EIA: US Crude, Gasoline Inventories Rise
U.S. crude oil and gasoline inventories last week rose more than forecast, while distillate stockpiles posted a larger-than-expected draw, the Energy Information Administration said on Wednesday.Crude inventories rose by 545,000 barrels to 430.3 million barrels in the week ended Nov. 15, the EIA said, compared with analysts' expectations in a Reuters poll for a 138,000-barrel rise.Crude stocks at the Cushing, Oklahoma, delivery hub fell by 140,000 barrels in the week, the EIA said. Net U.S. crude imports rose last week by 237…
Palm declines due to Dalian palm's weakness
The price of Malaysian palm oil futures fell on Monday due to the weakness of Dalian palm oil. At midday, the benchmark palm oil contract on Bursa Malaysia's Derivatives exchange for February delivery fell 71 ringgit or 1.41% to 4,982 Ringgit ($1,115.79). The previous session saw a 2.5% increase in the contract. A Kuala Lumpur based trader explained that the weakness in the palm market is due to spread adjustments against Dalian's Palm Olein. Dalian's palm oil contract, which is the most active contract in Dalian, fell by 0.84% while soyoil prices dropped by 1.35%.
Storage broker: Global IT outage of July caused California fuel storage problems
Storage broker The Tank Tiger said this week that the CrowdStrike IT failure last month, which grounded scores of flights, created new problems in California's fuel markets. U.S. traders were forced to store jet fuel bound for California on waterborne tanks, forcing them to store fuel for California on tankers. The Californian policies to end fossil fuel use have made it difficult to set up new oil and gas pipelines. The Tank Tiger, a clearinghouse for terminal storage in the United States, said that there was no space in California to store petroleum products. California is a major oil trading hub on the U.S.
Sources say that the Philippines' largest oil import storage company is seeking a strategic investor.
Two people familiar with the matter have confirmed that the owners of Philippine Tank Storage International want to bring in a strategic investor for the company, which runs the largest petroleum import storage facility of the country. One person said that Singapore's Keppel infrastructure Trust and the Philippine conglomerate Metro Pacific Investments Corp. (MPIC) were weighing a deal which could value the asset up to $500,000,000. Keppel Infrastructure Trust declined to comment. MPIC declined to comment.
Key China Energy Indicators to Track for the Rest of 2024
Slower consumption in China spurred the Organization of the Petroleum Exporting Countries (OPEC) to cut estimates for global oil demand growth this week, highlighting the vital role that the world's second largest economy plays in energy markets.Yet overall electricity generation in China climbed to new highs in the first half of 2024 - indicating robust use by households and factories - and imports of liquefied natural gas (LNG) rose 10% to the highest in three years.The country's ongoing efforts…
Survival of the fittest: petrochemical manufacturers battle global glut
The survival mode of petrochemical producers is on in Europe and Asia. Years of capacity building in China, the top market for petrochemicals, and high energy prices in Europe have pushed margins down two years in a row. The weakness of the sector is concerning for an oil industry that looks to petrochemicals as a way to maintain profits in future years when transportation fuel demand will fall with the energy shift. Industry executives and analysts report that major producers in Asia, Europe…
Heavy Lift Ships Start Moving Refinery Upgrading Cargo
The Jumbo-SAL-Alliance (JSA) commenced its scope of work in the Basrah Refinery Upgrading Project for JGC Corporation, when Jumbo Javelin loaded the first of 19 transports at Dahej India.In total, the project will see the Jumbo-SAL-Alliance undertake the transportation of 450,000 frts of cargo. Jumbo Kinetic, with two 1,500 t cranes, and SAL Heavy Lift’s MV Svenja, with two 1,000 t cranes will be dedicated to the project for the duration.The two vessels, with deadweight tonnage of 14,000 t and 12…
Saudi Aramco's Profit Plunges, Sees Signs of Recovery
State oil giant Saudi Aramco's profit plunged 73% in the second quarter of the year, as a slump in energy demand and prices due to the coronavirus crisis hit sales at the world's biggest oil exporter.But the company stuck with plans to pay $75 billion in dividends this year and CEO Amin Nasser said global oil demand was recovering.All major oil companies have taken a hit in the second quarter as lockdowns to contain the coronavirus limited travel, which reduced oil consumption and sent prices tumbling to levels not seen in nearly two decades.Aramco…
Petronas Braces for Severe 2020 Hit. 1Q Profit Down 68%
Malaysian state oil firm Petronas posted a 68% slump in first-quarter profit on Friday and said it would cut capital expenditure and operating expenses as it braces for a big hit to its full-year performance due to the coronavirus pandemic.Petronas pointed to "unprecedented" market conditions resulting from a combination of severe demand destruction from the pandemic and a global oil market glut."The Board expects the overall financial year performance will be significantly affected by these factors," it said in a statement.The firm said although it continued to invest domestically, it anticipates supply chain co
Japan's JXTG to Spend $14B on Low-Carbon Transformation
JXTG Holdings Inc, Japan's biggest oil refiner, said on Wednesday it will spend 1.5 trillion yen ($14 billion) for the next three years to drive its transformation into a supplier of low-carbon energy and materials.The planned spending, mapped out under a new medium-term business plan through end-March 2023, is a 44% jump from the 1.04 trillion yen spent in the past 3 years.The fund will be used to strengthen its business in renewable energy, electronic materials and petrochemicals, JXTG Holdings…
The Numbers Tell the Story of Oil Industry Crisis
Global oil producers and refiners are struggling with a series of unprecedented dislocations as the simultaneous epidemic and volume war between Saudi Arabia and Russia rip through every element of the supply chain.Some idea of the extraordinary speed and scale of the disruptions was evident in the "Weekly Petroleum Status Report" published by the U.S. Energy Information Administration on Wednesday.The United States is the world's largest oil consumer and producer, though it is not entirely representative…
Japan's Oil Refiners Keep Running Even as Coronavirus Curbs Fuel Sales
Sales of petroleum products are slumping in Japan as the coronavirus outbreak worsens in the world's fourth-biggest importer of crude, but the country's biggest refiners say they are not planning to cut production.Oil product sales, including gasoline and jet fuel, slumped more than a quarter last week, the most recent period for which figures are available. Jet fuel sales sunk nearly 80% as Japanese and global airlines cancelled flights to China and other destinations.The coronavirus outbreak that started in China late last year is spreading across the world at an increasing rate…
IOC Sells IMO2020-Compliant Marine Fuel in India
State-owned Indian Oil Corp (IOC) said it has commenced delivery of Low Sulfur Furnace Oil (LSFO) for ships that is compliant with International Maritime Organisation's (IMO) mandate.The largest commercial oil company in India said in a press release that it commenced deliveries of LSFO with 0.5 per cent sulfur as marine fuel at ports in the country.The first such supply was made on 26th October 2019 to the LPG tanker Berlian Ekuator at Kandla port.ICO has made available LSFO 0.5% S grade marine fuel for immediate deliveries at Kandla and Kochi ports.
"Green" Ammonia's Future as a Marine Fuel
Ammonia, the same pungent solution used in fertilizers and cleaning agents, may one day be the key to transporting renewable energy around the world. There are currently a number of government and corporate projects assessing the feasibility of converting excess renewable energy from sources like wind, solar, tidal and nuclear into ammonia and then back into usable energy.In its purist form, ammonia or NH3 is composed of one nitrogen and three hydrogen atoms making it an ideal candidate to chemically bind excess renewable energy.
Petronas Q2 Profit Rises 8%
Malaysia's state-owned energy firm Petroliam Nasional Bhd reported an 8% increase in second-quarter profit on Friday because of a weaker Malaysian ringgit, though that was partially offset by higher product costs.Petronas, as the company is known, said profit after tax for April-June rose to 14.7 billion ringgit, up from 13.6 billion ringgit ($3.25 billion) in the same period a year earlier.Revenue at the firm decreased marginally to 59.1 billion ringgit from 59.2 billion ringgit, mainly due to lower average realized prices for petroleum products and liquefied natural gas.($1 = 4.1790 ringgit)(Reporting by Rozann
Parkland Acquires Tropic Oil Company
Calgary-based fuel and lubricant business firm Parkland Fuel Corp. announced that it is acquiring all of the issued and outstanding equity interests of U.S.-based Tropic Oil Co. Inc., as well as equity interests and the assets of certain of its affiliates.Parkland said the acquisition will be funded out of cash flow from operations and existing credit facility capacity.Parkland is one of North America and the Caribbean’s fastest growing independent suppliers and marketers of fuel and petroleum products.Tropic Oil…
Kinder Morgan Invest $170Mln in Houston Ship Channel
Houston pipeline operator Kinder Morgan (KMI) plans to invest $170 million in various expansion projects along the Houston Ship Channel.The investment will increase efficiency, add product liquidity, and enhance blending capabilities at its Pasadena and Galena Park terminals, part of its best-in-class refined products storage hub on the Houston Ship Channel, said the energy infrastructure company in North America.In response to growing customer demand, KMI’s liquids terminal platform now boasts 10 ship docks…
Suez Canal Accounts for 8% of LNG Trade
Total oil flows through the Suez Canal and the SUMED pipeline accounted for about 9% of total seaborne traded petroleum in 2017, and LNG flows through the Suez Canal and the SUMED pipeline accounted for about 8% of global LNG trade."The Suez Canal and the SUMED Pipeline are strategic routes for Persian Gulf crude oil, petroleum products, and LNG shipments to Europe and North America," U.S. Energy Information Administration (EIA) said.Located in Egypt, the Suez Canal connects the Red Sea with the Mediterranean Sea…
IMO2020: The Rise of Bulk Liquid Hydrogen in Norway
Imagine a power distribution network where excess renewable energy from hydropower, wind, solar, and nuclear energy is converted to hydrogen and used as transportation fuel in the maritime industry. With the allure of a zero emissions fuel, a number of ship owners are starting to seriously consider hydrogen for newly built vessels. As a bold first step, the country of Norway has provided a number of grants to leading maritime companies to conduct feasibility studies into various aspects of this emerging technology sector.
Venezuela Sells Oil to Tiny Turkish Firm
With U.S. sanctions blocking Venezuela from selling oil to the United States, state-owned energy firm PDVSA has turned to several little-known buyers that include a tiny Turkish company with no refineries but ties to President Nicolas Maduro's government, according to internal documents and a PDVSA source.Until recently, some of the world's largest petroleum and refining firms, including U.S. companies Chevron and Valero Energy, lined up to take Venezuelan oil cargoes and PDVSA had a rigorous vetting process to ensure potential buyers had the capacity to pay.But U.S.
