Libyan oil production ground to a halt at key fields following a pipeline shutdown, while US diesel prices reached an all-time high of $5.967 per gallon. Simultaneously, Russia and Ukraine traded fresh infrastructure strikes despite diplomatic efforts, and Armenia warned of severe inflation risks from potential energy price shocks.
Global market
Libya’s National Oil Corporation faced force majeure risks after Petroleum Facilities Guard forces shut the main Hamada-Zawiya pipeline, terminating output at the Hamada and Tahara crude fields. Energy market disruptions intensified as US on-highway diesel prices climbed 36.8 cents to a record $5.967 per gallon, surpassing the previous peak set in 2022. In Asian trading, yuan-denominated crude futures on the Shanghai International Energy Exchange reached a record 929.4 yuan ($138.50 per barrel) amid Middle East transit constraints. Meanwhile, US federal regulators set a December 31 deadline for NERC to establish mandatory power grid reliability standards for artificial intelligence data centers as utility capacity tightens.
Russia & CIS
Seaborne crude exports from Russia registered their sharpest monthly growth rate since May, bolstered by elevated global oil prices, according to Bloomberg tracking data. On the domestic supply front, Leningrad region authorities abandoned plans for fuel rationing coupons, establishing a standardized refueling limit at petrol stations with queue priority for ambulances and emergency services. In Kazakhstan, the Ministry of Energy announced that planned maintenance at the Karachaganak oil and gas field will be extended until October 1. Additionally, Russian Vice Premier Aleksey Overchuk met Mongolian Prime Minister Nyam-Osoryn Uchral to review the EAEU-Mongolia trade agreement, under which 90% of mutual trade operates duty-free.
Armenia
Central Bank of Armenia Governor Martin Galstyan warned that any potential Russian gas price increase would trigger an “X-type scenario” for the domestic economy, cautioning that higher fuel costs would accelerate inflation and depress GDP growth. Meanwhile, Russian Foreign Ministry spokeswoman Maria Zakharova urged Yerevan to clarify its position between the EU and the EAEU. Despite regional transit volatility and soaring global diesel benchmarks, retail prices for petrol, diesel, and natural gas in Armenia remain stable. Energy security is sustained under long-term supply frameworks within the EAEU, protecting local consumers from market shocks recorded by international market price assessments.