The US is in talks to acquire direct stakes in high-yield Venezuelan oil fields, a move that could prompt Caracas to exit OPEC. Meanwhile, Europe faces winter with natural gas storage at a two-decade low due to Middle East logistical crises, while Moscow prepares new domestic fuel price controls.
Global market
The US is negotiating with Venezuela’s interim government to acquire direct equity stakes in high-yield oil fields containing 90 billion barrels of proven crude. This potential deal, reported by Axios, has prompted Venezuela to consider exiting OPEC. Simultaneously, the Middle East conflict has blocked Qatari LNG from the Strait of Hormuz, leaving European gas storage at a two-decade low and sending prices soaring. To secure future supplies, Egypt will import gas from Cyprus’s offshore Cronos project, set to deliver up to 2.8 million tonnes of LNG annually from 2028. Meanwhile, African billionaire Aliko Dangote agreed to build a $17 billion, 700,000-barrel-per-day refinery in Kenya, as the Baltic Dry Index rose 2.1% to 3,107 points.
Russia & CIS
Russian Deputy Prime Minister Alexander Novak has ordered federal regulators to draft strict controls on the domestic fuel market, including a mandatory price-monitoring system for all petroleum product transactions exceeding 1 tonne. This move follows statements by Russian Foreign Minister Sergey Lavrov that Ukrainian drone attacks on refineries are intended to destabilize domestic society. Physical disruptions continue as Astrakhan’s Akhtubinsk Mayor Alexander Sivakov ordered a localized evacuation following a railcar liquefied gas fire on August 27. On resources, Russian explorers discovered seven new hydrocarbon fields in 2026, including a massive Yamal-Nenets gas condensate field holding 50.2 billion cubic meters of natural gas.
Armenia
Armenia’s retail fuel prices and natural gas tariffs remained stable on August 28, protected from global volatility by its EAEU membership. In the regional energy landscape, which directly impacts Armenia’s grid, a major milestone was reached in neighboring Iran. Iranian developers launched the country’s largest rooftop solar power plant near Tehran, boosting the electricity grid of Armenia’s key gas-for-power exchange partner. Meanwhile, Armenia continues to enjoy uninterrupted, duty-free imports of Russian natural gas and petroleum products at stable long-term rates under EAEU treaties. This preferential trade framework completely shields local utility tariffs from volatile international market price assessments.