Category Archives: Energy industry

Saudi oil giant Aramco reports 82% rise in quarterly profits

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Investors to get $4bn in bonus shares after record earnings of $39.5bn on higher demand and crude prices

Saudi Aramco, the world’s biggest oil company, has disclosed an 82% rise in quarterly profits to a new record of $39.5bn (£32.2bn), boosted by an increase in demand and higher crude prices.

The company, which last week overtook technology group Apple to become the world’s most valuable company, said it would pay an $18.8bn (£15.3bn) dividend and hand $4bn (£3.2bn) in bonus shares to its investors after the better-than-expected performance.

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Unite union seeks talks with Sturgeon over Grangemouth refinery

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Union says oil refinery’s ‘strategic importance’ means talks about possible threats are urgent

Trade union bosses are seeking an urgent meeting with Scottish first minister Nicola Sturgeon amid uncertainty surrounding the future of the Grangemouth oil refinery.

Grangemouth is one of just six oil refineries in Great Britain and supplies two-thirds of the petrol and diesel for forecourts in Scotland as well as large volumes for the north of England and Northern Ireland.

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Rishi Sunak: windfall tax an option if oil firms fail to invest in UK

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Chancellor says he is ‘pragmatic’ about introducing a levy on energy companies to ease cost of living crisis

Rishi Sunak has insisted he is “pragmatic” about the idea of a windfall tax on energy companies, claiming “no options are off the table” in the clearest sign yet that the government is planning measures to tackle the cost of living crisis.

Labour has been calling for a windfall tax on oil firms, which have benefited from rocketing global prices, with the shadow chancellor, Rachel Reeves, suggesting the proceeds be used to cut domestic energy bills.

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Saudi Aramco overtakes Apple as world’s most valuable company

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Soaring commodity prices swell oil giant’s profits as tech stock slide pegs back iPhone maker

Apple has lost its crown as the world’s most valuable company to the oil giant Saudi Aramco, as soaring commodity prices swell profits at energy companies and technology stocks continue to slide.

In a sign that the old economy is reasserting itself over the new this year, Aramco eclipsed Apple on Wednesday night amid the ongoing rout on Wall Street.

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Boris Johnson refuses to rule out U-turn to impose windfall tax on energy firms – UK politics live

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Latest updates: sources suggest idea of windfall tax on energy firms ‘back on the table’ as cost of living crisis continues to bite

Ministers do not expect to reach an agreement with the EU over the Northern Ireland protocol, Sky’s Beth Rigby reports. She is quoting “senior government figures” close to the talks between Liz Truss, the foreign secretary, and Maroš Šefčovič, the European Commission vice-president in charge of Brexit. Truss and Šefčovič have been talking this morning.

Victoria Atkins, the prisons minister, was the government’s representative on the airwaves this morning. She told Sky News that she thought her Tory MP colleague Lee Anderson was wrong when he told the Commons yesterday that there was no great need for food banks in Britain and that the real problem was people not being able to cook properly. She said:

This is not the view of me or anyone else in government. We want to give not just immediate help but longer-term support as well.

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Boris Johnson says windfall tax ‘not the right thing’ but refuses to rule out U-turn

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The prime minister claimed ‘these kinds of taxes’ deterred investment, contrary to BP boss saying it would not

Boris Johnson has refused to rule out the introduction of a windfall tax which would help to relieve pressure on the cost of living crisis.

Speaking to LBC’s Nick Ferrari, Johnson said that while he believed a disadvantage of windfall tax would be the impact it would have on investment, the prospect of such a taxwas still something to be looked at.

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Ursula von der Leyen says Putin must pay ‘high price’ as she proposes oil ban

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European Commission chief says Russian supply of crude would be prohibited in EU within six months

Ursula von der Leyen has proposed a total ban on Russian oil imports to the EU, saying Vladimir Putin had to pay a “high price for his brutal aggression” in Ukraine.

Member states in Brussels are scrutinising a proposed sixth package of sanctions, but in a speech on Wednesday the European Commission president said Russian oil flows had to stop.

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European Council president ‘confident’ of imminent sanctions on Russian oil

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Pivot by Germany bolsters support for phased-in import ban as Charles Michel says goal is to ‘break Russian war machine’

The aim of EU sanctions is to “break the Russian war machine”, with measures on Kremlin oil now imminent, the president of the European Council has said, as Germany pivoted to back the move.

A proposal to phase in a prohibition on Russian oil imports will be discussed by member state ambassadors in Brussels on Wednesday, with the most dependent, such as Slovakia and Hungary, seeking exemptions.

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BP profits soar to $6.2bn amid calls for energy windfall tax

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Company beats forecasts thanks to high oil and gas prices but is hit by offloading its stake in Russia’s Rosneft

BP’s profits more than doubled to $6.2bn (£5bn) in the first three months of the year, boosted by soaring oil and gas prices.

It was well ahead of the $4.5bn of expected by analysts and is likely to revive calls for a windfall tax on oil and gas companies from Labour and the Liberal Democrats, who argue the money raised could be used to ease the burden for those hardest hit by the cost of living costs.

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Kwarteng and Sunak at odds over windfall tax on oil and gas profits

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Government sources play down idea of cabinet split as business secretary quashes idea recently mooted by chancellor

Government sources have played down the idea of a cabinet split over a possible windfall tax on energy companies as the business secretary, Kwasi Kwarteng, firmly quashed the idea, days after it was mooted by the chancellor.

In a search for solutions to a crisis over energy prices, and the cost of living more widely, Rishi Sunak said a windfall tax, as advocated by Labour, was possible if energy companies did not properly reinvest bumper profits.

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Rishi Sunak hints at U-turn on UK oil and gas windfall tax

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The chancellor says nothing is off the table but fellow Tory ministers remain dismissive of idea

Rishi Sunak has opened the door to a windfall tax on oil and gas companies despite previously dismissing the policy, as Labour accused the government of burying its head in the sand over spiralling bills.

The chancellor hinted at a possible U-turn on a tax on oil and gas providers, after repeatedly refusing to countenance the idea in the past when suggested by Labour and the Lib Dems.

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Shelf shock: soaring supermarket prices shoppers find hard to swallow

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From dog food to coffee, readers are reporting some basic goods’ prices are rising by far more than inflation

Inflation is rampant, and supermarket prices are no exception. Shoppers are returning to stores to find old favourites have leapt in price from one week to the next. The cost of consumer goods is spiralling at such a rate that retail analysts have coined a new term, shelf shock.

Nestlé, the owner of KitKat, Häagen-Dazs and Felix cat food, became the latest consumer goods group to warn of more pain to come on Thursday, saying it had raised prices by 5.2% in the first three months of this year and that rising production costs would force another increase soon.

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Labour says it will insulate 2m houses in first year to cut bills

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Ed Miliband says move will ease energy price crisis and reduce dependence on Russian gas

Labour has said it would insulate 2m houses within a year to slash bills and reduce reliance on Russian gas, accusing Boris Johnson of a “shameful” failure to stop Britain’s homes leaking heat.

The government put major nuclear and onshore wind projects at the heart of its energy security strategy announced earlier this month, but faced criticism for failing to include any new measures on insulation despite the UK having some of the draughtiest housing in Europe.

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‘It’s a media war’: the UK’s top anti-oil campaigner fights on aged 80

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In 50 years, Canvey Island’s George Whatley has won five victories against oil and gas firms trying to expand operations

George Whatley is probably Britain’s most successful anti-oil campaigner, but you won’t find him at Extinction Rebellion’s latest wave of protests or the Just Stop Oil campaign which has blocked fossil fuel infrastructure recently.

At 80 years old and after a recent spell in hospital, he will be taking it easy at his bungalow on Canvey Island, Essex. But if anyone can claim a place in the annals of successful environmental protests, it is this former Bank of England security guard.

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Germany will stop importing Russian gas ‘very soon’, says Olaf Scholz

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Chancellor declines to endorse claim by Boris Johnson during London visit that goal will be achieved by mid-2024

The German chancellor, Olaf Scholz, has said his country is doing all it can to wean itself off Russian energy, but declined to endorse a claim by Boris Johnson that it would stop importing Russian gas by the middle of 2024.

Scholz said only that the goal would be achieved very soon, and that Germany would stop using Russian coal by the summer and Russian oil by the end of the year.

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PM to put nuclear power at heart of UK’s energy strategy

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Plan will not please environmental campaigners, who say it fails to meet government’s net-zero targets

Boris Johnson is to put nuclear energy at the heart of the UK’s new energy strategy, but ministers have refused to set targets for onshore wind and vowed to continue the exploitation of North Sea oil and gas.

Amid deep divisions among senior Conservatives, the strategy will enrage environmentalists, who say the government’s plans are in defiance of its own net-zero targets and neglect alternative measures that experts say would provide much quicker relief from high energy bills.

Increasing nuclear capacity from 7 gigawatts to 24GW

Offshore wind target raised from 40GW to 50GW (from 11GW today)

Solar could grow five times from 14GW to 70GW by 2035

An “impartial” review into whether fracking is safe

Up to 10GW of hydrogen power by 2030

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National Grid to be partly nationalised to help reach net zero targets

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Electricity System Operator, the division that keeps the lights on in Great Britain, will form part of a new public body

The job of keeping the UK’s electricity and gas flowing will be returned to public control by 2024, under government plans for the effective nationalisation of a division of National Grid.

A new public body, the “Future System Operator”, will have responsibility for planning and managing energy distribution, with a focus on the challenges posed by decarbonisation.

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High energy-using industries fear lack of support from UK ministers

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Firms say they need the kind of help that EU competitors get as gas and electricity prices soar

Britain’s strategic heavy industries have warned they risk being left high and dry by a lack of support in the government’s upcoming energy strategy, warning that failure to follow European countries’ measures to reduce gas and electricity costs will put UK businesses at risk.

The government is expected to outline long-awaited proposals this week for a once-in-a-generation drive to invest in nuclear power and possibly more onshore wind and solar power, as well as approving continued North Sea oil and gas exploration.

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Minister rules out energy rationing in UK despite Ukraine crisis

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Grant Shapps says invasion is ‘wake-up call’ but onshore wind plan seems to have been scaled down

A cabinet minister has rejected calls for the UK to consider rationing energy, as a plan to drastically increase onshore wind power also appeared to be significantly scaled back.

The transport secretary, Grant Shapps, said Russia’s invasion of Ukraine had been a “massive wake-up call” for western nations about their dependence on imported oil and gas, which European countries are now trying to wean themselves off.

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Britain hands billions to projects linked to labour abuse and climate damage

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UK Export Finance used £5.24bn of taxpayer money to fund overseas energy and infrastructure ventures – despite its own review raising concerns

The British government has provided more than £5bn in the past three years to overseas energy and infrastructure projects linked to labour abuses and environmental damage, according to documents and interviews with workers.

The funding – a combination of loans and guarantees – comes from the government’s export credit agency, UK Export Finance (UKEF), a government department to help UK companies access business contracts overseas.

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