SHANGHAI (AFX-ASIA) – Shanghai Electric Power Co Ltd’s 1.353 billion yuan initial public offering will likely attract strong investor interest on expectations of high profitability, defensive earnings and its quick expansion in Shanghai, analysts said. (US$1=8.27 yuan). Shanghai Electric Power offered 240 million IPO A-shares at 5.80 yuan each on Oct 14 to fund investment...

MANILA (AFX-ASIA) – PNOC Exploration Corp, a unit of state-owned Philippine National Oil Co, said the sale of its 10% stake in the US$4.5-billion Malampaya natural gas project is now “in progress.” It advised parties interested in acquiring the equity to execute a confidentiality agreement with the company to access data relevant to the participating...

Japan hopes the Russian government will decide by December whether it will choose China or Japan as the primary buyer of Siberian oil, according to Assistant Deputy Chief Cabinet Secretary Shotaro Yachi. That is when Russian Prime Minister Mikhail Kasyanov is scheduled to visit Japan, said the Japan Times. According to the report, Mr Yachi...

Malaysia’s Scomi Group Bhd and Crest Petroleum Bhd will form a joint-venture company to provide marine vessel transportation services to the oil and gas industry. In separate statements, the two companies said the joint venture company will have a paid-up capital of RM100,000. (US$1=RM3.8). The 60/40 venture with Scomi as the majority stakeholder will allow...

Jet fuel supplies at Sydney Airport have returned to normal, following the arrival of two overseas shipments, said the company in charge of fuel supply to the airport. Joint User Hydrant Installation (JUHI) said it worked round the clock to restore normal supply. Supply disruption started late last month, forcing many flight cancellations. JUHI said:...

Qatar is planning to buy a large but unspecified number of liquid natural gas (LNG) carriers from South Korean shipyards by 2010, Qatar’s energy minister told Yonhap news agency early this week. Abdullah bin Hamad al-Attiyah, also the president of the Organisation of Petroleum Exporting Countries (OPEC), said Qatar will soon place an order for...

(INFRALINE) — India will be hit by a glut of oil products in the coming years due to excess refining capacity. This would force domestic oil firms to increase exports and shelf new projects. The 10.5 million tonne/year Essar refinery at Vadinar is expected to be commissioned by the end of 2004. Expansion projects have...

HONG KONG (AFX-ASIA) – Xinao Gas Holdings Ltd (2688.HK) said it has secured exclusive right to operate a piped gas business in Kaifeng City in China’s Henan Province. It has signed a joint venture agreement with Kaifeng City Development Investment Co Ltd to set up a Sino-foreign joint venture, named Kaifeng Xinao Gas Co Ltd,...

Varia Perdana, a joint venture between Smedvig and Crest Petroleum, has entered into agreements to acquire two tender rigs, T-9 and Teknik Berkat at a cost of US$ 95 million. Smedvig has a 49% ownership share in Varia Perdana, which owns the tender rigs T-2, T-3 and T-6. According to a Smedvig statement, T-9 is...

Hong Kong-listed Xinao Gas Holdings Limited said it has secured the exclusive right to operate piped gas business in Kaifeng City in China’s Henan Province. Through wholly-owned subsidiary Xinao Henan Investment Limited, the group has entered into an agreement with Kaifeng City Development Investment Company Limited to set up a joint venture, Kaifeng Xinao Gas...

Japan’s Marubeni Corporation and Nasdaq-listed FuelCell Energy, Inc have announced the siting of a Direct FuelCell(R) (DFC(R)) power plant at Japan Petroleum Exploration Co., Ltd. (JAPEX) facilities near Nagaoka City. Marubeni, FuelCell Energy’s Asian partner, will supply a 250-kilowatt DFC300A power plant to JAPEX’s Katakai natural gas gathering station located in the Niigata Prefecture sometime...

MOSCOW (AFX) – The Russian government would welcome ExxonMobil Corp taking a significant stake in OAO Yukos, even a controlling one, said Energy Minister Igor Yusufov. Asked if the authorities would object if Yukos sold more than 50% of its shares to ExxonMobil, Yusufov told journalist that this would not pose a problem. “We are...

MANILA (AFX-ASIA) – PNOC Exploration Corp, a unit of state-owned Philippine National Oil Co, said it is open to allowing First Gas Power Corp to take a stake in its US$100 million natural gas pipeline project. PNOC-EC, which the Energy Department has mandated to lead the construction of the pipeline to carry Malampaya natural gas...

MANILA (AFX-ASIA) – Oil refiner Petron Corp said it has signed engineering, procurement and contraction (EPC) contracts for two refinery units that will enhance its compliance with the stringent petroleum product requirements under the Clean Air Act. The contracts are worth around US$63 million. In a disclosure to the stock exchange, Petron said it signed...

Malaysia’s state oil and gas company Petronas and British major BP Plc have pulled out from the idled US$330 million Bataan Polyethylene Corp (BPC) in the Philippines, said Malaysian news reports. With Petronas and BP each holding a 38.5% stake in BPC, their withdrawal effectively deals the venture a death blow. The other shareholders are...

ALMATY, Kazakhstan (AFX) – Production at Kazakhstan’s Tengizchevroil field could increase to 1 million barrels of oil per day in 2012, from about 300,000 barrels currently, according to Guy Hollingsworth, regional director of ChevronTexaco, which has a 50% stake in the field. He said ChevronTexaco is also looking at offshore investments in the Caspian Sea...

China’s CNOOC Limited said that it and its foreign partners have started commercial production from oilfield PY 4-2/5-1 in eastern South China Sea. The field has a peak production capacity of 60,000 barrels of oil per day and is expected to ramp up to that level the third quarter of 2004. PY 4-2/5-1 is located...

SHANGHAI (AFX-ASIA) – China Huadian Group plans to launch the domestic A-share listing of Shandong International Power Development Co (HK 1071) by the end of this year to raise capital for the construction of new power plants, the China Securities Journal reported. The newspaper quoted the company’s president He Gong as saying that Shandong International...

BEIJING (AFX-ASIA) – Shanghai Electric Power Co Ltd said it plans to raise 1.353 billion yuan in a mainland China A-share initial public offering to be launched today to fund investment in several power plants in Shanghai. (US$1=8.27 yuan). The company will sell a total of 240 million shares at 5.80 yuan each, reflecting a...

SHANGHAI (AFX-ASIA) – China National Offshore Oil Corp has confirmed that its general manager Wei Liucheng, also the concurrent chairman and CEO of CNOOC Ltd (HK 0883; NYSE CEO), will soon leave for a government post in China’s southern Hainan province. “Mr Wei will leave our company soon to seek a new appointment in the...

British oil and gas major BP and coal company Rio Tinto Ltd have pulled out of Indonesia, selling their Kaltim Prima Coal joint venture for an estimated US$500 million. The deal with Jakarta-listed PT Bumi Resources was completed late last week, with the sellers splitting the cash price which includes debt. Kaltim Prima is one...

Malaysian engineering company Dialog Group Berhad has entered into an agreement with three companies, Helix RDS Limited, Tekad Ekuiti Sdn Bhd and Matrik Minda Sdn Bhd, to form a joint venture to serve the oil and gas industry. Dialog and Helix RDS will each hold a 30% equity stake in the venture while Tekad Ekuiti...

Standard & Poor’s Ratings Services has raised its long-term foreign currency rating on Malaysia’s national oil and gas company, Petroliam Nasional Berhad (Petronas), to A- from BBB+. In a statement, S&P said he rating was raised in line with Malaysia’s foreign currency sovereign rating, given that Petronas’ ratings are closely aligned with those on the...

NEW DELHI (AFX-ASIA) – India and Venezuela are developing a US$2 billion oilfield in India’s western desert state of Rajasthan, officials of the two countries’ state oil firms said. Exploration firm Oil India Limited (OIL) and Petroleos de Venezuela (PDVSA) have signed a technical assistance agreement to develop the Baghewala field in Rajasthan, S K...

KUALA LUMPUR (AFX-ASIA) Ð Stock researchers have downgraded Scomi and Petra Perdana after their recent sharp run-up in prices on the Kuala Lumpur Stock Exchange. Local brokerage Hwang-DBS Securities Bhd said it is recommending a “sell” on Scomi Group Bhd as the company is currently trading on demanding valuations. In a recent note, the brokerage...