MIDDLE EAST: New large refineries add to bearish pressure on oil prices

(EnergyAsia, December 31 2014, Wednesday) — The Middle East will deal another blow to the world’s crumbling oil markets next year as it starts up giant refineries to boost net exports of products by nearly one million b/d, compared with less than 400,000 b/d last year. According to the International Energy Agency (IEA), the Middle (more…)

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CHINA: Oil stockpiling programme boosted by unexpected crude price collapse

(EnergyAsia, December 30 2014, Tuesday) — As if China needed any encouragement, the near 50% collapse in oil prices since June has greatly aided its crude stockpiling and import programme with desperate suppliers lining up to unload their cargoes at huge discounts. Brent, the benchmark crude that prices much of Asia’s oil imports, is trading (more…)

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MARKETS: EIA slashed forecasts for oil prices, and global demand and supply for 2015

(EnergyAsia, December 29 2014, Monday) — Along with weaker oil prices, the US Energy Information Administration (EIA) has reduced its forecasts for both global oil demand and supply for 2015 in its December report compared with the previous month. The agency expects the world to consume 92.32 million b/d in 2015, down from its November (more…)

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INDONESIA: Foreign partners to help Pertamina expand, upgrade refinery and storage capacities as part of energy reform programme

(EnergyAsia, December 26 2014, Friday) — Indonesia’s two-month-old government has enlisted international energy firms to help state-owned Pertamina expand and upgrade its refining and oil storage facilities to support the country’s long-term economic growth. Early this month, Pertamina signed separate memoranda of understanding with Saudi Aramco, China’s Sinopec and Japan’s JX Nippon Oil & Energy (more…)

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PAPUA NEW GUINEA: Economy faces downside risks despite new LNG export earnings, says IMF

(EnergyAsia, December 24 2014, Wednesday) — Papua New Guinea (PNG)’s economy faces downside risks despite the launch of a new income stream from liquefied natural gas exports (LNG) from last May, said the International Monetary Fund (IMF). PNG’s impoverished economy received a massive boost when an ExxonMobil-led consortium completed the country’s US$19 billion integrated natural (more…)

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CHINA: Wison Engineering takes 10.33% stake in contract to upgrade Venezuela’s Puerto La Cruz refinery

(EnergyAsia, December 23 2014, Tuesday) — China’s Wison Engineering Services Co Ltd said a subsidiary has agreed to take a 10.33% stake in a US$4.837-billion contract to upgrade and expand the ageing 190,000 b/d Puerto La Cruz refinery on the east coast of Venezuela. State energy firm PDVSA had earlier awarded the contract to the (more…)

MARKETS: OPEC boosts outlook for global economy and oil supply, cuts demand growth forecast

(EnergyAsia, December 23 2014, Wednesday) — OPEC’s latest monthly report on the oil markets contains a paradoxical call for faster global economic growth and weaker oil demand. Global supply will continue to grow, putting pressure on prices in 2015, according to the Organisation of Petroleum Exporting Countries’ December report. In mid-December, crude oil prices fell (more…)

MALAYSIA: Petronas, Vopak and Dialog Group to jointly develop oil storage terminal for Pengerang complex

(EnergyAsia, December 22 2014, Monday) — Dutch oil and logistics firm Royal Vopak and two Malaysian firms, state-owned Petronas and listed Dialog Group, have signed a shareholders agreement to jointly develop an oil storage terminal for the planned Pengerang Integrated Complex (PIC) in Malaysia’s Johor state. The terminal, to be developed on a 63.5-hectare plot (more…)

MARKETS: Oil expenditure totaling more than US$900 billion at risk amid forecasts for low prices to continue

(EnergyAsia, December 19 2014, Friday) — As oil prices collapsed to their lowest levels since July 2009, analysts say the industry may have to defer more than US$900 billion in upstream investments, with some US$150 to US$170 billion at risk next year that will threaten the survival of many players around the world. In an (more…)

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AUSTRALIA: Woodside delays US$40 billion Browse LNG decision as it pursues opportunities in Canada

(EnergyAsia, December 18 2014, Thursday) — Woodside Petroleum Limited has delayed its investment decision in the proposed massive US$40 billion Browse liquefied natural gas (LNG) project off the coast of western Australia in favour of new opportunities in Canada. Australia’s second largest oil and gas producer said it is buying a 50% stake in a (more…)

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ASIA: Cheap oil is an opportunity for region’s developing economies to implement reforms, says ADB

(EnergyAsia, December 17 2014, Wednesday) — The weaker outlook for Asia’s developing economies is being offset by a “golden opportunity” to implelemt reforms presented by declining oil prices, said the Asian Development Bank (ADB). In its latest update, the bank said it expects the gross domestic product (GDP) of the region’s 45 economies to grow (more…)

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MARKETS: Brent close to falling below US$60 as EIA forecasts average price of US$68 for 2015

(EnergyAsia, December 16 2014, Tuesday) — Brent crude oil is expected to fall below US$60 a barrel for the first time since May 2009 as the UAE and Iran warn it could slump to US$40. The North Sea benchmark crude was trading just above US$60 a barrel during the New York trading day Monday while (more…)

SAUDI ARABIA: Aramco, ExxonMobil completes clean fuels project at Yanbu refinery

(EnergyAsia, December 16 2014, Tuesday) — Saudi Aramco Mobil Refinery Company Limited (SAMREF), an equal joint venture of state-owned Saudi Aramco and ExxonMobil, has completed construction of major desulphurisation facilities including a new hydrotreater at their 400,000 b/d Yanbu oil refinery to drastically cut sulphur levels in gasoline and diesel.SAMREF, which was established in 1984, (more…)

ANGOLA: Chinese, Korean and French boost to support national goal to produce two million b/d by 2016

(EnergyAsia, December 15 2014, Monday) — With the extra combined push from Chinese financing, French upstream expertise and South Korean shipbuilding, Angola is on course to becoming Africa’s largest oil producer with a two million b/d output target by 2017. State-owned Angolan Oil Company or Sonangol last week secured a US$2 billion credit from the (more…)

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MALAYSIA: Petronas on course to start-up 1.2 GW coal-fired power plant in Pengerang by 2017

(EnergyAsia, December 11 2014, Thursday) — Malaysia’s state-owned energy firm, Petronas, expects to start up a 1.22-gigawatt coal-fired power plant by 2017 to supply electricity to a proposed oil refinery-petrochemical complex under construction in Johor state. Work is well underway on the combined heat and power plant among six projects being planned for the Pengerang (more…)

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AUSTRALIA: BG Group to sell pipeline subsidiary to APA Group for US$5 billion

(EnergyAsia, December 10 2014, Wednesday) — BG Group plc, a world leading UK-based upstream and liquefied natural gas (LNG) company, said it has agreed to sell its wholly-owned Australian subsidiary QCLNG Pipeline Pty Ltd for US$5 billion as part of its divestment of non-core assets. The buyer, APA Group, owns and operates Australia’s largest gas (more…)

CHINA: World’s first FLNG facility undocked at Nantong shipyard, say partners

(EnergyAsia, December 9 2014, Tuesday) — The world’s first floating liquefied natural gas (FLNG) plant has undocked at a Chinese shipyard, said China’s Wison Offshore & Marine and US Black & Veatch which collaborated to build the project for their client EXMAR, a Belgium-based shipping firm. The companies celebrated the undocking of the Caribbean FLNG (more…)

INDIA: GAIL signs up WGL to supply natural gas for liquefaction at Maryland LNG terminal in the US

EnergyAsia, December 8 2014, Monday) — US-based WGL Midstream Inc has agreed to supply natural gas to the local subsidiary of state-owned GAIL India Limited for the production of 2.5 million tonnes/year of liquefied natural gas (LNG) from the export-oriented Cove Point terminal now under construction in Maryland state. WGL Holdings, a Washington DC clean (more…)

COMPANY: Oiltanking appoints Verniers and Vos as managing directors

(EnergyAsia, December 5 2014, Friday) — German oil, chemicals and gas storage company Oiltanking GmbH has named Koen Verniers to lead the company’s eastern operations while Daan Vos will have responsibility for the western half from January 1. Koen Verniers, currently acting as President of Oiltanking Asia Pacific Pte Ltd, will be managing director for (more…)

MALAYSIA: Petronas under pressure to cancel Canadian LNG project

(EnergyAsia, December 4 2014, Thursday) — With oil prices at a five-year low and falling, Malaysia’s state energy firm Petronas is under financial and domestic political pressure to delay either the final investment decision (FID) or the project start-up date, or both, of its proposed liquefied natural gas (LNG) plant in Canada’s British Columbia (BC) (more…)

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MARKETS: Saudi’s ‘nuclear’ solution to wipe out competition could set stage for much higher oil prices

(EnergyAsia, December 3 2014, Wednesday) — As panic grips oil and gas producers spooked by crude prices plunging to five-year lows, traders are  focused on how much lower the markets can go. US$100 is suddenly a distant memory while talk of US$150 oil has been consigned to unfounded fears associated with the Islamic State’s (ISIS) (more…)

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INDONESIA: Adaro Energy and Shenhua to develop coal-fired power plant in East Kalimantan

(EnergyAsia, December 2 2014, Tuesday) — Indonesia’s Adaro Energy said it and China’s Shenhua have signed a memorandum of understanding (MOU) to develop a 2x300MW coal-fired power plant in East Kalimantan. The project represents the Indonesian coal miner’s first venture into the power industry. Through their subsidiaries, the two companies will establish a joint venture (more…)

MARKETS: Prices seen falling further after OPEC decides to retain current production

(EnergAsia, December 1 2014, Monday) — Oil prices are hovering at a five-year low after OPEC announced the retention of its current production ceiling of 30 million b/d through to its next meeting in 2015. Following the end of the cartel’s bi-annual meeting in Vienna last week, US WTI crude futures settled at US$66.15 a (more…)