FINWIRES · TerminalLIVE
FINWIRES

New UK PM to Reportedly Maintain North Sea Exploration Ban

By

New UK Prime Minister Andy Burnham is reportedly expected to maintain a ban on granting new oil and gas exploration licenses in the North Sea, according to media outlets on Sunday.

Ruling Labour party deputy leader Lucy Powell said on Sunday that North Sea fossil fuels would continue to have a role in the UK's energy mix but that the party would stick to a manifesto pledge to end new exploration licenses in it, the FT said.

While many expected that Burnham would announce oil and gas plans in his first speech as the new prime minister, a source cited by BBC however said that no final decisions had been made in this regard.

Environmental groups reportedly urged Burnham to stick to the Labour Party's 2024 manifesto, pledging to cease issuance of new licenses for North Sea drilling, to help reduce energy bills.

An industry figure told the Financial Times, however, that the oil and gas industry will be "very unhappy" if new exploration remains prohibited.

Labour Party deputy leader Lucy Powell reportedly said that the government still believed that renewable and nuclear energy will be the key drivers to achieving lower bills and energy security, and that Burnham would likely work with the industry to ensure its contribution to the energy transition.

The prime minister's office did not immediately respond to' request for comment.

Related Articles

Commodities

Ukraine Reports Strike on Yanos Refinery, Russian Tankers, Oil Depot

Ukraine struck the Yanos refinery and several Russian military-linked fuel and naval assets during operations on July 16-17, the General Staff of the Armed Forces of Ukraine said Friday.The strikes damaged the Yanos refinery in Russia's Yaroslavl region. The attack ignited a fire at the site, while officials continued to assess the extent of the damage, the General Staff said.The plant processes about 15 million metric tons of crude annually and produces gasoline, diesel, jet fuel, lubricants and bitumen, the General Staff said.Ukraine also struck two tankers, including one gas carrier, and one tugboat in the Black Sea and Azov Sea, the General Staff said.The military said Russia uses the vessels to transport oil, petroleum products and liquefied gas while bypassing international sanctions and to deliver fuel for military operations.Ukrainian forces additionally struck the Shakhtarsk oil depot in Donetsk region as part of efforts to reduce Russia's military and economic capabilities, the General Staff said.Gazprom and Rosneft did not immediately reply to' request for comment.

Commodities

US Natural Gas Update: Futures Rebound as Traders Weigh Global Supply Risks Against Cooler Weather

US natural gas futures extended gains in after-hours trade on Friday, recovering the previous session's losses as traders balanced concerns over global supply disruptions against expectations for weaker near-term cooling demand.The front-month Henry Hub contract and the continuous contract both rose by 2.03% to $2.916 per million British thermal units.According to Pinebrook Energy Advisors, August 2026 natural gas futures gained 5 cents to settle at $2.91/MMBtu, while the Summer 2026 strip also rose 5 cents to $2.90/MMBtu. Further along the curve, the Winter 2026-27 contract added 2 cents, finishing at $3.55/MMBtu.Despite Friday's recovery, most contracts remained lower on both a weekly and monthly basis after the market recently moved into a lower trading range, according to the note.Analysts at Barchart said Friday's advance was supported by a sharp rally in European natural gas prices, which climbed to a 3.75-month high amid concerns that escalating geopolitical tensions involving Iran could disrupt energy supplies through the Strait of Hormuz.Such disruptions could reduce LNG supplies to Europe and prompt European buyers to increase purchases of US LNG, providing additional support for US natural gas prices.However, gains were capped by forecasts for cooler US weather, which could reduce demand for natural gas-fired electricity generation for air conditioning. The Commodity Weather Group said updated forecasts called for below-average temperatures across the Southwest and Mid-Atlantic through July 26.The rebound followed Thursday's decline, when natural gas futures fell to a two-month low after US government data showed an increase larger than what most analysts expected in weekly natural gas storage inventories, reinforcing concerns about ample domestic supply.Meanwhile, Barchart, citing BNEF data, put US gas production at 112.6 billion cubic feet per day on Friday, up 0.6 Bcf from the day before and 3.6% more than a year ago.Total Lower-48 gas demand was estimated at 80.5 Bcf/d, down 2.3 Bcf on the day, but up 1.2% year over year. Celsius Energy said Powerburn for Thursday was 48.7 Bcf, down 0.7 Bcf on the day, but up 1 Bcf on the year.Net LNG feedgas flows to US export terminals were estimated at 18.1 Bcf/d, up 0.5% from the previous week.

Commodities

Irving Oil Schedules Fall Turnaround at Saint John Refinery

Irving Oil will conduct a fall turnaround at its Saint John refinery from Sept. 8 to Nov. 18, 2026, according to an update on the company's website on Friday.The stream-to-stream turnaround will run from Sept. 8 to Nov. 18, while the mechanical work is scheduled for Sept. 11 to Nov. 8. The maintenance could tighten gasoline and diesel supplies across the northeastern US.Located in New Brunswick, the Saint John refinery can process about 300,000 barrels of crude per day and supplies gasoline and diesel to Maine, Massachusetts and other northeastern US states, according to Bloomberg.Irving Oil has not identified the processing units scheduled for maintenance or disclosed any alternative supply arrangements for customers during the turnaround, according to the report.