India lifts petrol, diesel sale restrictions from July 1

Emergency restrictions on the sale of petrol and diesel to commercial and industrial consumers will be lifted starting July 1, Deccan Herald reported. 

On June 12 the government had capped diesel sales at retail outlets to 200 litres per vehicle per day and barred industrial, commercial, and institutional buyers from purchasing fuel from petrol pumps.

The restrictions were introduced amid global supply disruptions caused by tensions in West Asia, which had affected crude oil and fuel shipments through the Strait of Hormuz. They were aimed at preventing shortages, hoarding, black marketing, and diversion of fuel while ensuring uninterrupted supply to ordinary retail consumers.

The easing of curbs comes after an improvement in crude oil and petroleum product supplies from Gulf producers, following de-escalation of tensions in West Asia and the resumption of normal shipping through the Strait of Hormuz.

On June 12, the government had imposed the temporary regulations after observing abnormal spikes in diesel demand at retail outlets. Bulk consumers, including industries, telecom towers, and commercial fleets, had shifted purchases to petrol pumps due to a significant price gap.While retail diesel in Delhi was priced at ₹95.20 per litre, bulk supply prices were much higher at ₹134.50 per litre.

India’s Ethanol strategy goes against the grain, experts wary of E85 Flex fuel

Even as the government pushes ahead with E85 (85% ethanol), automakers are treading cautiously, consumers remain unconvinced, and experts warned that flex fuel should complement, not replace, India's broader clean mobility strategy, ET reported. The latest trigger is the rollout of E85 fuel, containing 80-85% ethanol, at 48 retail outlets, with plans to expand the network to 500 stations by the end of 2026 and about 5,000 by 2027.

The government is moving to formally include higher ethanol blends such as E85 and E100 in automotive fuel regulations, laying the groundwork for flex-fuel vehicles. Yet experts emphasised that the transition must be measured.

Flex-fuel vehicles are pricier than conventional models, and consumer resistance is likely in the initial years. Conversion kits for older vehicles are also being explored as another way to accelerate adoption. Beyond transport, higher ethanol blending could create additional demand for sugarcane and maize, reduce reliance on imported crude, and strengthen rural value chains.

Whether consumers embrace that hybrid transition may ultimately determine whether India creates a new mobility model or simply prolongs the old one, said experts, the newspaper said. 

Iran says met with Oman on managing Hormuz

Iran held its first meeting with Oman on managing the Strait of Hormuz since it signed a preliminary deal to end the West Asia war with the United States, AFP reported.

The announcement followed the US saying it had agreed with Iran to halt attacks after an exchange of strikes strained their deal, with the two sides planning to renew talks to end the conflict.

A series of exchanges of fire underscored the fragility of the Pakistan-brokered agreement to stop the war, which sowed havoc across West Asia and snarled the flow of oil and gas shipments through the vital Hormuz strait, the news wire wrote. 

Iran and Oman border the strait, through which a fifth of the world's oil and liquefied natural gas passed prior to the conflict.

"During a trip to Muscat, the first meeting of the Joint Hormuz Committee was held," said Iranian Deputy Foreign Minister Kazem Gharibabadi on X. "While reviewing the current issues related to the strait, we exchanged views on the future management."

The announcement came hours after a US official told AFP that technical talks with Iran would continue.

"Both sides will stand down for now and vessels can move freely" in and around the strait, the official said in an email.

Iran did not immediately comment on the US statement, and the US official did not confirm a US media report that talks would resume Tuesday in Qatar.

Iran had on Sunday warned that any attempt by ships to bypass its preferred route through Hormuz would "increase tensions" in West Asia

Iran’s Hormuz blockade: US Strategic Petroleum Reserve hits lowest level in more than 40 years, pushes US to strike deal  

The US Strategic Petroleum Reserve (SPR) has fallen to the lowest level in more than 40 years, according to the Department of Energy, as emergency stocks are released to help ease the supply disruption triggered by the Iran war, CNBC reported. 

The SPR stood at 340.3 million barrels as of June 12, the lowest level since the summer of 1983, according to data released Monday by the Department of Energy. The reserve fell nearly 9 million barrels week over week.

Oil executives have warned that global inventories are rapidly depleting due to the supply disruption triggered by the Iran war. 

Inventories will continue to fall even after the U.S.-Iran deal is implemented as it will likely take weeks to months for oil flows through the Strait of Hormuz to normalize.

"We're approaching unheard of inventory levels," Exxon senior vice president Neil Chapman said May 28 at a conference hosted by Bernstein in New York. Chapman warned at the time that oil prices would spike as inventories fall while summer fuel demand is set to peak. 

Inventories will continue to decline even after the U.S.-Iran deal is implemented as it will likely take weeks to months for oil flows through Hormuz to normalize.

We still have inventory draws. Those are inexorable and they're already at historic lows," said Bob McNally, president of consulting firm Rapidan Energy. "We don't think we're out of the woods in terms of upper pressure on prices"

Saudi Arabia to partner with Russia and China post Iran conflict, Not the US?

Saudi Arabia is recalibrating back toward China and Russia after the Iran conflict, with recent high-level meetings focused on expanding energy cooperation., Oil Price wrote. The outlet said the shift reflects a decade-long evolution that began after the 2014-2016 oil price war, when China deepened its influence in Saudi Arabia through investment, energy deals, support for Aramco, and alignment with Crown Prince Mohammed bin Salman’s economic ambitions.

Riyadh's confidence in US security guarantees has been shaken by Iranian strikes on key Saudi energy infrastructure during Operation Epic Fury, the report said.