TRSDC inks deal with ZeroAvia to develop zero-emission flights

TRSDC inks deal with ZeroAvia to develop zero-emission flights
The deal will explore options to retrofit a fleet of around 30 seaplane variants of the Cessna Caravan using ZeroAvia hydrogen-electric propulsion technology. (Supplied)
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Updated 24 July 2022

TRSDC inks deal with ZeroAvia to develop zero-emission flights

TRSDC inks deal with ZeroAvia to develop zero-emission flights

RIYADH: The Red Sea Development Co. has signed a memorandum of understanding with ZeroAvia, a British-American hydrogen-electric aviation firm, to test and develop zero-emission travel across its new luxury tourism destination with a focus on environmental sustainability and regeneration.

Signed during the Farnborough International Airshow in London, the deal will explore options to retrofit a fleet of around 30 seaplane variants of the Cessna Caravan using ZeroAvia hydrogen-electric propulsion technology to fly without emissions.

TRSDC and ZeroAvia will work together to develop the technology, including collaborating on a roadmap for delivering the production, supply and infrastructure necessary to support hydrogen-powered air travel in Saudi Arabia, said ZeroAvia in a statement.

The aviation company aims to install a 600kW system in the Cessna Caravan, which is expected to start flying by 2024.“Trialing ZeroAvia’s 600kW hydrogen-electric powertrains for the Caravan means tourists could be taking these zero-emission flights to the destination by the middle of this decade,” said James Peck, vice president, business development at ZeroAvia.

The partnership is part of TRSDC’s plan to offer fully sustainable connectivity across its destination, including The Red Sea Project, a luxury, regenerative tourism destination, and the recently acquired AMAALA project, located further north on the Red Sea coast.

 “We are an incubator of ideas, leveraging the most innovative concepts and technologies to help us deliver a new archetype for tourism, which pushes beyond sustainability to deliver regeneration for people and the planet,” said John Pagano, CEO of TRSDC.

He added: “Clean, green transport is fundamental to realizing that aim, which is why we’re working with forward-thinking partners such as ZeroAvia, to bring about a new way of traveling.”


Wallen Trading signs partnership with Renault Group to distribute cars in KSA

Wallen Trading signs partnership with Renault Group to distribute cars in KSA
Updated 20 sec ago

Wallen Trading signs partnership with Renault Group to distribute cars in KSA

Wallen Trading signs partnership with Renault Group to distribute cars in KSA

RIYADH: Wallan Trading Co., one of the leading players in the Saudi car market, signed a strategic partnership to become the official distributor of Renault Group as the Riyadh-based firm looks to expand its automotive offerings in the Kingdom.

A key distributor of global automobile brands including Hyundai Motors, Genesis, Kenworth, and Geely Motors, Wallan Trading says the new partnership will help boost its services in the Kingdom.  

Fahad bin Saad Al-Waalan, chairman of the Wallan Group, said: “We are pleased to cooperate with the giant Renault Group. This alliance allows us to expand our areas of services to our customers in the Kingdom by offering world-class Renault cars.”  

“We are confident that this partnership will provide a unique experience for customers, based on the Renault Group’s commitment to technological innovation and our solid experience in the Saudi market,” he added.  

Wallan started its business in the 1980s when it became the official agent of Hyundai in the central region of Saudi Arabia. The company has been growing its automobile portfolio since then with partnerships with other global passenger and commercial vehicle brands.

Jerome Banaud, managing director of Renault operations in Africa, the Middle East, and Asia Pacific, said: “We are delighted to proceed with this strategic alliance with the Wallan Group as its long-standing experience in the automotive sector and its strong customer focus perfectly match our brand goals.”  

Renault Group has a long history of providing automotive innovation and technology, including the introduction of Europe’s first mass-produced electric car. 


Eurozone inflation tumbles, fuelling ECB rates debate 

Eurozone inflation tumbles, fuelling ECB rates debate 
Updated 19 min 14 sec ago

Eurozone inflation tumbles, fuelling ECB rates debate 

Eurozone inflation tumbles, fuelling ECB rates debate 

FRANKFURT: Eurozone inflation eased more than expected last month as underlying price growth also slowed, fuelling a debate about the need for further European Central Bank rate hikes beyond an increase later this month. 

Inflation in the 20 nations sharing the euro eased to 6.1 percent in May from 7.0 percent in April, below expectations for 6.3 percent in a Reuters poll of economists. 

The reading came as only a modest surprise for investors, however, as national data earlier this week foreshadowed the drop. 

Core inflation, which excludes volatile food and fuel prices, and which has played an increasing role in the ECB’s policy deliberations, fell to 5.3 percent from 5.6 percent, coming well under expectations for 5.5 percent. 

The ECB has raised base rates by a combined 375 basis points to 3.25 percent over the past year to combat runaway prices and has essentially committed to another 25-basis point hike on June 15 given high underlying price pressures. 

“Today, inflation is too high, and it is set to remain so for too long,” ECB President Christine Lagarde said on Thursday. “That is why we have hiked rates at our fastest pace ever – and we have made clear that we still have ground to cover to bring interest rates to sufficiently restrictive levels.” 

Some economists argued that the bigger-than-forecast drop in underlying inflation suggests that not much work is left to be done. 

“Underlying inflation has probably passed its peak,” Commerzbank economist Christoph Weil said. “This supports our expectation that the ECB will raise key interest rates by 25 basis points for the last time in June.” 

Several influential policymakers, including the central bank governors of Germany, the Netherlands and Ireland, have already put a July rate hike on the table, and other economists sided with the policy hawks. 

They argue that July must be in play, partly because the ECB has been wrong about the inflation path for so long, it would rather err on the side of caution. 

“The May numbers and broader economic data will most likely convince the ECB to continue 25 basis points hikes in June and July and in our baseline forecast to pause after that,” Nordea said in a note. 

While Thursday’s benign price data add to the case for caution, Europe’s inflation problem is far from solved as price growth for many core items, particularly services, remains stubbornly high. 

Services inflation slowed to 5.0 percent from 5.2 percent while price growth for industrial goods eased to 5.8 percent from 6.2 percent, still excessive but both moving in the right direction. 

The ECB is also likely to take some comfort from the slowdown in food inflation to 12.5 percent from 13.5 percent as pressures on that front were still expected to build for some time. 

Recession risk  

Lower energy prices could push down headline inflation faster than some forecasts, but recent wage settlements could keep core inflation high. 

Eurozone wage growth is hovering in the 5 percent to 6 percent range, twice the rate that would be consistent with the ECB’s inflation target. 

But wages need to catch up after inflation ate deep into real incomes for years and the ECB is hoping that once inflation slows, wage growth will follow, so they will mutually extinguish each other. 

While that is a plausible scenario, the bloc’s labor market is exceptionally tight and firms, particularly in services, are reporting increasing labor shortages, an upside risk for wages and hence inflation. 

Another potential concern for the ECB is that economic growth appears less resilient than thought, particularly in manufacturing, with a raft of indicators showing that industrial activity could weigh on the overall economy even as services boom. 

This raises the risk that sharply higher borrowing costs could tip the bloc into recession, an outcome the ECB has tried to avoid. 

Financial investors see two more rate hikes from the ECB, with the first move fully priced in by June and a second in either July or September. 


Oil Updates — crude edges up on potential US rate hike pause 

Oil Updates — crude edges up on potential US rate hike pause 
Updated 35 min 59 sec ago

Oil Updates — crude edges up on potential US rate hike pause 

Oil Updates — crude edges up on potential US rate hike pause 

RIYADH: Oil prices rose on Thursday, reversing earlier losses, as a potential pause in US interest rate hikes and the debt ceiling bill passing a crucial vote renewed optimism about further fuel demand growth in the world’s biggest oil consumer. 

Brent crude futures for August rose 58 cents, or 0.80 percent, to $72.18 a barrel by 9:55 a.m. Saudi time, while US West Texas Intermediate crude edged up by 49 cents, or 0.72 percent, to $68.58 a barrel. 

US Federal Reserve officials on Wednesday pointed toward a potential rate hike “skip” in June that reversed market expectations of an imminent hike that could slow economic growth and weaken oil demand. 

Additionally, the US House of Representatives’ passage of a bill suspending the US government’s $31.4 trillion debt ceiling improved the chances of averting a disastrous government default. 

Barclays slashes Brent oil price

British multinational bank Barclays has slashed the average price of its Brent crude forecast for this year from $92 to $87 a barrel. 

The bank also slashed its price forecast of Brent for 2024 as it cut the average projected price to $87 a barrel from $97. 

China’s CNOOC begins production at new offshore well in Brazil 

China’s CNOOC Ltd. has begun production at the Buzios5 well off the coast of Brazil, the company said in a statement on Thursday. 

The well is the fifth phase of the Buzios oil field off Brazil’s southeast coast. At an average water depth of 1,900 meters to 2,200 meters, the field is the world’s largest deep-water pre-salt oil field, with daily production of 600,000 barrels, the company said. 

CNOOC’s Brazilian subsidiary owns 7.34 percent of the Buzios shared reservoir, which is 88.99 percent owned by Brazilian state-owned oil and gas company Petrobras. 

CNOOC paid $1.9 billion to Petrobras last year to secure a 5 percent stake in a production sharing agreement at the field. 

Russia says ‘no final decisions’ yet on oil refiner subsidies 

Russia’s Finance Ministry said on Wednesday that no final decision had been made regarding plans to halve subsidies for oil refiners. 

The Interfax News Agency, citing sources, said the plans to halve the subsidies may be postponed to September. 

“The issue is being discussed in the government. No final decisions have been taken,” a finance ministry spokesperson told Reuters. 

(With input from Reuters) 


Red Sea Global announces new sailing club to improve tourism prospects

Red Sea Global announces new sailing club to improve tourism prospects
Updated 13 min 15 sec ago

Red Sea Global announces new sailing club to improve tourism prospects

Red Sea Global announces new sailing club to improve tourism prospects

RIYADH: Saudi Arabia is expected to witness a huge influx of sailors, windsurfers and tourists, with multi-project developer Red Sea Global announcing the launch of a new sailing club in the Kingdom. 

According to a press release, RSG’s water sports subsidiary WAMA will operate the sailing club. 

“Sailing is about freedom and adventure while surrounded by the beauty of the ocean. As a pioneer of regenerative tourism and with our first hotels on track to open this year, we are certain this will be a hugely popular activity among our visitors,” said John Pagano, group CEO of RSG, in the statement. 

He added: “The WAMA Sailing Club will provide everyone, regardless of background or ability, the opportunity to explore the wonders of the Red Sea archipelago, experience an exhilarating sport, learn more about marine conservation and enjoy the sense of independence and freedom sailing offers.” 

The press release further noted that the sailing club would provide activities such as sailing, crewing, trapezing and windsurfing in the Red Sea. 

Developing tourism is a crucial agenda for Saudi Arabia as it successfully pursues its economic diversification program. 

Saudi Arabia’s National Tourism Strategy aims to attract 100 million visitors by 2030, besides increasing the tourism sector’s contribution to more than 10 percent of the gross domestic product. The strategy also eyes creating an additional one million jobs in the Kingdom. 

According to RSG, the new sailing club is also expected to create employment opportunities for Saudis, boosting the hospitality sector in the Kingdom. 

“The club will also create exciting employment opportunities for Saudis and international sailors, boosting the Kingdom’s hospitality and sports sector and contributing to Saudi Vision 2030. This will include work experience for Saudi teenagers, who will be able to learn new skills and enhance their understanding of water-based careers,” said RSG in the press statement. 

UK-based RS Sailing, an international designer, builder and supplier of sailboats, is also supporting WAMA Sailing Club in its operations. 

“Our passion is inspiring more people to discover the joys of sailing. That is why our work with RSG to open this stunning stretch of coastline to the sailing community and supporting the launch of the WAMA Sailing Club is a moment of real pride for our team,” said Michiel Geerling, commercial director at RS Sailing. 

Meanwhile, RSG also announced that it has reached an agreement with US-based firm Partanna to install 11,000 carbon-negative pavers in its landscape nursery, which spans one million sq. meters. 

Partanna is widely considered a pioneer of the world’s first carbon-negative concrete, which makes use of a technology that not only avoids carbon emissions but naturally removes them from the atmosphere.

“We believe that sustainability is no longer enough. We need to find ways to restore and regenerate the planet. That is why we have committed to increasing the net conservation benefit at our destinations by 30 percent through the enhancement of habitats that ensure biodiversity can flourish, and to being carbon neutral when we become fully operational,” said Pagano about the deal. 

Rick Fox, co-founder of Partanna, added: “RSG is right, sustainability isn’t enough. We say that carbon avoidance isn’t enough either. The world desperately needs removal solutions and our technology can perform like no other, permanently locking in the carbon it absorbs.” 

 


Abu Dhabi’s ADNOC Logistics & Services trades 44.8% over IPO price in debut 

Abu Dhabi’s ADNOC Logistics & Services trades 44.8% over IPO price in debut 
Updated 01 June 2023

Abu Dhabi’s ADNOC Logistics & Services trades 44.8% over IPO price in debut 

Abu Dhabi’s ADNOC Logistics & Services trades 44.8% over IPO price in debut 

DUBAI: Shares in Abu Dhabi’s ADNOC Logistics & Services climbed 44.8 percent above their listing price on its market debut on Thursday, after raising $769 million in an initial public offering for 19 percent of the business. 

Shares traded at 2.91 UAE dirhams ($0.79) as the Abu Dhabi market opened against an IPO price at the top of the indicative range at 2.01 dirhams per share. 

ADNOC L&S exports crude oil, refined products, dry bulk and liquefied natural gas from Abu Dhabi. 

It was created in 2016 following a merger between Abu Dhabi National Tanker Co., Petroleum Services Co. and Abu Dhabi Petroleum Ports Operating Co.