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Tag: crude oil production

  • Saudi, UAE again OPEC cuts as US envoy warns of ”uncertainty”

    Saudi Arabia and the United Arab Emirates defended on Monday a call by OPEC and its allies to chop oil manufacturing, whilst an American envoy warned of “economic uncertainty” forward for the world.

    While cordial, the feedback on the Abu Dhabi International Petroleum Exhibition and Conference confirmed the stark divide between the United States and Gulf Arab international locations it helps militarily within the wider Middle East.

    Saudi Arabia’s vitality minister, Prince Abdulaziz bin Salman, hinted at that in short remarks to the occasion, noting that upcoming UN local weather change summits will probably be held in Egypt and the United Arab Emirates.

    “We don’t owe it to anybody but us,” the prince mentioned to applause.

    Emirati Energy Minister Suhail al-Mazrouei echoed that defence. While saying that OPEC and its allies are “only a phone call away if the requirements are there” to boost manufacturing, he supplied no suggestion such a lift can be on its means anytime quickly.

    “I can assure you that we in the United Arab Emirates, as well as our fellow colleagues in OPEC and OPEC+ are keen on supplying the world with the requirement it needs,” al-Mazrouei mentioned.

    “But at the same time, we’re not the only producers in the world.” OPEC and a unfastened confederation of different international locations led by Russia agreed in early October to chop its manufacturing by 2 million barrels of oil a day, starting in November.

    OPEC, led by Saudi Arabia, has insisted its choice got here from issues in regards to the international economic system.

    Analysts within the US and Europe warn a recession looms within the West from inflation and subsequent rate of interest hikes, in addition to meals and oil provides being affected by Russia’s warfare on Ukraine.

    “The global economy is on the knife’s edge,” insisted Sultan Ahmed Al Jaber, the managing director of the state-run Abu Dhabi National Oil Co.

    American politicians, in the meantime, have reacted angrily to a call prone to hold gasoline costs elevated. An common gallon of normal gasoline within the US now prices USD 3.76 — down from a file USD 5 a gallon in June however nonetheless excessive sufficient to chew into customers’ wallets.

    Benchmark Brent crude oil sat at USD 95 a barrel on Monday.

    “I think at the end of the day, we are facing an economic uncertainty globally,” mentioned Amos Hochstein, the US envoy for vitality affairs.

    Hochstein declined to talk to The Associated Press after the occasion within the UAE.

    President Joe Biden, who travelled to Saudi Arabia in July and fist-bumped Crown Prince Mohammed bin Salman earlier than a gathering, just lately warned the dominion that “there’s going to be some consequences for what they’ve done.” Saudi Arabia lashed again, publicly claiming the Biden administration sought a one-month delay within the OPEC cuts that would helped cut back the danger of a spike in fuel costs forward of the US midterm elections November 8.

    The back-and-forth between Riyadh and Washington exhibits how tense relations stay between the 2 international locations because the 2018 grotesque killing of Washington Post columnist Jamal Khashoggi by Saudi safety forces.

    American intelligence companies consider the slaying got here at Prince Mohammed’s order.

  • FY22: Crude output slides 2.6%, pure fuel manufacturing up 18.7%

    India’s crude oil manufacturing in FY22 fell by 2.6 per cent over the earlier fiscal and by 11.7 per cent than the targetted quantity amid decrease output from state-owned ONGC, as per authorities knowledge launched Wednesday.

    Domestic pure fuel output, nonetheless, rose 18.7 per cent resulting from a pointy hike in manufacturing from the Krishna Godavari basin however nonetheless fell wanting targetted manufacturing for the fiscal by 9.7 per cent.

    Total crude output for monetary 12 months 2021-22 was 29.7 million tonnes (MT). India’s crude manufacturing has declined steadily from 35.9 MT in FY15 as manufacturing from ageing oil fields has fallen. The Oil Ministry had final 12 months requested ONGC to contemplate promoting stakes in maturing fields in western offshore to overseas gamers with extra technical experience to spice up manufacturing. ONGC’s crude output for FY22 stood at 19.45 MT, 3.6 per cent decrease than that in FY21 and 13.8 per cent decrease than targetted manufacturing for FY22.

    Natural fuel manufacturing  rose to 34 billion cubic meters in FY22, largely on a 466 per cent rise in fuel output from the Eastern Offshore. ONGC’s pure fuel manufacturing fell 5.7 per cent in the identical interval, whereas that of Oil India rose by 16.7 per cent. India’s complete crude oil processing rose 9.0 per cent to 241.7 MT in FY22 amid higher demand for petroleum merchandise.

  • As crude oil costs ease, govt to attend and watch on excise responsibility reduce

    With crude costs easing after spiking to a 14-year excessive in current weeks, the federal government is of the view that a right away reduce in excise responsibility on gasoline just isn’t required. Senior Finance Ministry officers stated it might be too early to react to a spike in costs which can not final for lengthy as provide issues are anticipated to ease within the coming weeks amid the continued Russia-Ukraine battle.

    The affect of upper crude costs in current months has been borne by oil firms, which is prone to get translated into greater retail costs in coming weeks. Oil advertising firms (OMCs) have held the value of petrol and diesel fixed since November 4 regardless of the value of crude oil rising by about 27 per cent through the interval.

    “We are genuinely not convinced that the hike in crude oil prices is for the long term. If it’s only for a few weeks, we cannot recalculate for a few weeks of spike. This may be too early to react or to jump too fast. If it comes down to below $100/bbl in the next six weeks, we’ll be in a different position,” a senior Finance Ministry official stated.

    The worth of crude oil fell under the $100 barrel mark on Tuesday, after a two-week interval, which noticed the fee rise to $139 per barrel, its highest degree in 14 years. Despite a fall in oil costs over the previous week, worth of Brent crude has risen round 29 per cent for the reason that starting of the 12 months, amid issues about secure provide of oil and fuel.

    A surge in Covid-19 circumstances in China, the most important importer of crude oil, and indicators {that a} nuclear take care of Iran may increase international crude oil provides, have helped cool oil costs which have been rising steadily for the reason that starting of the 12 months because of the Russia-Ukraine disaster.

    India imports about 85 per cent of its crude oil necessities. Russia is the third largest producer of crude, after the US and Saudi Arabia, and the second largest exporter after Saudi Arabia. Russia at present exports about 7.5 million barrels of crude oil per day. State-owned OMCs have saved the costs of petrol and diesel fixed since November 4, when the federal government reduce excise responsibility on petrol and diesel by Rs 5 per litre and Rs 10 per litre, respectively.

    “No immediate action has been taken so far as oil companies have also gained cushion from lower prices during November-February,” the official stated. Daily worth revisions are prone to be restarted in coming weeks.

    Earlier it was anticipated that there could be revision after the meeting elections in Uttar Pradesh, Punjab, Uttarakhand, Goa and Manipur. OMCs had held gasoline costs fixed for over 2 months throughout key state elections in 2021, with pump costs rising sharply submit polls.

  • India’s core sector grows 11.6% in August: Government knowledge

    India’s Index of Eight Core Industries noticed an 11.6 per cent rise to 133.5 within the month of August, in keeping with the information launched by the Ministry of Commerce & Industry.
    The general core sector progress throughout August final 12 months was at -6.9 per cent, the information confirmed.
    Coal manufacturing throughout the month of August elevated by 20.6 per cent year-on-year, whereas the refinery manufacturing rose 9.1 per cent and electrical energy era climbed 15.3 per cent on-year, the commerce ministry knowledge confirmed.
    This aside, metal manufacturing elevated by 5.1 per cent in August, whereas cement manufacturing surged 36.3 per cent. Natural fuel manufacturing rose 20.6 per cent.
    Among the sectors which noticed destructive progress throughout the mentioned interval had been crude oil, and fertiliser which fell 2.3 per cent and three.1 per cent respectively.
    So far, within the monetary 12 months 2021-22, the April-August progress of the core industries was 19.3 per cent towards a contraction of 17.3 per cent throughout the identical interval year-ago.

  • Covid hit: Crude oil and pure fuel manufacturing fall in Jan

    crude oil manufacturing fell by 4.6 per cent and pure fuel manufacturing dropped by 2.2 per cent in January resulting from operational difficulties associated to the Covid pandemic, in response to Ministry of Petroleum and Natural Gas information launched on Friday. Total crude oil manufacturing within the fiscal, up to now, is down 5.6 per cent and pure fuel manufacturing is down 10.4 per cent, in comparison with the year-ago interval.
    Crude manufacturing in January was 8 per cent beneath the manufacturing goal for the month at 2572.7 thousand metric tonnes (TMT) and 4.6 per cent decrease than output of two,696.8 TMT within the year-ago interval. ONGC reported that unavailability of vital infrastructure and gear resulting from Covid-related delays was the important thing motive behind decrease manufacturing.
    Natural fuel manufacturing for the month was 2550.62 MMSCM (million metric normal cubic metre), 19.2 per cent beneath the output goal for the month and a pair of.2 per cent beneath the manufacturing of two,608.3 MMSCM, in January. Crude processing was 21,809 TMT, 0.6 per cent greater than manufacturing in January 2020 however 2.81 per cent beneath the month-to-month goal.