Palm oil to see fifth-week gain due to concerns over production
Malaysian palm futures were up on Friday, and on course for their fifth consecutive weekly gain. This would be the longest winning streak in three years. The market was supported by expectations of a weaker production. By midday, the benchmark contract for palm oil delivery in May on the Bursa Derivatives exchange had gained 58 Ringgit or 1.25% to 4,700 Ringgit ($1,063.83) per metric ton. This week, the contract has increased by 2.47%. David Ng is a proprietary trader with Kuala Lumpur's trading firm Iceberg X Sdn Bhd. He said that the market was trading higher because of expectations for a lower output in Malaysia.
The cold weather in the US boosts diesel prices, but masks economic challenges
Since the beginning of the year, the cold temperatures in the Northeast U.S. have led to an increase in demand for heating oil. This has helped to offset the slowdown in recent years due to reduced industrial activity. The Energy Information Administration (EIA), according to its data, reported that the U.S. inventory of distillate fuels - including diesel and heating oil - fell this month to its lowest seasonal level in 2014. The sharp increase in heating oil consumption is reflected by the decline. According to EIA, the four-week average for distillates products supplied is a proxy measure of demand.
Vopak's profits are unlikely to change much by 2025 as one-offs have a negative impact on the 4th quarter results
Dutch tank storage company Vopak said that it expects to see little difference in its earnings by 2025, despite the fact that strong demand for energy-storage infrastructure is boosting its results. Analysts cited a missed quarterly core profit and a cautious outlook as the reason for the 7% drop in shares of this company that operates terminals and stores fuels and chemicals around world. Vopak reported a negative impact in the fourth quarter of 2024 due to technical problems at one of their LNG terminals located in…
Japan has a plan to make green steel work.
The energy transition is a major challenge, and one of them is decarbonising steel production. This is especially true when consumers around the world are unwilling to pay more money for greener steel products. In order to achieve this, government policies and regulations will likely be used to set prices in a sector that is responsible for 8% of the global carbon emissions. It is a debate about which policies will produce the fastest and best results. Options include subsidising green plants or green steel products, as well as instituting carbon taxation to encourage producers to change their methods of making steel.
Sources say that RPT-Australian Woodside is in talks with three partners about Louisiana LNG.
Multiple sources have confirmed that Woodside Energy is in talks with several potential investors to buy stakes in the Louisiana liquefied gas plant. These include Tokyo Gas, Japan’s JERA, and Saudi Aramco-backed MidOcean Energy. This sale of stakes is a test of market expectations for LNG following Donald Trump's return to the U.S. Presidency. Trump said that trade partners should purchase more U.S. Energy and has issued several executive order in his first week in office to boost domestic oil and natural gas production. Louisiana LNG offers global buyers the opportunity to diversify their supplies and possibly ward off U.S.
Japan has a plan to make green steel work.
The energy transition is a major challenge, and one of them is decarbonising steel production. This is especially true when consumers around the world are unwilling to pay a premium for greener steel products. In order to achieve this, government policies and regulations will likely be used to set prices in a sector that is responsible for 8% of the global carbon emissions. It is a debate about which policies will produce the fastest and best results. Options include subsidising green plants or green steel products, as well as imposing carbon taxes to encourage producers to change their methods of making steel.
Sources: Woodside Australia is in talks with three partners about Louisiana LNG.
Multiple sources have confirmed that Woodside Energy is in talks with several potential investors to buy stakes in the Louisiana liquefied gas plant. These include Tokyo Gas, Japan’s JERA, and Saudi Aramco’s MidOcean Energy. This sale of stakes is a test of market expectations for LNG following Donald Trump's return to the U.S. Presidency. Trump said that trade partners should purchase more U.S. Energy and has issued several executive order in his first week in office to boost domestic oil and natural gas production. Louisiana LNG offers global buyers the opportunity to diversify their supplies and possibly fend of U.S.
Schedule for US Energy Data in the week of February 16
The Presidents Day federal holidays on Monday, February 17, will impact the release schedule for some major energy data that is scheduled to be released in the week of February 16. The schedule below shows the weekly release of the U.S. Petroleum, Oil and Natural Gas Supply and Inventory. API's Weekly Petroleum Stocks Report will be pushed back to Wednesday, Feb. 19th at 4:30 pm EST (2130 GMT). The report is usually released on Tuesday. The EIA will release its weekly report on natural gas stocks as usual, Thursday, February 20, at 10:30 am EST (1530 GMT).
TSX futures flat amid US tariffs uncertainty
The futures linked to Canada's major stock index were tepid on Friday as investors awaited further details about U.S. tariffs. At 6.44 a.m., March futures for the S&P/TSX Index were down 0.03%. ET (1144 GMT). U.S. president Donald Trump has directed his economic team in order to develop plans for reciprocal duties on countries that tax U.S. imported goods, increasing the risk of a trade war between American allies and enemies. This directive was issued on Thursday and begins a potentially long investigation into the tariffs imposed by other countries on U.S. products. It does not impose immediate new tariffs.
Executives say oil refiners are adding renewable feedstocks to produce cleaner fuels.
To meet the global demand for cleaner fuels, oil refiners are increasing efforts to blend in renewable feedstocks like used cooking oils into their crude refining streams. Maurits Van Tol, Chief Executive of Johnson Matthey, a provider of catalyst technologies, stated that the demand for additives and catalysts to remove impurities from feedstocks has increased. He said that in recent years, refineries have been blending some components into biomass feedstocks. Van Tol added that the demand for additives and catalysts has also been boosted by the use of heavy crude oil…
Officials in Malaysia have announced that they will take action against fraud in the export of used cooking oil.
Malaysia's deputy commodities minister said that it would crack down on fraud within the used cooking oil sector, while western governments investigated whether the shipments of biofuels from Asia contained virgin oil. According to Deputy Plantation and Commodities Ministry Chan Foong Hin, the Malaysian Palm Oil Board is revising its policies and standards governing palm industry waste (SPO), also known as used cooking oil. This will help to distinguish between them and prevent discrepancies when exporting. In an interview with The Star on Thursday…
Trump announces that the US will increase its military sales to India and eventually provide F-35 Jets
Donald Trump, the U.S. president, said that the United States would increase its military sales to India beginning in 2025. It will also eventually provide F-35 jet fighters. "We will increase military sales to India many billions dollars." Trump told reporters that we're also clearing the path to eventually provide India with F-35 stealth aircraft. Trump didn't provide a timetable, but it usually takes years to complete foreign military sales. This is especially true for cutting-edge technologies like the stealthy F-35. Trump said that the agreement between India and the United States included India importing more U.S.
TE Connectivity to Acquire Richards Manufacturing
TE Connectivity entered into a definitive agreement to acquire Richards Manufacturing Co. from funds managed by Oaktree Capital Management, L.P. and members of the Bier family, long-standing owners and leaders of the business. The transaction will strengthen TE's position in serving electrical utilities in North America by combining complementary product portfolios and adding the expertise of the Richards team, enabling TE to benefit from strong growth trends in underground electrical networks.Richards is widely recognized as a best-in-class provider of utility grid products and…
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.
Neste Finland to cut 600 jobs due to quarterly profits slumping
Neste, a Finnish biofuel and oil refiner, announced on Thursday that it would cut 600 jobs after its core profit for the fourth quarter fell below expectations. Heikki malinen, CEO of Heikki Group, said that "our current financial performance is not sustainable". The Finnish group has cut its forecast for the margin of sales from renewable fuels three times by 2024 due to the falling prices, which are a result of weak demand and an oversupply. In a poll conducted by the company, analysts estimated that EBITDA for the company in its fourth quarter would be 308 million euro.
EEX gains new members with the addition of more OTC trading
The European Energy Exchange EEX is expecting a strong volume increase in 2025, as more market players join the exchange to hedge renewables or use the clearing functions. This was stated by its CEO at the E-World trade show. Peter Reitz, CEO of the exchange, said that in a recent interview, it had seen a 37% increase in its European power futures volumes in January. These have grown by 63% over 2024. Reitz stated that there are two main drivers for the growth of the exchange: new members, and a shift in market volume from over-the-counter markets (OTC). He noted that increasing digitalisation has led to algorithmic trading.
ChampionX executive: New U.S. tariffs on metals will increase oilfield equipment prices.
A company official told reporters on Tuesday that ChampionX anticipates the new U.S. tariffs on imports of steel and aluminum will increase equipment costs for oilfield services firms. U.S. president Donald Trump increased tariffs on imports of steel and aluminum on Monday, to a flat rate of 25% "without any exceptions or exclusions". He hopes this will help struggling industries in the United States. However, it also risks igniting a multifront trade war. Steve Davoren's Regional Business Development Director, ChampionX, said on the sidelines the India Energy Week Conference that "80% of our revenues are North America.
Palm oil prices rise by more than 2 percent after Malaysian data on palm oil
Malaysian palm futures rose on Monday for the fourth consecutive session, after data released by the industry regulator revealed a drop in stocks. Expectations of improved demand also added to the bullish market sentiment. The benchmark contract for palm oil delivery in April on the Bursa Derivatives Exchange rose 91 ringgit or 2.02% to 4,595 Ringgit ($1,028.65). The Malaysian Palm Oil Board's (MPOB) data showed that Malaysian palm oil stocks dropped more than expected to the lowest level since 21 months in January, despite a drop in exports and an increase in imports, owing to a fall in production.
Malaysia palm oil output resilient despite flood disruption, says MPOB
Malaysian Palm Oil Board said Monday that the country's palm-oil production was resilient, despite recent floods in several states. Ahmad Parveez Ghulam Kadir, MPOB's director general, said that while localised disruptions could occur as a result of temporary waterlogging or harvesting delays the overall impact is expected to be manageable. Malaysian Meteorological Department stated last month that it expected the Northeast Monsoon to last until March. The Northeast Monsoon began on November 5, last year. It warned that heavy rains over a short period of time could lead to flooding in flood-prone and low-lying areas.
Reports say that Malaysia's Petronas will cut jobs in order to survive.
Local media reported that Malaysia's Petronas, the state-owned energy company, will reduce its staff to ensure its survival in the face of increasing challenges within the global operating environment. The Petronas CEO was quoted as saying this. The rationale behind this move is to ensure Petronas' survival in the next decades. According to The Edge, the president and CEO Tengku Taufik TengkuAziz said that if we didn't act now, Petronas would be gone in 10 years. He did not specify how many jobs could be affected. Bernama, the state news agency, carried a similar report from what they said was an editor's briefing.
