** Oil prices climbed in early Asian trade on Monday as drone attacks on both the UAE and Saudi Arabia further dimmed hopes of any de-escalation in the region. The lack of a breakthrough on an Iran agreement during Trump’s visit to China also added to upward pressure for oil prices, with fears of major global shortages now rising rapidly. Brent had climbed to more than $111 a barrel.
** A drone strike sparked a fire on the edge of the United Arab Emirates’ sole nuclear power plant on Sunday in what authorities called an “unprovoked terrorist attack.” No one was blamed, but it highlighted the risk of renewed war as the United States and Iran signaled they were ready to fight again.
** Iran has prepared a mechanism to manage traffic through the Strait of Hormuz along a designated route that will be unveiled soon, the head of the Iranian parliament’s national security committee, Ebrahim Azizi, said on Saturday. He added that only commercial vessels and parties cooperating with Iran’s leadership will be allowed to benefit from the new process.
** The Wall Street Journal reports some companies in the Middle East have given up on the Strait of Hormuz and turned to convoys of trucks driving across the Arabian Desert.
** After years of delays and restrictions to private investment, Mexico’s renewable energy sector is expected to undergo a transformation as President Claudia Sheinbaum encourages greater private sector participation to expand the country’s energy sector. Solar and wind energy will be a major focus, thanks to Mexico’s favourable climatic conditions, which will go hand in hand with the expansion of the country’s transmission network.
** The Canadian federal government may reconsider a plan to privatize the Trans Mountain oil pipeline. Since the expanded TMX pipeline launched in 2024, exports to Asia—especially China—have surged, with up to 70% of shipments from British Columbia heading to Asian buyers by late 2025, reported OilPrice.com.
US energy
** Slate Auto, the startup making minimalist electric trucks with backing from Jeff Bezos, plans to add nearly 400 jobs and invest $10.4 million at its Detroit-area headquarters as it prepares to launch.
** A solar developer loses the Democratic primary for a Nebraska congressional seat, while Republicans are expected to take the seat in November.
** Pennsylvania, where nearly 60 data centers are in some stage of development, is seeing a rising tide of opposition to these facilities, even as Gov. Josh Shapiro promises to protect residents from high energy prices and environmental damage.
** Alaska’s industrial development agency proposes a nearly $200 million oil exploration project in the Arctic National Wildlife Refuge.
** The U.S. Interior Department and the Southern Ute Indian Tribe in Colorado enter into an agreement giving the tribe sovereign authority to manage and develop energy resources on its land.