Oil Daily | Russia Probes Gazprom Amid Export Limit Talks; Brazil Alters Oil Pricing for Higher Royalties

【Oil-Producing Countries Dynamics】

Russia's Federal Anti-Monopoly Service has launched an investigation against Gazprom for reducing gasoline sales in the high-demand period, potentially violating competition law. The Kremlin is considering limits on gasoline exports to stabilize domestic supply amid rising consumer fuel costs. Regulators aim to ensure market stability over export profits, signaling no exemption for state-aligned firms.

Brazil has revised its reference price mechanism for crude oil to boost revenues from royalties paid by oil companies. The new rules aim to generate around $181 million, effective from September. Despite opposition from oil firms, this move seeks additional funds for Brazil’s state finances amid President Lula’s fluctuating approval ratings.

Kazakhstan's crude shipments via Russian ports remain uninterrupted following Putin's decree requiring foreign ship clearance by the FSB. While briefly halted, loadings have resumed, supporting Kazakhstan's main export route through Russia's Black Sea ports. Kazakhstan continues to adhere to the OPEC pact, aiming for market stability while considering national interests.

【Latest Oil Policies】

Brazil's revision of crude oil reference pricing aims to boost royalty revenues beginning September. This move reflects efforts to enhance state finances and comes amid fluctuating presidential approval ratings. The Lula government seeks additional funds from oil firms, highlighting the ongoing economic adjustments in Brazil.

The U.S. plans to grant limited new authorizations to oil companies in Venezuela, starting with Chevron, marking a shift from previous sanctions. This move follows geopolitical developments and aims to prevent financial benefits to Maduro’s government while allowing operational activities under strict conditions.

A House committee approved a bill to withdraw U.S. funding from the International Energy Agency, criticizing the IEA's shift towards green energy advocacy. The bill requires Senate support and reflects Republican concerns over the IEA’s objectivity in energy forecasting.

【Industry News】

U.S. natural gas market volatility has decreased significantly in 2025, signaling stability after years of fluctuation. A record storage build and high inventories contribute to the calm, although future volatility may arise with increased LNG export capacity and AI-driven power demand.

The U.S. confirmed a $235 million infrastructure deal in Libya's energy sector, enhancing its strategic presence for gas exports to Europe. The deal aims to upgrade pipelines and ports, boosting Libya’s export capacity amid shifting regional dynamics.

The EU's solar power market is set to decline in capacity rollout for the first time since 2025, driven by the withdrawal of incentive schemes for rooftop solar in key markets. Policymakers are urged to support frameworks for solar success amid declining installations.

【Company News】

Italy’s Eni reported a 25% profit decline in Q2 due to lower oil prices and reduced production but highlighted new discoveries and projects. Eni maintains strong financial discipline and resilience with unchanged production guidance and capital expenditure plans.

LG Energy Solutions anticipates a slowdown in EV battery demand by 2026 due to changes in U.S. subsidy legislation and tariffs. The company plans to convert manufacturing capacity for energy storage batteries to adapt to the evolving market.

Chevron is authorized by the U.S. to restart operations in Venezuela, following a shift in sanctions policy. This decision aims to balance operational activities without financially benefiting Maduro’s government.

Saipem expects Mozambique's LNG project to restart by summer's end after a prolonged halt due to security concerns. The optimism follows conditions set by TotalEnergies for resuming work on Africa’s largest foreign investment project.

【Others】

PJM Interconnection issued alerts due to expected high electricity demand during a heatwave, indicating potential curtailment of exports. The U.S. grids face modernization needs to sustain rising power demand, notably from data centers.

The EU solar market faces its first annual decline since 2025 as incentive schemes for rooftop solar are withdrawn, impacting installations. Policymakers are urged to implement frameworks that support solar energy growth amid declining market trends.