Macron Summons G7 Leaders on Iran as Oil Plunges 11%
Facing the Iranian crisis and volatile oil markets, Emmanuel Macron convenes Group of Seven leaders. Petrobras prepares a diesel auction to ease Brazil's supply issues.
| Countries | France, États-Unis, Brésil, Iran, Israël |
|---|---|
| Companies | Petrobras |
| Sector | Pétrole, Gazole |
| Theme | Politique & Géopolitique, Sécurité énergétique |
France, which currently holds the Group of Seven's rotating presidency, announced that Emmanuel Macron will hold a teleconference with G7 leaders on Wednesday to discuss the Iranian crisis and rising energy prices. Crude prices reached their highest levels in nearly four years on Monday before retreating 11 percent the following day. The correction came after statements by U.S. President Donald Trump suggesting a possible end to Middle East tensions.
G7 Takes Cautious Stance on Strategic Reserves
Group of Seven energy ministers failed to reach agreement Tuesday on releasing strategic oil reserves. Instead, they mandated the International Energy Agency to assess the situation before any decision. This approach reflects divergences within the bloc in response to escalating Middle East tensions.
Washington is meanwhile studying measures to secure oil transit through the Strait of Hormuz. These options include, according to U.S. officials, naval escorts for commercial vessels as well as support for war-risk insurance for tankers. The goal is to reassure maritime operators and prevent further disruptions to global energy supplies.
Petrobras Turns to Auctions to Calm Brazilian Market
In Brazil, state-owned oil company Petrobras is preparing an auction of 20 million liters of diesel for Rio Grande do Sul state, according to two sources familiar with the matter. The bidding is scheduled for Wednesday. The initiative aims to address reported shortages in the region at a time when rising diesel prices linked to Middle East tensions are weighing on the Brazilian agricultural sector. Record soybean harvests and corn planting make any delay in fuel supply particularly costly for producers.
Petrobras had previously refused to increase deliveries to distributors, fearing they would stock fuel sold at low prices to resell at higher rates during a subsequent price rise. The auction would allow, according to an anonymous source, to "sell products at different price levels" and partially close the gap with international markets. Petrobras did not respond to a request for comment.
Controversial Iran Succession
In Iran, the Islamic Revolutionary Guard Corps has imposed the designation of Mojtaba Khamenei as the new supreme leader, according to senior Iranian sources. These sources describe him as favoring hardline policies of the Guard Corps, whose influence has strengthened since the conflict began. Political and religious officials reportedly expressed reservations, delaying the announcement by several hours. More than 1,000 Iranians have been killed since hostilities began, according to these same sources.
Mojtaba Khamenei, who spent decades managing his father's offices behind the scenes, remains a little-known figure to the Iranian public. He may even have been wounded in the strikes that killed his father, according to one source. According to three of them, including a former reformist official and an insider, his appointment would pave the way for more aggressive foreign policy and increased domestic repression. Two of these sources believe that the growing dominance of the Guard Corps over the state apparatus reduces the Islamic Republic's ability to address complex threats. Khamenei had not yet issued a statement by Tuesday evening, nearly 48 hours after his designation.
