Elektrans Shipping, a full-service Indian shipping company (previously known as Doehle Danautic) on Wednesday (04 November) has joined hand with Distya Akula, a Suezmax crude oil tanker, led by Shri Pawan Arya and Shri Puneet Arya.Daniel Chopra, Managing Director, Elektrans Shipping Pvt Ltd. said, “Acquisition of Distya Akula further consolidates Elektrans’ position as a full service maritime company. We have embarked on an aggressive acquisition plan to increase the ownership fleet size. Besides owning oil and gas tankers, we are watching the dry bulk segment, which holds promise. Such an expansion plan, especially in today’s tough market scenario, demands, in addition to the technical, commercial and human expertise, steadfast leadership and focus”The joint company has so far invested $40 Million towards acquisition of vessels to its fleet.Distya Akula, Sanskrit for ‘Fortune Transcendental’, has a deadweight tonnage of 149,834 tonnes. It is the third tanker to join the fleet in the past one year, the previous ones being Nu-shi Nalini, a chemical tanker and Distya Pushti, a handysize oil tanker.Distya Akula, built by Mitsui Ichihara Engineering and Shipbuilding, Ichihara, Japan is 269 meters long drawing a draft of 17 meters. She has the capacity of carrying a full load of about 149,000 metric tonnes of oil cargoes equivalent to about 6000 oil carrying road trucks of standard size. She has a crew complement of 24. The ship is flying the Indian flag.This acquisition puts the company in the distinguished league of large tonnage ship owners and operators in India.(BW Online Bureau)
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The Centre is all set to give approval to the ambitious Mumbai coastal road project which will connect south Mumbai to Kandivali in the north of the city. Union Environment Minister Prakash Javadekar, after a meeting with Maharashtra Chief Minister Devendra Fadnavis on Wednesday (04 November), said that the process will be completed soon. He also said that the issue of Mumbai Trans-Harbour Link (MTHL) will be taken up in the upcoming Forest Advisory Committee (FAC) meeting. "On the coastal road issue, we have decided that within a week we will give it approval and the process will be completed. "We have also decided to approve the sewage treatment plant which has to be set up in Mumbai. On the issue of MTHL, it will be processed in the upcoming FAC," Javadekar said. Fadnavis said that while Javadekar has assured him that the final notification of the coastal road project, which will become a lifeline for the city, will be done within a week to ten days, during the meeting resolving of various issues regarding MTHL were discussed. "We discussed around 13 proposals today. Mumbai's coastal road which will be like a lifeline to the city, its final notification has to come out. "Environment Minister has assured that within a week, it will be given clearance and after that it will take around ten days for the notification to come out. This is one of the important decisions taken today," Fadnavis said. The 35.6km-long coastal road project, to be built at an estimated cost of Rs 12,000 crore, was hanging fire for the past five years and opposed by transport activists and environmentalists alike. The Maharashtra Chief Minister said that on MTHL issue, the state had some issues and there was an attempt in today's meeting to resolve them. The 22-kilometre sea link, costing upwards of Rs 11,000 crore, is meant to connect Navi Mumbai with Sewri and also develop large parts of Navi Mumbai.(PTI)
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Indian Oil Corp wants to buy a stake in Rosneft's Vankor field in Russia, its chairman said on Tuesday, as the country's top refiner aims to source at least 160,000 barrels per day (bpd) oil through its own assets by 2020. India imports about 80 percent of its crude needs and has mandated its oil firms to acquire oil and gas assets overseas in a bid to cut an oil import bill running in billions of dollars. ONGC Videsh Ltd (OVL) in September bought a 15 percent stake in Vankor in Siberia to secure access to about 66,000 bpd of oil production. "OVL is already there what we have said is that we could look at it together in their (OVL's) terms," B. Ashok told a news conference, adding that the talks are at a preliminary stage. He said IOC has not decided on the size of any stake. Ashok said his firm aims to spend up to 1.75 trillion Indian rupees ($26.63 billion) in the next five to seven years to build up its refining, pipeline, petrochemicals and retail business. IOC in April commissioned its 300,000 bpd coastal refinery at Paradip in eastern Odisha state. The plant is expected to operate at a full rate in the fiscal year to March 2017, said Sanjiv Kumar, IOC's head of refineries. The refinery would soon begin producing gasoline, and that would help cut imports of the fuel, Kumar said. IOC estimates India's fuel demand to rise by 4-5 percent in this fiscal year mainly due to robust consumption of gasoline and gasoil. The Indian refiner has a term deal to buy 30,000 bpd Iranian oil and it could step up purchases if "economics work out" and sanctions against Tehran are lifted, Ashok said. IOC frequently taps spot markets for low sulphur oil, mainly from Nigeria, to feed its refineries that accounts for about a third of the country's 4.6 bpd capacity. The Indian refiners received only half of the contracted 60,000 bpd oil with Nigerian state-firm NNPC this year, and had to tap the spot market for 130,000 bpd West African oil. IOC recently submitted a bid to buy 100,000 bpd of sweet oil in the latest annual tender issued by Nigerian state oil firm NNPC, said A.K. Sharma, head of finance at IOC. (Reuters)
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U.S.-based SunEdison has won a bid to sell solar power in India at a record low tariff, which could boost the appeal of the renewable source at a time when Prime Minister Narendra Modi is pushing for clean energy to combat climate change. Solar energy still has a long way to go before it can effectively compete with coal, given questions over consistent supply and transmission. But falling rates could unlock more government support for solar and wind energy. Modi's government expects clean energy to yield business worth $160 billion in India in the next five years, and established U.S. companies like SunEdison and First Solar Inc are likely to be the biggest beneficiaries. SunEdison won the auction for a 500 megawatt project in the southern state of Andhra Pradesh, bidding to supply power at 4.63 rupees ($0.0706) per kilowatt-hour, Upendra Tripathy, new and renewable energy secretary, told Reuters on Wednesday. Maryland Heights, Missouri-based SunEdison did not immediately reply to requests for comment. "Delighted that an all time low solar tariff ... has been achieved during reverse e-auction conducted by NTPC," tweeted power, coal and renewable energy minister Piyush Goyal, referring to India's biggest power utility. The previous lowest solar tariff in India was about 5.05 rupees per kilowatt-hour for Canadian company SkyPower's project in Madhya Pradesh state in central India. Coal power costs anywhere between 1.5 rupees to 5 rupees, according to a government official who declined to be named. India is providing cheap loans to set up solar projects and helping companies buy land to meet its ambitious target of multiplying renewable energy generation to 175 gigawatts by 2020. Solar energy is targeted to leap five-fold to 100 gigawatts. The country is relying on renewables to fight climate change rather than committing to emission cuts like China, arguing that any target could hinder economic growth vital to lifting millions of its people out of poverty. Deep-pocketed investors like Japan's Softbank and iPhone maker Foxconn have already pledged to invest about $20 billion in solar projects in India. (Reuters)
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ACME, solar power generator in India, has won a deal as a Solar Power Developer for 50 MW solar PV power projects by Uttarakhand.ACME won this competitive bid that witnessed participation from 97 companies.Manoj Kumar Upadhyay, Founder & Chairman, ACME said, “The emergence of ACME in this bid reinstates our expertise in the solar power sector that helped us to become the country's largest solar power developer with over 1 GW projects under our portfolio.”The company has an existing portfolio of around 1150 MW including 440 MW in Telangana, 104 MW in Punjab, 160 MW in Andhra Pradesh, 100 MW JNNSM Phase II Projects in Rajasthan and other projects in the states of Gujarat, Madhya Pradesh, Rajasthan, Odisha, Bihar, Uttar Pradesh, Assam, Tamil Nadu and Chhattisgarh.ACME, solar power generator in India announced that is has expanded its portfolio to around 1200 MW and aims to generate 7500 MW by the year 2019. The company has been selected as the Solar Power Developer for 50 MW solar PV power projects during the final bids opening by Uttarakhand state on 28th October. ACME has received one of the largest share of 29% of the 170MW tender.(BW Online Bureau)
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Internal OPEC squabbles are on the rise as members argue about the need to support a fair oil price and boost revenues just as they feel more pain from low crude prices, an internal OPEC report seen by Reuters this week showed. A draft report of OPEC's long-term strategy (LTS) carries annotations by Iran, Algeria and Iraq, and suggestions from Iran and Algeria for measures to support prices such as a price target or floor and a return to OPEC's quota system. Oil prices have more than halved to below $50 a barrel since June 2014 in a drop that deepened after the Organization of the Petroleum Exporting Countries in 2014 changed strategy to protect market share, rather than cut output to prop up prices as it did in the past. The strategy shift was led by Saudi Arabia, supported by other relatively wealthy Gulf members. Others, including Venezuela, Iran and Algeria, had misgivings and have continued to call for output cuts. These differences over short-term policy are informing the group's updating of its long-term strategy, the document indicates, and may not bode well for a harmonious meeting on Dec. 4, when OPEC oil ministers meet to review output policy. The 44-page document has 11 pages of comments from member countries added as an annex. "OPEC should be prepared to establish and defend a price floor, in particular, and to accept a temporary trade-off between lower market share and higher revenues," Algeria commented in the draft report. "It is our recommendation to agree upon a fair and reasonable price (band) then try to support it as long as this price seems a fair and reasonable price," read one of Iran's comments. Top producer Saudi Arabia, however, says the market determines oil prices. The kingdom did not make a comment on the draft report. OPEC governors, official representatives of the member-countries, are meeting at the group's Vienna headquarters this week to agree on the final draft of the report. Revenue And Market ShareIran, Algeria and Iraq, among the OPEC countries most hurt by a drop in oil prices, want to include different versions of the need for OPEC to maximise revenues as one of OPEC's first long-term objectives in the report. They note that discussions among the OPEC governors who have been meeting to agree on the long-term strategy report have not resulted in an agreement on some objectives. "Maximize long-term petroleum revenue of member-countries and safeguard their interests, individually and collectively, while enhancing the role of oil in meeting future energy demand," was what Algeria suggested as an OPEC objective. Algeria, referring to OPEC's decision of November 2014 to not cut supply said: "an additional element of uncertainty is represented by OPEC's behavior," according to the draft report. Iraq, boosting production and exports with the help of foreign oil companies, had its own suggestion. "OPEC member-countries should determine their own policies regarding the long term strategy (LTS) by creating a model for achieving maximum revenue through a balance between market share and prices," was one of Iraq's comments. Restoring QuotasIn its comments Iran, which is also preparing to boost exports and regain market share once sanctions are lifted, is also pressing to restore the OPEC quota system dropped in 2011. The group's output ceiling of 30 million barrels per day (bpd) does not specify quotas for the individual members and that "has not effectively contributed to oil market stability," Iran says. "Some of the OPEC member countries have enhanced their production rate based on their production capacity without paying attention to the production ceiling," was another comment submitted by Iran, the report showed. "OPEC production ceiling should be set for 6 or 12 months intervals proportionate to the estimated "call on OPEC" and then allocation of production for every member country could be agreed upon." Iran's suggestion was backed by Algeria, which commented that "it might eventually be necessary to revisit the quota system to make production management as realistic and equitable as possible." The long-term report is prepared by OPEC's research team in Vienna and traditionally cautions that it does not articulate the final position of OPEC or any member country on any proposed conclusions it contains. A decision to restore OPEC's quota system is to be determined only by the ministers when they meet on Dec. 4, but core Gulf OPEC countries oppose restoring it, OPEC sources say. (Reuters)
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Exxon Mobil Corp said on Friday third-quarter profit fell 47 percent on low crude prices but results were better than expected, helped by higher profit in the oil company's refining business. Crude prices have fallen more than 50 percent from last year's high above $100 a barrel. While the crude decline hurt Exxon's largest oil and gas business, it also boosted profit margins in refining by lowering feedstock costs. "International refining was the surprise that was greater-than-anticipated," said Brian Youngberg, senior oil analyst at Edward Jones. "Refining is the sweet spot for the integrateds this quarter. It reflects their scale and breadth of operations." To weather the downturn, many of Exxon's peers, including U.S. rival Chevron Corp, are slashing jobs and capital spending. But the world's largest publicly traded oil company is so far keeping its budget forecast intact and plans no restructuring charges, Jeff Woodbury, Exxon's head of investor relations, told analysts on a conference call. In 2015, Exxon expects to spend $34 billion, and less than that in the next two years. Still, Woodbury said spending so far this year is tracking lower than planned, so it is reasonable to conclude that the final number will come in below that forecast, he said. The company will issue its latest capital plan in March, Woodbury said. The Irving, Texas, company posted profit of $4.24 billion, or $1.01 per share, compared with $8.07 billion, or $1.89 per share in the same quarter a year earlier. Analysts on average had expected a profit of 89 cents per share, according to Thomson Reuters I/B/E/S. Refining profit nearly doubled from a year earlier to $2 billion in the third quarter, with Exxon's international refining unit turning in better-than-expected earnings of $1.5 billion. Earnings at Exxon's exploration and production business fell $5.1 billion to $1.4 billion. Oil and gas output increased 2.3 percent from a year earlier to 3.9 million oil-equivalent barrels per day (mboed). Exxon is still on track for output totaling 4.1 mboed for the full year, Woodbury told analysts. Shares of Exxon were up 0.8 percent at $82.90 on Friday afternoon. So far this year, the stock has fallen 10 percent. (Reuters)
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Foreign companies are in talks to buy a stake of up to 24 percent in the Bina refinery in India's Madhya Pradesh state which is jointly owned by Bharat Petroleum Corp and Oman's state oil firm, BPCL's chairman told Reuters on Thursday. The two owners want to boost the refinery's capacity by about 30 percent from 120,00 barrels per day (bpd), said BPCL Chairman S. Varadarajan. The expansion of the refinery, which has started to make money after quarters of losses, could cost $460 million and would be completed by 2018, Varadarajan said. BPCL and Oman Oil Company could make a public share offer next year if a deal is not sealed. "There are conversations with parties for up to 24 percent stake sale and some of them have shown interest," he said, declining to name the companies. "If the talks do not materialise in a deal, we will go for a public issue next year." Varadarajan also said BPCL could buy Latin American crude for its 190,000 bpd Kochi refinery in southern India once its capacity is raised to 310,000 bpd next year and its capabilities are enhanced to process cheaper and heavier grades. Currently the refinery processes sweet and heavy grades in equal proportion. The company could also buy Iranian oil for Kochi if sanctions on Tehran start to ease following successful talks on its controversial nuclear programme. (Reuters)
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