusive of EAP’s net debt. EOG expects to fund the acquisition through $3.5 billion of debt and $2.1 billion of cash on hand, the company said in a news release. The transaction is expected to close in the second half, subject to clearance under the Hart-Scott-Rodino Act and other customary closing conditions, EOG said. The acquisition of Encino’s 675,000 net core acres increases EOG’s Utica position to a combined 1.1 million net acres, representing more than 2 billion barrels of oil equivalent of undeveloped net resources, with pro forma production totaling 275,000 barrels of oil equivalent per day (boepd), according to the release. EOG said that the acquisition significantly expands its contiguous liquids-rich acreage, adds premium-priced gas exposure, and increases working interest. The company averages 65 percent liquids production, with 235,000 net acres for a combined contiguous position of 485,000 net acres. On the natural gas front, the acquisition adds 330,000 net acres along with existing natural gas production with firm transportation exposed to premium end markets. In the northern acreage, where the company has delivered outstanding well results, EOG increases its existing average working interest by more than 20 percent, the company stated. “This acquisition combines large, premier acreage positions in the Utica, creating a third foundational play for EOG alongside our Delaware Basin and Eagle Ford assets,” EOG Chairman and CEO Ezra Yacob said. “Encino’s acreage improves the quality and depth of our Utica position, expanding EOG’s multi-basin portfolio to more than 12 billion barrels of oil equivalent net resources”. “We are excited to execute on this unique opportunity that is immediately accretive to our per-share metrics

In a research note sent to Rigzone late Thursday by Natasha Kaneva, Head of Global Commodities Strategy at J.P. Morgan, analysts at the company, including Kaneva, asked if oil prices are “$10 too low or $20 too high”. The analysts highlighted in the note that, during the company’s two weeks of marketing in Europe and Asia, J.P. Morgan “encountered both perspectives”. “Some clients believe that current oil prices are $10 too low, while others argue they are $20 too high,” the analysts said. The J.P. Morgan analysts outlined “the bullish argument” and “bear…reasons” in the note.  “Incoming hard data on the economy has held up so far, and oil demand has been relatively robust,” the analysts said under a subcategory for the former. “Perspectives are shifting away from concerns about a U.S. recession to optimism about growth-boosting deregulation and tax cuts,” they added. “Similarly, views on China are evolving. We were surprised by the positive sentiment in China. Chinese copper demand, a reliable indicator of the health of the Chinese economy, increased by 6-7 percent in the first quarter, with sufficient underlying momentum beyond frontloading to sustain growth into the second half of the year,” they continued. “China has a clear policy direction focused on growth, aiming at proactive expansion of domestic demand,” they went on to state. Under this subcategory, the analysts also noted that “healthy refinery margins are encouraging high utilization rates and product cracks are strong, yet global product inventories are stubbornly low”. “Strong demand for crude is reflected in the prompt spreads of both Brent and WTI, which are trading at 58-64c/bbl backwardation,” they added. Under the bear case subhead included in the note, the analysts said, “despite robust demand so far this year, averaging 1.0 million barrels per day year to date, visible inventories have

A statement posted on OPEC’s website on Saturday announced that Saudi Arabia, Russia, Iraq, UAE, Kuwait, Kazakhstan, Algeria, and Oman “will implement a production adjustment of 411,000 barrels per day” next month. The statement noted that “the eight OPEC+ countries, which previously announced additional voluntary adjustments in April and November 2023 … met virtually on 31 May 2025, to review global market conditions and outlook”. “In view of a steady global economic outlook and current healthy market fundamentals, as reflected in the low oil inventories, and in accordance with the decision agreed upon on 5 December 2024 to start a gradual and flexible return of the 2.2 million barrels per day voluntary adjustments starting from 1 April 2025, the eight participating countries will implement a production adjustment of 411,000 barrels per day in July 2025 from June 2025 required production level,” it added. The statement noted that this “is equivalent to three monthly increments” and highlighted that “the gradual increases may be paused or reversed subject to evolving market conditions”, adding that “this flexibility will allow the group to continue to support oil market stability”.  “The eight OPEC+ countries also noted that this measure will provide an opportunity for the participating countries to accelerate their compensation,” the statement went on to note. “The eight countries reiterated their collective commitment to achieve full conformity with the Declaration of Cooperation, including the additional voluntary production adjustments that were agreed to be monitored by the JMMC during its 53rd meeting held on April 3rd 2024,” it continued. The statement also noted that the eight countries “confirmed their intention to fully compensate for any overproduced volume since January 2024”. “The eight OPEC+ countries will hold monthly meetings to review market conditions, conformity, and compensation. The eight countries will meet on 6 July 2025 to

Ukraine’s Naftogaz Group and Poland’s ORLEN SA have signed another energy collaboration agreement, after an earlier one that aims to help the war-hit country secure natural gas supply. Under the new memorandum of understanding, “the parties will seek to increase natural gas deliveries via Poland to Ukraine and to advance joint projects in oil and gas extraction”, ORLEN said in an online statement. “These initiatives are expected to strengthen Ukraine’s resource security and flexibility. “Naftogaz also stands to benefit from ORLEN’s technical expertise in the modernization of the Kremenchuk oil refinery, as well as in the refurbishment of gas infrastructure damaged during the war. “In addition, both companies intend to pursue joint investment projects across fuel distribution and development of the biofuels segment”. ORLEN added it currently supplies Ukrainian customers with refined oil products including gasoline, diesel and bitumen. The state-owned companies previously penned a liquefied natural gas (LNG) agreement. “The agreement is a framework arrangement aimed at strengthening cooperation to enhance Ukraine’s energy security through the diversification of gas supply sources and routes to the country”, ORLEN said in a press release March 7. The LNG agreement has contracted 300 million cubic meters (10.59 billion cubic feet) of gas for Ukraine. Meanwhile Naftogaz is intensifying negotiations with international financial institutions to help Ukraine buy enough gas for the heating season. Discussions were held with representatives of the European Investment Bank, the International Monetary Fund and the European Commission, Naftogaz said Friday. “[W]e have made significant progress in attracting additional financing”, new chief executive Sergii Koretskyi said. On April 28 the company said it had secured a EUR 270 million ($308.62 million) loan from the European Bank for Reconstruction and Development and a EUR 140 million grant from the Norwegian government to buy nearly one billion cubic meters of gas.