Flydubai launches first scheduled Dubai-Tel Aviv flight

Flydubai launches first scheduled Dubai-Tel Aviv flight
1 / 2
The budget airline flydubai will fly the route twice daily. (flydubai)
Flydubai launches first scheduled Dubai-Tel Aviv flight
2 / 2
The budget airline flydubai will fly the route twice daily. (Twitter @ofirgendelman)
Short Url
Updated 26 November 2020

Flydubai launches first scheduled Dubai-Tel Aviv flight

Flydubai launches first scheduled Dubai-Tel Aviv flight
  • The Dubai carrier will fly the route twice daily
  • Israeli airlines El Al and Israir are both expected to launch their commercial services between the cities next month

DUBAI: The first scheduled commercial flight operated by flydubai from Dubai International landed at Tel Aviv Ben Gurion International Airport on Thursday to a water salute.

The inaugural flight was flown by Captain Patrick Gonzenbach and Emirati First Officer Abdulla Al-Shamsi.

Israeli Prime Minister Benjamin Netanyahu was on hand for the arrival of the inaugural flight after its nearly four-hour trip, his spokesman said.

“PM Netanyahu will attend this morning the welcoming ceremony for the first @flydubai commercial flight that will arrive at Ben-Gurion International Airport,” Ofir Gendelman earlier said in a tweet.
“These are the fruits of peace Dear Emirati tourists, welcome to Israel!”
The United Arab Emirates in September signed a landmark US-brokered deal to formalize relations with Israel, the first such agreement by an Arab state in the Gulf.
With their economies hard hit by the coronavirus pandemic, the UAE and Israel are hoping for rapid dividends from the normalization deal, including an influx of tourists as Dubai enters its winter high season.

 

“The start of scheduled flights will contribute to economic development and create further opportunities for investment,” flydubai CEO Ghaith Al-Ghaith said when the service was announced earlier this month.
The Dubai carrier will fly the route twice daily, and Israeli airlines El Al and Israir are both expected to launch their commercial services between the cities next month.
Etihad Airways, based in the UAE capital Abu Dhabi, has said it will begin flying to Tel Aviv in March 2021.
The UAE became only the third Arab country to normalize ties with Israel, following Egypt in 1979 and Jordan in 1994.
The two countries have already signed treaties on visa-free travel — although that is yet to come into force — along with accords on investment protection, science and technology.
Since the historic agreement, Bahrain and Sudan have followed suit and agreed to forge ties.
The agreements shattered a longstanding Arab consensus that there should be no normalization with Israel until it reaches a comprehensive peace deal with the Palestinians.
After the UAE deal was announced by President Donald Trump in August, El Al flew a delegation of US and Israeli officials — led by Trump’s son-in-law Jared Kushner — to Abu Dhabi in a historic direct service between the two countries.
That was followed by an official visit by a UAE delegation to Tel Aviv as well as a string of charter flights carrying business groups.


WEEKLY ENERGY RECAP: Despite long-term challenges, oil prices remain in healthy range

WEEKLY ENERGY RECAP: Despite long-term challenges, oil prices remain in healthy range
Updated 17 min 51 sec ago

WEEKLY ENERGY RECAP: Despite long-term challenges, oil prices remain in healthy range

WEEKLY ENERGY RECAP: Despite long-term challenges, oil prices remain in healthy range

Oil prices have been stable since early January, with Brent crude price hovering around $55. Brent crude closed the week slightly higher at $55.41 per barrel,
while West Texas Intermediate (WTI) closed slightly lower at $52.27 per barrel.

Oil price movement since early January in a narrow range above $50 is healthy, despite pessimism over an increase in oil demand, while expectations of US President Joe Biden taking steps to revive energy demand growth are
still doubtful. The US Energy Information Administration (EIA) reported a hike in US refining utilization to its highest since March 2020, at 82.5 percent. The EIA reported a surprise weekly surge in US commercial crude stocks by 4.4
million barrels. Oil prices remained steady despite the bearish messages sent from the International Energy Agency (IEA), which believes it will take more time for oil demand to recover fully as renewed lockdowns in several countries weighed on oil demand recovery.

The IEA’s January Oil Market Report came as the most pessimistic monthly report among other market bulletins from the Organization of the Petroleum Exporting Countries (OPEC) and EIA. It forecast oil demand will bounce back to 96.6 million bpd this year, an increase of 5.5 million bpd over 2020 levels.

Though the IEA has lowered its forecast for global oil demand in 2021 due to lockdowns and vaccination challenges, it still expects a sharp rebound in oil consumption in the second half of 2021,
and the continuation of global inventory depletion.

The IEA reported global oil stocks fell by 2.58 million bpd in the fourth quarter of 2020 after preliminary data showed hefty drawdowns toward the end of the year. The IEA reported OECD industry stocks fell for a fourth consecutive month at 166.7
million barrels above the last five-year average. It forecast that global refinery throughput is expected to rebound by 4.5 million bpd in 2021, after a 7.3 million bpd drop in 2020.

The IEA monthly report has led to some short term concern about weakness in the physical crude spot market, and the IEA has acknowledged OPEC’s firm role in stabilizing the market.

Controversially, the IEA believes that a big chunk of shale oil production is profitable at current prices, and hence insinuated that shale oil might threaten OPEC market share.

It also believes that US shale oil producers have quickly responded to oil price gains, winning market share over OPEC producers. However, even if US shale oil drillers added more oil rigs for almost three months in a row, the number of operating rigs is still less than half that of a year ago, at 289 rigs.

The latest figures from the Commodity Futures Trading Commission show that crude futures “long positions” on the New York Mercantile Exchange are at 668,078 contracts, down by 18,414 contracts from the previous week (at 1,000 barrels for each contract).