The Sep’25 Brent futures contract fell to $69.65/bbl at 14:32 BST. Prices have since rallied up to $70.43/bbl at 16:52 BST and softened slightly to $70.42/bbl at 17:25 BST (time of writing). In the news, US crude oil stockpiles unexpectedly rose by 7.1 mb to 426 mb for the week ending 4 July, according to the EIA. This increase was larger than analysts’ expectations for a 2.1 mb draw. However, gasoline stocks fell by 2.7 mb as gasoline demand surged by 6% to 9.2 mb/d ahead of the July 4 weekend. Refinery crude runs dropped by 99 kb/d, while refinery utilization rates decreased slightly to 94.7%. In other news, Nigeria’s Dangote refinery is set to build storage tanks in Namibia to store at least 1.6 mb of gasoline and diesel, aiming to supply refined fuel to southern Africa. This move aligns with Dangote’s strategy to dominate fuel supply across the continent and reshape regional energy trade. The 650 kb/d refinery has been increasing production and exploring new markets. The storage tanks in Walvis Bay will supply fuel to Botswana, Namibia, Zambia, Zimbabwe, and possibly the southern Democratic Republic of Congo. Turkish energy companies are set to explore oil and gas offshore Pakistan following agreements with local firms, as announced by Turkish Foreign Minister Hakan Fidan during his visit to Pakistan. This collaboration is part of broader discussions between Turkey and Pakistan on potential cooperation in energy exploration, mining, and rare earth elements. Finally, the front-month Sep/Oct and the 6-month Sep/Mar’26 spreads are at $1.25/bbl and $3.56/bbl.
