Energy Markets Daily

Wednesday, September 17, 2026. Panama: zero domestic crude production zero bpd, zero gas production, zero refining capacity (closed 2003). Import dependent all products (~3.6M tonnes 2024, 64-68% final/primary consumption). Trans-Panama Pipeline: 131 km, 36-40" diameter, Chiriquí Grande (Caribbean) to Charco Azul (Pacific), 860k bpd capacity, interoceanic bypass, VLCC overflow route, ~10M barrels/month. Sept 2026: Panama completed 100% ownership acquisition Petroterminal de Panamá (PTP) operator, ~191.7M dollar investment. Panama Canal Q2 2026: ~3.2M bpd crude/condensate/products (94% petroleum ~3M bpd), ~600 Mcf/d LNG. Sept 2026 drought restrictions: 34 vessels/day early Sept, 32 starting Sept 15 (9 Neopanamax+23 Panamax), 34% rainfall below normal May-Aug (El Niño). Canal normally 36-40 transits/day unrestricted. Record slot auction: South Korean LPG tanker (G. Spirit SK Gas) paid 5.3M dollar Sept 1 slot (prev record 4.6M or 4M), avg prices rose from ~55k earlier. Further cuts possible Dec 2026-Apr 2027 if rainfall low. US crude surge: exports to Asia via Canal +46% YoY record 61.6M metric tons Q2 2026, ~5M bpd avg, surge amid Hormuz disruptions (post-Feb 2026 Iran). Rerouting: congestion/diversions push some gas/crude tankers around South America (Cape/Magellan) or ship-to-ship, increased slot competition. Tanker traffic: multiple chem/oil/crude tankers in zone, ~4/day recent increases, waiting times doubled for MR2s. Revenue context: early 2026 strong recovery (+8-17% YoY), ~35 daily transits mid-2026 avg boosted Hormuz flows, FY2026 revenue beating forecasts despite drought. LNG imports: Costa Norte terminal 2018+ (~2 bcm/yr capacity), 2024 imports ~0.6 bcm from US, power generation. Renewables: ~73% power mix 2024 (hydro dominant, wind/solar growing), ~5.1 GW installed capacity, plans further renewables/Colombia interconnect (delayed to 2029). Energy Corridor: proposed ~76-77 km gas/LPG pipeline (propane/butane/ethane, 2.5M bpd capacity), ~4.2B dollar cost, significant investment interest. Shelved: 140 MW gas-fired power (Gas to Power Panama). Policy: national plans target 30% wind/solar by 2050. Panama: zero production, zero refining, pure logistics hub, Trans-Panama 860k bpd bypass, Canal Sept drought (34→32 transits) amid record US crude surge (+46% YoY) and Hormuz rerouting, record 5.3M dollar slot auctions, FY2026 revenues beating forecasts, LNG Costa Norte imports 0.6 bcm from US, renewables 73% power mix, Energy Corridor advanced. Panama: world's busiest energy crossroads, drought-squeezed, Hormuz crisis beneficiary.