Russia says reaching oil output freeze deal not critical – RIA
Reaching an agreement to stabilise global oil prices, including a possible deal to freeze output, is “non-critical” for Russia, its Energy Minister Alexander Novak was quoted by Russian news agencies as saying on Sunday. “For us, in principle, it’s non-critical, but we believe that the process of market rebalancing could be advanced. It’s beneficial for all,” RIA quoted Novak as saying. Members of the Organization of the Petroleum Exporting Countries will meet on the sidelines of the International Energy Forum in Algeria from Sept. 26-28, where they will discuss a possible output-limiting deal. Gregory Polanco Womens Jersey
Centre will extend full support to state: Pradhan
Union Minister of State for Petroleum and Natural Gas Dharmendra Pradhan has said that the Petroleum Ministry will extend full support to the Kerala government in converting all public transport vehicles to Liquefied Natural Gas (LNG) and Compressed Natural Gas (CNG). “We welcome the Kerala government’s decision to convert the fuel of all public transport vehicles to LNG and CNG. We will set up a strong supply chain of LNG and CNG to ensure uninterrupted supply of clean energy in the state,” Pradhan told Express. The Ministry had already taken up the issue of the obstacles faced by the Gas Authority of India Limited (GAIL) in laying pipeline in the state and Chief Minister Pinarayi Vijayan had agreed to look into it, he said. “Kerala is to benefit once GAIL completes the green corridor project by laying natural gas pipeline from Mangaluru to Thiruvananthapuram,” the Minister said. Pradhan said that the petroleum sector contributed over Rs 230 billion per annum to the state and by laying the pipeline, we would be able to deliver hundred per cent clean energy to the state. On shortage of LPG cylinders in the state and the long delay faced by people in getting refilled cylinders, the Minister said that the BPCL and IOC plants in the state had enough capacity to supply LPG cylinders to the market without any delay, but the militant trade unionism in these plants was a hindrance. “Trade unions have fixed a certain number of cylinders which they will process in a single day and are not ready to increase the number. In spite of repeated efforts taken by the companies, they continue to create stumbling block. The Ministry has decided to take up the issue seriously to solve the cylinder shortage faced in the state. We will be writing to Chief Minister to take up the matter seriously with the unions and do the needful,” he added. Josh Bynes Authentic Jersey
Oil-for-drugs: no clarity yet on barter with Venezuela
Uncertainty continues on the much-awaited oil-for-drugs barter plan that India has proposed with Venezuela to repatriate millions of dollars owed to domestic pharmaceutical companies. This was disclosed by Anice Jospeh Chandra, Director of the Department of Commence, at a press conference on the sidelines of 12th annual meet of Pharmaceutical Export Promotion Council (Pharmexcil) here on Thursday. Many drugmakers, including Dr Reddy’s Laboratories Ltd, have pending payments from cash-strapped Venezuela, which has been witnessing a series of currency devaluations in the recent past. “We had earlier prepared a draft proposal for the barter plan by roping in the RBI, banks and our drugmakers, and are working on it for several months. We are yet to hear from the government of Venezula on this,” said Chandra, adding that no timeframe can be given to resolve the issue. As of now, Venezuela, Nigeria and Angola have turned ‘problematic’ in repatriations for Indian pharma companies. As per industry estimates, over Rs. 20 billion in payments were due from Venezuela alone. Earlier, Pharmexcil Chairman and Aurobindo Pharma Director M Madan Mohan Reddy said there was huge potential to be harnessed in pharma exports. “Globally, the pharma business was valued at $1050 billion and India accounted for only 2.5-3 per cent of it,” he said. PV Appaji, Director-General, Pharmexcil, said pharma exports are growing at 10-12 per cent per annum and the council is looking to expand the reach of Indian drugs. Jason Chimera Womens Jersey
Oil India investing Rs 12 billion to revamp pipeline pumping stations
Oil India Ltd (OIL) today said it is investing Rs 12 billion to revamp the pumping stations of its trunk pipeline. “Currently, revamping of the pumping stations of the trunk pipeline, which have been operating for over five decades, is in progress at a cost of Rs 12 billion,” a company statement said here. OIL operates a total network of 1,220 km long crude oil pipelines, with a capacity to carry 5.38 MMTPA crude. These pipelines transport crude oil produced from oilfields in Upper Assam to the public sector refineries at Numaligarh, Guwahati and Bongaigaon in the state. OIL Chairman and Managing Director Utpal Bora said at the Annual General Body Meeting that the company achieved highest ever production and sale of natural gas in its history during 2015-16 fiscal. “While natural gas production was 2,838 MMSCM as against 2,722 MMSCM during 2014-15, natural gas sales was 2,314 MMSCM as against 2,181 MMSCM during 2014-15,” he added. Bora informed the shareholders that crude oil production was 3.247 MMT as compared to 3.440 MMT during 2014-15. The turnover of the company stood at Rs 97.6487 billion as against Rs 97.4823 billion, while the Profit after Tax (PAT) was Rs 23.3011 billion against Rs 25.1020 billion during 2014- 15, he added. Bora said the contribution to the state exchequer during the year was Rs 18.61 billion and that to the Central government was Rs 32.45 billion. Sven Baertschi Authentic Jersey
BPCL Kochi Refinery set to become world-class: Dharmendra Pradhan
BPCL Kochi Refinery is all set to become a world-class refiner with crude oil processing capacity of 15.5 MMTPA, Union Minister Dharmendra Pradhan said today. “The Kochi Refinery had embarked on a great journey by processing 2.5 Million Metric Tonnes Per Annum (MMTPA) and presently is in the threshold of becoming a world-class refinery with crude oil refining capacity of 15.5 MMTPA,” the Oil and Petroleum, minister said. Pradhan was speaking at a function to commemorate BPCL Kochi Refinery’s Golden Jubilee here. The refinery is also setting up a petrochemical complex which would enhance the value chain, generate employment opportunities and increase economic activity in Kerala, he said. BPCL will set up a green bio-fuel refinery to produce ethanol at Kochi by converting agricultural and municipal waste, he added. The minister said about Rs 300 billion worth of investment is being implemented in Kerala including that of enhancing crude refining capacity of Kochi Refinery and the petrochemical complex. Rajya Sabha Deputy Chairman P J Kurian and State Power Minister Kadakampally Surendran were among those present on the occasion. Meanwhile, a press release said Kochi Refinery is undertaking the implementation of its Integrated Refinery Expansion Project (IREP) which is in its final stages. On other activities, release said BPCL in collaboration with other oil companies and the state government is setting up a world-class skill development institute at Ettumanoor near Kottayam. A framework agreement to this effect has been signed with the state government and select courses will be started in November 2016. Nettur Technical Training Foundation(NTTF) has been identified as the training partner for conducting the skill development training programme. Connor McGovern Jersey
Board approves pact to take stake in GSPC gas block
The Board of state-owned ONGC has approved signing of a preliminary agreement for buying a stake in Gujarat government firm GSPC’s KG basin gas block. The Board of Oil and Natural Gas Corp (ONGC) at its meeting on September 8 approved signing of an MoU for taking a stake in Gujarat Petroleum Corp Ltd’s (GSPC) difficult gas block, sources privy to the development said. The MoU approved strangely also incorporates a dispute resolution wherein any differences over issues like valuation or natural gas reserves would be referred to a three-member committee of outside experts. Sources said this is perhaps for the first time that a memorandum of understanding (MoU) sets out a dispute resolution committee and it perhaps is indication of the pitfalls that ONGC anticipates in buying a stake in the block. It has already differed with GSPC on the gas reserves the block holds and has appointed US-based consultant Ryder Scott to do an independent assessment. The three member committee will have economist and former oil secretary Vijay Kelkar and former CVC P Shankar, they said adding the third member will be appointed in due course. Once all the three members are in place, the MoU will be inked, the sources added. Since the BJP-led government came to power at the Centre, the Gujarat government firm GSPC has been seeking to sell a majority stake in its KG-OSN-2001/3 (Deendayal) block in Bay of Bengal to ONGC to avoid defaulting on loans. ONGC initially was not keen to buy stake in the block as it felt the block had reserves far less than what GSPC was claiming and the asking price for the stake was not commensurate with the returns. But it has now agreed to look at the possibility and the MoU is a step further in that direction, they said. Ryder Scott Petroleum Consultants has been asked to evaluate gas properties in the GSPC block and independently certify the reserves quantities, the source said. GSPC was to begin gas production from the block in 2013 but after sinking in USD 3.6 billion it was found that gas reserves are one-tenth of 20 trillion cubic feet claimed in 2005 and that too is technically difficult to produce. In the process it has amassed Rs 195.76 billion of debt, on which interest cost was Rs 18.0406 billion in 2014-15, according to the CAG. And against this its revenue was Rs 1.5251 billion in 2014-15. Sources said GSPC has been doing trial production of a very small volume of gas from August 4, 2014 and has not yet reached commercial production and in absence of revenue commensurate with the debt servicing obligations it risks becoming a defaulter. To bail out of the situation, it offered to sell 50 per cent stake to ONGC, they said. Elandon Roberts Authentic Jersey
Crude oil, natural gas output drops in August
Domestic crude oil output fell 3.93 per cent in August 2016, while natural gas output dropped by 5.72 per cent, according to data released by the Ministry of Petroleum and Natural Gas. Domestic crude oil production stood at 3.067 million tonnes in the month of August 2016 compared witho 3.193 million tonne in the same month last year. Natural gas production stood at 2.674 billion cubic meter ( 2.836 billion cubic metre). Further, refinery throughput during the month grew 3.46 per cent during the month to 20.290 mt against 19.611 mt in the same month last year. Nathan MacKinnon Womens Jersey
Monsoon to keep India’s diesel exports near 3-year high
India’s diesel exports are expected to hover near a three-year high in September, as monsoon rains reduce the need to use the fuel in irrigation pumps, according to traders and refinery sources. Reflecting this trend, state-owned Indian Oil Corp exported diesel for the first time in more than five years and the ramp-up of a new refinery could also temporarily keep exports high after the monsoon draws to a close this month. The increase in shipments from the world’s no. 3 oil consumer has driven the profit margin for refining diesel in Asia to a seasonal six-year low. India is expected to ship out similar volumes in September compared with August, when it exported 2.85 million tonnes, according to traders. Last month’s volume was the highest since September, 2013, when India shipped out 3.371 million tonnes, government data showed. “Diesel demand has not been that good during this monsoon season and has generally been flattish,” a source at an Indian-refiner said. Indian Oil Corp exported its first low-sulphur diesel cargo in more than five years in August and followed up by offering a second cargo this week. While the first cargo was sold at a deep discount due to a low flash point making it more difficult to blend, any additional spot cargo will weaken an already oversupplied diesel market in Asia, traders said. IOC’s diesel demand during the monsoon was lower than the company’s initial estimates, while its inventory was high, leading to the unexpected exports, but this is likely to be temporary, a second source close to the matter said. Refineries in India are also running at near maximum capacity due to healthy refining margins driven by low feedstock prices, a third refining source said. IOC’s 300,000 barrels per day (bpd) new Paradip refinery, which was commissioned in late 2015, will run at full capacity by the last quarter of the current financial year, a company executive said this week. The refinery is expected to boost IOC’s diesel output by 200,000 tonnes next month, which will reduce its offtake of the fuel from private refiners by a similar amount, one of the sources said. This in turn could drive up exports from private refiners like Essar Oil and Reliance Industries, traders said. “Diesel demand was so good over the first half of this year, but fell during the monsoon season,” the third refining source said. “Demand should pick up after the monsoon but as of now that is still to be seen.” India’s monsoon season typically runs from June to September. Trevor Bauer Womens Jersey
Govt to fund 40% of Jagdishpur-Haldia and Bokaro-Dhamra gas pipeline project
Almost 40% of the Rs 12,940 crore, proposed Jagdishpur-Haldia and Bokaro-Dhamra (JHBDPL) gas pipeline project will be funded by the government. The Cabinet Committee on Economic Affairs has approved viability gap funding and partial capital grant for the project amounting to Rs 5,176 crore, on Wednesday. This 2539 km long JHBDPL gas pipeline project will ensure availability of clean and eco-friendly fuel like natural gas to industrial, commercial, domestic and transport sectors in West Bengal. Other states benefitting from the project will be Uttar Pradesh, Bihar, Odisha and Jharkhand. The JHBDPL project will connect eastern part of the country with the national gas grid. The capital grant will encourage supply of eco-friendly fuel at affordable tariffs to industries and will encourage industrial development in these states. The cabinet has also recently approved revival of three fertilizer units (FCIL- Gorakhpur, HFCL- Barauni and FCIL-Sindri) along the route of this pipeline project. On revival, these units will be the anchor gas customers for JHBDPL project and gas to these plants will be supplied under the gas pooling scheme for urea sector at pooled price. Terry Bradshaw Authentic Jersey
CCEA approves city gas distribution in Kolkata
The Cabinet Committee on Economic Affairs (CCEA), has approved development of city gas distribution (CGD) networks in Kolkata as well as cities lying en-route Jagdishpur-Haldia and Bokaro-Dhamra gas pipeline. Varanasi, Patna, Bhubaneswar, Ranchi, Jamshedpur and Cuttack will also get city gas distribution. City Gas Distribution (CGD) networks in cities are to be developed by GAIL in collaboration with the concerned state governments. It will bring clean cooking fuel at the door steps of domestic households as well as provide clean fuel to transport sector in the eastern region. About 1.25 crore people living in these cities will be directly benefitted by the establishment of these networks. All these projects will generate direct as well as indirect employment for about 21,000 people and will boost socio-economic development in the eastern part of the country. William Gholston Authentic Jersey