Chevron Corp, lowered the price of Venezuelan crude offered to US refiners after a tanker was seized by American forces in the Caribbean and as global prices drifted lower.  The oil supermajor sold a batch of Venezuelan oil on Dec. 11 — a day after US forces seized a vessel off the country’s coast — at weaker prices compared than a batch offered on Monday, according to people with knowledge of the situation.  The administration of President Donald Trump is stepping up pressure on Venezuela by targeting oil revenues critical to the survival of Nicolas Maduro regime. The seized vessel, the Skipper, is currently near the Dominican Republic and appeared to be en route to the US, according to vessel movements tracked by Bloomberg. While it’s unclear when the ship will be able to discharge, it’s expected arrival is pressuring already weak prices in the Gulf Coast market, the people said, asking not to be named because the information is private.  Chevron’s operations in Venezuela continue in full compliance with laws and regulations applicable to its business, as well as the sanctions frameworks provided for by the US government, the Houston-based company said in a statement.  The company sold about 10 oil cargoes of different grades for loading next month, in a sign that it’s pressing ahead despite heightened tensions between the two countries. The cargoes were sold in two separate tenders and price levels were not immediately available.  WHAT DO YOU THINK? Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Phillips 66 said Monday it expects a $2.4 billion budget for next year, consisting of $1.1 billion in sustaining capital and $1.3 billion in growth capital. “The 2026 capital budget reflects our ongoing commitment to capital discipline and maximizing shareholder returns”, chair and chief executive Mark Lashier said in an online statement. “We are investing growth capital in our NGL value chain and high-return refining projects, while also investing sustaining capital to support safe and reliable operations”. Houston, Texas-based Phillips 66 expects to shell out $1.1 billion into its refining business, comprising $590 million in sustaining capital and $520 million into growth projects. “With the consolidation of WRB Refining, we incorporated approximately $200 million of sustaining capital and $100 million of growth capital into the budget”, Lashier said. Phillips 66 recently acquired an additional 50 percent stake in WRB Refining LP from Cenovus Energy Inc for $1.4 billion, fully taking over the Wood River and Borger refineries, as confirmed by Phillips 66 in its third quarter report October 29. Wood River in Roxana, Illinois, has a gasoline and distillates production capacity of 176,000 bpd and 140,000 bpd respectively. Borger in Borger, Texas, produces up to 100,000 bpd of gasoline and 70,000 bpd of distillates, according to Phillips 66. The refining allotment for 2026 also includes a multiyear investment at the Humber refinery to enable the production of higher-quality gasoline and expand the facility’s access to “higher-value global markets”, the company said. Phillips 66 expects to start up the project in the second quarter of 2027. Located in North Lincolnshire on the English east coast, the Humber site produces up to 95,000 barrels per day (bpd) of gasoline and 115,000 bpd of distillates, according to Phillips 66. The refining budget also includes “over 100 low-capital, high-return projects to improve market capture

The U.S. has emerged as the world’s hydrocarbon superpower, exemplified by its meteoric rise in the liquefied natural gas (LNG) market.   That’s what Wood Mackenzie (WoodMac) said in a statement sent to Rigzone recently, which highlighted several charts that “spotlight the most significant trends reshaping the [energy and resources] sector globally” and were included in the company’s latest Horizons report. “You don’t need to look too far back to find a U.S. which was building LNG import infrastructure and now in under 10 years it has become the world’s largest LNG exporter,” WoodMac said in the statement. The company noted in the statement that, by 2030, the U.S. is projected to account for 30 percent of global LNG output. A chart included in the statement outlined that the U.S. would continue as the world’s largest LNG exporter in 2030, followed by Qatar and Australia. WoodMac also highlighted in its statement that the U.S. “leads global oil production (including oil, condensate, and natural gas liquids), delivering one-fifth of the world’s volumes”. “In comparison, its closest competitors, Saudi Arabia and Russia, produce only 65 percent and 50 percent of U.S. volumes, respectively,” it added.   Malcolm Forbes-Cable, Vice President, Upstream and Carbon Management Consulting at Wood Mackenzie, said in the statement, “the resurrection of U.S. LNG is a crucial reminder of what a resource-rich, free-market country like the U.S. can do”. “This hydrocarbon hegemony is now being leveraged as a diplomatic tool,” he added. In its latest short term energy outlook (STEO), which was released on December 9, the U.S. Energy Information Administration (EIA) projected that gross U.S. LNG exports will average 14.9 billion cubic feet per day in 2025 and 16.3 billion cubic feet per day in 2026. Gross U.S. LNG exports averaged 11.9 billion cubic feet per day in 2024, this STEO highlighted. A quarterly breakdown included in the EIA’s latest STEO forecasted that gross U.S. LNG exports will come in at

North America’s rig count stayed flat week on week, according to Baker Hughes’ latest North America rotary rig count, which was published on December 12. The total U.S. rig count dropped by one week on week and the total Canada rig count rose by one during the same period, keeping the total North America rig count at 740, the count outlined. The total North America rig count comprised 548 rigs from the U.S. and 192 rigs from Canada, the count showed. Of the total U.S. rig count of 548, 528 rigs are categorized as land rigs, 17 are categorized as offshore rigs, and three are categorized as inland water rigs. The total U.S. rig count is made up of 414 oil rigs, 127 gas rigs, and seven miscellaneous rigs, according to Baker Hughes’ count, which revealed that the U.S. total comprises 478 horizontal rigs, 54 directional rigs, and 16 vertical rigs. Week on week, the U.S. land rig count rose by one, its offshore rig count dropped by two, and its inland water rig count remained unchanged, Baker Hughes highlighted. The U.S. oil rig count rose by one week on week, its gas rig count dropped by two by week on week, and its miscellaneous rig count remained unchanged week on week, the count showed. The U.S. horizontal rig count rose by two, its directional rig count dropped by four, and its vertical rig count increased by one, week on week, the count revealed. A major state variances subcategory included in the rig count showed that, week on week, Texas added two rigs, and Ohio and Louisiana each added one rig. This subcategory revealed that New Mexico dropped three rigs and Colorado dropped one rig week on week. A major basin variances subcategory included in Baker Hughes’ rig count showed

Pembina Pipeline Corp said Monday it had signed a 12-year agreement allowing Ovintiv Inc to use 0.5 million tonnes per annum (MMtpa) of liquefaction capacity at the under-construction Cedar LNG on Canada’s West Coast. “Pembina has now remarketed the full 1.5 mtpa [million tonnes per annum] of its Cedar LNG capacity to third parties and further demonstrated its commitment to delivering growth and executing its strategy within the company’s long-standing financial guardrails and prudent risk profile”, Calgary-based Pembina said in an online statement. It owns 49.9 percent in the project. The Haisla Nation, who host Cedar LNG on tribal territory, holds 50.1 percent. According to the developers, Cedar LNG is the world’s first liquefied natural gas facility primarily owned by Indigenous people. Expected to start operation 2028, the project has a declared capacity of 3.3 MMtpa. “The agreement enables the export of 0.5 mtpa of LNG, under which Pembina will provide transportation and liquefaction capacity to Ovintiv over a 12-year term, commencing with commercial operations at Cedar LNG, anticipated in late 2028”, Denver, Colorado-based Ovintiv said separately. “It provides Ovintiv, one of Canada’s largest natural gas producers, with access to additional export markets, complementary to the company’s existing portfolio of natural gas transportation arrangements. Export from the west coast of Canada offers the shortest shipping distance to Asian LNG markets from North America”. Meghan Eilers, midstream and marketing executive vice president at Ovintiv, said, “Today’s announcement marks a significant advancement in our strategy to expand market access and maximize the profitability of our Montney gas resource through participation in global LNG markets”. Pembina senior vice president and corporate development officer Stu Taylor said, “Ovintiv is a significant customer to Pembina across our natural gas processing and transportation, and NGL transportation, fractionation and marketing businesses”. Pembina added in its statement, in which it also announced a capital investment

TotalEnergies and Galp Energia SGPS SA have entered into a deal under which TotalEnergies will acquire a 40 percent operating stake in the block containing the Mopane discoveries and Galp will obtain a 10 percent interest in the Venus discovery license, both on Namibia’s side of the Orange Basin. Currently Portugal’s Galp operates Petroleum Exploration License (PEL) 83, which includes Mopane, with an 80 percent stake. The National Petroleum Corporation of Namibia (Namcor) owns 10 percent. Local player Custos Energy (Pty) Ltd holds 10 percent. In PEL56 France’s TotalEnergies has a 45.25 percent operating stake. State-owned QatarEnergy owns 35.25 percent. Namcor owns 10 percent. London-based Impact Oil & Gas Ltd owns 9.5 percent. After the completion of the transaction, subject to approvals from Namibian authorities and their partners in the PELs, Galp would retain 40 percent in PEL83 and TotalEnergies would keep operatorship and a 35.25 percent stake in PEL56. Galp would also receive a 9.4 percent stake in PEL 91, also in the Namibian Orange Basin. Operator TotalEnergies would keep a 33.09 percent stake. QatarEnergy owns 33.03 percent, Namcor 15 percent and Impact 9.5 percent. “The transaction positions TotalEnergies as the operator of the two largest oil discoveries in Namibia and opens the way for the development of a major producing hub, generating long-term value for the country and partners”, TotalEnergies said in an online statement. Galp has announced five discoveries in PEL83’s Mopane area. Mopane-1X, Mopane-2X, appraisal well Mopane-1A and appraisal well Mopane 2A were proven 2024. Mopane-3X was proven 2025. In PEL56, TotalEnergies announced a “significant discovery” through the Venus 1-X well on February 24, 2022. “TotalEnergies and Galp agreed to launch an exploration and appraisal campaign including three wells over the next two years, with a first well planned in 2026, to further derisk resources and progress diligently