OPEC+ sees little impact from SPR on market

OPEC+ sees little impact from SPR on market
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Updated 02 December 2021

OPEC+ sees little impact from SPR on market

OPEC+ sees little impact from SPR on market
  • Oil producers’ alliance to decide future crude output strategy today

RIYADH: The Organization of the Petroleum Exporting Countries and its allies, a grouping called OPEC+ does not see crude releases from the strategic petroleum reserves of several countries led by the US creating an meaningful impact on the global oil market as some are voluntary and some exchanges.

The alliance of world’s top oil producers on Wednesday began two days of deliberations to discuss the current market situation and to decide whether to release more oil into the market or restrain supply amid big gyrations in crude prices and fears about weaker energy demand because of the omicron coronavirus variant.

Shortly after the OPEC talks began, a delegate told Reuters that the group was not discussing changes to output policy for now.

Russia and Saudi Arabia, the biggest OPEC+ producers, had said ahead of this week’s meetings that there was no need for a knee-jerk reaction to amend policy.

Iraqi Oil Minister Ihsan Abdul Jabbar said he expected OPEC+ to extend existing output policy in the short term, Iraq’s state news agency reported.

Since August, the group has been adding an additional 400,000 barrels per day of output to global supply, as it gradually winds down record cuts agreed in 2020, when demand cratered because of the pandemic.

Even before concerns about omicron emerged, OPEC+ had been weighing the effects of last week’s announcement by the US and other major consumers to release emergency crude reserves to temper energy prices.

OPEC+ internal data, in a report seen by Reuters, forecast a 3 million bpd surplus in the first quarter of 2022 after the release of reserves, up from a previous forecast of 2.3 million bpd.

“Generally, the impact of Omicron seems to be jet-fuel related for now, particularly in Africa and Europe,” the report said, as many countries barred travelers from southern Africa and some European states imposed new coronavirus restrictions.

“Transportation fuel demand within Europe might be also affected,” the report added.

Diamantino Pedro Azevedo, Angola’s minister of mineral resources and petroleum, who is also president of the OPEC Conference, stressed the need for a joint strategy to deal with “downside risks associated with inflation spikes, rising debt levels and supply-chain disruptions.”

“We need to remain united, focused and ready to adapt to any changing market dynamics,” Azevedo said.

He praised Saudi Energy Minister Prince Abdulaziz bin Salman and Russian Deputy Prime Minister Alexander Novak who the alliance “moving in the direction of recovery and stability.”

OPEC+ has been gradually scaling back last year’s record output cuts of 10 million bpd, equivalent to about 10 percent of global supply. About 3.8 million bpd of cuts are still in place.

But OPEC’s November oil output has again undershot the level planned, as some OPEC producers have struggled to hike output.


Kuwait’s budget deficit 682 million dinars in 9 months

Kuwait’s budget deficit 682 million dinars in 9 months
Updated 9 sec ago

Kuwait’s budget deficit 682 million dinars in 9 months

Kuwait’s budget deficit 682 million dinars in 9 months

KUWAIT CITY: Kuwait’s oil revenue reached 11.5 billion dinars ($38.10 billion) in the nine months to the end of December, the Ministry of Finance said in a report on Monday.
The Gulf OPEC member recorded a budget deficit of 682.4 million dinars in the first nine months of its financial year, which ends in March 2022, the ministry’s preliminary report said.
($1 = 0.3019 Kuwaiti dinars)


Military-affiliated companies to be listed on the Egyptian bourse next year: PM

Military-affiliated companies to be listed on the Egyptian bourse next year: PM
Updated 17 January 2022

Military-affiliated companies to be listed on the Egyptian bourse next year: PM

Military-affiliated companies to be listed on the Egyptian bourse next year: PM

RIYADH: Some military affiliated companies operating in the economy and civil sectors are being restructured to be listed on Cairo's Stock Exchange next year, Egypt's Prime Minister, Mostafa Madbouly, said.

The companies will be available to all Egyptians, not just the private sector,  he added during his interview on a BBC program, citing President Abdel Fattah El Sisi’s statement. 

Soliman did not disclose the names of other companies affiliated with the Egyptian army that are planned to be listed, until the validity of their legal structures is verified. 

“We have offered more than 25 percent of the wholly state-owned e-finance company on the EGX, and many companies, including companies affiliated with the armed forces, are scheduled to be offered on the stock exchange next year,” Madbouly said.  

He added that the size of the armed forces' institutions represents less than 1 percent of the Egyptian economy.

Ayman Soliman, the CEO of the Sovereign Fund of Egypt had previously revealed the organisation was in the process of completing the legal restructuring of two affiliated companies, namely the Safi food company and the Watania petroleum distribution company, with both set to be listed on the stock exchange.


UAE’s Masdar wants to hit 200 GW with global renewable energy projects: minister

UAE’s Masdar wants to hit 200 GW with global renewable energy projects: minister
Updated 17 January 2022

UAE’s Masdar wants to hit 200 GW with global renewable energy projects: minister

UAE’s Masdar wants to hit 200 GW with global renewable energy projects: minister

RIYADH: UAE-owned renewable energy company Masdar wants to see its global projects produce up to 200 gigawatts of electricity, the country’s Industry Minister Sultan al-Jaber said on Monday in Dubai.

Al-Jaber, who is also the CEO of Abu Dhabi National Oil Company (ADNOC), was speaking at the Abu Dhabi Sustainability Week Summit at the Expo 2020 site in Dubai.

He said  Masdar has invested in wind and solar projects in 40 countries around the world, according to Reuters, adding: “Our ambition is to accelerate this development globally to reach 100 GW and ultimately double that again to 200 GW.”

No timeframe was set out for the growth, but last month the  Abu Dhabi government confirmed plans to increase Masdar's capacity to more than 50 gigawatts by 2030.


Tanmiah Food appoints Ahmed Osilan as managing director

Tanmiah Food appoints Ahmed Osilan as managing director
Updated 17 January 2022

Tanmiah Food appoints Ahmed Osilan as managing director

Tanmiah Food appoints Ahmed Osilan as managing director

RIYADH: Saudi-listed Tanmiah Food Co. will see executive board member Ahmed Sharaf Osilan take over as managing director for the ongoing term, which shall end on April 4, 2022.

The decision was approved by the company’s board of directors today, Jan. 17.  

The newly elected member, Osilan, will replace Muhammad Sajid Saeed.

Osilan holds a bachelor’s degree in industrial management, and has 20 years of experience in the investment field, having held many leadership positions in the past.

The Riyadh-based food company, which employs more than 1,500 people, has grown to become a major supplier of chicken products.

It operates a veterinary services unit and food processing business.

 


General Motors Middle East appoints Sajed Sbeih as new vice president

General Motors Middle East appoints Sajed Sbeih as new vice president
Updated 17 January 2022

General Motors Middle East appoints Sajed Sbeih as new vice president

General Motors Middle East appoints Sajed Sbeih as new vice president

RIYADH: Automotive company General Motors Africa and Middle East, or GM AMEO, has appointed Sajed Sbeih to the role of vice president of strategy, product & operations at GM Europe. 

Sbeih was previously serving as the managing director of commercial operations for GM Middle East & Sub-Saharan Africa, according to the company’s statement.

Currently named as GM AMEO chief financial officer, Albert Nazarian has been named as the managing director of commercial operations for GM Middle East & Sub-Saharan Africa.

Also, Ajai Shankar, former finance director, is appointed as the company’s new chief financial officer.  

This comes in line with the company’s global growth strategy and efforts to support its vision of Zero Crashes, Zero Emissions and Zero Congestion.