Patrick Pouyanne, the president of the French energy giant TotalEnergies, indicated during a recent investor teleconference that the notion of a single global oil market no longer holds true. The report from TASS confirms this significant shift, suggesting a fragmented landscape that major players are now forced to acknowledge and navigate.
“I believe the global oil market no longer exists. That’s a big lesson from what happened,” Pouyanne noted, pointing to how recent events have reshaped supply chains and pricing mechanisms across continents. His assessment reflects a growing sentiment in energy circles that volatility has moved from episodic spikes to a more sustained state of dispersion among regional markets.
Pouyanne also underscored the emergence of what he termed a “gray market” for oil supply, driven by evolving geopolitical dynamics and strategic shifts in production. He warned that the industry has not yet fully measured the long-term effects of this new layer of complexity, which could influence pricing, trade routes, and risk management for years to come. Industry observers in Canada and the United States are paying close attention as refiners and traders recalibrate their sourcing and hedging strategies in response to this diversification.
“Russian oil is finding a new place in the market – China and India, but when it comes to Russian oil products – where will they be sent? Africa, South America? It’s a secret,” he said, hinting at redrawn export destinies and the uncertain geography of post-sanctions flows. This ambiguity has immediate implications for logistics, port capacity, and regional demand centers as buyers weigh price differentials against reliability and regulatory risk. The discussion highlights how energy exporters are rethinking routes and partners to maintain access to lucrative markets while managing political constraints.
Amid these shifts, Pouyanne emphasized that overall demand for oil remains solid and that supply security must be a priority for producers and consuming nations alike. He noted stability among OPEC member nations in their role as reliable suppliers, while also anticipating a broader expansion of American shale oil exports in response to market needs. This outlook aligns with a global trend toward diversified sourcing and enhanced production flexibility that fuels competition and investment in North American energy infrastructure.
Yet, previous reporting by Bloomberg casts a note of caution. Despite strong profits reported at the end of 2022, the future profitability and longevity of shale oil players in the United States appear uncertain, suggesting that surviving the next cycle may require sharper cost controls, greater efficiency, and strategic partnerships to stay resilient in a volatile environment. [Bloomberg] [Source: Bloomberg] The evolving industry landscape in North America and abroad will continue to shape investment decisions, regulatory considerations, and technological innovation in the years ahead. [Source: TASS]