Leaders announce partnership to reduce global dependence on Russian energy
Joe Biden has agreed a deal to ramp up gas exports from the US to the UK as part of a joint effort to cut bills and limit Russia’s impact on western energy supplies.
Sunak and Biden announced an “energy security and affordability partnership” and set up a joint action group, led by Westminster and White House officials, with the aim of reducing global dependence on Russian energy.
Continue reading...Critics including Ukraine say cap of $60 per barrel is still above market value and will not hurt Russia’s war coffers
G7 countries and Australia have agreed to cap the price of Russian seaborne oil, with the aim of reducing Moscow’s income and limiting its ability to finance its war in Ukraine.
But critics, including Ukraine, say the cap of $60 a barrel is still higher than the current market price for Russian crude oil and is unlikely to affect the Kremlin’s war coffers.
Continue reading...Poland, which was pushing for low cap, says deal will keep it at least 5% below market rate
European Union member states have agreed to put a $60 a barrel price cap on Russian oil after Poland, which was holding out, gave the green light to the deal.
In an effort to reduce the Kremlin’s income from fossil fuels, the EU has agreed to limit the amount that can be paid for seaborne oil to curtail Moscow’s ability to finance its war in Ukraine.
Continue reading...British oil giant had said it would ‘exit Russia’ but still owns nearly 20% of state-controlled fossil fuel firm Rosneft
The chief economic adviser to the Ukrainian president, Volodymyr Zelenskiy, has called on BP to exit Russia entirely after the fossil fuel firm was offered a £580m dividend by the oil giant Rosneft.
Oleg Ustenko has written to BP’s chief executive, Bernard Looney, to demand the British company cuts ties with the state-controlled Russian firm nine months after announcing its intention to leave the country.
Continue reading...Racing to wean itself off Russian gas supplies, Germany is set to buy 2m tonnes of liquid gas from Gulf state
German firms have signed a 15-year deal to buy 2m tonnes of liquid gas from Qatar, sending out mixed signals over the priority Germany places on human rights in the Gulf and its commitment to a carbon neutral energy supply.
The deal was announced by state-owned Qatar Energy and deliveries will start from 2026. The gas will be sold by Qatar to the US company ConocoPhillips, which will then deliver it to the LNG terminal in Brunsbüttel, Qatar’s energy minister said in the capital, Doha.
Continue reading...Regulator raises cap for start of 2023 by £730 but government limits typical bill to £3,000 from April
The energy regulator Ofgem has said its price cap will reach £4,279 from January – but households will be shielded by the government’s emergency intervention to keep a lid on bills.
Ofgem said the cap, which is adjusted every quarter, will increase by £730 for the three months from the start of next year. However, the government’s energy price guarantee (EPG) will limit typical household bills to £2,500. Analysts had expected the cap to sit at about £4,200.
Continue reading...Pacific Zircon, linked to Israeli billionaire, said to have been ‘hit by projectile’ but suffered only minor damage
The US and Israel have pointed the finger at Iran after an oil tanker associated with an Israeli billionaire was struck by a bomb-carrying drone off the coast of Oman.
The drone attack on the Liberian-flagged oil tanker Pacific Zircon happened on Tuesday night off the coast of Oman, a Middle East-based defence official told the Associated Press.
Continue reading...Incident off Oman involved vessel owned by Idan Ofer conglomerate
Oil prices have risen after a tanker owned by an Israeli billionaire was hit by a drone carrying a bomb off the coast of Oman.
The attack on Pacific Zircon, which is owned by Idan Ofer and operated by the Singapore-based Eastern Pacific Shipping, sent Brent crude prices up 65 cents to $94.5 (£79.23). The Liberian-flagged tanker had departed from Sohar, Oman, on Monday afternoon and was destined for Buenos Aires.
Continue reading...Risk of soaring food prices and global food crisis after Moscow’s decision to end export corridor following drone attack on its fleet
The United Nations, Nato, European Union and US have all urged Russia to reverse its decision to pull out of a deal that allowed Ukrainian grain exports via the Black Sea, amid fears of a global food crisis.
Moscow announced it was suspending the UN-brokered arrangement in response to a dramatic attack in the early hours of Saturday by Ukrainian airborne and underwater drones on its naval base of Sevastopol in Crimea.
Continue reading...Oil company’s third-quarter result smashes Wall Street forecasts – as does Chevron’s £11.2bn
The US oil supermajor ExxonMobil has reported a quarterly profit of nearly $20bn (£17.3bn), $4bn more than analysts had forecast, almost matching the earnings of the tech giant Apple.
Exxon’s $19.7bn profit for the third quarter outstripped the record $17.9bn it reported for the previous quarter, as it became the latest fossil fuel producer to enjoy soaring earnings, a day after Shell announced global profits of $9.5bn between July and September.
Continue reading...Oil giant to boost dividends as firm continues to benefit from energy price spike after Ukraine invasion
Shell has reported profits of nearly $9.5bn (£8.2bn) between July and September, more than double the amount it made during the same period a year earlier, as it said it would increase its payments to shareholders.
The oil company continued to benefit from soaring energy prices prompted by Russia’s invasion of Ukraine, but it was not able to match the record $11.5bn profit it earned between April and June, because of weaker refining and gas trading.
Continue reading...President announces release of 15m barrels of oil from strategic reserve as he fights to keep gas prices in check before midterms
Joe Biden has called on oil companies to pass on their massive profits to consumers as he announced the release of 15m barrels of oil from the US strategic petroleum reserve.
Biden is fighting to keep gas prices in check ahead of November’s midterms. He blamed Vladimir Putin’s invasion of Ukraine for the global spike in oil prices and said his administration was doing all it could to keep prices in check.
Continue reading...Mining co-ops – with oversize influence in the government – are moving into the Amazon’s Madidi national park
The footage is jerky, perhaps shot covertly. It shows a river running through a jungle: on the far side there is still thick forest, but the near bank is a mess of churned earth and muddy tracks – yet more evidence that gold miners have moved into the Madidi, Bolivia’s most famous national park.
Such mining provides a living for hundreds of thousands of people. But as miners push into the Amazon and other protected areas, the Bolivian government’s support of the industry sits awkwardly with its environmentalist rhetoric.
Continue reading...Cuts by world’s biggest petrol producers will work against other governments’ efforts to tame inflation by releasing fuel stocks
Australian motorists could be hit by higher petrol prices as the world’s largest oil exporting nations cut production, analysts say.
The Australian government reinstated the full fuel excise tax in September after the Morrison Coalition government introduced a temporary, six-month cut to lower the cost of fuel at a time of rising inflation.
Continue reading...Washington has accused Saudi Arabia of coercing other Opec+ members into 2m-barrel-a-day reduction
The relationship between the US and Saudi Arabia continued to worsen on Thursday as the two countries traded barbs over the decision to cut oil production, with Washington accusing Riyadh of coercing other members of the Opec+ cartel, and Riyadh suggesting the Biden administration tried to get the decision delayed by a month.
In reaction to Joe Biden’s declared intention to reevaluate the US relationship with Riyadh, the Saudi foreign ministry issued an unusually long statement rejecting “attempts to distort the facts” about the kingdom’s motives for pushing for a 2m-barrel-a-day cut to Opec+ production.
Continue reading...Reactions in Washington to slashing oil supply have not concerned Mohammed bin Salman; nor have the optics of indirectly boosting Putin’s war
Mohammed bin Salman had seen it coming. The groundswell of anger in Washington was clear and building since he helped lead an Opec+ decision to cut the world’s oil supply last week.
But for the first time in the modern era of ties between the US and Saudi Arabia, there was no rush to placate hard feelings, or gloss over a rift. This was the birth of a new realpolitik, where nascent Saudi nationalism paid no heed to a historical ally and instead aligned itself to what Riyadh literally sees as a new world order.
Continue reading...Cause of leak in Druzhba line, which supplies oil from Russia, not yet known, says operator
The Druzhba oil pipeline linking Russia and Germany has been partly shut after a leak was discovered in Poland, the Polish operator Pern said on Wednesday.
“The cause of the incident is not known for the moment. Pumping in the affected line was immediately stopped. Line 2 of the pipeline is functioning normally,” the operator said.
Continue reading...Moves by Opec+ to reduce production seen as siding with Putin over the US just as midterms loom
Joe Biden said there “will be consequences” for Saudi Arabia after its decision last week to side with Vladimir Putin and cut oil production.
“There’s going to be some consequences for what they’ve done, with Russia,” the US president said in an interview on CNN. “I’m not going to get into what I’d consider and what I have in mind. But there will be – there will be consequences.”
Continue reading...Janet Yellen’s comments come as figures show business activity declining across most UK regions
The world’s biggest oil-producing nations cutting production at a time of soaring energy costs is “unhelpful and unwise” for global economic growth, the US Treasury secretary has warned, amid intense pressure from sky-high inflation.
Ahead of meetings hosted by the International Monetary Fund in Washington this week, Janet Yellen said the move by Opec+ – the oil production cartel led by Saudi Arabia, plus Russia – risked undermining the world economy.
Continue reading...The country’s total refinery output has been reduced by more than 60% over the past two weeks
Long tailbacks of vehicles continued to grow outside French service stations on Sunday as petrol supply was hit by pay strikes at refineries run by the oil giants, TotalEnergies and ExxonMobil.
The leftwing CGT union is leading a refinery workers’ strike for better pay during the cost-of-living crisis, and for a share of companies’ high profits.
Continue reading...