Bousso: New oil quotas system to spur spending with ROI-OPEC+
The changes OPEC+ makes to its oil production quotas will likely trigger a wave upstream investment among members, especially in low-cost Gulf producers. This will reduce concerns about long-term shortages of supply. The Organization of the Petroleum Exporting Countries (OPEC+) and other major oil producing nations including Russia and Kazakhstan approved on Sunday a mechanism for assessing members' maximum output capacity. This will be used from 2027 to establish baselines. It may appear to be a very technical issue.
Bousso: New oil quotas system to spur spending with ROI-OPEC+
The changes OPEC+ makes to its oil production quotas will likely trigger a wave upstream investment among its members, especially in low-cost Gulf producers. This will reduce concerns about long-term shortages of supply. OPEC+ (Organization of the Petroleum Exporting Countries) and other major oil producing nations including Russia and Kazakhstan approved a new method to determine the maximum production capacity of members. This will be used from 2027 to establish baselines for output. It may appear to be a very technical issue.
Sources say that OPEC+ will maintain its oil production policy.
Four OPEC+ sources have said that OPEC+ is likely to leave the oil production levels unchanged during its Sunday meetings. The group has slowed down its efforts to regain market shares amid fears of a looming glut. The meeting of OPEC+ - which pumps half the world's crude oil - comes at a time when the United States is trying to broker a peace deal between Russia and Ukraine, which would increase oil supplies if sanctions against Russia were eased. Two sources confirmed that ministers are holding a series online meetings.
After drone attack, operations at major Iraqi gas fields are suspended
Field engineers reported on Wednesday that a drone attack caused the suspension of operations in the Khor Mor Gas field, which is one of the largest fields of gas in Iraqi Kurdistan. The Natural Resources and Electricity Ministries said in a statement that all gas supplies to power plants in Kurdistan were stopped following the attack. Security sources reported that the attack on field storage tanks started a fire, and injured some workers. A worker reported from the field shelter…
Abu Dhabi's GSU launches $1 billion energy project in Yemen
On Wednesday, the United Arab Emirates announced that it would launch energy projects in Yemen worth $1 billion to help rebuild its energy sector. These will be implemented through Abu Dhabi-based Global South Utilities. GSU announced in a press release that the agreement would see the company develop a portfolio of projects including solar and wind energy, as well as distribution networks throughout the country. Yemen has been suffering from an electricity crisis for almost 30 years, caused by fuel shortages.
South Korea joins Stargate AI Data Centre Project in UAE
Seoul announced on Tuesday that South Korea had agreed to collaborate with the United Arab Emirates to build an artificial intelligence data campus, a project backed by the United States. South Korea announced that it would help build the computing power and energy infrastructure of the largest AI data centre outside the United States after South Korean president Lee Jae Myung met with UAE President Mohammed bin Zayed Al Nahyan. South Korea, the home of chipmakers Samsung Electronics…
Trade sources claim that Yanchang, a Chinese refiner, buys crude oil from the UAE and Kazakhstan instead of Russia.
Several sources confirmed that Yanchang Petroleum, a Chinese refiner, has purchased 3 million barrels from the United Arab Emirates (UAE) and Kazakhstan, for arrival in January, after having suspended its Russian oil purchases due to concerns over Western sanctions. They said that the state-owned company purchased 2 million barrels Abu Dhabi Murban crude oil from Swiss trader Mercuria, and 1 million barrels CPC Blend from Vitol. Prices were not immediately available.
Pakistan approves TPOC led consortium to operate offshore blocks
The adviser to the Finance Ministry said that Pakistan approved on Tuesday a new offshore exploratory consortium, allowing Turkish Petroleum Overseas Company (TPO) to assume operatorship of Eastern Offshore Block C as part of an effort to revive drilling. The Economic Coordination Committee of Pakistan approved Pakistan Petroleum Limited’s request to transfer a portion of its stake in the block to TPOC Mari Energies, and state-run Oil & Gas Development Co Ltd. This left PPL with a 35 percent stake.
Trade sources report that China refiner Yanchang purchases 3 million barrels of Murban and CPC crude.
Several sources confirmed that Yanchang Petroleum, a Chinese refiner, has purchased 3 million barrels from the United Arab Emirates (UAE) and Kazakhstan, for arrival in January, after having suspended its Russian oil purchases due to concerns over Western sanctions. On Tuesday, the company said that it had purchased 2 million barrels each of Abu Dhabi Murban crude and CPC Blend from Swiss traders Mercuria as well as 1 million barrels each of CPC Blend and CPC Blende from Vitol.
UAE's Dana Gas signs an agreement to explore the revival of Syria gas fields
Dana Gas, based in the UAE, announced on Wednesday that it had signed an initial agreement with Syria's oil company for assessing the redevelopment of natural gas fields damaged by the 13-year-old civil war which made Syria dependent on imports from Iran. The Syrian rebels overthrew longtime president Bashar al-Assad in late 2018. Since then, the country has pursued a new strategic alignment away from Tehran. This was under President Ahmed al-Sharaa who met with U.S. Donald Trump on Monday.
Masdar to invest in Austria's Largest Hydrogen Project
The United Arab Emirates' state-owned energy company Masdar will invest in Austria's largest hydrogen project, run by oil and gas firm OMV, Austria's APA news agency reported on Wednesday.According to an agreement with the Emirati government announced by Austria's economy minister at the ADIPEC energy fair in Abu Dhabi, Masdar will hold a 49% stake in the planned electrolysis plant in Bruck an der Leitha, while OMV will retain a 51% stake and operational management, APA reported.The investment amounts to a high three-digit million sum, it added.The deal would
Masdar, a UAE-based company, invests in Austria's biggest hydrogen project
Austrian news agency APA reported that Masdar, the state-owned energy firm of the United Arab Emirates, will invest in Austria’s largest hydrogen project run by oil and natural gas company OMV. According to APA, according to an agreement announced by Austria’s economy minister during the ADIPEC Energy Fair in Abu Dhabi, Masdar would hold a 49 percent stake in the planned Bruck an der leitha electrolysis plant, while OMV would retain a 51 percent stake and operational management. It added that the investment is in excess of three million dollars.
Jaber, UAE's Jaber, says that oil demand will remain above 100 million barrels per day (bpd) beyond 2040.
Sultan Al Jaber said that oil demand would remain at 100 million barrels a day or more beyond 2040. He also warned of headwinds for the near future. "Geopolitics continues to shape news and trade flows. The complexity is constant. Market sentiment is what moves the markets. Volatility, to my mind, is no more a variable. "It is the norm," said he to industry leaders at ADIPEC's opening energy conference. The United Arab Emirates are one of eight OPEC+ nations that have agreed to raise December output targets…
Sponsored: UAE Breaks Ground on GW-Scale Renewable Energy Hybrid
In line with the vision of His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the United Arab Emirates, world-first project reaffirms UAE’s leadership position in clean energy, directly addressing intermittency of renewables. Project will reimagine potential of renewable energy, delivering 1GW of baseload power at a globally competitive tariff, establishing a blueprint for future international deployments.Masdar and EWEC are deploying the…
Minister: Saudi Arabia is undecided about investing in Egypt's Red Sea Coast
The Saudi tourism minister stated on Sunday that the country already has enough rooms for the World Cup in 2034. However, it is focusing on increasing the number of hotel rooms within the country and has yet to decide whether or not to invest along Egypt's Red Sea Coast. Cairo is preparing plans to invest in the development of Ras Gamila, a stretch largely unused near the resort town of Sharm el-Sheikh. This follows a massive investment made by the United Arab Emirates for the development of a stretch along Egypt's Mediterranean coastline.
Eni increases share buybacks after Q3 results better than expected
Eni, the Italian energy company, announced on Friday that it would increase the share buybacks by 20% following better than expected third quarter results. The company posted a net profit adjusted of 1,25 billion euros in the third quarter. This was slightly below the 1,27 billion euro profit reported in the same period last year. Eni announced that it would increase its share buyback for 2025 by 20%, to 1.8 billion Euros. This is due to the fact that pro-forma debt levels are near historic lows.
Oil bosses are expecting the market surplus to diminish over time
Executives from oil majors, trading houses and oil companies said that the global oil market will tighten up in the medium-to-long term after recovering from its short-term weakness. Oil prices have been impacted by the rising output of OPEC+ – which is a grouping of countries that are members of the Organisation of Petroleum Exporting Countries (OPEC) and their allies – as well as other producers. This has also been exacerbated by expectations of trade tensions leading to a reduction in demand.
Wall Street Journal, October 3,
These are the most popular stories from the Wall Street Journal. These stories have not been verified and we cannot vouch their accuracy. - A multibillion-dollar deal to send Nvidia's artificial-intelligence chips to the United Arab Emirates is stuck in neutral nearly five months after it was signed, frustrating CEO Jensen Huang and some senior administration officials. Google announced that it would build a $4 Billion data center in Arkansas on more than 1000 acres, creating hundreds and thousands of jobs in construction as well as operations. The U.S.
Indonesia begins construction of 92 Megawatt floating solar power plant
As part of Indonesia's drive to increase renewable energy, the state-owned utility company Perusahaan Listrik Negara announced on Friday that it had begun construction of a 92 megawatt floating solar power station in West Java. By 2034, Indonesia will add almost 61% more power to its grid through renewable energy. Solar power is expected to contribute 17.1 GW. The upcoming PLN facility on the Saguling Reservoir, located about 180 kilometres away from Jakarta's capital, is expected to start commercial operations by November 2026.
Ansaldo Energia CEO: Asia sales to be boosted by acquisitions and Ansaldo Energia's focus on acquisitions
Ansaldo Energia, a developer of power plants in Italy, is seeking to expand its business into new markets like Vietnam and Malaysia by acquiring companies. Its chief executive stated that the company aims to double their turnover over the next few years. The group, owned by the Italian state bank Cassa Depositi e Prestiti and which makes nuclear reactors, has recovered from a slump brought on by a drop in orders during COVID and now looks to expand its presence outside Europe.