Oil Updates — Crude declines; OPEC expects China 2023 oil demand to grow 500k-600k bpd

Oil Updates — Crude declines; OPEC expects China 2023 oil demand to grow 500k-600k bpd
Brent crude futures dipped 5 cents, or 0.6 percent, to $83.24 per barrel at 11.50 a.m. Saudi time (Shutterstock)
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Updated 08 March 2023
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Oil Updates — Crude declines; OPEC expects China 2023 oil demand to grow 500k-600k bpd

Oil Updates — Crude declines; OPEC expects China 2023 oil demand to grow 500k-600k bpd

RIYADH: Oil prices fell on Wednesday, driven by fears that more aggressive US interest rate hikes would hit demand, while the market awaited further clarity on inventories.

Brent crude futures dipped 2 cents, or 0.2 percent, to $83.27 per barrel at 06.45 p.m. Saudi time.

US West Texas Intermediate crude futures slid 17 cents, or 0.22 percent, to $77.41 a barrel.

Both Brent and WTI fell by more than 3 percent on Tuesday after comments by US Federal Reserve Chair Jerome Powell that the central bank would likely need to raise interest

OPEC says China 2023 oil demand to grow 500,000-600,000 bpd

China’s oil demand will grow 500,000 to 600,000 barrels per day in 2023, the Secretary General of the Organization of Petroleum Exporting Countries, also known as OPEC, Haitham Al Ghais said on Tuesday, as the world’s top crude importer emerges from COVID-19 restrictions.

“With China opening up, we are quite optimistic, cautiously,” he told the CERAWeek energy conference in Houston.

OPEC expects global oil demand growth to grow by 2.3 million barrels per day in 2023, he said.

Al Ghais said he was not concerned about the rerouting of Russian crude exports to countries such as China and India in the wake of Russia’s invasion of Ukraine. OPEC had witnessed many such changes in oil flows in the past, whether due to international politics or the emergence of new demand centers, he said.

“This is typical where we have redirection in flows from the east to the west or west to the east,” Al Ghais said.

Russian oil production has been resilient, Al Ghais said, adding that the country’s barrels have found buyers in markets like China, India and Turkiye.

OPEC and Russia are part of the OPEC+ alliance, working together on supply policy for global markets. When asked whether the alliance remained viable, Al Ghais said that the alliance is critical to stable oil markets and has been since producers started working together in 2016.

US crude output, demand to rise in 2023: EIA

US crude production and demand will rise in 2023 the US Energy Information Administration said in its Short Term Energy Outlook on Tuesday.

The EIA projected that crude production will rise to 12.44 million bpd in 2023 and 12.63 million bpd in 2024.

The agency also projected petroleum and other liquid fuels consumption would rise to 20.4 in 2023 and rise to 20.8 million bpd in 2024.

(With input from Reuters) 


Egyptian state-run infrastructure firm to establish Saudi branch 

Egyptian state-run infrastructure firm to establish Saudi branch 
Updated 9 sec ago
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Egyptian state-run infrastructure firm to establish Saudi branch 

Egyptian state-run infrastructure firm to establish Saudi branch 

RIYADH: Egypt’s Holding Co. for Roads, Bridges, and Land Transportation Projects is planning to establish a branch of its headquarters in Saudi Arabia after securing contracts for infrastructure projects in the Kingdom. 

The decision to set up the Saudi branch was approved by Egyptian Transportation Minister Kamel Al-Wazir during the company’s general assembly meeting held on Tuesday. 

Al-Wazir, in a statement to the cabinet, emphasized the company’s expansion plans and its interest in exploring business opportunities, particularly in African and Arab countries.  

He also expressed interest in broadening the scope of the holding company beyond its primary focus. 

“There is a need to expand into activities other than roads and bridges, such as the establishment of concrete sleepers’ factories,” added Al-Wazir in the cabinet note.


Saudi Arabia aims to be among top 10 countries in logistics: transport minister 

Saudi Arabia aims to be among top 10 countries in logistics: transport minister 
Updated 10 min 44 sec ago
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Saudi Arabia aims to be among top 10 countries in logistics: transport minister 

Saudi Arabia aims to be among top 10 countries in logistics: transport minister 

RIYADH: Saudi Arabia aims to be among the top 10 countries in logistics services, said Transport Minister Saleh bin Nasser Al-Jasser on Wednesday at the fourth Extraordinary Congress of the Universal Postal Union.


Dubai launches family-business support program  

Dubai launches family-business support program  
Updated 18 min 53 sec ago
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Dubai launches family-business support program  

Dubai launches family-business support program  

RIYADH: Dubai has introduced an initiative aimed at empowering the next generation of leaders in family-owned businesses, a vital component of the UAE’s local economy. The announcement was made by Sheikh Maktoum bin Mohammed, first deputy ruler of Dubai, deputy prime minister and minister of finance of the UAE, on Tuesday.  

The Dubai Family Business Management Program is designed to empower the future leaders within family businesses, ensuring their sustained success and effective navigation through generational transitions. 

Emphasizing the program’s goals, Sheikh Maktoum said: “As part of the Dubai Centre for Family Businesses activities and in partnership with Mohammed Bin Rashid Center for Leadership Development, we launched the Dubai Family Business Management Program.” 

He added that the move aims to empower the second tier of leaders in family businesses to ensure their continuity, smooth succession of ownership and management, and strengthen their global presence.    

On the X platform, formerly Twitter, he further emphasized the integral role of family businesses in Dubai’s economic success. He expressed that by empowering them, the country strives to achieve the goals outlined in Dubai’s economic agenda D33, positioning Dubai among the world’s top economic cities. 


Egypt, Maersk’s C2X sign $3bn agreement to produce green fuel in Suez Canal  

Egypt, Maersk’s C2X sign $3bn agreement to produce green fuel in Suez Canal  
Updated 43 min 56 sec ago
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Egypt, Maersk’s C2X sign $3bn agreement to produce green fuel in Suez Canal  

Egypt, Maersk’s C2X sign $3bn agreement to produce green fuel in Suez Canal  

RIYADH: Egypt is poised to produce green fuel through its recent agreement with Maersk’s C2X worth up to $3 billion signed on Wednesday, according to its prime minister’s office.  

The deal, signed during a meeting between Egyptian Prime Minister Mostafa Madbouly and C2X CEO Brian Davis, is aimed at producing green fuel for ship supplies and achieving zero carbon emissions. 

The agreement was formalized during a signing ceremony involving the General Authority for the Suez Canal Economic Zone, the Sovereign Fund of Egypt, the New and Renewable Energy Authority, the Egyptian Electricity Transmission Co., and the C2X company. 


Egyptian AI startup Intella raises $3.4m from Saudi investors 

Egyptian AI startup Intella raises $3.4m from Saudi investors 
Updated 04 October 2023
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Egyptian AI startup Intella raises $3.4m from Saudi investors 

Egyptian AI startup Intella raises $3.4m from Saudi investors 

RIYADH: In a significant development for Saudi Arabia’s technology sector, Egyptian deep tech firm Intella has successfully secured $3.4 million in a pre-series A funding round. This funding round was led by Saudi-based HALA Ventures and Wa’ed Ventures, the venture arm of Aramco. 

The capital injection is set to accelerate Intella’s foray into the Saudi market and underpin the development of artificial intelligence models tailored for the Middle East and North Africa audience.    

To demonstrate its commitment to the market, Intella is strategically relocating its headquarters to Saudi Arabia, positioning itself in the midst of the Kingdom's growing tech and AI landscape. 

“Saudi Arabia is quickly becoming a hub for technological advances. This move fits perfectly with our plans for expansion,” said Nour Taher, CEO and co-founder.   

In its pursuit of technological excellence, Intella’s Voice system achieved a 95.73 percent accuracy rate after extensive testing involving 30,000 hours of Arabic audio. This accuracy rate surpasses industry giants like Google and IBM Watson. 

Omar Mansour, Intella’s co-founder and chief technology officer, highlighted the Arabic-focused voice technology, emphasizing its move into advanced audio analytics.   

Hailing Intella’s pioneering approach, Ali Abussaud of HALA Ventures noted: “We’re excited to back Intella’s vision. They’re making significant strides in connecting global AI progress with the needs of the Arab-speaking community, and it’s exactly the kind of initiative the region needs right now.”   

As Intella aims to lead the way in Arabic voice technology, this funding brings it closer to its goal of aligning the MENA region with global tech advancements. 

The funding round also received contributions from Sanabil500, INSEAD’s alumni angel network, and several other prominent investors.