Oil Daily | OPEC Output Drops 500,000 bpd in September Amid Libya Halt, Russia Faces Refinery Setbacks

【Global Oil Supply and Demand】

IRENA reports that to reach the goal of tripling renewables capacity by 2030, a significant increase in investments is needed, from $570 billion in 2023 to $1.5 trillion annually between 2024 and 2030. Current plans fall short, leaving a global gap of 3.8 TW by 2030.

The IEA warns that despite a surge in renewable energy additions, the world is not on track to triple renewable capacity by 2030. Current growth is projected to exceed countries' ambitions by nearly 25%, yet still misses the tripling target.

【Oil-Producing Countries Dynamics】

Russia's Omsk refinery increased crude processing by 4% from January to September. However, maintenance and Ukrainian drone attacks have affected other facilities in Russia, increasing idle capacity. Scheduled maintenance has further raised idle capacity by 67% this month.

OPEC's oil production decreased by around 500,000 bpd in September due to a halt in Libya’s production and improved compliance from Iraq. Despite this, output still exceeded quotas. Libya's production, exempt from OPEC cuts, resumed in October after a political standoff.

【Latest Oil Policies】

Japan plans to quadruple LNG purchases for emergency reserves to enhance energy security. The country aims to secure at least 12 cargoes per year by the mid-2020s, aligning with its strategy to boost renewables and restart nuclear power plants.

【Company News】

Iberdrola plans to double its UK investments to $31.3 billion by 2028, driven by growing power demand and Net Zero policies. The investment focuses on transmission and distribution networks, reflecting confidence in the UK’s energy policies and electrification benefits.