Gas prices in Europe are correct after a 3-week high
Dutch and British wholesale prices of gas fell on Thursday amid forecasts for more wind energy generation. This was a correction from the three-week high that they had reached earlier in the day due to supply concerns. LSEG data shows that the benchmark front-month contract for the Dutch TTF hub fell 0.72 euros to 36.86 Euro per megawatt hour at 0952 GMT. According to LSEG data, on Wednesday the contract reached its highest level since September 3 at 38.15 Euro/MWh.
US gasoline margins slump on lackluster summer demand
U.S. gas futures dropped about 3% on Tuesday, reducing their premium over crude to its lowest since November 2023. This was after government data revealed a weaker average demand for gasoline on a 4-week basis.Why it MattersThe U.S. is the largest consumer of gasoline in the entire world. Demand for motor fuel is usually highest between April and September, which is considered summer driving season.Refiners may be forced to reduce production by processing less oil if margins are lower on motor fuels.
Jan De Nul orders Offshore Installation Vessel
Six months after the offshore installation vessel Voltaire, Jan De Nul Group orders Les Alizés, a floating installation crane vessel from the CMHI Haimen shipyard in China.Together with the Voltaire, this new vessel will be in a super-size class of its own, capable of building the newest generation of offshore wind farms. Les Alizés, that will be ready in 2022, is equipped with a crane having a lifting capacity of 5,000 tons and equally impressive lifting heights.
Mitsubishi Beats Shell to Buy Eneco
A group led by Japan's Mitsubishi Corp will buy Eneco in a deal valuing the Dutch energy firm at 4.1 billion euros ($4.52 billion), Eneco said on Monday, beating off rival bids from Shell and private equity firm KKR.Eneco, a company owned by 44 Dutch municipalities and with a strong focus on renewable energy, said it had been swayed by Mitsubishi's plans to allow the company to continue its strategy and retain its corporate identity.The deal…
Commodities Ride Rollercoaster on $100 Oil Talk
Oil highest in over 3 yrs on report Saudis want higher prices; nickel sees biggest jump in 6-1/2 years on sanctions worries. Talk that Saudi Arabia has its sights on $80-$100 a barrel oil again and of more U.S. sanctions on Russia ignited a rally in commodities and resource stocks on Thursday, though the potential boost to inflation hit fixed-income assets. It was set to be the strongest day for the commodity complex in eight months as Brent crude futures climbed past $74 a barrel after a near 3 percent jump overnight.
Vitol Returns for $8 Bln Loan Refinancing
Geneva-headquartered energy and commodities trader Vitol has signed an US$8bn loan refinancing of credit facilities agreed in October 2016, the company announced on Wednesday. The revolving credit facility, which is used for working capital and general corporate purposes, comprises a three-year tranche and a 364-day tranche. The three-year tranche totals over US$7bn. ABN AMRO Bank, Commerzbank, Credit Agricole CIB, HSBC Bank and ING Bank were active bookrunners on the transaction.
Oil and Trump: Russians Full of Optimism in Davos
What a difference a year makes. Twelve months ago, the mood of the Russian delegation at the World Economic Forum in Davos was distinctly gloomy, with oil prices near 12-year lows below $30 per barrel and Western sanctions depressing their economy and financial markets. Since then, however, Russian stock and bond markets have risen about 50 percent, boosted by rebounding oil and - more recently - expectations the new U.S. presidency of Donald Trump will ease the sanctions imposed over Moscow's actions in Ukraine.
Gunvor Signs $1.67bn Loan Refinancing
Swiss oil and energy trader Gunvor Group has signed a $1.67 billion revolving credit facility to refinance a US$1.15bn facility from November 2015 and a US$85m facility from November 2014, the company announced on Thursday. The financing, which represents a 30 percent increase in total available facilities, will be used for general corporate purposes and working capital requirements. The loan, which is available for Gunvor International BV and Gunvor SA…
Gunvor Group Closes $725m Borrowing Base Facility
Swiss oil and energy trader Gunvor Group has closed a $725m borrowing base facility to support its Dutch operations, the company said in a statement. The facility, launched by subsidiary Gunvor SA and Gunvor Belgium NV, will provide working capital for the company's refining activities in the Amsterdam-Rotterdam-Antwerp region. The 364-day facility launched at US$700m and was oversubscribed at US$805m, before being scaled back to US$725m. Thirteen banks participated in the deal.
LPC-Vitol Signs $8bn Loan Refinancing
Geneva-headquartered energy trader Vitol has signed an US$8bn loan refinancing of credit facilities agreed in October 2015, the company announced on Wednesday. The transaction includes a 12-month maturity extension to the company's existing US$7.076bn three-year revolver. The company's existing US$924.2bn 364-day revolving credit facility has also been refinanced for the same amount after the facility was increased from the launch amount of US$750m. The loan was launched into syndication on August 22 and supported by a total of 55 banks.
DONG Energy Shares Jump after European IPO
Shares in DONG Energy jumped more than 10 percent on Thursday after the Danish utility and wind farm developer pulled off Europe's biggest stock market flotation this year. Analysts said the strong debut, coupled with a move by shareholders in E.ON to back the German utility's retreat from fossil fuel, showed investors were growing in confidence about the future for renewable energy as technologies improve and governments commit to curbing carbon emissions.
DONG Energy Listing to Value Group at up to $16 Bln
DONG Energy's has set a potential $16 billion price tag on its stock market debut, giving investors a chance to buy into the growth in offshore wind power, but also into a business heavily reliant on government subsidies. State-controlled DONG Energy on Thursday set a price range for its initial public offering at 200 Danish crowns to 255 crowns per share. This would give the group a market value of 83.5 billion to 106.5 billion Danish crowns ($12.6-16.0 billion), potentially making it the Europe's biggest IPO this year.
DONG Energy Set for Europe's Biggest Share Float This Year
Danish wind farm developer DONG Energy, which analysts value as high as $13 billion, said on Thursday it plans to list its shares on the Copenhagen stock exchange this summer. Having built more than a quarter of the world's offshore wind farms, the company is a major player in Britain and Germany and has recently opened offices in the United States and Taiwan to cater for new growth markets. With a potential valuation as high as 85 billion Danish crowns (11.4 billion euros)…
Markets Sense Oil Country Ratings Still Have Further to Fall
Financial markets are betting that Wednesday's mass downgrade of oil producing countries by Standard and Poor's won't be the last and that Saudi Arabia may fall to just above junk status after oil-producers failed to agree on cuts to boost prices. S&P delivered a double-notch downgrade to Saudi Arabia, stripped Bahrain of its 'investment grade' status and cut Brazil, Kazakhstan and Oman as the tumble in oil prices triggered its second co-ordinated cull in a year.
Stocks Battle Back on Oil Rebound
Oil rallies back above $30 a barrel after overnight drop. Markets went on another rollercoaster ride on Tuesday as hopes that big oil producers may start tightening supply drove crude oil prices higher and pulled stocks out of a worldwide dive that included a six-percent plunge in China. European shares were flat and Wall Street was expected to start firmer with the focus on a flurry of data and the first Federal Reserve meeting this year.
Trafigura Launches US$4.275bn Loan Refinancing
Commodity trading house Trafigura has launched syndication of a US$4.275bn multicurrency revolving credit facility to refinance its existing US$5.3bn flagship European facility that was signed in March 2015. The loan comprises a 364-day tranche and a three-year tranche. A London bank meeting will be held on January 20 and the financing is expected to close in late March, the company said on Thursday. Active bookrunners on the facility are Lloyds Bank…
Glencore Launches Loan Refinancing
Global diversified natural resource company Glencore has launched senior syndication of a refinancing of a US$8.45bn, one-year revolving credit facility that it signed in May 2015, banking sources said on Thursday. The facility supports the company's trading activities. A company spokesman confirmed that the refinancing was underway. Normally the company would begin the refinancing process in April, but it has decided to the put the financing in place earlier.
Glencore Slump Spoils Appetite for IPOs
Private trade houses less likely to become asset heavy; Olam, Noble, Glencore experiences urge caution. Two shareholder revolts in the space of six months at listed commodities firms Noble and Glencore have taught their private rivals an unforgettable lesson - think twice before going public or amassing large physical assets. Noble's stock is trading near its lowest since the 2008 global financial crisis and Glencore's touched an all-time low on Tuesday due to plunging commodities prices and earnings.
U.S. Corn Harvest Competes With Oil Transport
The giant corn harvest about to hit full stride in America's Midwest looks set to overwhelm storage and pile up outdoors, grain industry sources said, raising quality issues and making it hard to keep supplies moving. This year's record corn crop of 14.4 billion bushels alone would fill up 60 percent of the country's grain storage of 24 billion bushels. In total, with a record soybean crop too and hefty harvests of other grains including spring wheat, there will be about 20 billion bushels of new crops looking for storage.
