While there are still plenty of supply risks that could send oil prices soaring, bearish sentiment has taken over oil markets this weak due to falling Chinese demand and the expectation of a global economic slowdown. Prospects of weakening economic growth globally have continued to weigh on crude prices, with the US Fed hinting at a half-point interest rate increase at the next policy meeting in May and China’s COVID woes getting ever-more protracted amid Shanghai announcing another round of lockdowns. Upside risks are still on the table with the European Union mulling oil sanctions against Russia and Libya on the brink of war, but for the time being bearish sentiment is pulling prices lower. The European Commission stated that Russia’s newly-introduced gas payment system that would convert prices into roubles in Gazprombank, a subsidiary of the country’s gas giant Gazprom might be compatible with the EU sanctions regime, easing fears across the European gas market. The World is Headed for a Protracted Energy Crunch. The world needs to find $1.3 trillion of additional investment by 2030 to ramp up global energy production and improve infrastructure, US investment bank JP Morgan said, otherwise the world risks seeing energy demand exceeding supply by a whopping 20%. The US Department of Energy awarded contracts for 30 million barrels of SPR crude, with US refiner Valero and Saudi-owned Motiva Enterprises landing the largest volumes at 6.85 and 4.05 million barrels, respectively, implying most of the barrels will be refined domestically. According to a recent study, China’s decision to ban overseas coal financing has led to the closure of 15 power generation projects with a total capacity of 12.8 GW and could potentially halt another 37 GW that are currently in the pre-construction phase. US Wants Brazil to Produce More Oil. Brazil’s energy minister Bento Albuquerque said the United States has asked the Latin American country to produce more crude to lower outright oil prices, a feat Brazil considers logistically difficult as production has been hovering around 3 million b/d recently. Argentina Wants Gas Links Amid Booming Gas Output. Just as Argentina’s gas production rose 10% in March to reach a new monthly record, Argentina said it wants to speed up the construction of gas connections that would connect the Vaca Muerta shale play to Buenos Aires, with the government calling for a mid-2023 deadline for the planned Nestor Kitchener pipeline. Russia Asks for Full Pre-Payment in Crude Tender. Russia’s national oil company Rosneft has asked for full pre-payment in roubles (alternatively in Chinese yuan or Turkish lira, too) in its most recent Urals and ESPO tender for May-loading cargoes, amidst tangibly low Western buying interest. As the April 22 wind-down deadline set for US refiners to halt buying of Russian crude and products comes into effect today, there has been a total of nine tankers delivering their cargo to the USGC, the overwhelming majority of which carried fuel oil. NN: The smartest thing America ever did was unleash fracking and built new pipelines. The dumbest thing America ever did under Biden was kill the domestic oil and gas production. Thats OK because Putin is coming to the rescue. at $100 oil. Soon to become $150 oil. For now let them pretendt that the strategic(ha ha ha ha ha ) release will make up for 10 million barrels a day in embargo lostproduction……..