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.
Zambia Short-lists Five Firms for Majority Stake in Oil Refinery
Zambia has short-listed five companies including Britain's Glencore Energy Ltd. and Sahara Energy Resources Ltd. to buy a majority stake in its only oil refinery, a state-owned firm said on Monday. The government-owned Industrial Development Corporation (IDC) has said it wants a strong strategic equity partner that will improve the production capacity of Indeni Oil Refinery to a level that will meet the nation's future petroleum demand. The IDC said in a statement the short-listed firm will now be asked to submit technical proposals on their bids.
Iran Inches Closer to Gasoline Independence
Iran launches Persian Gulf Star refinery; gasoline imports dropped sharply in recent weeks. Iran has sharply reduced its gasoline imports in recent weeks after starting up a new refinery, trade sources said, bringing the oil-rich country closer to its goal of fuel self-sufficiency. The reduced dependence on imports comes as the future of a landmark 2015 nuclear accord that offered Iran sanctions relief hangs in the balance, with U.S. President Donald Trump threatening to pull out of the deal.
Norway Fund Excludes San Leon Energy
Norway's sovereign wealth fund has excluded London-listed oil and gas explorer San Leon from its portfolio of investments, Norway's central bank said on Friday. The company was excluded on the basis of a recommendation from the fund's ethics council. "The Council recommends the exclusion of San Leon Energy Plc from the Government Pension Fund Global because the company contributes to serious violations of fundamental ethical norms through its onshore hydrocarbon exploration in Western Sahara on behalf of Moroccan authorities…
France to Spend Billions of Euros on African Green Projects
France plans to spend billions of euros in renewable energy and other environmental projects in its former west African colonies and across Africa over the next five years, President Francois Hollande said on Tuesday. Africa produces little of the greenhouse gases such as carbon dioxide, produced by burning fossil fuels, linked by scientists to rapid climate change. But it is particularly vulnerable to a changing climate, as much of its population is poor, rural and dependent on rain-fed agriculture.
Golar and WAGL Ink Ghana FSRU Contract
Golar LNG Limited announced today that it has executed a firm contract to provide West African Gas Limited (WAGL) with floating storage and regasification unit (FSRU) services to support their liquefied natural gas (LNG) import operations in Ghana. WAGL is jointly owned by subsidiaries of the Nigerian National Petroleum Corporation (NNPC) with 60 percent and Sahara Energy Resource Ltd with 40 percent. The joint venture is developing an LNG import project at the port of Tema on the coast of Ghana West Africa with a planned start up in the second quarter of 2016.
Saudi Butanol Co Starts Trial Ops at Jubail Plant
Saudi Butanol Co, a joint venture of local petrochemicals firms, has begun trials of its plant in Jubail and expects commercial operations to start in the first half of 2016. Testing will take between three and six months at the plant, a statement from Sahara Petrochemical Co said on Tuesday. The project is owned by group consisting of Saudi Kayan Petrochemical Co, Sadara Chemical Co (a joint venture between Saudi Aramco and The Dow Chemical Co ) and Saudi Acrylic Acid Co (SAAC). SAAC is an affiliate of Tasnee and Sahara.
Statoil Hopes Algeria Amenas Gas Plant at Full Capacity
Algeria's In Amenas gas plant should be back to full output capacity soon when partners complete work on a third processing train, a senior official at Norwegian oil company Statoil said on Tuesday. Amenas, which once accounted for 11.5 percent of the OPEC state's gas production, has been working less than full capacity since the January 2013 militant attack and siege in the Sahara desert where 40 oil workers were killed. The third processing train is still offline, but increasing production would be free more gas for Algerian exports.
PetroChina Processes Imported Crude Oil
China's Huabei Petrochemical Corp, a subsidiary of PetroChina Co Ltd, processed this month imported crude oil for the first time and plans annual imports of five million tonnes once an expansion is completed, China Petroleum News reported on Tuesday. The plant, located in the northern province of Hebei, near Beijing, received its first shipment of foreign crude oil in late August, a 730,000-barrel vessel of Sahara Blend from Algeria. A 189-km crude oil pipeline has also been newly built to supply to the Huabei refinery.
NNPC Ends Offshore Processing Agreements
Nigeria's state oil company has cancelled its contract for the delivery of crude to the country's refineries in Warri, Port Harcourt and Kaduna, it said on Wednesday. Oil sales account for about 70 percent of government revenue in Nigeria, Africa's top crude producer, but the country imports most of the fuel used by its 170 million inhabitants because of its inefficient, ageing refineries. "The corporation has cancelled the current contract due to exorbitant cost and inappropriate process of engagement…
Nigeria Starts Investigating Crude Oil Swap Contracts
Nigerian authorities have launched an investigation to determine whether the government has been short-changed by a state oil company scheme to swap crude for refined products, the company, three oil traders and a security source said. The Nigerian government may be losing money through opaque contracts in which crude oil worth billions of dollars is given to traders in exchange for refined imports, mainly gasoline, international and domestic watchdogs have said. Nigeria's anti-corruption agency EFCC and domestic intelligence service DSS began the investigation last month.
Vens Push New OPEC Oil Blending Strategy
PDVSA head Del Pino says aim is to increase market competitiveness. Venezuela has launched talks this month on a novel plan to blend the country's heavy crude with light oil from other OPEC allies, seeking to create a new variety that can compete against swelling U.S. and Canadian supplies. The proposal, which would expand on a pilot scheme involving Algerian oil last year, envisions supplying refineries built for medium-grade crudes rather than the light oil that has become plentiful as a result of the North American shale boom…
Kosmos Energy's Update
Kosmos Energy announced today that the CB-1 exploration well located in the Cap Boujdour permit area offshore Western Sahara encountered hydrocarbons. The well penetrated approximately 14 meters of net gas and condensate pay in clastic reservoirs over a gross hydrocarbon bearing interval of approximately 500 meters. The discovery is non-commercial, and the well will be plugged and abandoned. Andrew G. Inglis, chairman and chief executive officer, said: “The CB-1 exploration well was designed to open the frontier Laâyoune Basin by testing the Al Khayr Prospect.
Morocco Revives $4.6 bln LNG Import Plan
Morocco has launched a national plan to boost imports of liquefied natural gas (LNG), including the construction of a terminal at the industrial hub of Jorf Lasfar, worth up to $4.6 billion, its energy minister said on Tuesday. The idea to build a LNG terminal was announced a few years ago but the government has given no reasons for the delay. Jorf Lasfar is an industrial hub on the Atlantic coast near El Jadida city where, among others, the state-run phosphate company OCP and Abu Dhabi's TAQA have facilities.
Struggle for Libyan Oilfield Reflects Fractured Nation's Conflict
Libya's biggest oilfield, shut down by gunmen last week, may struggle to rebuild production as the conflict splintering the desert nation draws in ever more groups of fighters, including poor southern tribes staking a claim to land resources. The 340,000-barrels-a day El Sharara oilfield was attacked last week by gunmen who shut off a main source of government revenue and shattered hopes the oil industry would escape Libya's turmoil three years after the ouster of Muammar Gaddafi.
Oil Majors Cut Staff in Iraq on Violence Fears
Some oil companies are pulling foreign staff from Iraq, fearing Sunni militants from the north could strike at major oilfields concentrated in the Shi'ite south despite moves by the Baghdad government to tighten security. Iraqi officials say the southern regions that produce some 90 percent of the country's oil are completely safe from the Islamic State of Iraq and the Levant (ISIL), which has seized much of the north in a week as Baghdad's forces there collapsed. The government says 100,000 police dedicated to protecting oil facilities are on high alert and well armed.
Med Crude-Urals Prices Hold Near 14-Month Low
Russian Urals prices in the Mediterranean held close to a 14-month low on Wednesday due to very weak refining margins in the region and cheaper alternative grades. Vitol offered a 140,000 tonne cargo from Novorossiisk for loading May 24-28 at dated Brent minus $1.85, leaving Mediterranean Urals prices largely unchanged from Tuesday's 14-month low. On Tuesday an 80,000 tonne cargo traded at dated Brent minus $1.65 and larger cargoes were about 20-25 cents a barrel cheaper.
Algerian Reggane Nord Gas Project entering execution phase
A project consortium that includes RWE Dea has signed a major contract for the construction of a natural gas processing plant and infrastructure in the Algerian Sahara for the Reggane Nord project. The contract is valued at US$976 million and represents an important step forward for the project. Representatives of the Groupement Reggane of which RWE Dea is a partner signed the contract to construct the natural gas processing facilities and corresponding infrastructure including the gathering network and export pipeline on Thursday.
