Nigeria's oil output fell close to a 22-year low this month due to attacks on oil pipelines in the southern Niger Delta, home to much of the country's oil and gas wealth, compounding the impact of low oil prices on Africa's largest economy.

Tesco Corporation Reports First Quarter 2016 Results: - Revenues declined to $35.5 million as a result of challenging market conditions - Cash increased $2.4 million during the quarter, ending at $53.9 million with no debt - Adjusted EBITDA was $(7.8) million, or (22)% of revenue - Reported diluted EPS was a loss of $1.45 and adjusted EPS was a loss of $0.46, after $0.99 in charges - Restructuring programs since Q4 2014 expected to yield $60 million of annualized savings

В условиях роста спроса на российские энергоносители в Европе участники встречи подчеркнули важность реализации проекта «Северный поток — 2». Отмечено, что создание новой газотранспортной магистрали не только повысит надежность поставок, но и будет способствовать развитию европейского газового рынка.

The July crude oil contract on the New York Mercantile Exchange gained $1.66 to $47.01/bbl. The Brent crude contract for July on London’s ICE jumped $2.08 to $47.60/bbl. The August contract climbed $2.02 to $48.03/bbl.

Changes to the data in this month’s confirm the direction of travel of the oil market towards balance. The net result of our changes to demand and supply data is that we expect to see global oil stocks increase by 1.3 million b/d in the first half of 2016 followed by a dramatic reduction in the second half of 2016 to 200,000 b/d.

Russian oil and gas condensate production may reach 544.6 million tonnes this year, rising to 565 million tonnes in 2017.

The Paris-based agency said global oil stocks will experience a “dramatic reduction” in the second half of the year, but also warned that they will continue to increase in the first half of the year as Iran ramps up its production, adding to the nearly two years of oversupply.

Saudi Arabia is going through one of the most difficult periods in its modern history. Oil prices have dropped from a July 2014 high of $115 per barrel to less than $30 per barrel in January this year. The country is surrounded by failed states: Iraq, Libya, Yemen, Syria and, arguably, Lebanon. It has a demographic bulge of ambitious, but exceedingly frustrated, young men and women whose expectations differ dramatically from those of their parents. And it faces an emboldened Iran eager to interfere in the affairs of Arab countries, and with the financial wherewithal to do so, via proxy armed militia.

France’s energy and environment minister Segolene Royal wants to find a “legal way” to prevent the import of non-conventional US LNG.

U.S. Rig Count is down 9 rigs from last week to 406, with oil rigs down 10 to 318, gas rigs up 1 to 87, and miscellaneous rigs unchanged at 1. Canadian Rig Count is up 7 rigs from last week to 43, with oil rigs up 5 to 16, gas rigs up 2 to 26, and miscellaneous rigs unchanged at 1.

Several Russian officials say the government is considering raising income-tax levels and increasing value-added tax but that any changes would only take place after 2018—a presidential election year.

Without any of those reforms, Saudi Arabia’s financial troubles would continue to intensify.

“Markets fluctuate, but we know that science does not. You have to be patient. The cycle from discovery to deployment can take decades.”

Russia’s economy is closer to growth than at any time since it slid into recession and central bank Governor Elvira Nabiullina is focusing on what she says are “positive signals.”

World oil demand in 2015 grew by around 1.54 mb/d, unchanged from last month’s report. Total oil consumption averaged 92.98 mb/d. In 2016, world oil demand is projected to rise by 1.20 mb/d to reach 94.18 mb/d, unchanged from last month’s projections, despite upward revisions to Other Asia, which were counterbalanced by downward revisions to Latin America and China.

Global oil demand growth for 1Q16 was revised upwards to 1.4 mb/d, led higher by strong gains in India, China and, more surprisingly, Russia. For the year as a whole, growth will be around 1.2 mb/d, with demand reaching 95.9 mb/d.

China consumed about 10.62 million barrels per day (bpd) of oil in April, a record daily consumption volume, according to Reuters calculations based on preliminary government data published on Friday.

Goldman Sachs said the market had ended almost two years of oversupply and flipped to a deficit.

Crude oil production in June from the seven major US shale regions is expected to fall 113,000 b/d month-over-month to 4.85 million b/d. Gas production from the regions is forecast to fall 464 MMcfd.

Many companies on the teetering on the brink of insolvency find themselves buried under high interest rates and lack of deployable capital due to low commodity prices. Many banks have cut oil company credit lines as part of the semi-annual review by lenders. But the combined $8.9 billion in debt between the eighteen companies still looms ever menacingly in the background.