Category:

Enbridge’s Northern Gateway Pipeline Gets Backing

Enbridge Inc. ‘s proposed Northern Gateway project cleared a key hurdle Thursday after a Canadian advisory panel recommended it. The pipeline would connect Alberta’s landlocked oil sands to a Pacific coast port for export primarily to markets in Asia. The decision is expected to spur a final finding in favor of the project by Canada’s federal Cabinet within a mandatory 180-day window, and likely will influence a debate over other proposed pipeline projects that aim to reduce market bottlenecks amid a boom in North […]

Posted On : Published By : Tom Whipple
Category:

Can Coal Feed The Global Energy Appetite In A Healthy Way?

No other fuel source has been tarred more than coal. Yet, no other product has done more to electrify the global population and to bring prosperity to so many. The question the world now faces is whether to up the stakes in relatively cheap coal or whether to make investments in and to depend on sustainable fuels. That’s the proposition that the International Energy Agency’s Executive Director Maria van der Hoeven put forth as she unveiled the agency’s Medium-Term Coal Market Report for 2013 . Her conclusion is that while burning coal is responsible for a third of the carbon dioxide releases, the fuel will remain integral to the world economy. Therefore, the emphasis should be on improving the technology — at least until the greener energies can take root and grow. She focuses on China, which creates the world’s most carbon dioxide emissions . Next Next comes the […]

Posted On : Published By : Tom Whipple
Category:

Global car market to double in next 20 years, says Ford

Global car market to double in next 20 years, says Ford ‘In the next decade 75% of the global population will live in cities,’ he said. ‘Our challenge is to develop cars that communicate with each other and with the world around them.’ Stephen Odell, president of Ford of Europe, Middle East and Africa, reinforced this desire for of growth. ‘Throughout the economic crisis our plan wasn’t about surviving, it was about growing,’ he said. ‘We have seen 10 straight months of year-on-year growth in Europe and we are on track to be back in profit by 2015.’ Speaking at Ford’s Go Further dealer and press meeting in Barcelona, where the company announced that it will finally build the iconic Mustang sports car for Europe by 2015, Mr Odell said that the European automotive industry will experience 20% growth over the next five years. At a similar event last […]

Posted On : Published By : Tom Whipple
Category:

Crude Prices Ease as Investors Weigh Tapering, Supplies

Crude-oil futures were slightly lower in Asian trade Thursday as weak fundamentals capped gains in oil prices after the U.S. Federal Reserve’s decision to start trimming asset purchases. On the New York Mercantile Exchange, light, sweet crude futures for delivery in January traded at $97.69 a barrel at 0532 GMT, down $0.11 in the Globex electronic session. February Brent crude on London’s ICE Futures exchange fell $0.25 to $109.38 a barrel. The U.S. Fed’s decision to trim its bond-buying program boosted oil prices overnight as commodities markets focused on signs of a strengthening domestic economy. Nymex WTI crude has settled higher for ten of the past fourteen sessions. "The Fed tapering is consistent with the fact that the U.S. economy is recovering," National Australia Bank analyst Vyanne Lai said. Overall, it’s good news for commodities, including oil, because there is a general lift in confidence about the economic recovery, […]

Posted On : Published By : Tom Whipple
Category:

Oil prices slip after Fed stimulus decision

The price of oil slipped to under $98 Thursday after the U.S. Federal Reserve decided to start to reduce its monetary stimulus. Benchmark U.S. crude for January delivery shed 8 cents to $97.98 a barrel in electronic trading on the New York Mercantile Exchange. The contract had gained 59 cents on Wednesday to settle at $98.06 on news of falling U.S. supplies. The Federal Reserve decided to reduce its stimulus for the U.S. economy because the job market has shown steady improvement. Investors have feared such a move because Fed policies have encouraged investment in risky assets like oil. Meanwhile, the U.S. Energy Department said Wednesday crude oil supplies fell by 2.9 million barrels last week. Supplies of distillate fuels like diesel fell, while gasoline supplies rose less than expected, helping to boost oil prices. In London, the February contract for Brent crude, a benchmark for international oils, was […]

Posted On : Published By : Tom Whipple
Category:

WTI Trades Near One-Week High as Stockpiles Decline

West Texas Intermediate oil traded near the highest price in a week after crude stockpiles declined in the U.S. and the Federal Reserve said it will reduce stimulus as the economic outlook improves. Futures were little changed in New York after rising 0.6 percent yesterday. U.S. crude inventories shrank by 2.94 million barrels in the seven days ended Dec. 13, falling for a third week, according to data from the Energy Information Administration. The Fed is trimming its monthly bond purchases to $75 billion from $85 billion, starting in January, amid greater job-market prospects, Chairman Ben S. Bernanke said. “The Fed has given an endorsement to the growth that’s coming through with this decision,” said Michael McCarthy, a chief strategist at CMC Markets in Sydney who predicts investors may sell WTI contracts between $98 and $98.50 a barrel. “From a technical point of view, West Texas is bumping up […]

Posted On : Published By : Tom Whipple
Category:

Oil Products Maintain Gains After Fed Lowers Bond Buying

Gasoline maintained gains after the Federal Reserve announced plans to cut its monthly bond purchases to $75 billion from $85 billion. Futures rose as much as 2 percent. The Fed statement was released at 2 p.m. in Washington. The Federal Reserve Open Market Committee took the first step toward unwinding the unprecedented stimulus that Chairman Ben S. Bernanke put in place to help the economy recover from the worst recession since the 1930s. Gasoline for January delivery rose 4.26 cents, or 1.6 percent, to $2.6898 at 2:08 p.m. on the New York Mercantile Exchange. The price was $2.688 before the announcement. Fed Chairman Ben S. Bernanke is scheduled to speak at 2:30 p.m. Vice Chairman Janet Yellen , awaiting Senate confirmation this week to replace Bernanke, has supported the central bank’s policy of bond buying to stimulate the economy. Ultra low sulfur diesel for January delivery gained 4.51 cents, […]

Posted On : Published By : Tom Whipple
Category:

Natural Gas Eases on Near-Term Demand Concerns

Natural gas dipped lower Wednesday as adjusted weather forecasts for next week called for more moderate temperatures than previously expected, which could lower demand for the heating fuel. Natural gas for January delivery settled down 3.6 cents, or 0.8%, at $4.251 a million British thermal units on the New York Mercantile Exchange. Prices ticked higher Wednesday morning on calls for continued cold weather but weakened after a midday government forecast shifted to predict milder temperatures next week. Cold weather is bullish for natural gas, because it suggests stronger demand for gas-powered heating in homes and offices. "The warmer trends were pretty much nationwide," said Bradley Harvey, meteorologist for private forecaster MDA Weather Services, of the […]

Posted On : Published By : Tom Whipple
Category:

Iran, six powers to resume nuclear talks after snag

Iran and six world powers will resume talks in Geneva on Thursday about how to implement a landmark nuclear agreement, a week after Tehran broke off the discussions in anger at an expanding U.S. sanctions blacklist. Under the November 24 interim accord, Iran will curb its disputed nuclear program in exchange for a limited easing of sanctions that are damaging its oil-dependent economy. The technical talks – expected to involve nuclear as well as sanctions experts – are meant to translate the political deal into a detailed plan on how to put it into practice. Diplomats said the task was complicated but that progress had been made during the December 9-12 meeting in Vienna, even though differences remained. They said there was a real political will on both sides to carry out the agreement. "It’s in the interests of the Iranians to go quickly because there […]

Posted On : Published By : Tom Whipple
Category:

Foreign Minister Fabius Concerned Tehran Won't Drop Ability to Build a Bomb

France’s foreign minister voiced doubts that Western powers will reach a final nuclear deal with Iran, questioning Tehran’s willingness to abandon its ability to build an atomic bomb. Laurent Fabius has propelled France to the forefront of nuclear talks by taking a tough stance on Iran, which insists its nuclear program is for civilian and scientific use only. To reach a lasting agreement, six Western powers are pressing Tehran to adopt measures that unwind its nuclear capabilities to the point that a weapon is no longer within reach. That goal has been partly overshadowed by disagreements over how to implement a preliminary accord that temporarily freezes Iran’s nuclear program in exchange for limited relief from biting sanctions. "We have to implement honestly the first phase," Mr. Fabius said in an interview with The Wall Street Journal. "Then my main concern is the second phase. It is unclear if the […]

Posted On : Published By : Tom Whipple