The Jun’25 Brent Futures saw prices slowly rally from $65.57/bbl at 12:30 BST up to $66.86/bbl at 18:32 BST (time of writing). In the news, US refiner Phillips 66 reported a larger-than-expected first-quarter loss due to lower refining margins and major turnaround activities at its plants. The refining unit posted a $937 million loss, compared to a $216 million profit a year earlier, with realized margins falling 38% to $6.81/bbl. Crude capacity utilization dropped to 80% from 92% last year. In other news, Iraq has sent a delegation to Syria to discuss reviving an oil pipeline that once carried crude to the Mediterranean, aiming to boost trade and regional cooperation. Talks also include border security and counterterrorism. The visit follows Syria’s post-Assad transition and recent oil shipments from Kurdish-controlled areas to the new central government, supported by eased EU sanctions. Activist investor Elliott Management, holding over 5% of BP’s shares, is pushing for strategic changes, including removing strategy chief Giulia Chierchia and splitting BP’s upstream and downstream units. The activist investor wants spending cuts and reduced low-carbon investments to boost free cash flow by 40% by 2027. BP has already begun shifting back to oil and gas under CEO Murray Auchincloss but faces pressure as oil prices fall. Finally, the front month Jun/Jul and the 6-month Jun/Dec spreads are at $0.83/bbl and $2.34/bbl respectively.
