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Escalation of war in the Red Sea – Conflict on US vessels increases tensions.

Written by Paulo Nogueira
Published 16/01/2024 às 09:09
conflicts, rising tensions, Brent, Consumer, Energy distribution, USA, war in Israel, War in the Middle East, Houthis, Iran, Iraq, Israel, Red Sea, Middle East, oil price, Syria, Superior Court of Justice ( STJ), Energy tariff, WTI
Abdul-Malik Al-Houthi, leader of the Yemeni rebels who declared war on US ships crossing the Red Sea (Photo: Reproduction) – All rights: EPBR

Houthi rebels have declared war on US ships in the Red Sea, threatening vessels and impacting the oil market. Power to defaulting consumers will be cut off after 15 days.

Recently, the region of Mar vermelho has been the scene of intense confrontations, with the increased tensions between Houthi rebels and the US. O attack on a ship of the United States by the rebels generated even more concerns amid the war declared by the group against the US vessels.

The situation in Mar vermelho is increasingly volatile, with the Houthis placing US ships USA in the crosshairs and making threats that further intensify the conflicts in the region.

Vessel hit amid rising tensions

O first target of missiles it was the M/V Gibraltar Eagle, a Marshall Islands-flagged container ship, owned and operated by the United States, targeted this Monday (15/1).

According to the Central Command of the United States Armed Forces, the vessel was not damaged significant and that maintains the original direction.

Ballistic missiles in Israel's 'espionage center'

- A Iranian Revolutionary Guard, which supports the Houthis, claimed to have launched missiles ballistic attacks on an Israeli 'spy center' in the autonomous region of Iraqi Kurdistan, leaving four civilians dead.

also attacked the Islamic State in Syria, in retaliation for two suicide attacks that occurred this month.

Oil price fell, market movement reduced

– Despite the increase in tensions, the oil price fell on Monday, with the lower market movement in light of the Martin Luther King Jr. Day holiday in the USA.

The futures of Brent fell 0,2% to US$78,15 a barrel. O WTI fell 0,5%, to US$72,30/barrel.

Oil and gas production growth in 2023

PPSA has record revenue. Pre-Salt Petroleum (PPSA) raised R$6,02 billion in 2023 with the sale of oil and natural gas. The record value is 28% higher than the R$4,71 billion recorded in 2022.

Growth was driven by production increase in pre-salt sharing contracts and also prices of oil on the international market.

U.S. oil and gas tax proposal

Tax for oil and gas in the USA. The United States government presented a proposal to tax surplus methane from large oil and gas producers that report emissions exceeding 25 thousand tons of carbon dioxide equivalent (CO2e) per year at their facilities.

The plan is a gradual billing, starting in 2024, of a tax on excess methane emissions, starting in US$900/ton. In 2025, this value is predicted to rise to US$1.200, reaching US$1.500 in 2026.

Partnership for green transition and Itaipu tariff impasse

Brazil and Italy. Presidents of the G7 and G20, Italy and Brazil must strengthen relations for a green transition, said the Italian consul in São Paulo, Domenico Fornara, in interview The .

No deal for Itaipu. The presidents of Brazil, Luís Inácio Lula da Silva, and Paraguay, Santiago Peña, discussed the Itaipu plant tariff during a meeting in Brasília, but still there was no agreement between countries.

O Paraguay wants to increase the tariff value, currently US$ 16,71/KWh, while the Brazil tries to reduce or keep the price.

Lula said that he recognizes the Paraguayan claim and that want a quick solution for the dispute.

Record financing for renewable energy project

Largest revolving loan. BNDES approved the biggest loan ever made by the bank for a renewable energy project. There will be R$3,16 billion for the installation of the Babilônia Centro wind complex, in Bahia.

The power plant 553,5 MW is one among House of the Winds and ArcelorMittal and it will cost in total $ 4,2 billion.

15 days to turn off the electricity. The Superior Court of Justice (STJ) unanimously decided that it is legal to cut off the power of a defaulting consumer 15 days after formal notice by the distributor.

 

Source: EPBR

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Paulo Nogueira

An electrical engineer graduated from one of the country's technical education institutions, the Instituto Federal Fluminense - IFF (formerly CEFET), I worked for several years in the areas of offshore oil and gas, energy and construction. Today, with over 8 publications in magazines and online blogs about the energy sector, my focus is to provide real-time information on the Brazilian employment market, macro and micro economics and entrepreneurship. For questions, suggestions and corrections, please contact us at informe@clickpetroleoegas.com.br. Please note that we do not accept resumes for this purpose.

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