Next week, the Well Read team will be launching a special daily report covering the CERAWeek conference in Houston. Our goal is to make you feel as though you are attending the conference, too! I will share quotes from the event’s expert speakers, as well as analyze key themes and takeaways.
As a Well Read subscriber, you will automatically receive these special reports. You can choose to opt out at any time and still receive Well Read, but we hope you will come along with us as we enjoy and learn from one of the energy sector’s biggest events!
Shangyou Nie
Editor, Well Read
European Leaders Push for a Nuclear Comeback Amidst Iran Crisis
Roman Barkov/Shutterstock.com
At the Nuclear Energy Summit in Paris last week, European Commission President Ursula von der Leyen said that the European Union will provide funding support for nuclear initiatives.
Meanwhile, Italy, which banned nuclear energy 39 years ago, is examining ways to bring it back.
What Von der Leyen said:
Von der Leyen presented the European Union’s long-term plan to focus on renewable and nuclear energy.
She announced a 200 million Euro (or $228 million) guarantee to support private investment in innovative nuclear technology.
“Together, they can become the joint guarantors of independence, security of supply, and competitiveness—if we get it right,” she said.
After the Fukushima disaster:
Japan’s Fukushima nuclear accident was brought on by a Tsunami created by a 9.0-magnitude earthquake.
After the incident, Germany decided to phase out nuclear energy.
Von der Leyen was then a cabinet member for former German Chancellor Angela Merkel.
“In hindsight, it was a strategic mistake for Europe to turn its back on a reliable, affordable source of low-emission power,” said Von der Leyen at the recent Summit.
Italy’s approach:
Prime Minister Giorgia Meloni sees nuclear energy as a way to revitalize the Italian economy.
Her team is evaluating whether to use French, South Korean, Canadian, or American nuclear technology. The latter would strengthen ties with the United States.
Meloni is known among European leaders to have a close relationship with President Trump.
In 1987, Italy banned the development of nuclear energy.
One of the challenges in getting support for nuclear energy in Italy is that its frequent earthquakes raise safety concerns.
Other countries plan to join in:
Greece is setting up a ministerial-level committee to oversee the development of small nuclear reactors.
Poland is constructing its first nuclear power plant, which will be operational in 2036.
Globally, there are 413 nuclear power reactors that generate 377 gigawatts of electricity.
Sixty-nine reactors are under construction in 16 countries, totaling 72 gigawatts of power.
The United States, China, and France are the world’s three largest producers of nuclear energy.
The bigger picture:
During the current Iran crisis, the European Union decided to continue sanctions on Russian oil, despite President Trump’s decision to allow Russian oil back to the international market. This put pressure on heavily oil- and gas-reliant countries, such as Italy.
A critical sign of momentum behind the recent surge for nuclear energy is the corresponding support from financial institutions, including the World Bank, the Asian Development Bank, and the EXIM Bank of the United States.
What to watch: Will the ongoing conflict in Iran lead to an acceleration of specific steps for nuclear energy development?
AI is accelerating the energy transition. Are you ready for what’s next?
Join geoscientists and engineers in The Woodlands, Texas on 30 March–1 April to explore real-world solutions shaping the future of carbon capture, utilization, and storage (CCUS).
BP and Chevron Lead Bidders, Again, in the Second U.S. Gulf Lease Sale
James Jones Jr./Shutterstock.com
BP and Chevron were the highest bidders for the second consecutive Gulf lease sale. Held by the Bureau of Ocean Energy Management, the Big Beautiful Gulf 2 lease sale received 38 bids from 13 companies, totaling $70 million. This was significantly lower than the $279 million from the Gulf lease sale held in December 2025, which was the first since Trump began his second term.
The highest bids:
BP bid for three blocks with $22.6 million from high bids.
Chevron bid for three blocks with $11.5 million from high bids.
Occidental Petroleum, using its subsidiary Anadarko U.S. Offshore, was the third-highest bidder with $4 million. LLOG ($2.2 million) and Shell ($1.9 million) followed.
The three blocks that attracted the highest bids are all in the Green Canyon area:
Block 404, which BP bid for $21 million. This was the most highly contested block, with bids from BP, Oxy, Shell, Woodside Energy, and Chevron.
Block 492, which Chevron bid for $5.9 million
Block 448, which Chevron bid for $5.0 million.
Among the 25 blocks receiving high bids, 18 were in water depths between 800 and 1,600 meters, four were in more than 1,600 meters of water depth, and three were in less than 800 meters of water depth.
The first lease sale was held in December 2025, with BP, Chevron, and ENI being the top bidders.
The BOEM said the blocks were offered at a 12.5 percent royalty rate, the lowest since the George W. Bush administration.
BOEM held the Cook Inlet sale in Alaska on 4 March but received zero bids.
BOEM plans to hold six lease sales for California. The first one is scheduled for 2027.
The California state government is firmly against the federal government’s attempt to relaunch offshore lease sales.
The bigger picture: BP and Chevron are two of the most active majors refocusing on exploration.
Go deeper:
Register to watch this recent AAPG Academy webinar with BP’s VP of Exploration Bryan Ritchie and Rystad Energy’s Head of Exploration Research Aatisha Mahajan to learn more about BP’s refocus on exploration.
You can also learn even more about this trend globally in the AAPG Explorer.
What to watch:
The final results of BBG2 will be announced within 90 days of the lease sale.
Will the BOEM be able to open the western area offshore Florida for lease sale?
