Oil Daily | China Shifts to Russian Urals as Saudi Crude Prices Rise; Saratov Refinery Halts Intake

【Global Oil Supply and Demand】

China’s refiners are set to import less Saudi crude in September as the Kingdom raised prices, leading to a shift towards more competitive Russian Urals crude. This change follows India’s reduced Russian oil purchases due to new U.S. tariffs, with Chinese interest in the Urals rising.

【Oil-Producing Countries Dynamics】

Azerbaijan allocated $2 million to help Ukraine restore energy infrastructure damaged by Russian attacks, affirming no disruption to bilateral energy cooperation despite elevated tensions between Baku and Moscow.

Syria plans to restore the Kirkuk-Baniyas pipeline with Iraq, potentially impacting regional energy flows and relations with the Kurdistan Regional Government and Turkey amid shifting geopolitical dynamics.

【Latest Oil Policies】

The Texas General Land Office opposes new saltwater disposal wells in the Permian Basin, citing contamination risks to state-owned crude reserves while regulatory scrutiny over disposal practices intensifies.

Germany's federal network agency investigates potential manipulation of natural gas conversion costs, which could impact consumer energy bills amid regulatory changes aimed at reducing costs.

【Industry News】

The Saratov refinery halted crude intake following Ukrainian drone attacks, affecting Russia's gasoline and diesel supply and prompting increased crude exports amid ongoing geopolitical tensions.

India may face rising power prices due to a nuclear plant shutdown for maintenance, potentially tightening electricity supply and increasing procurement costs in southern regions.

【Company News】

NextDecade secured $3 billion funding from TotalEnergies and Global Infrastructure Partners for Rio Grande LNG expansion, with significant investments involving strategic stakes and a carbon capture initiative.

Ford invests $5 billion in EV production, aiming to create affordable vehicles and increase local manufacturing capacity despite EV subsidy removal, amidst substantial losses from its EV venture.

【Others】

President Trump nominated economist EJ Antoni to lead the Bureau of Labor Statistics, sparking debate over agency independence and concerns about potential data politicization following recent leadership changes.