ONG Report: U.S. Drilling Ramps Up Amid Geopolitical Trade Threats

U.S. Rig Count Rises in Response to Tighter Global Supply

A Story of Renewed Confidence: Your 6 Key Takeaways This Week

U.S. Rig Count is on the Rise: In a clear sign of growing confidence, oil and gas rig counts climbed in both Oklahoma and across the U.S. last week. This upward trend is a direct response from producers to a tightening global supply picture and stronger forward-demand signals, suggesting that operators are becoming more willing to deploy capital.

Russia Attempts a Risky LNG Transfer to Bypass Sanctions: In a desperate move to keep exports flowing, Russia has attempted a rare and dangerous ship-to-ship transfer of LNG. Analysts warn this maneuver, conducted to get around Western restrictions, poses major safety and environmental risks and highlights the extreme measures Moscow is taking to evade sanctions.

China's Refining Surge Signals Rebounding Demand: China’s crude oil surplus has narrowed sharply due to a significant surge in refining activity. This is a powerful bullish signal for the market, suggesting that industrial demand in the world's largest importer is rebounding strongly after months of slower economic activity.

Trump Threatens India with Tariffs Over Russian Oil: In a major geopolitical development, President Trump has threatened India with steep new tariffs over its continued purchasing of discounted Russian oil. If enacted, this policy would be a significant disruption to global trade flows, potentially forcing India to seek new suppliers and further isolating Moscow.

Colombia Signals a Return to Fossil Fuels: In a significant policy pivot, Colombia’s leaders are signaling new support for oil and gas drilling after years of policies that restricted exploration. This pragmatic shift is aimed at bolstering the nation's energy security and reflects a growing trend of governments re-evaluating the role of fossil fuels.

Global Refining Activity is Set to Hit a Post-Pandemic High: The industry tidbit provides crucial context for the China story. Global refinery utilization is expected to average 83% in 2025, the highest rate since before the pandemic. This high run rate is a direct reflection of strong global fuel demand, particularly in Asia and the Middle East.