Malaysia is able to sustain crude oil output at 700,000 barrels/day despite its depleting domestic reserves as state Petronas is stepping up production from external sources. Speaking to local reporters recently, Petronas president and chief executive officer Mohd Hassan Marican said it has found enough oil overseas to meet the demand of the local market....

HONG KONG (AFX-ASIA) – China Petroleum & Chemical Corp announced the opening of its first gas station in Macau, the Tongwa Gas Station. “Tongwa is the first gas station that is operating under the Sinopec logo overseas,” president Wang Jiming said in a statement. The Tongwa Gas Station is a 49:51 joint venture between Sinopec...

MANILA (AFX-ASIA) – Petron Corp president and chief executive Motassim Al-Ma’ashouq said the company has allocated US$300-400 million to meet new gasoline specifications under the Clean Air Act. The amount is on top of some US$100 million that Petron will spend to upgrade its refining facilities, he said. “We have US$100 million just for the...

Malaysia’s UMW Holdings Bhd, which is looking at acquiring three to four companies to strengthen its oil and gas division, expects to make the first such acquisition within the next 12 months, said managing director Abdul Halim Harun. According to a report in the local Star newspaper, he said: “We are seriously evaluating three to...

In its latest market commentary, the US Department of Energy said cold weather is starting to drive up middle distillates demand for heating use. It reported that cold weather that blanketed the Upper Plains with snow and pumped colder-than-normal temperatures into the Midwest and Northeast regions over the last several weeks is expected to jump...

MANILA (AFX-ASIA) Ð Petron Corp has allocated US$500 million additional investments to comply with gasoline specifications under the Clean Air Act, company president Motassim Al-Ma’ashouq told the Manila Bulletin. Separately, rivals Unioil Petroleum Inc is ready to comply with new specifications for aromatics and benzene in unleaded gasoline under the Clean Air Act by 2003,...

Three Chinese financial institutions will provide up to US$2 billion in financing for a giant petrochemical complex to be built in the Daya Bay Economic and Technical Development zone in Guangdong province, China. The project is a 50/40/10 partnership between Shell Nanhai BV, CNOOC Petrochemicals Investment Ltd., a unit of China National Offshore Oil Corp...

Japan’s Mitsubishi Gas Chemical said it has confirmed producing natural gas in the offshore Higashi Niigata field in Niigata City, Niigata Prefecture. The company drilled a new formation at the depth of 1,150m below sea level. This follows the discovery last year of a natural gas formation at the depth of 1,200m in the MG-38...

Last month’s admission by US energy companies Dynegy and American Electric Power Co that their traders had provided inaccurate data to industry publications has revived the issue of how vulnerable these publications are to price manipulation. Embattled Dynegy of Houston said it had fired six employees and disciplined seven others while AEP had fired five...

SHANGHAI (AFX-ASIA) – Huaneng Group, Shandong International Power Group and Datang Group are among five independent power producers receiving generation assets during the restructuring of the State Power Corp, the China Daily reported, citing the Economic Information Daily. Each of the three groups has an overseas listed entity – Huaneng Power International Inc, Shandong International...

LOS CABOS, Mexico (AFX) – A possible US-led conflict against Iraq could result in lower oil prices if oil traders believed the result would lead to the Bush administration’s goal of regime change for Iraqi President Saddam Hussein, said US Trade Representative Robert Zoellick. “It partly would depend on how people see the outcome of...

State Power Corp has promoted Zhao Xinzheng from vice-president to president to replace Gao Yan. Mr Gao has either been arrested or has disappeared amid allegations of corruption. The South China Morning Post, citing unnamed sources, has reported that Mr Gao has is hiding in a western country....

SYDNEY (AFX-ASIA) – BHP Billiton Ltd/PLC said its first quarter to September oil and condensate production was 18.6 million barrels, down 5% from the year earlier mainly due to scheduled shutdowns at some UK fields and natural field decline at Bass Strait in Australia. In a statement, BHP said these decreases were partially offset by...

Business Optimisation in the Oil & Petrochemical Industry: Invitation to a seminar on 19 November 2002, Taj Coromandel, Chennai, India The petroleum and petrochemical sectors are looking at new ways to cut costs and increase efficiencies and profitability. Faced with rising business cost and aggressive competition, companies need to find ways to innovate and grow....

The Tokyo Gas group has announced Frontier 2007, a new medium-term plan to guide the company from fiscal 2003 to 2007. The plan targets four areas: business model innovation, management structure, strengthening of the corporate culture and expansion of energy-related businesses. The company said its plans for business model innovation and improving the management system...

LONDON (AFX) – Hardman Resources Ltd managing director Ted Ellyard said the increase in gas production from Woodada 19, which flowed at a stabilised rate of approximately 3.4 Tj/day, will have a very significant effect on Hardman’s profitability from the Woodada Field as the group is currently buying up to 3.0 Tj/day from other gas...

In a landmark partnership, Discovery Networks Asia and Caltex have teamed up to present an innovative new series, Crossings. Planned to run over three years, Crossings is an hour-long profile of individuals who have experienced “crossing moments” – events or meetings that were turning points, allowing them to achieve goals and make the most of...

China’s CNOOC and Shell Petrochemicals Company Ltd, a unit of the oil major, agreed last week to proceed with the construction of a US$4.3 billion petrochemicals complex in southern China. Shell said the decision follows the completion of a 20-month definition phase during which the joint venture company finalised basic design engineering packages, completed an...

HONG KONG (AFX-ASIA) – UBS Warburg said it maintains its “strong buy” rating on Huaneng Power International Inc (902.HK), but said it has cut its price target to HK$6.60 from HK$8.80 amid the investment risks in the sector. (US$1=HK%7.87). The investment risks include political developments in the China power sector, lower tariffs, the regulatory environment,...

HONG KONG (AFX-ASIA) – UBS Warburg said it maintains its ‘buy’ rating on CLP Holdings Ltd (2.HK) based on an expected turnaround of its non-scheme of control (SOC) business, high dividend yield and expectations that it mayoffer a cash bonus down the road. UBS Warburg’s target price for the stock is HK$38, equivalent to its...

Malaysia’s manufacturing and transport sectors can absorb this month’s increase in fuel prices, and should not pass the extra cost to their customers, economists interviewed by the local Business Times said. “We should not see any increase in transport fares as it is only a one-sen rise. There is no justification for any increase in...

MANILA (AFX-ASIA) – Manila Electric Co will miss its profitability commitments made to major creditors for the fourth straight year due to delays in winning approval for rate increases, BusinessWorld newspaper quoted Meralco treasurer Rafael Andrada as saying. Meralco creditor including the Asian Development Bank and the World Bank require the company to meet a...

By Khoo Chin Hean * Many of our processes are heavily reliant on IT and precision equipment. This includes not only manufacturing but also commercial processes. Even energy markets can be realised only because of very powerful computing power that has today become economically viable. This means that the use of voltage sensitive equipment has...

Malaysia posted a trade surplus of RM31.2 billion for the first eight months of 2002 despite a drop in the value of its crude export. (US$1=RM3.8). Both exports and imports grew by 3.6% (+RM8.0 billion) and 6.6% (+RM12.4 billion) respectively, said the Malaysian Department of Statistics. Total exports amounted to RM231.5 billion while imports were...

SHANGHAI (AFX-ASIA) – Shenzhen Energy Investment Co Ltd said its board of directors has agreed to dismiss company chairman Lao Derong and remove her from the board. The board is proposing Wang Xuewei, a vice chairman of the company’s parent Shenzhen Energy Group, as a candidate to replace Lao on the board, the company said,...