MARKETS: China, India to cut fuel prices

(EnergyAsia, December 26, Friday) — Both China and India are expected to reduce their domestic fuel prices, the first such cut in almost two years. The price cuts will help boost their respective flagging economies which have been reeling from the negative impact of the slowdown in the US and Europe. Oil has fallen to (more…)

KUWAIT: Government under pressure to scrap oil refinery project

(EnergyAsia, December 26, Friday) — Kuwait is under pressure to cancel a much needed 615,000 b/d refinery project. The refinery has long been part of the kingdom’s plan to boost refining capacity to 1.41 million b/d, from 930,000 b/d. The project has been dogged by allegations of corruption and incompetent management, leading to several costly (more…)

JAPAN: Nippon Oil-Nippon Mining merger will still not be competitive

(EnergyAsia, December 26, Friday) — The proposed merger between Japanese refiners Nippon Oil and Nippon Mining will set the stage for much-needed consolidation in the country’s battered refining industry. When completed by next October, the merger of Nippon Oil, Japan’s largest refiner, and Nippon Mining will produce the world’s eighth largest refiner. It will supply (more…)

IRAN: Details lacking in proposal to build seven oil refineries

(EnergyAsia, December 26, Friday) — In the face of a global credit crisis, the Iranian government has announced an ambitious US$27 billion programme to build seven oil refineries by 2013. Faced with rising domestic demand, officials said the refineries would supply an additional 190 million litres per day of gasoline and 180 million litres per (more…)

AUSTRALIA: Caltex says fuel supply reduced in south-east Queensland state

(EnergyAsia, December 26, Friday) — Caltex Australia said that some of its service stations in south-east Queensland and northern NSW are experiencing reduced gasoline and diesel supply availability. Service stations in central and northern Queensland are currently not affected. The company said the stations have been plagued by shortages of diesel and various grades of (more…)

SINGAPORE: Oxford Princeton to hold introductory course on petroleum refining on February 19-20

(EnergyAsia, December 23, Tuesday) — The Oxford Princeton Programme will be holding a workshop, ‘Fundamentals of Petroleum Refining – A non-technical introduction’, in Singapore from February 19 to 20. The programme will provide non-technical oil industry members with an introduction to petroleum refining, refinery operations and its effect on global oil and product prices. Topics (more…)

MARKETS: Oil remains weak despite OPEC’s record 2.2 million b/d production cut

OPEC had announced it would reduce production by a record 2.2 million barrels per day. The cartel’s 12 oil ministers made the desperate move at their meeting in the Algerian city of Oran when prices were under threat of going below $40 a barrel. They did later in the week, and rebounded back over $40 (more…)

CASPIAN: CPC shareholders agree to double pipeline capacity to 67 million tonnes per year

Consortium (CPC) said they have agreed to double the pipeline’s capacity increasing from 33 million tonnes per year to 67 million tonnes. Last week, Russia’s Energy Ministry and Kazakhstan’s Energy and Mineral Resources Ministry signed a memorandum of understanding (MOU) approving the expansion.   CPC said BP remains the only member which has not yet (more…)

ASIA: Caspian oil producing countries working to develop new markets

efforts to diversify the export of their oil and gas production into Europe and beyond.   Leaders from the three nations met in early December in the Turkmen port city of Turkmenbashi to discuss their export options. While they have not yet signed up to a binding deal, the purpose of the meeting was clear: (more…)

CHINA: Declining crude oil prices spur stockbuilding

programme to take advantage of the recent sharp drop in oil prices. The country’s crude oil imports surged 30% in October, much of the extra purchases going into storage tanks. China’s refiners have raised their product output by only 5.5% this year so far.   This divergence has prompted speculation that the government has used (more…)

PHILIPPINES: San Miguel to buy up more than half of oil refiner Petron

has agreed to buy up to 50.1% in local oil refiner Petron.   The seller is London-based investment firm Ashmore Investment Management, which holds its Petron stake through subsidiary SEA Refinery Holdings BV.  Financial terms were not disclosed but industry observers said the deal may be worth some US$660 million.  State-owned Philippine National Oil Co (more…)

RUSSIA: Putin calls for Sino-Russian efforts to reduce US dollar use for bilateral trades

use of the US dollar to pay for their bilateral trade.   Russian Prime Minister Vladimir Putin said he wants the two countries to switch payments to national currencies despite the difficulties in implementing the move on account of their foreign exchange controls.  Trade between the two communist giants will likely set a record of (more…)

TURKMENISTAN: Gas-rich state wary of western energy majors

admitting western energy majors to do business in its country.   While Russia’s Gazprom and Lukoil are already very active in the energy sector of this Central Asian nation, western companies complain that they are still being practically locked out.  But given the scarcity of opportunities to find and produce new energy resources in the (more…)

VIETNAM: Work on Vung Ro refinery delayed

its Vung Ro refinery project to 2009. Work on the $1.7 billion project was to have begun in late 2008.   Without providing an explanation for the delay, state officials said that land clearing at the 200-hectare site in Phu Yen province was still continuing.  So far, the project located near a port has displaced (more…)

MARKETS: globalCoal and ICE start up Newcastle coal futures contract

(EnergyAsia, December 23, Tuesday) — The gC ICE Newcastle coal futures contract, developed jointly by IntercontinentalExchange (ICE) and globalCOAL, has begun trading on ICE Futures Europe. The first trade of the new contract on December 5 was financially settled against the globalCOAL NEWC Index, the leading price benchmark for seaborne thermal coal in the Asia-Pacific (more…)

SINGAPORE: New S$25 million fund to boost energy R & D

the S$25 million Energy Research Development Fund (ERDF) to seek energy solutions suited to the local environment and needs. (US$1=S$1.5). The new fund is different from existing energy research public funds as it focuses on developing enabling capabilities. It will go beyond technology research, and will seek to build up knowledge to support policies including (more…)

AUSTRALIA: Oxford Princeton’s energy derivatives course to be held in Perth from January 19 to 20

(EnergyAsia, December 22, Monday) — The Oxford Princeton Programme will be holding its ‘Derivatives Pricing, Hedging and Risk Management’ course in Perth, Australia from January 19 to 20. The course aims to provide delegates with a comprehensive overview of energy derivatives instruments and markets as well as an introduction to current best practices in pricing, (more…)

SINGAPORE: Oxford Princeton’s crude oil trading course to be held on February 17 to 18

(EnergyAsia, December 22, Monday) — Oxford Princeton’s workshop, ‘Overview of Physical Crude Oil Trading and Operations’, will be held in Singapore on February 17 to 18. The introductory workshop will provide delegates with an understanding of the physical crude oil trading market. The course will explore the linkage between well production, marketing, transportation, storage, refining (more…)

ASIA: Conergy, GE launched region’s first renewable energy trust, aims to invest US$250 million

Singapore-based subsidiary of the Conergy Group in Asia-Pacific, have jointly launched the region’s first renewable energy private trust to spur their growth and investments in wind, solar, small hydroelectric, biogas and biomass power generation in Asia. The Renewable Energy Trust Asia (RETA) is an investment vehicle focused on the US$7 billion annual renewable energy markets (more…)

AUSTRALIA: AGL aquires Investec wind farm projects for $14 million

wind farm development projects from Investec Wind Holdings Pty Ltd for A$14 million. (US$1=A$1.5). They include a proposed 63MW project in Glenthompson in Victoria state and the two-stage 500MW project in Kingaroy in Queensland. AGL managing director Michael Fraser said the transaction was consistent with its strategy to develop a diverse pipeline of renewable projects (more…)

INDIA: Turkey offers BTC pipeline as alternative oil supply route

Ceyhan (BTC) pipeline to deliver Russian crude oil to consumers in Mumbai, Chennai and elsewhere on the subcontinent. Russia now ships oil supplies to India through the Black Sea via the capacity-constrained Turkish Straits. Tankers and ships have to be smaller than 130,000 tonnes according to restrictions imposed at the Turkish port of Ceyhan, which (more…)

MARKETS: Oil companies plan big offshore oil storage

barrels of crude oil in an offshore super tanker in a bet that oil prices will soon rise from their four-year low. Other companies and traders have also started booking offshore oil storage capacities in anticipation of higher oil prices. Crude oil has plunged to well below US$35 per barrel, down from its high of (more…)

MARKETS: World LNG output growth slows down dramatically

only 2% this year, the lowest growth rate in almost 30 years.   In the first nine months of this year, world LNG production was up by just 0.4% from the same period last year, consultant Andy Flowers recently told Bloomberg.  In 2007, world LNG imports reached 17m2.6 million tonnes, up 7.3% from 2006.  Production (more…)

MARKETS: Oil price plunge could trigger mergers, acquisitions

decline in oil companies’ share values, could trigger a new wave of mergers and acquisitions. Crude oil is now trading well below US$35 per barrel, sharply below its peak of US$147 in July. Some analysts now see oil dropping to as low as US$25 in 2009. As a first response, many oil companies have cancelled (more…)

RUSSIA: Lukoil seeks to boost CPC pipeline stake at BP’s expense

Caspian Pipeline Consortium (CPC) by buying out BP’s stake.   Operated by US oil major Chevron, the CPC line delivers Kazakh crude oil to a Russian Black Sea port for shipment overseas. Its other shareholders include BP, Rosneft, Shell, Eni, BG Group and Kazakhstan’s KazMunaiGaz.   The Russians and the Kazakhs want to push out (more…)