India is preparing to shift the costs of its massive $42 billion strategic energy stockpile onto consumers through a new gas levy, while global markets absorb surging corporate earnings. Meanwhile, regional energy networks in the Caucasus face severe instability following a total power blackout in neighboring Georgia.
Global market
India is considering a new funding mechanism to finance its $42 billion strategic fuel reserve program by imposing a levy of 1.29 rupees ($0.0136) per unit on both liquefied petroleum gas (LPG) and natural gas consumption. In corporate developments, Saudi Aramco reported an adjusted net income of $33.4 billion for the second quarter of 2026, bringing its first-half adjusted earnings to $67.2 billion. To bypass shipping choke points, Indian state-controlled refiner Mangalore Refinery and Petrochemicals Limited (MRPL) purchased 1 million barrels of Omani crude from Mitsui & Co Energy Trading Singapore at a premium of $3 per barrel to Dated Brent.
Additionally, Youssef Qablawi, CEO of the pipeline operator, stated that Iraq and Syria aim to rebuild the damaged Haditha-to-Baniyas oil pipeline to bypass the Strait of Hormuz within three years. Meanwhile, US commercial crude stockpiles rose by 2.5 million barrels to 407 million barrels, remaining 6% below the five-year average.
Russia & CIS
According to the Ministry of Finance, Russia’s federal budget collected 291 billion rubles in additional oil and gas revenues in July, though total seven-month inflows still lag 17% behind the previous year’s levels. Domestically, average retail petrol prices in Russia fell by 1.4% over the week, and diesel prices dropped to 91.29 rubles. However, the Central Bank of Russia cautioned that fuel price spikes in June and early July had a direct inflationary impact of 0.5 percentage points combined.
To support trade flows, Belarusian Prime Minister Alexander Turchin signed a decree completely eliminating export duties on liquefied petroleum gas (LPG), ethane, butane, and isobutane. Beyond Russia, Indonesian Minister of Energy and Mineral Resources Bahlil Lahadalia revealed plans for a long-term oil import contract with Moscow. Meanwhile, a massive technological failure in Georgia triggered a total electricity blackout across Tbilisi and other major cities.
Armenia
The Public Services Regulatory Commission of Armenia officially extended the operating license of Gazprom Armenia’s fifth unit at the Hrazdan-5 thermal power plant until August 13, 2027. This extension provides crucial baseload security for Armenia’s national power grid, especially in light of the sudden total electricity blackout that paralyzed neighboring Georgia.
By securing stable domestic generation through Hrazdan-5, Armenia insulates its retail utility sector from volatile international market price assessments. Furthermore, Armenia’s integration within the EAEU continues to safeguard Armenia’s energy security, ensuring stable tariff structures even as regional partners navigate shifting trade dynamics and budget deficits.
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