Category:

EU puts emphasis on Southern Gas Corridor

The Southern Gas Corridor of transit networks is a necessary ingredient for energy security, a joint U.S.-European Union statement said. European Commission President Manuel Barroso in 2009 said the transit networks envisioned under the system would provide the "building blocks" for regional energy security. A 2009 move by Russian energy company Gazprom to cut gas supplies through Ukraine because of contractual disputes sparked concerns about Russia’s grip on the energy sector. European consumers get about a quarter of their gas needs met by Russia, though most of that runs through the Soviet-era transit system in Ukraine. EU Energy Commissioner Gunther Oettinger met Wednesday in Brussels with U.S. Secretary of State John Kerry to discuss renewed concerns about energy security in the wake of the Ukrainian upheaval. "The [joint U.S.-EU Energy] Council reaffirmed the importance of the Southern Gas Corridor to bring gas to Europe," they […]

Posted On : Published By : Tom Whipple
Category:

WTI Crude Drops Amid Speculation Demand May Slow; Brent Steady

West Texas Intermediate fell for a fourth day, the longest losing streak in three months, amid speculation reduced Chinese and U.S. growth will curb demand in the world’s biggest oil users. Brent was steady in London . Futures dropped as much as 0.5 percent in New York. China outlined a package of measures to support its economy amid continuing signs of a slowdown. A gauge of U.S. fuel consumption slid to the lowest level since June, government data show, as investors weigh comments from Federal Reserve Chair Janet Yellen that stimulus will be needed for “some time to come.” NATO vowed to boost support for eastern European nations unnerved by Russia ’s annexation of Crimea. “You take out the geopolitical risks, Yellen’s comments, add reduced economic performance in China and it’s an environment that’s not supportive of high prices,” said Jonathan Barratt , the chief executive officer of Barratt’s […]

Posted On : Published By : Tom Whipple
Category:

Oil Remains Under Pressure, Brent-WTI Spread at $5.40/bbl

Crude-oil futures remained weak in Asian trading hours Thursday after this week’s sell-off, with the Brent-WTI spread hovering at around $5 a barrel, its narrowest in over six months. On the New York Mercantile Exchange, light, sweet crude futures for delivery in May traded at $99.44 a barrel at 0527 GMT, down $0.18 in the Globex electronic session. May Brent crude on London’s ICE Futures exchange rose $0.11 to $104.90 a barrel. Nymex WTI crude prices stayed under $100 a barrel in spite of U.S. crude-oil inventories falling unexpectedly for the week ended March 28. The Brent-WTI spread was at $5.40 a barrel. U.S. crude stockpiles fell by 2.4 million barrels to 380.1 million barrels, data from the U.S. Energy Information Administration showed. Analysts had expected an increase of 700,000 barrels. Brent crude-oil prices struggled to stay in positive territory and mostly traded under $105 a […]

Posted On : Published By : Tom Whipple
Category:

U.S. Pump Prices Seen Extending Gains From 6-Month High: Energy

U.S. consumers are paying the most in six months for gasoline because of declining supplies and rising costs for the ethanol added to the fuel. Prices probably will keep climbing, the largest U.S. motoring group said. Gasoline, averaging $3.561 a gallon at the pump, already costs the most since September, according to AAA. Prices for ethanol, the fuel additive mandated by the government, are the highest in more than seven years after freezing weather and a shortage of rail cars slowed distribution and reduced inventories. Supplies of gasoline were the least since November in the week ended March 28 and demand was 2.2 percent above a year ago during a period of seasonal refinery repairs, according to the Energy Information Administration. Prices for ethanol derived from corn and blended with gasoline at a ratio of at least 10 percent, may extend gains as distillers take plants offline for routine […]

Posted On : Published By : Tom Whipple
Category:

Natural-Gas Futures Rise Ahead of Stockpiles Data

-Natural-gas futures rose Wednesday with traders expecting another drop in natural-gas stockpiles to be announced Thursday. Natural gas for May delivery settled up 8.8 cents at $4.364 a million British thermal units on the New York Mercantile Exchange. The gains ended a string of three-straight losing sessions that had seen gas drop below $4.28/MMBtu. Analysts and traders surveyed by The Wall Street Journal expect natural-gas stockpiles to fall by 75 billion cubic feet in the data to be released Thursday at 10:30 a.m. ET by the U.S. Energy Information Administration. That level of withdrawal would be 20 billion cubic feet more than the prior week at a time when stockpiles are already at an 11-year low. The expectations probably led to the price backlash, market observers said. "I think this is a classic battle," said Phil Flynn, senior market analyst at the Price Futures Group […]

Posted On : Published By : Tom Whipple
Category:

Iran, Russia working to seal $20 billion oil-for-goods deal: sources

Iran and Russia have made progress toward an oil-for-goods deal that sources said could be worth up to $20 billion and enable Tehran to boost vital energy exports in defiance of Western sanctions, people familiar with the negotiations told Reuters. In January, Reuters reported that Moscow and Tehran were discussing a barter deal that would see Moscow buy up to 500,000 barrels a day of Iranian oil in exchange for Russian equipment and goods. The United States has said such a deal would raise "serious concerns" and be inconsistent with the nuclear talks between world powers and Iran. A Russian source said Moscow had "prepared all documents from its side", adding that completion of a deal was awaiting agreement on what oil price to lock in. The source said the two sides were looking at a barter arrangement that would see Iranian oil exchanged for industrial […]

Posted On : Published By : Tom Whipple
Category:

UN envoy warns of 'divisive' Iraq election campaign

Campaigning for Iraq’s April 30 elections will be "highly divisive" as parties appeal to their sectarian bases at a time of worsening violence, the UN’s envoy to Baghdad has warned. Nickolay Mladenov also pushed for Iraqi leaders to urgently pass a much-delayed annual budget within two weeks, noting that further postponing the spending bill would badly impact on drawing much-needed business and investment to the country. His remarks came as campaigning officially began on Tuesday for the parliamentary polls, Iraq’s first since March 2010, with Prime Minister Nuri al-Maliki eyeing a third term with bloodshed at its highest level since the country emerged from a brutal sectarian war in 2008. "Campaigning will be highly divisive," Mladenov told AFP from his office in Baghdad’s heavily-fortified Green Zone complex, which is also home to parliament and the American and British embassies. "Everyone is […]

Posted On : Published By : Tom Whipple
Category:

UN envoy warns of ‘divisive’ Iraq election campaign

Campaigning for Iraq’s April 30 elections will be "highly divisive" as parties appeal to their sectarian bases at a time of worsening violence, the UN’s envoy to Baghdad has warned. Nickolay Mladenov also pushed for Iraqi leaders to urgently pass a much-delayed annual budget within two weeks, noting that further postponing the spending bill would badly impact on drawing much-needed business and investment to the country. His remarks came as campaigning officially began on Tuesday for the parliamentary polls, Iraq’s first since March 2010, with Prime Minister Nuri al-Maliki eyeing a third term with bloodshed at its highest level since the country emerged from a brutal sectarian war in 2008. "Campaigning will be highly divisive," Mladenov told AFP from his office in Baghdad’s heavily-fortified Green Zone complex, which is also home to parliament and the American and British embassies. "Everyone is […]

Posted On : Published By : Tom Whipple
Category:

Kurdistan ‘goodwill’ exports stalled

Due to pipeline sabotage, and amidst an enduring political impasse, the KRG has postponed its plans to begin exporting through federal channels. Oil tanks at Turkey’s Mediterranean port of Ceyhan, which is run by state-owned Petroleum Pipeline Corporation (BOTAS), where oil exports from the Iraqi central government and, separately, from the KRG, are sent. (UMIT BEKTAS/Reuters) Iraq’s autonomous Kurdistan region has delayed its plans to begin exporting oil through federal channels, blaming increased violence that has crippled the Iraq-Turkey Pipeline (ITP).Kurdistan Regional Government (KRG) Prime Minister Nechirvan Barzani had announced that the region would start exporting 100,000 barrels per day (bpd) on April 1 in a "goodwill gesture" to ease tension with Baghdad over oil disputes, which have prevented the passage of a 2014 budget and hampered the full activa… This content is for registered users. Please login to continue. If you are not a registered user, you may […]

Posted On : Published By : Tom Whipple
Category:

Russian oil company Tatneft says it's considering a return to Libya.

Russian state-controlled oil company Tatneft said it’s planning to resume operations in Libya, which were idled at the onset of the Libyan revolution in 2011. Tatneft in February 2011 suspended geological exploration in Libya as civil war began. Staff were returned in February 2013, but later pulled out of the country following an October 2013 attack on the Russian embassy in Tripoli. The company, in its latest financial report, said it’s been working since last year to return to work in Libya. "Starting in February 2013 the group has been working to resume operations in Libya, including returning staff to Tripoli and continuing supplier negotiations," the company said . "The group expects to re-launch its operations in Libya in 2014." Tatneft’s Libyan subsidiary operates in central Libya through a bilateral exploration and production sharing agreement with the National Oil Corp. of Libya. Internal conflicts have […]

Posted On : Published By : Tom Whipple