TODAY: XRG’s buying spree reaches Venezuela + Mubadala’s getting bids for Porto Sudeste

Good morning, nice people. We’re covering a lot of ground this morning, and somehow all of it involves someone reaching for a map. Venezuela, Brazil, and the Strait of Hormuz are all in play this morning — capital, cargo, and control, in that order.

XRG just bought its way into Venezuela. The Adnoc investment arm is taking an equal stake in the offshore Loran gas license alongside BP and Qatar’s UCC, going after a field with more than 4 tcf of proven gas. Meanwhile, Mubadala’s Brazil port sale is heating up. The sovereign fund and Trafigura have picked up two offers for Porto Sudeste, their iron ore terminal with room to expand to 100 mn tons.

And Iran and Oman may have just found something to agree on. The two sides appear to be working out a shared traffic framework for Hormuz, with shipping routes already settled as part of a wider agreement on sovereignty and safe passage.

GO DEEPER- An Iran-Oman agreement would settle only part of the Hormuz question. We mapped out possible futures for the strait — from managed instability and de facto Iranian control to a bilateral compromise — and unpacked what to watch if, and when, any agreement is put into practice. Read our deep dive here.

Mubadala’s Brazil port sale heats up

Mubadala Capital — a subsidiary of UAE sovereign wealth fund Mubadala — and trading giant Trafigura Group have received two offers to acquire Porto Sudeste, their iron ore export terminal in Brazil, Bloomberg reports, citing people in the know. The terminal has a 100 mn ton expansion license and is linked to a major iron ore-producing state.

The bids: One offer came from a consortium comprising BlackRock’s Global Infrastructure Partners, Brazilian miner Vale, and steelmaker Gerdau, while the second came from Infrastructure investor I Squared Capital. The offers value the port — previously valued at USD 5 bn — at some USD 3 bn and USD 3.5 bn, though it is unclear which bidder tabled the higher amount.

The asset: Porto Sudeste handled a record 27.8 mn tonnes of iron ore in 2025, up 27% from 21.9 mn tonnes a year earlier — but well below its annual capacity of around 50 mn tonnes or its potential 100 mn tonnes expansion. The Rio de Janeiro terminal is linked by rail to the major iron ore-producing state of Minas Gerais and provides Brazilian miners with access to international markets, particularly Southeast Asia.

BACKGROUND- Mubadala and Trafigura took control of the terminal back in 2014 through a transaction involving USD 996 mn, before exploring the sale 10 years later in 2024, initially considering packaging Porto Sudeste with their Morro do Ipe iron ore mining operation in Minas Gerais. Mubadala was reportedly planning to use the sale proceeds to boost investments in Bahia state, including a planned refinery for green diesel and sustainable aviation kerosene.

Mapped

Iran and Oman appear to be moving toward a framework for managing traffic through the strait, after agreeing on shipping routes through the waterway, Iranian Foreign Ministry spokesperson Esmail Baghaei told state-run Defa Press. The shipping map would form part of a broader agreement intended to preserve both countries’ sovereignty and provide safe passage for vessels.

The difficult bits are still unresolved: Further talks are planned, with Tehran yet to disclose how vessels would be protected or whether they would face transit fees. The proposed framework would govern how traffic moves through the strait, but would not by itself reopen the waterway, Bloomberg reports, citing Iranian Foreign Minister Abbas Aragchi.

Reopening Hormuz still depends on the US meeting separate Iranian conditions, Aragchi said, noting that “we have not yet made a decision to resume negotiations with the US.”

Washington sees it differently: A US blockade of Iranian ports was a “wall of steel” that enabled Washington to effectively govern Hormuz, US President Donald Trump said (watch, runtime: 1:05:26), adding that “pretty soon I’ll be declaring the Hormuz strait a territory of the United States.”

MEANWHILE- The security situation is still deteriorating. The UAE accused Iran of attacking an Adnoc vessel transiting Hormuz on Friday — the third incident involving an Adnoc vessel in less than a week. Around 65 maritime incidents have been confirmed across the strait and the wider Middle East as of 11 August, according to the International Maritime Organization.

Setting the record straight

Egypt’s Transport Ministry has denied rumors that an Egyptian-linked vessel was attacked by Houthis in Bab Al Mandab on Tuesday, after reports circulated claiming the struck ship’s operator was based in Alexandria, according to a statement. The ministry said the vessel — named Tihamah — flies a Tanzanian flag, is Yemeni-owned, and is run by Blue Sea for Management Marine out of its Dubai branch.

ICYMI- A small cargo ship was struck in Bab Al Mandab strait last week, reportedly killing six crewmembers and injuring 11. The Houthis — who declared a naval blockade on Saudi Arabia late last month — have not claimed responsibility for the strike.

Market watch

Oil prices rose this morning as US-Iran peace hopes faded and tanker traffic through Hormuz slowed, Reuters reports. Brent crude futures increased nearly USD 0.72 to USD 89.20 / bbl by 02.29 GMT, while West Texas Intermediate (WTI) gained USD 0.44 to USD 82.83 / bbl.

The Baltic Index gains ground: The Baltic Exchange’s dry bulk index — which tracks rates for the capesize, panamax, and supramax vessel segments — was up 0.7% to 2,863 points on Friday. The capesize index gained 1.5% to 4,538 points, while the panamax dipped by 1.5% to 2,228 points. The smaller supramax inched up 0.6% to 1,622 points.

The Drewry World Container Index rebounded 1% to USD 4,339 per 40-ft container last week, according to the latest index readings. Transpacific rates led the gain — Shanghai-Los Angeles rose 6% and Shanghai-New York 10% — while Asia-Europe lanes stayed weak, with Shanghai-Rotterdam down 5% and Shanghai-Genoa down 8%. Rates remain volatile as Middle East tensions, US tariffs, and Asian port congestion push carriers toward emergency fuel surcharges and blank sailings, with little relief in sight while the geopolitical and trade backdrop stays unsettled.

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