Palm oil climbs as rival oils firmer and output concerns increase.
Malaysian palm futures prices rose on Wednesday due to stronger edible oils from rival producers and concerns about production. Increased buying in anticipation of an industry conference was also supportive. At midday, the benchmark May palm oil contract on Bursa Derivatives Exchange rose 82 ringgit or 1.82% to 4,586 Ringgit ($1,032.65) per metric ton. The contract dropped 0.84% on Monday. Paramalingam Supramaniam is the director of Selangor brokerage Pelindung Bestari. He said that the palm oil market has a positive trajectory, in sync with the growth in Dalian and Chicago.
Export data and concerns about higher Indian duties are cited as reasons for the decline in palm oil.
Malaysian palm futures fell on Monday as the market was pressured by lower estimates of palm oil exports in the first two week's of February, and India raising import taxes for vegetable oils. At the midday break, the benchmark palm oil contract on Bursa Derivatives exchange for May delivery fell 14 ringgit (0.31%) to 4,485 Ringgit ($1,013.10) per metric ton. The contract increased by 0.83% during the previous session. Anilkumar bagani, head of commodity research at Mumbai's Sunvin Group, explained…
Indonesia is expected to complete the full implementation of B40 Biodiesel by March
Eniya Listeiani Dewi, an official with the energy ministry, said that Indonesia is expecting its B40 Biodiesel Programme, which aims to reduce its dependence on diesel fuel imported from abroad, to be fully implemented next month, after initial delays. She stated that distribution of palm oil-based Biodiesel in this year had reached approximately 1.2 million Kilolitres by Friday. Indonesia planned to introduce the mandatory B40 blend, which contains 40% palm oil fuel, on January 1, but regulatory issues caused some delays. Fuel distributors received until the end February to transition.
The IEA reports that Russia's oil exports increased to $15.8 Billion in January.
The International Energy Agency reported on Thursday that Russia's commercial revenue from crude oil and oil product sales in January increased by $900 millions from December, to $15.8 Billion, due to the higher oil prices, and stable export volume, despite sanctions. Early January, the United States announced their most comprehensive sanctions to date against Russian oil companies as well as tankers transporting Russian oil in response to Moscow's conflict with Ukraine. Some sanctions will take effect in late February or March. Donald Trump, the U.S. president, also pledged to exert maximum pressure on Iran.
OPEC and Saudi Arabia spare oil production capacity
A U.S. official stated on Tuesday that U.S. president Donald Trump would restore his "maximum-pressure" campaign against Iran and bring its oil exports down to zero. This would increase oil prices, and force others to pump even more. Saudi Arabia, the United Arab Emirates and Iraq, along with other members of the Organization of the Petroleum Exporting Countries (OPEC), hold the majority of the world's spare production capacity. This is the idle oil that can be turned on in the event of a war or natural disaster. How much is there?
Petrobras Q4 total production down 10.5%; sales and exports are also down
Petrobras, the state-owned oil company in Brazil, reported a 10.5% drop in its fourth-quarter total oil and gas production compared to a year ago. Sales and exports were also down. Petrobras, Latin America’s largest oil company, reported a total oil and natural gas production of 2,63 million barrels equivalents per day (boed), for the three months ending in December. Total sales of oil and gas, as well as derivatives, were down around 8% compared to a year ago, with 2.83 million barrels a day (bpd). In the same time period, oil production by the firm in Brazil dropped 11.5% to 2,09 bpd.
Trump calls for OPEC price reductions
The oil prices dropped more than 1% Monday, after U.S. president Trump asked OPEC for a price reduction following his announcement of sweeping measures to increase U.S. gas and oil production in his first weeks in office. Brent crude futures fell 87 cents or 1.11% to $77.63 per barrel at 0043 GMT, after closing up 21 cents Friday. U.S. West Texas Intermediate Crude was $73.77 per barrel, down by 89 cents or 1.19%. Trump reiterated on Friday his call to the Organization of the Petroleum Exporting Countries (OPEC) to reduce oil prices in order to harm oil-rich Russia and bring an end the war in Ukraine.
The oil price is dropping on the plan to increase US oil production, and the tariffs are being re-instated
Oil prices fell in Asian trading Tuesday, after President Donald Trump announced his plan to increase U.S. production of oil and natural gas and delayed the application of new tariffs. Brent crude futures fell 11 cents or 0.14% to $80.04 a barrel at 0156 GMT. The West Texas Intermediate crude contract for March, the most active one on the market, fell 67 cents from Friday's closing price to $76.72 per barrel. Due to a holiday, there was no settlement on the U.S. oil market for January 20. The contract for February expires Tuesday. Donald Trump announced plans to increase U.S. production of oil and natural gas.
Finland: Russia's Baltic oil exports have fallen 10% following EU sanctions
The Finnish Border Guard reported that the Russian oil exports via the Baltic Sea dropped by 10% in the final four months of 2024 as the EU sanctions on Russian oil and gas were implemented. Baltic Sea nations have been put on high alert following disruptions in power cables, gas pipelines, and telecom links since Russia's full scale invasion of Ukraine 2022. Some of these disruptions are linked to tanker activities. Finland's Coast Guard is also monitoring the shadow fleet used by Russia to export oil through the Gulf of Finland.
BOC Manager: Iraq signs deal with Halliburton for development of Nahr Bin Omar Oilfield
The Basra Oil Company's (BOC) head said that Iraq and U.S. oil service firm Halliburton were close to signing an agreement for the development of the Nahr Bin Omar Oilfield. Bassem Abdul Karim said that Halliburton and the Iraqi oil ministry are expected to sign an agreement of confidentiality in the next few days. Iraq will then provide Halliburton data about the Nahr Bin Omar fields and their installations. Abdul Karim, who did not give a specific timeline, said that Halliburton would help Iraq increase production in the field up to 300,000 barrels a day (bpd). The field produces around 50,000 barrels per day.
Document shows that ten EU countries have called for sanctions against Russian LNG and gas
A document obtained by revealed that ten European Union nations have asked the 27-nation group to ban the imports of gas from Russia. This comes as Europe is debating new sanctions against Moscow for its war in Ukraine. The EU is currently preparing its 16th set of sanctions against Russia's economic system, in advance of the third anniversary Moscow's invasion of Ukraine on a large scale. This will take place in February 2022. The 10 countries include the Czech Republic as well as Denmark, Estonia, and Finland. They want Europe to do more to target Russia's oil exports to reduce the revenue flowing to Moscow.
Palm ends stronger on soyoil at Dalian, Chicago
Malaysian palm futures closed higher Monday, following the strength of rival soyoil markets in Dalian and Chicago. The benchmark contract for palm oil delivery in March on the Bursa Derivatives Exchange increased 113 ringgit or 2.57% to 4,504 Ringgit ($999.11). A Kuala Lumpur trader stated that the market today is monitoring external performance of Dalian soyoil and Chicago soyoil. Dalian's palm oil contract grew by 3.16%, while the most active soyoil contract grew by 2.81%. Chicago Board of Trade soyoil prices were up by 0.35%.
Palm gains strength over soyoil at Dalian, Chicago
Malaysian palm oils futures continued to rise on Monday, following the strength of rival soyoil in Dalian and Chicago. By midday, the benchmark contract for palm oil delivery in March on the Bursa Derivatives exchange rose by 93 ringgit or 2.12% to $4,484 ringgit (US$994.90) per metric ton. A Kuala Lumpur trader stated that the market today is monitoring external performance of Dalian soyoil and Chicago soyoil. Dalian's palm oil contract also rose by 2.43%, while the most active soyoil contract increased by 2.44%. Chicago Board of Trade soyoil prices rose 1.1%.
Palm surges by more than 2% and logs a weekly gain
Malaysian palm futures closed Friday more than 2% above the previous week's closing price, as soyoil prices in Chicago rose. The benchmark contract for palm oil delivery in March on the Bursa Derivatives Exchange, Bursa Malaysia, rose by 97 ringgit or 2.26% to $4,393 ringgit (US$977.74) per metric ton, at the close. This week, the contract rose by 0.57%. Anilkumar bagani, the head of research for Mumbai-based Sunvin Group's vegetable oil broker, said that crude palm oil futures traded higher today on the back a strong recovery overnight in Chicago soyoil.
Palm fell due to export concerns and Indonesia's biodiesel plan
Malaysian palm futures fell on Wednesday due to concerns over export demand and the uncertainty surrounding Indonesia's biodiesel mandate. At the close, the benchmark March palm oil contract on Bursa Derivatives Exchange fell 9 ringgit or 0.21% to 4,356 Ringgit ($968.00). The contract gained 0.62% during the previous session. A Kuala Lumpur based trader said that the price of crude palm oil has dropped as export worries continue to plague the market. The data on palm oil exports from Malaysia for the period Jan. 1-10 will be released Friday.
Palm slips due to export concerns and Indonesia's biodiesel plan
Malaysian palm futures declined on Wednesday, reversing gains made earlier, due to concerns over export demand and the uncertainty surrounding Indonesia's mandate for biodiesel. At midday, the benchmark March palm oil contract on the Bursa Derivatives Exchange fell 32 ringgit or 0.73% to 4,333 Ringgit ($963.53) per metric ton. A Kuala Lumpur based trader said that the price of crude palm oil has dropped as export worries continue to plague the market. The data on palm oil exports from Malaysia for the period Jan. 1-10 will be released Friday.
US Storm, Weaker Dollar Push Oil to 12-week High
Oil prices edged up to a 12-week high on Monday as a winter storm boosted demand for energy to heat U.S. homes and businesses, and on support from a weaker U.S. dollar and expectations of tighter sanctions on Iranian and Russian oil exports.Brent futures rose 27 cents, or 0.4%, to $76.78 a barrel by 11:33 a.m. EST (1633 GMT), while U.S. West Texas Intermediate crude rose 27 cents, or 0.4%, to $74.23.Both crude benchmarks gained for a sixth-straight day with Brent on track for its highest close since Oct. 14 and WTI on track for its highest close since Oct.
Palm slips due to poor demand in India
The price of Malaysian palm oil futures fell on Monday due to weak demand in India, a key destination market. At the close, the benchmark March palm oil contract on Bursa Derivatives Exchange fell 26 ringgit (0.6%), to 4,342 Ringgit ($963.18) per metric ton. The contract increased by 0.81% during the previous session. A Kuala Lumpur based trader stated that the weakness in the palm market was due to concerns about exports. According to Intertek Testing Services, a cargo surveyor and AmSpec Agri Malaysia…
PDVSA 2024 Oil Exports Climb in Choppy Year
Venezuela's oil exports rose 10.5% last year despite political instability and changes to the U.S. sanctions regime on the country, as partners of state oil company PDVSA took more cargoes under licenses granted by Washington.As President Nicolas Maduro gets ready to start his third term in office next week following disputed election results, the OPEC country's oil exports rose for a second consecutive year, providing revenue to contribute to economic growth.U.S.-sanctioned PDVSA PDVSA.UL and its joint ventures exported an average of 772…
Indonesian companies have one-and-a half months to introduce the new B40 biodiesel blend
Yuliot Tajung, deputy minister of energy and mineral resources in Indonesia, told reporters Friday that Indonesian companies would have a transition period of one and a half months to meet the B40 biodiesel requirements. The industry is still waiting on technical regulations. The largest palm oil exporter in the world currently mandates a biodiesel blend of 35%. Yuliot stated that the transition period began on January 1. The market participants are awaiting the official decree that details the amount of biodiesel Indonesia will allocate fuel retailers in order to gauge the impact on palm oil exports.
