IEA urges OPEC to take ‘necessary steps’ to lower oil prices

IEA urges OPEC to take ‘necessary steps’ to lower oil prices
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Updated 25 November 2021

IEA urges OPEC to take ‘necessary steps’ to lower oil prices

IEA urges OPEC to take ‘necessary steps’ to lower oil prices

PARIS: The head of the International Energy Agency on Wednesday called on OPEC and its allies to take measures to help bring oil prices down to “reasonable levels.”
“I very much hope to see in the next meeting or meetings they... make the necessary steps in order to comfort the global oil markets and help bring the prices down at reasonable levels,” Fatih Birol told reporters.
The head of the IEA, which unites oil consuming nations, also took aim at Russia over gas.
“Russia can easily increase exports to Europe about 15 percent... and significantly comfort the European gas markets,” said Birol.
Natural gas prices in Europe have surged this year and Russia, the region’s major supplier, has been slow to step up deliveries.
OPEC nations and their allies, including Russia, agreed in July to slowly increase their oil output each month toward pre-pandemic levels as the world economy recovers from the COVID-19 pandemic.
They have declined to move faster despite a jump in prices to over $80 per barrel, a level that many analysts worry could undermine the global economic recovery.
They are due to review their strategy at a meeting in December.
The United States and a handful of other oil consuming nations announced on Tuesday releases of supplies from their strategic petroleum reserves.
The move is aimed at blunting soaring prices at the pump that are biting into consumers’ pocketbooks and pushing up transportation costs.
“The rise in oil prices is placing a burden on consumers in these countries and also in several emerging countries,” Birol said.
“It also puts additional pressure on inflation in a period where economic recovery remains uneven and still faces a number of risks,” he added.
Inflation is pushing central banks toward raising interest rates, a move which would slow the global economic recovery as well as dent oil demand.
Global crude prices rose following the announcement of the releases from strategic reserves as the move was less ambitious than anticipated.
Birol added the releases were not a collective response by IEA members, which he said have happened only three times due to major supply shocks like the 1991 Gulf War, Hurricane Katrina and the Libyan civil war.


Boeing invests $450m in flying taxi developer Wisk

Boeing invests $450m in flying taxi developer Wisk
Image: Shutterstock
Updated 11 sec ago

Boeing invests $450m in flying taxi developer Wisk

Boeing invests $450m in flying taxi developer Wisk

Boeing Co. is investing a further $450 million in Wisk to support development of future pilotless flying taxis, the US aerospace giant said on Monday.


California-based Wisk, owned by Boeing and Kitty Hawk, was launched by Google co-founder Larry Page and is one of dozens of businesses electric vertical takeoff and landing (eVTOL) aircraft but differs in making them autonomous from the outset.


Choice hotels, Saudi Seera Group launch two new hotels in the Kingdom

Choice hotels, Saudi Seera Group launch two new hotels in the Kingdom
Updated 3 min 21 sec ago

Choice hotels, Saudi Seera Group launch two new hotels in the Kingdom

Choice hotels, Saudi Seera Group launch two new hotels in the Kingdom

RIYADH: Two new hotels have launched in Saudi Arabia as part of a bigger plan between hospitality firm Choice Hotels EMEA and Saudi tour operator Seera Group,

Under the collaboration, at least 10 hotels will be opened in the Kingdom in the next five years.

The first hotel launched through the partnership — Clarion Hotel Jeddah Airport — has 200 rooms and is located near the Jeddah Airport Train Station.

The second hotel, Comfort King Road, has 125 suites and is situated near Jeddah Corniche.

Majed Alnefaie, CEO of Seera Group, said the collaboration falls in line with Saudi Vision 2030 and aims to “strengthen inward tourism and to build a robust infrastructure that will enable the Kingdom to realize the goals of economic diversification.”


Panasonic to invest $700 million to produce Tesla EV battery: Nikkei

Panasonic to invest $700 million to produce Tesla EV battery: Nikkei
Image: Shutterstock
Updated 23 min 41 sec ago

Panasonic to invest $700 million to produce Tesla EV battery: Nikkei

Panasonic to invest $700 million to produce Tesla EV battery: Nikkei
  • Japan’s Panasonic will begin producing its new lithium-ion battery for Tesla from as early as 2023

Japan’s Panasonic will begin producing its new lithium-ion battery for Tesla from as early as 2023, with plans to invest about 80 billion yen ($705 million) in production facilities in Japan, the Nikkei reported on Monday.


The powerpack could help make electric vehicles (EVs) more attractive to motorists by extending cruising range by about a fifth, the Nikkei reported, without saying where it obtained the information.


“We are studying various options for mass production, including a test production line we are establishing this business year. We don’t, however, have anything to announce at this time,” Panasonic said in a statement sent to Reuters.


Panasonic unveiled the 4680 format (46 millimeters wide and 80 millimeters tall) battery in October.

At around five times as big as batteries it currently supplies to Tesla, it is also expected to help the US electric vehicle maker lower production costs.


Panasonic will make the 4680 batteries at a plant in Wakayama prefecture in Western Japan, with output of less than 10 gigawatt hours a year, equivalent to around 150,000 vehicles, the Nikkei said.


Panasonic is the sole maker of the more advanced Tesla battery, ensuring it remains a key supplier to the US company, at least for its pricier models, even as the EV maker seeks out battery suppliers in China and elsewhere.


Oil giant Aramco signs 50 agreements during 6th iktva forum

Oil giant Aramco signs 50 agreements during 6th iktva forum
Updated 25 min 8 sec ago

Oil giant Aramco signs 50 agreements during 6th iktva forum

Oil giant Aramco signs 50 agreements during 6th iktva forum

RIYADH: Saudi oil giant Aramco signed 50 new agreements at the In-Kingdom Total Value Add forum and exhibition, known as iktva, amid its supply chain resilience enhancement.

The agreements include a climate leadership and digitalization deal with Schlumberger; equipment localization procurement agreements with Cameron, Technip FMC and Baker Hughes companies; and a partnership deal on pressure vessel fabrication localization with Larsen & Toubro.

Aramco also signed agreements with Sutherland Global Services on smart city services localization; a desalination agreement with Tanajib Cogeneration Power Co.; and a localization of process automation solutions partnership with US’s Honeywell. 

The iktva program increased Aramco’s spending with domestic suppliers in 2021 to 59 percent, up from 35 percent in 2015 when the program was launched.

Amid global supply chain disturbances, the program aims to drive domestic value creation, maximize long-term economic growth and diversification to develop a sustainable and globally competitive energy sector in the Kingdom. 

“It wasn’t possible to foresee the consequences of the COVID-19 pandemic, but iktva helped us to prepare for the disruptions it caused to the global supply chain,” Aramco CEO Amin Nasser said.

The three-day forum, running from Jan. 24 to 26 at Dhahran EXPO, showcases progress in Aramco's flagship business continuity initiative.

Held under the theme ‘Paving the way to Economic Success’, the forum recognizes the achievements of Aramco’s program partners across 10 categories, including overall iktva performance, training, Saudization, female representation and exports.

With local content contributing over $100 billion to the Saudi economy, iktva has attracted more than 540 investments to Saudi Arabia from 35 countries.

Major signings include:

  • Schlumberger – Partnership on climate leadership and digitalization through localization initiatives
  • Cameron/TechnipFMC/Baker Hughes – Wellhead equipment localization procurement agreements
  • Larsen & Toubro – Pressure vessel fabrication localization
  • Sutherland Global Services – Smart City services localization
  • Tanajib Cogeneration Power Company – Tanajib cogeneration and desalination agreement
  • Honeywell – Localization of process automation solutions
  • Alfanar Company - Carbon fiber investment collaboration

 


US PR firm Teneo launches Middle East financial advisory business 

US PR firm Teneo launches Middle East financial advisory business 
Image: Shutterstock
Updated 43 min 49 sec ago

US PR firm Teneo launches Middle East financial advisory business 

US PR firm Teneo launches Middle East financial advisory business 
  • The firm has services in hubs including Riyadh, Doha, and Dubai

RIYADH: US public relations and advisory firm, Teneo has launched a financial advisory business in the Middle East.

This comes as the corporation wishes to expand to key markets worldwide, with the Middle East posing as a potential growth opportunity.

As part of this move, the advisory firm has appointed Matthew Wilde and Elie Fakhoury to key roles.


Wilde is known for his role in various large scale and complex restructuring projects in the region including that of Arabtec, NMC Healthcare, Al Jaber, and others.

Fakhoury holds over 15 years of accumulated experience in the region, including covering extensive restructuring projects.

Teneo financial advisory business has around 350 employees worldwide and offering tools to tackle challenging business issues.

The firm has services in hubs including Riyadh, Doha, and Dubai.