oil exports


Malaysia's March palm oil stocks down 4.64pc

KUALA LUMPUR, April 10 — Malaysia's total palm oil stocks in March 2019 fell 4.64 per cent to 2.92 million tonnes from 3.06 million in February 2019. Crude palm oil (CPO) stocks decreased 12.31 per cent to 1.69 million tonnes during the month…

Three countries cut Iran oil imports to zero, says US envoy

WASHINGTON, April 3 — Three of eight countries granted waivers by Washington to import oil from Iran have now cut the imports to zero, a US official said yesterday, adding that improved global oil market conditions would help reduce Iranian crude…

Pound falls after UK parliament rejects Brexit plan

LONDON, March 29 — The pound fell today after Britain’s parliament again rejected a proposed deal to withdraw from the European Union. Sterling had been mostly stronger against both the dollar and the euro in the runup to the vote, but then fell…

Saudi’s SABIC sticking with growth plans, will discuss synergies with Aramco

RIYADH, March 29 — Saudi Basic Industries Corp’s (SABIC) investment plans will not be affected by oil giant Aramco’s purchase of a 70 per cent stake in the company, its chief executive said today, adding SABIC would look to integrate assets…

Saudi Aramco to buy Sabic in US$69b chemicals megadeal

RIYADH, March 28 — The world's largest oil producer Saudi Aramco has agreed to buy a 70 per cent stake in Saudi Basic Industries Corp (Sabic) from the kingdom's wealth fund for US$69.1 billion (RM281.2 billion) in one of the biggest deals in the…

Oil pulls back from 4-month highs amid economic growth concerns

SINGAPORE: Oil prices dipped on Wednesday, retreating from a four-month high as economic growth concerns dampened the outlook for fuel consumption.

However, analysts said oil was still well supported by voluntary supply cuts led by producer club OPEC and U.S. sanctions against Iran and Venezuela.

International Brent crude oil futures were at $67.50 a barrel at 0222 GMT, down 11 cents, or 0.2 percent, from their last close. Brent touched $68.20 a barrel on Tuesday, its highest since Nov. 16.

U.S. West Texas Intermediate (WTI) crude futures were at $58.83 per barrel, down 20 cents, or 0.3 percent, from their last settlement. WTI hit a high of $59.57 a barrel on Tuesday, the highest since Nov. 12.

Analysts said the dip was mostly down to concerns that an economic slowdown could soon dent fuel consumption.

“Global growth concerns and ongoing oversupply fears (are) creating headwinds for the commodity,” said Lukman Otunuga, analyst at futures brokerage FXTM.

The dips come after crude prices rose by more than a quarter this year, pushed up by a pledge led by the Organization of the Petroleum Exporting Countries (OPEC) to withhold around 1.2 million barrels per day (bpd) of supply as well as by U.S. sanctions against oil exporters Iran and Venezuela.

“The shaky supply outlook with regard to Venezuela and Iran, as well as the petro-nations’ output restrictions are top of mind in the oil market,” said Norbert Ruecker, head of economics at Swiss bank Julius Baer.

Ruecker said oil prices were likely capped around $70 per barrel as fuel price inflation, as seen last year, would hit demand at that level.

At the same time, he said oil prices were supported above $50 per barrel as investment into U.S. shale output growth would cease below that price.

Between those price levels, Ruecker said “the U.S. shale boom almost fully meets global oil demand growth mirrored by the strongly expanding crude oil exports,” which hit a record 3.6 million bpd in February.

“We see … roughly 1.2 million bpd of U.S. shale oil growth over the coming year,” Ruecker said, which is in line with most global oil demand growth forecasts of 1 million to 1.3 million barrels per day for 2019.

The U.S. Energy Information Administration (EIA) is due to publish its weekly crude production and storage level report around 1700 GMT on Wednesday.

Opec to scrap April meeting but keep oil cuts in place

BAKU, March 18 ― Opec is set to scrap its planned meeting in April and decide instead whether to extend oil output cuts in June, when the market will be able to assess the full impact of US sanctions on Iran and the crisis in Venezuela. A…

US aims to cut Iran oil exports to under one million bpd from May, sources say

WASHINGTON, March 14 ― The United States aims to cut Iran's crude exports by about 20 per cent to below 1 million barrels per day (bpd) from May by requiring importing countries to reduce purchases to avoid US sanctions, two sources familiar with…

Frenzied buying of oil & gas stocks on Bursa

PETALING JAYA: In what was a rare occasion on Bursa Malaysia today, the local bourse saw the top 10 most active list being fully dominated by oil and gas (O&G) and related stocks, which attracted investors’ interest on hopes that supply cuts will boost global crude prices.

Frenzied buying of O&G stocks led to a 27.07-point, or 2.61%, jump in the Energy Index to 1,063.01 points today from 1,035.94 points yester. It was the best performing index on Bursa Malaysia.

As at 6pm today West Texas Intermediate and Brent crude oil futures were trading 0.9% and 0.61% higher at US$57.40 and US$67.10 per barrel, respectively.

On Bursa Malaysia, Naim Holdings Bhd was the top gainer today after it hit limit-up at RM1.20, closing 30 sen or 33.33% higher with 68.10 million shares traded.

Among the most actively traded stocks were Sapura Energy Bhd, Perdana Petroleum Bhd, KNM Group Bhd, Bumi Armada Bhd, Velesto Energy Bhd and Barakah Offshore Petroleum Bhd.

Sapura Energy was the most actively traded stock, with 370.10 million shares done. It rose 4.62% to close at 34 sen.

Perdana Petroleum’s share price jumped 50% to close at 45 sen with 339.98 million shares done. This was followed by Alam Maritim Resources Bhd and Barakah Offshore Petroluem Bhd, which soared 20% and 19% to 15 sen and 12.5 sen, res-pectively.

Oil prices were lifted by ongoing supply cuts led by Organisation of the Petroleum Exporting Countries (Opec) and its allies including Russia (known as Opec+), which had agreed in December last year to reduce supply by 1.2 million barrels per day (bpd) beginning January this year, for a period of six months.

According to a Reuters report last month, Opec’s oil output fell almost 800,000 bpd in January to 30.81 million bpd.

Meanwhile, Saudi Arabia plans to cut its crude oil exports to below 7 million bpd in April while keeping its output below 10 million bpd.

A Reuters report quoting a Saudi official, said that state-owned Saudi Aramco’s oil allocations for April are 635,000 bpd below customers’ nomination.

Despite strong demand of more than 7.6 million bpd, its customers were allocated less than 7 million bpd.

Saudi Energy Minister Khalid al-Falih said that March oil production was 9.8 million bpd and that the country plans to keep its April output at the same level.

Closer to home, the O&G sector was also boosted by state-owned Petroliam Nasional Bhd’s (Petronas) commitment of a higher capital expenditure (capex) of over RM50 billion for 2019, as it focuses on plans to venture into new businesses such as renewable energy and specialty chemicals.

Last year, the national oil firm spent RM46.8 billion on capex, with a focus on the upstream projects. The RM46.8 billion is 5% higher than the previous year.

The higher capex is expected to spur local upstream activities, with potential beneficiaries being fabricators and floating production storage and offloading players.

Pompeo calls on oil industry to support US foreign policy agenda

HOUSTON, March 13 — US Secretary of State Mike Pompeo urged the oil industry yesterday to work with the Trump administration to promote US foreign policy interests, especially in Asia and in Europe, and to punish what he called “bad actors” on…